In an effort to reduce state spending on special education in public schools, New Jersey moved to census-based funding as part of the new school funding formula, the School Funding Reform Act (SFRA), adopted in 2008. The census approach funds all districts using the statewide average classification rate and a statewide average "excess…

This brief presents the results of a fiscal analysis of the Iowa Education Savings Account Program. The Iowa Education Savings Account Program offers eligible parents the opportunity to receive their children's per-pupil state funding directly into a parent-controlled education savings account (ESA), a fund earmarked for educational expenses. This…

Our updated brief reports that while the number of states allowing FCC participation remained unchanged from 2019-2020 to 2022-2023, there were notable shifts in participation within states. The enrollment of children in FCC settings saw significant increases, with some states experiencing substantial growth. However, concerns regarding the…

The 21st "State of Preschool" finds the state of preschool in America at a critical moment. The states have emerged, albeit unevenly, from the worst of the COVID-19 pandemic, and are poised to make new progress toward more effective and equitable preschool policies. Additional states have committed to offering every child publicly funded…

Connecticut's public K-12 education system relies heavily on local funding, resulting in substantial disparities between affluent districts and low-income districts with a large proportion of socioeconomically disadvantaged students who are more costly to educate. Despite recent improvements, the existing state aid formula has been criticized for…

School finance equity is an essential component of educational equity. In an equitable system, public schools receive funds to provide a high-quality education for all based on the needs of students, not on the property wealth of communities. Funding inequity also disproportionately affects students of color. Districts serving the largest…

Education finance shapes what is possible in every school in the country. And finance equity is a critical step toward enabling other forms of educational equity for students who are underserved in under-resourced schools. But in too many states, the system of funding for schools remains inequitable, inadequate, and opaque to all but a few. Even…

Objective: This article analyzes the implementation of two state grant programs in Tennessee aimed at improving the quality of in-demand postsecondary career and technical education (CTE) programming at community and technical colleges. We use insights from our findings to propose a conceptual framework for understanding how external funding can…

Arizona shifted to using current-year enrollment, instead of prior-year enrollment, as the basis for determining state aid for school districts following the passage of Arizona Education Finance Amendment (AEFA) in 2017. This study examines the short-term effects of AEFA implementation on school inputs--namely, expenditures and district personnel,…

The correlation between socioeconomic status and academic achievement does not just apply to individual students--the concentration of poverty in schools matters, too. Schools with concentrated poverty require more state funding in order to best serve their students. But it is not just about how much; to be equitable, states must spend enough…

This paper examined how performance-based funding (PBF) policies shape institutional performance and student outcomes for public four-year or above historically Black colleges and universities (HBCUs). By conducting a systematic review of the literature, the findings expanded on two main areas, as underscored by the pieces reviewed: (a) how the…

Public institutions of higher education (IHEs) have four basic revenue streams: state appropriations, tuition, donations and contracts, and earned income. Over the last 2 decades, there has been a massive decrease in state appropriations for higher education. Declining state appropriations have forced public IHEs to look to alternative revenue…

New research finds that increased spending on public education improves student achievement, thereby debunking the notion that "money doesn't matter" and making the case for greater investment in preschool-12 public education. How money is spent matters, but funding must also be adequate, equitable, and stable from year to year so that…

The State Indicators Database (SID), which is the School Finance Indicators Database's (SFID) primary product, includes approximately 125 variables, but this report focuses on three key school finance measures: fiscal effort, adequacy, and progressivity. This report discusses how states' systems tend to mediate the impact of economic downturns and…

"Making the Grade" provides an annual overview of the condition of school finance in all 50 states and the District of Columbia. The data in this edition gives a picture of states' investment in their public school systems in the 2019-20 school year, the historic moment when public education, and society at large, experienced the massive…