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Wednesday, February 26, 2025

Elite University Presidents: Most Hated Men (and Women) on Campus

In prestigious universities across the country, the figurehead of the institution—the president—has become a symbol of frustration and resentment among students, faculty, and staff. These figures, often once revered as academic leaders, are increasingly viewed as little more than corporate CEOs, prioritizing the interests of wealthy trustees and donors over the very people who make the university what it is: the students and the dedicated faculty and staff who carry out its mission.

At the heart of the growing discontent is the trend of university presidents restricting freedom of speech and assembly, stifling student activism, and limiting open debate in the name of "campus safety" or "institutional stability." Instead of acting as advocates for open discourse, many university presidents have aligned themselves with powerful corporate interests, turning their backs on the very values that once defined higher education. The administration's agenda is often dictated by the whims of major donors, whose influence can shape everything from university policy to the hiring and firing of professors.

The University of Chicago, long a beacon of academic freedom, has seen its leadership take a hard turn in recent years, placing increasing restrictions on student demonstrations and dissent. Under the guise of maintaining "campus order," the administration has been known to deploy private security to break up protests and limit public forums for free speech.

Harvard University, with its enormous endowment and prestigious reputation, has become another example of an institution where the president seems more concerned with appeasing donors than listening to the students and faculty. The administration has been criticized for prioritizing relationships with donors over addressing the deepening student debt crisis and growing concerns about inequality in higher education. The university has faced a wave of student-led protests demanding action on climate change, affordable tuition, and the rights of adjunct faculty, all of which were largely ignored or dismissed by the top administration.

Harvard’s massive endowment—reportedly the largest of any university in the world—has been a focal point of controversy. While it continues to grow, many argue that the university could be doing far more to address the financial burdens of its students, particularly the mounting debt facing undergraduates. Instead, the administration has focused on expanding its brand and maintaining its status as an elite institution, often prioritizing donor preferences and legacy admissions over efforts to make education more accessible. Legacy admissions, in which children of alumni are given preferential treatment, have been a point of contention, with critics arguing that this practice entrenches privilege and reduces opportunities for marginalized students.

Even at places like Princeton University, long considered a champion of academic freedom, President Christopher Eisgruber has come under fire for clamping down on student speech and assembly. While Princeton’s administration claims to support free expression, it has quietly enacted policies to restrict protestors’ access to the administration building, citing concerns about “disruption” and “disorder.” Eisgruber, who has connections to powerful alumni, has been accused of using his position to protect the interests of wealthy donors while ignoring the voices of those who are most directly affected by the university's policies.

The University of Southern California (USC) is another prime example of a university where the president’s priorities have come under increasing scrutiny from students, faculty, and staff. Under President Carol Folt, USC has become emblematic of a trend where the administration appears more aligned with wealthy donors and corporate interests than with the needs of its campus community.

Folt, who took over as USC's president in 2019, was thrust into the spotlight during a period of significant unrest. The university had already been embroiled in scandals—including the high-profile college admissions bribery scandal—and was facing criticism for its handling of sexual assault allegations within its medical school. Rather than addressing these issues head-on, many argue that Folt’s administration focused instead on securing funding from high-profile donors and expanding the university’s brand, while sidelining the concerns of students and faculty.

This prioritization of external donors is evident in USC’s massive fundraising campaigns, which often overshadow initiatives aimed at addressing student debt, affordability, or academic freedom. USC's endowment has grown exponentially under Folt’s leadership, but student loan debt continues to be a crippling issue for many Trojans, and the concerns of adjunct faculty members remain largely ignored.

Furthermore, Folt’s administration has faced criticism for its efforts to suppress dissent on campus. For instance, student protests related to labor rights, housing issues, and calls for greater diversity on campus have been met with limited response or, at times, outright hostility. In 2022, when USC students protested the administration's handling of campus housing shortages, they were met with heightened security measures and a lack of genuine engagement from university leadership. These actions—along with Folt’s ties to the private sector, particularly her background in environmental policy and corporate leadership—have fueled perceptions that USC’s administration is more interested in protecting its brand than in creating an inclusive, participatory academic environment.

USC also exemplifies the growing disconnect between students, faculty, and administration when it comes to issues of free speech and assembly. Protests have become less frequent, as many students feel their voices will not be heard, and faculty members, particularly those in non-tenure track positions, are often too fearful of retribution to publicly criticize the administration.

The discontent with university leadership is not confined to the campus. In recent years, presidents from some of the nation's most elite institutions, including Harvard, the University of Pennsylvania, and the Massachusetts Institute of Technology, have faced intense scrutiny and backlash during hearings in the U.S. House of Representatives. These public hearings, aimed at addressing the growing issues of student debt, university funding, and the influence of wealthy donors on campus, have highlighted the widening disconnect between top university administrations and the communities they are supposed to serve.

During a House hearing in 2022, Lawrence Bacow of Harvard, along with MIT's President L. Rafael Reif and Penn's President Amy Gutmann, faced tough questioning from lawmakers who were deeply critical of how these institutions have handled student debt, tuition costs, and their ties to corporate interests. Bacow, in particular, faced pointed questions about Harvard's massive endowment and the university's refusal to use its resources to address skyrocketing tuition and student loan debt. Both Reif and Gutmann were grilled on how their institutions have prioritized securing donations from wealthy alumni and corporate entities over the well-being of students and faculty. The hearing exposed a troubling pattern where the presidents of these prestigious institutions seemed more concerned with maintaining their institutions' financial health than with addressing the needs of their campus communities.

Legacy admissions, a practice entrenched at many of these elite schools, also came under fire during the hearings. Critics argued that such policies perpetuate inequality, giving children of alumni—many of whom come from wealthy backgrounds—unfair advantages in the admissions process. This has contributed to the growing perception that these universities, while claiming to offer merit-based opportunities, are fundamentally shaped by privilege and corporate interests.

These public confrontations highlighted the growing frustration with university presidents who are seen as out of touch with the everyday realities facing students and faculty, as well as the increasing influence of money and corporate interests in higher education. The presidents of these universities, once seen as respected leaders, have become targets of anger and resentment, with many on Capitol Hill and on campus calling for a shift in how these institutions are governed.

These are just a few examples of elite universities where the power structure has shifted toward those who have the financial means to dictate the terms of the campus experience. As tuition costs rise and student loan debt becomes a crushing burden for many, university presidents seem more determined than ever to serve the interests of trustees and donors, rather than advocating for the people who should be their true constituents: the students, faculty, and staff who make up the heart of the academic community.

The impact of this shift has been profound. On campuses across the country, students are increasingly feeling that their voices don’t matter. Faculty members, once seen as the intellectual core of the institution, are being sidelined in favor of administrators who prioritize financial concerns over academic integrity. And staff members—many of whom are underpaid and overworked—are being pushed to the margins as well.

But it’s not just students who are feeling the heat. Faculty and staff have found their own platforms for protest increasingly under attack. At places like Yale University, where former President Peter Salovey faced criticism for neglecting the needs of faculty and for his lukewarm responses to issues like labor rights and the treatment of graduate workers, professors staged walkouts and organized petitions to voice their discontent with the administration's disregard for their well-being.

In this new era, university presidents are no longer the beloved leaders of intellectual discourse—they are the gatekeepers of corporate power, more concerned with securing funding from wealthy donors than with fostering an inclusive, open, and critical academic environment. The fallout from this shift is only growing, as campuses become hotbeds of dissent, with students, faculty, and staff increasingly questioning the direction of higher education and the people at the helm.

As the divide between administration and the campus community continues to widen, one thing is clear: the once-admired university president is now among the most hated figures on campus, seen not as a champion of academic values, but as an enforcer of an increasingly political and profit-driven agenda.

