Academia & Education
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Does hot job market mean there's a veterinarian shortage?
12/5/2019
Profession grapples with responding to swings in demand
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Straight A's not necessary to enter new UK veterinary school
12/3/2019
Manual dexterity, communication skills among the competencies to be considered
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Inside veterinary education at Long Island University
11/21/2019
New veterinary program at center of private institution's rebirth, officials say
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Long Island University veterinary college is accredited
10/21/2019
Program to admit 100 students by fall 2020
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University of Arizona veterinary college earns accreditation
10/18/2019
Fall 2020 opening planned
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Texas Tech to break ground on veterinary school facilities
9/17/2019
Program endures amid efforts by opponents to undermine it
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How veterinary students view practice consolidation
8/5/2019
Top essay contest winner had a big-fish-eating-small-fish experience
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COE seeks to retain authority over U.S. veterinary schools
7/29/2019
Hearing before federal panel scheduled Tuesday
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September opening of LIU Post veterinary college in doubt
7/19/2019
Proposed program's quest for accreditation from AVMA COE continues
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Texas Tech gets $17.4 million to open veterinary college
5/30/2019
Lawmakers help program clear funding hurdle; A&M remains opposed
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Western Canada veterinary school weighs two-tiered tuition
5/9/2019
Some applicants willing to pay a lot more to attend program
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AVMA survey: 2018 graduates earn more, owe more
5/9/2019
Education debt outpaces earnings; questions about data persist
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South Dakota to veterinary school graduates: Come home
4/29/2019
Law requires that some state-aid beneficiaries return to state to practice
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Where Lincoln Memorial’s first veterinary graduates landed
4/4/2019
Answer offers lesson for schools trying to supply underserved regions
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Mending broken hearts in dogs
2/14/2019
Canine mitral valve repair surgery comes to U.S.
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LMU veterinary college earns full accreditation
1/15/2019
Number of accredited programs in U.S. climbs to 30
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Veterinary technician program shutters, marooning students
12/28/2018
Vatterott College joins a growing list of failed for-profit career schools
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Veterinary student business group seeks former members
12/26/2018
Veterinary Business Management Association establishes alumni branch
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South Dakota State aims to admit veterinary students in 2021
12/12/2018
Plans joint DVM program with University of Minnesota
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COE invites review of veterinary-accreditation standards
12/10/2018
Public comment period ends Dec. 31
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Midwestern earns U.S. accreditation while Lincoln Memorial waits
11/30/2018
COE, LMU mum on why veterinary program is not fully accredited
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Texas Tech pushes ahead on veterinary school
10/18/2018
Emerging program works to move past political drama
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LIU accreditation decision slated for spring
10/8/2018
Controversy surrounds veterinary college proposed in New York
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S. Dakota-Minnesota veterinary school plan advances
9/19/2018
South Dakota VMA lauds goal of enhancing rural veterinary education
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The dwindling supply of academic radiologists
9/6/2018
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Texas universities at odds over veterinary education
8/15/2018
Rivalry brews between Texas Tech and Texas A&M
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LIU Post scores veterinary-accreditation coup
7/5/2018
Governor-backed school jumps to top of COE schedule
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New veterinary school in Japan stirs debate
6/25/2018
Question of workforce demand echoes long-standing issue in U.S.
