The philosophical underpinning of the purposes of the community college, an examination of the basis for state financial support from a philosophical viewpoint, and an analysis of the ways in which the various states have implemented that philosophy in financial support programs are the central focus of this report. The four current patterns of state funding (negotiated budget funding, unit rate formula funding, minimum foundation funding, cost-based program funding) are described, followed by a review of the 1975-76 state fund allocation formulas and procedures utilized in each state. A three-part process model for community college funding is offered, including a college allocation formula model designed to redress the detrimental effects of currently utilized formulas under conditions of decreasing enrollments. The allocation formula model recognizes economies of scale, program cost differences, and the operational cost differences between implementing new programs and maintaining existing ones. In particular it approximates the downward sloping cost curve. Speculation on the future effects of presently discernable trends comprises the final section of the report. Financial support statistics and definitions of management information system terms for each state are appended. (JDS)