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    The national tone of public criticism of higher education has sharpened recently. Many in both the public and private sectors are questioning the cost of higher education, and others are questioning its value. We are being exposed through all forms of media to predominantly negative stories about higher education. As one whose life was transformed by my collegiate experience, and now as a college president, I am a bold and proud apologist for higher education, its value and its necessity to the future of our country and the global economy. With deference to a 2017 report from the Association of Governing Boards entitled “The Business of Higher Education,” I share some facts about the economic benefits of higher education. A generation ago, a high school graduate earned 77 percent of what a college graduate earned. Today, for millennials, high school graduates will earn 66 percent of their college graduate neighbors. Over a lifetime, that is well over $1 million in additional earning for the college graduate, making the financial value proposition a good one. However, beyond earning potential, the recent study cited other equally important benefits for college graduates: “Higher education…efficiently creates human capital that improves communities and contributes to the economic well-being of the nation over the course of graduates’ entire lives. College graduates enjoy better health, longer lives, and greater degrees of individual and professional satisfaction. … They also use the skills learned in college to foster democracy and human rights, as well as to accelerate technological advancement.” We have witnessed recent debate within the West Virginia state legislature, as well as in many other state legislatures, concerning appropriations for public higher education. I am a supporter of both a robust public and private higher education sector, and recognize through empirical research, that investing public funds in all types of education is prudent and wise. I offer food for thought concerning the value
    vor 6 Jahren von @prophe
     
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      Over the years I have seen many retirement plans ruined, simply because substantial amounts of investment dollars, originally allocated for retirement, were used to pay for college education. This selfless act of support can create a long-term problem for the retiree. However, it is not the act of paying for the education that is at issue but rather how and when you choose to pay is what needs to be explored. First, let's take a look at general college costs; according to collegedata.com the average cost of tuition and fees for the 2016–2017 school year was $9,650 for state residents at public colleges, $24,930 for out-of-state residents attending public universities and for those in private colleges the average was a whopping $33,480 a year. Add to that room and board, books and supplies, ancillary living expenses and possible travel costs needed for either the student or family members throughout a school year, and you have a hefty draw down of savings. –– ADVERTISEMENT –– Read: How to get into an Ivy League school — by someone who got into 6 of them For many, that lump sum draw down, each year over four years — potentially four plus years — will create significant, irreplaceable, long-term loss of reserves needed to support your future, ongoing monthly retirement income. To avoid diminishing your retirement savings or general investment accounts, be creative; explore the various options that may be available to pay for college. With that said, here are a few suggestions intended to help support higher education needs and at the same time designed to help keep your retirement savings intact: • Plan to have your child apply for scholarships. Discuss with your child, early on, what is required to be granted a scholarship. Visit with a school counselor to get information on the qualifying rules and learn what types of scholarships and student aid may be available. Remember; it is cheaper to pay for a summer tutor to help your child strengthen a subject they are weak in, than it is to forfeit a
      vor 6 Jahren von @prophe
       
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        A recent development in New York State, called the Excelsior Scholarship, will make state schools free to attend for residents of the state. This is completely unfair for many reasons, as any college that is funded by the state of New York will now have free education for most people living in the state. This, of course, does come with some restrictions, the first being that the amount of money that your family brings in every year must be under $100,000 (this is expected to go up to $125,000 in three years) to qualify for free education. The median household income in New York State is just under $61,000 in 2016. This would mean that most people living in the state will qualify for this “Excelsior Scholarship.” Family income is not the only requirement to receive free tuition to a SUNY school—there are numerous others. There is a responsibility to cover all costs outside of tuition, including room and board and meal plans. The only part that gets paid for under this scholarship is the tuition to attend the school. To receive this scholarship, the student must attend the school as a full-time student and average 30 credits a year. In addition to that, the student must maintain a certain GPA that the state deems to be “successful” to keep the scholarship. The student is also not allowed to be an employee of the state during the period they are attending college and receiving the Excelsior Scholarship. After graduation, any student who received the Excelsior Scholarship must remain in the state for the same number of years that they attended the college. This means that if one goes for a four-year degree and receives this scholarship, one must plan on his/her first job being in state for at least four years. If the student leaves the state, he/she are required to pay the tuition he/she had received for free. I know that because of the free tuition, going to a SUNY school is pretty alluring. A lot of people I have spoken to are already considering switching over to a SUNY school from their private institution, b
        vor 6 Jahren von @prophe
         
