1. New CEO Student Centered Funding Formula Taskforce
Area 1 – Willy Duncan, Sierra CCD (Co-Chair) At Large – Marlon Hall, Lassen CCD (Co-Chair) Area 2 – Doug Houston, Yuba CCD Area 3 – Tom Burke, Kern CCD Area 4 – Michael Claire, San Mateo College Area 5 – Fred Wood, Contra Costa CCD Area 6 – Dianne Van Hook, Santa Clarita CCD Area 7 – Otto Lee, Los Angeles Harbor College Area 8 – Bill Scroggins, Mt. San Antonio CCD Area 9 – Ed Knudsen, Antelope College Area 10 – Cheryl Marshall, North Orange CCD Area 11 – Kindred Murillo, Southwestern CCD At Large – Joi Lin Blake, Palomar CCD At Large – Celia Esposito-Noy, Solano CCD At Large – John Fernandez, Santiago Canyon College

2. New CEO Student Centered Funding Formula Taskforce
Task force duration will be 1-3 years depending on the implementation of the funding formula and changes that are made.
Our goal will be to engage CEOs and other stakeholder groups within the system to provide a forum for feedback and ideas relative to the funding formula.
We plan to provide opportunities to hear directly from stakeholders regarding their ideas and concerns.
Our input will be communicated to Chancellor Oakley and likely the legislature and the Administration.
There will be regular communication out to the field, including a dedicated web page for easy access to documents and information.

3. Previous CEO Workgroup: Areas of Analysis
Impact of regulations such as the FON and 50 percent law
Final adjustments of Success for All metrics
Impact on noncredit programs (non-CDCP)
Reporting alignment within other categorical programs not identified in this recommendation
Programs addressing the needs of older students (25 years and older)
District basic allocations to better reflect fixed operating costs associated with serving students
Program Transition
The previous CEO Workgroup had identified some areas of analysis that are needed which will be included in our work.

4. Student Centered Funding Formula Update for CIO Fall Conference
William H. Duncan, IV Sierra College Superintendent/President

5. Student Centered Funding Formula Background Information
Proposed by the Governor in January
Stakeholder input to Chancellor, Dept. of Finance and the Legislature
Legislative hearings
Senate rejected the formula
Assembly rejected the formula, but directed the CCCCO and BOG to create a task force to report to legislature by March 1, 2019
Formula was added back to the budget bill during Conference and after negotiation with the Governor
What happened after my last presentation in April 2018

6. Unique Political Dynamic
Governor Edmund G. Brown
Chancellor Eloy Oakley
Election Year
Gavin Newsome
Janus ruling
Much of what occurred last year was because of the rather unique political dynamic that existed.
Brown is one of the most powerful Governors we have had in California and has been able to get many of his top priorities enacted
This is an election year with a new Governor coming into office and Governor Brown has a large campaign account and he is willing to use it which set the stage for lots of bargaining with legislators
Chancellor Oakley has a good relationship with Governor Brown and this was a priority
New Governor expected to be Newsome who was in favor of the funding formula but didn’t want to tackle it right as he was coming into office
Janus ruling looming large and the unions wanted certain things in exchange for their support

7. Implementation Team Board of Governors Legislature Governor
The committee consists of 12 members:
Four (4) members appointed by the Senate Committee on Rules with at least one a community college classified employee.
Four (4) members appointed by the Speaker of the Assembly with at least one a community college faculty member.
Four (4) members appointed by the Governor serving a four-year term with at least one a community college administrator.
Board of Governors
Legislature
Governor
Oversight Committee
Advisory Groups
New CEO Taskforce
Fifteen (15) CEOs:
1 from each area
4 at large members
The Area CEO’s selected their representatives ensuring all areas and types of colleges are represented appropriately
On click – Oversight committee info

8. Campus Perspective & Preparation
In case you want to inject some humor – here are some possible options

9. Campus Perspective & Preparation
Reviewed CCCCO budget simulations
Identified emerging issues
Accurate collection and reporting of data is critical
Comprehension of metric definitions integral
Formed workgroup to include Budget, Research, Instruction and Student Services
Aligning strategic planning goals with Vision for Success goals
We are fortunate that Sierra College has a relatively mature student success and equity agenda. We are deeper into Guided Pathways and other student success interventions than most colleges. Because of this, we believe we are less susceptible to chasing the dollars and losing sight of our educational mission and goals.

