Rep. Grijalva Introduces Legislation Protecting Taxpayers from For-Profit College Schemes
WASHINGTON, DC – Congressman Raúl M. Grijalva (D-AZ) today re-introduced legislation to ensure taxpayer investments in higher education are used for their intended purpose of improving education. In an effort to address an alarming trend of for-profit institutions spending federal funds to recruit students and grow their profit margins, the Protect Financial Aid for Students and Taxpayers Act prevents the use of federal education funds for advertising, marketing or recruitment.
“The fact that for-profit colleges dupe students into crippling debt for little education in return is bad enough,” Rep. Grijalva said. “We don’t need to subsidize their marketing efforts with taxpayer dollars. Students who receive federal funds for their education should know that those dollars are indeed used to further their learning. And the American people, who care passionately about ensuring the brightest future possible for the next generation, demand their tax dollars are not wasted on such a deceitful scheme.”
The Protect Financial Aid for Students and Taxpayers Act is co-sponsored by Mark Takano (D-CA), John Conyers (D-MI), Elijah E. Cummings (D-MD), Luis V. Gutiérrez (D-IL), Grace F. Napolitano (D-CA), Jim McDermott (D-WA) and Yvette D. Clarke (D-NY).
Rep. Grijalva has long worked to address the predatory and deceptive practices that for-profit colleges use to attract students without providing the education they deserve. He has introduced The Protect Financial Aid for Students and Taxpayers Act in the House of Representatives twice before. In October 2014, he urged the Obama administration for stronger rules when they announced gainful employment rules designed to ensure for-profit colleges deliver on their job-placement promises. In April 2015, he called on Secretary of Education Arne Duncan to exercise the full extent of his authority under the Higher Education Act to provide relief to students who were harmed by Corinthian Colleges – a for-profit school that closed on April 27, 2015 following a series of legal challenges from state and federal agencies. He called for expanded relief in June 2015, when the federal government outlined its debt relief process for some Corinthian students.