Des Moines Register 07-31-07 Kaplan, Iowa's third-largest college clicks with older learners At mostly online Kaplan, average age is 34; most juggle work, family By JANE NORMAN REGISTER WASHINGTON BUREAU Cathy Kramer of Muscatine loved her job in marketing, but at 51 she still dreamed of becoming a classroom teacher. "I was gone a lot, and travel was getting a little old," she recalled. "My kids were 13 and 11, and I was missing them growing up. And I always wanted to teach." To get her master's degree in education, she enrolled at the third-largest university in Iowa based on full- and part-time enrollment - and it wasn't the University of Northern Iowa. Now, Kramer is a science instructor at Muscatine High School - and she did most of her class work sitting in front of her home computer in her bunny slippers. Kramer was a member of the first Iowa group of career-changing teacher graduates of Kaplan University, a rapidly growing, for-profit institution where most classes are taught online. Its national headquarters are in a Davenport strip mall, with additional offices and support staff scattered from Chicago to Florida. At Kaplan, there's no football team or dorms or frat parties, but Kaplan is emerging as one of Iowa's largest institutions of higher learning. Kaplan, a Washington Post Co. property planted in the prairie, has quietly mushroomed from an enrollment of about 1,500 five years ago to more than 23,000 students today from across the country. The school's enrollment has soared as online schools have struggled to gain credibility in the world of higher education. Kaplan and similar online institutions don't usually attract the typical 18-year-old high school graduate. Education experts say they are tapping into a market of adult students itching to change their lives and improve their salaries, and willing to pay a minimum of $320 per credit hour to do it. "They value the flexibility," said David Clinefelter, provost of Kaplan University. The average age is 34, and most students hold down full-time jobs and have families at the same time, he said. University's growth tied to online surge Most of Kaplan's students are not Iowans, despite the college's roots tracing back to the founding of a business school in Davenport 70 years ago. Students are recruited by advertisements on the Internet or television. "There was no Kaplan University 10 years ago. It really has been created out of nothing," said Richard Garrett, an analyst of online higher education at Eduventures, a Boston education research firm. Nearly 3.2 million students took at least one online course in fall 2005, up from 2.3 million the previous year, according to a 2006 report by the Babson Survey Research Group. More than 80 percent were undergraduates. Traditional brick-and-mortar universities have some online offerings, but for the most part they struggle to serve adult students well, said David Breneman, dean of the Curry School of Education at the University of Virginia. "It really takes a different mind-set to deal with adult students," said Breneman, who has studied online higher education. "We still expect them to come to us on our terms." The program that Kramer attended was Iowa's first online teacher training program, Kaplan officials say, although it was accompanied by in-classroom observation and teaching. Approved by the Iowa State Board of Education earlier this year, with the intent of dealing with teacher shortages, students are granted an online master of education degree or an Iowa teacher intern certificate. Kaplan officials say they also have launched Iowa's first online nursing education program with their bachelor of science in nursing, which has been approved by the Iowa Board of Nursing. Kaplan: 75 programs, but others are larger Kaplan University began when Kaplan Co. in 2000 acquired the Quest Educational Corp., which in 1998 had acquired the Davenport campus of the American Institute of Commerce, a two-year business school founded in 1937. Its seven-member board of trustees includes four Iowans, said Ronald Blumenthal, senior vice president of administration. There is a 35,000-square-foot headquarters in Davenport, with classrooms where some students take classes and attend labs in person for programs such as health sciences, business and criminal justice. Some 75 programs are available online for students seeking bachelor's and master's degrees. A bachelor's requires 180 hours, which at $320 a credit hour would total $57,600, which Kaplan officials say is a mid-range cost among forprofit colleges. The university is a key profit center for the Washington Post Co. Revenue at the Kaplan education division, which also includes well-known test preparation services and other enterprises, rose 16 percent during the first quarter of this year compared with a year ago. Kaplan's students received $145 million in federal direct student loans and Pell grants in 2005, nearly as much in similar loans and grants as those enrolled at Iowa State University, according to figures compiled by a project that examines federal spending. Kaplan officials say the figure topped $200 million in 2006. More than 80 percent of Kaplan students qualify for Pell grants, which carry a maximum award of $4,310, do not have to be repaid and are aimed at lowincome students. Kaplan is hardly alone in the field of for-profit, online higher education, although Garrett said it is among the five largest. It competes with behemoths such as the University of Phoenix, the nation's largest online university, which enrolls about 200,000 students. Phoenix, however, has had some troubles. It is the target of a lawsuit in which two former admissions recruiters allege that the university