This bill, called the POST Act (Protecting Our Students and Taxpayers Act of 2025), makes changes to how for-profit colleges can receive federal student aid money. The main change is bringing back and strengthening the "85/15 rule," which requires for-profit schools to get at least 15% of their money from sources other than federal student aid. In other words, these schools can't rely on federal funds for more than 85% of their revenue.

The bill carefully defines what counts as non-federal revenue. It includes tuition paid by students, money from job training contracts with the government, and revenue from educational activities students do as part of their programs. However, it excludes certain types of federal funding and puts strict limits on alternative financing arrangements (like income-share agreements where students pay back a percentage of their future earnings). The bill also cracks down on schools trying to game the system by using loans or financing deals with related companies to artificially boost their non-federal revenue numbers.

If a for-profit school fails to meet the 15% requirement, it loses eligibility for federal student aid for at least two years and must prove it's following all the rules again before it can get the money back. The bill also requires the Department of Education to report annually to Congress on how much federal versus non-federal money each for-profit school receives. These changes take effect two years after the bill becomes law, giving schools time to adjust their business models.