          Apr2017USAEnglishFree_tuitioncost
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          Separate studies into how the Pennsylvania State System of Higher Education (PASSHE) operates and what cost-savings can be found amid dropping enrollments could have significant implications for our own Lock Haven University. The PASSHE board has hired the nonprofit National Center for Higher Education Management Systems (NCHEMS) of Boulder, Colo., for a maximum cost of $400,000, to assess the system and its 14 state-run universities, including Lock Haven. The state Senate this week ordered a similar study that tasks the Legislative Budget and Finance Committee to finalize a review by Dec. 1. Combined enrollment at the 14 schools — Lock Haven, Bloomsburg, California, Cheyney, Clarion, East Stroudsburg, Edinboro, Indiana, Kutztown, Mansfield, Millersville, Shippensburg, Slippery Rock and West Chester universities — has dropped by 12 percent to nearly 105,000 since peaking in 2010. As a result, some things have to give. The already deficit-ridden state government cannot afford to give the state system the additional $61 million it is requesting to maintain programs and facilities. At the same time, PASSHE says it’s operating on state funding levels that mirror 1999. Whether two studies are needed is another question, though state Sen. Dave Argall, R-Schuylkill County, who sponsored the resolution calling for the Senate study, said he considers it necessary to do an outside study of the system because “there are always some concerns when a system studies itself as to how independent, no matter how hard they try, their study may be.” In its nearly 50 years of studying higher education, the nonprofit NCHEMS has recommended public universities closing or merging in other states due to falling enrollment, rising costs, reduced state funding and duplication of services and degree programs, the nonprofit’s vice president Patrick Kelly told The (Allentown) Morning Call newspaper (www.mcall.com) this week. But politics, he said, often trumps recommendations and schools stay open. “The reality is the mergers, conso
          vor 6 Jahren von @prophe
           
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            The state has 11 of the schools, and a hearing is scheduled for Monday on a bill requiring annual reviews of them by the State Board of Education. AUGUSTA — A new report finds students at for-profit colleges in Maine carry much heavier debt loads than those at public and private nonprofit colleges in the state. The non-partisan Center for Responsible Lending says the debt burden falls on low-income, female and minority students who disproportionately enroll at Maine for-profit schools. About 75 percent of students at such institutions take on student loans, compared with 66 percent and 41 percent, respectively, at private and public institutions. Meanwhile, 76 percent of students are women and 8 percent are African-American. The report found 60 percent of students received federal Pell Grants, which are awarded to those with low incomes. “One of the things we see consistently across the board: Students who attend for-profit colleges are burdened more by debt,” said Whitney Barkley-Denney, legislative policy counsel for the nonprofit organization. Maine’s student borrowing figures closely track national data. In the 2011-2012 school year, 73 percent of students at for-profit colleges took out loans, according to the Brookings Institution. Career Education Colleges and Universities, the for-profit higher education sector’s primary trade association, didn’t respond to requests for comment. Several for-profit schools have been the subject of state and federal investigations in recent years and faced lawsuits alleging deception in advertising and recruiting tactics. The industry has declined since rising from 650,000 students in 2000 to 2.5 million students in 2010, and several have closed down, leaving students with debt. In January, federal officials said hundreds of programs at for-profit colleges are at risk of losing federal funding unless their graduates start earning better wages. However, Education Secretary Betsy DeVos has said she would take another look at the so-called “gainful employment” federal r
            vor 6 Jahren von @prophe
             
