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127542 1 (1985-08-01)

handle is hein.gao/gaobactmy0001 and id is 1 raw text is:                                                             PCI '.-i





             UNITED STATES GENERAL ACCOUNTING OFFICE
                     WASHINGTON, D.C.  20548

                                       FOR DELIVERY AT
                                       9:30 A.M. EDT
                                       THURSDAY, AUGUST  1, 1985
    127542
                          STATEMENT OF
                   RICHARD L. FOGEL, DIRECTOR
                   HUMAN  RESOURCES DIVISION

                           BEFORE THE
             SUBCOMMITTEE ON POSTSECONDARY EDUCATION
             HOUSE COMMITTEE ON EDUCATION AND LABOR
                               ON
                  PROPRIETARY SCHOOL COMPLIANCE
           WITH REQUIREMENTS OF THE PELL GRANT PROGRAM

     Mr. Chairman and Members of the Subcommittee:

     We are pleased to be here to discuss the General Accounting

Office's August 1984 report, Many Proprietary Schools Do Not

Comply With Department of Education's Pell Grant Program

Requirements.  Our review was requested jointly by the former

chairman of this Subcommittee and Representative Richard A.

Gephardt because of their concerns about reports of proprietary

schools abusing the Pell Grant program.

     Proprietary schools are generally private vocational

schools operated for profit.  The objective of the Pell Grant

program at these schools is to help financially needy students

get training which will prepare them for employment.  (The Pell

Grant program is one of the largest financial assistance

programs authorized under title IV of the Higher Education Act.)

During the 1980-81 school year, the most recent complete year at

the time of our review, $2.5 billion in Pell Grants were awarded

to 2,855,000 individuals.  About 300,000 of these students were


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