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Austin Smith School of the Art Institute of Chicago

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Drove of for-profit art schools

This article is about the system of formerly for-profit art schools. For other uses, encounter Art Constitute.

The Art Institutes
The Art Institutes.png

The Fine art Institutes logo
Motto The hardest thing you'll ever dear.[one]
Type Private for-profit art schools
Established 1969 (1969)

Parent institution

 Education Principle Foundation
Location

Atlanta

,

Georgia

,

Us
Website www.artinstitutes.edu

The Art Institutes (AI) are a collection of private for-profit art schools endemic past Education Principle Foundation (aka Colbeck Foundation), a non-profit that also owns Due south University.[2] The Art Institutes offer programs at the certificate, associate'due south, bachelors, and master's levels. The Art Institutes have faced accreditation and legal issues and student loan debtors have appealed to the US Department of Pedagogy for debt cancellation through defense force to repayment claims. These efforts are premised on allegations they were defrauded.[iii] [4] [v] The pupil debt group "I Am Ai" has acted as a back up group for students and erstwhile students of the Art Institutes, offering advice well-nigh debt cancellation.[6]

History [edit]

Origins and growth (1921–2010) [edit]

The Fine art Institutes system was created in 1969 when Pedagogy Management Corporation (EDMC) acquired The Art Establish of Pittsburgh,[7] [viii] [9] which was founded in 1921.[10]Starting in 2000, The Art Institutes began offering bachelor'due south degrees[11] and, in 2001, launched its distance pedagogy plan, Fine art Institute Online, which began offering available's and non-degree programs online.[9] [12] The Art Institutes expanded through the acquisition of existing art colleges and the establishment of new Art Institutes.[xiii] In 2001, there were around 20 campuses of The Fine art Institutes;[9] this grew to approximately thirty locations in 2006[fourteen] before reaching 50 Art Institutes in 2010.[fifteen]

Scandal and refuse (2011–present) [edit]

In 2011, Frontline released a documentary titled Educating Sergeant Pantzke. In the documentary, Iraq war veteran Chris Pantzke discussed the lack of inability services at the school. Co-ordinate to Pantzke, "Being a soldier, y'all don't desire to quit, you don't want to give upward or fail." Subsequently doing his own research, Pantzke concluded that the caste he was pursuing wasn't "worth much more than the paper is worth," and felt he was "throwing abroad taxpayer coin" by using GI Neb funds.[16]

In 2012, The Art Institute schools began to experience a decrease in the number of new students enrolling, seeing enrollment numbers drop by approximately 20 per centum betwixt the second quarter of the 2012 financial twelvemonth and the start of 2013. EDMC attributed the driblet in enrollment to limited access to Parent Loan for Undergraduate Students and the economical recession.[7] In February 2013, EDMC announced plans for a three-yr-sometime tuition freeze at The Fine art Institutes. Under this programme, the visitor pledged to maintain the current toll of tuition through 2015.[17]

In June 2013, EDMC announced that its President John Mazzoni would resign effective July xiv, 2013, subsequently 27 years at the system. Charles Restivo, Group Vice President, became the Acting President of The Art Institutes.[18] In 2014, the US Section of Educational activity reported that x EDMC campuses, including several Fine art Institutes, were placed under heightened cash monitoring. The Art Institute of Pittsburgh was 1 of the schools listed.[xix]

In 2014, an investigation by the Urban center Attorney of San Francisco's office led to a $4.iv million settlement. The city claimed AI used deceptive marketing tactics resulting in underestimated program costs for students and inflated chore placement figures for graduates.[twenty]

In May 2015, EDMC announced that it was closing 15 of the Art Institute locations. "A total of 5,432 students are enrolled amongst the campuses that are slated to shut, according to a list provided past EDMC. The visitor volition undergo a teach out process at each location, significant each campus will continue to offer courses, student services and placement assistance until the last pupil has graduated, co-ordinate to Hardman."[21] Campuses slated to close included those in Atlanta, New York City, Ohio, Texas and Pennsylvania. In January 2016, EDMC announced that additional Art Institutes were ceasing enrollments. These campuses are The Art Establish of California – Los Angeles, The Art Institute of St. Louis, and the Art Institute of Tucson.[22] At least 200 additional employees were laid off in May 2016.[23] In June 2016, EDMC appear that the Art Institutes International Minnesota were ceasing enrollments. That meant a total of xix Fine art Institute campuses were scheduled to close.