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              It was big news when outstanding student loan debt surpassed credit card debt and then later exceeded $1 trillion for the first time. That shocking statistic keeps climbing, with no sign of slowing down: Americans now have more than $1.4 trillion in unpaid education debt, according to the Federal Reserve. Meanwhile, college-bound kids and their families try to avoid going into debt by heeding advice like "save more," "apply for scholarships" or "go to a cheaper school." Of course, none of those address the major issue of rising costs that have far outpaced wage growth. It's smart to avoid student loan debt if you can, because those loans affect your credit and your financial future. (You can see how much by checking your free credit scores on Credit.com.) However, strategically choosing a school isn't quite as straightforward as comparing tuition and fees. One thing you can do is check out an institution's net price calculator, which should be on its website, to see how much a student like you would pay after grants and scholarships. Another thing you can do is look at how much student loan debt recent grads ended up with. (You can read more about options for repaying your student loans here.) Where Is Student Loan Debt the Lowest? The response to that question is a little trickier to figure out, but organizations like The Institute for College Access & Success (TICAS) have compiled such data to help. According to their Project on Student Debt, 68% of 2015 bachelor's degree recipients graduated with student loan debt. The average was $30,100 per borrower. TICAS put together their project based on student loan debt figures from the "Common Data Set," a survey of colleges used by college-guide publishers. The colleges voluntarily self report their data, which presents problems. "Colleges that accurately calculate and report each year's debt figures rightfully complain that other colleges may have students with higher average debt but fail to update their figures, under-report actual debt levels, or never re
              vor 6 Jahren von @prophe
               
                Apr2017USAstudent_debtStudent_loanEnglishstatistics
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                Pack your bags, Mules. Colby College is promising that, beginning in the fall, every student will be able to study abroad, regardless of income, under a new program made possible by a $25 million gift from a wealthy alumnus. Colby, home to 1,800 students in Waterville, Maine, says it is the first liberal arts college in the country to eliminate the financial barriers to international travel, to ensure that every student gains experience overseas during their undergraduate years. The program, announced Wednesday, will allow students at Colby — whose mascot is the Mule — to travel for work, study-abroad programs, internships, or research. David A. Greene, the private school’s president, said the goal is to make international education accessible to students whose parents may not have connections to internships in foreign corporations or be able to afford an airline ticket and a Eurail pass for a summer of sightseeing in European capitals. The program, which is being funded by Andrew Davis, an investor who graduated from Colby in 1985, will pay for airfare, housing, meals, and stipends to allow students to take unpaid internships, a luxury often available only to higher-income families. “What we’re trying to do is make sure these experiences are universal when students come to Colby, no matter your ability to pay or your own personal network,” Greene said. Currently, 70 percent of Colby students study abroad. Still, the fact that the benefit is being offered to students at an elite New England college like Colby underscores how study-abroad experiences are still out of reach for most college students. Nationally, only 10 percent of American undergraduates, including community college students, study overseas by the time they graduate, according to the Institute of International Education. Mark Farmer, director of higher education and public policy at the Association of International Educators, said it was encouraging to see a private donor at Colby support study-abroad efforts at a time when
                vor 6 Jahren von @prophe
                 
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                  If you are thinking about attending college and are tempted to take advantage of New York State’s new “free tuition” program, you may want to pay very close attention to the facts. First, students who opt for the state plan will be subject to a number of burdensome restrictions. They will be required to maintain 30 credit hours a year, earn a grade point average sufficient for on-time graduation, and agree to live and work in New York upon graduation for as many as four years. Failure to maintain 30 credits will make the student ineligible for future payments, and failure to reside in the state will convert the grant into a loan (and the terms of such loans have not been determined yet). By Gary A. Olson If you are thinking about attending college and are tempted to take advantage of New York State’s new “free tuition” program, you may want to pay very close attention to the facts. First, students who opt for the state plan will be subject to a number of burdensome restrictions. They will be required to maintain 30 credit hours a year, earn a grade point average sufficient for on-time graduation, and agree to live and work in New York upon graduation for as many as four years. Failure to maintain 30 credits will make the student ineligible for future payments, and failure to reside in the state will convert the grant into a loan (and the terms of such loans have not been determined yet). Advertisement What’s more, the state has made no guarantee that every eligible student will in fact receive this benefit. The state has allocated funding for only about 3 percent of the eligible population of college students. This means that most eligible students will not receive the benefit. And, of course, state college fees and room and board expenses are notoriously expensive and are not covered by the new grant. An old adage sums it up concisely: If something sounds too good to be true, it probably is. Or perhaps I was thinking of another familiar saying, “There’s no such thing as a free lunch.” In
                  vor 6 Jahren von @prophe
                   
