You get what you pay for, the saying goes. A growing number of states are linking higher education dollars to student success, not just enrollment. Performance funding is being adopted or strengthened in a majority of U.S. states. Paying for performance isn't a new idea: Twenty-six states adopted performance funding--usually in the form of small bonuses--between 1979 and 2007, according to the American Association of State Colleges and Universities. Half of those states, though, cut the bonuses when state budgets tightened.
Now, states are moving to Performance Funding 2.0. Some states are increasing the dollars. A few--Indiana, Ohio, and Tennessee--are basing higher-education funding primarily on performance measures, not enrollment. Read more at: