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The phrase "are funded based on" is correct and usable in written English.
It can be used when discussing the criteria or factors that determine how funding is allocated to a project, organization, or initiative.
Example: "The scholarships are funded based on academic performance and financial need."
Alternatives: "are financed according to" or "receive funding depending on".
Exact(8)
Ireland is currently in the process of restructuring its healthcare funding system from one where hospitals are funded based on historical levels of funding adjusted for activity and patient mix to a prospective case based payment system ("Money Follows the Patient") [ 18].
But traditional schools are funded based on projected enrollments, which tend to be overly optimistic.
Traditionally, public schools are funded based on their total student enrollment.
In the ambulatory sector, primary health care facilities are funded based on the population of their catchment area, taking into account its age and gender composition.
Jones said that because the colleges are funded based on the number of full-time students, the district must increase that number to qualify for Proposition 30 funds next year.
In long-term care in Ontario, homes are funded based on an envelope system.
Similar(52)
If public health issues were funded based on their death toll, gun violence injuries would have been expected to receive about $1.4 billion in federal research funding over about a decade — compared with the $22 million that it actually got, the study found.
Each primary health care centre is funded based on the number of patients linked to the centre, and in some instances the number of visits determines a small portion of the budget.
While U.S. public schools are locally funded, usually from property taxes, and rewarded based on high performance through programs such as the U.S. Department of Education's Race to the Top grants, Finnish schools are nationally funded based on the number of students.
America's startups are often funded based on defensible IP and grow based on strategies to extend that IP.
The current reality is that most schools are evaluated and funded based on reaching state standards and test scores.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com