                    Free_tuitionrethinkUSAEnglishApr2017
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                    Americans are often expected to have some level of higher education before they enter the workforce. These political leaders are asking: Shouldn’t government help them along? CHICAGO—A surge of innovation in states and cities is building momentum for what could become a seismic shift in American education. Just as the country came to expect in the decades around World War II that young people would finish at least 12 years of school, more local governments are now working to ensure that students complete at least 14 years. With that change, political leaders in both parties are increasingly acknowledging that if society routinely expects students to obtain at least two years of schooling past high school, government has a responsibility to provide it for them cost-free. That impulse animates the statewide tuition-free community-college program pioneered under Republican Governor Bill Haslam in Tennessee and replicated under Democratic Governor Kate Brown in Oregon; Chicago Mayor Rahm Emanuel’s Star Scholarship, which funds two years of community college for students who complete high school with a B average; and the legislation Governor Andrew Cuomo recently signed into law providing tuition-free access to two- and four-year public colleges in New York for families earning up to $125,000. The Campaign for Free College Tuition, an organization promoting this movement, expects representatives from up to 18 states to join their conference next month in Denver. Ben Cannon, executive director of the Oregon Higher Education Coordinating Commission, speaks for many devising these initiatives when he insists: “As a state, we generally acknowledge and understand that a high-school education is not enough, and [tuition-free community college] represents an attempt to extend that [public-education] entitlement to 14 years.”
                    vor 6 Jahren von @prophe
                     
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                      Lynn University will hold the ground breaking for its $35 million student center on Thursday, April 20. The 65,000-square-foot project will be the largest ever undertaken by the non-profit university in Boca Raton. The ceremony will start at 11 a.m. at 3601 N. Military Trail. The event is by invitation only. Lynn University received a $15 million challenge grant for the project from Christine E. Lynn, who owns a local insurance business. It has named the student center after her.
                      vor 6 Jahren von @prophe
                       
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                        Private colleges across New York state are calculating their next steps in light of the state’s new Excelsior Scholarship program, which will provide free tuition for low- and middle-income families at public colleges but private college leaders warn could have devastating effects on their institutions. “The fundamental landscape of higher education in New York state just changed,” said St. Bonaventure University interim President Dr. Andrew Roth. “We’ll have to think about how exactly we respond to do that.” The plan has been a talking point for leaders of the state’s 150 private colleges since Gov. Andrew Cuomo announced it in January, and is now a reality after its passage with the state budget earlier this month. Private college presidents, including those of local institutions, say the program could hurt their enrollment by attracting more students to public schools with the promise of free tuition. They say weakening of private colleges, often the focal point of small towns throughout the state, could have economic consequences. Free tuition even has some schools re-examining private colleges’ long-standing high-tuition, high-aid model — the practice of charging a high list price while also providing a large discount through financial aid. “Certainly the idea of free tuition is such a powerful sound bite,” said Houghton College President Dr. Shirley Mullen. “I think it does pose a threat, at least in the short run, for the well being of these institutions.” Privates preferred TAP increase The Excelsior Scholarship program will make SUNY and CUNY schools tuition-free this fall for students whose families earn less than $100,000. That number will rise to $125,000 in 2019. However, there are several requirements, including that students remain full-time with at least 30 credits a year and maintain a minimum grade point average. Students will also have to live and work in New York for as many years as they received free tuition, or the scholarship becomes a loan. “I have to commend the gover
                        vor 6 Jahren von @prophe
                         
