This statement was delivered at the Board Of Regents’ Special meeting at DRI South on August 24, 2012
- The plan to retain student fees and tuition on the respective college campuses should promote an entrepreneurial approach to higher education that has worked very successfully in many other states such as Arizona and Oregon.
- Establishing a base formula in which the funding is tied to local student demand and the cost of content delivery is fair and transparent.
- The emphasis on number of graduates rather than on enrollment should make institutions more accountable.
- The performance pool is disproportionately weighted in favor of the number of graduates, and is therefore only weakly tied to performance as recognized by students, faculty and organizations involved in ranking colleges and universities. There is much too great an emphasis on numbers and not on quality and efficiency.
- The absence in the performance pool of national benchmarks provides little incentive, particularly for the universities, to become centers of excellence
As you may know, student loan debt has replaced auto loan debt and credit card debt as the top source of debt in the nation. The total outstanding student loan debt now stands at a staggering $870 billion. For all borrowers across the nation, the average student debt is $23,000. In this regard, it is important to point out that the longer a student pursues a degree, the greater the debt accrued. That is, there’s a strong relationship between the years to completion and the accumulated debt. Moreover, students who fail to graduate accrue large amounts of debt without any of the considerable economic benefits of obtaining a BS or BA degree.