Federal and state revenues fail to offset the funding disparities caused by relying on local property tax revenues: How much more or less school districts of different poverty levels receive in revenues than low-poverty school districts receive, all and by revenue source, 2017–2018
| High-poverty districts | Medium-high poverty districts | Medium-low poverty districts | |
|---|---|---|---|
| -$2,710 | -$2,620 | -$1,810 | |
| Federal | $1,550 | $660 | $350 |
| State | $2,080 | $1,540 | $1,180 |
| Property taxes, local | -$5,260 | -$3,850 | -$2,820 |
| Other local | -$1,070 | -$960 | -$510 |
Notes: Amounts are in 2019–2020 dollars, rounded to the closest $10, and adjusted for each state's cost of living. Low-poverty districts are districts whose poverty rate for school-age children (children ages 5 through 17) is in the bottom fourth of the poverty distribution; high-poverty districts are districts whose poverty rate is in the top fourth of the poverty distribution.
Extended notes: Sample includes districts serving elementary schools only, secondary schools only, or both; districts with nonmissing and nonzero numbers of students; and districts with nonmissing charter information. Amounts are in 2019–2020 dollars using the consumer price index from the Bureau of Labor Statistics (BLS-CPI 2021) and rounded to the closest $10. Amounts are adjusted for each state’s cost-of living using the historical regional Price Parities (RPPs) from the Bureau of Economic Analysis (BEA 2021). Low-poverty districts are districts whose poverty rate for school-age children (children ages 5 through 17) is in the bottom fourth of the poverty distribution for that group; medium-low-poverty districts are districts whose school-age children’s poverty rate is in the second fourth (25th–50th percentile); medium-high-poverty districts are districts whose school-age children’s poverty rate is in the third fourth (50th–75th percentile); in high-poverty districts, the rate is in the top fourth. Amounts are unweighted across districts.
Sources: 2017–2018 Local Education Agency Finance Survey (F-33) microdata from the National Center for Education Statistics (NCES-LEAFS 2021) and Small Area Income and Poverty Estimates (SAIPE) data from the U.S. Census Bureau (Urban Institute 2021a).