In 2010 the Louisiana legislature adopted the Louisiana Granting Resources and Autonomies for Diplomas (GRAD) Act, a statewide performance-based funding policy designed to improve performance among public colleges. This study, utilizing data collected from the Integrated Postsecondary Education Data System (IPEDS) on 15 two-year public colleges over eight years, applied Generalized Least Squares (GLS) regression to retention rates, graduation rates, and degree productivity. Results suggest that the introduction of the policy had little immediate effect on overall institutional performance; however, there were some modest increases in long-term certificate productivity. Additionally, there were significant improvements in data quality throughout higher education after the introduction of the policy.