Arkansas

In this report, we examined five kinds of equity-focused metrics in state OBF policies to determine the extent to which states prioritize the enrollment and success of students of color and students from low-income backgrounds:

  1. Enrollment metrics for students of color
  2. Success metrics for students of color
  3. Enrollment metrics for students from low-income backgrounds
  4. Success metrics for students from low-income backgrounds
  5. Metrics related to campus racial climate

While the inclusion of these metrics in policies is essential, how they are deployed is equally as important. Therefore, we also considered whether the metrics were mandatory, optional, or weighted. Weighted metrics are the most ideal. These are mandatory and are given additional value, so strong institutional performance on a weighted metric would garner greater advantage or funding.

Two- and Four-Year Institutions

In Arkansas, two-year and four-year institutions use the same funding formulas, including the OBF policy. Arkansas adopted outcomes-based funding in 2017. It is allocated as base funding annually.

The productivity funding formula consists of four categories: Effectiveness (80% of formula), Affordability (20% of formula), Adjustments, and Efficiency (+/-2% of formula). The metrics of the four categories are broken down below.

  1. Effectiveness
    • Credentials(Completion)
      • Weighting Specifications – Student Characteristics
        • Undergrad Level All Students -1.00
        • Underserved Race/Ethnicity-0.29
        • Underserved Income-0.29
        • Underserved Academic-0.29
        • Adult (25 to 54)-0.29
    • Progression
      • Weighting Specifications – Student Characteristics
        • Undergrad Level All Students -1.00
        • Underserved Race/Ethnicity-0.29
        • Underserved Income-0.29
        • Underserved Academic-0.29
        • Adult (25 to 54)-0.29
    • Transfer Success
    • Gateway Course Success
  2. Affordability
    • Time to Degree
    • Credits at completion
  3. Adjustments
    • Diseconomies of Scale for two-year institutions
    • Research for four-year institutions
  4. Efficiency
    • Core Expense Ration
    • Faculty to Administrator Salary Ratio

Arkansas has a specials populations metric that includes low-income students, students of color, academically underprepared students and students of color . The policy does not have a metric for measuring campus climate.

The policy is overseen by Arkansas Higher Education Coordinating Board. To learn more, visit https://www.adhe.edu/institutions/productivity-funding.

Two-Year Institutions
Enrollment of Students of Color None
Success of Students of Color Weight
Enrollment of Students From Low-Income Backgrounds None
Success of Students From Low-Income Backgrounds Weight
Measure Related to Campus Climate None

Four-Year Institutions
Enrollment of Students of Color None
Success of Students of Color Weight
Enrollment of Students From Low-Income Backgrounds None
Success of Students From Low-Income Backgrounds Weight
Measure Related to Campus Climate None

Outcomes-Based Funding Map Placeholder
Outcomes-Based Funding Map

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