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Veterinary college planned for Long Island University Post
5/30/2018
New York state invests $12 million to jumpstart new school
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UK veterinary schools use new guide to vie for talent
5/24/2018
Overall, applicants have a 50 percent chance at admission
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University of Wisconsin veterinary hospital aims to expand
5/7/2018
Program seeks $115 million for upgrade
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AAVSB pushes to forefront of telemedicine debate
4/6/2018
Model practice act aims to unleash remote veterinary care
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COE to reconsider University of Arizona's veterinary program
3/23/2018
UA inked six-figure deal with consultant Mark Cushing
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UK veterinarians cautious on plan for new school
2/16/2018
Low wages, long hours in profession a concern
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Veterinary student essay contest seeks 'solutions for the profession'
1/24/2018
Last year's winners tackled school debt, mental health, leadership gender imbalance
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COE amends standards to address veterinary student well-being, debt
1/4/2018
Jan. 31 deadline to comment on revisions to standard 11
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MSU dean leads efforts to make veterinary college affordable
12/7/2017
Baker pushes reforms in fight against debt but plans to step down in 2018
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Banfield joins employer trend with offer to defray student debt
12/1/2017
Well-intentioned programs might be ill-advised for some borrowers, experts caution
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PennVet receives long-awaited $30.1 million from state
11/3/2017
Contentious budget negotiations end positively for university
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Public Service Loan Forgiveness: Looking for a unicorn
10/30/2017
Federal program matures amid high uncertainty
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South Dakota State mulls joint veterinary school with Minnesota
10/13/2017
Proposed 2+2 would be fifth such partnership in the U.S.
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Synthetic dogs now used in veterinary education
8/11/2017
Can veterinary students adequately learn surgical skills by practicing on fake patients?
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How much pre-veterinary experience is enough?
8/3/2017
As applicants rack up hours, schools rethink the requirements
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UC Davis veterinary hospital makeover in the works
7/26/2017
$508 million price draws concern
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COE seeks veterinarian input on accreditation changes
6/21/2017
Comparison: Does COE independence match that of accreditor for human medicine?
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Letters: Is COE autonomy for real?
6/19/2017
Veterinarian shares doubts; AVMA responds
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Budding veterinary programs battle on
5/19/2017
Plans renewed for University of Arizona, Texas Tech veterinary colleges
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AAVMC: Fewer men, more debt in veterinary academia
4/24/2017
Pool of veterinary school applicants narrows to 1.7-to-1; tuition increases slow
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What role does accreditor play in protecting students?
4/11/2017
Q&A with CVTEA on veterinary-technology program closures
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Penn responds to governor’s plan to defund veterinary school
4/3/2017
Gov. Tom Wolf lays groundwork to strip $30.1 million from program
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Abrupt Heritage College closure strands vet tech students
2/3/2017
For-profit vocational schools failing in droves
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When safety, learning conflict in veterinary school
11/16/2016
On aggressive patients, school policies differ widely
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University of Illinois reports largest veterinary class
10/12/2016
Spike in class size meets funding, space woes at veterinary college
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Education costs, student debt top COE agenda
9/16/2016
USDE verdict could help accrediting body shed troubled past
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COE rejects Arizona veterinary program
8/11/2016
University of Arizona to appeal COE decision
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Federal panel finds in veterinary accrediting body's favor
7/5/2016
Concerns linger as AVMA COE earns positive recommendation
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Accreditation hangup delays veterinary college opening
6/23/2016
University of Arizona: 'We have people beating down our doors to come in'
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‘How could I get duped by these people?’
