{"id":66381,"date":"2022-10-27T19:49:42","date_gmt":"2022-10-27T19:49:42","guid":{"rendered":"https:\/\/one.sightlinemg.com\/marinecorpstimes\/uncategorized\/2022\/10\/27\/feds-close-9010-loophole-involving-veterans-education-benefits\/"},"modified":"2026-08-20T14:02:40","modified_gmt":"2026-08-20T14:02:40","slug":"feds-close-9010-loophole-involving-veterans-education-benefits","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/marinecorpstimes\/education-transition\/2022\/10\/27\/feds-close-9010-loophole-involving-veterans-education-benefits\/","title":{"rendered":"Feds close 90\/10 loophole involving veterans education benefits"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Department of Education officials on Thursday published their final regulations regarding how veterans\u2019 education benefits are classified in federal funding calculations for colleges, closing the so-called <a href=\"https:\/\/www.militarytimes.com\/education-transition\/2021\/02\/10\/covid-relief-package-includes-major-change-in-for-profit-colleges-rules-on-gi-bill-benefits\/\" target=\"_blank\">\u201c90\/10 loophole\u201d<\/a> that has been the target of advocates for years.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cAfter years of harassment by deceptive and aggressive for-profit college recruiters, veterans, service members, and their families will no longer be viewed as nothing more than dollar signs in uniform,\u201d Carrie Wofford, president of <a href=\"https:\/\/www.navytimes.com\/education-transition\/2020\/08\/20\/advocates-warn-gi-bill-students-of-shady-college-recruiting-amid-coronavirus-pandemic\/?contentFeatureId=f0fmoahPVC2AbfL-2-1-8&#038;utm_source=clavis&#038;contentQuery=%7B%22section%22%3A%22%2Fhome%22%2C%22exclude%22%3A%22%2Feducation-transition%22%2C%22from%22%3A185%2C%22size%22%3A10%7D\" target=\"_blank\">Veterans Education Success<\/a>, said in a statement.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">At issue is where <a href=\"https:\/\/www.militarytimes.com\/news\/pentagon-congress\/2019\/11\/14\/push-to-limit-for-profit-colleges-access-to-gi-bill-benefits-gets-new-boost\/\" target=\"_blank\">for-profit colleges<\/a> get the majority of their tuition money.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Under previous rules, schools could not receive more than 90% of their tuition dollars from federal education benefits and grants. At least 10% of their funding had to come from student payments or other outside sources.<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/militarytimes\/education-transition\/2021\/02\/10\/covid-relief-package-includes-major-change-in-for-profit-colleges-rules-on-gi-bill-benefits\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"157\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/AP_16301590846325-RESIZED.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">COVID relief package includes major change in for-profit colleges\u2019 rules on GI Bill benefits<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">Congressional Democrats could change the so-called 90\/10 rule, a goal of some education advocates for years.<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">However, military and veterans\u2019 education benefits were not counted against that cap. Schools, therefore, could recruit students with GI Bill eligibility and use that money to count as part of their 10% non-federal money calculation, rather than the other side.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Veterans advocates said that loophole incentivized unscrupulous schools to target veterans with suspect education programs to maximize profits without trying to find students who were investing their own savings.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Congress passed legislation in February 2021 mandating that the loophole be closed, but drafting regulations and public review rules delayed that official change until Thursday.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In the published regulations, Education Department officials said that starting next year, schools will be required to report \u201call federal education assistance funds on the 90 side of the 90\/10 calculation,\u201d including the veterans\u2019 benefits.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The new rules go into effect on Jan. 1, 2023, but could be delayed until the fall 2023 semester for some schools whose fiscal calendar has already begun.<\/p>\n\n\n<aside class=\"smg-interstitial-link smg-interstitial-link--fallback wp-block-smg-interstitial-link\"><a href=\"https:\/\/www.militarytimes.com\/education-transition\/2022\/10\/03\/vets-may-be-missing-out-on-money-for-stem-degrees\/#:~:text=Thousands%20of%20veterans%20pursuing%20science,STEM%20Scholarship%2C%20launched%20in%202019.\" class=\"smg-interstitial-link__fallback-link\">Vets may be missing out on money for STEM degrees<\/a><\/aside>\n\n\n<p class=\"wp-block-paragraph\">In those cases, schools that now violate the 90\/10 rule may continue to operate under their current setup but will need to make adjustments \u2014 or close down certain degree programs \u2014 later in the year. Students should not see any impact on their classes before then.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The move is also expected to reduce some veteran-targeted advertising by for-profit schools that are no longer incentivized to specifically enroll students using GI Bill benefits.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A full copy of the new regulations are available on <a href=\"https:\/\/public-inspection.federalregister.gov\/2022-23078.pdf\" target=\"_blank\">the Federal Register<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Rules regarding how much money colleges could get from federal sources had been under scrutiny for years.<\/p>\n","protected":false},"author":7,"featured_media":74112,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_meta-robots-noindex":"","_yoast_wpseo_meta-robots-nofollow":"","_yoast_wpseo_canonical":"","_acf":"","_yoast_wpseo_primary_category":7,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","_smg_distribution_targets":[]},"categories":[101,7,23,93,25,19],"tags":[8456],"coauthors":[3226],"class_list":["post-66381","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news-roundup","category-education-transition","category-home","category-middle-column","category-newsletters","category-veterans","tag-gi-bill"],"acf":{"subheadline":"","legacy_arc_id":"YCS576LHXRHCLK3HA6Q6U4SQRQ","arc_canonical_url":"\/education-transition\/2022\/10\/27\/feds-close-9010-loophole-involving-veterans-education-benefits\/","remove_feature_photo":false,"is_sponsored":false,"subtype":"","redirect_url":"","disable_inline_ads":false,"native_logo_pretext":"Presented By:"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.0 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Feds close 90\/10 loophole involving veterans education benefits - Marine Corps Times<\/title>\n<meta name=\"description\" content=\"Rules regarding how much money colleges could get from federal sources had been under scrutiny for years.\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Feds close 90\/10 loophole involving veterans education benefits\" \/>\n<meta property=\"og:description\" content=\"Rules regarding how much money colleges could get from federal sources had been under scrutiny for years.\" \/>\n<meta property=\"og:url\" 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