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
GDTFII Brief Effects
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…
GDTFII Brief Facilities
A 10-Year Perspective
California's public school system has a vast inventory of buildings and properties, but many are in poor condition. The state's current school facilities funding system is criticized for not targeting aid towards districts with the greatest facility…
GDTFII Brief LCFF
What Do We Know?
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…
The Local Control Funding Formula gives local education leaders more power to allocate resources, but requires strategic budgeting practices to prioritize goals and make necessary tradeoffs. Three recommendations include integrating budgeting with…