Higher Education Policy - Amazon Web Services · 2015-09-16 · Figure 3 Public FTE Enrollment and...

Reform Efforts in Federal and State Higher Education

Policy

“May You Live In Interesting Times”

Proverbor

Curse

American Association of

Collegiate Registrars and

Admissions Officers

-----

Annual

MeetingMarch 31, 2014

Denver, CO

David LonganeckerPresident, Western

Interstate Commission for Higher Education

(WICHE)

www.wiche.edu

A Bit of ContextPostsecondary Policy -- the

American Way

In the beginning

There Was A Constitution

Tenth Amendment

“The powers not delegated to the United States by the Constitution, nor prohibited by it to

the States, are reserved to the States respectively, or to the people”

Postsecondary Policy -- the American Way

And thus,

Education, not being mentioned in the constitution was not a federal responsibility

In fact, American higher education was not initially a state responsibility

It was an elitist system, designed to educate an elite class, “as it should be.”


Mid-century (that would be 19th century) brought a new thrust

Driven not by constitutional responsibility, but by Federal interest and national need

The Land-Grant Act of 1862

To address a national economic imperative

Began the move toward a meritocratic system of higher education

Best and brightest of all classes

Scholarships for the most able

To What End – economic development


Mid-century (that would be 19th century) brought a new thrust

And the beginning of a substantial state role

Particularly in the West

So federal action drove the increasing state investment

Federal Postsecondary Policy --Access the American Way

Broad access became a “federal” goal in the mid 20th century.

Began as Economic Development

GI Bill

NDEA

Became Egalitarian with Great Society (HEA of 1965)

Beyond federal interest to federal responsibility – equal opportunities to life, liberty, and the pursuit of happiness (Imbedded in the 14th Amendment)

Access the American Way

Federal Movement toward Egalitarian Policy

Need based aid – EOG (SEOG) to BEOG to Pell

Matched by National Movement toward Egalitarian Policy at the State Level

Geographic access

“as free as possible” – low tuition

Need based financial aid – with federal incentive

Community College Movement


Fifty Years of Incremental Creep

Initially HEA was real clear

Goal was clear – financial access

Strategy was clear

Grants for the most needy

Loans for the less needy

Nothing for the non needy



Initially HEA was real clear

And it worked

Enrollment increased dramatically

Or did it

Radical increase at state level at same time

Dreaded DRAFT provided another enrollment driver

Let’s say it worked



The first wave of reform – MISAA – the Middle Income Student Assistance Act (1978)

Espoused Goal – Expand opportunity to middle class

No evidence to support/ Strong evidence to oppose

Did it work depends on perspective

Actual Goal – Politically popular idea

Did work on authorization side

Not so much on appropriations side



The second wave of reform – Middle Income at the expense of the most needy (1980s)

Loan Expansion

Over Pell Grants



The third wave of reform (part one) –Program Improvement (early 90s)

Direct Lending

Improved accountability (SPREs & Default)

Mixed Bag on Results

The third wave of reform (part two) – Even more for the middle class (late 90s)

Tuition Tax Credits (on top of a bunch of other tax benefits that the crept in)



The fourth wave of reform – Pell, Pell, and more Pell (the new Century)

More is Better and Never Enough

Deregulation fosters innovation

Effectiveness

Depends upon perspective

From my perspective – huge failure

State Postsecondary Policy --Access the American Way


Very similar to federal progression

More is better and never enough

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$-

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$12,000

$14,000

-

2.0

4.0

6.0

8.0

10.0

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1987

1988

1989

1990

1991

1992

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1994

1995

1996

1997

1998

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2000

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2002

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2005

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2007

2008

2009

2010

2011

2012

Dollars

per

FTE

Public F

TE E

nro

llm

ent

(Millions)

Figure 3

Public FTE Enrollment and Educational

Appropriations per FTE, U.S., Fiscal 1987-2012

Educational Appropriations per FTE (constant $) Net Tuition Revenue per FTE (constant $)Note: Net tuition revenue used for capital debt service are included in the above figures.

Constant 2012 dollars adjusted by SHEEO Higher Education Cost Adjustment (HECA).

Source: State Higher Education Executive Officers

State Postsecondary Policy --Access the American Way


Very similar to federal progression

More is better and never enough

Modest Commitment to Financial Aid

Despite gradual increase in reliance on tuition

Merit madness @ the state level to match federal infatuation with the “middle-income”

After the Bubble – Two Recession & Sobering Times

The shock of the economic downturn

Financial access eroded

Tuition increased – increasing need

But enrolments also increased – the economist’s dilemma

Completion became THE ISSUE

Slipping international competitiveness

Data showed the disconnect between access and success

Bringing Us to Today – A Renaissance of Sorts; Sort of.

