Durbin, Cummings Introduce Legislation To Put Coordinated Federal Oversight Of For-Profit College Industry Into Law

Press Release

Assistant Senate Democratic Leader, U.S. Senator Dick Durbin (D-IL) and U.S. Representative Elijah Cummings (D-MD), the Ranking Member of the House Committee on Oversight and Government Reform today introduced legislation that would put into law an interagency committee that is tasked with improving coordination in federal and state oversight of the for-profit college industry.

In October, the Department of Education announced it would create an interagency oversight committee based on the Proprietary Education Oversight Coordination Improvement Act - introduced by Durbin, Cummings and U.S. Senator Tom Harkin (D-IA) - which aimed to improve enforcement of federal laws and regulations while increasing accountability of for-profit colleges to students and taxpayers. Today's legislation would codify those efforts and ensure the task force is providing useful information to policymakers and parents and students.

"For many years, for-profit schools were allowed to operate one step ahead of the law." said Durbin. "With so many agencies involved in these oversight efforts it is important that they are effectively working together to hold these schools accountable to taxpayers who often subsidize up to 90% or more of their operations and to students who ultimately are the victims of their schemes. Putting President Obama's committee into law will give it additional authority to coordinate oversight and take action when necessary."

"Our legislation will streamline oversight of for-profit colleges to combat common deceptive practices and help students get the high quality education they pay for and expect," said Cummings. "I am pleased the Department of Education has already taken some action, but Congress must do more to protect these students and the investments taxpayers are making in these schools."

The Durbin-Cummings bill would require the formation of an interagency committee - the Proprietary Education Oversight Coordination Committee - made up of representatives from the following agencies: the Department of Education; the Consumer Financial Protection Bureau; the Department of Justice; the Securities and Exchange Commission; the Department of Defense; the Department of Veterans Affairs; the Federal Trade Commission; the Department of Labor and the Internal Revenue Service.

Source