Abstract. Although most social work continuing education units operate within stable academic institutions, this stability does not extend to the operation of these units. The greatest impediment is the demand by university administrators that the units operate on a pay as you go basis and turn any surplus revenues to the university for its discretionary use. In trying to meet university conditions while maintaining high standards of service, the units face several difficulties including competition from private providers, high costs, fewer sponsors, and indifferent faculty.In funding and budgeting the units for continuing education, universities tend to ignore two key arguments. The first is that CEP provide public services with spill over effects that add indirect demand to the demand expressed through registration. The second is that building quality into professional programs requires long term investments that forego immediate profits.Because continuing education programs are an image of their profession, social work programs need to correspond to the profession they serve, a profession that produces public goods (and services) while seeking to assure quality within non-profit environments. Unless universities assume a lead role in supporting these efforts through new approaches, continuing education programs will only be partially successful in fulfilling their mission.