6/21/2016
Veterinarian spurred to handle own debt repayments
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Student borrowers susceptible to shady debt-relief pitches
6/20/2016
Veterinarians among vulnerable population
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Make price paramount when choosing veterinary school, many advise
5/10/2016
Other considerations include campus culture, location, program emphases
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COE extends probation for Tuskegee’s veterinary school
4/29/2016
Status of University of Arizona's bid for accreditation unclear
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Another review of AVMA COE nears
3/31/2016
Public comments due April 8
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A call for ‘weird and wacky’ cats
1/22/2016
Geneticist aims to analyze genomes of 99 felines
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Economist forecasts recession, strains on veterinary education
1/15/2016
Dicks discusses upshot of more veterinary schools
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Report rekindles debate on rural veterinary workforce
12/21/2015
Methodology questioned in provocative study on Appalachia
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Leaders aim to end battle over veterinary accreditation
7/24/2015
House rejects bids to study or alter how COE functions
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Leininger appeal culminates without resolution
7/8/2015
Hearing kicks off days of debate on veterinary accreditation
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Veterinarians challenge AVMA status quo
7/3/2015
USDE taps COE to evaluate foreign schools amid calls to upend how the accrediting body operates
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Help a colleague become debt-free
6/17/2015
Private student loan consolidation: why it's not for most veterinary graduates
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Student-loan advising company in trouble
3/12/2015
Graduate Leverage LLC accused of investor fraud
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Veterinary internships lack uniform quality
2/24/2015
Concerned about exploitation, AAHA offers new accreditation option
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Resolve to review student-loan payment strategy
2/10/2015
Tax season a good time for the task
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Government orders COE to mend rift with veterinarians
12/16/2014
Auditors want to know why AVMA accrediting body removed council members
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First canine Ebola quarantine met with good luck
11/17/2014
Texas veterinarians recount 16 days with Bentley
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New veterinary degrees may not pay off, economists find
10/29/2014
AVMA conference highlights debt, salary issues
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Government review of veterinary accreditation nears
9/22/2014
Deadline to submit comments to review panel is today
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University of Arizona eyes 2015 opening for veterinary program
9/10/2014
Inaugural classes begin at Lincoln Memorial, Midwestern
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Tuition hikes flatten as high cost of veterinary school gains attention
8/26/2014
Deans explore ways to contain students' expense, debt
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'Call to action' sounded in long battle over veterinary accreditation
7/21/2014
Political wrangling over COE headed to Washington
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Settlement proposed for Michigan State University borrowers gives little comfort
7/1/2014
Program participants lost promised interest subsidy
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Dr. Murray Fowler's legacy lives in those he inspired
5/29/2014
Veterinarian who revolutionized zoo animal medicine dies at age 85
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Bill giving veterinarians leeway to carry controlled drugs advances
4/25/2014
Little opposition surfaces
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Boyce ushers major changes to NAVLE while eyeing retirement
3/3/2014
Partnership with human medicine poised to modernize veterinary exam
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Equine hospital by New York racetrack revived
2/27/2014
Cornell University signs lease-buy agreement
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Bid to end foreign veterinary accreditation dies at AVMA meeting
1/16/2014
House of Delegates votes to continue spreading U.S. standards internationally
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Alaska veterinary education advocates cite unique needs
1/3/2014
Partnership with Colorado State begins in 2015
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Printing 3-D models eases complicated veterinary surgeries
12/20/2013
Auburn University radiologist promotes new tool
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Biomedical science master’s for veterinary professionals extends online
12/10/2013
University of Missouri touts convenience, flexibility
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Overseas opinion dulls repute of AVMA accreditation as ‘gold standard’
9/16/2013
Critics question AVMA’s mission to elevate veterinary education in Europe
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Montana doubles support for veterinary education
9/13/2013
Washington-Montana veterinary school partnership won’t boost class size
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Veiled results from AVMA membership survey rile veterinarians
7/26/2013
Delegates asked to sign confidentiality in exchange for access
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Lincoln Memorial’s veterinary college receives accreditation go-ahead
7/17/2013
Proposed veterinary education in Buffalo, N.Y., reportedly busts
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Midwestern veterinary college earns nod toward accreditation
6/20/2013
Program to open area densely populated by veterinarians
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When dental schools closed: lessons for veterinary profession?
6/10/2013
Student applications, not practice economics, drove decisions
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AVMA leaders mull organization's future in international accreditation
6/4/2013
Veterinarians lambaste AVMA report that avoids workforce, economy issues
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Veterinarians react to academia’s expansion into private sector
4/11/2013
Ohio State's new specialty practice pits school against alumni, critics say
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Final destination for Ross veterinary students — Buffalo?
3/7/2013
Abandoned medical facility could become veterinary teaching hospital
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Government orders veterinary-school accreditor to correct problems
12/14/2012
Veterinarians air criticisms before education panel
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AVMA’s role as education accreditor scrutinized
12/11/2012
USDE addresses critics as scheduled review of COE draws near
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Satellite practices: academic evolution or unfair competition?
