The Economic Imperative...2. College- And Career-Ready Assessment Score...4. Students on track to graduate based on Credit Accumulation...

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While education serves many purposes, an academically-prepared workforce is more important than ever before to a state s (and our nation s) economy. The level of education demanded by today s jobs, especially in the growing fields of science, technology, engineering, and mathematics (STEM), exceeds the supply of available workers. Attaining postsecondary credentials requires a rigorous K 12 academic foundation. The Economic Imperative...2 High school graduation rates are increasing, but a high school diploma does not necessarily signify college and career readiness. Too few students graduate academically prepared for postsecondary success, as demonstrated by performance on college readiness assessments and/or completion of a rigorous core high school curriculum. Worse, indicators of students access to and performance in high school courses that would better prepare them for college and career are often not tracked by states. College- And Career-Ready Assessment Score...4 Students on track to graduate based on Credit Accumulation...6 Adjusted cohort graduation rates...7 College- And Career-Ready Coursework Completion...8 Earning College Credit while in high school...9 Graduates and their families believe that a high school diploma signifies that they have the skills and knowledge necessary to get additional training, join the military, or enroll in entry-level, credit-bearing courses in two- and four-year colleges. Indicators show, however, that many high school graduates are not college or career ready. PREPAREDNESS FOR THE MILITARY... 10 POSTSECONDARY ENROLLMENT... 10 Postsecondary Remediation... 11 Postsecondary Persistence... 11 Students begin to fall off track well before ninth grade. The National Assessment of Education Progress is the only national, comparable data showing U.S. student performance in 4th and 8th grade prior to entering high school. Academic Performance of Elementary and Middle School Students... 12 All students should graduate from high school ready for college, careers, and citizenship. February 2017

The Economic Imperative 2 The Economic Imperative In today s knowledge-based economy, more jobs than ever require a postsecondary credential. Too often, though, the demand for educated workers outstrips the supply. The increasing demand for science, technology, engineering, and mathematics (STEM) jobs may, in part, explain the demand for workers to be more educated than ever before. The economic indicators below show the importance of an educated workforce and the economic imperative for improving K 12 education so that all students graduate with a high school diploma that prepares them for college, careers, and life. Supply vs. Demand Does Texas have the educated workforce needed for today s jobs? As policymakers and leaders work to improve employment prospects for their workforce, it s important to take into account the education required for available jobs. The graph below provides a snapshot comparison of the supply of educated workers and the demand for education credentials within the current job market. Jobs (supply) % of Adults 25+ with Education Level * Jobs (demand) % of Jobs Requiring Education Level ** 100% 80% 60% 40% 20% 0% Avg. Advertised Salary ** 7 7 48% 47% 36% 19% 7% 10% 10% 7% Graduate or High School Diploma Associate Degree Bachelor s Degree Professional Degree $39,571 $64,793 $75,909 $82,751 * 2013 American Community Survey data. ** Burning Glass Technologies job posting data, July 2014 June 2015.

The Economic Imperative 3 Composition of Texas Job Market Jobs in STEM 1 fields are increasingly important to every state s economy. The graphs below demonstrate that STEM jobs represent a significant portion of the state s current job market, as well as the fact that STEM jobs are more likely than non-stem jobs to require a bachelor s degree or more. STEM and Non-STEM Jobs * +29+71 STEM Jobs 29% Non-STEM Jobs 71% Education Requirements for Texas Jobs As the STEM job market continues to grow, a rigorous K 12 education with a strong academic foundation and experiences that position them for successful transitions to the additional education and training needed for their selected career path. STEM and Non-STEM Jobs * 100% 80% 60% 40% 20% 0% Requires BA and Above Requires Less than BA STEM Jobs 65% 35% Non-STEM Jobs 49% 51% 1 Definition of STEM jobs: The analysis takes a job seeker- and student-centric approach to defining STEM occupations and defines STEM jobs as those that have substantial mathematics and science requirements included within either the standard course of training or the specific qualifications requested in job postings. As a result, STEM jobs includes the following occupational areas: science, information technology, engineering, mathematics, and health care. This approach contrasts with traditional methodologies, which tend to focus only on jobs that are primarily engaged in scientific, mathematical, or technological activity. Examples of jobs that are included in this analysis that are typically excluded from STEM jobs definitions: clinical health care roles that require job seekers to undertake substantial coursework in the biological sciences and a range of analyst jobs (such as logistics analysts and business intelligence analysts) that call for significant mathematics training. * Burning Glass Technologies job posting data, July 2014 June 2015.

