School funding allotment remains stagnant

Did you know our per-student school funding allotments haven’t changed since 2019?

As shown in the chart above from The Dallas Morning News, the “Basic allotment” funding amount per student in Texas is currently $6,160. This has remained stagnant since it was last adjusted in 2019, lagging behind inflation. The basic allotment would need to be at least $7,741.73 to have the same buying power.

Read more: These 7 charts help explain what’s straining Texas school budgets (The Dallas Morning News, October 3, 2024)

How does this fit into our school funding?

The Basic Allotment is set by the Texas legislature, providing school districts a certain amount of funding for each student based on their Average Daily Attendance. It’s modified by factors like Special Education, Career and Technical Education, language, transportation and more. Notably, the amount of revenue a school receives isn’t tied to the number of students enrolled – which the district has to support no matter what – but instead, to the average number of days that those enrolled students show up.

Learn more: Leander ISD: Finance 101

The Basic Allotment is part of a complex funding model that includes local property taxes, state taxes, and federal funds, with the largest portion coming from local property taxes, tied to the value of our homes.

However, when property values and taxes go up as they have in the past few years, there is not a proportional increase in funding for our school district. Instead, much of that money goes back to the state through a process called Recapture, and Texas sends more funding to school districts with lower local property tax.

Here’s a helpful video published by LISD during the 2022 bond election that explains the funding process.

In addition to facing complex funding formulas, inflation, and stagnant allotment amounts, our schools have had to comply with state mandates that are sometimes unfunded. For example, the district has had to address $2 million in startup costs and $4.8 million in yearly expenses to create a police department to comply with House Bill 3.

In spite of these funding challenges, LISD continues to earn top ratings for fiscal accountability, with an AA+/AA bond rating. You can see a wealth of information in the Financial Transparency section of the LISD website and learn about how to advocate for better funding models and more funding as legislative priorities.

As we approach election day, let’s ensure we also elect leaders who are committed to fighting for and fully funding our public schools.