Industry leaders admit regulations are needed for for-profit colleges
- Grand Canyon University CEO and Director Brian Mueller and Computer Systems Institute President Tom Claxton both concede that there is a need for regulation in the for-profit education industry.
- GCU was one of the schools profile in a Senate investigation and was shown to have a significant growth in profits and enrollment despite having a low completion rate and spending more on marketing than academics, but Mueller said he supports regulations like gainful employment rules and a rule requiring at least 10% of a for-profit's revenue to come from non-federal resources.
- Claxton says his only issue with regulations is that they allow schools like CSI to be lumped in with schools commonly cited as industry "bad apples," like the University of Phoenix and the Art Institute.
From the article:
Brian Mueller, CEO and director of Grand Canyon University, who came on board in mid-2008, insists the report doesn't reflect the reality under the school's current leadership. But Mueller also isn't trying to block all the regulations that are being proposed to remedy the issues found in the Senate report. The Obama administration has proposed and enacted a slew of regulations aimed at for-profits, and members of Congress are proposing even more, such as limiting how for-profits can spend tuition dollars. Nearly all of this has been met with hostility from the industry in the form of a $40 million lobbying campaign. ...
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