S.1775 - POST Act of 2019116th Congress (2019-2020)
|Sponsor:||Sen. Durbin, Richard J. [D-IL] (Introduced 06/11/2019)|
|Committees:||Senate - Health, Education, Labor, and Pensions|
|Latest Action:||Senate - 06/11/2019 Read twice and referred to the Committee on Health, Education, Labor, and Pensions. (text: CR S3322-3323) (All Actions)|
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Summary: S.1775 — 116th Congress (2019-2020)All Information (Except Text)
Introduced in Senate (06/11/2019)
Protecting Our Students and Taxpayers Act of 2019 or the POST Act of 2019
This bill modifies requirements for a proprietary (i.e., for-profit) institution of higher education (IHE) to participate in federal student aid programs.
Current law requires a proprietary IHE to derive at least 10% of its revenue from sources other than federal student aid. This bill requires a proprietary IHE to derive at least 15% of its revenue from sources other than federal funds (i.e., it replaces the so-called 90/10 rule with an 85/15 rule).
Additionally, the bill limits what a proprietary institution may treat as revenue to the school in calculating whether it derives at least 15% of its revenue from sources other than federal funds.
Finally, the bill makes compliance with the 85/15 rule a condition of institutional eligibility to participate in federal student aid programs (i.e., failure to comply results in immediate loss of institutional eligibility). Currently, a proprietary IHE must violate the rule for two consecutive years before losing eligibility.