10/26/2012
OSU to open emergency, specialty practice in Columbus suburb
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Welfare college receives provisional recognition
8/16/2012
Veterinarians eager to watch specialty group evolve
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Delegates punt move to eliminate AVMA vice presidency
8/13/2012
Task force to assess relevance of leadership position
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Can MDs and DVMs bridge the cultural divide?
7/24/2012
Physician champions concept of 'zoobiquity'
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Veterinarians try to make sense of Cuddon case
4/5/2012
CSU seeks permanent restraining order against veterinary neurologist
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‘Special Direct Consolidation Loan’ offer confuses borrowers
3/19/2012
Limited offer exemplifies complexity of school-debt repayment options
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Economist's talk rouses debate among veterinarians in academia
3/16/2012
New models for veterinary education presented
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Clinic to serve needy pet owners, veterinary students
2/22/2012
High school setting believed to be a first
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Student debt relief option: Instant gain, distant pain
1/4/2012
Pros and cons of Income-Based Repayment
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Purdue veterinary school becomes ‘college’
12/28/2011
Name change ratified by Board of Trustees
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AUA closes veterinary medical program
12/12/2011
Students forced to seek education elsewhere
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Bid to bring veterinary education to Alaska stirs debate
11/9/2011
Fears of oversaturation weigh on need for more veterinarians
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AAVMC leadership change puts Osburn at helm
10/21/2011
Dr. Marguerite Pappaioanou resigns to pursue work in public health
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Veterinarian campaigns for awareness of mammary gland cancer
9/30/2011
October is National Breast Cancer Awareness Month
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St. George’s veterinary school receives U.S. accreditation
9/23/2011
Roughly 90 percent of program's graduates draw from North America
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Dr. Donald Patterson: veterinary genetics pioneer and more
9/8/2011
Award recognizes lifelong medical research contributions
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Homeopathy group sues AAVSB over CE credits
8/16/2011
Controversy shines spotlight on inner workings of RACE
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Colorado State to examine rubble in fire's wake
8/2/2011
Source of blaze that destroyed Equine Reproduction Laboratory unknown
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AVMA task force to review merits of foreign accreditation
7/20/2011
Resolution stripped of economic language on advice of AVMA lawyer
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New Jersey forgoes AVMA House of Delegates
7/8/2011
‘Dramatic gesture’ underscores doubt about House’s relevance
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ISU settles lawsuit with veterinarians
6/29/2011
Specialty referral practice to pay ISU
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Resolutions ask AVMA to explore foreign accreditation, globalization efforts
5/20/2011
Members seek greater transparency into AVMA's international activities
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AVMA terminates online CE venture
4/22/2011
AVMA Ed to close by Dec. 31
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New Utah veterinary education program wins approval, funding
3/11/2011
Plan stirs concerns about a potential oversupply of practitioners
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Ross’ veterinary medical school earns U.S. accreditation
3/9/2011
First Caribbean program to receive COE's approval
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Renowned veterinarian Dr. Robert W. Kirk dies
1/20/2011
Veterinarian had worldwide impact on profession
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Physicians and veterinarians to share perspectives
1/7/2011
“Zoobiquity” conference aims to bridge medical divide
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Veterinary student debt continues to climb
1/4/2011
Despite years of concern, solutions remain elusive
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Debt problem is everyone’s
1/4/2011
Most student loans financed by taxpayers
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Proposed welfare specialty college bends to veterinarians' concerns
12/16/2010
AVMA welfare principles no longer a point of contention
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AVMA seeks third-party audit of accreditation program
12/10/2010
Voluntary review meant to allay scrutiny, concerns raised by veterinarians
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Utah Regents approve new veterinary school
12/9/2010
Final decision rests with Legislature
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Utah Regents to vote on new veterinary medical program
12/8/2010
Plan requires millions of dollars in support from Legislature
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Veterinary Medicine Loan Repayment Program gets off ground
11/9/2010
First USDA awards go to 62 recipients
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Texas veterinarians mull reviving bid to examine AVMA’s role in global accreditation
8/19/2010
Those calling for audit face accusations of racism; issue clouded by politics, some contend
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Proposed animal welfare college challenged by veterinarians
8/5/2010
Critics lambast mandate to sign AVMA welfare principles
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Foreign-school accreditation clash continues in JAVMA
7/21/2010
Editorial letters express concern in July 15 edition
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What's happening with accreditation of foreign health professional schools?