                          Free_tuitionprivateUSAEnglishApr2017
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                          States could save money and increase college-graduation rates by providing modest financial incentives for students to choose private colleges over comparable public ones, according to a report released this week. The conclusion, which was quickly disputed by a group representing public colleges, comes at a time when a growing number of states are providing the opposite incentives. This week New York became the first state to offer free tuition at both two- and four-year public colleges for middle-class families. Other states are considering similar moves, prompting widespread concern that enrollments could plunge at some tuition-dependent private colleges that recruit heavily from their states. The report was prepared for the Council of Independent Colleges as part of its efforts to promote the value of the liberal arts and independent colleges. The report was distributed this week to all of the council’s members, to provide talking points when they make the case for financial support from state lawmakers, especially in states where free public-college tuition is on the agenda. It’s hardly surprising that the council, which represents more than 700 nonprofit independent colleges, would promote a report based on the argument that costs per degree are lower and graduation rates higher at private institutions. But the report’s authors, both of whom work at public universities, say it is based on a comprehensive analysis of federal data and state-specific simulations in 24 states. In all but two of those states, the proposed shift would save money, the researchers concluded. The findings were dismissed by Barmak Nassirian, director of federal relations and policy analysis for the American Association of State Colleges and Universities. "I empathize with their plight, and I don’t begrudge them their moment in the sun, if that’s what their report is, but there are lots of problems with it," he said in an interview on Thursday. "They’re trying to make the counterintuitive case that expensive schools are cheaper t
                          vor 6 Jahren von @prophe
                           
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                            New York's private colleges and universities don't know what to expect under the state's free tuition program for students attending public colleges. New York’s freshly signed free public tuition program puts the squeeze on many of the state’s weakest private colleges and universities. Private college presidents know it. But most aren’t yet sure what to do about it. Those presidents reacted with a mix of dismay, confusion, criticism and, in some cases, resolve in the days after New York leaders struck a deal to start a tuition-free public college program this fall. The creation of a program in New York caps a winding and unexpected path for the free-college idea, which New York Governor Andrew Cuomo proposed early this year after it appeared to have died with Hillary Clinton’s presidential bid. Cuomo held a ceremonial bill signing for the program Wednesday, which Clinton attended. The program, called the Excelsior Scholarship, will allow New York residents from families earning up to $125,000 per year to attend the state’s public community colleges and four-year colleges without paying tuition. It will go into effect this fall for students who are newly enrolling at institutions in the State University of New York and City University of New York systems and who come from families with incomes of up to $100,000 per year. The income limit will jump to $110,000 in fall 2018 and $125,000 in 2019. Cuomo’s office estimates that about 940,000 families in the state will be eligible at that point. The program poses a significant challenge for New York’s many small private institutions, which suddenly find themselves facing a new kind of competition and increasing inter-sector warfare in the state. The pressure will be highest on tuition-dependent colleges and universities that already compete for students in part by heavily discounting their tuition and that draw most of their students from inside the state. More prestigious colleges and universities, which pull in more students from out of state and are more selecti
                            vor 6 Jahren von @prophe
                             
