Runaway College Costs: How College Governing Boards Fail to Protect Their Students

Governing boards have played a significant role in tuition and fee escalation at four-year public colleges and universities by prioritizing size and prestige over access and affordability. According to James V. Koch and Richard J. Cebula's book "Runaway College Costs," powerful statewide governing boards have a downward pressure on tuition and fees, and state funding cuts cannot explain more than one-half of the cost increases. The authors propose an action agenda for governing boards to change the incentives placed in front of campus presidents and senior administrators and conclude that they have the greatest potential to improve the situation.

Format: Hardback
Length: 256 pages
Publication date: 13 October 2020
Publisher: Johns Hopkins University Press

In the United States, the cost of college, particularly tuition and fees, has experienced a much faster increase than either the overall Consumer Price Index or median household income. This cost inflation has effectively barred many qualified students from accessing higher education, resulting in a staggering $1.5 trillion in student debt. Additionally, college enrollments in the United States have declined for eight consecutive years between 2011 and 2019, as college student bodies have become increasingly stratified based on family incomes.

Virtually every public college cost increase requires a positive vote from each university's governing board, and the record indicates that these votes are nearly always unanimous. In their book, Runaway College Costs, James V. Koch and Richard J. Cebula argue that many trustees have forgotten their role as fiduciaries, representing the best interests of students, parents, and taxpayers. Instead, Koch and Cebula suggest that too often, trustees prioritize size and prestigious rankings over access and affordability. These misplaced priorities lead them to vote in favor of lavish facilities, expensive intercollegiate athletic programs, administrative bloat, and outdated models of instruction and research.

Koch and Cebula provide groundbreaking empirical evidence on the impact of governing board membership, size, and operations on tuition and fees. They demonstrate, for instance, that the presence of a powerful statewide governing board exerts significant downward pressure on tuition and fees, and that state funding cuts cannot account for more than half of the cost increases at the typical four-year public university.

The authors suggest that policymakers and university administrators should take a closer look at the role of governing boards in tuition and fee escalation. They recommend that boards should be held accountable for their decisions and that they should prioritize the needs of students, parents, and taxpayers over the interests of the institution. Additionally, they suggest that boards should consider implementing policies that promote transparency, accountability, and student-centered decision-making.

In conclusion, the increasing cost of college in the United States has had a profound impact on access to higher education and student debt. The role of governing boards in tuition and fee escalation has played a significant role in this problem, as they have often prioritized institutional interests over the needs of students and taxpayers. Policymakers and university administrators must take action to address this issue and ensure that higher education remains accessible and affordable for all qualified students.

Weight: 484g
Dimension: 159 x 235 x 24 (mm)
ISBN-13: 9781421438887