How the Third-Party Servicer and Bundled Services Regulations Harm Online Learning
The Biden Administration praised online educational programs during the pandemic, and now they’re threatening hundreds of thousands of Americans online degrees. In February, the Department of Education unveiled a new rule to strengthen oversight of revenue-sharing agreements between colleges and companies that help operate online courses.
Yet, this new rule to strengthen oversight could have the opposite effect as colleges are gearing up for compliance. Targeting online education will affect millions of Americans and negatively affect the quality of these programs. Additionally, this could eliminate access for many lower income students who otherwise wouldn’t be able to get their degree.
Chairwoman Foxx warned the Administration that blanket compliance will not fly. She said, “it is reckless for the Department to suggest providing access to online education is a main driver of federal student loan debt. Instead, innovations in postsecondary education, including online education, have broken through access barriers for many adult learners.”
This isn’t the first time the Department has skirted traditional rulemaking process, and schools have until this fall to comply.
