Commentary and Supplemental Reading Materials for Peter Lake’s Breakout Session: President Obama’s Affordability and Quality (A & Q) Initiative for Higher Education – Reformation or Retrograde? October 14, 2014* The University of Vermont’s Legal Issues in Higher Education Conference I. The Backdrop Those working in higher education should not be surprised by President Obama’s intense A & Q initiative in 2012-2013 to assure students are obtaining quality, cost-effective degrees. For some time now individuals, entities and organizations have been pushing for change. Bologna Process in Europe: The goals for this initiative (set over a period of time through several meetings) are: Introduced in the 1999 Bologna Declaration: 1. Adoption of a system of easily readable and comparable degrees; 2. Adoption of a system essentially based on two cycles; 3. Establishment of a system of credits; 4. Promotion of mobility; 5. Promotion of European cooperation in quality assurance; 6. Promotion of the European dimension in higher education; Introduced in the 2001 Prague Communiqué: 7. Lifelong learning; 8. The partnership of higher education institutions and students; 9. Promoting the attractiveness of the European Higher Education Area (EHEA); and Introduced in the 2003 Berlin Communiqué: 10. Doctoral studies and the synergy between the EHEA and the European Research Area (ERA).* *Laurel S. Terry, The Bologna Process and Its Impact in Europe: It’s So Much More than Degree Changes, 41 Vand. J. of Transnat’l L. 107, 115-16 (2008). David Gordon Smith, The World from Berlin: German Universities 'Share Blame' for Problems, Spiegel Online International (Aug. 15, 2012), http://www.spiegel.de/international/germany/press-review-on-bologna-process-educationreforms-a-850185.html. Austrian Federal Ministry of Science and Research, Towards the European Higher Education Area: Bologna Process, http://www.ond.vlaanderen.be/hogeronderwijs/bologna/documents/Bologna_leaflet_web.pdf (last visited Sept. 3, 2013). 1 The Lumina Foundation: Perhaps no entity has done more to adapt the Bologna Process concept to the United States higher education system. This Foundation is the spin-off of two (former) student lending corporations: USA Group and Sallie Mae. The Lumina Foundation, http://www.luminafoundation.org/ (last visited Sept. 3, 2013). The Lumina Foundation, The Degree Qualifications Profile, http://www.luminafoundation.org/publications/The_Degree_Qualifications_Profile.pdf (last visited Sept. 3, 2013). Holiday Hart McKiernan and Timothy Birtwistle, Making the Implicit Explicit: Demonstrating the Value Added of Higher Education by a Qualifications Framework, 36 J.C. & U.L 511 (2010). The Gates Foundation: Another major player in the push for competency-based higher education degrees. Has made nearly $500 million in donations to higher education (even media outlets reporting on higher education, like the Chronicle, etc.). Marc Parry, Kelly Field, and Beckie Supiano, The Gates Effect, Chron. of Higher Ed. (July 14, 2013), available at http://chronicle.com/article/The-Gates-Effect/140323/. New America Foundation and Education Sector, Cracking the Credit Hour (September 2012),http://higheredwatch.newamerica.net/sites/newamerica.net/files/policydocs/Cra cking_the_Credit_Hour_Sept5_0.pdf. [Report funded by the Gates and Lumina Foundations] The Economy, Rising Student Debt, Increasing Costs of Higher Education: Studies show people entering the work force after college are putting off major life events – getting married, buying a first home, and having children – due to student loan debt burdens. Many millennials are opting to move back in with parents, accept unpaid internships to gain experience when jobs are not available, and even may be accepting jobs at non-profits at a lower salary to participate in loan forgiveness. President Obama is concerned with the rising costs of a college education and the amount of debt students take on to get their degrees. The President, along with many others, are concerned that there is an ever-growing divide between wealthy and middle to low income students. Class is a determinant for success (and even financial assistance). Allie Bidwell, Rising Student-Loan Debt Hinders Spending and Hurts the Economy, Report Says, Chron. of Higher Ed. (May 9, 2013), available at: http://chronicle.com/article/Rising-Student-Loan-Debt-Hurts/139141/. Hadley Malcolm, Millennials' Ball-and-Chain: Student Loan Debt, USA Today (July 1, 2013), available at: http://www.usatoday.com/story/money/personalfinance/2013/06/30/student-loandebt-economic-effects/2388189/. 2 Robert B. Archibald and David H. Feldman, The Anatomy of College Tuition, American Council on Education, http://www.acenet.edu/news-room/Documents/Anatomy-ofCollege-Tuition.pdf (last visited Sept. 3, 2013). Kelly Holland, Class System? When It Comes to School Aid, Rich Have the Edge, CNBC (July 31, 2013), http://www.today.com/money/class-system-when-it-comes-school-aid-richhave-edge-6C10798468#. Anthony P. Carnevale and Jeff Strohl, How Increasing College Access is Increasing Inequality, and What to Do About It, in The Century Foundation’s Rewarding Strivers: Helping Low-Income Students Succeed in College, edited by Richard D. Kahlenberg, available at: http://www.tcf.org/assets/downloads/tcf-CarnevaleStrivers.pdf What Is Being Learned: Many are concerned that students in college are spending large amounts of time and money on an education, but are getting little in return. Richard Arum, Academically Adrift: Limited Learning on College Campuses (University of Chicago Press 2011). II. President Obama’s Prior and Current Initiatives and Strategies Since 2009, Obama has slowly been ramping up his higher education initiatives. 