Implications for Policymakers

THERE is much debate about the nature of policies related to the independent sector in postsecondary education, as evidenced by the widely varying levels of policies across the states. If the long-range plans for postsecondary education look to the independent sector to play a role in achieving access, choice, or diversity, then a clearly stated policy or set of policies is needed to reinforce and guide the development of that role.

In acknowledging the contributions of independent institutions, it is equally important to seek new strategies and policy tools to harness even more efficient utilization of state resources. Among the key policy tools available to states are technology, financial aid, public/private partnerships, and articulation agreements. Implications for policymakers may be direct or indirect, depending on which of the policy tools are used and how they are used.

  Technology may hold great potential for addressing diverse issues in higher education. Policymakers might involve representatives of independent institutions in developing or overseeing the statewide plan to use technology in teaching and learning. As members of a state-level task force or planning group, the independent institutions can be partners in defining the most effective and efficient use of technology for higher education.

More directly, fiscal policy might provide incentives to allow public and independent institutions to compete for special funds that enhance the use of technology in the learning process, improve accountability, graduation rates, or productivity. These policies are becoming more common across the nation: 33 percent of the independent sector state executives report that their states included independent institutions in such targeted grants. An additional 21 percent notes that their states were thinking about the inclusion of independent institutions in special funding programs.11 Policymakers must be willing to recognize the value of inclusion versus exclusion of independent institutions in statewide planning where technology is viewed as an important component in meeting access and choice goals.

  Financial aid policy is central to achieving postsecondary state goals. Again, policymakers must be willing to acknowledge the investment potential and the role of the independent sector in meeting access, diversity, and choice goals. State-level financial aid policy can go in many directions, such as providing vouchers as in Arizona and Florida for students with an associate degree to finish the baccalaureate at an independent institution. State financial aid policies can take on various characteristics depending on the short- or long-term needs of the state or of current or future demands of citizens. Financial aid policy that is accompanied by an accountability policy may help justify the use of state monies for independent institutions, particularly when performance indicators such as participation, completion, and employment rates are required annually.

  Independent/public partnerships provide policymakers with ample opportunities to better utilize state resources as well as to meet the shared needs of the educational community. Several states have some type of independent/ public partnership which reduces the state's costs for certain types of facilities such as libraries and storage facilities.11 Also, some states have increased access by contracting with independent institutions for special programs such as physical therapy or librarian-ship.11 Such partnerships provide another lever to meet state postsecondary goals by tapping established resources. Partnerships can be effective policy tools with creative thinking.

  Articulation agreements encourage smooth movement of students among public and independent institutions with no or minimal loss of credit and status. Transfer policies should focus on student mobility and student goal completion which encourage institutions, both public and private, to provide a seamless educational process from entry-level courses to capstone, graduating courses. Since many institutions have to create articulation agreements individually, policymakers could play a critical role by providing incentives for institutions to work cooperatively in establishing curricular requirements. Incentives could come in the form of special funding directly to an institution or indirectly by student financial aid funding. States could rely on such options when enrollments in academic programs at public institutions are capped or when certain programs do not exist in the public sector. Good transfer agreements can help policymakers achieve access, diversity, and choice goals with minimum funding.