ERIC Number: ED165223
Record Type: RIE
Publication Date: 1975-Aug
Reference Count: 0
Federal Aid and State School Finance: Present Patterns and Future Alternatives.
Berke, Joel S.; And Others
Although federal aid is not a large portion of school funding, it has a large effect on schools. Federal education aid flows mainly to poor states, central cities, and rural areas. Where states exercise discretion in allocating federal aid, distribution follows the general distribution pattern of the basic state aid formula. If a state has an equalizing formula, federal aid distribution can enhance state school finance equity. While state aid is based on variations in property wealth, federal aid compensates for variations in family income. Consistency of federal and state aid distribution policies requires better measures to assess the wealth of individual school districts. Federal interest in promoting and sustaining school finance reform peaked with the Rodriguez decision. Yet the movement to provide intrastate school finance equalization will continue to stimulate national debate for many years. This is because there are still major intrastate inequities and because federal equalization aid could help fund finance reforms in both rich and poor states. Finally, a program of general federal aid would mean that the federal government would no longer provide programs that later become a major local or state burden and strain a state's ability to fund its own finance reform programs. (Author/JM)
Publication Type: N/A
Education Level: N/A
Sponsor: National Conference of State Legislatures, Washington, DC.
Authoring Institution: Educational Testing Service, Princeton, NJ. Education Policy Research Institute.
Note: Not available in paper copy due to marginal legibility of original document