10. To give an idea of information available on the Chancellor’s Office website
Simulation spreadsheet has tabs for Allocations, Base Allocation, Supplemental Allocation, Student Success Allocation, Data Dictionary, FTES Data, Basic Allocation Data, Supplemental Data, Student Success Data
[From Chancellor’s Office Student Centered Funding Formula webpage:

11. Vision for Success
1. Over five years, increase by at least 20% the number of students who acquire associates degrees, credentials, certificates, or specific skill sets that prepare them for an in-demand job. 
2. Over five years, increase by 35% the number of students transferring to a UC or CSU. 
3. Over five years, decrease the average number of units accumulated by students earning associate’s degrees, from approximately 87 total units (the most recent system-wide average) to 79 total units—the average among the quintile of colleges showing the strongest performance on this measure. (Associate’s degrees typically require 60 units.)
4. Over five years, increase the percent of exiting CTE students who report being employed in their field of study, from the most recent statewide average of 60% to an improved rate of 69%—the average among the quintile of colleges showing the strongest performance on this measure and ensure the median earning gains of the exiting students are at least twice the statewide consumer price index. 
5. Reduce equity gaps across all of the above measures through faster improvements among traditionally underrepresented student groups, with the goal of cutting achievement gaps by 40% within 5 years and fully closing those achievement gaps within 10 years. 
6. Over five years, reduce regional achievement gaps across all of the above measures through faster improvements among colleges located in regions with the lowest educational attainment of adults, with the ultimate goal of fully closing regional achievement gaps within 10 years.

12. 1. Base Allocation: Primarily credit FTES 70% (ACCESS)
Vision for
Success Goal:
Base Credit FTES
$3,727 per FTES
Areas of Focus:
CDCP, Special Admit Credit, and incarcerated credit*
$5,547 per FTES
Marketing
Non-credit students
$3,347 per FTES
Onboarding
Dual Enrollment
*Rate remains the same to encourage districts to continue to serve this population of students;
they will also be included in supplemental and Student Success metrics
2. Supplemental Allocation: Low-income students 20% (EQUITY)
Pell
$919 per student 5
AB540
Financial Aid
Promise
Support Services
Local Promise
*Unduplicated headcount
3. Student Success Allocation: Outcomes related to Vision for Success 10% (SUCCESS)
Student Success Allocation Measures
All Students
Total
Funding Rate for Points
$440
$111
Point Value/Funding
Associate Degree for Transfer (ADT)
4/$1760
4/$444
6/$666
$2,870
Articulation 1
Associate Degree (AA)
3/$1320
3/$333
4.5/$499.50
$2,152.50
Bachelors Degree
Counseling
Certificates (credit, at least 16 units)
2/$880
2/$222
$1,435
Professional Dev
Completion of Transfer Level Math and English in 1st yr
Scheduling
2,3,5
Transfer to 4-year
1.5/$660
1.5/$167
2.25/$250
$1,076.50
Research 2
Completion of 9 or more CTE units
1/$111
$717.50
1,3
Attainment of regional living wage
4,6
Summary spreadsheet w suggested areas of focus and alignment w Vision for Success goals

13. Discussion on the Student Centered Funding Formula
Chancellor’s Office
Discussion on the Student Centered Funding Formula

14. “Waves are not measured in feet and inches
“Waves are not measured in feet and inches. They are measured in increments of fear.”