Sunday, December 17, 2023

Endowed Chairs and the "Dark Matter" of Higher Education

[The Higher Education Inquirer encourages college newspapers to explore their own schools for information on endowed chairs and to share it with us.]  

More than a century ago, Thorstein Veblen and Upton Sinclair critically exposed the structure and history of US higher education. Others have followed. Yet there is still much that the public doesn't know about the higher education business. Endowed chairs and their donors are one area of "dark matter" worthy of investigation. 

The Association of American Colleges and Universities estimated in 2011 that there were approximately 10,000 endowed chairs in the United States.

The Council for Advancement and Support of Education reported in 2018 that the average endowment for a new chair position was $3 million. This suggests that there may be tens of thousands of endowed positions nationwide. 

A 2021 study by Inside Higher Ed found that there were over 8,500 endowed positions advertised on the Chronicle of Higher Education job board between 2016 and 2021.

While it may not be possible to determine the exact number of endowed chair positions in the US, it is clear that they play a significant role in supporting higher education and research.

Some highly controversial donors have been involved in funding endowed chairs, including the Sackler family, heirs to the Purdue Pharma fortune. 

Quid Pro Quo Arrangements


Determining the frequency of quid pro quo arrangements in creating endowed chairs is challenging due to the limited transparency and inconsistent reporting practices. However, several factors suggest that these arrangements may occur more often than publicly acknowledged.

Factors suggesting the prevalence of quid pro quo: 

Lack of transparency: Universities often lack clear and transparent guidelines regarding the creation and funding of endowed chairs. This lack of transparency creates fertile ground for potential quid pro quo arrangements. 

Donor influence: Donors offering significant financial contributions often have certain expectations, which may include influencing curriculum, research focus, or even faculty appointments. This can create pressure for universities to accommodate these expectations, even if they deviate from academic merit or institutional priorities. 

Competitive pressure: Universities face intense competition for funding, leading them to be more receptive to donors' demands, particularly when dealing with large sums. This creates a situation where donors can leverage their financial power to influence decisions.

Challenges in quantifying the frequency:
Subtle and indirect forms of influence: Quid pro quo arrangements can be subtle and indirect, making them difficult to identify and quantify. For instance, a donor may not explicitly demand specific research outcomes but might indirectly influence them through conversations, gifts, or other forms of pressure. 

Lack of reporting: Universities rarely disclose the details of their agreements with donors, making it difficult to assess the extent to which quid pro quo arrangements exist.

Fear of retaliation: Academics and university officials may be hesitant to come forward and report cases of quid pro quo due to fear of retaliation, further obscuring the true scope of the issue. 

 

Related links:

 
HEI Resources

The Business of Higher Education 

A People's History of Higher Education in the US?

One Fascism or Two?: The Reemergence of "Fascism(s)" in US Higher Education

 

 

Friday, September 6, 2024

What caused 70 US universities to arrest protesting students while many more did not?

Earlier this year, the New York Times reported that about 3100 people had been arrested at pro-Palestinian campus protests across the US, noting that 70 schools had arrested or detained people. In addition to arrests, a varying degree of force has been used, including the use of targeted police surveillance, tear gas, and batons. 

After those arrests, some schools expelled those protesting students, banned them from campuses, and denied them degrees. Schools also established more onerous policies to stop occupations and other forms of peaceful protest. A few listened to the demands of their students, which included the divestment of funds related to Israel's violent occupation of Palestine. 

What can students, teachers, and other university workers learn from these administrative policies and crackdowns? The first thing is to find out what data are out there, and then what information is missing, and perhaps deliberately withheld.

Documenting Campus Crackdowns and Use of Force

The NY Times noted mass arrests/detentions at UCLA (271), Columbia (217), City College of New York (173), University of Texas, Austin (136), UMass Amherst (133), SUNY New Paltz (132), UC Santa Cruz (124), Emerson College (118), Washington University in Saint Louis (100), Northeastern (98), University of Southern California (93), Dartmouth College (89), Virginia Tech (82), Arizona State University (72), SUNY Purchase (68), Art Institute of Chicago (68), UC San Diego (64), Cal Poly Humboldt (60), Indiana University (57), Yale University (52), Fashion Institute of Technology (50), New School (43), Auraria Campus in Denver (40), Ohio State University (38), NYU (37), Portland State University (37), University of North Carolina, Chapel Hill, (36), University of Pennsylvania (33), George Washington University (33), Stony Brook University (39), Emory University (28), University of Virginia (27), Tulane University (26), and University of New Mexico (16). In many cases, court charges were dropped but many students faced being barred from campuses or having their diplomas withheld.

The Crowd Counting Consortium at Harvard University's Kennedy School has also been keeping data on US protests and their outcomes from social media, noting that "protest participants have been injured by police or counter-protesters — sometimes severely — about as often as protesters have caused property damage, much of which has been limited to graffiti." Their interactive dashboard is here.  

According to a Foundation for Individual Rights and Expression (FIRE) database, out of 258 US universities that held protests, only 60 schools resorted to arrests.* Why did these schools, many name-brand schools, use arrests (and other forms of threats and coercion) as a tactic while others did not? A number of states reported no arrests, particularly in the US North, South, and West.

Analyzing the Data For Good Reasons

There appear to be few obvious answers (and measurable variables) to accurately explain this multi-layered phenomenon, something the media have largely ignored. But that does not mean that this cannot be explained to a better extent than the US media have explained it.

It's tempting to look at a few interesting data points (e.g. according to FIRE, Cornell University and Harvard did not have arrests, and neither did Baylor, Liberty University, and Hillsdale College. Six University of California schools had arrests but three did not. And all of the schools that came before the US House of Representatives Judiciary Subcommittee examining antisemitism (Harvard, Penn, MIT) had arrests after their appearances. The Arizona House had similar hearings in 2023 and 2024 regarding antisemitism and their two biggest schools, Arizona State University and the University of Arizona, had arrests.

Missing Data and Analysis

What else can we notice in this pattern about the administrations involved, the trustees, major donors, or the student body? How much pressure was there from major donors and trustees and can this be quantified? Anecdotally, there were a few public reports from wealthy donors who were unhappy with the protests. Who were those 3100 or so students and teachers who were arrested and what if any affiliations did they have? How many of the students who were arrested Jewish, and what side were they on? How many of these schools with arrests had chapters of Students for Justice in Palestine and Students Supporting Israel? How many schools with these student interest groups did not resort to arrests?

How much communication and coordination was there within schools and among schools, both by administrations and student interest groups? What other possible differences were there between the arrest group and the non-arrest group and are they measurable?

What other dependent variables besides arrests could be or should be be measured (e.g. convictions, fines and sentences, students expelled or banned from campus)? What will become of those who were arrested? Will they be part of a threat database? Will this interfere with their futures beyond higher education? Is it possible to come up with a path analysis or networking models of these events, to include what preceded the arrests and what followed? And what becomes of the few universities that operate more like fortresses today than ivory towers? How soon will they return to normal?


