JEFFERSON CITY — The Joint Committee on Education unveiled a detailed draft of the higher education funding model this morning. The proposed model is a culmination of discussions from public hearings across the state, two comment periods, research and recommendations to the Joint Committee on Education.

Chairman Sen. David Pearce, R-Warrensburg, said this model provides a rational basis for funding the state’s higher education institutions rather than continuing the current failing funding formula.

Chairman Pearce said, “The old funding formula appropriated a flat percentage increase or decrease to each institution. That formula failed to meet the needs of the institutions evenly across the state.  The new proposed model can be adapted to meet different funding environments or situations. It’s a rational basis for funding the state’s higher education institutions.”

The proposed model focuses on performance. The model provides incentives that support the state goal of increasing the number of Missourians with post-secondary degrees or credentials. The model also encourages institutions to target successful completions by low-income students.

Dr. Stacey Preis, Executive Director of the Joint Committee on Education, said this model does not tell institutions how to spend the funding, but it’s a method for calculating the percentage they will receive.

“This model calculates the amount of each institution’s appropriations, not the distribution,” said Preis. “It also doesn’t replace the distribution method agreed to among the state’s community colleges.”

The need to design a new model was a result of the passage of House Bill 1731 (2012).  That bill required the joint committee to develop a model for appropriating funds to public higher education institutions by Dec. 31, 2013.

Vice Chairman Rep. Mike Lair, R-Chillicothe, said maintaining funding at adequate levels across the state has been a balancing act over the last years.

"I believe that the General Assembly and the citizens of Missouri have spoken clearly in their desire to have the higher education institutions accountable for the tax money the state contributes to their students’ education,” said Lair.  “This formula is not a way of punishing any institution; it is a way of focusing our funding efforts toward the goal of an educated citizenry."

Committee member and Chair of the House Higher Education Committee Rep. Mike Thompson, R-Maryville, said this proposed model will affect public institutions across the state. These tough budget decisions require as much feedback from the public as possible.

"I believe that the joint committee, and the outstanding staff that has worked tirelessly on this proposal for months, has created a model that will not only address the requirement of the law, but could be the answer to that continual debate on fair and equitable funding in our state,” said Thompson. “I look forward to future discussion on how we can improve and implement this model."

The committee will accept comments on the proposed funding model until Monday, Feb. 11, 2013.  Comments can be submitted to stacey.preis@senate.mo.gov.

Joint Committee on Education 

Higher Education Funding Model Proposal – Timeline of Activities To-Date