Rethinking How California Funds Its Schools

May 2004
In trying to provide equitable educational opportunities to every young person in California, state officials in recent years have set demanding new K-12 academic standards for what they expect each student to know and be able to achieve. They have also put in place a system of assessments and benchmarks that hold schools accountable for student performance. What state leaders have not yet done is re-examine California's complex school finance system in the light of these changes. Many question whether it's fair to hold schools accountable without providing them with sufficient funds to meet state standards.

A rare combination of events is creating momentum and interest among a growing number of Californians who want to see the school finance system change. Local schools are feeling desperate as they endure a third year of tight budgets due to the state's continuing fiscal crisis. A lawsuit against the state charges that some children have been denied their right to basic educational services. Interest groups are focusing on California's relatively low level of per-pupil funding. And a newly appointed state commision is about to ponder the question: What resources do schools need to meet the state's demanding academic standards?

A growing number of state and education leaders agree that California should either overhaul its school funding system or start from scratch. However, sharing that opinion is a long way from any kind of consensus about what a new and better system would look like.

This report sets out some possible goals for a California school finance system that could better support student performance. It also describes the key forces that will shape any debate about school finance reform in California and examines those in the context of some important aspects of an effective finance system. In the process, the report provides brief descriptions of the various initiatives underway in California and also looks at where the state might go from here.

For more on school finance

Building Political Will to Overhaul California's School Finance System This four-pager summarizes comments from experts who spoke at EdSource's Annual Forum "Overhauling School Funding in California: The Push for Greater Adequacy, Equity & Accountability." They discussed ways to build political and public will to change the system. You can download it for free, or purchase a copy to receive in the mail. Also available in Spanish.

Weighted Student Formula Concept Enlivens School Finance Debate A weighted student formula helps allocate dollars directly to schools on a per-pupil basis. This publication highlights details of this reform and how it relates to broader concepts of funding adequacy and decentralization. You can download it for free, or purchase a copy to receive in the mail.

2004—Overhauling School Funding in California: The Push for Greater Adequacy, Equity, & Accountability These proceedings of the EdSource 2004 Forum, "Overhauling School Funding in California: The Push for Greater Adequacy, Equity, & Accountability," include slides from the morning workshop, a summary of the program, highlights of the morning and afternoon panels, and speaker biographies.

See also the complete bibliography of this report:

Rethinking How California Funds Its Schools: Full Bibliography

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