15. “…state leaders have truly delivered on a promise to put students first and set an example for the rest of the nation by adopting a new funding formula that incentivizes student success…”

16. Overview Calculation Information Insights Regarding Future Actions
Implementation Information
Insights Regarding Future Actions
September 8, 2018

17. Principles for Reform
In reforming funding for community college districts, we should aim to do the following:
Encourage progress toward the Vision for Success adopted by the Board of Governors.
Provide groups of students that have faced barriers to success with additional support to meet our goals.
Make resources most useful to community college districts by making them stable, predictable, and flexible.
We want community college finance to further the activities the Chancellor’s Office is undertaking through the Guided Pathways framework.

18. Student Centered Funding Formula
The new formula calculates apportionments generally using three allocations:
Base Allocation—Current factors (primarily credit FTES).
Supplemental Allocation—Counts of low-income students.
Student Success Allocation—Counts of outcomes related to the Vision for Success, with “premiums” for outcomes of low-income students.
Under this structure, noncredit FTES and some credit FTES would be funded at current rates.
The rates are calculated to provide a three-year transition to the new funding rates.

19. New Elements—Supplemental Allocation
For the supplemental allocation, a district would receive one “point” based on the counts of all of the following in the prior year:
Pell Grant recipients.
California College Promise Grant recipients.
AB 540 students.

20. New Elements—Student Success Allocation
Measures
All Students
CCPG Recipients 1/
Pell Grant Recipients
Associate degrees for transfer granted 4 6
Associate degrees granted (excluding ADTs) 3
4.5
Baccalaureate degree granted
Credit certificates (16 units or more) granted 2
Completion of transfer-level mathematics and English courses within first academic year of enrollment
Successful transfer to four-year university
1.5
2.25
Completion of nine or more CTE units 1
Attainment of regional living wage
1/ CCPG = California College Promise Grant.

21. New Elements—Funding Rates /1 /1
Base Allocation
Dollars/Credit FTES
$3,727
$3,387
$3,046
Dollars/Credit FTES of Special Admits
$5,457
Dollars/Credit FTES of Inmates in Correctional Facilities
Dollars/Noncredit FTES
$3,347
Dollars/CDCP Noncredit FTES
Basic Allocation *
Supplemental Allocation (Dollars/Point)
$919
Student Success Allocation
All Students (Dollars/Point)
$440
$660
$880
CCPG and Pell Grant Recipients (Dollars/Point)
$111
$167
$222
1/ These totals will be adjusted by the changes in the cost-of-living in those years.

22. Funding Stability Provisions
Line
and Outyears 1
SCFF Calculation 2
Total Computational Revenue (TCR) (No COLA)
TCR (No COLA)
N/A 3
Credit, Noncredit, and CDCP Noncredit Rates, with Basic Allocation, Applied to Workload (No COLA)
Credit, Noncredit, and CDCP Noncredit Rates, with Basic Allocation, Applied to (or Current) Workload (No COLA) 4
Greater of Line 1 or Line 2 in
Greater of Line 1 or Line 2 in
Greater of Line 1 or Line 3 in (or Prior Year) 5
TCR—Adjusted by COLA
TCR—Adjusted by and COLAs
TCR—Adjusted by , , and COLAs

23. Upcoming Deadlines Deadline Description October 30
Districts required to submit data on awards in MIS.
November 1
Districts required to submit data on financial aid in MIS.
November 30
Chancellor’s Office makes SCFF data available on Data On Demand for review.
Districts required to submit all final corrections in MIS for use as part of the supplemental allocation and student success allocation.
Before December 31
Chancellor’s Office makes final SCFF data available on Data On Demand.
February 20
SCFF apportionment released for the current fiscal year ( ).
September 8, 2018

24. Links to Educational Programs
Districts are required to do the following:
Goals—Adopt, by January 1, 2019, of goals that are aligned with the Vision for Success.
Comprehensive Plans—Align comprehensive plans with those goals and alignment of annual budgets with the comprehensive plans.
Capacity—If directed by the chancellor (with approval by the Board of Governors), use funds for technical assistance or professional development.

