The California legislature and governor decide how much
money will go to public schools each year. In recent times the financial crisis
has been so severe that mid-year cuts became necessary to keep the state
solvent.
This has
been very challenging for schools because their budgets must be set in June,
and it is difficult to find enough places to cut after staffing has been locked
in for the year.
There are only five sources of
money for schools in California. First, the state. About 54 percent of school
funds come from the state’s business, corporate, and personal income taxes, and
sales taxes.
The next source is local property
taxes, which account for about 30 percent of school funds, on average,
statewide.
Next,
the federal government contributes about 8 percent of the education budget.
Miscellaneous
payments provide about 6 percent of the total. These include fees on
construction; special elections for construction bonds or parcel taxes (which
need a vote for approval); contributions from foundations, businesses, and
individuals; and interest on investments.
Finally, less
than 2 percent of the total — or about $100 per student — comes from the
Lottery. That’s it. There are no other sources of funds.
More
than six million students attend public schools in California — one out of
every eight students in America. Yet more than half the states spend much more
per pupil than we do.
The
huge discrepancy, plus a constant erosion of local control over funding, makes
a good argument for rethinking the way we finance our schools in California.
