Postsecondary and Higher Education

Performance-Based Funding Council (PBFC)

The Governor and the General Assembly created the Performance-Based Funding Council (PBFC) through Act 90 of 2024. The PBFC was charged with developing a process to distribute funding to the Pennsylvania State University, Temple University, and the University of Pittsburgh (the State-Related Universities). The PBFC published a final report in May 2025, setting forth a set of recommendations to the Governor and the General Assembly to implement a process for distributing funding to the universities.

The process recommended in the final report was incorporated into law through Act 47 of 2025. The process created a performance-based formula where funding is determined through a series of weighted student counts and institutional metrics and goals of high priority to the Commonwealth.

Each year, PDE collects required information related to student counts and institutional performance from each institution. The PBFC then adopts and publishes in the PA Bulletin the annual performance weights and goals utilized by the formula established in statute to allocate funding.

The 2026-2027 enacted budget appropriated $10,000,000 for the purpose of performance-based funding. Based on the information submitted to PDE and the weights and goals adopted by the PBFC, the statutory allocation of funding through the performance-based funding formula for 2026-2027 fiscal year are as follows:

InstitutionAmount
Pennsylvania State University$4,483,105
University of Pittsburgh$2,683,351
Temple University$2,147,582

Additionally, PDE is required to publish on its website the following information utilized by the formula:

  1. The current year data for each metric and student-weighted count category used in the performance-based funding formula .
  2. The performance goals and weights adopted by the PBFC for the current year.

The data for the State-Related Universities used in the allocation of 2026-2027 performance-based funding, as well as the PBFC adopted performance goals and weights are listed below.

  1. The current year data for each of the metrics included in the student-weighted count and each metric included as a performance metric under section 2035-L.[24 P.S. § 20-2036-L(b)(1)]

    Pennsylvania State University

    Metrics4-Year
    Graduation
    Rate
    6-Year
    Graduation
    Rate
    6-Year
    Graduation
    Rate (PELL) 
    High Demand
    Degree
    Production
    2023-202459.4%73.2%62.9%6,819
    2024-202561.2%74.0%61.2%6,897

    Weighted
    Student
    Counts
    Full-Time, Fall
    Undergraduate
    Students
    Students who 
    have received
    a Pell Grant
    Students who
    transferred
    from a 
    community
    college
    Students
    from a low-
    matriculation
    high school
    Sudents
    who earned a
    high-demand
    degree
    Students who
    have earned
    60 credits by
    the start of
    the third year
    Total
    2024-202541,34123,5806,6534,3718,9068,75193,602

    Temple University

    Metrics4-Year
    Graduation
    Rate
    6-Year
    Graduation
    Rate
    6-Year
    Graduation
    Rate (PELL) 
    High Demand
    Degree
    Production
    2023-202454.2%75.5%66.9%2,302
    2024-202554.0%74.0%66.0%2,058

    Weighted
    Student
    Counts
    Full-Time, Fall
    Undergraduate
    Students
    Students who 
    have received
    a Pell Grant
    Students who
    transferred
    from a 
    community
    college
    Students
    from a low-
    matriculation
    high school
    Sudents
    who earned a
    high-demand
    degree
    Students who
    have earned
    60 credits by
    the start of
    the third year
    Total
    2024-202513,21611,6233,5789462,5741,68433,622

    University of Pittsburgh

    Metrics4-Year
    Graduation
    Rate
    6-Year
    Graduation
    Rate
    6-Year
    Graduation
    Rate (PELL) 
    High Demand
    Degree
    Production
    2023-202467.2%78.8%63.6%2,339
    2024-202570.4%78.9%67.2%2,493

    Weighted
    Student
    Counts
    Full-Time, Fall
    Undergraduate
    Students
    Students who 
    have received
    a Pell Grant
    Students who
    transferred
    from a 
    community
    college
    Students
    from a low-
    matriculation
    high school
    Sudents
    who earned a
    high-demand
    degree
    Students who
    have earned
    60 credits by
    the start of
    the third year
    Total
    2024-202515,7347,5452,2891,3133,1404,08534,106


  2. The performance goals and weights assigned by the council and published in the Pennsylvania Bulletin for the performance metrics. [24 P.S. § 20-2036-L(b)(2)] 

    Goals assigned to University Metrics

    Institution4-Year
    Graduation
    Rate
    6-Year
    Graduation
    Rate
    6-Year
    Graduation
    Rate (Pell)
    High
    Demand
    Degree
    Production
    Pennsylvania State University64.4%78.2%67.9%7,256
    Temple University59.2%80.5%71.9%2,818
    University of Pittsburgh72.2%83.8%68.6%2,683

    Weights assigned to University Metrics and Weighted Student Counts

    University MetricWeight
    4-Year Graduation Rate1.5
    6-Year Graduation Rate1.0
    6-Year Graduation Rate (Pell)1.5
    High Demand Degree Production1.0

    Weighted Student CountsWeight
    Full-Time, Fall Undergraduate Students1.0
    Students who have received a Pell Grant1.4
    Students who transferred from a community college1.4
    Students from a low-matriculation high school1.4
    Students who earnd a high-demand degree1.25
    Students who have earned 60 credits by the start of the third year1.4