(1) Acts 2017, No. 148 repealed the needs-based and outcome-centered funding formulas as prescribed in Arkansas Code §§ 6-61-210 [repealed], 6-61-224 [repealed], 6-61-228 [repealed], 6-61-229 [repealed], 6-61-230 [repealed], and 6-61-233 [repealed], and amended Arkansas Code § 6-61-234.
(2) Acts 2017, No. 148 directs the Arkansas Higher Education Coordinating Board to adopt policies developed by the Division of Higher Education necessary to implement a productivity-based funding model for state-supported institutions of higher education.
(b)
(1) Productivity-based funding is a mechanism to align institutional funding with statewide priorities for higher education by incentivizing progress toward statewide goals.
(2) At the same time, such models encourage accountability to students and policymakers by focusing on the success of students through the achievement of their educational goals.
(3) The new funding model is built around a set of shared principles developed by institutions and aligned with goals and objectives for postsecondary attainment in our state.
(c)
(1) A set of guiding principles, which is described below, is important to orient the design of a new funding model for public higher education institutions.
(2) These guiding principles allow the development of a productivity-based funding model which is student-centered and responsive to postsecondary attainment goals, while creating a funding context which enables: