Senator Introduces Bill to Protect Veterans From Biden-Era Education Restrictions

Clear Facts

• Republican Indiana Senator Jim Banks introduced the PARITY Act to repeal a Biden administration rule affecting career schools
• The rule requires at least 10% of a for-profit school’s revenue to come from non-federal sources
• Banks argues the regulation disproportionately harms military students and veterans who rely on federal education benefits

A Republican senator is taking direct action against what he describes as discriminatory Biden-era regulations that place unfair burdens on career-focused educational institutions and the military families they serve. Indiana Senator Jim Banks filed legislation Monday aimed at dismantling barriers he says prevent veterans and service members from accessing quality education options.

The Promoting Access and Revenue Integrity Through Institutional Transparency (PARITY) Act targets a provision in the Higher Education Act known as the “90/10 rule.” This regulation mandates that for-profit educational institutions derive at least 10% of their revenue from sources other than federal student aid programs. If schools fail to meet this threshold for two consecutive years, they become ineligible to participate in Title IV federal student aid programs.

Senator Banks contends the rule creates perverse incentives that harm the very students it claims to protect. Career and technical schools that serve high percentages of military students and veterans often struggle to meet the 90/10 requirement because GI Bill benefits and other military education assistance count as federal funding under current law.

The result, according to Banks, is that schools either limit enrollment of military students to maintain compliance or face losing federal aid eligibility entirely. Both outcomes restrict educational opportunities for those who have served their country.

Critics of the 90/10 rule have long argued it represents government overreach into the education marketplace. The regulation essentially penalizes schools for being attractive to students who have earned federal education benefits through military service. Rather than serving as a quality metric, opponents say the rule functions as arbitrary discrimination against institutions that specialize in career training and practical skills development.

For-profit career schools have become increasingly important pathways for veterans transitioning to civilian careers. These institutions often offer flexible scheduling, accelerated programs, and industry-specific training that align with the needs of former service members seeking to quickly enter the workforce. The 90/10 rule creates compliance challenges that can force these schools to turn away qualified veteran applicants.

The PARITY Act represents a straightforward solution: complete repeal of the controversial provision. By eliminating the 90/10 requirement, Banks’s legislation would remove artificial barriers between veterans and the educational institutions best suited to serve their unique needs.

This initiative arrives as the Biden administration faces mounting criticism for regulatory approaches that prioritize bureaucratic metrics over practical outcomes. Traditional higher education has become increasingly expensive and often misaligned with actual job market demands. Career schools fill a critical gap, particularly for military families seeking efficient pathways to middle-class careers.

The senator’s bill challenges the assumption that more federal regulation equals better student protection. Banks argues that market forces and institutional accountability provide more effective safeguards than arbitrary revenue requirements that restrict veteran access to education.

As Congress considers the legislation, the fundamental question becomes clear: Should federal policy make it harder for schools to serve military students, or should it remove obstacles that limit educational freedom for those who have defended American freedom?

Let us know what you think, please share your thoughts in the comments below.