As states work to close racial enrollment and completion gaps in higher education, some have employed policies such as Outcomes Based Funding (OBF) or Promise programs with an explicit racial equity focus. Our new study examined diverse approaches from Minnesota, New Jersey, and North Carolina, interviewing policymakers and institutional leaders to understand how, if at all, these policies are shifting resources to racially minoritized students and the institutions that serve them, particularly Historically Black Colleges and Universities (HBCUs) and Minority Serving Institutions (MSIs). We found that racial equity metrics in OBF formulas are insufficient to address historically inequitable institutional funding, and Promise programs fall short of realizing their goals if they only cover tuition and fees.
The study's lead author, RFA Senior Research Associate Kri Burkander, will present this research next week at the 2024 SHEEO Higher Education Policy Conference in Washington, DC |