Performance-based funding, performance-based pay, performance-based assessment:  what gives and why now?  This article goes a long way toward answering those essential questions and the picture ain’t pretty.  

The model for performance-based funding outlined in the Senate budget proposal raises some questions and concerns about how the money would be distributed and what the likely outcomes would be for students and the state’s public higher education institutions.In the proposal, 25 percent of 2018 funding for the state’s universities and community colleges (other than Kentucky State University, which is exempt) is contingent upon each institution’s performance on certain metrics. The main metrics for measuring institutional performance in the Senate’s funding model are: degrees and credentials awarded; student retention read more

Source: Questions and Concerns About the Senate’s Performance-Based Funding Proposal – KY Policy