HIGHER EDUCATION BUBBLE UPDATE: How the Federal Government Makes College More Expensive.

The study, which was completed by Boston Consulting Group, found that the 13 colleges and universities varied in how much of their budgets were consumed by compliance activities. Compliance with all federal requirements accounted for between 3 and 11 percent of the institutions’ operating expenditures, excluding any expenses associated with running a hospital.

Brett Sweet, Vanderbilt’s chief financial officer, said in an interview that the university’s goal was “to start a conversation at the national level of the cost of regulation and compliance at universities.”

“It’s not to point fingers at regulatory bodies,” he added. “We’re hoping schools themselves will question, ‘where do we fall on this?’”

Sweet said that one of the most significant findings was that small and medium-sized colleges are disproportionately impacted by federal regulations, with compliance eating up a much larger share of their expenditures than their wealthier peers.

Vanderbilt’s focus on the regulatory burden that colleges faces comes amid a debate in Washington over whether the federal government should pare back or streamline some of the requirements it imposes on colleges.

Colleges and universities have long said they think they’re spending too much time and money trying to comply with the federal government’s rules.

Well, they are. But there should be both fewer federal rules, and less federal money.