The College Solution

25 Ways for Colleges to Cut Costs

December 28, 2010 RSS Feed Print
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American colleges and universities are continually getting slammed for costing too much, but there are precious few people suggesting concrete ways to shrink these costs.

The Center for College Affordability and Productivity, however, has produced a white paper that lays out "25 Ways to Reduce the Cost of College."

There are some excellent suggestions on the center's list. What do you think of these cost-cutting ideas?

1. Encourage more students to enroll at community colleges. Two-year colleges cost far less than four-year schools.

[Read four things you should know about community college.]

2. Promote dual degree programs, which allow high school students to take college courses. These programs include Advanced Placement classes, International Baccalaureate programs, and community college courses.

3. Reform tenure. Tenure is costly and is a crutch for the professors who are least valued.

4. Offer three-year bachelor's degrees, which are common in Europe.

5. Outsource services such as health centers, building maintenance, and recreation centers.

6. Reduce administrative staff. Some schools have more administrative staff than faculty. Bloated administrative staffs are expensive and contribute to stodgy decision making.

7. Cut unnecessary programs.

8. End the athletic arms race. Fewer than 20 collegiate athletic programs in this country make money, while many schools lose $10 million or more in their sports operations.

9. Overhaul the federal financial aid form. The Free Application for Federal Student Aid (FAFSA), which asks more than 100 questions, needs further reform.

[Watch videos on how to fill out the FAFSA.]

10. Eliminate excessive academic research. One example: Academics have written more than 26,000 articles on Shakespeare since 1980. Teaching costs rise when professors spend an inordinate time on marginal research.

11. Streamline programs. States can no longer afford empire building, particularly at the graduate level. Tennessee, for instance, maintained 24 doctoral programs in 2009 with fewer than three graduates.

12. Promote collaborative purchasing. Colleges should band together to increase their bargaining power with suppliers.

13. Make better use of facilities. Schools should explore renting facilities—maybe even to departments—and utilizing space during off hours.

14. Increase teaching loads. Between 1988 and 2004, faculty-teaching loads at research universities dropped 42 percent.

15. Encourage timely completion of degrees. Most students don't graduate in four years, and the dropout rate is a national scandal.

16. Move more classes online. The most logical classes for online instruction are large introductory courses.

[See how online education offers access and affordability.]

17. Reduce textbook costs. Book rentals and electronic versions of books can help.

18. Downsize academic libraries. Do we really need to warehouse books in massive libraries when they can be digitized?

19. Outsource E-mail services. Technology companies like Google and Microsoft can undercut the costs of in-house campus E-mail.

20. Use new teaching methods. Increase online instruction and incorporate more technology into traditional classrooms.

21. Make transferring credits easier. Seamless transfers between colleges can make schools more competitive and reduce dropout rates.

22. Reform student aid. The student aid system is confusing, inefficient, and frequently doesn't direct aid to those who need it most.

[Get advice on how to pay for college.]

23. Reform accreditation. Accreditation of schools may need to be replaced by transparency of the quality—or lack of quality—at individual institutions.

24. Subsidize students not schools. Rather than state and federal governments subsidizing universities, give the subsidy to students in the form of vouchers. This would make schools more cost conscience and prod institutions into becoming student centered.

25. Promote competition based on value not reputation. Colleges have an incentive to spend more because reputation is a factor in college rankings. Making student outcomes known could reduce the overdependence on rankings and also put a brake on costs.

Tags:
students,
community colleges,
colleges,
financial aid,
academics

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#4- Did they mention that though BS degrees in Europe take three years, their K-12 system is far superior so that college isn't a whole lot of work.

#10 and 14- At reesearch schools, you get tenured and promoted based on research (and grants), not teaching. Until that fundamental structure of that reward system is changed, nothing else will. Get ready for another 26k papers on Shakespeare!

B of NY 12:37AM January 18, 2011

Great article, Lynn. With college costs as they are, it is truly an overwhelming issue for parents to consider. As a college consultant, I will be curious to see which schools might step up and make the first move. There is no room for inefficiency anymore.

Susie Watts of CO 7:55PM January 05, 2011

These suggestions that you propose are great ones. As a university employee, I can tell you that some suggestions may not be nice; but the truth is, universities are very inefficient in their operation. Perhaps one day, they will have someone to answer to about this. For most business, they hold themselves accountable to the consumer. But colleges and universities are a different beast entirely.

Rishona Campbell of PA 3:51PM January 04, 2011

The College Solution

Lynn O'Shaughnessy is a higher-ed journalist, speaker and consultant, who is focused on helping families with teenagers find the right colleges at the right price. Lynn is the author of The College Solution, an Amazon bestseller, and a new eBook, Shrinking the Cost of College: 152 Ways to Cut the Price of a Bachelor's Degree. In addition to her U.S. News college blog, Lynn also shares her knowledge about college strategies at her own blog, TheCollegeSolutionBlog, as well as one at CBSMoneyWatch. Got a question? E-mail her at collegesolution@usnews.com or follow her on Twitter.

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