top of page

State and Local Education Funding

Matt Bo-Wen
Oct 27
1 min read

Updated: Oct 29

In Why US Federal Laws do not address educational inequality, I noted that "...federal grants typically cover only 8% to 10% of K–12 public school budgets, leaving the remaining 90% dependent on state and local revenues." so how much do states contribute to education?


Public school funding is largely decentralized in the U.S. While states contribute an average of ~45% of education budgets, reliance varies dramatically from state-level tax equalization models to local property tax reliance.



As for local funding, property taxes are the biggest source (80%-85%) of local sources of school funding. Property taxes rely on local real estate values so school districts in high-property-value areas raise significantly more money per student than districts in low-property-value areas, even if residents in lower-wealth areas pay a higher tax rate.


Further, affluent communities raise exponentially more money through Parent-Teacher Associations (PTAs), Parent-Teacher Organizations (PTOs), and localized educational foundations than low-income communities. In Illinois, over 50% of all school-based fundraising groups in the U.S. serve schools located in the wealthiest 25% of neighborhoods. (Source: Urban Institute) And in San Francisco, California, PTAs at affluent public schools frequently raise between $500 to over $1,500 per student annually. In contrast, PTAs at high-poverty schools often struggle to raise $10 to $30 per student—or have no active PTA at all due to a lack of volunteer bandwidth. (Source: San Francisco Public Press)


Find out who your state's representatives are here and find out what they support. Let them know that educational equity is important to you.



 
 
 

Recent Posts

See All
Contact Your Elected Officials

Contact your elected officials and tell them you want them to address funding inequalities in public education in their capacity. In previous posts (Why US Federal Laws do not address educational ine

 
 
 

Comments


bottom of page