History of Organization

In 1999, the Minnesota Legislature introduced a new funding formula for Adult Basic Education (ABE) across the state, significantly changing the way state aid was allocated. This updated formula considered several need-based factors, including total population and the number of adults without a high school diploma. Most notably, it introduced a reimbursement system based on student contact hours from the previous year, adding a level of complexity not present in the previous model.

The new formula also introduced two critical funding caps:

• A per-contact-hour funding cap—initially set at $21.00, then raised to $22.00 for fiscal years 2008 and 2009—limited the total state revenue any ABE consortium could receive, regardless of demand.
• A growth cap of 8% per year, which restricted how much a program’s contact hour revenue could grow annually, even in cases of rapidly increasing student enrollment.

These caps significantly impacted smaller and growing consortia. In fiscal year 2004, the Granite Falls and Jackson ABE programs collectively lost over $99,000 in potential state aid due to the per-hour revenue cap. Similarly, the Marshall and Worthington ABE consortia lost more than $20,000 in state aid due to the 8% growth limitation. These funding constraints created instability for programs experiencing growth or serving high-need populations.

To address these financial challenges and stabilize future funding, four ABE programs—Granite Falls, Jackson, Marshall, and Worthington—formally merged in 2004 to create the Southwest Adult Basic Education (SW ABE) Consortium.

The newly formed consortium serves 53 school districts across an 18-county area in Southwest Minnesota. To preserve local control and maintain responsive programming, SW ABE is organized into four regional areas, each reflecting the original service areas of the former consortia. Each region is led by a regional manager, who is responsible for hiring and training staff, designing educational programming, and ensuring that local needs are met.

Marshall Public Schools serves as the fiscal agent for the consortium and provides the consortium coordinator. The fiscal agent is responsible for the distribution of state and federal funds, which are allocated throughout the year based on submitted evidence of expenditures.

The formation of SW ABE marked a significant step forward in strengthening Adult Basic Education across the region. By uniting resources, staff, and vision, the consortium has been able to provide more equitable, efficient, and sustainable services to adult learners throughout Southwest Minnesota.

In Minnesota, Adult Basic Education (ABE) consortia are regional partnerships of public school districts, community organizations, and other educational providers that work together to offer free educational services to adults. These consortia are approved and funded by the Minnesota Department of Education and are designed to ensure that all eligible adults have access to high-quality learning opportunities—no matter where they live.

Each ABE consortium:

• Serves a geographic region, which may include multiple school districts and communities
• Offers a range of classes such as English as a Second Language (ESL), GED and high school equivalency prep, basic reading and math, digital literacy, and workforce readiness
• Provides instruction and support tailored to the needs of adult learners, including flexible scheduling and both in-person and virtual options
• Receives state and federal funding to operate programs, track outcomes, and maintain accountability

Consortia vary in size and structure but share a common goal: to help adult learners gain the education and skills they need to succeed in the workforce, further their education, and participate more fully in their communities.