Current Reading material Issues: SMCCCD Book shops Endeavors to Give Lower Cost Course reading Choices to Understudies

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Current Textbook Issues: SMCCCD Bookstores Efforts to Provide Lower Cost Textbook Options for Students Presented by: Tom Bauer, Director, SMCCCD Bookstores SMCCCD Board of Trustees Study Session January 11, 2006

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What Topics Will We Cover Today? Reading material Affordability and Access GAO and CalPIRG RIPOFF 101 Reports SMCCCD Bookstores and College Initiatives SMCCCD Bookstores Textbook Rental Program Next Steps

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Course Material Affordability Policy Landscape Noticeable increments in school costs in educational cost, expenses, and school reading material. State spending cuts for advanced education. Government understudy help subsidizing not staying aware of need. Understudies more reliant on government advances.

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College Board 2005 Report

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College Board Textbook and Supply Costs 2004-2005 to 2005-2006 Average College Tuition and Fees At two-year open , educational cost and expenses normal $112 more than a year ago, a 5.4 percent expansion. At four-year open , educational cost and expenses normal $365 more than a year ago, a 7.1 percent expansion . At four-year private philanthropies , educational cost and expenses normal $1,190 more than a year ago, a 5.9 percent expansion .

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Annual Percentage Increase in College Textbook Prices, College Tuition and Fees, and Overall Price Inflation, December 1986 to December 2004

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Course Material Affordability Policy Landscape (con't.) The development of non-conventional understudies and changing understudy desires. Expanded modernity and association of understudy promotion bunches (CALPIRG). Changes in the book distributed and retail industry are in the news.

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Why GAO Conducted The Textbook Pricing Study? In March 2004, 15 Members of Congress asked for the GAO think about reading material evaluating. Given that almost 50% of students get government money related guide, Congress is keen on the general cost of participation, including the cost of reading material.

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Why GAO Conducted This Textbook Pricing Study? The expressed goals of the study were to look at: what has been the adjustment in reading material costs, what components have added to changes in course reading costs, and what variables clarify why a given U.S. reading material may retail outside the United States at an alternate cost.

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What was GAO's Methodology? Inspected information from the U.S. Branch of Labor's Bureau of Labor Statistics' Consumer Price Index to decide how course reading costs have changed after some time. Analyzed information from the U.S. Branch of Education's Integrated Postsecondary Education Data System (IPEDS) to pick up a comprehension of the assessed cost of reading material for first-time, full-time undergrads.

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What was GAO's procedure? Talked with agents of NACS, AAP, distributers, wholesalers, and understudy promotion bunches like CalPIRG.

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What GAO Found Pricing : In the most recent two decades, school course reading costs have expanded at double the rate of swelling however have taken after not far behind educational cost increments. Expanding at a normal of 6 percent for every year, course book costs almost tripled from December 1986 to December 2004, while educational cost and expenses expanded by 240 percent and general swelling was 72 percent.

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What GAO Found Pricing : The cost of course books, and in addition supplies, as a rate of the "distributed cost" of educational cost and charges changes for first-time, full-time, degree-looking for understudies by the kind of organization went to: 72% at 2-year open foundations 26% at 4-year open establishments 8% at 4-year private foundations

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What GAO Found Supplemental Materials : While numerous components influence reading material estimating, the expanding costs connected with creating items intended to go with course books in packs, for example, CD-ROMs and other instructional supplements, best clarify cost increments as of late.

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What GAO Found Supplemental Materials : Publishers say they have expanded interests in creating supplements because of interest from educators. Wholesalers, retailers, and others communicated worry that the expansion of supplements and more continuous modifications may pointlessly build expenses to understudies by refuting buyback openings.

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What GAO Found International Pricing : U.S. school reading material costs may surpass costs in different nations since costs reflect economic situations found in every nation, for example, the readiness and capacity of understudies to buy the course reading. While topographical hindrances have generally restricted the reentry of course books proposed for global dispersion over into the United States, known as reimportation, late advances in electronic business have separated this boundary.

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GAO Study: Impact on College Bookstores GAO reliably reported that school stores were worried about understudies and attempted endeavors to make course materials reasonable for understudies. The study will ideally goad extra research, impact grounds and framework approaches, or outline the reason for future state/government enactment. All the more extensively, the study may influence the way of the open deliberation about the cost of reading material and how partners ought to respond to those expenses.

