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Cost Data Required for Intelligent Decision Absent

There has been no public information on the estimated cost of offering bachelor degrees at Harper or at Illinois Community Colleges.  This is in contrast to any other new school or government programs.  The proposed after the fact audit serves absolutely no purpose.  It most likely will not be able to account for overhead and indirect costs many years old, hence it may not even provide accurate bachelor degree startup and operating costs for comparison.  The audit will be complete sometime after the sunshine clause applies, i.e. over one year late to be used in any decision about extension of the program.

Harper's bachelor degrees will not be more affordable based upon price, as Harper states they will be priced equal to state universities.

Harper's bachelor degrees will be less affordable based upon cost. State universities benefit from economies to scale.

Harper's actual costs are higher than state universities.  (30 semester hours per year '06//'07 data)

* $11,963 Harper's actual freshman and sophomore per year cost.
* $6,192 Northern IL U's (NIU) actual freshman and sophomore cost.(1) 
* $21,330 Harper's inferred junior and senior cost based upon Illinois law  limiting community college tuition to one third of cost. (2)                      
* $8,402 NIU's actual junior and senior cost.

Harper's required subsidy (tax or other) is higher than state universities. Subsidy is defined as the difference between per year cost and per year price. 

Actual dollars shown for Harper and NIU.  Inferred dollars (based upon Harper's stated bachelor degree tuition and Illinois law) are also shown for the proposed Harper bachelor degree students. (30 semester hours per year '06//'07 data)

* $8,723, Harper's freshman and sophmomore actual subsidy.
* $1,292, NIU's junior and senior actual subsidy.
* $14,220, Harper's inferred subsidy based upon stated tuition equal to NIU's and Illinois law limiting community college tuition to one third of cost. (2)

The bill allows full use of all existing tax revenue i.e. it can be diverted from prime mission students to bachelor degree students. The provisions of the bill only state that no new taxes shall be used for bachelor degree students.  If the bachelor degree students use any prime mission assets,direct or indirect, prime mission students with little higher education and less earning power will pay extra to subsidize those who already have an associate degree and higher earning power.

The bill does not state where funds for the ongoing public relations and lobbying campaign shall come from.  The prime mission students have been paying the public relations and lobbying expenses related to the proposed bachelor degrees.

Similar Programs Exist

There are numerous offerings to complete a bachelor degree near Harper.

* SIU offers a Fire Science completion degree at College of Lake County U center and at Triton Community College.
* NIU offers bachelor completion degree for medical and public safety personnel in administration within Harper's district at their Hoffman Estates center.     
* Benedictine University offers public safety workers a free (grant funded) Homeland Security Degree.
* Thirty additional bachelor completion opportunities exist near Harper.
* There are also hundreds of on-line bachelor degree completion programs.

Non-completers At Risk

Harper's bachelor degree students will be at risk for their time and tuition.  At most universities, full time employed students are allowed to take a maximum of one half academic load, hence requiring 4 years to complete two years of course work.  If the program ends after 4 years, most students who work full time and start after the first semester or those who miss even one course for any reason will not complete during the 4-year program period.  With a small total enrollment class offerings versus working student schedule conflicts are certain.  Any one who has completed a degree while working full time will attest to this reality.

There are no credit articulation/transfer requirements in the bill.  Credits/classes may have to be repeated to meet the credits earned requirement at any other degree awarding institution.  Most institutions also have requirements that some minimum number of credits be earned at their institution before awarding that institution's degree. 

Alternate Use of Resources

Harper can do more for its prime mission students including the full time employed ones. Harper turns away over one hundred in-district Harper qualified associated degree, ASRN nursing students each year. Harper has no part time ASRN program for its full time working prime mission students.  Harper terminated its associate degree program in plant sciencein mid year to save less than half of what it spent on one lobbyist.  No provisions were made for students in the program.

Harper has building needs for its prime mission and is near the top of the state's funding list for a tax funded, new building.   Bachelor degree students will use prime mission student assets.

The prohibition from offering a bachelor degree program if a 4-year institution offers it on Harper's campus or its extension sites is week.  No matter how many institutions move a program to Harper's campus, Harper is allowed to choose two bachelor degree programs.  All that is required is to show a workforce need.  An equivalent bachelor degree program offered within or adjacent to Harper's district would have to move to Harper's campus to avoid duplication.  That is what happened as NIU moved their BSRN degree completion from Good Shepherd Hospital, within Harper's district to Harper's campus.

Impacts Elsewhere

This bill sets a precedent to change Illinois higher education without a plan. There are downstate Illinois communities that have no access to local bachelor degree completion programs.  Public community colleges within Illinois have not been treated differently; any law applying to only one will most likely soon apply to all.  The type of degree majors being offered at Illinois public colleges have not been limited as long as there is a demand for the desired major. Course offerings will grow as taxpayers can not be treated differently.  Without new funding prime mission tuition will increase.

If funded and allowed by law any Illinois community college could award bachelor degrees.  This is also true with respect to Illinois high schools awarding associate degrees.  This has not been allowed, as it is not cost effective.

Based upon Harper and NIU data, the cost to expand Illinois community colleges to provide local bachelor degrees is higher than the expansion of state university extensions.  Illinois public university extension offerings however are limited by the tax funding they receive.  This bill expands the higher cost alternative.

The bill confuses Harper's institutional reporting requirements between The Illinois Community College board and The Illinois board of Higher education.  It is silent on rules, controls and reporting required by all state universities awarding bachelor degrees.  This bill sets a second precedent, the use of public funds by a unit of government to lobby and conduct a PR campaign to duplicate the role of another unit of government.  To "go-around" the very agencies set up by the legislature to optimize, coordinate and assure no duplication of scarce public assets.  Envisioning this practice being expanded, brings to question why should it be allow?

Summary and conclusion

There are many unknowns associated with this bill.  We have provided facts that should be considered in its formation.  We agree that public education is good.  We also know that the most most cost effective public education is better as it serves the most students per tax dollar.

Footnotes:
(2007-08 data used, will be updated when 2008-09 state university cost data is published.)

1 NIU's cost (both the first-two and the last-two years) includes research and excludes state paid employee insurance. However the amounts are comparable and will change the $6,192 for the first two years (lower division) or the $8,402 for the last two years (upper division) by a minimal amount. 
2  By law Illinois community college tuition and fees are limited to 1/3 of cost.  Harper has stated that tuition is to be the same as state universities.  This equates to $21,330 minimum annual cost per student based Harper's tuition and fees equaling NIU's off-campus tuition and fees of $7,110.  It sounds high but by Illinois law Harper can only charge tuition that is 1/3 or less than cost.   Given the stated tuition, Harper's costs should be three or more times the tuition.  The lowest legal number (three times) was used for this estimate.  

Cost and price sources. 

Harper's cost: http://goforward.harpercollege.edu/page.cfm?p=2945 Annual Financial Report June 30,2008- PDF page 62, report page 55 
Harper's tuition & fees: http://goforward.harpercollege.edu/page.cfm?p=873

NIU's cost: http://www.ibhe.org/Data%20Bank/costStudies/default.asp Program Major cosrt Study, Pages 4 and 40.
NIU's tuition & fees: http://www.niu.edu/bursar/tuition/0708.shtml
 







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