How Ohio Funds Public Education
The Ohio Constitution requires the Ohio legislature to fund a thorough and efficient public education system that serves the common good. Since the adoption of the Ohio Constitution in 1851, the state legislature has been responsible for the operating support of public education and ensuring the revenue sources, distribution method, and balance between state and local taxpayers' are fully and equitably funding school districts across the state.
In Ohio, the public education system is reliant on three major funding sources, with state government and local communities contributing to basic costs, and federal resources accounting for minimal contributions.
In 2022, the state contributed 44.8% of the funds while local school districts contributed 55.2%, evidence that the state is not fulfilling its funding obligation. This continues to be trend decades after the Ohio Supreme Court ruled, in 1997, the state's school funding methods to be unconstitutional, inequitable, and overly reliant on property valuation.
3 funding sources for Ohio public education:
In Ohio, the public education system is reliant on three major funding sources, with state government and local communities contributing to basic costs, and federal resources accounting for minimal contributions.
In 2022, the state contributed 44.8% of the funds while local school districts contributed 55.2%, evidence that the state is not fulfilling its funding obligation. This continues to be trend decades after the Ohio Supreme Court ruled, in 1997, the state's school funding methods to be unconstitutional, inequitable, and overly reliant on property valuation.
3 funding sources for Ohio public education:
- State Government - majority of public education funding
- Local Communities - minority of public education funding
- Federal Resources - minimal public education funding
Funding Ohio Public Education: State Government
An essential function of state education funding is to equalize opportunity. State funds make it possible for every school district to have sufficient resources to provide high quality education, regardless of the district’s capacity to fund its schools.
An essential function of state education funding is to equalize opportunity. State funds make it possible for every school district to have sufficient resources to provide high quality education, regardless of the district’s capacity to fund its schools.
- State funding is approved every two years in the state budget
- Funds come from the GRF (General Revenue Fund) and the state lottery
- Funds for private school vouchers, charter schools, and public education are in the same line item in the state budget, putting them in direct competition for public resources
- The Legislature establishes a base cost that is guaranteed to every student
- Local school districts help fund the base cost from property tax revenue
- To achieve equity, the local contribution is based on the property wealth of each school district; poorer districts pay less
- The state provides categorical aid to increase resources for special categories of students
- State funds support some transportation costs
Funding Ohio Public Education: Local Community
Local school districts are authorized to raise funds from their communities both to fund their contribution to the base cost and to meet education needs.
Tax levies must be approved by the voters who reside in that school district.
Local school districts are authorized to raise funds from their communities both to fund their contribution to the base cost and to meet education needs.
Tax levies must be approved by the voters who reside in that school district.
- School districts use local tax revenue to support more opportunities than are funded by the state, or to make up for inadequate state funding
- Rising costs are a reality for operating schools; there is no mechanism to keep up with inflation except by increasing the state contribution or seeking local levies
- The legislature mandates certain programs but frequently doesn’t fund them
Funding: Ohio Public Education: Federal Resources
The federal government provides targeted resources for special issues.
Currently federal funds support children with disabilities, children living in poverty, and COVID recovery.
The federal share is less than 10% of all funding.
The federal government provides targeted resources for special issues.
Currently federal funds support children with disabilities, children living in poverty, and COVID recovery.
The federal share is less than 10% of all funding.
Learn more at CHUH Public Schools