Key Takeaways
- In the 2020-21 school year, total public elementary and secondary education expenditures in the United States reached $857.0 billion, marking a 2.7% increase from the previous year adjusted for inflation
- Federal funding for K-12 education accounted for 8.0% of total public school funding in 2020-21, totaling approximately $68.6 billion
- State contributions to public school funding made up 46.7% of total revenues in 2020-21, averaging $7,738 per pupil
- In 2021-22, New York state funded public schools at $24,785 per pupil, the highest in the U.S.
- California per-pupil spending reached $16,495 in 2021-22, supported by Proposition 98 guarantees
- Wyoming led in state funding share at 57% of total revenues in 2020-21, spending $17,462 per pupil
- In 2020-21, local revenues funded 50.9% of public school budgets in Nevada, highest reliance nationally
- Property taxes generated $326 billion for local school funding in 2020-21, 89% of local revenues
- In Illinois, local sources contributed 44.2% in 2020-21, with Chicago Public Schools raising $3.2 billion locally
- In 2019, Black students attended schools with $1,500 less per-pupil funding than white peers nationally
- High-poverty districts received $1,394 less per pupil than low-poverty districts in 2019, controlling for region
- In 2020-21, majority nonwhite districts spent $2,226 less per student than majority white districts
- Per-pupil spending rose 41% in real terms from 1995 to 2015 nationally
- From 2010 to 2020, inflation-adjusted K-12 spending increased 19%, averaging 1.7% annually
- Federal funding share doubled from 6.8% in 2007 to 13.4% in 2021 due to ARRA and COVID aid
School funding comes from state and local sources far more than federal dollars.
Equity and Disparities
- In 2019, Black students attended schools with $1,500 less per-pupil funding than white peers nationally
- High-poverty districts received $1,394 less per pupil than low-poverty districts in 2019, controlling for region
- In 2020-21, majority nonwhite districts spent $2,226 less per student than majority white districts
- The funding gap between wealthiest and poorest 25% of districts widened to $7,000 per pupil from 2000-2020
- In Pennsylvania, poorest districts spent 22% less per pupil than richest in 2021-22
- Illinois funding inequities persist with property-poor districts underfunded by $2,200 per pupil
- In 2018-19, districts serving students of color received $23 billion less overall than white-serving peers
- Rural districts spent $219 less per pupil than cities in 2020-21, despite higher needs
- In New York, NYC schools received $4,600 less per pupil than upstate suburbs in 2019
- Charter schools receive 29% less public funding per pupil than traditional publics, averaging $2,000 less
- In California, low-income districts underfunded by $1,800 per pupil under LCFF despite supplements
- English learners in high-poverty schools face $1,000+ funding gaps in 15 states
- In Texas, property-poor districts sued under Robin Hood recapture, redistributing $2.5B in 2022
- Native American students attend districts with $733 less funding nationally in 2019
- In 2022, 27 states had regressive funding where poorest districts spent less than wealthiest
- Hispanic students experience $1,109 funding gap compared to white students in 2019 data
- In Michigan, Detroit schools spent $1,300 less per pupil than affluent Oakland County in 2021
- Special education is underfunded by 13.5% nationally, shorting $13 billion yearly
- In Ohio, urban districts like Cleveland underfunded by 10% relative to need in 2022
- During COVID, funding gaps widened as ESSER aid favored wealthier districts by $500/pupil
- In 1972, Serrano v. Priest reduced California's funding gap from 35% to 11% over decade
Equity and Disparities Interpretation
Local Contributions
- In 2020-21, local revenues funded 50.9% of public school budgets in Nevada, highest reliance nationally
- Property taxes generated $326 billion for local school funding in 2020-21, 89% of local revenues
- In Illinois, local sources contributed 44.2% in 2020-21, with Chicago Public Schools raising $3.2 billion locally
- New Hampshire local funding share was 75.6% in 2020-21, highest in the U.S. due to no state income tax
- Oregon local property taxes funded 17.4% of school revenues in 2020-21, lowest reliance
- Michigan local contributions were 9.6% in 2020-21, reflecting Proposal A shift to state funding in 1994
- In 2021, U.S. school districts collected $295 billion in property taxes, up 5% from prior year
- California local property taxes funded 27.8% under Proposition 13 caps since 1978
- Texas local share was 36.4% in 2020-21, with $20 billion from Maintenance & Operations levies
- Florida local revenues were 43.8% in 2020-21, including discretionary millage rates
- Pennsylvania local funding was 23.6% in 2020-21, supplemented by gaming revenue intercepts
- In high-wealth districts, local funding per pupil averaged $5,200 more than low-wealth peers in 2019
- Nebraska local share was 47.5% in 2020-21, with Class I and III districts varying widely
- Colorado's Local Share Override mill levies generated $1.2 billion in 2022 for schools
- Missouri local property taxes raised $3.1 billion for schools in FY2023, 29% of total funding
- Kansas local funding was 31.7% in 2020-21, post-Gannon funding litigation adjustments
- In 2018-19, districts in the top 10% wealth raised $3,407 more per pupil locally than bottom 10%
- Hawaii, as a single statewide district, had 0% local funding reliance in 2020-21
- Local revenues in Connecticut were 40.1% in 2020-21, including municipal contributions
Local Contributions Interpretation
National Funding Levels
- In the 2020-21 school year, total public elementary and secondary education expenditures in the United States reached $857.0 billion, marking a 2.7% increase from the previous year adjusted for inflation
