This means the student will be allowed to graduate even though they are not “ready to do college level work or get a job to sustain a family,” the program's description of a four. It sounds like the “tail is wagging the dog” here and learning and achievement is taking a back seat to expediency.
If the test is a valid indicator, the numbers point out a disturbing problem in our educational system. Even worse, having such a test, valid or not, that allows a student to receive a diploma with what many would consider a “failing”(and documented) score, degrades the value of the diploma more than not having the test at all.
Our education system seems to be taking a lesson from a youth sports program and awarding a “trophy” diploma for merely participating in the education process. We will crank out “graduates” who have a diploma (for what it is worth), and while they may have undamaged egos, they will be ill-equipped to function successfully in society.