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Prioritizing School Finance Equity during an Economic Downturn: Recommendations for State Policy Makers

Author

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  • David S. Knight

    (College of Education University of Washington Seattle, WA 98195-3600)

  • Nail Hassairi

    (College of Education University of Washington Seattle, WA 98195-3600)

  • Christopher A. Candelaria

    (Peabody College Vanderbilt University Nashville, TN 37203-5721)

  • Min Sun

    (College of Education University of Washington Seattle, WA 98195-3600)

  • Margaret L. Plecki

    (College of Education University of Washington Seattle, WA 98195-3600)

Abstract

State budgets temporarily crashed amid the COVID-19 pandemic and economic shutdown, placing education funding at risk. To demonstrate implications for school finance, we show that (1) school districts are racially segregated along class lines; (2) higher-poverty districts receive a greater share of funds from state, as opposed to local sources, making them especially vulnerable during economic downturns; and (3) many states made across-the-board K–12 budget reductions following the Great Recession, but those cuts disproportionately impacted high-poverty districts. A decade later, state legislators may face similar fiscal challenges. Instead of enacting across-the-board cuts, states can identify specific funding programs that already benefit lower-poverty districts or wealthier students. We demonstrate how this approach would work under different state finance models and offer recommendations for state policy makers.

Suggested Citation

  • David S. Knight & Nail Hassairi & Christopher A. Candelaria & Min Sun & Margaret L. Plecki, 2022. "Prioritizing School Finance Equity during an Economic Downturn: Recommendations for State Policy Makers," Education Finance and Policy, MIT Press, vol. 17(1), pages 188-199, Winter.
    • Handle: RePEc:tpr:edfpol:v:17:y:2022:i:1:p:188-199
    DOI: 10.1162/edfp_a_00356
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