7/13/2010
Veterinarians in heated debate; dentists pushed to test water; physicians eye from a distance
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Veterinarians question AVMA's role in international accreditation
7/13/2010
Texas resolution calls for self-study
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Veterinarians to AVMA: Talk to us
7/6/2010
In VIN survey, group rates low on communication, high on leadership
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Renowned statistician to teach course for veterinarians
6/1/2010
Course outlines main statistical concepts used in veterinary research
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St. George's shuns rumors of closing, seeks U.S. accreditation
5/14/2010
Federal student aid could soon be available to students
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UNAM appeals failed bid for U.S. accreditation
4/22/2010
AVMA COE tight-lipped on findings that led to negative decision
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CSU professor remains in critical condition following accident
4/2/2010
Support pours in from community
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Prospect of accreditation for Mexican program fuels concern from U.S. veterinarians
3/12/2010
COE silent on recent UNAM verdict
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Western U receives full accreditation
3/5/2010
COE grants three-year window
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Accreditation under fire in veterinary medicine
2/26/2010
Concerns surface with the accreditation bids of two controversial programs
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Osburn resigns from Banfield board of directors
2/13/2010
UC Davis dean cites potential conflict of interest as impetus for decision
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Animal welfare initiative could divide Ohio veterinarians
2/11/2010
HSUS 'serious' about winning ballot measure to ban cramped housing for farm animals
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AVMA seeks to deter news investigation
1/21/2010
Alleges reporter misappropriated confidential documents
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Colleges grow with satellite clinics
10/21/2009
Ventures breed hostility from private sector in some cases
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UI clinic opens shop in Chicago
9/22/2009
Supporters express high hopes for satellite clinic
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H1N1 virus played no part in UC Davis worker's death
8/12/2009
Official cause of death pending
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UC Davis death prompts warning of Type A H1N1 pandemic flu
8/10/2009
Administrative assistant complained of flu-like symptoms prior to death
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AU veterinary student missing in Thailand
7/30/2009
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Revision to AVMA’s policy on acquiring research animals gets ax
7/13/2009
'Pound seizure' illegal in 17 states
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UC Davis opens stem-cell program for horses
6/23/2009
Stem-cell therapy: a highly active field
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Father of veterinary cardiology remembered for unceasing labor, curiosity
3/3/2009
Dr. David K. Detweiler leaves legacy in veterinary medicine
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Vet Schools: Desperate Times, Desperate Measures
1/30/2009
Colleges bruised by ailing economy
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Fanconi-like cases continue in Australia
12/15/2008
Company recalls chicken treats made in China
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Canine open-heart surgery coming to UC Davis
12/15/2008
History of veterinary cardiac surgery suggests formidable challenges ahead
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Internships, residencies skyrocket in popularity, AVMA says
10/17/2008
40 percent of 2008's graduating class to seek advanced training, report shows
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Researchers seek dogs for chronic renal disease study
10/1/2008
LSU investigates statin's power to slow disease
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Lawsuit against Ross University heads for trial
9/30/2008
Student alleges harassment, deceit concerning terminal surgeries in curriculum
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Mexican university seeks AVMA accreditation
9/22/2008
COE nod could usher Mexican veterinarians into the United States
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International Animal Welfare Training Institute kicks off at UC-Davis
9/17/2008
Welfare group seeks partnerships with agriculture, research sectors
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AAVMC spurns third-party rankings of veterinary colleges
9/12/2008
U.S. News and World Report scale breeds friction, leaders say
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Nation’s 29th veterinary program...
