Evidence derived from data accumulated under Vermont's Foundation Plan demonstrates that school district property value is a secondary determinant of school spending level, compared with other factors: the nonresident portion of the property-tax base, resident income, and residents' perceived school-tax burden as a percent of income. (Contains 13…

An analysis of the relationship between district wealth and tax effort concludes that, while state aid is generally equalizing, the school funding structure is a dual system in which state aid is almost randomly spent in outlier districts. It is inferred that outliers translate guaranteed state aid into lower local taxes. (MJL)