In June 2016, Tim Moscato, chief operating officer at the Fine art Institutes, resigned amongst more downsizing.[24] The same month, the US Department of Educational activity voted to end ACICS power to accredit.[25] ACICS was stripped of its power to accredit in September.[26] As of June i, 2016, twelve Art Institute campuses were nether heightened greenbacks monitoring (or HCM1) by the US Department of Education because colleges are required to concord a certain corporeality of money to see obligations in case the schoolhouse closes prematurely. Campuses afflicted were Pittsburgh, Portland, Philadelphia, Atlanta, Fort Lauderdale, Minnesota, Colorado, Houston, Seattle, New York City, York, and Phoenix.[27] In December 2016, nine boosted Art Institutes (The Fine art Constitute of Atlanta, The Art Plant of Houston, Miami International Academy of Art and Blueprint) and their branch campuses in Charleston, Nashville, Arlington, Virginia Beach, Austin and San Antonio were placed on probation by their accreditor, Southern Association of Colleges and Schools (SACS).[28]

In January 2018, Art Institutes locations in Novi and Denver and the Illinois Institute of Art locations in Chicago and Schaumburg lost their accreditation with the College Learning Commission. They did not inform students near the loss of accreditation until June despite being required to disclose this at the time of the loss.[29] In 2018, Dream Center Teaching Holdings reported that more than AI campuses were endmost.[30] In Dec 2018, 23 Fine art Institutes were closed.

In Jan 2019, The Washington Educatee Achievement Quango suspended AI-Seattle's license to operate, which blocks enrollment of new students. The council volition reinstate the license when Dream Center Education Holdings shows that it has "regained financial solvency or completed a viable reorganization."[31] AI Las Vegas likewise received a show cause notice from ACICS requesting that the schoolhouse provide information showing why it should not lose its accreditation.[32]

In 2019, reports from DCEH's monitor, Marc Dottore, indicated that $9–13 million of federal funds, meant for students stipends, was missing.[33] [34] Co-ordinate to the Pittsburgh Post-Gazette, the monitor is "well-nigh out of greenbacks to manage the entities he'south tasked to oversee."[35] Dottore has written to the Department of Education that Studio Enterprise, a company designated to service quondam and current DCEH schools, is taking service fees from the deal without providing any services, draining desperately-needed greenbacks from the operation.[36] Data about the Pedagogy Principle Foundation is limited, only it appears to be formerly known every bit the Colbeck Foundation.[37] According to the Democracy Written report, the Colbeck Foundation has ties to Studio Enterprise.[38]

In February 2019, a federal courtroom-appointed receiver halted Dream Center Education Holdings' plans to close the Art Institute of Pittsburgh on March 31, 2019.[39]

In March 2019, teachers and other staff had not been paid their concluding pay checks.[forty] Every bit many as 13 Art Establish campuses remained open in 2019,[41] [42] with the remaining schools facing financial struggles.[43]

Schools and programs [edit]

The Art Institutes offering caste programs at the associate'south, bachelor's and master'due south levels, as well as non-degree diploma programs. Areas of study include graphic design, media arts and animation, culinary arts, photography, digital filmmaking and video production, interior blueprint, sound production, fashion design, game fine art and design, baking and pastry, and mode marketing.[44]

Ownership changes [edit]

The Fine art Institutes' sometime parent visitor, Educational activity Management Corporation (EDMC), was headquartered in Pittsburgh, Pennsylvania.[45]

EDMC'southward initial public offering (IPO) was in 2009. Todd Southward. Nelson, who was previously the CEO of Apollo Education Grouping, became an EDMC board member in 2007 and the Chairman of the Lath of Directors in 2012.[46]

In November 2014, EDMC was delisted from the NASDAQ amidst financial difficulties, lawsuits, and investigations[47] and its stock was valued at less than ane cent per share.