                              Apr2017Free_tuitiontuitionprivateNYUSAEnglish
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                              Universities are caught in a privatization trap that they built themselves and that will be difficult to take apart, argues Christopher Newfield. This country’s public universities face the Trump administration in a weakened condition. That is partly because they have suffered years of state funding cuts and still aren’t back to pre-2008 levels. But it’s also because they have long embraced a private-funding model that doesn’t work and whose weaknesses Trump and his people can exploit. A painful example is the proposed 18 percent cut to the National Institutes of Health, which Health and Human Services Secretary Tom Price has contended would not hurt research, as it would mostly focus on cutting back on overhead expenses to universities. An 18 percent budget slash sounds catastrophic -- until you remember that companies take these kinds of hits and survive. So do American families, where illness or job loss lead to cuts far greater than that. The same goes for public universities: few have not had a cut on that scale sometime in the past 25 years, and still fewer have admitted that such losses hurt educational quality. Since universities survived the financial crisis with little damage -- that they have disclosed -- what would keep the citizenry awake at night about an 18 percent cut for medical research? Research directors reply that it would be terrible indeed: National Science Foundation Director France Cordova, for example, has said the proposed cuts endanger the economy, since “half of our present GDP is due to investments in science and technology.” Researchers have noted that the current funding austerity already appears in the form of the declining average success rate for grant applications, which has been cut nearly in half since 2001, from 27 percent to 16 percent. Four in five applications go unfunded, with presumably valuable results to medical knowledge possibly lost. Such arguments might work if voters thought science needed public funding to get to the public. But the unfortunate fact is that
                              vor 6 Jahren von @prophe
                               
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                                Purdue University’s plan to buy for-profit Kaplan University to expand its reach is the latest twist on an old idea: boost enrollment by attracting students online.
                                vor 6 Jahren von @prophe
                                 
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                                  When Le Moyne College President Linda LeMura first learned of Gov. Andrew Cuomo's proposal to provide free tuition at New York's public colleges and universities, she thought it would be an opportunity for the state to strengthen the partnership between public and private schools. In the four months since Cuomo first detailed his plan and a few weeks removed from the 2017-18 state budget's adoption, LeMura doesn't see how the program — named the Excelsior Scholarship — will help the state's higher education institutions. Once fully phased in, the Excelsior Scholarship will be available for students who attend State University of New York colleges and universities and whose families earn no more than $125,000 annually. The program is more complex than just simply distributing free tuition to SUNY students. There are requirements. Before receiving the scholarship, students are required to apply for other federal and state aid. If they are awarded the scholarship, they must maintain an adequate grade point average and enroll in at least 30 credits each academic year. After graduating from a state institution, students who receive the scholarship must live and work in New York for a period equal to the duration of the scholarship. For example, if a student receives the scholarship for every year of their undergraduate studies, they must stay in the state for four years after commencement. Students who break this obligation will have their scholarship become a student loan they must pay back. The impact of the program won't be known until after it begins this fall. But LeMura and Wells College President Jonathan Gibralter have concerns about the free tuition benefit. For LeMura, the main issue is how the public and private schools will be pitted against each other. She also thinks the state's approach won't address the real driver of costs: the existing higher education business model. "Someone has to pay for the increasing costs and the business model itself is under immense pressure because the governme
                                  vor 6 Jahren von @prophe
                                   
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                                    vor 6 Jahren von @prophe
                                     
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                                      Purdue University held its first classes on its Indiana campus in 1874 and was ranked as the sixtieth best undergraduate university and twentieth best public university in US News and World Report’s most recent list. The University particularly excels in science and engineering, supplying a substantial number of NASA’s past astronauts, including Neil Armstrong. Kaplan University began offering online courses in 2003 as part of The Washington Post Company’s growing education division. Kaplan was started as a test prep company in 1938 by Stanley Kaplan. When The Washington Post was making more money than it knew what to do with, it purchased Kaplan in 1984 and grew it to an education empire that included brick and mortar campuses, an online university, international schools, and test preparation materials. By 2010, Kaplan was doing $2.9 billion in revenue, but then the landscape dramatically changed for for-profit education companies as they became accused of aggressive sales techniques and poor educational quality. Donald Graham, the Post Company’s CEO, defended for-profit institutions in his 2010 letter to shareholders, by arguing that its student population was more likely to face challenges because Kaplan was providing access to at-risk student populations, but that adjusting for these risk factors, for-profit schools were often better than their non-profit counterparts. Whether or not he was right, it became clear as time passed that he had lost the war. After the Graham sold the namesake newspaper to Amazon founder Jeff Bezos, the name of the company owning Kaplan changed to The Graham Holdings Company. The deal allows Purdue to create a separate, online university with little investment in technology and infrastructure. The University will pay Graham Holdings $1 initially, but up to 12.5% of the university’s revenues. The deal also involves 32,000 students compared to the 40,000 currently enrolled at Purdue. After the deal closes, only The University of Maryland would have more online students among publi
                                      vor 6 Jahren von @prophe
                                       
