[Congressional Record (Bound Edition), Volume 161 (2015), Part 13]
[Extensions of Remarks]
[Page 18628]
[From the U.S. Government Publishing Office, www.gpo.gov]




   INTRODUCTION OF THE PROTECT OUR STUDENTS AND TAXPAYERS (POST) ACT

                                 ______
                                 

                            HON. STEVE COHEN

                              of tennessee

                    in the house of representatives

                      Thursday, November 19, 2015

  Mr. COHEN. Mr. Speaker, I rise today in support of the Protect Our 
Students and Taxpayers (POST) Act, a bipartisan bill I introduced 
earlier today with my colleague Congressman Walter Jones.
  If enacted, it would take steps towards eliminating an incentive for 
for-profit colleges to aggressively recruit and enroll veterans, 
service members and their families, who have sacrificed for this 
country and deserve the highest quality of education.
  Current law prohibits for-profit colleges and universities from 
deriving more than 90 percent of their revenue from the U.S. Department 
of Education's federal student aid programs. The other 10 percent is 
required to come from sources other than the federal government. 
However, because of the way the law was written, veterans' and active 
duty service members' federal student aid does not count towards the 90 
percent. Instead, it may be included among a for-profit institution's 
calculation of its 10 percent non-federal revenue.
  As a result, for-profit colleges and universities are left with a 
powerful incentive to recruit veterans, service members and their 
families, offering them degrees that are often less valuable than those 
from not-for-profit institutions.
  The POST Act would strengthen the definition of ``federal aid'' to 
include G.I. bill funds, Department of Defense Tuition Assistance 
benefits, and all other federal funding sources.
  Furthermore, the POST Act would reinstate a 15 percent minimum on 
revenue that for-profit colleges must receive from sources other than 
the federal government. The requirement was lowered from 15 percent to 
10 percent in 1998.
  The bill also takes steps towards eliminating accounting tricks used 
by for-profit educational institutions that inflate their declared 
amount of non-federal funding.
  Finally, the POST Act increases the penalty for rule-breakers by 
causing colleges to lose eligibility to participate in federal student 
aid programs after one year of noncompliance with the new 85-15 rule. 
Currently, they do not face penalties until they have been noncompliant 
for two years.
  I urge my colleagues to support this bill, and help get it passed.

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