Political leader added that an Indian company might be ownership the Art Institute of New York City and NEIA.[48]

In 2017, Education Management Corporation reported that it had sold the existing Art Institutes to The Dream Center Foundation, a Los Angeles-based Pentecostal arrangement.[49] [50] The sale was consummate in October 2017.[51] In July 2017, an accrediting agency, Middle States Association, rejected the sale of the Pittsburgh and Philadelphia Fine art Institutes to the Dream Center Foundation.[52]

In January 2019, DCEH chairman Randall Barton stated that the Fine art Institutes, excluding the Fine art Institute of Pittsburgh, Art Constitute of Las Vegas and Argosy University campuses, accept been transferred to the Didactics Principle Foundation.[53] [31] [54] Also in Jan 2019, Dream Center Education Holdings announced that AI schools, excluding AI Pittsburgh, AI Las Vegas, and Argosy campuses, had been transferred to the Education Principle Foundation with help from the The states Department of Education.[53] Inside Higher Ed described Education Principle Foundation every bit "a Delaware nonprofit with no almanac upkeep and almost no internet presence", and linked it to individual equity house Colbeck Upper-case letter Management.[55] Studio Enterprise, a Los Angeles company tied to Colbeck Capital Direction, was as well involved in the ownership transfer.[56]

Art Found students from airtight schools were directed to DCEH'south partner institutions and other for-profit colleges: DeVry University, Walden Academy, and Trident University.[57]

According to the Democracy Report, the court appointed receiver, Studio Enterprise & South University had until April 11, 2019 to negotiate to split both South University schools and the remaining Art Institute schools from the Dream Center Educational activity It Platform by September eleven, 2019. "Should they neglect to agree, the plan of reorganization will probable fail, thereby dooming Southward University and the Art Institutes".[58]

Locations [edit]

  • AI Miami International University of Art and Design in Miami and Tampa, Florida (934 students)
  • Art Institute of Atlanta (814 students)
  • Art Establish of Austin (236 students)
  • Art Institute of Houston (511 students)
  • Art Plant of San Antonio (395 students)
  • Art Plant of Virginia Beach (223 students)
  • Miami International Academy of Fine art & Design-Fine art Institute of Dallas (493 students)

Closed or sold campuses [edit]

  • The Art Establish of Atlanta – Decatur
  • The Art Plant of California – Hollywood
  • The Art Constitute of California – Inland Empire
  • The Art Constitute of California – Los Angeles
  • The Art Found of California – Orange County
  • The Fine art Found of California – San Diego
  • The Art Plant of California – San Francisco[59]
  • The Art Constitute of California – Sacramento
  • The Art Institute of California – Silicon Valley
  • The Fine art Institute of Charlotte
  • The Fine art Plant of Charleston
  • The Fine art Plant of Colorado[60]
  • The Art Institute of Fort Lauderdale
  • The Art Plant of Indianapolis
  • The Art Institutes International Minnesota
  • The Art Establish of Las Vegas
  • The Art Institute of Michigan
  • The Art Institute of Philadelphia[61]
  • The Art Establish of Phoenix
  • The Art Establish of Pittsburgh[62]
  • The Art Establish of Pittsburgh – Online Division[62]
  • The Art Institute of Portland
  • The Fine art Institute of Raleigh–Durham
  • The Art Institute of St. Louis
  • The Art Institute of Seattle
  • The Art Constitute of Salt Lake City
  • The Art Establish of Tennessee – Nashville
  • The Art Institute of Toronto
  • The Art Establish of Tucson
  • The Fine art Institutes of Wisconsin
  • The Fine art Establish of Fort Worth
  • The Art Found of Houston—N
  • The Art Institutes International – Kansas City
  • The Art Establish of Jacksonville
  • The Art Establish of Michigan – Troy
  • The Art Institute of New York City
  • The Fine art Institute of Ohio – Cincinnati
  • The Art Institute of Vancouver
  • The Art Constitute of Washington- Dulles
  • The Art Institute of Washington
  • The Art Institute of York – Pennsylvania
  • Illinois Institute of Fine art – Chicago
  • Illinois Establish of Art – Schaumburg
  • Illinois Institute of Fine art – Tinley Park
  • New England Plant of Fine art

