On September 6, 2016, ITT Technical Institute announced that they were closing 130 campuses.

The U.S. Department of Education prohibited ITT from enrolling new students who use federal financial aid. The department also tightened its already enhanced oversight of the company, including a prohibition on ITT awarding raises, bonuses or severance packages to the company’s executives. In addition, the department increased the company’s letter-of-credit requirement from about $124 million to approximately $247 million. A letter of credit is collateral the government asks colleges to set aside when officials have concerns that an institution may be unable or unwilling to pay back money it owes the government.

The for-profit’s collapse means taxpayers may have to cover approximately $500 million in federal student loans owed by current and recent ITT Tech students. While the department had recently increased ITT’s letter of credit, the company had set aside only about $90 million so far. ITT had also been facing several state and federal investigations and legal actions, including lawsuits from the Consumer Financial Protection Bureau and the U.S. Securities Exchange Commission. But it was ITT’s issues with its accreditor that spurred the department to take its recent action. The Accrediting Council for Independent Colleges and Schools last month determined that ITT was not in compliance and “unlikely to become in compliance” with its criteria. ACICS also is facing federal scrutiny.

A few days later, the University of New Orleans released the following press statement regarding ITT students in the New Orleans area.

So why would a New Orleans ITT student decide to transfer to UNO? In order to do this, let’s compare some of the basics.

Full time tuition at UNO is $7,150 per year (excluding University Fees). Full time tuition at ITT averages $17,748 per year (excluding University Fees). UNO offers 42 degrees (bachelor’s). New Orleans ITT offers 13 degrees (associate’s and bachelor’s), which most are offered by UNO.

What happens to students who had one or two semester left before graduating from ITT?

According to Inside Higher Ed, Jimmy Bilbo, was close to graduating this spring from ITT Tech with a bachelor’s degree in cybersecurity.

“I’ve heard a lot of my credits wouldn’t transfer,” Bilbo, 36, of Marrero, Louisiana, said. “They said it was the luck of the draw and whatever school I was trying to transfer to. I was looking over the list they gave me, and none of the schools in the area have the same program I’m studying. It just seems like I’ve been going to school for three years now and I’m about to have nothing to show for it, and at the same time I’ve used my entire Post-9/11 GI Bill [benefits] on going here.”

Is there any way to help these students? Are 2-year and 4-year colleges looking to capitalize on the failure of ITT?

Mission and Vision

The University of New Orleans:
A Student-Centered, Urban Research University

Mission

The University of New Orleans is a comprehensive urban research university committed to providing educational excellence to a diverse undergraduate and graduate student body. The University is one of the region’s foremost public resources, offering a variety of world-class, research-based programs, advancing shared knowledge and adding to the region’s industry, culture and economy. The University of New Orleans, as a global community asset, serves national and international students and enhances the quality of life in New Orleans, the state, the nation, and the world, by participating in a broad array of research, service learning, cultural and academic activities.

Scope

The University of New Orleans, as an urban research university, offers a number of challenging and in-demand programs, many of which are uniquely linked to the rich and vibrant city of New Orleans. The University of New Orleans grants baccalaureate, master’s and doctoral degrees in academic colleges, including but not limited to: business administration, education and human development, engineering, liberal arts, and sciences, as well as interdisciplinary studies.

Vision

The University of New Orleans will be recognized as one of the preeminent urban research institutions in the nation, noted for its commitment to excellence in teaching and in student success; its location in a culturally vibrant city; its innovative and relevant undergraduate, graduate, professional and research programs; and its role as a primary engine of social, economic, intellectual and cultural development in the New Orleans region and beyond.

 

Having attended the University of New Orleans (UNO), I can honestly say that they live up their mission of “providing educational excellence to a diverse undergraduate and graduate student body.” The staff was always attentive. The faculty was approachable. The administration held “town halls” so they could hear the issues facing students, staff, and faculty.

The most interesting part of the mission statement is where it mentions “New Orleans, the state, the nation, and the world.” I believe that this part of the mission statement was developed because of Hurricane Katrina. The university suffered in regards to physical damage and the lack of students that returned after the storm (a 26% decrease in enrollment). If that was not enough, from 2008 – 2016 the state support for the university budget was slashed more than half by Louisiana Governor Bobby Jindal. UNO has turned to increased tuition and student fees to fill the gap but the decline in enrollment has made that a challenge, too. UNO has had to turn to the local community, across the state, across the nation, and internationally to recruit students to enroll. However, has this been enough?

UNO was the first time I had encountered a scope and vision statement. The scope identifies the type of degrees conferred and some of the disciplines taught. The vision statement portrays the role that UNO wants to have in the local community and the world.