College- And Career-Ready Assessment Score 4 College- And Career-Ready Assessment Score This indicator reports the percentage of students who score at the college- and career-ready level on high school assessments anchored to college- and career-ready standards. These assessments include a performance level/ cut score that provides high school students a clear signal regarding their readiness for first-year mathematics and English courses at postsecondary institutions and is used by colleges and universities for placement into first-year credit-bearing courses. ACT Performance: Percentage of Students Meeting College Readiness Benchmarks ACT reports the percentage of ACT-tested high school graduates meeting ACT s College Readiness Benchmarks for each subject area as well as across the four subject areas. These data reflect the performance of both public and non-public school students. These data are available for some but not all subgroups. All students in the cohort took the test, but ACT s participation rate is based upon projections of graduates made by the Western Interstate Commission for Higher Education (WICHE) in 2012 rather than actual graduates. Percentage Meeting All College Readiness Benchmarks in 2015-16 Participation Rate: 46% All Students 26% American Indian/Alaska Native 22% Asian 53% Black 9% Hispanic 13% Native Hawaiian/Other Pacific Islander 25% White 41% Two or More Races 33% Low Income Students with Disabilities Limited English Proficient 2622539132541330 3531631520355344000 4239771927456049000 5755803541617867000 4338652328476253000 Percentage Meeting College Readiness Benchmarks in 2015-16 by Subject READING ENGLISH MATH SCIENCE All Students 43% 57% 42% 35% American Indian/Alaska Native 38% 55% 39% 31% Asian 65% 80% 77% 63% Black 23% 35% 19% 15% Hispanic 28% 41% 27% 20% Native Hawaiian/Other Pacific Islander 47% 61% 45% 35% White 62% 78% 60% 53% Two or More Races 53% 67% 49% 44% Low Income Students with Disabilities Limited English Proficient

College- And Career-Ready Assessment Score 5 SAT Performance: Percentage of students meeting college readiness benchmark The state did not report 2015-16 data on the percentage of students in the cohort taking the SAT and meeting the Evidence-Based Reading and Writing (EBRW) and Mathematics Benchmarks. College Board did not report state data on the percentage of the 2016 graduating cohort meeting the benchmarks due to the March 2016 transition from the old SAT to the redesigned SAT. The College Board advises against comparing SAT results for the class of 2016 to previous graduating cohorts because the total population of students is defined differently. Percentage Meeting College Readiness Benchmarks in 2015-16 by Subject Participation Rate: EBRW MATH All Students 00000000000 00000000000 American Indian/Alaska Native Asian Black Hispanic Native Hawaiian/Other Pacific Islander White Two or More Races Low Income Students with Disabilities Limited English Proficient Performance: Percentage of Students meeting college Readiness Benchmarks Percentage Meeting College Readiness Benchmarks in by Subject Participation Rate ELA:, Math: 00000000000 ELA MATH 00000000000 All Students American Indian/Alaska Native Asian Black Hispanic Native Hawaiian/Other Pacific Islander White Two or More Races Low Income Students with Disabilities Limited English Proficient

L+0 Students on Track to Graduate Based on Credit Accumulation 6 Students on track to graduate based on Credit Accumulation Timely credit accumulation is a leading indicator of students progress toward high school graduation. This indicator shows the percentage of students who are on track to graduate based on the number of credits earned by the end of a particular grade. Percent of grade 9 students on track to graduate All Students American Indian/Alaska Native Asian Black Hispanic Native Hawaiian/Other Pacific Islander White Two or More Races Low Income Students with Disabilities Limited English Proficient 00000000000 Students on track to graduate is reported as because either Texas does not report the data or the reporting does not meet Achieve s criteria for this indicator.

Adjusted Cohort Graduation Rates 7 Adjusted cohort graduation rates The adjusted cohort graduation rate indicates the percentage of 9th graders who graduate from high school in four years or less with a regular high school diploma. This percentage is calculated by dividing the number of graduating students by the number of students who entered high school four years earlier (adjusting for transfers in and out, émigrés, and deceased students). Five-year graduation rates are also reported where available. 4-YEAR 5-YEAR CLASS OF 2013-14 CLASS OF 2014-15 All Students American Indian/Alaska Native Asian Black Hispanic Native Hawaiian/Other Pacific Islander White Two or More Races Low Income Students with Disabilities Limited English Proficient 88 87 95 84 86 89 93 91 85 78 62 90 89 96 87 88 90 94 93 88 82 69 88% 90% 87% 89% 95% 96% 84% 87% 88% 89% 90% 93% 94% 91% 93% 85% 88% 78% 82% 62% 69% 89 86 95 85 87 89 93 92 86 78 60 0 0 0 0 0 0 0 0 0 0 0 89% 95% 85% 87% 89% 93% 92% 78% 60% Texas regularly reports 5-year graduation rates, but due to a lag in reporting, the 5-year graduation rate data for the Class of 2014-15 were not yet available at the time of this report s release.

