Interesting Problem

Education is in a crisis, because its model is unsustainable.  I deliver a course over the internet to community colleges (CC), and California in particular has problems, so let's take them as an example.

Anyone who enrolls in a CC in California is automatically admitted.  The Student pays about $500 per quarter, and the taxpayers kick in about $4500.

Way back when Gov Jerry Brown declared taxpayers should not subsidize leisure education (or continuing ed, definitions are a problem in this field), so that part of the CC has always been self-supporting.  This means the admin in these departments (we'll call them CE) know how to budget and at least break even, if not turn a profit.

Over the last 30 years, when a program is going bust, it has been the practice to turn it over to CE, who could make it work.

With the economic downturn, plus a program to give even more subsidies to people on unemployment who enroll in CCs, the increases have been huge.  But the physical plant, the buildings and rooms, are designed to hold only so many people, say 30 per class.  So what does one do when you have 300 people who want english 101, but room for only 90?  You tell people admitted to the CC they have to wait until next quarter.  Or longer.  It is taking 3 or 4 years to get the right credits to graduate from a CC.

Plus, since the more classes that are taken the more the taxpayers must subsidize, the faster the state of California goes bust.  Santa Rosa California has a population of 160,000 people, with 35,000 enrolled in school in some form.  On average one person from every home. Some from wealthy homes, enjoying a subsidy.  Can you charge the rich more?  Nope, that is "means testing."  Unfair. It is an unsustainable model.

One idea was have continuing education provide classes at a higher cost to break even, and add credit.  The State said no.

The solution is of course the free market.  30 students paying $750 per quarter or 250 per class yields $7500 per class let's say the overhead for the school and physical plant is $2500, netting $5000 per class to pay the instructor.  Time three classes is $15,000 a quarter or 60,000 per year.

Yes, 60K is not a lot of money for teaching, but at only 3 class hours 40 weeks a year it leaves a lot of time to pursue other interests.  Yes, the cost would be 50% higher then CC for a student, but it would cost the taxpayers nothing.

Why would people pay $750 at another school when the can pay $500 at a state school?  First, to get into classes.  And this is not speculation.

 University of Phoenix was started when a San Jose State University CE instructor noted all of the 25-35 years olds taking night classes, and started a school to cream them off the state schools.  He is now a billionaire.

University of San Francisco has a branch in Santa Rosa, and they are enjoying their biggest enrollment ever, even thought their fees are private school grade, 5 times as much.

There is a solution to the crisis.

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