For-profit colleges sue government over new student loan regulations News
For-profit colleges sue government over new student loan regulations

[JURIST] The Association of Private Sector Colleges and Universities [official website] on Thursday filed a lawsuit [complaint, PDF] against the federal government challenging recently enacted “gainful employment” regulations [text, pdf] that would penalize schools for not preparing students for their chosen career paths. The regulations [DOE backgrounder] require that career training programs provide evidence that their graduates are making enough money to pay back their student loans. If the school fails to show this, they risk losing their federal aid. The US Department of Education (DOE) [official website] estimated that approximately 1,400 schools could be affected. The group filed the lawsuit against Education Secretary Arne Duncan [official profile], claiming that the new rule is “unlawful, arbitrary, and irrational.” “This regulation, and the impact it will have on student access and opportunity, is so unacceptable and in violation of federal law that we were left with no choice but to file suit,” stated [AP report] Steve Gunderson, president of the Association. The DOE is confident that the rule falls within its legal authority and will protect students and taxpayers.

In recent years legislation surrounding education and teachers has generated controversy in the US. In August a judge for a Travis County Civil Court in Texas ruled [JURIST report] that the Texas Legislature failed to meet its constitutional duty to provide for Texas public schools because the school finance system is structured, operated and funded so that it cannot provide a constitutionally adequate education for all Texas schoolchildren. Also in August education advocacy groups in New York challenged [JURIST report] the state’s teacher tenure laws, claiming that laws protecting teacher employment violate the civil rights of children to a quality education. In June a judge for the Los Angeles County Superior Court ruled [JURIST report] that the California’s system for tenure and seniority for public school teachers is unconstitutional. In March the Supreme Court of Kansas held [JURIST report] that the state’s legislature violated the Kansas constitution when it underfunded K-12 public education during the 2009 through 2012 school years.