Arrest Group (Source: FIRE)*

4 Arizona State University Yes
8 Barnard College Yes
41 Columbia University Yes
46 Dartmouth College Yes
57 Emory University Yes
59 Florida State University Yes
60 Fordham University Yes
64 George Washington University Yes
78 Indiana University Yes
94 Massachusetts Institute of Technology Yes
105 New Mexico State University Yes
106 New York University Yes
110 Northeastern University Yes
111 Northern Arizona University Yes
112 Northwestern University Yes
115 Ohio State University Yes
123 Portland State University Yes
124 Princeton University Yes
140 Stanford University Yes
142 Stony Brook University Yes
155 Tulane University Yes
156 University at Buffalo Yes
161 University of Arizona Yes
163 University of California, Berkeley Yes
165 University of California, Irvine Yes
166 University of California, Los Angeles Yes
169 University of California, San Diego Yes
170 University of California, Santa Barbara Yes
171 University of California, Santa Cruz Yes
176 University of Colorado, Denver Yes
177 University of Connecticut Yes
181 University of Florida Yes
182 University of Georgia Yes
184 University of Houston Yes
187 University of Illinois, Urbana-Champaign Yes
189 University of Kansas Yes
194 University of Massachusetts Yes
197 University of Michigan Yes
198 University of Minnesota Yes
206 University of New Hampshire Yes
207 University of New Mexico Yes
208 University of North Carolina, Chapel Hill Yes
209 University of North Carolina, Charlotte Yes
212 University of Notre Dame Yes
215 University of Pennsylvania Yes
216 University of Pittsburgh Yes
220 University of South Carolina Yes
221 University of South Florida Yes
222 University of Southern California Yes
225 University of Texas, Austin Yes
226 University of Texas, Dallas Yes
231 University of Utah Yes
233 University of Virginia Yes
236 University of Wisconsin, Madison Yes
242 Virginia Commonwealth University Yes
243 Virginia Tech University Yes
247 Washington University in St Louis Yes
248 Wayne State University Yes
257 Yale University Yes

Non-arrest Group (Source: FIRE)*

1 American University No
2 Amherst College No
3 Appalachian State University No
5 Arkansas State University No
6 Auburn University No
7 Bard College No
9 Bates College No
10 Baylor University No
11 Berea College No
12 Binghamton University No
13 Boise State University No
14 Boston College No
15 Boston University No
16 Bowdoin College No
17 Bowling Green State University No
18 Brandeis University No
19 Brigham Young University No
20 Brown University No*
21 Bucknell University No
22 California Institute of Technology No
23 California Polytechnic State University No
24 California State University, Fresno No
25 California State University, Los Angeles No
26 Carleton College No
27 Carnegie Mellon University No
28 Case Western Reserve University No
29 Central Michigan University No
30 Chapman University No
31 Claremont McKenna College No
32 Clark University No
33 Clarkson University No
34 Clemson University No
35 Colby College No
36 Colgate University No
37 College of Charleston No
38 Colorado College No
39 Colorado School of Mines No
40 Colorado State University No
42 Connecticut College No
43 Cornell University No
44 Creighton University No
45 Dakota State University No
47 Davidson College No
48 Denison University No
49 DePaul University No
50 DePauw University No
51 Drexel University No
52 Duke University No
53 Duquesne University No
54 East Carolina University No
55 Eastern Kentucky University No
56 Eastern Michigan University No
58 Florida International University No
61 Franklin and Marshall College No
62 Furman University No
63 George Mason University No
65 Georgetown University No
66 Georgia Institute of Technology No
67 Georgia State University No
68 Gettysburg College No
69 Grinnell College No
70 Hamilton College No
71 Harvard University No*
72 Harvey Mudd College No
73 Haverford College No
74 Hillsdale College No
75 Howard University No
76 Illinois Institute of Technology No
77 Illinois State University No
79 Indiana University Purdue University No
80 Iowa State University No
81 James Madison University No
82 Johns Hopkins University No
83 Kansas State University No
84 Kent State University No
85 Kenyon College No
86 Knox College No
87 Lafayette College No
88 Lehigh University No
89 Liberty University No
90 Louisiana State University No
91 Loyola University, Chicago No
92 Macalester College No
93 Marquette University No
95 Miami University No
96 Michigan State University No
97 Michigan Technological University No
98 Middlebury College No
99 Mississippi State University No
100 Missouri State University No
101 Montana State University No
102 Montclair State University No
103 Mount Holyoke College No
104 New Jersey Institute of Technology No
107 North Carolina State University No
108 North Dakota State University No
109 Northeastern Illinois University No
113 Oberlin College No
114 Occidental College No
116 Ohio University No
117 Oklahoma State University No
118 Oregon State University No
119 Pennsylvania State University No
120 Pepperdine University No
121 Pitzer College No
122 Pomona College No
125 Purdue University No
126 Rensselaer Polytechnic Institute No
127 Rice University No
128 Rowan University No
129 Rutgers University No
130 Saint Louis University No
131 San Diego State University No
132 San Jose State University No
133 Santa Clara University No
134 Scripps College No
135 Skidmore College No
136 Smith College No
137 Southern Illinois University, Carbondale No
138 Southern Illinois University, Edwardsville No
139 Southern Methodist University No
141 Stevens Institute of Technology No
143 SUNY at Albany No
144 SUNY College at Geneseo No
145 Swarthmore College No
146 Syracuse University No
147 Temple University No
148 Texas A&M University No
149 Texas State University No
150 Texas Tech University No
151 The College of William and Mary No
152 Towson University No
153 Trinity College No
154 Tufts University No
157 University of Alabama, Birmingham No
158 University of Alabama, Huntsville No
159 University of Alabama, Tuscaloosa No
160 University of Alaska No
162 University of Arkansas No
164 University of California, Davis No
167 University of California, Merced No
168 University of California, Riverside No
172 University of Central Florida No
173 University of Chicago No
174 University of Cincinnati No
175 University of Colorado, Boulder No
178 University of Dayton No
179 University of Delaware No
180 University of Denver No
183 University of Hawaii No
185 University of Idaho No
186 University of Illinois, Chicago No
188 University of Iowa No
190 University of Kentucky No
191 University of Louisville No
192 University of Maine No
193 University of Maryland No
195 University of Memphis No
196 University of Miami No
199 University of Mississippi No
200 University of Missouri, Columbia No
201 University of Missouri, Kansas City No
202 University of Missouri, St Louis No
203 University of Nebraska No
204 University of Nevada, Las Vegas No
205 University of Nevada, Reno No
210 University of North Carolina, Greensboro No
211 University of North Texas No
213 University of Oklahoma No
214 University of Oregon No
217 University of Rhode Island No
218 University of Rochester No
219 University of San Francisco No
223 University of Tennessee No
224 University of Texas, Arlington No
227 University of Texas, El Paso No
228 University of Texas, San Antonio No
229 University of Toledo No
230 University of Tulsa No
232 University of Vermont No
234 University of Washington No
235 University of Wisconsin, Eau Claire No
237 University of Wisconsin, Milwaukee No
238 University of Wyoming No
239 Utah State University No
240 Vanderbilt University No
241 Vassar College No
244 Wake Forest University No
245 Washington and Lee University No
246 Washington State University No
249 Wellesley College No
250 Wesleyan University No
251 West Virginia University No
252 Western Michigan University No
253 Wheaton College No
254 Williams College No
255 Worcester Polytechnic Institute No
256 Wright State University No 


*Media sources indicate that in 2023, 2 graduate students were arrested at Harvard, and more than 40 people were arrested at Brown University. 

Related links:

Thursday, February 20, 2025

University Presidents Called to Action

Elite universities, long considered the pinnacle of higher education, have become increasingly entwined in a broader conversation about privilege, access, and power. From their controversial legacy admissions practices to their outsized political influence, these institutions are not merely places of learning—they are gatekeepers of social and economic power, shaping the future through both exclusion and influence. Beyond their academic roles, these universities have extended their reach into local communities, using their enormous wealth and influence to take control of land, shape urban landscapes, and solidify their power within regional politics.