improperly obtained federal aid money by paying recruiters on the basis of how many students they enrolled, according to the New York Times. Phoenix also has had to pay a $9.8 million fine levied by the Department of Education, although it's admitting no wrongdoing. Kaplan attracts a few complaints on Web forums devoted to consumer problems, but it also has defenders. The Better Business Bureau reports that Kaplan has a satisfactory record. A spokesman for the Iowa attorney general's office said no unusual pattern of consumer problems has been observed with Kaplan. Kaplan's retention is hard to measure Kaplan officials stress their programs' quality, the responsiveness of professors many of them moonlighting professionals - and the attention paid to curriculum. The university is accredited by the North Central Association of Colleges and Schools, as are larger colleges such as Iowa State University. Curriculum content is standardized, which makes it easier to measure outcomes, said Clinefelter, who moved to Kaplan after serving as president of Graceland University in Lamoni. For a full-time Iowa student, a Kaplan education is more costly than a public institution's. According to the not-for-profit College Board, annual tuition and fees at Kaplan for a full-time student in the fall of 2007 will be $13,680, compared with $6,161 at ISU or $3,060 at Des Moines Area Community College. However, most Kaplan students are not full time and generally take two classes in a 10-week term, said Clinefelter. Forty percent are working toward a two-year associate's degree, 55 percent toward a bachelor's degree and 5 percent on a graduate degree. Retention, a key measure for a university, is hard to gauge because it is usually based on traditional college freshmen. The College Board says that 42 percent of Kaplan's freshmen return for their sophomore year, compared with 83 percent at ISU. The National Center for Education Statistics says 62 percent of Kaplan's full-time students and 31 percent of part-time students returned in 2004-05. "We don't have good data" yet, Clinefelter said, on what percentage ultimately wind up with degrees, because Kaplan has been in existence a relatively short time. The federal government measures degree completion in six-year increments. There's also the question of perception by other educational institutions. While Clinefelter said he has not heard of problems associated with Kaplan students attempting to transfer, Breneman predicted that many traditional universities will continue to fight acceptance of credits from Kaplan or other online schools. "You'd find very few people in traditional higher education who would say they were doing something that was as good as what we think we're doing," he said. Breneman said that he said he personally is positive toward online education, but that he was taken aback when a student recently asked to transfer credits from the University of Phoenix to the University of Virginia. "My gut reaction was no way," said Breneman. "I had to step back and ask myself, what do I really think?" Kramer, the science teacher, earned her bachelor's degree out of high school at Purdue University, and a master's degree at night from St. Ambrose University before enrolling at Kaplan. She said she anticipated a remote experience learning online, but found her professors were welcoming and accessible. "I'm very close with the people I 'went to school' with, and I didn't think I would be at all," she said. "We're all kind of churning through our first year of teaching together, and we all kind of helped each other through that." It has worked out for her life, as well. "I am so happy. Teaching is a hoot," Kramer said. "Teaching teenagers is so much fun. And I get more time with my kids." Online offers a good fit for some Some Kaplan students have tried traditional colleges. Michelle McCoy, 26, attended Iowa State University in Ames for a while, but didn't care for it much, blanching at a 600-student lecture hall. She earned a bachelor's degree from Hamilton College in Des Moines, a traditional for-profit college that is part of Kaplan. As a single working mom, she then opted to work on her master's degree in business at night - totally online and from Kaplan. "It's different," she said. "You definitely have to be a self-starter. ... It was very difficult at first. I felt overwhelmed." Now, though, she said she's learning more than she did in a classroom, in part because an online student can't hide in the back row. "You have to read, and you have to study," McCoy said. Professors communicate one-on-one with students via e-mail, but there are also live weekly seminars with the entire class in a chat room atmosphere. Assignments, tests and research papers fly back and forth through cyberspace. Students log in to discussion forums to hold conversations on specific topics, get graded on their contributions and analyze their peers' comments. "We've had people become really good friends after taking a number of classes together in the same program," although they may never meet in person, said Kaplan University Provost David Clinefelter. University enrollment Iowans might not be too familiar with the mostly online Kaplan University, but the number of full- and part-time students taking courses through the Davenportbased school makes it the third-largest university in Iowa. Here’s how Kaplan compares with Iowa’s traditional schools, based on total enrollment for fall 2006: UNIVERSITY OF IOWA FOUR-YEAR, FULL- AND PART-TIME: 29,979 PART-TIME ONLY: 6,854 IOWA STATE UNIVERSITY FOUR-YEAR, FULL- AND PART-TIME: 25,462 PART-TIME ONLY: 3,279 Reporter Jane Norman can be reached at (202) 906-8137 or jnorman@dmreg.com