There's a story in today's online Chronicle of Higher Education ("Arizona Scales Back a Controversial Plan for Revamping Its University System" by Karin Fischer) that reports on the failure of "a far-reaching and controversial plan to redesign the state university system" that would have restructured the state's three research universities -- the University of Arizona, Arizona State University, and Northern Arizona University -- into a five-college system, two of which, along with Northern Arizona, would have formed a new tier of "regional universities" that specialize in providing bachelor's degrees.
"But the plan ran into opposition from students, faculty members, and alumni of the affected institutions, as well as from legislators, who would have been called upon to finance the new universities. And the existing institutions have clear-cut niches that inspire loyalty, some state residents feel." The article then goes on to report on more four "conservative" measures proposed instead, the first of which was "setting out specific guidelines for creating a new college, or for allowing an institution to change its mission." They also decided to permit different tuition rates for different majors, to increase minority enrollment, and to promote access to higher education through distance learning and joint programs between two- and four-year institutions.
Note that one of the three research institutions would have been demoted to a regional university, but that they decided not to go there.