Policymakers should provide additional funding for community colleges to provide high-quality, in-demand skills training. This funding should be based on 1) characteristics of the student body (with greater funding allocated to schools with greater shares of students from disadvantaged backgrounds); 2) the labor market conditions in the local community, such as the local employment rate; and 3) demonstrated improvements in student retention and completion.
Delaware and Tennessee were among the first states to develop “College Promise” programs, which expanded funding for community colleges.