For-profit colleges and universities are estimated to get $1.1 billion in federal funding from the coronavirus stimulus package, despite Democrats and some experts expressing deep reservations about federal dollars flowing to for-profit higher education institutions.
Out of nearly $14 billion provided by the CARES Act, which was designed to support college students and higher education, around 9% was allocated to colleges including Alabama State College of Barber Styling and University of Phoenix, according to new data released on Thursday by the Education Department (ED).
“The for-profits can distribute aid to students, but as for-profit businesses they should be treated like other for-profit businesses,” Bob Shireman, a senior fellow at the Century Foundation and former Education Department official during the Obama administration, told Yahoo Finance. “Aid to a nonprofit or public college is restricted to educational and public purposes, but for-profit corporations have no such restrictions. They should not be getting