This article reviews the current status of school finance in California in the aftermath of Proposition 13 and the Serrano v. Priest decision (which required determination of school funding on some basis other than district property wealth). Specific trends and directions regarding reform issues of the future are identified. (TE)

Discusses alternative sources for school funding to replace the traditional heavy reliance on local property taxes and addresses the problem of financial inequity between school districts. Proposes complete state financing of all school districts and an increased state income tax as possible alternatives to local property tax-based school funding.…