College- And Career-Ready Coursework Completion 8 College- and Career-Ready Coursework Completion Graduation rate alone is often an insufficient indicator of students readiness for life after high school because the classes and requirements to earn a diploma vary greatly across states. Every state, regardless of its graduation requirements, can and should also publicly report the percentage of the adjusted 9th grade cohort who complete a college- and career-ready course of study while in high school. CLASS OF 2013-14 CLASS OF 2014-15 All Students American Indian/Alaska Native Asian Black Hispanic Native Hawaiian/Other Pacific Islander White Two or More Races Low Income Students with Disabilities Limited English Proficient 84809477848585802870 86829579868686822773 Texas expects all students to complete a college- and career-ready course of study and publicly reports the percentage of students who graduate having completed that course of study, including by subgroups. 84% 80% 82% 94% 95% 77% 79% 84% 85% 85% 80% 82% 28% 27% 70% 73%

L Earning College Credits While in High School 9 EARNING COLLEGE CREDITs WHILE IN High SChool Students who earn college credits while in high school are more likely to enter college and succeed. This indicator reports the percentage of students that meet this benchmark. Percentage of students earning a 3+ on an AP Exam The percentage of the cohort scoring a 3+ on an Advanced Placement (AP) exam before graduation is reported as because either Texas does not report the data or the reporting does not meet Achieve s criteria for this indicator. Trend Over Time 100% 0 0 80% 60% 40% 20% 0% 2012-13 2013-14 2014-15 All Students American Indian/Alaska Native Asian Black Hispanic Native Hawaiian/Other Pacific Islander White Two or More Races Low Income Students with Disabilities Limited English Proficient 00000000000 Percentage of students who have completed courses for college credit Texas reports students advanced course/dual enrollment completion for 2013-14. The state does not report discrete data on students earning a 4+ on an International Baccalaureate (IB) exam or successful dual enrollment completion, or the reporting does not meet Achieve s criteria for these indicators. +0L 0+L 53+ 53% Completed IB/Earned College Credit Completed Dual Enrollment Courses for College Credit Met AP, IB, Dual Enrollment or Career-Technical Indicator

Preparedness for the Military Postsecondary Enrollment 10 PREPAREDNESS FOR THE MILITARY This indicator examines data from the U.S. Armed Forces enlistment examination and reveals the percentage of students who seek to enter the military but are not eligible to enter or are not prepared for higher-level education, training, and advancement opportunities offered by the U.S. Armed Forces. Percentage Ineligible 100% 80% 60% 40% 20% 0% 33% 28% 22% 16% Total Black Hispanic White POSTSECONDARY ENROLLMENT Enrollment in a postsecondary institution is the first step to degree attainment. This indicator reports the percentage of the state s high school graduates who enter into postsecondary education. The extent of information reported varies based on whether data are available for in-state and out-of-state students along with whether data are available for two-year institutions, four-year institutions, or both. Percentage of students Enrolling in postsecondary Texas reports the percentage of high school graduates enrolling in two- and four-year, in-state, public and private institutions of higher education the fall following graduation. These data exclude any students enrolled in out-ofstate institutions. High School Graduates, Class of 2015 +25+22+4+0 2-Year (public, in-state) 25% 4-Year (public, in-state) 22% 2- and 4-Year (private, in-state) 4% Not Reported 50%

L L L Postsecondary Remediation Postsecondary Persistence 11 Postsecondary Remediation Alarming numbers of students enter postsecondary institutions only to find out they need to enroll in and pay for remedial courses without earning college credit for these classes. This indicator reports the percentage of high school graduates who require postsecondary remediation. Percentage of students in remediation Texas reports the percentage of the state s class of 2014 high school graduates enrolled in Texas Public Higher Education System who do not meet the Texas Success Initiative standards in math or English. Remediation by Institution Type and Subject Area 2- and 4-Year 2-Year 100% 80% 60% 40% 20% 0% 0 00 21% 14% Math Math English English Any Any Postsecondary Persistence Too few students who start college ultimately earn a degree. This indicator reports the percentage of the state s high school graduates who enroll in a postsecondary institution and complete at least one year of postsecondary education in a designated amount of time or return to postsecondary education for a consecutive year. Percentage of students Persisting beyond the first year Texas reports the percentage of high school graduates enrolling in two- and four-year, in-state, public and private institutions of higher education who were retained for a second year of college. This excludes any students enrolled in out-of-state institutions. Data have not been updated since last year s report. High School Graduates, Class of 2012 64+ 87+ 87+ 64% 87% 87% 2-Year (public, instate) 4-Year (public, instate) 2- and 4-Year (private, in- and outof-state)

