When Gov. Rick Perry challenged Texas’s public universities to craft four-year degrees costing no more than $10,000, many said it was impossible, recalls Thomas K. Lindsay, director of the Center for Higher Education at the Texas Public Policy Foundation. Three years later, 12 Texas universities have announced $10,000 bachelor’s degrees and the idea has spread to Florida, Oklahoma and Oregon.
The rapid expansion of $10,000 degree offerings has not satisfied the “It’s impossible” critics. They note that the fledgling programs are limited to a few subject areas, mostly the applied sciences, and argue that the same model cannot work in other fields. Moreover, they point out, a number of the new offerings charge students $10,000 but do not actually reduce their schools’ cost of instruction and materials.
That’s a valid critique, writes Lindsay. The current $10,000 degree programs reduced the price charged to the student but ignored Perry’s suggestion to cut costs by using online learning and competency-based exams.
However, that’s changing.
Three higher-education partners — Texas A&M University-Commerce, South Texas College, and the Texas Higher Education Coordinating Board (THECB) — just launched the “Affordable Baccalaureate Program,” the state’s first public university bachelor’s degree combining online learning and competency-based standards. Developed by community-college and university faculty . . . a new degree in organizational leadership can cost as little as $750 per term and allows students to receive credit for as many competencies and courses as they can master each term.
According to THECB’s website, students arriving “with no prior college credits should be able to complete the degree program in three years at a total cost of $13,000 to $15,000.” Students who enter having already satisfied their general-education requirements can complete the degree in two years, while those entering with “90 credit hours and no credential” can complete the degree “in one year for $4,500 to $6,000.”
Nationwide, college tuition and fees have risen 440 percent over the past 25 years, roughly four times the rate of inflation and nearly twice the rate of health-care cost growth, writes Lindsay. Total student-loan debt has risen to $1.2 trillion. Increasing federal subsidies so students can borrow more to pay higher tuition is fiscally unsustainable. So is increasing state subsidies for higher education.