School finance has become a prominent issue again due to court decisions and litigation in several states. This article explores school finance changes in the 70s and 80s and outlines key issues for the 90s, including the relationship between finance and education goals, site-based management, teacher pay, accountability, school choice, and nontraditional issues such as preschool and non-educational services for children.

This article highlights the changing nature of childhood, with increasing physical and mental health problems, substance abuse, child abuse, inadequate child care, and family disorganization. Furthermore, schools struggle to meet the needs of non-middle-class, nonwhite, non-English-speaking children, as more students from these backgrounds enter public schools. To improve educational prospects, school leaders must recognize how children's daily lives affect their education and adapt to these changes.