The Institutional Finance and Capital Projects Division provides fiscal oversight to the state’s 24 publicly funded colleges and universities and three special schools.
The Division runs the higher education funding formula. In the General Appropriation Act of 2011, the New Mexico legislature directed HED to overhaul the formula to shift from an input based to an outcome-based approach. The previous formula was based on calculation of such items as student enrollment on the 20th census date, student headcount, equipment replacement costs, building replacement and renewal, building operations and maintenance costs, tuition, land grant permanent fund, mill levy, tuition waivers, and dual credit adjustments. The new formula is based on four outcome measures – student credit hours completed, total awards of certificates and degrees, workforce development and outcomes for at-risk students. In 2012, HED plans to expand the formula by adding several sector-specific outcome measures and to refine the existing four measures.