I'd say you work in one of the better shops. That amount of time doesn't go into the majority of builds from my observation. We do have a local shop, the one I use now that I don't work for one any more, that is also very thorough, but not all are. I think $30 is very low too, last bike I built that was a carry in, we charged $60 for the build. I thought it was a little much, especially considering how much fun I had riding a high wheeler for the first time, but then again I gave lessons as well. I thought the guy was gonna kill himself the first time he tried to mount it.

However even with some of those items not being checked thoroughly, the bike is unlikely to pose a safety hazard, even at speed. A campus bike isn't likely to be going all that fast, parts will just wear faster because there's too much play, things like that.

I haven't really gotten into my opinion, which would be to steer away from Schwinn or similar brands and buy a quality bike. Reality for a college student looking for basic transportation, and asking such basic questions here, is that they aren't serious about riding, they can't afford a lot, and riding a bike is just a little more convenient than walking. In most cases the end up outside, and before they could possibly wear a tire out they've either been stolen, had a wheel tacoed by someone that was mad that they couldn't steal it, or left to rust because the owner scrounged up enough to buy a beater car.