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Changes Urged In Funding Community Colleges

Changes Urged In Funding Community Colleges

A report submitted to state leaders ahead of the 88th legislative session’s opening in January urges lawmakers to develop “an innovative new model” to fund community colleges.

The Texas Commission on Community College Finance, established last year by the Legislature and consisting of 12 lawmakers, business leaders and community college leaders, offered three sets of recommendations for supporting the state’s strategic plan for higher education:

• Reward community colleges for positive student outcomes

• Increase affordability and financial aid

• Increase capacity at colleges to meet changing workforce needs “We need a funding model for our 50 community college districts that is bold, strategic and fully aligned with our emerging workforce needs,” said Woody Hunt, a member of the commission and longtime business leader.

The commission also recommended the state make community colleges more affordable by increasing financial aid provided by the state, more aid for dual-credit courses and supporting workbased educational opportunities, such as internships and apprenticeships.

Under the state’s current system for funding community colleges, most revenue comes from tuition and property taxes levied by the college district. The state also contributes some funding.

New Power Grid Market Draws Skeptics

The state Public Utility Commission is proposing an untested structure for the state’s power grid after legislators ordered its overhaul in the wake of the 2021 winter storm. The Dallas Morning News reported the proposed “performance credit mechanism,” or PCM, “offers power producers a financial reward to have their plants available during times when Texans are consuming the most energy.” Some lawmakers are skeptical. State Sen. Charles Schwertner, R-Georgetown, questioned why the PUC would create a new, untested market mechanism, according to The Morning News. In addition, a consulting firm hired by the PUC did not recommend the PCM.

The public and stakeholders have until Dec. 15 to submit comments on the proposal.

“I’m looking forward to seeing what the marketplace and people tell us,” Peter Lake said.