The legacy admissions system, which provides preferential treatment to the children and grandchildren of alumni, is a glaring example of how these universities perpetuate privilege. Institutions such as Harvard, Yale, Princeton, and Stanford—universities that consistently rank among the top in the nation—have long utilized this practice to ensure that the doors to elite education remain open to those already within the circles of power. By admitting students with lesser academic qualifications solely because of their family connections, these schools continue a long tradition of insularity, effectively reserving spaces for the wealthy and well-connected. Despite growing opposition, including recent moves by California’s private colleges to ban legacy admissions, the practice remains a powerful force, locking out more qualified, diverse applicants and ensuring that the privileged maintain access to elite institutions.

In addition to these admissions practices, elite universities exert considerable influence on the political landscape. The recent revelations about their political spending—millions funneled into federal campaigns, overwhelmingly favoring Democratic candidates—highlight a disturbing trend. Universities like Harvard, Stanford, and Johns Hopkins are not neutral players in the policy arena; they are active participants in shaping the very policies that benefit their interests. Whether it’s lobbying for federal funding, securing advantageous tax policies, or influencing regulations related to higher education, these universities use their wealth to protect and expand their power. These schools are not just centers of academic pursuit—they are political players in their own right, using their financial clout to shape the policies that govern education, tax law, and more.

Beyond their influence in academia and politics, elite universities increasingly exert power over the very land on which they sit. In many cities, top-tier universities like Harvard, Stanford, Columbia, and the University of Chicago are not just educational institutions—they are economic and political powerhouses. With multi-billion-dollar endowments, these institutions often wield more financial clout than entire cities. They routinely expand their campuses, purchasing properties, and in some cases, entire neighborhoods, often displacing long-standing communities in the process. This process, commonly known as "university-led gentrification," transforms urban spaces, driving up property values and rents while pushing out lower-income residents.

Universities often justify their land acquisitions as part of their mission to expand their campuses, build new research centers, and offer more housing for students and faculty. However, the impact on local communities can be severe. In many cases, universities use their tax-exempt status to avoid paying property taxes on the land they acquire, depriving local governments of revenue while also claiming a disproportionate share of urban space. This allows them to grow their influence without contributing fully to the neighborhoods in which they are embedded.

This land-grabbing behavior has sparked resistance in cities across the country. In Boston, for example, Harvard and MIT have been critiqued for taking over large swaths of land in the Allston and Kendall Square neighborhoods, displacing low-income residents and local businesses. In New York, Columbia’s expansion into Harlem sparked protests from community members who felt their homes and livelihoods were being sacrificed to the university’s growth. In many cases, these universities lobby local governments to secure favorable zoning laws, tax breaks, and exemptions that allow them to build at will and maintain their growing empire.

Both legacy admissions and political donations underscore a fundamental truth: elite universities are not just educational institutions—they are institutions of power. They maintain an oligarchic structure that privileges those already in positions of wealth and influence, while shaping local economies and political systems to ensure their continued dominance. By hoarding access to elite education, they perpetuate a system in which the children of the wealthy have a head start in both education and society, while simultaneously lobbying for policies that further cement their own influence. Through their land acquisitions, gentrification, political donations, and admissions practices, these universities continue to consolidate their power, reinforcing an elitist status quo that leaves many outside looking in.

In all of this, university presidents have increasingly positioned themselves as moral arbiters, asserting their institutions’ commitment to social justice, inclusion, and equality. Yet this moral high ground becomes precarious when their administrations take extreme measures to suppress resistance. Protests against their policies—whether regarding gentrification, climate change, or labor rights—are often met with heavy-handed tactics. University leaders, eager to preserve their public image, have been known to deploy security forces, call in the police, or even collaborate with local governments to disband protests. In some cases, these universities have resorted to legal action against student and faculty activists, silencing dissent through threats of discipline, expulsion, or other punitive measures.

This duplicity becomes even more apparent when considering the moral stands many university leaders take in public, promoting inclusivity, diversity, and progressive values, while simultaneously suppressing those who challenge their institution’s power dynamics. In the face of mounting resistance from marginalized communities or student groups, these leaders prefer to maintain control over their campuses and public narratives, often using administrative power to quash any movements that may disrupt the status quo.

Yet, history has shown that even the most entrenched systems can change, and university presidents are not beyond the possibility of transformation. Just as some figures in the Bible experienced profound revelations that led them to change course and right their wrongs, university leaders, too, can have moments of reckoning. Consider the example of King David, whose heart was changed after his confrontation with the prophet Nathan over his sin (2 Samuel 12). David, once blinded by his own power, repented and chose a path of humility and righteousness. In the same way, university presidents, confronted by the voices of resistance, public outcry, or moral awakening, could choose to lead their institutions toward a more just and equitable future. In the New Testament, Saul’s conversion on the road to Damascus (Acts 9) serves as another powerful reminder that no one is beyond redemption. Saul, who once persecuted early Christians, was transformed into Paul, one of the most influential apostles in Christian history. Similarly, a university president could choose to recognize the harm their institution has caused and decide to enact transformative policies that benefit marginalized communities and dismantle the systems of privilege they have helped sustain.

Moses is another figure whose story exemplifies the power of divine revelation to shift course. As a prince of Egypt, Moses had everything at his disposal, yet he chose to stand up to Pharaoh when he recognized the injustice of the Hebrew people’s oppression. His moment of conviction led him to free his people from slavery, even though it required courage to defy a powerful ruler (Exodus 3-4). In the same way, a university president must stand up to the powerful trustees and donors who expect to maintain the status quo. To act in the face of such resistance requires profound moral courage—a willingness to lead against entrenched interests that protect wealth and privilege.

Another key figure in the Old Testament is Esther, who displayed extraordinary courage in a moment of great moral clarity. She risked her life by standing up to King Xerxes to save the Jewish people from annihilation (Esther 4). As the queen, she was in a powerful position, but it was only when she realized the enormity of the injustice at hand that she chose to act. Similarly, university presidents with the power to challenge the status quo can, like Esther, use their positions to advocate for justice and equality, even if it means confronting powerful forces that wish to preserve an unjust order.

As university presidents come face to face with the overwhelming issues of racism, injustice, and climate chaos, there exists the possibility of moral revelation—a turning point where they confront the gravity of their actions and their institutions’ role in perpetuating harm. The growing calls for racial justice, fueled by movements like Black Lives Matter, demand an acknowledgment of the systemic racism embedded in these universities. Whether through the disproportionate representation of wealthy white students or the stark inequities in faculty and leadership diversity, these institutions must reckon with their participation in racial oppression. Similarly, as the climate crisis deepens, universities’ investments in fossil fuels and their ongoing complicity in the destruction of the environment have become focal points for student activists and global environmental movements. Universities, often perceived as beacons of progress, have a responsibility to divest from industries contributing to ecological collapse and instead use their vast resources for environmental justice.

And yet, one of the greatest challenges these university leaders will face lies not only in the resistance of external forces like protestors, activists, and the general public, but also in the powerful trustees and donors who hold significant sway over the institutions’ direction. Many universities are closely tied to wealthy benefactors and influential trustees whose interests often align with maintaining the status quo—whether through preserving investment strategies, political stances, or traditional admissions processes. These figures are not simply investors in the university's future; they are powerful stakeholders with the resources to shape institutional policies and procedures, often with little regard for social justice or environmental responsibility.

For a university president to truly lead with courage and integrity, they must be willing to go against these powerful forces. This would require challenging the entrenched interests of those who have long benefited from an elite, exclusionary system and are reluctant to embrace the radical changes needed to address systemic injustice. It takes immense fortitude to stand up to trustees and donors who view universities as tools for preserving their wealth and influence, rather than forces for good in the world.

But university presidents who choose to go against these forces can become true moral leaders. They can take inspiration from figures like Moses, who boldly defied Pharaoh’s power to liberate the oppressed, or Esther, whose bravery in standing up to the king saved her people (Esther 4). In doing so, they would not only transform their institutions but also serve as examples of ethical leadership in a time when such leadership is sorely needed.

