State regulators have ordered ITT Educational Services to cease enrollment of all new students at its 15 California campuses, including one in Clovis, citing the school’s failure to meet minimum financial and accreditation standards.
The emergency order, issued Aug. 26 by the Bureau for Private and Postsecondary Education, is effective Sept. 1.
ITT Technical Institute says on its website that “We are currently not enrolling new students.”
Yvette Johnson, the bureau’s enforcement chief, said in a declaration that the “emergency decision is necessary to prevent new student enrollments because ITT is not ‘financially sound and capable of fulfilling its commitments to students’ and is not ‘maintained and operated in compliance with’ the Bureau’s laws and its accreditor’s standards.”
The bureau’s order came a day after federal education officials briefed state regulators of their concerns about ITT’s operations.
On Aug. 25, the U.S. Department of Education banned ITT Educational Services, one of the largest operators of for-profit technical schools, from enrolling new students who rely on federal loans and grants, curtailing the company’s access to millions of dollars in revenue.
Department officials say they are acting out of concerns raised by the for-profit chain’s accreditor, the Accrediting Council for Independent Colleges and Schools.
ITT is under threat of having its accreditation revoked, which could lead its 137 campuses to close and result in students seeking loan forgiveness.