04/23/2024

Money and Freedom: The Impact of California’s School Finance Reform

In this study, researchers Rucker C. Johnson, Associate Professor of Public Policy at the University of California, Berkeley’s Goldman School of Public Policy, and LPI Senior Researcher Sean Tanner found LCFF-induced increases in district revenue has a “strongly significant” impact on average high school graduation rates for all students in the state. For example, a $1,000 increase in district per-pupil revenue from the state for grades 10–12 leads to a 5.3 percentage-point increase in high school graduation rates, on average, among all students. Authors found similar graduation-rate improvement for students from low-income families and by race/ethnicity: a $1,000 increase in per-pupil revenue from the state causes a 6.1 percentage-point increase for children from low-income families, 5.3 percentage-point increase for Black children, 4.2 percentage-point increase for non-Hispanic White children, and a 4.5 percentage-point increase for Hispanic children.

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