Not really that rare, just a possibly narrower focus than the aims of a music degree. Eg. many many many music students write contemporary songs
But they're building on a base of explicit training in their musicality, whether it's composition, voice performance, jazz guitar etc.
At any rate, here's one for sure that I suspect is exactly what you mean: NYU - Tisch Clive Davis Recording Arts program -- mostly contemporary for producer/artists -- believe it is a BFA or Bsc (can't remember now). Not part of the music school. Admission is by portfolio of songs, admit rate is about 10%.
Other programs where you're likely to write/produce contemporary music and where they require portfolios of your contemporary work would include Indiana SOM (Jacobs) Recording Arts Bsc degree and UMich SOM Performing Arts Technology (which includes a lot of electronic composition and can be a BFA or BMUS).
There are actually a lot of different kinds of programs wherein the majority of the students write and record contemporary music but it is really all over the map.
Hope this gives you somewhere to start.