Is the College Ready Crisis Overblown?

Buried in a Dispatch article about the failings of ECOT is news that one of the tests used to measure whether students headed to college required remedial classes was useless

For years, the Compass test determined which classes students should take when they enrolled at Columbus State Community College.

But it turns out that too often, Compass, a diagnostic exam sold by the folks who make the ACT, indicated that students needed remedial classes when they didn't. A few days in the classroom or a separate diagnostic test would show that the student should have been in a college-credit class.

Beginning with the spring 2017 semester, incoming Columbus State students will take a different test. The college already was looking for an alternative when ACT announced in June that it was dropping Compass, said Allysen Todd, dean of Arts & Sciences. ACT has said inaccurate student placements were part of the reason.

Is the "Career and College Ready" mantra proclaimed by corporate education reformers all based upon bad data coming from a diagnostic test that was unable to diagnose the need for college remediation?

And just how much money have parents and students needlessly spent on unnecessary remediation college classes because of this erroneous test?