9/10/2008
Second UC school headed for San Diego area
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Veterinary medicine’s future incites debate
9/8/2008
Topics include limited licensure, tracking, accreditation
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Purdue offers certificate in veterinary homeland security
9/8/2008
Graduate Certificate in Veterinary Homeland Security to create “critical mass” of experts
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Inaugural class kicks off new Canadian veterinary program
9/5/2008
University of Calgary boasts 'innovative' program
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CDC creates residency program for veterinarians
9/3/2008
Effort addresses 'national shortage' of DVMs working in biomedical research
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UC-Davis to create Animal Welfare Institute
8/28/2008
Development meeting slated for Sept. 5
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UT hires Thompson as dean
8/12/2008
Appointment effective Oct. 1, officials say
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Cornell earmarks $25,000 gift for equine research
8/6/2008
Company with horse-racing ties issues funds to College of Veterinary Medicine
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Wind power explored at Tufts veterinary school
7/8/2008
Study to determine feasibility of renewable energy source
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OSU names interim dean following Rosol's resignation
7/2/2008
Dr. John Hubbell now heads OSU's veterinary program
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LSU to host dermatology conference
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Limited offer exemplifies complexity of school-debt repayment options
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March 19, 2012
By Edie Lau
 Photo by Orlando Alonzo
Pamela Alonzo, DVM, pictured with her dogs Cookie and Ludo, graduated with 15 educational loans totaling nearly $229,000. Last fall, she consolidated the loans. She learned too late that had she waited until January, she could have obtained a lower interest rate from the federal government that would have saved her thousands of dollars in interest payments over 30 years. A one-time offer to a select group of borrowers to consolidate their government-backed student loans at a discounted interest rate sounded good to Dr. Julia Letoutchaia, a recent graduate who borrowed more than $170,000 to get through college and veterinary school.
She called the U.S. Department of Education and was informed by a representative that she qualified for the offer but should wait to be contacted by the company that services her loan.
Anxious to merge three loan payments into one and mindful of the June 30 deadline to apply, Letoutchaia took the initiative in early February to call her servicer, Great Lakes, one of four federal student loan servicers handling “Special Direct Consolidation Loans.” Unfortunately, that got Letoutchaia nowhere.
“They did not have any information in the system about me that clearly stated ‘eligible’ or ‘not eligible,’ ” she wrote on a message board of the Veterinary Information Network (VIN), an online community for the profession. Seeking guidance, Letoutchaia asked: “ ... Do I just need to be patient? ... Are some of them still getting their act together (Great Lakes seems to be)?
“I feel like I ... should be able to understand this but I just do not,” she lamented.
The caveat-laden short-term offer to consolidate student loans has snagged more than a few borrowers in a thicket of confusion. Only about 16 percent of federal student-loan holders are eligible, according to the U.S. Department of Education, and trying to determine whether a specific borrower is among them can be, as Letoutchaia found, an exercise in frustration.
The program, available for only 5-1/2 months, also drew complaints early on that one servicer had provided incomplete and potentially misleading instructions. In addition, the system for alerting eligible borrowers to the program’s availability appears to be spotty.
Although the proportion of borrowers eligible for special consolidation is small, the actual number is not: The Department of Education estimates that 6 million people qualify. To date, 94,000 have applied.
The program is part of a package of reforms announced in October by the Obama administration aimed at easing the payment of school debt.
National interest in student-loan relief is intensifying due to the rising debt burden of new college graduates. In 2010, two-thirds of new college graduates had student debt, and the average amount each owed was $25,250, an all-time high.
Professional-school graduates borrow substantially more. In 2010, nine out of 10 new veterinary school graduates had debt averaging $133,873. A year later, the average debt of the graduating class had risen to $142,613.
America’s collective educational-debt burden is $870 billion — greater than consumer auto loan debt ($730 billion) and credit card debt ($693 billion), according to a new analysis by the Federal Reserve Bank of New York.
Borrowers of federally-backed student loans have a variety of options for managing and repaying their debt that range from simple to complex. Seeking a Special Direct Consolidation Loan seems to fall into the “complex” category by virtue of the conditions for eligibility.
