Fiscal Policies and Procedures

General Adult Education Funding Formula:

To ensure a more equitable, transparent, and outcomes-driven approach to resource allocation, NM Adult Education has adopted a new funding formula beginning in FY 25-26. This formula includes three components:

1. Base Funding ( $100,000): Each program is allocated a  base amount of $100K to support core operations and maintain service capacity regardless of size.

2. Performance-based Funding:  20% of the total allocation is distributed based on the program’s performance  and is tied to the number of students within each program who achieve a Measurable Skill Gain (MSG) in the last two program years.

3. Enrollment-based Funding: Remaining funds are distributed proportionally according to the average number of students served by the program in last two fiscal years.

This model supports both access and quality by ensuring all programs have a stable foundation while also rewarding demonstrated student progress and increased access.

Integrated Education and Training Funding Formula

To support the growth and sustainability of Integrated Education and Training (IET) programs, a dedicated funding formula has been developed that emphasizes both access and capacity-building. The IET funding model consists of two components:

1. Base Funding ($70,000): Each funded IET program receives a fixed base amount of $70,000 to ensure a stable foundation for essential instructional and coordination activities, regardless of program size.

2. Enrollment-Based Funding: Remaining funds are allocated proportionally based on the number of participants served in each IET program. This incentivizes outreach and expansion while ensuring that resources follow student demand.

Together, this formula promotes equitable access to IET opportunities while encouraging programs to grow and serve more learners in high-demand career pathways.