I will submit your papers (blind) to external referees as well as myself for assessment, an A grade will be limited to those papers, and only those papers, that are recommended for acceptance or conditional acceptance, a B grade will be assigned to those papers that receive a recommendation of revise and resubmit, and a C grade will be assigned to those papers that are rejected by the external referees and myself.I would be quite annoyed to discover that I was putting in the hours to evalaute a paper only to discover that I was doing a professor's job of grading said paper. Furthermore, it seems that the editor is also the professor for the course. I would be reluctant to evaluate a student or peer at tmy institution. The less distance, the more I would be reluctant to do so. The professor in queestion is willing to blind the papers for the external reviewers, who can not possibly be as potentially biased as a professor with their own students.
I am also wondering about the standards of a journal in which revise and resubmit is a B grade. There cannot be many A's. I have (once) had a paper accepted without revisions but it was definitely not the first time it was ever sent to a journal. The idea that a paper done in a single semester course (in parallel with other classes) would be a paper so high quality that it was accepted without revisions less than 4 months of work would be incredible in Epidemiology.