Bacon's Rebellion

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UVa’s New Vision as Autonomous Public University

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by

James A. Bacon
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What would T.J. say?
What would T.J. say?

by James A. Bacon

A University of Virginia panel has released a new vision for the state’s preeminent public university to operate more like a private institution: raising tuition, enrolling more out-of-state students and revamping the Board of Visitors selection criteria to include more “professional” board members. The discussions reflected in the document are part of a “brainstorming exercise” as President Teresa Sullivan develops a strategic plan for the university, reports the Washington Post.

The details of the new thinking can be found in an April 2013 draft document, “A Defining and Differentiated Vision for UVA as a Unique and Preeminent Public Institution.” The document makes the case that a “new contract” is needed between the university and the Commonwealth of Virginia based on the following values: world-class quality, a premier resident experience, a comprehensive range of disciplines, knowledge leadership in public service, and strong self-governance. “UVA,” states the vision, “has the opportunity to lead with a new model for excellence in public higher education.”

The traditional compact between government and public universities appears to be breaking down nationally, the visioning document says. Universities are experiencing significant and sustained cuts in state and federal funding. The division of wealth in society is growing, and the cost of higher education is generating increasing criticism. The IT revolution is impacting knowledge acquisition and online learning, and universities are facing pressure to act as business-oriented, market-driven institutions.  The result is “bureaucratic paralysis, short-term solutions, and reductionist thinking and measures.”

The document stresses that UVa is an economic engine, bringing $456 million into the state through out-of-state grants, giving and graduate fellowships. The university is a magnet for the best and brightest students from other states, and its presence is attractive to companies, like Rolls-Royce, thinking of investing here. Continued investment in UVa is in the best interest of Virginia and its citizens, even those who have no affiliation with the university.

The working group enunciated the following principles:

  1. A new contract with the commonwealth. Evolve from a “state-controlled and state-supported” entity to a “state-affiliated” entity, giving the university greater flexibility and management discretion. Among the necessary changes: the same base tuition for in-state and out-of-state students, with possible “discounts” for Virginia residents.
  2. Governance reform. Alter the Board of Visitors from its roster of political appointees to members who “meet a defined set of selection criteria focused on their knowledge of an experience with major issues involving higher education (i.e. industry competence), as well as their knowledge of and experience leading and governing large, complex organizations.” While the governor would continue making the appointments, he (or she) might draw from candidates nominated by an “expert selection panel.”
  3. Increased out-of-state enrollment. Currently, UVa must enroll 70% Virginia residents. Under the new vision, “the enrollment mix would shift to ensure the University’s status as a preeminent national and global university. “This shift probably involves a larger portion of non-resident students.”
  4. Ensured access for students with financial need. Donations from the state to provide financial aid for qualified Virginia residents would be gratefully accepted.
  5. Strategic investment in new marked-based initiatives.  “UVa should develop a culture and invest in the infrastructure required to encourage and support revenue-generating program innovation.”

The university also would continue to emphasize its public-service mission and affirm its commitment to a premier residential undergraduate experience.

In conclusion, the document says, “Rather than shedding its commitment as a public university, the proposed new principles allow the University to be both public and professional, managing effectively and efficiently within the new realities of its economic and political environment.”

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19 responses to “UVa’s New Vision as Autonomous Public University”

  1. DJRippert Avatar
    DJRippert

    On 8/26/2008 I wrote this in the comments section of Chap Petersen’s blog – Ox Road South:

    “In my opinion, the state of Virginia should sell the University of Virginia (lock, stock and barrel) to The Rector and Visitors of the University of Virginia. The endowment has a bit more than $5B. Let’s say the Commonwealth sold UVA for $10B and put that money into other univerities that are willing to work for the betterment of the Commonwealth and all qualified students – regardless of their home town. UVA would be officially private. Given how little influence the people of Virginia or their elected officials seem to have over the University of Virginia maybe everybody would be happier if UVA were private. Certainly, I hear nothing but complaints from UVA regarding the shrinking support received from the state.

    Now, how to spend $10B?

    GMU, VT and Christopher Newport would get my vote as focus schools. First, the curricula in those schools should be rationalized. Something like VT for hard engineering (with a focus on alternate energy), GMU for public policy, business law and sofware, Christopher Newport for everything else. Each univerity would have to operate multiple campuses (which GMU, to its credit, already does). VT might operate in Danville, GMU in Front Royal. All 3 would be networked to their satellites as well as to each other. All 3 would have the twin mandate of educating all qualified Virginia citizens and promoting economic growth in the Commonwealth. All would be run by the state rather than by a board of regents / visitors with very limited accoutability to the people of Virginia.

    GMU is not the problem in Virginia. UVA and W&M are the problems. Let them become the private universities they want to become.”.

    More than five years later, I stand by those comments.

    UVA can orchestrate a “management buyout”. However, that will cost them a lot more than a report full of blather.