- Federal funding for K-12 education accounted for 8.0% of total public school funding in 2020-21, totaling approximately $68.6 billion
- State contributions to public school funding made up 46.7% of total revenues in 2020-21, averaging $7,738 per pupil
- Local sources provided 44.9% of public school revenues in 2020-21, primarily through property taxes, totaling about $384.9 billion
- The average current expenditure per pupil in public schools was $14,347 in 2020-21, with instruction accounting for 60.2% of that amount
- Total federal K-12 funding through Title I grants reached $18.4 billion in FY2022, supporting low-income students
- IDEA Part B grants for special education totaled $13.6 billion in FY2022, funding services for 7.5 million students with disabilities
- The Elementary and Secondary School Emergency Relief (ESSER) funds distributed $190 billion during the COVID-19 pandemic through 2021
- In FY2023, the U.S. Department of Education's total discretionary budget for K-12 was $82.7 billion, including $44.8 billion for elementary and secondary programs
- Pell Grants for postsecondary education, indirectly supporting K-12 transitions, totaled $28.2 billion for 6.4 million recipients in FY2022
- National public school per-pupil spending was $15,424 in constant 2021-22 dollars for 2021-22, up 3% from 2020-21
- Federal share of K-12 funding averaged 13% during 2018-2022 due to pandemic aid, higher than the typical 8-10%
- In 2019-20, support services accounted for 29.4% of current expenditures, totaling $3,570 per pupil nationally
- Non-instructional expenditures like food services reached $56.3 billion in 2020-21, or 6.6% of total spending
- Capital outlay for school facilities was $56.1 billion in 2020-21, averaging $777 per pupil
- Interest payments on school debt totaled $12.4 billion in 2020-21, or 1.4% of total expenditures
- In FY2021, Title I-A funding was $16.5 billion, serving 25 million students in high-poverty schools
- Head Start funding was $11.0 billion in FY2022, enrolling 833,000 low-income preschoolers
- Career and Technical Education (CTE) grants totaled $1.4 billion in FY2022
- 21st Century Community Learning Centers provided $1.3 billion in FY2022 for afterschool programs
National Funding Levels Interpretation
State Variations
- In 2021-22, New York state funded public schools at $24,785 per pupil, the highest in the U.S.
- California per-pupil spending reached $16,495 in 2021-22, supported by Proposition 98 guarantees
- Wyoming led in state funding share at 57% of total revenues in 2020-21, spending $17,462 per pupil
- New Hampshire had the lowest state contribution at 11.4% in 2020-21, relying heavily on local funds
- Florida's public school funding was $10,392 per pupil in 2021-22, below the national average
- Texas state formula funding distributed $6,689 billion total in 2022-23 biennium for K-12
- Illinois per-pupil spending was $17,819 in 2021-22, with evidence-based funding model since 2017
- Pennsylvania allocated $8.7 billion in basic education funding for 2023-24, a 4% increase
- Michigan's School Aid Fund provided $19.5 billion for 2023-24, including $6,684 per-pupil foundation allowance
- Nevada spent $10,057 per pupil in 2021-22, with lottery proceeds funding $116 million for education
- Alaska's per-pupil expenditure was $18,960 in 2021-22, highest adjusted for cost of living
- Utah had the lowest per-pupil spending at $9,135 in 2021-22, despite rapid enrollment growth
- New Jersey state funding share was 53.2% in 2020-21, totaling $12,755 per pupil
- Vermont spent $25,942 per pupil in 2021-22, driven by small district sizes and high costs
- Idaho per-pupil funding was $8,892 in 2021-22, with recent increases from sales tax boosts
- Connecticut's education cost-sharing grants totaled $2.5 billion for 2023-24
- Oregon state school fund was $9.2 billion for 2023-25 biennium, including State School Fund
- Massachusetts foundation budget funded $7.8 billion in Chapter 70 aid for 2023-24
- Ohio provided $8.0 billion in state foundation funding for FY2024, with per-pupil $7,635
State Variations Interpretation
Trends Over Time
- Per-pupil spending rose 41% in real terms from 1995 to 2015 nationally
- From 2010 to 2020, inflation-adjusted K-12 spending increased 19%, averaging 1.7% annually
- Federal funding share doubled from 6.8% in 2007 to 13.4% in 2021 due to ARRA and COVID aid
- State funding declined 7% per pupil from 2008-2012 post-Great Recession in 30 states
- Local funding grew 4% in real terms 2015-2020, driven by property tax increases
- From 1989-90 to 2019-20, per-pupil current spending rose from $9,962 to $13,416 (2020 dollars)
- Teacher salaries as % of spending fell from 42% in 2000 to 38% in 2020 amid rising benefits costs
- Enrollment-adjusted spending stagnated 2008-2015, then surged 14% 2015-2022
- In 2022-23, total K-12 spending hit $878 billion, up 14% from pre-pandemic levels
- Property tax share of local funding stable at 85-90% since 1990s
- From 2002-2022, states with progressive reforms saw equity index improve by 20 points
- Pandemic ESSER funds boosted spending 11% above trend in 2021-22
- Since 2016, 20 states increased funding adequacy to 90%+ of target levels
- Inflation eroded 2023 school funding gains, with real per-pupil cuts in 12 states
- From 1990-2020, instruction spending share dropped from 62% to 60%, offset by supports
- Voucher programs expanded from 11 states in 2000 to 32 in 2024, diverting $4B from publics
- Capital spending per pupil doubled from $402 in 2000 to $777 in 2021 dollars
- Post-2010, 15 states cut K-12 funding below 2008 levels until 2015 recovery
- Real per-pupil spending nationally flat 2008-2013, then +20% by 2023
Trends Over Time Interpretation
Sources & References
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