Little late to the party, but I would agree with the above two, for two different reasons.
1) Anyone editing teams should be careful enough to note the difference (Augustana College vs Augustana University), as you have.
2) Anyone searching the Database for cards of either one should be well aware of if they're looking for College or University.
Based on those two reasons alone, I'd say that the state differentiator isn't needed at this time, but rather just the school names.
I'll never quit collecting entirely, but I am downsizing. Check out my COMC store and help me thin out what I don't want so I can buy cards that I do want. See something you like? Send me a message on here, and we can knock the price down quite a bit. I'll even take a bit of a loss if it means getting you a card you really want.