Mt.A. Still has WebCT? Very odd - I thought Blackboard had killed it a year or two ago after they bought it.

Three years ago Dalhousie had Exam grading software. Give Toni Roberts over in Computer Services a call - see what he is supporting.

Google and Wikipedia have good info on setting up contract graded courses. The concept is at least as old as 1972. Contract grading usually doesn't give marks for assignments - just pass fail - and the pass level is more like 70-80% not 50% - if people hand in crap they should expect to have to improve the assignment or do an alternative one.