Department of Defense Targets For-Profit Education

Harvesters,

The PDF below is an excerpt from H.R. 4870 The Department of Defense Appropriations Act 2015, Sec. 8111 states that " revenues derived from educational assistance funds provided in any form under any Federal Law for advertising, marketing or student recruitment activities... " this single sentence would prohibit institutions from spending billions of taxpayer dollars to solicit their targeted audience: veterans and low-income families.

• Per revenue via Title IV federal aid, the University of Phoenix spent $155,000,000 on naming rights for the stadium hosting this years Super Bowl. The University of Phoenix is known for their large enrollments in online classes; last year, their graduation rate was 5%.

According to Sec. 8112 "... the institution demonstrates to the Secretary of Defense that the institution derives not less than 10 percent of such institution's revenues from sources other than funds provided under title IV ". The problem with the 90/10 rule is that the Post 9/11 GI Bill and the Department of Defense's Tuition Aid is not included in the "federal aid" even though it is revenue from the United States government.

• If this bill was to pass, the University of Phoenix's would exceed the ninety percent threshold to 91.23% (This does not include funds from the Department of Defense) and would thus no longer be eligible for federal funds.

Despite the Apollo Education Group lobbying this bill and other similar to it, the legislation is getting closer to passing. Dozens of Attorney Generals from across the U.S. have filed lawsuits and investigations on corporations in the proprietary education sector; namely, Apollo Education Group. The question is not if this morally bankrupt industry will face justice, but when .