A new way to fund Texas community colleges focuses on student success, not enrollment

Texas’ new method for funding community colleges could position two-year, public institutions as major players in training students on skills employers say are missing in the state’s labor force.

House Bill 8’s historic $683 million investment in community colleges rewards schools for getting students to complete a degree or certificate, transfer to a four-year university or participate in college courses as early as high school.

HB 8 passed with a near unanimous vote, a contrast to the political polarization that surrounded higher education in 2023 through contentious legislative battles over professors’ tenure and diversity, equity and inclusion offices.