The courage to defy powerful donors and trustees would mark a dramatic shift in how elite universities operate. Presidents could, if they choose, champion a new vision—one where social justice, racial equality, and environmental sustainability are at the forefront of institutional priorities. Just as Moses led the Israelites out of Egypt toward a promised land of freedom, so too could university presidents lead their institutions out of the grip of elitism and corporate influence, steering them toward a more equitable and just future.

Both legacy admissions, political donations, land control, and the suppression of protest point to a deeper issue: elite universities have built themselves into institutions of unparalleled power. These universities operate not only as educational establishments but also as political and economic entities, constantly reinforcing a structure of privilege, wealth, and exclusion. The dissonance between their public declarations of moral authority and their actions to protect entrenched power reveals the true nature of these institutions. They are not the bastions of free inquiry and social good they often claim to be—they are powerful, self-interested players in a system that serves to preserve the very inequalities they profess to challenge.

However, the possibility remains that these institutions—guided by transformative leadership—could embrace a new path. University presidents could heed the call for justice, as many leaders in history have, and change the trajectory of their institutions, opting to lead in ways that promote true equity, racial justice, and environmental stewardship. These universities—once seen as places of learning and opportunity—could become what they claim to be: inclusive, just, and truly committed to the betterment of society. They are the architects of the future they seek to create: one where the privileged no longer remain firmly entrenched at the top, and where political, economic, and educational structures are reshaped for the common good. Whether through legacy admissions, political spending, land control, or suppressing protest, these institutions continue to consolidate their power, but with the right leadership, they can still pivot toward a more just future—one that embodies the values they espouse.

[Editor's note: This essay, written for elite university presidents, is intended as a rhetorical device rather than a statement of facts. We find that everyone has their own "mythology" or set of mythologies they follow. As with all our work, we value your feedback.]

Friday, April 18, 2025

The Haves and Have Nots of Higher Education and Student Loan Debt

In a move that has raised eyebrows across Washington and beyond, President Donald Trump recently announced a plan to transfer the U.S. Department of Education’s vast student loan portfolio—totaling a staggering $1.8 trillion—to the Small Business Administration (SBA). This bold step is ostensibly designed to streamline the management of federal student loans, but it is also seen by many as the first move in a larger effort to dismantle the Department of Education entirely, reduce federal oversight, and privatize key aspects of the student loan system. Alongside this plan, there are growing discussions about eliminating essential borrower protections, including programs like Public Service Loan Forgiveness (PSLF), Pay As You Earn (PAYE), Income-Contingent Repayment (ICR), and the Borrower Defense to Repayment program, all of which have offered critical relief to millions of students. Additionally, the rollback of Gainful Employment regulations—which were designed to protect students from predatory for-profit institutions—further signals a shift toward private sector control, which has historically benefited lenders over borrowers.


The Alleged 'Rescue' of the Loan Portfolio

The White House has framed the transfer of the student loan portfolio to the SBA as a necessary step to relieve the Department of Education (ED) of a heavy burden, positioning the SBA as the new “caretaker” of the nation’s student debt. According to President Trump, the SBA—under the leadership of Kelly Loeffler—will now handle the $1.8 trillion student loan portfolio, while the Department of Education focuses on other key educational initiatives.

For some, the move seems like a fresh approach to a problem that has long plagued U.S. higher education: the overwhelming student debt crisis. However, a deeper look into the mechanics of the transfer suggests that this could be the first step toward a far more troubling goal: the dismantling of the federal student loan system and the privatization of debt, a shift that could harm millions of consumers in the process.


The SBA’s Inexperience with Student Loans

The SBA, traditionally tasked with managing small business loans, lacks the expertise to effectively manage the complex structure of federal student loans, which include income-driven repayment plans, loan forgiveness programs, and various protections for struggling borrowers. With the agency also facing significant staffing cuts, it’s highly unlikely that the SBA will be able to competently handle such a vast and complicated portfolio—especially when 40% of these loans are already in default or behind on payments.

This raises an obvious question: is the SBA being set up to fail? Some insiders suggest that the failure of the SBA to properly manage the student loan portfolio could be deliberate—creating a crisis that would justify selling off the portfolio to private companies, thus privatizing the entire system.


The Planned Failure: A Strategy for Privatization?

According to several former senior officials within the Department of Education, the transfer of the student loan portfolio to the SBA could be a calculated move to destabilize the federal loan system. The apparent failure of the SBA to manage the loans would then serve as a justification for transferring the loans to the private sector. This mirrors tactics used in other sectors where privatization was pursued under the guise of government inefficiency. The fear is that this move could ultimately lead to for-profit companies taking over the loan system, with borrowers facing higher interest rates, stricter repayment terms, and the loss of essential protections.


Who Stands to Gain from Privatizing Student Loans?

The shift toward privatizing student loans stands to benefit several key players in the financial and educational sectors, particularly for-profit companies and private lenders who have long pushed for deregulation and profit-driven management of student debt. The primary beneficiaries would include:

  1. Private Lenders and Financial Institutions: Banks, investment firms, and loan servicing companies are the most obvious winners in a privatized student loan system. With the federal government stepping back, these entities would gain control over the $1.8 trillion portfolio, allowing them to set higher interest rates, stricter repayment terms, and impose fees on borrowers. This would turn student loans into even more lucrative financial products for the private sector.

  2. For-Profit Educational Institutions: For-profit colleges, which often rely on student loans to fund their operations, could also stand to gain. These institutions—many of which have faced significant scrutiny for high tuition costs and poor student outcomes—would benefit from a less regulated environment. Without the Gainful Employment regulations, which were designed to hold these institutions accountable for their job placement and earnings data, they would face fewer restrictions on their recruitment practices and financial dealings, potentially allowing them to continue enrolling students in expensive, low-quality programs.

  3. Servicers and Debt Collection Agencies: Loan servicers and debt collection agencies that would likely take over the management of student loans in a privatized system stand to profit greatly. By controlling the servicing of student loans, these companies can increase their fees and aggressively pursue defaulting borrowers, further exacerbating the financial hardship for many students. These entities would benefit from a less regulated environment where the focus would shift toward profitability, often at the expense of borrowers.

  4. Political Donors and Lobbyists: Financial institutions and for-profit education providers have historically been major political donors and lobbyists, particularly to policymakers who have pushed for deregulation of student loan systems. Privatization could provide these stakeholders with the opportunity to consolidate their power over the student loan industry, influencing policy decisions in their favor and ensuring continued access to profits from the student loan market.


A History of Struggles: Lack of Oversight and Privatization Since the 1980s

The idea of privatizing student loans and dismantling federal oversight is not entirely new. In fact, the U.S. student loan system has been struggling for decades due to a lack of oversight and a trend toward privatization dating back to the 1980s. The federal government’s role as a guarantor of student loans—starting with the creation of the Guaranteed Student Loan (GSL) program in the 1960s—was eventually scaled back, leading to a rise in private student loans. As private lenders entered the student loan market, particularly during the 1990s and 2000s, the system became increasingly unregulated, leading to rising debt levels and predatory lending practices.

By the 1980s, the federal government’s reliance on private institutions to handle student loans led to a lack of transparency, accountability, and consumer protections. In particular, private lenders began to offer loans with fewer safeguards, contributing to the explosion of student loan debt and the proliferation of for-profit colleges that preyed on vulnerable students. The government, despite its involvement, increasingly stepped back from actively managing the loan system, leaving students with limited options for relief when they fell into financial distress.


