Ohio schools will go backward under Governor Kasich's funding proposal, which does not keep up with inflation. Funding for the Ohio Department of Education from all state sources, including the General Revenue Fund, casino revenues and tax reimbursements, increases by just 3.2 percent in the governor's proposal for fiscal years (FYs) 2018 and 2019 compared with the current, two-year budget, below the level of inflation projected by the Ohio Legislative Service Commission. This means Ohio's schools will not be able to maintain even current levels of service, let alone restore services lost over the past decade. Further, many schools face an actual loss of funding due to other policy changes. To better fund school districts in this budget, this report recommends adding additional funding to the budget. Enough funding should be allowed to increase investment across the system. For a more sustainable and equitable funding model, the state should determine the real cost of educating students and provide additional funding for students in low-income communities. School districts cannot do more with less and neither can the state. Ohio needs to boost tax revenue, so K-12 education can be appropriately funded. [Support for this report was provided in part by the EMA Foundation.]