Large Portion of Colleges Haven’t Fully Submitted Mandatory Student Outcomes Data

The Education Department’s Office of Federal Student Aid is warning that about 1,930 of more than 4,640 colleges and universities (roughly 42 percent) are missing or have underreported Financial Value Transparency and Gainful Employment data, according to newly released data. For-profit institutions were disproportionately affected, with roughly 60 percent of the 1,400 for-profit institutions missing at least one data file compared to about 30 percent of the 1,700 public institutions, and cosmetology and massage therapy programs accounting for at least 415 of the noncompliant schools. The missing data raises concerns because ED plans to use it for a new earnings test comparing program graduates’ earnings to high school diploma holders, with programs failing in two of three years potentially losing loan access. Experts attribute the gaps largely to confusion over shifting deadlines and lower administrative capacity at smaller schools, noting that 28 of the nation’s 99 HBCUs and several community colleges enrolling large numbers of students are among those with fully missing submissions. Institutions have until January 15, 2027 to comply or risk consequences for their federal aid eligibility, reports Inside Higher Ed.