The Department of Education’s nutshell explanation is: “You must have at least one loan owned by the Department that is current or less than 270 days delinquent and at least one eligible commercially-held FFEL (Federal Family Education Loan) loan to qualify...” A department webpage elaborates on qualifying loans.
Dr. Emily Buskey, a 2009 graduate who started her veterinary career with $186,000 in educational debt, received an invitation to apply for special consolidation but hasn’t accepted the offer.
“I’m hesitant to sign up for something I don’t really understand,” she wrote on the VIN message board in early February.
After reading up on it, Buskey remains reluctant to participate. The program offers an interest rate reduction of one-quarter percentage point from a borrower’s current rate on her commercially held FFEL loan(s) and cannot exceed 8.25 percent. Servicers are offering an additional one-quarter percentage point rate discount if a borrower allows payments to be automatically withdrawn from her bank account.
The condition for receiving the full discount deters Buskey.
“When living on ‘the edge’ paycheck to paycheck, the auto-pay (especially such a large amount at once) really presents a challenge to work around,” she told the VIN News Service by email. “It takes away some feeling of control, or the ability to juggle things a bit in case of an unexpected emergency expense. I kind of like having multiple smaller chunks to pay at my own pace so I can stagger them a little if needed.”
Special Direct Consolidation Loans became available on Jan. 17. Early on, a listserv of school financial aid officials circulated concerns that borrowers were receiving incomplete and potentially misleading information by at least one loan servicer.
Margaret Baxton, associate director of financial aid at the University of Virginia School of Medicine, who posted the concerns, told the VIN News Service that Nelnet’s inadequate instructions caused some borrowers mistakenly to apply for traditional loan consolidation rather than special consolidation.
Terms available under special consolidation generally are more favorable. Interest-rate discounts apply to some of the loans being consolidated, and the period of repayment doesn’t change, which means a borrower pays less interest over the life of the loan than if the payment clock were restarted.
The problem stemmed from borrowers clicking on the wrong links on the Department of Education website.
Baxton was able to redirect the students who came to her for help. She said that if some of the students she counsels were going astray, she figured others likely were confused as well. “These are medical students, they’re not dumb,” she said.
Dr. Pamela Alonzo is a borrower who accidentally locked into a traditional consolidation loan not because she followed the wrong links but because she pursued consolidation too early and none of the Department of Education representatives she spoke with along the way advised her that special consolidation was coming.
“With all the calls I had placed to the consolidation phone number between September and December, I’m pretty upset that the employees I spoke to never discussed this possibility with me, ever,” Alonzo told the VIN News Service.
Alonzo graduated from veterinary school in May with nearly $229,000 in school debt accumulated through 15 loans. Consolidating that many loans naturally was attractive and something Alonzo began considering in September as her six-month grace period for repayment neared an end.
A 35-year-old with experience in home ownership and a general interest in personal finance, Alonzo said she gave careful thought to the consolidation option, not wishing to exercise it prematurely.
“I’m not, like, a complete babe in the woods on finances,” she said. “I knew that I didn’t want the consolidation application to go through before my grace period ended in November. If you consolidate sooner, you have to pay sooner.”
Alonzo estimates that she spoke with different Department of Education representatives four or five times over several weeks. She ended up consolidating $228,945 in loans at an interest rate of 7.125 percent. If she completes payment in 30 years as permitted by the terms of the loan, she will have paid more than $550,000.
Because the interest rate is calculated differently with special loan consolidation, it is difficult to know exactly what Alonzo’s rate would have been under that program. However, the VIN News Service estimates that with the discounts available under special consolidation, her interest rate would have been about 6.97 percent. Although not a huge difference in percentage points, it adds up over 30 years to a dollar difference of about $8,600.
