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:
- Enrollment metrics for students of color
- Success metrics for students of color
- Enrollment metrics for students from low-income backgrounds
- Success metrics for students from low-income backgrounds
- 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-Year Institutions
Massachusetts adopted performance-based funding for two-year institutions in 2013. However, since 2016, the OBF funding has only amounted to 1% of appropriations. With such a low threshold, the impact of the policy, and each individual metric, is naught.
The metrics in the formula are as follows:
| Certificate Completion Weight | 10% |
| Associate Completion Weight | 15% |
| Transfers Above 24 Credit Hours Weight | 5% |
| 30 Credit Hours Weight | 5% |
| Completions: English Weight | 7% |
| Completions: Math Weight | 8% |
| Awards per 100 FTE | 5% |
| Achieving the Dream Success Rate(3-Year Average) | 45% |
| TOTAL | 100% |
The policy applies additional weights for “alignment metrics” focused on areas of performance with specific relevance to The Vision Project – the Board of Higher Education’s former strategic plan. Pell students are assigned a multiplier of 2, while priority associate degrees and priority certificates are assigned a multiple of 1.3.
The policy does not include a metric that measures campus climate.
The policy is overseen by the Massachusetts Department of Higher Education and the Board of Higher Education.
More information can be found at https://www.mass.edu/foradmin/trustees/documents/FundingFormulaOverviewTrusteesOverviewv3.pptx
Two-Year Institutions |
|
| Enrollment of Students of Color | None |
| Success of Students of Color | None |
| 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
Massachusetts adopted performance-based funding for four year institutions in 2015. The model applies to all two- and four-year institutions in the state, including 29 campuses divided into three segments: 15 community colleges, nine state universities, and five university campuses.
The states used information from the Vision Project, the state’s former strategic plan for higher education, to create the OBF metrics. The metrics include:
- College Participation
- Closing the underrepresented minority gap
- Students retained with 30 credit hours
- Students retained with 60 credit hours
- College Completion
- Graduation rate improvement
- Degrees per 100 undergraduate full-time equivalent (FTE) students
- Degrees per 100 graduate full-time equivalent (FTE) students
- Year-over-year increases in the total number of degrees
- Workforce Alignment
- Increases in the numbers of priority-defined degrees
- Productivity
- Degrees per $100,000 of total revenue
- Special mission institutions
- Recognizing their differences and distinct missions, funds in the outcome model can be allocated to offset some of the additional costs of delivery and instruction related to these defined institutions. Where applicable, bonuses are added for counts including “at-risk students,” who are defined as Pell recipients
The five main-level metrics are given weights, which correspond to the amount of available funds going toward each main-level metric:
- College Participation (default: 20%)
- College Completion (default: 30%)
- Workforce Alignment (default: 17.5%)
- Productivity (default: 17.5%)
- Special Mission Institutions (default: 15%)
Within each main-level metric, each of the sub-level metrics has a weighting structure as well. This allows for fine-tuning of the sub-level metrics within each main-level metric. By default, each of the sub-level metrics listed in the bullet points is weighted equally.
While most measures in this outcome model are data-driven, there is one non-data-driven measure that ensures that a fixed share of available funds goes to mission-specific institutions. The policy does not have a campus climate metric. The policy is overseen by the Massachusetts Department of Higher Education and the Board of Higher Education. More information can be found at: https://www.mass.edu/bhe/lib/documents/FAAP/FAAP15-34StateUniversityFundingFormula_withattachment.pdf
The state is in the process of considering a redesign, but it has been delayed by COVID-19. The Massachusetts Board of Higher Education plans to update the metrics soon and is developing a multi-year strategic plan to close equity gaps. If done right — i.e., if there is sufficient funding and there are updates to incentivize institutions to embrace equity — the OBF model could be used as a tool to eliminate equity gaps.
Four-Year Institutions |
|
| Enrollment of Students of Color | Mandatory |
| Success of Students of Color | None |
| Enrollment of Students From Low-Income Backgrounds | Mandatory* |
| Success of Students From Low-Income Backgrounds | None |
| Measure Related to Campus Climate | None |
*only applies to select institutions
