Texas Higher Education Agency Once Again Proposes Controversial Merit-Based Funding For Colleges

Ann McClure's picture
Friday, August 3, 2012

Too few Texas college students graduate on time and not enough major in high-demand careers, prompting the state's higher education agency to once again propose a controversial merit-based funding system.

The proposal calls for the state to link 10 percent of undergraduate funding to specific outcomes rather than fund institutions solely on enrollment.

At a time of diminished funding statewide, the proposal is an attempt to hold universities and colleges to a higher standard, said the state's commissioner of higher education, Raymund A. Paredes, at a Corpus Christi luncheon Wednesday.

The agency's outcome-based funding model means universities would be judged on certain criteria, such as their six-year graduation rate and how many degrees they award in high-demand fields such as science, math, engineering and technology and teachers in those subjects. Funding for community colleges would in part be tied to students' completion of associates degrees or certificates.

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