    1. reed fawell III Avatar
      reed fawell III

      “… a report full of blather.”

      I endorse that opinion.

  2. Peter Galuszka Avatar
    Peter Galuszka

    So, after years of supporting UVA and helping grow it into a strong institution, we’re supposed to “privatize” it so our bright kids will have less of a chance of getting in and will undoubtedly pay a sky-high tuition rate.

    That unplugs much of what made the school unique.

    What a shame.

    1. James A. Bacon Avatar
      James A. Bacon

      The authors specifically say they do NOT want to privatize the university. They just want more autonomy. (Think of this as a back door way to get rid of Helen Dragas!)

      1. DJRippert Avatar
        DJRippert

        They want full control of tuition costs (i.e. “we’ll charge whatever we want since we’re the 25th best college in America”). They don’t want to be forced to take all those ignorant in-state students (i.e. “the Chinese students pay more and argue less”).

        In other words, they don’t want any of the responsibilities of being a public university but they also don’t want to pay back the Commonwealth of Virginia for the billions and billions of invested dollars over almost 200 years.

        It would be like Michael Dell wanting to privatize Dell but not wanting to buy the shares being held by the current shareholders.

        What an amazing croc of ****.

  3. larryg Avatar
    larryg

    I’d do that. Cut them loose. Cut the state aid and tie it to students.

    and I’d invite the other Universities to do so also – if they want to continue charging students for things like NCAA sports and the like.

    It’s time to do something besides whine.

    1. DJRippert Avatar
      DJRippert

      No, we’re not going to cut them loose. We own the land, we own the buildings, we own the goodwill.

      They can buy us out if they’d like to make an offer but there is no way in hell they just get to leave.

  4. reed fawell III Avatar
    reed fawell III

    My best guess is that the State of Virginia will never ever let UVA go.

    And nobody spots the hidden agendas and power grabs of outsiders quicker than a state delegate to the Virginia General Assembly. They are the great masters of those black arts. These academics are out of their league.

    Don’t you just love: “Alter the Board of Visitors from its roster of political appointees to members who “meet a defined set of selection criteria focused on their knowledge of an experience with major issues involving higher education (i.e. industry competence), as well as their knowledge of and experience leading and governing large, complex organizations.” While the governor would continue making the appointments, he (or she) might draw from candidates nominated by an “expert selection panel.””

    Who do they think they are kidding?

  5. larryg Avatar
    larryg

    I don’t think Va has to let any of them “go” but I think the State itself needs to define and protect what the priorities of taxpayers are – first.

    If one partner wants a “divorce” – then usually the best outcome is to do it.

    find an amicable way to divide up the property – but get on with it.

    1. DJRippert Avatar
      DJRippert

      Fine. They keep the grounds and we get the endowment and a note for $5B payable over 20 years.

      Case settled.

      1. reed fawell III Avatar
        reed fawell III

        I’d take that deal in a heartbeat.

        The 5 billion note would be worthless, of course. But we’d secure it with a first mortgage on The Grounds and take the place back at the foreclosure sale in 20 years, wiping out all the debt they put on the Grounds meantime.

    2. reed fawell III Avatar
      reed fawell III

      They’re not partners. They’re employees.

  6. larryg Avatar
    larryg

    perhaps.. employees but ones that dictate the price of services to citizens and decide on their own their level of involvement in sports of which they also charge students to pay for.

    More like MWAA than VDOT.

    😉

  7. Lift Avatar
    Lift

    I see this as a desire for an institution to escape accountability, cloaked by words like autonomy, management discretion, industry competence…this is the push from the inmates to run the asylum without answering to the state or a board with objectivity. Note that this draft plan is not coming from the BOV. I suspect that they’re aghast.

    1. reed fawell III Avatar
      reed fawell III

      All signs in this report point of a very substantial effort to shift control of the University out of the hands of the Commonwealth and an independent Board of Virginia into the hands of School Administrators and Academics.

      This is precisely the opposite of what a great university needs. It needs a strong, and independent, and active Board whose members are deeply steeped in real world experience and accomplishment, people who know how things are done outside the closed stuffy hothouse closet of academia. And have deep ties to UVA independent of its Administrators.

      This is particularly true of any university whose administration says it intends to “develop a culture and invest in the infrastructure required to encourage and support revenue-generating program innovation.”

      Without such a board, the risks of waste and loss, corruption and cronyism and self dealing among such University administrators, professors, and their “Joint Venture partners (public or private), will grow exponentially.

      All these shifts of focus and the risks that come with them will work strongly against, and be at the expense of, UVA’s primary task: education.

      This quote speaks volumes:“the enrollment mix would shift to ensure the University’s status as a preeminent national and global university. This shift probably involves a larger portion of non-resident students.”

      There is only one way to read the statement. Currently many in-state UVA students are not up to the standards of where the University’s reputation needs to go to satisfy the University’s current administration.

