The Phantom Menace: Policies that Protect Districts from Declining or Low Enrollments, Drive Up Spending and Inhibit Adaptation

Jon Fullerton and Marguerite Roza

January 2015

This paper examines the curious practice of states funding school districts for students who no longer attend school there. Aimed at “protecting” districts from enrollment fluctuations, the practice drives up spending and inhibits adaptation.

The paper is part of the Productivity for Results Series published by George W. Bush Institute.