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August 2026

Greetings,

I have just returned from a week in Vermont, where we had our annual meeting with the Stone Arch Insurance Company and attended the annual conference of the Vermont Captive Insurance Association. Vermont is the number one domicile for captive insurance, defined as an insurance company created and wholly owned by a parent company or group to insure its own risks or the risks of participating members. We appreciated the opportunity to share our plans and learn from colleagues as MHEC proceeds with development of its own sponsored cell captive program, which will be designed to rent cells to higher education institutions at below-market rates.

Earlier this month I attended the annual policy conference of the State Higher Education Executive Officers Association (SHEEO). It was great to spend time with fellow leaders, including several MHEC Commissioners, and to attend plenary sessions on higher education's civic responsibility, the government-academic social contract, and the anchor economy, among many other topics. We also received a federal update from leaders from the U.S. Departments of Labor and the Education.

Our office move is underway, and construction is moving along quickly. The new offices will provide our organization with much improved and needed collaboration, work, and meeting spaces. We appreciate the support of the Commission in making this move possible.

Wishing you all a wonderful end to summer.

With thanks,

Susan G. Heegaard

President

L-R: Breanne Hegg, MHEC vice president for programs, contracts, and communications; Susan G. Heegaard, MHEC president; Benjamin Coder, MHEC programs and contracts manager

LATEST NEWS

MHEC Awards Strategic Impact and Innovation Grant to Missouri Department of Higher Education and Workforce Development

The Midwestern Higher Education Compact (MHEC) has awarded the Missouri Department of Higher Education and Workforce Development (MDHEWD) a $250,000 Strategic Impact and Innovation Grant to modernize three critical systems that connect learners, institutions, and state operations.

Funding will allow MDHEWD to:

• Create a student-centered discovery and decision tool for postsecondary education that provides transparent affordability and outcomes data
• Modernize an academic options portal into a seamless single interface for institutions to submit, track, and manage academic program data
• Improve the program inventory system to reduce manual work and improve reliability of data collection and reporting

“This meaningful investment from MHEC will accelerate our work to build a clearer and more student-centered path into higher education,” said Dr. Bennett Boggs, MDHEWD Commissioner. “By improving the transparency of program affordability and outcomes, we are strengthening the tools Missourians need to make confident decisions about their futures.”

MHEC’s Strategic Impact and Innovation Grants support high-impact, collaborative initiatives that address state needs and align with the MHEC’s vision to strengthen postsecondary education and advance regional economic vitality. Each of MHEC’s  member states can apply for a grant for up to $250,000.

“We were impressed with the holistic nature of MDHEWD’s proposal,” said Susan G. Heegaard, MHEC President. “Its focus on students, institutions, and state operations demonstrates a commitment to comprehensive improvements that lead to better outcomes for all.”

Postsecondary Attainment Rates Vary Substantially by Race and Ethnicity

The latest update to MHEC's Interactive Dashboard shows substantial differences in postsecondary degree attainment among 25- to 64-year-olds by race and ethnicity in the Midwest and nationally. In the Midwest, 69% of Asian adults and 50% of White adults had earned an associate degree or higher. Attainment rates were lower among American Indian (27%), Black (33%), Hispanic (29%), and Pacific Islander (30%) adults. These rates were 36 to 42 percentage points below the rate for Asian adults and 18 to 24 percentage points below the rate for White adults.

This indicator measures the percentages of adults aged 25-64 who have attained a postsecondary degree by race and ethnicity. Postsecondary degree attainment is based on the highest degree completed beyond high school, including an associate degree, an associate degree or higher, or a bachelor’s degree or higher. The online indicator also shows the percentage of adults who have completed some college coursework or credit but not a degree. Postsecondary certificate attainment estimates are unavailable by race and ethnicity.

Selected indicators are also available for MHEC states in the report State Performance Update.

Source. U.S. Census Bureau. (2022, 2023, 2024). American Community Survey one-year public use microdata sample. Estimates are pooled over three years

M-SARA States Receive More than $56,000 in FY27 SARA Grants

Nine M-SARA member states will receive FY27 SARA State & Territory Grants totaling $56,724. Nationally, a record 41 states and territories received grants during the FY27 funding cycle. Each SARA member state or territory may receive up to $7,500 annually to support its responsibilities under the State Authorization Reciprocity Agreements. 

M-SARA provides a voluntary, regional approach to state oversight of postsecondary distance education. States voluntarily join SARA and agree to follow uniform processes for approving their eligible institutions' participation in SARA.

The FY27 grants will allow M-SARA states to maintain essential services, respond to changing regulatory requirements, and strengthen their support for institutions and students participating in interstate and online education.

Illinois, Iowa, and Michigan plan to improve their authorization processes and digital infrastructure. Proposed projects include electronic application and payment systems, increased automation, updated authorization workflows, stronger cybersecurity, and improved data collection and reporting. 

Several states—including Indiana, Iowa, Kansas, Missouri, Nebraska, and Wisconsin—will use grant funds for professional development, conference attendance, travel, and memberships. These opportunities help State Portal Entity staff remain informed about federal regulations, consumer protection requirements, professional licensure disclosures, institutional closures, accreditation developments, and other emerging issues affecting interstate distance education. 

Minnesota and North Dakota will use their grants to provide State Authorization Network membership and compliance resources to SARA-participating institutions. These investments are intended to expand access to training, strengthen regulatory compliance, encourage collaboration among institutions, and improve the accuracy of information provided to students.

MHEC to Host Midwest Workforce Pathways Convening

Next month, as part of its work to support alignment of postsecondary education and workforce development, MHEC will host a symposium in partnership with Complete College America and Indigo Wave Consulting, LLC. The convening will bring together cross-sector state teams from across the MHEC region to examine noncredit-to-credit policy and practices, identify priority areas for improvement, and develop actionable strategies to strengthen learner mobility and workforce alignment.

The convening is intentionally designed as part of a broader engagement process that includes pre-convening landscape analysis, virtual preparation sessions, cross-state peer collaboration, and sustained follow-up support. Importantly, each state team will have the flexibility to define its own priorities and action-planning agenda based on its unique policy landscape, workforce needs, and strategic goals.

U.S. Department of Education Approves Nation's First Workforce Pell Grant Program in Iowa

This month, the U.S. Department of Education approved the nation’s first Workforce Pell Grant program, allowing eligible students to use federal aid for Iowa Central Community College’s 14-week Emergency Medical Technician program.

Workforce Pell supports accredited, workforce-focused programs lasting 8 to 15 weeks that prepare students for high-skill, high-wage, or in-demand careers. Eligible programs must satisfy rigorous standards for earnings, job placement, completion, and operating history and receive approval from both the state’s governor and the U.S. Secretary of Education. The goal of the program is to expand affordable alternatives to traditional degree programs while helping students earn career credentials faster and with less debt. 

Read the full announcement about Iowa Central Community College's program.