Money from the CARES Act was meant to help low-income students and the schools that serve them. So, why did the CARES Act give more money to hair schools than to a community college? (1/8) NBCNewsThreads
In an effort to funnel aid to students most in need, it put great weight on counting full-time students with Pell grants, the federal grants aimed at low-income students. This meant for-profits did well. Those career-oriented programs tend to be time-intensive and costly, leading more students to attend full-time and to take out federal loans.
The fact that half the money going to for-profits can be used for institutional costs concerns critics like Ben Miller, vice president for postsecondary education at the left-leaning Center for American Progress think tank.“A dollar that goes to the operating expenses of a for-profit college is a dollar that doesn’t go to helping a community college student pay rent,” Miller said. “I don't think that makes sense.”There’s no doubt that students at for-profits are in need.
“We win because we serve lower income people,” said Steve Gunderson, president and CEO of Career Education Colleges and Universities, or CECU, a trade group that represents for-profit and career colleges.
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