For-profit colleges face more state scrutiny

“Anywhere that there are financial problems, which is virtually everywhere at this point,” Miller says, “people are running around like chickens with their heads cut off, saying, ‘Can we find some way to cut funding?’ and coming up with special rules to make it harder for the schools to be eligible for student aid.”

Miller believes that the controversy over for-profit schools will not go away even if the economy recovers.

“I’m not sure state colleges and community colleges will ever see a major uptick in their revenue, even when state coffers do better,” he says. “So that’s going to lead some of them to see us as competitors that they’d rather restrict.”

(c) 2011, Distributed by McClatchy-Tribune Information Services.

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