Risk Sharing and Rewards Publications and Resources

TICAS’ proposal for a new college accountability structure to replace the current Title IV aid eligibility system uses a student-centered debt outcome measure to tie colleges’ eligibility more closely to the level of risk they pose to students and taxpayers. It imposes graduated sanctions for colleges where risks are high, and provides rewards for colleges where risks are low in order to encourage schools doing well to enroll more low-income students. Outcomes could be measured using one of two new measures: the Student Default Risk Indicator (SDRI), or the Student Non-Repayment Indicator (SNRI). Read below for more about our proposal and other related material, including prior testimony on risk sharing and rewards.

A New Approach to College Risk Sharing: Enhancing Accountability to Improve Student Outcomes
March 2017 - Issue Brief identifies potential unintended consequences of college risk sharing proposals and proposes solution combining risk sharing and rewards. 

A New Approach to College Accountability: Balancing Sanctions and Rewards to Improve Student Outcomes
December 2016 - Working paper detailing our proposal for a new college accountability system of sanction and rewards, including modeled outcomes.

Balancing Risk and Rewards: A Proposal for Enhancing College Accountability
February 2016 - Read the one-pager summarizing our proposal. 

Risk Sharing: A Proposal to Improve Institutional Accountability and Reward Colleges Using a Student Default Risk Indicator (SDRI)
April 24, 2015 - Read our detailed proposal, submitted in April 2015 to the Senate HELP Committee in response to request for feedback on college risk sharing. 

Testimony on College Risk Sharing and Rewards
September 11, 2015 - Testimony of Jessica Thompson before the Advisory Committee on Student Financial Assistance on the need for a well-designed federal risk sharing policy to increase college accountability to better protect students and taxpayers, provide incentives for schools to improve, and reward performance. Testimony focuses on choosing the right metric for risk sharing and the importance of including a component that rewards colleges for serving low-income students well.