TOPIC

Education finance

Education Finance

In adopting the Local Control Funding Formula (LCFF), California moved from one of the least transparent school funding systems in the country to one of the most straightforward. In addition, increased revenue has helped California school district resource and expenditure levels not only recover from their post-recession lows, but also reach higher levels in 2016–17 than at any point since at least 2004–05.

However, per-pupil spending in California remains consistently below the national average, and district budgets are being impacted by rising costs associated with pensions, health care, Special Education, and facilities.

PACE research in this area is focused on building and advancing the evidence base on how to achieve equitable and adequate funding that leads to improved outcomes.

Recent Topic Publications
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Revenues and Expenditures in the Second Year of Categorical Flexibility
CA's school finance is highly regulated, with state funding allocated through categorical programs. In 2008-09, 40 Tier 3 programs were given fiscal freedom, leading to concerns that districts with more Tier 3 funding were disproportionately…
RAND_TR1229
How Districts Responded to Flexibility in Tier 3 Categorical Funds in 2010–2011
California's system of school finance is highly regulated and prescriptive. A large share of state funding is allocated through categorical programs, that is, programs whose funding is contingent upon districts using the money in a particular way or…
Five Years Later
This report commemorates the fifth anniversary of the Getting Down to Facts project, which sought to provide a thorough and reliable analysis of the critical challenges facing California’s education system as the necessary basis for an informed…
A Weighted Pupil Formula for California
Governor Jerry Brown has called for a major overhaul of California’s school finance policies. His proposal for a weighted pupil funding system would simplify the rules that govern the distribution of funds to schools and school districts, while…