This study examines major issues in, and effective practices for, private funding for elementary and secondary public education in British Columbia. The sources and allocation of funds for school districts and schools were investigated, along with their funding practices. Using data on funds obtained from a representative sampling of 13 districts and 66 schools, along with opinions of administrators and literature relating to the topic, the study revealed the benefits and disadvantages of private funding. Results revealed that schools receive an estimated $14.8 million in private funds. $4.7 million was spent on curricular expenditures, and $5.5 million on extracurricular, and the remainder went to school boards, scholarships, and donations. The study found that private funding at the school level is not cost-effective, that private scholarships exceed those given by the government, and that funds go to a minority of students. On the other hand, private funding not only supplements programs, but enhances community relations and provides learning opportunities for students. The study concludes that government incentives should be established that encourage more private funding at the school district level. (TE)