Funding Formulas
Funding formulas define how the total funding available for Adult Education statewide is divided between grantees/consortia. State Adult Education funding is divided using a different formula than Federal Adult Education funding.

State Funding Formula
Minnesota state statute provides funding for approved Adult Education consortia based on a formula with four components. An initial allocation goes to each consortium based on school district member community education census count. The remaining funding is divided into three pots, with the majority of funds being allocated based on prior year contact hours, and smaller amounts allocated based on school district member LEP (Limited English Proficiency) counts and school district member over-25 no-diploma counts. In recent years approximately $52,000,000 in state Adult Education funding was distributed annually to approved Adult Education consortia.
Note: the term “contact hours” refers to instructional time for Adult Education students. One Adult Education student receiving one hour of instruction = one contact hour.

Federal Funding Formula
Minnesota Adult Education receives funds from the Federal Department of Education as authorized by Title II of the Workforce Innovation and Opportunity Act (WIOA). Approved Adult Education consortia in Minnesota receive federal Adult Education funding based on a formula with two main components. An initial allocation is distributed based on enrollment and provides funding related to accountability and technology, including the data system (SiD), testing and instructional technology. Smaller amounts are also distributed to consortia that serve students with low-incidence disabilities and to consortia that serve as the fiscal host for the regional transitions funding (see Regional Transitions Activities for more information). The remainder is distributed based on the consortium’s share of state-wide contact hours and is intended to support Adult Education programming in general. In recent years approximately $5,000,000 of federal Adult Education funding was distributed annually to approved Adult Education providers.
Note: the term “contact hours” refers to instructional time for Adult Education students. One Adult Education student receiving one hour of instruction = one contact hour.