After announcing a few weeks ago that a new negotiated rulemaking panel was being formed to rewrite the gainful employment regs, the Department of Education is formally delaying some disclosure requirements under the current rule. Under “gainful employment,” all programs at for-profit colleges, plus certificate programs at public institutions like community colleges, have to report on metrics related to student debt, employment and earnings to the Department of Education and disclose key data points in program promotional materials. While programs will still have to complete the gainful employment disclosure template for their websites, programs will now have until July 2018 (instead of this summer) to include information in promotion materials and directly distribute it to prospective students. The deadline for appeals of earning data is also being extended.
The Administration characterizes this delay as part of their efforts to reducing burdensome regulations:
"Since their creation under the previous administration, Gainful Employment regulations have been repeatedly challenged by educational institutions and overturned by the courts, underscoring the need for a regulatory reset," said Secretary DeVos. "We need to get this right for our students, and we need to get this right for our institutions of higher education. Once fully implemented, the current rules would unfairly and arbitrarily limit students' ability to pursue certain types of higher education and career training programs. We need to expand, not limit, paths to higher education for students, while also continuing to hold accountable those institutions that do not serve students well."
However, critics of for-profit colleges in particular are concerned about the continued roll-back on regulations that seek to ensure program quality. Postsecondary CTE stakeholders—let us know what you think and how the gainful employment rules should be changed or maintained to both protect students and reduce the administrative burden on institutions!
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