2009/2010: Ends bank-based lending and increases student aid. 2011: Initiates $50 million grant competition for higher-education reform at the state level and $125 million for college completion innovations. The Dept. of Education and the Consumer Financial Protection Bureau jointly release a model financial-aid award letter to make comparing offers easier for students and their families (mandates the use of this form letter for Veterans students in 2012). 2012: The president first mentions a “College Scorecard.”* *Chron. of Higher Ed., Tying Federal Aid to Access and Outcomes: a Timeline (Aug. 30, 2013), http://chronicle.com/article/Tying-Federal-Aid-to-Access/141325/. 2013 marked the most significant push for higher education cost and quality reformation in the Obama Administration to date. 2013 State of the Union Address: Formally Introduces the College Scorecard Press Release, Office of the Press Secretary, The White House, Remarks by the President in the State of the Union Address (Feb. 12, 2013) http://www.whitehouse.gov/the- pressoffice/2013/02/12/remarks-president-state-union-address. 3 The White House, College Scorecard, http://www.whitehouse.gov/issues/education/highereducation/college-score-card (last visited Sept. 3, 2013). 2013 Dept. of Education: Announces federal aid may be awarded for "competencies," not just credit hours. U.S. Dept. of Education, Dear Colleague Letter (Mar. 19, 2013), available at: http://ifap.ed.gov/dpcletters/GEN1310.html. Paul Fain, Beyond the Credit Hour, Inside Higher Ed (Mar. 19, 2013), available at: http://www.insidehighered.com/news/2013/03/19/feds-give-nudge-competency-based-education. President Obama’s Speeches in July 2013: Knox College and University of Central Missouri Goldie Blumenstyk, In Speech on Economy, Obama Vows to 'Shake Up' Higher Education, Chron. of Higher Ed. (June 24, 2013), available at: http://chronicle.com/article/In-Speechon-Economy-Obama/140525/. Collin Reischman, Obama Praises Missouri Innovation Campus, Touts New Economic Agenda During Visit, Missouri Times (July 24, 2013), http://themissouritimes.com/5648/obama-praises-missouri-innovation-campus-touts-neweconomic-agenda-during-visit/. President Obama’s Speeches in August: Two day bus tour to Univ. at Buffalo, Binghamton University, and Lackawanna College. Introduces 3-Step Approach: 1) Pay Colleges and Students for Performance, 2) Promote Innovation That Cuts Costs and Improves Quality, and 3) Help Students Manage Loan Debt. The White House, Remarks by the President on College Affordability (Aug. 22, 2013), http://www.whitehouse.gov/photos-and-video/video/2013/08/22/president-obama-speakscollege-affordability#transcript. Megan Slack, President Obama Explains His Plan to Combat Rising College Costs, The White House Blog (Aug. 22, 2013, 3:00 PM) http://www.whitehouse.gov/blog/2013/08/22/president-obama-explains-his-plancombat-rising-college-costs. The White House, Here’s the Plan to Make College More Affordable (Aug. 22, 2013), http://www.whitehouse.gov/share/make-college-affordable. III. Reformation or Retrograde? Now that President Obama has released his plan to make higher education more cost-effective, accessible, and focused on competency-based outcomes, who will this ultimately benefit? What will be, if any, the undesirable outcomes? Who will ultimately win and who will ultimately loose? The field has already begun to chime in on this discussion: 4 Kelly Field, Obama Plan to Tie Student Aid to College Ratings Draws Mixed Reviews, Chron. of Higher Ed. (Aug. 22, 2013), available at: http://chronicle.com/article/ObamaProposes-Tying-Federal/141229/. Eric Kelderman, Public Colleges Endorse Obama Plans on Affordability and Accountability, Chron. of Higher Ed. (Aug. 22, 2013), available at: https://chronicle.com/article/Public-Colleges-Endorse-Obama/141231/. Eugene McCormack, Obama's Cost-Saving Plan: 7 Experts Weigh In, Chron. of Higher Ed. (Aug. 22, 2013), available at: http://chronicle.com/article/Obamas-Cost-Saving-Plan7/141233/. Dan Berrett, Goldie Blumenstyk, Sara Lipka, Marc Parry, and Beckie Supiano, 4 Key Ideas in Obama's Plan to Control College Costs Bear Familiar Fingerprints, Chron. of Higher Ed. (Aug. 23, 2013), available at: http://chronicle.com/article/4-Key-Ideas-in-ObamasPlan/141239/. Goldie Blumenstyk, Obama Singles Out For-Profit Colleges and Law Schools for Criticism, Chron. of Higher Ed. (Aug. 23, 2013), available at: https://chronicle.com/article/ObamaSingles-Out-For-Profit/141253/. Sandy Baum and Michael McPherson, Obama's Aid Proposals Could Use a Reality Check, Chron. of Higher Ed. (Aug. 26, 2013), available at: http://chronicle.com/article/ObamasAid-Proposals-Could/141265/. Kelly Field, Obama's Lofty Goals on College Costs Face Long Odds, Chron. of Higher Ed (Aug. 28, 2013), available at: http://chronicle.com/article/Obamas-Lofty-Goals-onCollege/141279/. Katherine Mangan, James Kvaal, Key Player in Obama Proposals, Has Long Pushed for Reforms, Chron. of Higher Ed. (Aug. 28, 2013), available at: http://chronicle.com/article/James-Kvaal-Key-Player-in/141285/. Dan Berrett, First-Year Earnings Depend More on Major Than on College, Study Finds, Chron. of Higher Ed. (Sept. 3, 2013), available at: http://chronicle.com/article/FirstYear-Earnings-Depend/141317/. *This document was created in early September 2013 for submission to the conference staff at the University of Vermont in advance of the 2013 Legal Issues in Higher Education Conference. 5