Dispute Over Funding Formula in Indiana

January 3, 2011

One of the hot ideas in higher education accountability circles is that public universities should have their financing based in part on how successful they are. A fight in Indiana may demonstrate how difficult that could be. The state is planning to distribute some of its support for public colleges based on an incentive formula, rewarding colleges for higher graduation rates, educating more low-income students and other goals. But as The Indianapolis Star reported, public universities that would not do well under the formula are questioning its fairness.

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