25. Links to Educational Programs
The legislation also creates several new responsibilities for the Chancellor’s Office— specifically, the development of:
Processes to monitor the approval of new awards, certificates, and degree programs.
Processes to monitor the number of students who transfer to for-profit postsecondary educational institutions, with required reports on the growth of transfer to these institutions compared to transfer to the UC and the CSU.
Minimum standards for the approval of certificates and awards that would count toward the funding formula.
September 8, 2018

26. Links to Educational Programs
The budget also established the Student Equity and Achievement Program, with the intent of providing districts with additional flexibility to support students—especially those with the greatest needs—in meeting the outcomes included in the Student Centered Funding Formula.
September 8, 2018

27. Chancellor’s Office Implementation Team
Board of Governors
Legislature
Governor
Oversight Committee
Advisory Groups
Chancellor’s Office Implementation Team

28. Implementation Team
To communicate how the implementation of the SCFF can advance the Vision for Success under the Guided Pathways framework.
To apportion funds consistent with the related statutes.
To align system policies and practices with these changes.
To support community colleges in implementing these policies by providing professional development and technical assistance.
To make decisions transparently and with advice from interested parties.

29. Oversight Committee
Budget legislation would create an oversight committee consisting of 12 members appointed by the Senate Rules Committee, the Assembly Speaker, and the Governor.
The committee would make recommendations:
By January 1, 2020, on use of measures (as part of the supplemental allocation) related to a student’s status as a first-generation college student, a student’s financial need given regional considerations, and a student’s academic proficiency.
By June 30, 2021, on funding for noncredit courses and instructional service agreements, as well as methods by which allocations could be adjusted in a recession.

30. Other Concerns
We have heard concerns that a district would not receive points in the student success allocation for the following:
A student who has completed a transfer-level mathematics course in the district and a transfer-level English course in another district (or vice versa).
A student who has taken some CTE units (less than nine) in the district and some CTE units (less than nine) in another district—even if those units total nine units or more.
A “special admit” student (generally a high school student in dual or concurrent enrollment) who has achieved outcomes included in the new formula (e.g., completion of nine CTE units or completion of transfer- level mathematics and English within one year).

31. Other Concerns
We have also heard concerns that the formula might encourage districts to create new certificates or pathways that have limited value for the student, because formula allocates points in the student success allocation based on the total number of outcomes across the categories, with multiple outcomes achieved by the same student counted each time.

32. Advisory Workgroup on Fiscal Affairs
The Chancellor asked the Advisory Workgroup on Fiscal Affairs to lend expertise on the following:
The adoption of regulations that clarify the provisions of the related statutes.
The development of new reports, including apportionment reports, that reflect the formula and associated processes to collect data from districts.
The production of tools that would help business officials and other local leaders forecast revenues under the formula, including new multi-year planning tools.
The Chancellor also asked for appointment of members who serve in other roles. This will include a CIO!

33. Budget and Legislative Request
A primary component of the budget and legislative request for approved by the Board of Governors is an increase an appropriations for the Student Centered Funding Formula, with related changes in statues to adjust funding rates.
The costs of a 5-percent adjustment are estimated to be $345 million.
In addition, the board is requesting:
$250,000 in and ($500,000 total) for support of oversight committee.
$250,000 in , , and ($750,000 total) for evaluation.
September 8, 2018

34. Budget and Legislative Request
The Board of Governors is also requesting a 5-percent increase in funding for the Student Equity and Achievement Program, amounting to $23 million (in addition to the $475 million currently budgeted).
Further, the bard of authority to establish a methodology for allocation of funds appropriated for the program—a formula that should create appropriate financial incentives for meeting the goals of the Vision for Success.
September 8, 2018

35. Resources to Support Implementation
Through Guided Pathways, the Chancellor’s Office is supporting districts in making changes to improve student success. Specifically:
Professional Development
Vision Resource Center
Regional Coordinators
We are also encouraging leaders to participate in upcoming Guided Pathways workshops.

36. Upcoming Events There are also two upcoming SCFF webinars:
Linking to Local Goals—November 5, 2018, 2:00 pm to 3:30 pm
Strengthening Student Equity and Achievement—December 2018
The Chancellor’s Office team will also be presenting at many conferences and events this fall—let us know if there are places we should be!

