Education Department Restores Fairness for For-Profit Colleges
July 23, 2025
**Department of Education Reverses Overreach: A Win for For-Profit Colleges**
In a significant policy shift, the Department of Education has moved to correct an overreach that targeted for-profit colleges, a decision that signals progress toward fair treatment in higher education.
Under the new guidance, these institutions can now include revenue from online programs when calculating compliance with the controversial 90/10 rule.
This clarification marks a sharp departure from the previous administration’s attempt to impose restrictions that lacked proper rulemaking. The revision restores clarity to the regulation that requires for-profit colleges to derive at least 10% of their revenue from non-federal sources while holding them accountable.