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GAO Impact on Federal Legislation H.R. 609 The College Access and Opportunity Act of 2005 H. R. 495 — Sponsored by Representative Tim Ryan, (D-OH). The College Textbook Tax Credit Act of 2005 H.R.  625 — Sponsored by Representative Dave Camp (R-MI); S. 1697 — Sponsored by Senator Gordon Smith (R-OR). H.R. 1380 — Sponsored by Representative Phil English (R-PA). The Higher Education Affordability and Equity Act of 2005 S. 1677—Sponsored by Senator Charles Schumer (D-NY)

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State Course Material Legislation and Policy 38 school course material bills or studies in 17 states are under thought or followed up on (starting 10/30/05). State concentrates on in Connecticut, Georgia, Illinois, North Carolina, and Virginia (West Virginia to audit GAO report). State strategies in one state may can possibly affect different states or the country. Most proposition are not all around explored or need engagement of school store industry partners.

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2005 State Higher Education Textbook Legislation and State Studies Textbook Legislation and State Studies* *State thinks about have been finished or in progress in CT, GA, IL, NC, VA, and WV. No Action starting 10/25/05

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2005 State Sales Tax Exemptions for College Textbooks No Exemption Existing Sales Tax Exemption (16) or No State Sales Tax (5) 2005 Proposed Legislation 2004 Proposed Legislation 2005 State Sales Tax Exemptions For College Textbooks ? starting 10/31/05

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State Course Material Legislation and Policy (Cont.) Types of Legislation/Policy: Mandate and manage school course materials by: how they are received (counting staff morals). how they are bundled. how they sold or conveyed. revealing valuing, appropriation records and other data on course materials. Energize, however not order: Same as above things. Advancing rental projects. Meeting assignment bunches/think about/arrangement suggestions. Conforming training expense and understudy help approach. State Buying Power Leverage (Maryland HB 70 and Illinois).

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California Leads The Way CALPIRG Rip Off 101, 101 2 nd release, Textbook Rental Guide, and packaging effort. Abdominal muscle 2477 - Law. Stomach muscle 2678 (rental) - Vetoed. More to come… A Return to the Rental Debate? Selection Lists? Copycat different states? State Buying Power Schemes.

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CalPIRG RIPOFF 101 Findings The most generally acquired reading material on school grounds have new versions distributed at regular intervals, by and large. New versions of the course books overviewed cost, by and large, 45 percent more than utilized duplicates of the past release. At the point when issuing new versions, most distributers raise the costs of their books. Of the course books overviewed, new reading material costs bounced 12 percent by and large between the past and current version, double the rate of swelling somewhere around 2000 and 2003 (6.8 percent). Three-fourths (76 percent) of the personnel reviewed in our 2004 report said that they discovered new releases legitimized just "a fraction of the time" or less.

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CalPIRG RIPOFF 101 Findings Half (50 percent) of the course readings in the review were sold "packaged," or psychologist wrapped with extra instructional materials, for example, CD-ROMs and exercise manuals. At the point when a packaged book is accessible for buy unbundled (without the extra materials), the packaged book is, overall, 10 percent more costly than its unbundled partner. Some packaged reading material are considerably more costly. For instance, a Thomson Learning science course book was 47 percent more costly packaged ($223.75) than when sold as a different reading material ($152.00). More than half of the packaged course books studied (55 percent) were not accessible for understudies to buy individually, in which the reading material is accessible without the extra materials. 66% (65 percent) of the staff overviewed in our 2004 report said that they utilized packaged things "infrequently" or "never".

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CalPIRG RIPOFF 101 Findings The normal course reading overviewed costs 20 percent more in the United States than it does in the United Kingdom. A few course readings were drastically more costly in the United States than in the United Kingdom. For instance, Pearson's Calculus reading material, offering for about $100 in the U.S., costs just $38 on the U.K. site, only 33% the cost. Freeman's Chemical Principles course reading, evaluated at $185 in the U.S., is accessible in the U.K. for just $88—a large portion of the cost. A few distributers show abroad costs on their sites. For instance, Thomson Learning's site records the costs charged to understudies in the U.S., U.K., Europe, Africa, and the Middle East. As per this site, for the books i