“The more I think about it, the angrier I become,” Alonzo said. “They are the supposed experts. I was asking them, literally, what my options were with consolidation and if I should wait, and how is my interest rate calculated, etc. There was plenty of opportunity for any of those folks to say, ‘Gee, wait a second...’ ”
Told about Alonzo’s case, a Department of Education representative responded by email:
“This is certainly unfortunate. We tried to let borrowers know last fall this would be available in 2012. The President announced the program in October, and an announcement was posted on the home page of the Department’s Consolidation website describing the difference between the two programs. We prompted borrowers to ask questions before proceeding with a traditional consolidation application (servicers could have explained the option in general but may not have known specific borrowers’ eligibility), and apologize that she missed this opportunity.”
The representative — who asked not to be identified by name per department policy — also told the VIN News Service in late January that the department had been made aware of concerns that information about special consolidation was confusing. “Our team is working with all of our servicers to refine their materials and messaging,” she said. “Our office of Federal Student Aid will be updating and clarifying materials on its site to help address any confusion...”
The department has since amended and added information about the program on its website.
A review of the loan servicers’ websites this week shows a broad range of information provided about special consolidation. At one extreme is Sallie Mae, which has nothing on its main website about government student loans.
Asked where on the Sallie Mae website a borrower could find information, company spokeswoman Patricia Nash Christel provided an address to an auxiliary site that she said is shared with eligible borrowers.
By email, she commented: “Our loan customers have among the lowest default rates due in part to our proactive counsel and outreach especially to those who experience difficulty. We will continue to counsel our federal loan customers on the options available to them under the federal programs and on the best possible management of their student loans, including the Special Direct Consolidation Loan, Income-Based Repayment and other options.”
She added that the Department of Education determines eligibility of borrowers and provides their names to the loan servicers, and that Sallie Mae continues to receive new names each week and reaches out to those customers by email, regular mail and telephone.
The other three servicers — FedLoan Servicing, operated by the Pennsylvania Higher Education Assistance Agency (PHEAA); Great Lakes; and Nelnet — all provide links from their home pages to details about special consolidation.
FedLoan provides explicit instructions on how to check one’s eligibility. Nelnet, too, gives step-by-step instructions. (The VIN News Service was unable to reach a Nelnet spokesman last week to discuss the complaints that surfaced about Nelnet when the program debuted in January.)
Great Lakes has a page devoted to special consolidation that is more general than FedLoan’s and Nelnet’s.
Mary Roggeman, vice president of marketing at Great Lakes, said the organization continually receives updated lists of eligible borrowers, whom it attempts to contact via email and regular mail. She said Great Lakes may add “phone campaigns down the road.”
Told about Letoutchaia’s discouraging experience in trying to apply, Roggeman acknowledged that there may have been an error in the information transmitted from the Department of Education and offered to have Letoutchaia’s file reviewed. (Letoutchaia spoke with Roggeman today and is waiting to hear back.)
At FedLoan, spokesman Keith New said making contact with borrowers can be challenging owing to email spam filters, people’s reluctance to take calls from someone they fear is a solicitor and relocations.
“We’re always trying to look under every rock as far as effective means to reach borrowers,” New said.
He said notifying eligible borrowers about special consolidation is “an ongoing process” that he expects will continue until the application period closes June 30.
FedLoan estimates that among the four million borrowers it services, one million are eligible for special consolidation. Initially, New said, FedLoan received 300 applications a day. The rate has since risen to 1,500 a day.
Borrowers interested in Special Direct Consolidation Loans who have not heard from their servicer may sign into their U.S. Department of Education account and check the “Alerts” box for a message stating that they are eligible.
Borrowers for whom no such message is present but who believe they are eligible may call the Department of Education at 800-433-3243 to inquire. The number is staffed weekdays from 8 a.m. to midnight Eastern.
VIN News Service commentaries are opinion pieces presenting insights, personal experiences and/or perspectives on topical issues by members of the veterinary community. To submit a commentary for consideration, email news@vin.com.
Information and opinions expressed in letters to the editor are those of the author and are independent of the VIN News Service. Letters may be edited for style. We do not verify their content for accuracy.
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