The Consequences of Deregulation: Elite Colleges and the Growing Educated Underclass

One of the most significant byproducts of the shift toward privatization and deregulation in U.S. higher education has been the growth of a growing educated underclass. While elite colleges have continued to thrive, expanding their endowments and increasing their tuition fees, a large segment of the population is left with a degree and overwhelming debt that fails to deliver on its promise. Over the past several decades, prestigious universities have only gotten wealthier, with many now sitting on endowments of billions of dollars. These institutions benefit from the student loan system, which allows students to take on more debt to afford high tuition costs, all while their wealthy alumni networks and expansive endowments only grow larger.

At the same time, a growing number of students from lower-income backgrounds—many of whom attend for-profit or underfunded public colleges—are graduating with significant debt and few prospects for stable, high-paying careers. This has created a growing “educated underclass,” where graduates with degrees struggle to find employment that pays enough to manage their loan repayment, further exacerbating wealth inequality.


The Dangers of Future Issues: AI, Automation, and the Loss of Good Jobs

Looking to the future, the privatization of student loans and the increasing burden of student debt could be exacerbated by emerging technological shifts, particularly in the fields of artificial intelligence (AI) and automation. As industries evolve and more jobs become automated, many middle-class careers traditionally accessible to graduates may disappear or evolve into low-wage, low-security positions. This could lead to an even larger divide between the "haves" and "have-nots" in society, where only those with connections or elite educational backgrounds can secure stable, high-paying employment.

For students entering the workforce with massive student loan debt, this would present a troubling scenario where their ability to repay their loans becomes even more difficult as fewer well-paying jobs are available. This, in turn, would increase the financial strain on future generations of students who are already navigating a rapidly changing job market. For many, student loans could become an insurmountable barrier, keeping them trapped in cycles of debt that are impossible to escape.

Moreover, the increasing reliance on private companies to manage student loans, with their focus on profitability, could exacerbate these issues by offering fewer opportunities for income-driven repayment plans or relief options that account for the economic realities of an AI-powered, automation-driven economy. As the job market continues to shrink and evolve, the need for federal programs to support borrowers through tough economic times will only grow.


The Impact of Eliminating Borrower Protections

The elimination of borrower protections—such as PSLF, PAYE, ICR, and Borrower Defense to Repayment—would significantly worsen the student loan crisis. Public Service Loan Forgiveness, for example, allows individuals working in essential public service careers to receive loan forgiveness after ten years of qualifying payments. Without this program, many public servants would face a lifetime of insurmountable debt. Similarly, income-driven repayment programs allow borrowers to repay loans based on their income, making it easier for those in low-paying fields to manage their debt.

The Borrower Defense to Repayment program provides vital relief to students who were defrauded by their institutions. Without strong enforcement of this program, students may have no recourse to seek relief from predatory schools. The rollback of Gainful Employment regulations could further expose students to the risks of attending for-profit institutions that fail to deliver on their promises.


The Long-Term Fallout: A Dangerous Precedent

The long-term consequences of privatizing student loans could include exacerbating wealth inequality, widening the racial wealth gap, and creating an economic landscape where education debt is a permanent burden on a generation of students. If privatization moves forward, the financial burden of education will likely become a far more persistent and overwhelming problem, especially for those who can least afford it.

What’s particularly concerning is that in past crises, it’s the elites—wealthy colleges, financial institutions, and large corporations—that have consistently received the bulk of government bailouts. The same institutions that contribute the least to solving the country’s educational inequities continue to benefit from taxpayer-funded relief. If privatization moves forward, we cannot allow the same pattern to repeat itself. The majority of relief should go to those most burdened by student debt, not those who already have the means to navigate the system with ease.


The Future of Higher Education Debt: A Call to Protect Federal Loan Programs

At the Higher Education Inquirer, we stand in full support of federal student loan forgiveness and repayment programs, including PSLF, PAYE, and ICR, as they offer essential pathways for borrowers, especially public service workers and low-income individuals. These programs provide vital relief to borrowers, allowing them to focus on their careers without the burden of overwhelming debt. We urge policymakers to protect, enhance, and expand these vital initiatives to ensure that education remains accessible and equitable for all.

As we continue to face challenges in higher education financing, it is crucial to learn from past mistakes and advocate for systems that prioritize the well-being of students, not profit. The proposed privatization of the student loan system threatens to undo decades of progress and burden future generations with lifelong debt. It is essential that we protect these programs and work toward a solution that prioritizes education and fairness over corporate interests.

Sunday, April 20, 2025

Canary Mission: A Threat to Democracy on US Campuses

In recent years, the rise of organizations like Canary Mission has raised serious concerns about the state of free speech, academic freedom, and democracy on American college campuses. Operating under the guise of combating anti-Semitism and extremism, Canary Mission’s tactics and objectives have sparked widespread debate about its impact on campus life and the broader implications for democracy in the U.S.

Who is Canary Mission?

Founded in 2015, Canary Mission is a controversial online platform that compiles and publishes dossiers on students, professors, and organizations it deems to be associated with anti-Semitism or support for groups like Hamas or Hezbollah. While it claims to be an anti-extremist initiative, critics argue that Canary Mission’s activities are part of a broader, coordinated effort to silence pro-Palestinian voices, suppress critical discourse, and undermine academic freedom.

The organization's name derives from the "canary in the coal mine" metaphor, suggesting that it is warning the public about supposed dangers related to individuals and groups it monitors. But in practice, Canary Mission’s database often targets individuals solely for their political views on the Israeli-Palestinian conflict, with no proven ties to terrorism or violence. Students, particularly those involved in pro-Palestinian activism or who criticize Israel’s policies, have found themselves the subject of detailed and often misleading profiles that can haunt their careers.

The impact of Canary Mission is far-reaching: students who appear on the site have reported facing backlash in the form of social ostracism, job discrimination, and even legal action, all because their political activities or beliefs have been highlighted on this platform. Canary Mission’s website claims to provide a “public service” by exposing individuals “advocating for hate,” but its methods often conflate political activism with extremism, which can create an atmosphere of fear and self-censorship within academic circles.

Funding and Connections

Canary Mission’s funding sources remain somewhat opaque, which raises questions about its backing and potential influence. According to investigative reports and public disclosures, it is widely believed that the organization is funded by a network of right-wing pro-Israel groups, including wealthy donors, philanthropic organizations, and think tanks like the Simon Wiesenthal Center and the Foundation for Defense of Democracies. These connections underscore a broader ideological agenda that aligns with certain political interests, particularly those that aim to stifle critical discussions surrounding Israel’s policies and its occupation of Palestine.

The secrecy surrounding its financial backing and the lack of transparency in its operations have led many to draw parallels between Canary Mission and other shadowy entities designed to police speech and dissent. It appears to operate in the shadows, with little public oversight or accountability. This lack of transparency further erodes trust in its motivations and methods.

Undermining Democracy and Free Speech

At its core, Canary Mission's activities are a direct attack on the fundamental principles of democracy: free speech and the right to dissent. In a healthy democracy, universities serve as incubators for diverse ideas, where students are encouraged to debate and challenge ideas without fear of retribution. However, by tracking and blacklisting individuals who express views about Israel, Palestine, or other sensitive geopolitical issues, Canary Mission is chilling free expression on campuses across the country.

The organization’s efforts to publicly shame individuals who participate in peaceful political activism not only threatens their personal and professional futures but also discourages others from speaking out. In effect, it promotes an atmosphere of fear where students are reluctant to engage in legitimate political discourse out of concern for being targeted.

Moreover, Canary Mission’s activities can create a toxic, polarized environment on campuses. By labeling individuals as extremists based on their political positions rather than their actions or behaviors, the organization fuels division and resentment. This undermines the civil discourse that should thrive in academic settings, where ideas are meant to be debated and critically examined. Instead, it creates an echo chamber that only accepts one viewpoint, forcing out dissent and opposition.

