How three states are turning non–degree credential data into smarter funding, clearer pathways, and stronger outcomes for students.
What makes a non-degree credential “quality”? It’s not necessarily how many hours someone sits in a classroom, but whether the learning builds real skills that open doors to better jobs, higher wages, and clear next steps on a career ladder. To better understand how a focus on quality and value is driving data-informed policymaking in three states, National Skills Coalition spoke with state leaders in Louisiana, Arkansas, and Texas to hear about the progress they’ve made since the release of NSC’s Charting the Course to Quality report.
We looked at how these leaders are building stronger systems of data collection on non-degree credentials, and how those metrics are shaping policy and funding. States that already collect strong non-degree data are pointing the way forward, and with Congress recently broadening Federal Pell Grants to include short-term, high-quality training programs, this expanded eligibility opens the door further for students. Our ability to understand whether learners actually reach better jobs and higher wages after earning credentials will hinge on strong, transparent data, and the practices and insights below show how to turn greater access into real progress.
Dr. Amy Cable, Chief Student Affairs Officer for the Louisiana Community & Technical College System (LCTCS) shared that Louisiana’s community and technical colleges have recently added noncredit student records into their core student information system and are coordinating with workforce and student-aid partners to understand students’ earnings and employment outcomes. That evidence will support more targeted program eligibility decisions for the M.J. Foster Promise Program, a grant program supporting students in eligible short-term, credit and noncredit programs—meaning improved ability for the state to direct students to programs that result in real economic value and to prune offerings that don’t deliver. The same data is informing statewide attainment strategies and future funding conversations.
Arkansas expanded what colleges report to the state about noncredit training–including adding secure, individual identifiers that allow education records to be linked to wage and employment data. As Tina Moore, Director of Workforce Development at the Arkansas Department of Education, explained, those links will be crucial to helping the state assess alignment with employer demand and evaluate program Return on investment (ROI). Strengthened data on non-degree programs and credentials also informed the state’s decision to increase the Workforce Challenge scholarship award from $800 to $3,000 for eligible credit and noncredit programs, enabling it to cover more of the cost of tuition for students.
In addition, Arkansas’ LAUNCH platform was unveiled earlier this year. It functions as a career-matching tool by pairing people with jobs and training based on the skills a credential represents. Today LAUNCH draws primarily on credit-bearing program data, though they are hoping to incorporate noncredit education outcomes in the future as data improves.
Texas has shifted community college funding toward “credentials of value” under House Bill 8, and this year marks the first cycle of consistent, statewide reporting on non-degree completions through the secure data system, with third-party certifications slated for fuller integration next cycle. David Troutman, Deputy Commissioner for Academic Affairs, and Lee Rector, Associate Commissioner for Workforce Education, with the Texas Higher Education Coordinating Board (THECB), emphasized a pragmatic approach. They talked about tracking earnings over multiple years, using simple guardrails while methods mature, and keeping all colleges at the table as the system evolves. The aim is straightforward. Reward programs that lead to good jobs–without forcing one-size-fits-all metrics.
Together, these interviews show how states are moving from simply counting credentials to measuring whether they pay off—and how they’re building the capacity to act on what they learn. Across the three conversations, a practical playbook emerges.
Make value measurable and start with the building blocks.
Arkansas focused on the foundational data needed to link education to employment and earnings. By adding secure, individual identifiers to noncredit reporting, the state will ultimately be able to run credible wage matches and begin calculating ROI. For states just starting to think about how to collect the data they need to understand non-degree credential value, this approach is a viable pathway to evidence.
“Having Social Security numbers or individual identifiers is critical. We can’t calculate return on investment or understand how much people make after earning a credential without them.” – Tina Moore, Director of Workforce Development, Arkansas Department of Education
Texas’s approach highlights why year-one wages can miss the story and why multi-year earnings and careful attribution across stacked awards are essential to judge which programs truly deliver. The aim is to reward programs that lead to better jobs without forcing one-size-fits-all metrics or prematurely judging emerging pathways. Leaders are also using simple guardrails while methods mature, and staying in close contact and coordination with all 50 community colleges districts in the process.
“Some certificates show strong wage returns right away, while others create steppingstones to further credentials or careers that take longer to pay off. That means we need to give these programs time to demonstrate their full impact.” – David Troutman, Deputy Commissioner for Academic Affairs, Texas Higher Education Coordinating Board
With reliable wage links and cross-agency data sharing, Louisiana is beginning to refine approved program lists and target M.J. Foster Promise dollars to pathways that produce demonstrated outcomes. This ability to identify programs that bring real value to students’ lives will give Louisiana a leg up as they prepare to launch Workforce Pell in the coming months.
“Over the last few years, we’ve made real progress by pulling noncredit records into Banner, our student information system. That integration has improved the quality of our data, especially demographic details, which is critical for tracking student outcomes and understanding impact.” – Dr. Amy Cable, Chief Student Affairs Officer for the Louisiana Community & Technical College System
As more states and institutions prepare for the launch of Workforce Pell, lessons from Louisiana, Arkansas, and Texas offer a roadmap for turning short-term credentials into long-term opportunities.