Litigation [edit]

Between 2000 and 2018, the Art Institutes parent company EDMC was bailiwick to numerous lawsuits from former students, quondam faculty, and government agencies. Thousands of one-time students of the Art Institutes merits they have been deceived and misled by the schools and their recruiters and have filed claims with the The states Department of Education.[63] [64] [65] Art Plant students are able to file defence force to repayment claims with the Usa Section of Education.[66]

In October 2000, EDMC announced the settlement of a lawsuit brought by a group of approximately 350 sometime students of The Fine art Establish of Houston.[67]

From 2011 to 2015, EDMC was involved in a Usa Department of Justice investigation and lawsuit alleging both illegal recruitment practices by EDMC schools, including The Art Institutes, and fraudulent receipt of $11 billion in federal and state financial aid money.[68] [69] [lxx] [71] A 2011 U.s.a. DOJ study claimed EDMC "created a 'boiler room' style sales culture and has made recruiting and enrolling new students the sole focus of its bounty system."[72]

In May 2013, a federal judge in Pennsylvania rejected a bid to dismiss a lawsuit confronting EDMC past a old EDMC employee. The lawsuit alleges that the corporation and its affiliates engaged in a scheme to maximize profits from fiscal aid programs administered past the U.S. Department of Didactics. The complainant in the case, Jason Sobek, who worked as an admissions manager for EDMC in Pittsburgh from June 2008 through November 2010, alleges that the firm falsified information given to the Department of Education that indicated they were in compliance with the loan programs' eligibility requirements. In testimony that provided the ground for the lower court's determination terminal October, Sobek alleged that EDMC operated a "carefully crafted and widespread for-profit education scheme [in which] defendants have defrauded the Usa and its taxpayers out of millions of dollars in the form of federally backed student loans and grants."[73]

In November 2015, EDMC agreed to pay $95.5 meg to settle claims of illegal recruiting, and consumer fraud.[64]

In April 2016, two former AI teachers filed accommodate in Alameda City Superior Court claiming EDMC did not pay them a minimum wage or provide adequate residual periods, in order "to reduce compensation and increase its ain profits."[74] On September viii, 2016, Art Institutes students known as "I Am Ai" presented a notice to the Director of New England Institute of Art (NEIA) almost a lawsuit that would be coming in 30 days.[75] The lawsuit is being written by the Legal Services Centre of Harvard Law School.[76] On September 24, 2016, the Attorney General of Massachusetts expressed concern that the teaching duties at NEIA were existence taken over by an unlicensed Indian visitor with no groundwork in teaching US art students. The AG's Part stated that if a proper education for NEIA students could not be ensured, that NEIA should shut down at the end of the 2016.[77] In December 2016, nine boosted Art Institutes were placed on probation by their accreditor, Southern Clan of Colleges and Schools (SACS).[28]

On July 6, 2017, two former Fine art Institute students filed a lawsuit against Secretary of Education Betsy DeVos for illegally delaying rules intended to protect borrowers' rights. They were represented by the Project on Predatory Educatee Lending and Public Citizen in two lawsuits.[78] This lawsuit helped clear the way for 2016 Borrower Defence force Rule to take effect.[79]

In 2018, Dream Heart Education Holdings took control of the remaining 31 Art Institutes schools. In December 2018, Fine art Found students filed a lawsuit in the Excursion Court of Cook County, claiming that Dream Center Educational Holdings failed to notify students it had lost institutional accreditation at 4 Illinois AI campuses.[80]

Educatee outcomes [edit]

Co-ordinate to the College Scorecard, the Fine art Establish of Atlanta has a 20 pct graduation charge per unit, a median student loan debt ranging from $xvi,500 (Culinary Arts) to $42,549 (AV Communication Technologies), and a median salary after attending of $19,000 (BFA) to $35,000 (BS in Computer Software). Two years after entering repayment, 9 pct were making progress in their student loans. [81]

References [edit]

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External links [edit]

  • Official website
  • Frontline: "Educating Sergeant Pantze"

menardwineve.blogspot.com

Source: https://en.wikipedia.org/wiki/The_Art_Institutes

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