Still Waiting for Higher Ed Reform in Virginia

UVa tuition -- up "only" one percent more than the rate of inflation this fall.

by James A. Bacon

Governor Bob McDonnell has let the presidents and boards of Virginia’s public colleges and universities know that he’s not happy with the rising cost of tuition. The just-passed 2012-2014 budget will provide more than $230 million in new funding for the higher ed system. Alluding to mandatory tuition price caps enacted by the General Assembly in past years, he would like universities to voluntarily limit in-state tuition hikes to the annual increase in the Consumer Price Index (CPI).

How’s that working out? Well, according to the governor’s own press release, not very well so far. While the CPI was 2.7% over the past year, the University of Virginia, the state’s flagship institution, will jack up tuition by 3.7% this fall. Some may console themselves that it’s the lowest increase since 2001-2002 — and an improvement from the 9.7% statewide increase for state institutions overall this year — but I’m not impressed.

Private businesses have weathered the recession by focusing relentlessly on bolstering efficiency and controlling costs. But productivity gains have been noticeably lacking from higher ed.

As the governor suggests, colleges and universities could do a better job of controlling costs. “We recognize that your institutions have not fully recovered from the reductions which began in 2007, but together we must continue to find internal operating efficiencies and implement best practices to educate more students in a more cost effective manner,” he wrote in a letter to college officials.

That’s all very nice. But what sanctions do Virginia institutions face if they refuse to abide by the voluntary guideline? There are none, other than a veiled threat to cap tuition hikes in the future.

During the Kaine administration the state granted UVa, William & Mary and others considerable freedom from state oversight and regulation with the expectation that they would operate more efficiently. How has that worked out? Has anyone followed up to find out?

In December 2011, McDonnell’s Higher Education Commission proposed a variety of “next steps,” such as expansion of online offerings, innovative course redesign, virtual departments, electronic textbooks, and alternate degree paths. What happened to those ideas? Were any of them translated into legislation in the 2012 legislative session? Or will the ideas die on the vine until the next governor appoints the next commission, which will resuscitate the same ideas that go nowhere?