This report examines the fiscal pressures facing California’s K–12 education system despite substantial funding growth. It explains how volatile state revenues, declining enrollment, rising costs, and reliance on one-time spending complicate long-term planning for districts. The report identifies three central policy questions involving per-pupil spending, more predictable funding for sustained priorities, and educator compensation that benefits employees while protecting district finances.

This report is the companion account of principal survey results from the Local Control Funding Formula Research Collaborative's (LCFFRC) fall 2018 surveys of stratified random samples of California superintendents and principals. The superintendent results were published in June 2018 in Superintendents Speak: Implementing the Local Control Funding Formula.