      That statement comes with an attitude. When I was an out-of-state student at UVA, I considered my fellow students from Virginia up to snuff. I wonder what has changed. Have the in-state students changed? Or have the administrators and educators now running UVA changed?

      One thing is for sure. UVA will change drastically if the crew that wrote this report gets their our way and becomes the captains running their own ship that Thomas Jefferson and the Commonwealth of Virginia build.

  8. larryg Avatar
    larryg

    well.. the libertarian/small govt types would likely say something along the lines that UVA is being held hostage to govt bureaucracy and power games.

    I think its an interesting conundrum.

    there are largely private colleges in Va that are much more able to row their own boat – and yes.. perhaps less accountable but no less so than other non-govt institutions.

    is that bad?

    Liberty U in Lynchburg has embraced online far further than most State Universities have.

    is it good that Liberty has and UVA has not?

    I’m contrarian by nature in part to purposely ask devils’ advocate questions to see if the opposite position is consistent …. with the overall argument.

    We Virginians and Alumnus (not me) have (I think) a nostalgic connection to UVA. at what point, does “accountability” hinder innovation?

  9. reed fawell III Avatar
    reed fawell III

    UVA’s report called “A Defining and Differentiated Vision for UVA as a Unique and Preeminent Public Institution” is most interesting indeed.

    Beginning on Page 8 it sets forth seven GUIDING PRINCIPLES:

    The first principal appears to be a massive wealth redistribution scheme.
    Those Virginia high school graduates who are allowed to attend UVA will have their tuition raised to the level of out-of-state and foreign students.

    Under this scheme, UVA collect far more money from All UVA students, regardless of need. The Commonwealth has the “option” to use Virginia taxpayer money to fund the full tuition or any part of it to fund all Virginia UVA students who are in need, but lack the “ability to pay” to pay these new higher rates that before were only paid by out-of-state or foreign students.

    How clever!!!

    The taxpaying parents of Virginia Students lucky enough to be accepted by this New UVA not only pay their sons and daughters tuition raised to match out of state students and foreign students, but they are forced to have their tax dollars be used to pay the tuition of any other Va. student in need. So in effect the Va. taxpayer with son or daughter gets to pay UVA’s new higher tuition twice – once for his kids and once again for someone’s else kid.

    Of course, UVA under this new scheme makes off like a bandit. It gets the far higher tuition rates Virginia residents pay to fund all the fancy new toys that a 21th century research university (read UVA administrators and professors) need to play the roll of Global University. So does the student from China. At worse he or she pays once. At best, the Chinese student gets a scholarship to UVA to assure the diversity that is so necessary in these modern times to maintain the reputation of a great “global University” to which the NEW Mr. Jefferson’s University now apparently aspires.

    So these higher tuition rates from Virginia’s UVA students are desperately needed by the Global University of the 21st Century. How else will UVA pay for all those round-the-world trips that UVA Administrators and Professors now have to take so regularly to educate the rest of the peoples of the world, spreading their wisdom to all the world’s peoples who hunger for it.

    We’ll talk more about this in a later post.

    1. reed fawell III Avatar
      reed fawell III

      For more background and details on why this is happening see article and comments (inc. last three comments) found at:

      https://www.baconsrebellion.com/2013/09/has-college-enrollment-peaked.html#comments

  10. larryg Avatar
    larryg

    I think Reed makes several good points but would ask a few questions related.

    from a vision perspective – is UVA better off being a quasi-state institution or a more independent institution – and what I mean by “better off” is – would it be less encumbered and more entrepreneurial in adapting to a changing education landscape and evolving toward a model that is more sustainable?

    In pursuing such as direction – is de-factor subsidization of “needy” students a role it can continue – no matter the costs to the University or is it a cost that taxpayers should bear?

    Finally – the quid-quo-pro that exists now between Va universities, including UVA, to accept needy students in return for all the state funding it receives seems, in terms of specifics that could be negotiated – fuzzy at best, it’s almost like it’s a nostalgic tradition than a business contract.

    Is that arrangement really a good one for a University in the throes of trying to cope with a global world with massive disruptive technology challenges to it’s basic institutional model?

    Some are like MIT – private – and not a prominent member of the big time sports culture

    Some are like SUNY – open to all but especially so New York citizens – also not a major big time sports player.

    North Carolina and California have a network of state universities also.

    but they also have private universities.

    When originating article of this thread was first posted, I wondered what “model” UVA is now with respect to other Universities – and then what “model” it wants to be instead.

    It clearly has the potential to become another MIT (no sports) or Stanford (which IS a NCAA 34-sport participant.

    Bonus Question: Are VA and UVA Lovers prepared to embrace the future or do they want UVA to stay the way it has always been – i.e. good enough for Virginia?

    I don’t really have a dog in this hunt but from the outside looking in – I can sort of see each side but I lean towards letting UVA evolve rather than erect (or maintain existing) barriers to change.

    As in most of the kabuki political conundrum these days, there always seems to be “evil doers”… often with institutional or govt insignia.

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