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Implementing California’s School Funding Formula: Will High-Need Students Benefit?

By Laura Hill, Iwunze Ugo

The Local Control Funding Formula (LCFF) reformed California’s K–12 school finance system. It replaced a patchwork of formulas and specific (or "categorical”) programs with a focus on local control, funding equity, and additional support for the large share of students (63%) who are "high needs"—that is, low-income, English Learner, and/or foster care youth. However, there are still concerns about whether the new funding will reach high-need students. Because districts have spending flexibility, and because some of the extra funding for high-need students is based on their districtwide enrollment levels, it is possible that high-need schools in districts with relatively low overall shares of high-need students will not get the funding they need. Our research indicates that county offices of education—which are charged with assisting districts in developing and achieving accountability plans—may have extra work to do in parts of Southern California, the Bay Area, and Sacramento to ensure that extra state funding improves outcomes of high-need students who are not evenly distributed across district schools.

Report

High-Need Students and California’s New Assessments

By Laura Hill, Iwunze Ugo

The 2014–15 school year was the first in which the Smarter Balanced assessments (referred to here as the SBAC) were administered statewide. While educators and policymakers agree that multiple measures over multiple years are the best way to gauge student, school, and district performance, the first-year SBAC results provide an important baseline for assessing implementation of the Common Core State Standards and the Local Control and Accountability Plans (LCAPs).

These results may also have implications for the evolution of accountability measures at the district and state levels—especially in relation to high-need students. The California State Board of Education has not yet devised a replacement for the Academic Performance Index (API), which was suspended in the 2014–15 school year. Districts have developed goals and measures in their LCAPs but the rubrics that state and the county offices of education will use are not yet in place. In the meantime, a close look at the results of the first year of testing can help us track achievement gaps between student groups and identify districts and schools with the largest tasks ahead.

One of the major goals of the Local Control Funding Formula (LCFF) is to help districts address a long-standing achievement gap between high-need students—economically disadvantaged students and English Learners (ELs)—and other students. However, we find that the test score gap is larger for 4th-grade EL and economically disadvantaged students when measured with the SBAC than with the state’s prior assessment (the California Standards Test, or CST). Generally speaking, as the share of high-need students in a district or school increases, the proportion of students meeting the standards falls. However, when we compare results across demographically similar schools and districts, we find that some schools performed better than expected.

Results for English Learners are particularly useful for local and state policymakers as they implement new EL standards and consider how to revise reclassification standards. Notably, in a relatively large number of schools, no EL students scored at or above the standards for English language arts (ELA) and math. In the past, 30 percent of districts required ELs to meet the ELA standard on the CST to be reclassified.

Our main conclusion is that high-need students are far behind other student groups—indeed, they may be farther behind than we thought. Schools and districts can use this analysis to take stock of their implementation of the Common Core and their progress toward their LCAP goals for EL and economically disadvantaged students. And schools and districts with large gaps—especially those performing below expectations—can find examples of similar districts and schools that exceeded expectations.

blog post

Learning Recovery for Homeless Students Lags behind Other High-Need Groups

By Brett Guinan, Julien Lafortune

In the last in a series on K–12 students who have experienced homelessness, we look at how these youth are faring academically. While learning loss during the COVID-19 pandemic affected all student groups, students experiencing homeless are falling behind other high-need learners as California emerges from the pandemic.

Report

Targeted K–12 Funding and Student Outcomes

By Julien Lafortune

As students return to the classroom, record-high funding through the Local Control Funding Formula (LCFF) will help California districts address gaps after a year of remote learning. In this report, we examine school and district spending against trends in student outcomes to offer insight into whether the LCFF is meeting its goal of improving equity in education.

Policy Brief

Policy Brief: Examining the Reach of Targeted School Funding

By Julien Lafortune, Joseph Herrera, Niu Gao, Stephanie Barton

The Local Control Funding Formula gives California districts additional funds for low-income and other high-need students as well as flexibility around how to spend this money. But this flexibility has raised concerns over whether districts are spending in ways that reach the high-need students and schools who generate the added funds.

Policy Brief

Policy Brief: Targeted K–12 Funding and Student Outcomes

By Julien Lafortune, Stephanie Barton

Under the Local Control Funding Formula (LCFF), more money now reaches high-need districts, and these districts spend most of that money on schools with greater need. Students are seeing some benefits from the LCFF, as seen in higher test scores, though disparities by student income, race, and language status remain large.

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