- Some for-profit colleges failed to live up to the government's new "gainful employment" standards when numbers were released last week, and while Judge Rudolph Contreras of Federal District Court upheld the regulation of these programs, he disagreed with one key requirement.
- Contreras struck down the government's standard that at least 35% of a program's graduates must be repaying their loans in order for current students to receive federal loan dollars.
- “No expert study or industry standard suggested that the rate selected by the department would appropriately measure whether a particular program adequately prepared its students,” Contreras' opinion read.
From the article:
A federal judge in Washington has overturned a main component of the federal Department of Education’s “gainful employment” rules, which were applied to career-training programs and were hotly contested by for-profit colleges, saying that regulation was arbitrary. ...