Administration Delays Parts of the Gainful Employment Rule

On June 30, 2017, the Education Department announced it was delaying key parts of the rule, citing a recent narrow court ruling (see below) as a pretext to gut the rule. While schools are still required to post new improved consumer disclosures as of July 1, they will not need to distribute these disclosures to students or provide a link to them in their promotional materials until July 1, 2018.  This means few students will see these important disclosures. The Department is also allowing all schools to appeal their ratings and will make it easier for them to do so, even though the court ruling only applied to schools that are members of the American Association of Cosmetology Schools (AACS).