Jeremy C Bradley is a staff writer for the Finance & Investment category of Justmeans. He is a graduate of Lincoln University of Missouri where he earned a degree in biology and philosophy. He also holds an MBA. Jeremy is an expert in the business field, having worked in development and marketing at major New York City non-profit organizations. Among the highlights of Jeremy's career is sp...
A Christmas Gift for For-Profits?
2010 was a big year in the for-profit college world. On this Christmas, we've learned that for-profit colleges more than doubled spending on lobbying and hired six former members of the U.S. Congress this year to fight new and proposed rules and regulations that threaten the industry.
Combined, ten for-profit education companies spent $3.8 million on lobbying in the first nine months of 2010, that's up from $1.5 million the previous year. The huge spending comes as for-profit colleges and universities attempt to resist a U.S. Department of Education proposal to restrict federal funding to these institutions. The proposed rule, known as "gainful employment," would couple eligibility for federal financial aid with graduates' income levels and loan repayment rates.
Harris Miller, president and CEO of the Association of Private Sector Colleges & Universities said: "The stakes are extremely high. It's the biggest fight I've been in since coming to the industry."
The Association Miller heads up spent $630,000 on lobbying in the first nine months of 2010, according to filings with the U.S. Senate and House. Education Management Corporation, a similar organization, spent $410,000 on lobbying, up eight times from last year.
All this spending on lobbying indicates one thing: officials in the for-profit industry are scared. The U.S. government is issuing sterns warnings and new laws to control the industry. Read more on for-profit institutions here.
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