Testimony of the associate director of the Department of Education's Health Education and Human Services Division, Education and Employment Issues, addresses issues concerned with Title IV of the Higher Education Act of 1965 as amended in 1992. Title IV provides grants, loans, and work-study supports to students pursuing post-secondary education including that provided by about 5,000 proprietary schools. The testimony focuses on ensuring that only those schools providing quality education and training access Title IV funds. First, it provides a broad overview of the regulatory framework for Title IV programs and then reports trends such as default rates. It lays out a framework for: (1) examining the legislative provision limiting Title IV participation to schools receiving at least 15 percent of their revenues from non-Title IV sources and (2) determining the extent to which Title IV funds pay to train students for jobs in no- or low-demand occupations. Although positive trends are identified (e.g., proprietary schools' share of Title IV funding has declined), the default rates of students from such schools remain substantially higher at 24 percent than those for peers from nonprofit institutions. Throughout the testimony, graphs and tables illustrate the data presented.(DB)