During the 1977 Session, the Virginia General Assembly directed the Council of Higher Education to study grade inflation in Virginia's public institutions of higher education, and to report its findings to the Governor and General Assembly by November, 1977 (see Appendix B).

The Council conducted the examination of grade inflation in three phases. First, to determine the extent of grade inflation in Virginia's public institutions, the Council staff collected historical data on grading patterns from the fifteen state-supported senior institutions, Richard Bland College, and the Community Colleges. Second, the staff reviewed the literature on grade inflation as reported in national journals and studies conducted by institutions in other states. Grading patterns at Virginia's public institutions were compared with national grade average data. Third, the Council staff studied possible modifications to grading practices. These proposed solutions were discussed with the Council's Instructional Programs Advisory Committee, composed of the chief academic officers from the public senior institutions and representatives from the Virginia Community College System and the private sector. This Committee also discussed responses by Virginia's institutions to grade inflation. The Council staff also discussed the report with the Council's General Professional Advisory Committee, composed of the presidents from the senior public institutions, the Chancellor and three presidents from the Community College System, and the President of Richard Bland College.

Finally, the Council conducted its study in such a way that it has not overstepped its statutory responsibility. Specifically, the Council is prohibited by statute from any action which affects,

"either directly or indirectly, the selection of faculty or the standards and criteria for admission of any public institution, whether related to academic standards, residence or other criteria ... [Virginia Code 23-9.6:l(b)."

Because grading is on aspect of academic standards, the Council was aware that grading was the prerogative of the faculties of the individual institutions.