The claim that Canary Mission is a controversial organization that undermines democracy on U.S. campuses can be supported by multiple sources from investigative journalists, academic scholars, and civil rights organizations who have analyzed the organization's activities. Here are a few sources that substantiate the concerns regarding Canary Mission:

  1. The New York Times (2016) – An article titled "A Shadowy Online Group Is Targeting American Students" highlights the growing concerns about Canary Mission's activities and its impact on free speech on campuses. The piece discusses how students, particularly those involved in pro-Palestinian activism, are being targeted and profiled on the platform, leading to career and personal repercussions.

  2. The Electronic Intifada (2016) – This online news platform dedicated to issues surrounding Palestine and Israel published several articles that discuss how Canary Mission disproportionately targets students and activists critical of Israeli policies. The site’s reports argue that the platform acts as an intimidation tool against those who challenge mainstream narratives regarding Israel.

  3. The Center for Constitutional Rights (CCR) – The CCR has expressed concern over the chilling effects Canary Mission has on academic freedom and free speech. They highlight how the organization often labels political activism as extremism, without proper evidence, and argues that it is a form of political repression aimed at silencing certain voices.

  4. The Forward (2018) – A Jewish publication, The Forward ran a story detailing how Canary Mission had led to the harassment and blacklisting of students, and how its methods were drawing criticism from many who saw it as an attack on academic freedom.

  5. Anti-Defamation League (ADL) Reports – While the ADL has supported efforts to combat anti-Semitism, they have also raised concerns about the unintended consequences of organizations like Canary Mission, suggesting that their approach to monitoring student activism can blur the line between legitimate political expression and hate speech.

  6. The Guardian (2017) – A Guardian article explored how Canary Mission's controversial practices affected student life, particularly those involved in the Boycott, Divestment, Sanctions (BDS) movement. The article discusses the potential damage to reputations and careers due to Canary Mission's online blacklist.

  7. The Southern Poverty Law Center (SPLC) – The SPLC has been vocal about the ways in which Canary Mission’s tactics align with other surveillance programs aimed at quelling dissent. The SPLC has voiced concern about its potential for misusing "extremism" labels to stifle legitimate political views, undermining democracy and the right to free speech.

Canary Mission's efforts to stifle free speech and intimidate those who hold opposing views on sensitive political issues like the Israeli-Palestinian conflict represent a dangerous erosion of democratic values in American higher education. By using fear, intimidation, and a lack of transparency to silence critical voices, it undermines the very foundation of academic freedom and democratic engagement.

Universities should be spaces where open dialogue and differing opinions are encouraged, not spaces where students are targeted for their political beliefs. As the influence of groups like Canary Mission continues to grow, it is imperative that the broader academic community pushes back against these efforts and defends the principles of free speech, democratic engagement, and intellectual diversity. Without these values, our campuses—and our democracy—will be all the poorer for it.

Monday, March 10, 2025

For-Profit College Barons Backed Trump, But Now May Be Scared (David Halperin)

Many top for-profit college industry owners supported Donald Trump’s bid to return to the White House. They had benefitted when, during Trump’s first term, his education secretary, Betsy DeVos, largely ended federal regulatory and enforcement efforts to hold for-profit schools accountable for deceiving students and ripping off taxpayers. But some industry barons, having contributed to the Trump 2024 campaign, now may be scared by efforts of the new Trump administration, including Elon Musk’s DOGE team, to disrupt operations of the U.S. Department of Education. Both Trump and his new Secretary of Education Linda McMahon publicly suggested last week that the Department will be abolished.

Although the for-profit college industry endlessly complained that the Biden and Obama education departments were unfairly targeting the industry with regulations and enforcement actions, they now seem concerned about the possibility that the Trump administration will shutter the Department entirely, abandon the federal role in higher education oversight, and leave regulation to the states. They likely are even more frightened that the proposed gutting of the Department will interfere with the flow of billions in federal taxpayer dollars to their schools.

The Chronicle of Higher Education reports that Jason Altmire, the former congressman who is now the CEO of the largest lobbying group of for-profit colleges, Career Education Colleges and Universities (CECU), says that his schools are worried about the potential disruption of funding for federal student grants and loans. Altmire apparently also expressed concern that turning regulation over to the states could create problems for online schools that operate in multiple states, especially because some states have relatively strong accountability rules.

Many for-profit colleges receive most of their revenue — as much as the 90 percent maximum allowed by U.S. law — from federal taxpayer-supported student grants and loans. For-profit schools have received literally hundreds of billions in these taxpayer dollars over the past two decades, as much as $32 billion at the industry’s peak around 2010, and around $20 billion annually n0w.

But many for-profit schools have used deceptive advertising and recruiting to sell high-priced low quality college and career training programs that leave many students worse off than when they started, deep in debt and without the career advancement they sought. Dozens of for-profit schools have faced federal and state law enforcement actions over their abuses.

CECU (previously called APSCU and before that CCA) has included in its membership over the years many of the most abusive, deceptive school operations, including Corinthian Colleges, ITT Tech, Education Management Corp., Perdoceo, Center for Excellence in Higher Education, DeVry, Kaplan (now called Purdue University Global), and Ashford University (now called University of Arizona Global Campus). (Republic Report highlighted the bad actors on CECU’s membership list for many years; CECU removed the list from its website about four years ago.)

Florida couple Arthur and Belinda Keiser are among those who have benefited the most from CECU lobbying and taxpayer funding. The Keisers run for-profit Southeastern College and non-profit Keiser University, which collectively have received hundreds of million in federal education dollars over the years. They also are among the most politically active owners in the career college industry.

While Belinda Keiser has run, unsuccessfully, for the state legislature, Arthur Keiser has been one of the most aggressive lobbyists for the career college industry in Washington. He has been a dominant figure on the board of CECU, and he hired expensive lawyers to go all the way to the U.S. Supreme Court in a failed effort to block a settlement that provides debt relief to students who attended deceptive colleges, including Keiser University. During Trump’s first term, Arthur Keiser chaired NACIQI, the Department of Education’s advisory committee reviewing the performance of college accreditors.

The Keisers created controversy and were eventually penalized by the IRS for a shady 2011 conversion of Keiser University from for-profit to non-profit, in a deal that allowed the couple to continue making big money off the school. Keiser University has also settled cases with the Justice Department and the Florida attorney general over deceptive practices.

In the two years leading up to the November 2024 election, according to Federal Election Committee records, Belinda Keiser donated more than $250,000 to various Republican candidates and political committees, including $35,000 to the Trump 47 Committee, $10,300 to the Trump-affiliated Save America PAC, $3300 to the Trump Save America Joint Fundraising Committee, and $33,400 to the Republican National Committee.

Ultra-wealthy college owner Carl Barney was another big Trump 2024 donor. Barney operated the Center for Excellence in Higher Education, another troubling conversion from for-profit to non-profit that kept taxpayer money flowing into his bank accounts, for schools including CollegeAmerica and Independence University. Barney’s schools lost their accreditation, and then their federal aid, after the Colorado attorney general in 2020 won a lawsuit accusing CollegeAmerica of deceptive practices. (The case is still pending after an appeal.)

Amid a torrent of donations to Republican committees last fall totaling over $1.6 million, Barney donated $924,600 to the Trump 47 Committee, $74,500 to the Trump-supporting Make America Great Again PAC, and $247,800 to the Republican National Committee, according to federal records.

In a September post on his personal website, Barney explained that he liked that Trump “wants to work with Elon Musk to reduce spending, regulations, waste, and fraud in the federal government.”

