The importance of postsecondary education has increased significantly in the last decade. A high school diploma is no longer sufficient in the 21st century. In order to be successful in today’s global economy a person must receive some form of postsecondary education. The economic stability of the state is tied to citizens who are employed and productive. In a constrained fiscal environment, policymakers also will need to consider whether there are better means of achieving shared goals, including student access and support for research. Such approaches could entail more coordination, other funding mechanisms, or policy reforms. In addition, it will be necessary to think about the implications of parity and whether funding strategies will require changes in order to reach desired outcomes. This paper is intended to provide a starting point for illustrating the various methods of funding higher education for improved performance of institutions.