Governor Newsom’s first Budget Proposal increases funding for education in California. There are areas of substantive overlap in the Budget Proposal and research findings from the Getting Down to Facts II (GDTFII) research project, released in September 2018, which built an evidence base on the current status of California education and implications for paths forward. As the Budget moves from proposal to reality, it is critical that the evidence from GDTFII continues to inform the policy process.

California's Local Control Funding Formula highlights low performance of special education students. Many districts allocate more base funding for all students into special education. A study found state funding growth has not kept pace with district costs, and the current formula inadequately funds preschool programs for infants and toddlers with disabilities. The study suggests better alignment between special education and the LCFF, and improved governance and accountability structures.

California's Local Control Funding Formula (LCFF) has increased per-pupil revenues, especially for low-income districts, and provided more flexibility in expenditures, leading to improvements in student outcomes. The funding was distributed based on the proportion of disadvantaged students, and expenditure increases were primarily allocated to teachers, pensions, and special education. The policy was implemented during a time of increased K-12 funding after the Great Recession and existing revenue distribution patterns.

The Local Control Funding Formula (LCFF) shifts control of education dollars to local districts, enhancing resource allocation practices. However, inadequate base funds may constrain progress. Stakeholder engagement is evolving yet remains challenging, and school board involvement is typically modest. LCFF communication and accountability mechanisms receive mixed reviews. County offices of education have expanded their role but will need to increase their capacity. Public awareness of the LCFF lags, but it enjoys substantial support.

American schools have long suffered from inequitable distribution of funding, resources, and effective teachers. The LCFF reform in California is a promising solution to address achievement gaps for high-need students, but successful implementation is critical. Research has found that stakeholder engagement, explicit equity frameworks, and evidence-based programs are crucial to ensure positive impact. Studies have also revealed challenges such as underspending funds and insufficient stakeholder engagement, highlighting the need for continuous improvement.