The governor's commission studying an overhaul of the state's higher-education system is seeking to more closely align academia and business as a way to increase economic development in Virginia.
Gov. Bob McDonnell told the commission yesterday that the "entrepreneurial approach" that works for business can work for higher education, too.
"It's what drives the private sector," he said, adding that colleges and universities should take their "intellectual knowledge and turn it into practical applications."
The commission outlined preliminary recommendations that favor incentives over mandates to get schools to achieve the primary goal of increasing the number of Virginians with college degrees.
Among the plans:
• Expanding access through a new state-funding model that incrementally increases subsidies to college students who go to private schools. The state already provides tuition-assistance grants that are about half the per-student public appropriation.
• Year-round classes to accommodate additional students, with rewards for schools enrolling more in-state students.
• Incentives to encourage students to graduate more quickly, and disincentives for those who don't.
• Sharing resources among schools so that both large lecture courses and low-demand subjects can be taught online.
The recommendations are still a work in progress for the Commission on Higher Education Reform, Innovation and Investment. A final report is due in December, with the Virginia Higher Education Opportunity Act of 2011 to be introduced in the next session of the General Assembly.Commission Chairman Thomas F. Farrell II dubbed the proposal TJ21 for "Preparing for the Top Jobs of the 21st Century."
Farrell and McDonnell emphasized the economic benefits to the state of increasing by an additional 100,000 the number of degrees awarded over the next 15 years.
They cited a University of Virginia study that found that the proposal would bring $36 billion in increased personal income and $4.1 billion in new revenues for the state.
Under the recommendations, the state would increase its investment in high-demand and high-earning degree programs, especially those in science, technology and health fields.
But degree programs that McDonnell described as "academic bridges to nowhere" in terms of their earning potential would receive less.
The commission estimates that the state will need an additional 100,000 workers with science and technology degrees over the next 10 years.
Farrell, who is president and CEO of Dominion Resources, said the 900,000 Virginians who already have some college credits are "the low-hanging fruit" for obtaining the degree goal.
He said online education would be a way to reach these adult students.
The commission, which includes lawmakers, college presidents and business representatives, has also been studying a more stable funding model for the system.
McDonnell said higher education needs a fair funding model that's not based on "who can lobby the best."
State budget cuts have resulted in double-digit tuition increases at many schools. Commission members said the increases are exacerbating the squeeze on the middle class.
Although schools have set aside a portion of the increase for financial aid, Sen. R. Edward Houck, D-Spotsylvania, said he thinks there is "something disingenuous" about that. It's almost like making middle-class families pay for their own tuition and for someone else's, he said.
Contact Karin Kapsidelis at (804) 649-6119 or kkapsidelis@timesdispatch.com.
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