I'm not sure exactly why you're appalled. You seem to think that the "Civil Rights" movement was about bringing-us-all-together, so that we could be judged as individuals, etc, etc. I guess that was the rhetoric.
The reason that institutions such as colleges categorize people is that it's a necessary condition to satisfy the racial spoils system (affirmative action, implicit quotas, etc). That spoils system is the natural result of the "civil rights" movement. "Who, whom" is the only question in politics. No one...and I mean no one except the truly brainwashed...wants equality when superiority is available.
Back in 1965, it may have been possible for a large portion of the population to subsidize a small portion in this manner. The mathematics allow the bottom 10 percent of whites to give up lawyer jobs, doctor jobs, academic jobs, etc, so that marginal black people could have those positions. It's a despicable crime, but not socially calamitous. But as that large majority becomes a minority, you have the following certain events:
1. It is increasingly difficult to supply a majority population of blacks and hispanics with the affirmative action benefits which a portion of their livelihood has become dependent on.
2. The remaining whites are not only fewer in number, but much older. The old ones themselves become tax-eaters.
3. Via #1 and #2, the remaining young white people (and Asians) simply will not be able to pay everyone who has their hand out.
This isn't prophecy but mathematics. The prophecy is, "Who will suffer from this?"