Alabama legislators consider revising the school funding formula

MONTGOMERY, Ala. — Lawmakers in Alabama are considering significant changes to how public schools are funded, with discussions centered around new formulas for distributing state financial resources to educational institutions.
The focus is not on raising taxes but rather on revising the current funding structure to better align with the needs of today’s educational landscape. A group of legislators received insights regarding three possible funding models that would establish a foundational amount of funding per student, supplemented by additional funds based on specific student requirements.
“It has been three decades since we made revisions. Education has evolved significantly, our demographics have shifted, and our education systems have transformed,” stated Rep. Danny Garrett, who is leading the education budget committee in the House of Representatives, emphasizing the necessity of updating the funding formula.
Alabama joins other states in contemplating adjustments to their school funding mechanisms, noting that Mississippi revised its formula earlier this year and Tennessee did so in 2022.
Garrett expressed his hope to present a formal proposal for legislative consideration in the upcoming year.
The nonpartisan research organization Bellwether provided lawmakers with insights on three potential funding formulas, each proposing an established base amount alongside additional weighted funding for various groups of students. These groups include individuals from low-income households, students with disabilities, English language learners, gifted students, rural students, and those attending charter schools.
Garrett indicated that the state’s budget can handle the anticipated increased expenses without the need for tax increases.
Additionally, Sen. Arthur Orr, who chairs the Senate education budget committee, highlighted that the aim is to enhance financial resources to effectively cater to students’ needs while also granting school systems greater flexibility in utilizing state funds.
Currently, Alabama’s school funding formula dates back to the 1990s, established as a response to a lawsuit concerning educational financing. Known as the Foundation Program, it allocates funding based on the number of “teacher units” determined by student enrollment figures.
The new legislative session is set to commence on February 4.