2014 – The aim of this policy report is to discuss the considerations for MSIs in state Performance Funding policy development. The report provides policy makers with a typology of metrics including those that have been used in previous and existing state Performance Funding policies to address issues of equity and diversity and specific institutional types like MSIs, Community Colleges, and Research Universities. The report provides a framework for policy makers developing Performance Funding formulas. Performance Funding policies are challenged by limitations of available data, difficulty identifying appropriate metrics for such a diverse set of organizations, and the challenges with defining and measuring educational value and success. Therefore, many state policy makers should move cautiously in adopting these funding models and carefully consider the nation’s most vulnerable institutions that are often serving the most neglected student populations, public MSIs.