Grade 4 Academic Performance of Elementary and Middle School Students 12 Academic Performance of Elementary and Middle School Students The National Assessment of Educational Progress (NAEP) monitors student achievement nationally and allows for comparisons across states. This indicator includes 4th and 8th grade reading and math results and 8th grade science results. Scale scores were rounded to the nearest whole number. Changes since 2005 were calculated based on differences between unrounded scale scores and then rounded to the nearest whole number. Grade 4 Percentage of Students Meeting Proficient or Advanced Benchmarks MATH - 2015 READING - 2015 4408229370605730 3106617220503420 All Students 44% 31% American Indian/Alaska Native Asian 82% 66% Black 29% 17% Hispanic 37% 22% Native Hawaiian/Other Pacific Islander White 60% 50% Two or More Races 57% 34% National School Lunch Program Eligible 30% 20% Average Scale Score Changes - Math Scale Score Change from 2005-2015 Change since 2005: 2 350 69 70 300 242 244 250 200 150 100 50 0 2005 2015 Average Scale Score Changes - Reading Scale Score Change from 2005-2015 Change since 2005: 1 350 63 62 300 250 219 218 200 150 100 50 0 2005 2015 Change in Gaps: 2005 2015 Black-White Hispanic-White National School Lunch Program Eligible-Ineligible Students Change in Gaps: 2005 2015 Black-White Hispanic-White National School Lunch Program Eligible-Ineligible Students 4 3 5 4 3 2

Grade 8 Academic Performance of Elementary and Middle School Students 13 Grade 8 Percentage of Students Meeting Proficient or Advanced Benchmarks MATH - 2015 READING -2015 SCIENCE - 2015 3206716230484420 2805619190434218 370681826056023 All Students 32% 28% 37% American Indian/Alaska Native Asian 67% 56% 68% Black 16% 19% 18% Hispanic 23% 19% 26% Native Hawaiian/Other Pacific Islander White 48% 43% 56% Two or More Races 44% 42% National School Lunch Program Eligible 20% 18% 23% Average Scale Score Changes - Math Scale Score Change from 2005-2015 Change since 2005: 3 350 80 81 300 281 284 250 200 150 100 50 0 2005 2015 Average Scale Score Changes - Reading Change in Gaps: 2005 2015 Black-White Hispanic-White National School Lunch Program Eligible-Ineligible Students 1 3 2 Scale Score Change from 2005-2015 Change since 2005: 2 350 74 75 300 258 261 250 200 150 100 50 0 2005 2015 Change in Gaps: 2005 2015 Black-White Hispanic-White National School Lunch Program Eligible-Ineligible Students 2 1 2

Data Sources 14 Data sources Methodology www.achieve.org/state-profiles National and Individual State Reports www.achieve.org/state-profiles CCR Performance on an Assessment - ACT http://www.act.org/content/act/en/research/condition-of-college-and-career-readiness-2016.html CCR Performance on an Assessment - SAT https://www.collegeboard.org/program-results/consolidated-news-reports Cohort Graduation Rate https://rptsvr1.tea.texas.gov/acctres/completion/2015/state_prgm.html CCR Graduation Rate http://tea.texas.gov/acctres/completion/2015/level.html Earning College Credit while in High School - Metaindicator https://rptsvr1.tea.texas.gov/cgi/sas/broker?_service=marykay&year4=2015&year2=15&_debug=0&single=n&title=2015+texas+academic+performance+reports&_program=perfrept.perfmast.sas&prgopt=2015%2ftapr%2ftapr.sas&ptype=p&level=campus&search=campname&namenum=bush&campus=188904001 Preparedness for the Military http://edtrust.org/wp-content/uploads/2013/10/asvab_4.pdf Postsecondary Enrollment http://www.txhighereddata.org/index.cfm?objectid=2783aaa6-adcb-e35a-5bfc8f501dc1d65a; http://reports. thecb.state.tx.us/approot/hs_college/hs_college_main_launch.htm Postsecondary Remediation http://www.thecb.state.tx.us/reports/pdf/6849.pdf?cfid=48575300&cftoken=42785976 Postsecondary Persistence http://reports.thecb.state.tx.us/approot/hs_college/hs_college_main_launch.htm