What exactly waste, fraud, and abuse seems to mean in the context of the Trump/Musk effort is troubling. There is little evidence that what DOGE has found and shut down relates to actual fraud, abuse, or corruption.

Instead it appears that much of what Musk and DOGE have focused on is weakening or eliminating either (1) federal agencies that have been investigating Musk businesses, or businesses of other top Trump donors; or (2) agencies that work on priorities — such as equal opportunity for Americans or alleviation of poverty or disease overseas — that Trump or Musk dislike.

And the Trump team has been firing, across multiple federal agencies, the inspectors general, ethics watchdogs, and other top officials actually charged with rooting out waste, fraud, and abuse — further undermining the claim that the Trump team is trying to bring about more honest and efficient government.

It’s doubtful that even the heaviest sledgehammer DOGE attack would eliminate the federal student grants and loans that Congress has mandated to give low and moderate income Americans of all backgrounds a better chance to improve their lives through higher education. Assuming such financial aid will continue, then if Trump, Musk, and DOGE truly wanted to root out waste, fraud, and abuse, and save big money for taxpayers, one thing they could do is strengthen, rather than abolish, the Department of Education — not to keep the money flowing to all for-profit colleges, as CECU seems to want, but to advance efforts to ensure that taxpayer dollars go only to those colleges that are creating real benefits for students and for our economy.

That would mean enforcing and building on, not destroying, the Department of Education rules put in place by the Biden administration, including: the gainful employment rule, which creates performance standards to cut off aid to for-profit and career programs that consistently leave graduates with insurmountable debt; the borrower defense rule, which cancels the debts of students scammed by their schools and empowers the Department to go after those predatory schools to recoup the taxpayer money; and the 90-10 rule, which helps keep low-quality programs out of the federal aid program and reduces the risk that poor quality schools will target U.S. veterans and service members.

It would also mean continuing the Biden administration’s efforts to more aggressively evaluate the performance of the private college accrediting agencies that oversee colleges and serve as gatekeepers for federal student grants and loans.

Fighting waste, fraud, and abuse would also mean strengthening, not gutting, efforts to investigate and fight predatory college abuses by enforcement teams at the Department of Education, Federal Trade Commission, Consumer Financial Protection Bureau, Justice Department, Department of Veterans Affairs, and Department of Defense. Many deceptive school operations remain in business today, recruiting veterans, single parents, and others into low-quality, over-priced college programs; they include Perdoceo’s American Intercontinental and Colorado Technical University, Purdue University Global, University of Arizona Global Campus, DeVry University, Walden University, the University of Phoenix, South University, Ultimate Medical Academy, and UEI College.

Fighting waste, fraud, and abuse also would likely require a different higher ed leader at the Department than Nicholas Kent, the Virginia state official whom Trump has nominated to serve as Under Secretary of Education. Kent previously worked at CECU as a lobbyist advancing the interests of for-profit schools. Prior to that, he worked at Education Affiliates, a for-profit college operation that faced civil and criminal investigation and actions by the Justice Department for deceptive practices.

Diane Auer Jones, who held the same job in the first Trump administration, had a career background similar to Kent’s, and she twisted Department policies and actions to benefit predatory colleges. That is presumably the world CECU and its for-profit college barons want to restore: All the money, none of the accountability rules.

In the end, the predatory college owners may get what they want. Given the brazen self-dealing, and fealty to corporate donors, of the Trump-Musk administration, and the sharp elbows of paid-for congressional backers of the for-profit college industry like Rep. Virginia Foxx (R-NC), we will probably end up with the worst of all outcomes: the destruction of the Department of Education but a continued flow of taxpayer billions to for-profit schools, without meaningful accountability measures to ensure that everyday Americans are actually protected from waste, fraud, and abuse.

Americans should demand from Trump and Secretary McMahon a different course — one that provides educational opportunity for all and strengthens the U.S. economy by investing in higher education, while removing from the federal aid program the abusive colleges that rip off students and scam taxpayers.

[Editor's note: This article originally appeared on Republic Report.]  

Monday, July 8, 2024

Socrates in Space: University of Austin as a Model of America's Ivory Tower Future

The University of Austin's inaugural class begins this September. While its founding has had some media attention, critical and uncritical, little is known about the school, other than its founders and some of the curriculum--and more recently about the school's constitution and austere, free market business model. We expect the public to receive information akin to propaganda from the new university while investigative reporters attempt to find what's really developing.  

Tomorrowland's Elite Model

The US has had three major growth periods in elite higher education with the founding of Christian-based Ivy League schools in the 17th and 18th centuries, the rise of more private colleges in the 19th century, and the evolution of state flagship universities in the 20th century, which altered their missions from teaching to focus more on research and medicine.

According to President Pano Kanelos, the University of Austin (UATX) is modeled after elite schools founded by the money of 19th century capitalists: Johns Hopkins University, the University of Chicago (John D. Rockefeller), and Stanford University. In its original plan, the school is seeking accreditation but not public funding. And without federal funding, the school is not required to be transparent on a number of issues, including finances, student demographics, and crime statistics. A limited amount of information will be available on the institution's IRS 990 forms.

UATX's leaders see the school as a model for elite education in the 21st century and beyond: socializing future elites in neo-classical western thought and the search of the truth as they know it: through the lens of US venture capitalists and US private equity. The school's donors include Palantir co-founder Joe Lonsdale who created the start up funds for UATX, real estate investor Harlan Crow, and global real estate investor Scott Malkin.  

Despite its calling for intellectual diversity, the University of Austin will serve as a safe space for conservative and libertarian youth, especially young men: blind to race, class, and gender, and friendly to those who may feel intimidated by progressive folks and the recent pro-Palestinian movement on elite campuses. UATX will be attuned to the needs of private capital and the promotion of their ventures and the ventures of their allies: from bitcoin, to artificial intelligence, to private space exploration

Command and Control

At the University of Austin, there will be no faculty senate and no faculty tenure. The initial faculty roster is composed of 19 men and 4 women--and appears to be disproportionately white. Staff and support roles will be done largely by artificial intelligence and workers in Guatemala.   

 

Artificial Intelligence will be used to reduce labor costs at the University of Austin. 

Prospective students will selected by the faculty and on merit, which includes standardized test scores. Those who matriculate will learn classical and neoclassical western philosophy (like Socrates and the Federalist Papers) and English Literature in combination with science and engineering, where all students will take the same coursework for the first two years, then become research fellows in the remaining two years, with each student involved in practically solving "a major political, social or economic problem...by the time they graduate."

Students will share apartments off campus where they will do their own cooking. There will be no amenities on campus or campus police, but local gyms and local police will be in the area. Aside from the Austin Union, the student body is expected to start their own clubs and activities. The physical library is a small room with a few bookshelves, and the librarian has additional duties. Civil debate is encouraged, but campus protests will be limited--it is said, to protect the rights of all students. 

The founding 2024 class is expected to enroll 100 students, growing to 200 students in 2025 and 1,000 students in 2028, reaching a peak of 4,000, and with a new campus. After the founding class, which will receive free tuition for four years, tuition is expected to be about $32,500 per year, with a number of students receiving scholarships.

Related links:

The Constitution of Academic Liberty (Niall Ferguson, National Affairs)

Can the New University of Austin Revive the Culture of Inquiry in Higher Education? (Joanne Jacobs, Education Next)

An American Education: Notes from UATX (Noah Rawlings, The New Inquiry)

Austin’s Anti-Woke University Is Living in Dreamland (Morgan O'Hanlon)

The Future of Publicly-Funded University Hospitals (Dahn Shaulis and Glen McGhee)

A People's History of Higher Education in the US?

Dangerous Spaces: Sexual Assault and Other Forms of Violence On and Off Campus