Performance Funding Found to Increase Use of Data
- Studies question effectiveness of state performance-based funding
- Guidance from Above
- Texas technical colleges want to link state funding and employment outcomes
- Incoming student characteristics determine graduation rates, studies find
- Study finds little impact of student grants based on performance
A new study released by the Community College Research Center found that performance-based funding policies lead to greater use of data by colleges in institutional planning. Performance-based funding also encourages academic improvements and better student services. However, the policies can create unintended consequences, such as compliance costs, narrowing of institutional missions and grade inflation, the study found.