| Title: |
Excess Revenue, Unequal Opportunity: Revisiting Basic Aid in the LCFF Era |
| Language: |
English |
| Authors: |
Carrie Hahnel; Sophie Zamarripa; H. Alix Gallagher; Stanford University, Policy Analysis for California Education (PACE); Bellwether |
| Source: |
Policy Analysis for California Education, PACE. 2025. |
| Availability: |
Policy Analysis for California Education, PACE. 520 Galvez Mall, CERAS Room 401, Stanford, CA 94305-3001. Tel: 650-724-2832; Fax: 510-642-9148; e-mail: info@edpolicyinca.org; Web site: http://www.edpolicyinca.org |
| Peer Reviewed: |
N |
| Page Count: |
42 |
| Publication Date: |
2025 |
| Sponsoring Agency: |
Walton Family Foundation |
| Document Type: |
Reports - Research |
| Descriptors: |
School Districts; Taxes; Public Policy; Educational Finance; School District Wealth; School Funds; State School District Relationship; Educational Equity (Finance); State Aid; Advantaged; Educational Policy; State Policy |
| Geographic Terms: |
California |
| Abstract: |
California's school funding formula for transitional kindergarten (TK) through Grade 12 is designed to direct more resources to students with greater need. However, some districts--known as basic aid districts--generate more funding from local property taxes than the state calculates they need under the Local Control Funding Formula (LCFF). This report, the first major study on basic aid since the enactment of LCFF in 2013, finds that 139 districts serving just 5.5 percent of California's TK-12 students are benefitting from growing funding advantages. Excess local revenue in basic aid districts has risen 41 percent (17 percent when adjusted for inflation) over 5 years--outpacing LCFF growth and widening the gap between property-rich districts and those that rely on state aid. In analyzing disparities between basic aid districts and their peers, this report focuses on a subset of 50 well-resourced districts--those with both high excess revenues and low percentages of high-need students (e.g., students from low-income households, English learner students, students in foster care)--that capture the majority of these funding advantages. California's school finance system has been designed with equity in mind, but the resource disparities created by excess advantage districts risk undermining that principle. Policymakers now face important choices about whether and how to address these excess resources so that all students benefit, regardless of where they live. The policy options outlined in this report provide potential pathways to move the system closer to funding fairness. [Additional funding for this report was provided by the Give Forward Foundation, the Ken and Jaclyn Broad Family Fund, the Bay Area Tutoring Association, and the Siegelman Family Trust.] |
| Abstractor: |
ERIC |
| Entry Date: |
2025 |
| Accession Number: |
ED676791 |
| Database: |
ERIC |