The new agenda: Frugal Essentialism Shared at the Federal & State levels

Four Major Themes: Greater Efficiency Higher Quality Affordability Proven through Greater Accountability

Frugal Essentialism

Major Themes

----------

Greater Efficiency

Higher Quality

Affordability

Greater Accountability

Easier said than done:

Different Interpretations of what this means

Limited resources – the New Normal

And claims for those for the “status quo”

Today’s New Renaissance of Sorts (Sort of)

Key Strategies to Match the Themes

-----------

Innovation

Steering

Regulation/Mandates

Federal Activities in Today’s New Renaissance of Sorts

The Federal Completion Agenda

An Economic Imperative

Actions Imbed all 4 themes – Efficiency, Quality, Affordability, & Accountability

At least to some extent

Being driven by all three strategies –innovation, steering, and regulation

Both rhetorical and action oriented


The Federal Biggies

Modifications to Current Law

1. Regulatory Reform

State Authorization, Gainful Employment, and the Credit Hour Rule

Touches on Accountability And Efficiency most significantly, but also Quality

Not really focused on affordability


The Federal Biggies


2. Student Loan Reform

Interest rate adjustments

Repayment reforms – Income Based Repayment

Debt management (default rates)

Touches on Efficiency, Affordability, and Accountability, often through steering


The Federal Biggies


3. Data Collection

Student Unit Data Base

IPEDS revisions

Ratings

Touches on affordability, efficiency, and accountability but not quality

Primarily through steering & regulation


The Federal Biggies


4. Experimental Sites – Competency over Credits

Two institutions approved (Southern New Hampshire & Coursera) + WGU

More under consideration

Touches on Efficiency, Quality, and Affordability through Innovation


The Federal Biggies

New Law – Reauthorization + (Dave’s Guesses)

5. Pell & Campus Based Reform

Retargeting Pell, or not

Consolidation

Performance & Need, or not

More, less, or about the same in resources

Touches on Affordability Efficiency, and Quality primarily through Steering & Regulation/Mandates


The Federal Biggies

New Law – Reauthorization +

6. Tax Reform:

Consolidation

Elimination with Redirection of Funds

Elimination to reduce expenditures

Touches on Efficiency primarily through mandate


The Federal Biggies


8. Real Partnerships

Stake in the game for students

Stake in the game for states

Stake in the game for institutions

Greater alignment between federal programs

Touches on Affordability, Efficiency and Accountability via mandated change


The Federal Biggies


9. Reduced Federal Burden on Partners

Alternatives to accreditation, SARA

Scrubbing current statutes and regulations (Alexander)

Embrace Innovation (New is very cool).

Touches on Efficiency and Accountability

Rhetoric not consistent with reality


What’s Here And What Isn’t

Heavily focused on program improvement–better government (Efficiency & Accountability)

Reasonably aligned with Completion Agenda (affordability and access to success)

Not much associated with the “quality” agenda

State Activities in Today’s New Renaissance of Sorts

The State Biggies

1. Performance Funding

Capturing Attention of Governors, Legislatures, and Governing Boards

Touches on Accountability, Efficiency, and Quality through steering

Not affordability, often ignoring financial aid and tuition

Activities in Today’s New Renaissance of Sorts

The State Biggies

2. Infatuation with Innovation as a Goal

Technology to reduce costs:

Cheap courses, Cheap degrees

Technology to increase quality:

Improve student learning (NCAT, MOOCs)

Improve remediation

Innovation for innovation’s sake

Touches on Affordability, Efficiency, and Quality, but not Accountability


The State Biggies

3. Quality,


The State Biggies

3. Quality, if we only know what it was.

Use of technology to enhance quality

Reinventing Remediation

The Completion Agenda

Employment as a metric

Requirements for measuring student learning

Also touches on accountability, primarily through innovation and steering


The State Biggies

4. Data and its uses -- SURDS

Now a Federal Mandate (Public, not Private)

Like Feds, for Consumer Information & Accountability

But also for Improvement (predictive analytics)

Tied to the quality agenda

Touches on Accountability and Quality, primarily through regulation and steering.


The State Biggies

5. Financial Aid Reform @ State Level

A renewed focus on need-based financial aid

Interest in blending need and performance (now not in the past)

Partnership with federal efforts

Partnership with non-public sectors, some times

Touches on Affordability, Efficiency, and Quality, primarily through innovation and steering.


The State Biggies6. Something for Nothing Foolishness

The antithesis of the rational financial aid/financing reform

Examples:

The $10,000 degree

Free Community College

Pay It Forward

Thought of as Progressive; actually Regressive

Touch on Affordability, but counter to Efficiency

Considered innovative and steering


The State Biggies

7. Free the Beast –Let the Market Work

Autonomy in exchange for Accountability

Decentralization of Authority

Promise, but don’t deliver

Different perspectives on the compact

Couldn’t live with consequences

Touches on Efficiency and Accountability through innovation and deregulation


The State Biggies

8. The quest for new revenue

Endowment as the answer

Full pay students from elsewhere

Other states

Other countries

Full pay students from home state

Touches on efficiency and thought of as innovation

The Biggist Biggy for you folks


The State Biggies

9. Reliance on Non-public providers to help serve the public good

Independent Sector: more and more seen as a partner

For profit Sector: Substantial ambivalence (great fodder for ambitious Attn Generals)

Touches on Efficiency primarily via steering and regulation (SARA)


The State Biggies

10.Interstate Collaboration

The Four Regional Compacts

State Authorization Reciprocity

Multi-state Data Exchange

Interstate Student Exchange – Transfer Passport

Touches on Efficiency, Affordability, Quality, and Accountability through Innovation, Steering and Regulation

State Activities in Today’s New Renaissance of Sorts

What’s Here And What’s Not

It’s All Here

Just not consistently so – 50 approaches

Need to focus on

A Change Agenda

Based on Evidence, Not Hunches

Focused on the Public Agenda

Charting New Direction for the New Millennium

The Era of Frugal Essentialism

Creating more access and success

With very little more in resources

Cheap isn’t the answer

But less expensive/more productive is

And the policy agenda is, indeed focused in the right direction

THANKS!

Higher Education Policy - Amazon Web Services · 2015-09-16 · Figure 3 Public FTE Enrollment and...

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