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The High Cost of Student Failure

The High Cost of Student Failure. Mark Schneider Vice President American Institutes for Research. The New Higher Education Agenda. The nation is shifting from access to a completion agenda:

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The High Cost of Student Failure

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  1. The High Cost of Student Failure Mark Schneider Vice President American Institutes for Research

  2. The New Higher Education Agenda • The nation is shifting from access to a completion agenda: • The Obama Administration has called for the US to retake the lead as the nation with the highest concentration of adults with postsecondary education by 2020. • The Bill and Melinda Gates Foundation and the Lumina Foundation have both called for “doubling the numbers.” (of what is sometimes a work of art)

  3. The New Higher Education Agenda • The National Governor’s Association (a funny thing happened on their way to the agenda…) • Complete College America

  4. Pathways back to leadership in postsecondary We should think of a portfolio of approaches that includes • Career and technical education • Certificates • Apprenticeships • Competency based vs. credit based (e.g., Western Governors University, Valencia Community College in Florida) • Community colleges • Four year colleges (“regionals”) • This is where most of the problems in grad rates and retention lie. • Research universities • Expensive and how many and which departments programs should be supported? • Sector or “control” • Public • Private, not-for-profit • Private, for-profit (e.g. U. of Phoenix; Kaplan) • Technology • “Commodifying” courses • Redefining faculty tasks—breaking the guilds • How much research should the state support?

  5. Constraints • Public higher education is still the leading source of degrees, although for-profits have been expanding rapidly. • States are running out of money • How much do degrees cost? What price is charged? • Who pays?

  6. Student/Institutional Success

  7. Risk Adjustment Graduation Rates are Needed for Comparison Purposes • First-generation • Dependency status • Part-time v. full time • Developmental Education • Low-income

  8. It’s not only about crossing the finish line.Finishing the first lap is critical

  9. Nationwide • 30% of students dropout before starting their second year • 60% or so graduate after 6 years – 40% don’t • This means that most of the loss takes place during year 1. • We don’t know much about how to control these losses • But these losses are expensive to students—and to taxpayers

  10. Losses from High Attrition Between year 1 and year 2 (GRS cohort only)

  11. That’s 33,000 first-year dropouts in the last five years

  12. $169 Million in the last five years

  13. $113 Million in the last five years

  14. $44 Million in state grants to dropouts

  15. States that have spent >$200 million in state allocations plus grants in last five years LA ranks 13th in Nation in losses; but is 25th in Nation in population

  16. States with federal student grant aid losses >$30 million

  17. Other costs to low graduation rates

  18. Fiscal Benefits if all Non-Research Campuses had McNeese State’s Grad Rate Work life benefits of moving from “some college” to “college grad” salary • Graduate salaries: $231 million • Federal taxpayers: $26 million • LA taxpayers: $12 million

  19. It’s not that we can’t afford to address completion and retention issues It’s that we can’t afford NOT to address them What can be done?

  20. The LA Grad Act hits all the right notes • “Culture of Completion” is essential • Student completion must be the first priority • Linking colleges to high schools • Improving preparation is essential • Remediation is too expensive and too unsuccessful • Puts $ on the line for increasing completion and retention

  21. Why Autonomy is Important • The Grad Act promises more leeway to schools in exchange for more accountability • Schools need to experiment with how to increase retention and completion • The “playbook” is pretty much blank and interventions undefined • E.g., what are “college success” or “University 101” courses • Allow campuses to innovate—but track successes and failures • Importance of social networking/learning communities

  22. Data is essential • Linking backward to pre-K-12 systems • Linking forward to labor market outcomes is essential: • Student want college degrees to get good jobs • Taxpayers and students deserve returns on their investment • Develop and exploit the SUR/UI links NOW • Develop links between SUR and licensing and certification data bases • The great is the enemy of the good

  23. An Engaged Board is Essential • Get the data in a usable form • Exploit the kinds of links such as SUR/UI • Remember the audience • Even the most technical reports can be turned into accessible “literature” • Telling a story is essential • Keep your eye on the prize • It’s easy to be lost in the minutia of governance • But you have responsibility for highlighting big themes of governance

  24. Shameless commerce division • Collegeresults.org

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