When I see someone wearing a black belt, I know they're someone I can go to for advice and look to as an example.
That is certainly one part of what a black belt should mean.
If you've forgotten the forms, that sets a precedent for me to do so as well. There was actually one point in my school where the black belts were watching the white belts to follow along with Kibon Il Jang, because they had forgotten how to do it (although these were 1st Dans and you don't do much teaching at my school, especially with specifics like forms, until much later). So, it's not imperative IMO that all black belts know the forms, but it does set an example.
I'd say that if these people are actively training, but do not know the lower belt material, that is more than setting an example. It's absolutely reprehensible. If you don't do something for a while, you'll forget it. OK, that's just being human. But if you're actively training and do not know the material you already had to perform for your rank, then maybe you should ask yourself if you actually deserve that rank.
I took an extended vacation from training and (being human) forgot forms and such. When I started training (in a related, but not identical system) I sure as hell wasn't about to walk in there in a black belt (although the schools Master offered me that option). I strapped on a white belt and I learned the system. No, I wasn't sparring with other white belts. No, I didn't kick like a white belt. But as I've said before, it's better to wear a white belt and have people wonder why, than to wear a black belt and have people wonder why.
You say you don't spar. Well, that's understandable. Some people can't for medical reasons or don't want to because they're getting older. However, can you give sparring tips? Can you do light/no contact sparring drills?
We have a 62 year old 10th geup with a fake knee, a 70 year old 3rd geup with a pacemaker and a 60 year old 1st geup with 2 titanium thoracic vertebrae. They all spar. No, none of them are going to compete against a 20 year old, but they spar. There are very very few medical conditions (actually, I can't think of any...) that would allow a person to train without allowing them to spar.
You say you focus on the more practical kicks and less on the flashy kicks. I don't see a problem with that.
Any school that focuses on "flashy" kicks is probably teaching more gymnastics than martial arts. Yes, I will teach people to do tornado kicks. No, they're not a focus, nor will we spend much (if any) class time on them. A student is more likely to be told "ask me between classes" if/when they ask about kicks like that, and they will certainly be made aware of the lack of applicability of these kicks to real world practice.
I will say I can understand where Dirty Dog is coming from. If I saw a black belt that didn't spar, didn't know any forms, and didn't do much besides the basics, I'd kind of wonder what you were doing with that belt on your waist. The forms are the kicker for me more than anything.
The forms are only a prime consideration within the system that awarded the rank. If you learn the Chang Hon forms and then come to our Moo Duk Kwan school, you're not going to know the forms. On the other hand, if you're a competent black belt, you ought to be able to learn forms quite quickly. When I decided to add a KKW Dan rank, it took me about a month to learn the taegeuk forms.
Watergal, that's what I'm saying. If your goal is to get "black belt" or to get "2nd Dan" (etc), then the longer it takes the more you pay in tuition. However, if you are going to continue with your studies and practice until you either get bored, burn out, or move, then stretching it out means you simply have fewer test fees along the way.
With that said, the method the school uses for pricing is less important than the prices. For example, I could...
Charge $100/mo for tuition, test every 2 months for $50 (average 125/mo)
Charge $75/mo for tuition, test every month for $50 (average 125/mo)
Charge $125/mo for tuition and make tests included
You probably get the point.
The YMCA charges $40/month for members, $60 for non. And scholarships are available to those who can't afford these rates. We have testing monthly, if there's someone ready to be promoted. On average, people will be able to test every 2-4 months at lower ranks, and will generally spend a year (or more) at rank for the higher geup ranks.
Yes, we promote slowly. On the other hand, even though we're not a tourney-oriented school, when our students do decide they'd like to compete, they clean house, routinely beating higher ranked students from other schools in sparring, breaking and forms competition. Two of our girls (a 14 year old 2nd geup and a 22 year old 3rd) decided to compete at an open AAU tourney in Denver this month. The 14 year old got bumped to the 16-20 year old black belt class for sparring (she's a very tall girl, and very powerful). She took gold. Also a gold in forms. The 22 year old 3rd geup took gold in sparring, forms and breaking; she competed in the 20-25 year old black belt class. Evidence that it's true when people point out that rank is meaningless outside the school that awarded it.
If you want to learn the art of Taekwondo, I like to think we're a good choice. If you just want a certificate for your wall, we're not.
And since it's not a commercial school, there's no profit incentive. There's nothing wrong with commercial schools, mind you, but I am glad we're not one. We have an awful lot of students who could never afford training at a commercial school.