How the coronavirus shutdown will affect school district revenues
Published April 9, 2020 on Brown Center Chalkboard, Brookings Institution
Local schools used to be fairly insulated from economic downturns because they relied largely on local property taxes, a highly stable revenue source. Of course, funding schools on property wealth makes for huge gaps between wealthy and poor communities. So, in the name of greater funding equity, most states now play a much bigger role in funding schools. In doing so, many of these states have effectively traded K-12 revenue stability for greater funding equity. In this blog post, Marguerite Roza looks at what this means as the education sector starts to grapple with the financial implications of the coronavirus-sparked economic slowdown.