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                                        A private Catholic university in Kansas is planning to offer a support group for its LGBTQ students, using a model implemented at Notre Dame. WICHITA, Kan. (AP) — Newman University, a private Catholic school in Wichita, plans to offer a group next year to support its LGBTQ students while continuing to emphasize Catholic teaching that condones sex only in marriage between a man and a woman. In response to growing interest among students to recognize the school's diversity, the university formed a committee to plan the LGBTQ group. The committee met over the summer and fall of 2016 and used a model used at Notre Dame, The Wichita Eagle reported (http://bit.ly/2oR44Ux ). The group's formation was spurred in part by a speech by Ruben Lerma at a public forum, where he discussed being gay on the Newman campus. He said he attended Newman because it offered him a full scholarship, even though he was concerned about being "that gay student." Lerma recounted overhearing Newman students saying gay people should go to hell and legalizing gay marriage would make gays want to marry animals. "I'm not the only gay person here, I'm not going to be the only gay person here, there will be more," Lerma remembers saying. "If for their sake, if not mine, you should make it more amiable, make the environment better." Lerma's speech came as interest in recognizing diversity was growing. The university has restarted the Black Student Union, added a club to support Asian students and hired a diversity coordinator last year. Newman's mission has always included concern for the dignity of all students, said spokesman Clark Shafer, but the events in 2016 raised awareness of the need to make LGBTQ students feel more welcome. Before making the "Pastoral Plan" public, Newman contacted important alumnus and donor, who approved how the group upheld the school's Catholic values, Shafer said. "The University exhorts all to hear and live the Church's teaching that 'the deliberate use of the sexual faculty, for whatever reason, outside of mar
                                        vor 6 Jahren von @prophe
                                         
                                          Apr2017USAEnglishKansas
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                                          How do you turn a for-profit college into a not-for-profit? Partner with a public university—and pay $50 million for the privilege. That’s basically what happened on Thursday, in a financial deal between the for-profit Kaplan higher-education chain and Purdue University, the flagship Indiana college run by Mitch Daniels, the state’s former governor. The arrangement may help Kaplan parent Graham Holdings Inc. shed the for-profit education sector’s tarnished reputation. Purdue—paying Graham only a symbolic $1—immediately enters the ranks of public universities expanding their reach with online degrees targeting older Americans—many of them minorities—who are unable to attend traditional schools. “We thought it would be a bad idea for us to build this on our own,” said Daniels, Purdue’s president. “We’ve seen a lot of schools throw a lot of money at online education without much result.” Under the contract, Graham will transfer Kaplan University’s online programs, as well as its 15 campuses and learning centers—with 32,000 students—to the Purdue-related non-for-profit. Kaplan will then operate them and guarantee that Purdue’s venture, for five years, receive at least $10 million a year from its revenues after expenses. After that payment, Kaplan is entitled to reimbursement for its own cost of providing services, plus a fee equal to 12.5 percent of the Purdue affiliate’s revenues. Kaplan Higher Education reported $617 in revenue last year and almost $67 million in operating income. Kaplan was once the crown jewel of Washington Post Co., as its fast-growing colleges helped support its financially struggling newspaper. In 2013, the company sold the Post to Amazon.com Inc. founder Jeff Bezos and then changed the name of the company to Graham Holdings, after the Washington family that had long controlled the paper. Donald Graham, then the Post Co. chief executive officer, is still the Graham Holdings chairman. For-profit colleges including Kaplan have seen their fortunes dim amid scrutiny from Congress and state
                                          vor 6 Jahren von @prophe
                                           
                                            Kaplanfor-profitpublic-privatepublic-private_partnershipApr2017EnglishUSA
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