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Hagan Statement on Report on For-Profit College Industry


Location: Washington DC

U.S. Senator Kay Hagan today released the following statement on the report on the for-profit college industry released by the Senate Health, Education, Labor and Pensions (HELP) Committee:

"This report offers further evidence that we must act to ensure that taxpayer dollars are spent wisely and efficiently," Hagan said. "I'm particularly concerned with the deceptive practices employed by some for-profit schools in targeting veterans. My legislation would help protect taxpayers and veterans by prohibiting any college or university from using federal financial aid dollars on marketing, advertising, and recruitment -just as they are already banned from using those dollars for lobbying. In these tough fiscal times, and with so many brave heroes returning home, this report shines a light on serious problems we need to address."

According to the report, eight out of the ten top recipients of Post 9/11 Education Assistance funds are for-profit institutions of higher education. Furthermore, for-profit colleges received 37 percent of all Post 9/11 GI Bill money during August 2009-July 2011.

Hagan has been working for months to ensure that the more than $32 million dollars for-profit colleges receive from Federal financial aid programs are well spent. Her bill-the Protecting Financial Aid for Students and Taxpayers Act-would help protect taxpayers, students and veterans by prohibiting all colleges and universities from using taxpayer dollars on marketing, advertising and recruitment.

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