37. More Information
To receive responses to questions or to provide comments on implementation, please
To Chancellor’s Office will post updates, including responses to frequently asked questions, at

38. Deeper Dive—Base Allocation

39. Credit FTES The funding rate for 2018-19 is $3,727.
The base equals the three-year average of current year, prior year, and prior, prior year.
For the current year, we assume for purposes of our estimates any restoration of prior year declines.
Growth will be calculated from this three-year average base.

40. Noncredit FTES The funding rate for 2018-19 is $3,347.
The funding rate is unchanged from current practice.
For purposes of our estimates, we calculate growth from prior year FTES, adding any restoration that occurs.

41. Career Development and College Preparation (CDCP) FTES
The funding rate for is $5,457.
The funding rate is unchanged from current practice.
For purposes of our estimates, we calculate growth from prior year FTES, adding any restoration that occurs.

42. Inmates in Correctional Facilities Credit FTES
The funding rate for is $5,457.
The funding rate is unchanged from current practice for this population of students.
This workload measure will be identified on new apportionment reports.

43. Inmates in Correctional Facilities Noncredit FTES
The funding rate for is $3,347.
The funding rate is unchanged from current practice for this population of students.
This workload measure will be identified on new apportionment reports.

44. Special Admits Credit FTES
The funding rate for is $5,457.
Funding rate remains unchanged from current funding rate for this population of students.
This workload measure will be identified on new apportionment reports.

45. Deeper Dive—Supplemental Allocation

46. Supplemental Allocation
The funding rate for is $919 per count of the following:
Pell Grant recipients.
California College Promise Grant recipients.
AB 540 students.
Counts are from the prior year.
That is, counts will be updated in fall of the current year to determine funding for the budget year.

47. Deeper Dive—Student Success Allocation

48. Associate Degrees for Transfer
Group
Rates
All Students
$1,760
Pell Grant Recipients
$666
California College Promise Grant Recipients
$444
Note: Count of all ADTs by district, with point assigned to district granting degree. No minimum unit requirement for student to be counted.

49. Associate Degrees Group Rates All Students $1,320
Pell Grant Recipients
$500
California College Promise Grant Recipients
$333
Note: Count of all associate degrees by district, with point assigned to district granting degree. No minimum unit requirement for student to be counted.

50. Baccalaureate Degrees
Group
Rates
All Students
$1,320
Pell Grant Recipients
$500
California College Promise Grant Recipients
$333
Note: Count of all baccalaureate degrees by district, with point assigned to district granting degree. No minimum unit requirement for student to be counted.

51. Credit Certificates (16 Units or More)
Group
Rates
All Students
$880
Pell Grant Recipients
$333
California College Promise Grant Recipients
$222
Note: Count of all credit certificates by district, with point assigned to district granting certificate. No minimum unit requirement for student to be counted.

52. Completion of Transfer-Level Mathematics and English within First Year of Enrollment
Group
Rates
All Students
$880
Pell Grant Recipients
$333
California College Promise Grant Recipients
$222
Note: MIS special data run. Completion of both math and English in the same academic year (summer, fall, winter, spring).

53. Successful Transfer to Four-Year University
Group
Rates
All Students
$660
Pell Grant Recipients
$250
California College Promise Grant Recipients
$157
Note: MIS special data run. Students must have 12 or more units at a community college to count. Direct match with CSU, UC and Clearinghouse.

54. Completion of Nine or More CTE Units
Group
Rates
All Students
$660
Pell Grant Recipients
$250
California College Promise Grant Recipients
$157
Note: MIS special data run.

55. Attainment of Regional Living Wage
Group
Rates
All Students
$440
Pell Grant Recipients
$167
California College Promise Grant Recipients
$111
Note: MIS special data run. Count of students enrolled in and then attained their county living wage in Use of the Insight Center for Community Economic Development Self-Sufficiency Tool.

56. Questions?