Globe Education Network
The Globe Education Network (GEN) consists of more than 30 schools, which are owned by Terry Myhre and the Myhre family. The bulk of these schools operate under the name Globe University and Minnesota School of Business, while other GEN schools operate under the names Duluth Business University, Minnesota School of Cosmetology, the Institute of Production and Recording, Broadview University, Truck America Training, and the Transportation Center for Excellence.
Title IV Funding
The programs authorized under Title IV of the Higher Education Act are the major source of federal student aid to attend college. Title IV programs include: Federal Family Education Loans (FFEL), Direct Loans, Federal Perkins Loans, Pell Grants, Academic Competitiveness Grant (ACG), National SMART Grants, Federal Supplemental Educational Opportunity Grants (FSEOG) and Federal Work-Study (FWS).
The table below shows the amount of Title IV funding each Globe Education Network school received in the 2008 - 2012. It also shows the percentage of the school's funding which comes from Title IV funding. For-profit colleges are subject to the 90/10 rule, which mandates that no more than 90% of their revenues come from Title IV federal student aid. Source: https://studentaid.ed.gov/about/data-center/school/proprietary.
Title IV Funding for Globe Education Network Colleges
2006-2007 Title IV $
2007-2008 Title IV $
2008-2009 Title IV $
2009-2010 Title IV $
2010-2011 Title IV $
2011-2012 Title IV $
2012-2013 Title IV $
2013-2014 Title IV $
2014-2015 Title IV $
|Minnesota School of Cosmetology||$1,007,410||$1,207,286||$1,669,759||$1,962,343||$2,326,880||$2,478,136||$2,500,831||$2,296,569|
|Institute of Production and Recording||$0||$0||$1,749,938||$3,861,596||$4,715,481||$4,102,801||$3,072,719||$2,390,691|
|Duluth Business University||$2,324,512||$2,630,789||$3,814,568||$4,585,561||$4,843,919||$4,369,192||$3,213,255||$2,654,727|
|Minnesota School Of Business||$36,492,439||$48,353,158||$70,514,388||$90,741,845||$91,809,386||$70,152,934||$50,114,749||$36,912,795||$25,500,000|
|Globe College / University||$7,103,459||$7,385,096||$16,921,316||$39,385,843||$62,885,937||$59,172,253||$47,057,119||$37,269,073||$28,400,000|
Students are identified by their initials to protect their privacy.
GI Bill Funding
The table below shows how much money each school has received from the GI Bill, which is not considered Title IV funding, nor factored into the 90/10 ratio. Other federal sources not included in the 90/10 ratio include funding through the Trade Adjustment Assistance (TAA) grants, as well as funds awarded through the Workforce Investment Act (WIA).
Here is a list of Globe Education Network Colleges and the money they have received through the GI Bill. Data from this Silk was gathered from Appendix 1 of Senator Tom Harkin's recent report, Is the New GI Bill Working?: Questionable For-Profit Colleges Increasingly Dominate the Program. The PDF was uploaded to Silk so anyone can easily search the data. (Missing from the report is data from the 2010-2011 year).
GI Bill and Yellow Ribbon Awards for Globe Education Network Schools
Many schools receive military educational benefits from the Department of Defense. In October of 2014, the Pentagon placed Globe University and Minnesota School of Business on probation and the schools were barred from receiving some military educational benefits. A full list of schools receiving funding from the Department of Defense can be found at dodmou.com/institutionlist.aspx
The status of Department of Defense funding for Globe Education Network colleges
Below is data collected from The New America Foundation's Federal Education Budget Project about Globe University.
Below visualizes the private student loans issued to Broadview University students by Globe Education Network owner, Terry Myhre. Since Broadview University (BVII) is a publicly traded company, this data was collected from documents submitted to the SEC.
Pell Grant $ Received
*Utah Career College has been renamed Broadview University
In 2007, the topic of colleges' preferred lender lists became a hot topic because it was found that often times schools had financial arrangements with these lenders, essentially putting profit before the students they were supposed to be serving. Then-New York Attorney General, Andrew Cuomo investigated these illegal inducements between student lenders and colleges. His investigation found numerous cases where lenders would pay kickbacks to the colleges in return for these schools directing students to their loans. Many lenders enticed financial aid officers to direct students to their loans by providing all-expense-paid vacations to resorts and exotic locations, awarding them company stock, and paying them consulting fees. In one instance, it was even discovered that a financial aid director accepted more than $130,000 from lenders.
Later on in 2007, the Department of Education began looking at colleges where all or most of the student loan volume was held by one lender. This raised a red flag at the Department of Education and led to the Department sending letters to 921 institutions which expressed concern that such a high volume of student loans was held by a single lender. The concern was that these schools may be directing student borrowers to one specific lender, and could possibly engaging in revenue sharing with the lender.
Two of these schools happen to be Globe Education Network Schools
Broadview University, formerly, Utah Career College was one of the 291 institutions that directed 100% of their federal student loan volume to one specific preferred lender, raising a red flag at the Department of Education. Another Globe Education Network school, the Minnesota School of Cosmetology, also caught the attention of the Department of Education after directing 95% of their student loan volume to the same preferred lender, Academic Funding Group (AFG).
Globe Education Network Schools Investigated for Preferred Lending Relationships in 2007.
Broadview University and Globe / MSB of Enrollment from 2004 through 2015.
As the school battles legal and ethical issues, enrollment declines.
Information pulled from SEC documents.
Screen shots detailing Globe University and Minnesota School of Business' Educational Opportunities (EdOp) Loan.
Globe Education Network campus closures.