Despite recent spending increases and "Robin Hood," inequity still widespread

Few legislative ghosts have haunted Texas over the past decade like school finance. But even with the equalization plan begun in 1995 and an influx of education dollars since 1996, Texas lags behind most states in per pupil spending and is plagued by funding inequality between districts, a new report says.

In 1996, Texas' average per pupil expenditure was $5,168 compared to the national average of $5,652, a difference of $484. Only 19 states spent less per student than Texas, says the report, with a 10% increase in state appropriations for public education since 1996-7 not substantially reducing the gap.

"School Finance in Texas," released today by the Texas Kids Count Project, also examined inequity in school finance, which has been the subject of numerous political and legal debates since 1984. The Texas public school finance system currently operates under Senate Bill 7, also known as the "Robin Hood" plan, which reduces the effect of property wealth on the ability of school districts to generate revenue.

Despite this plan, expenditure disparities between districts remain large, says the report. Although most districts spent between $4,000 and $8,000 per student, the total range was very wide, extending from $20,859 per student to $3,643 per student. "The equalization plan is unable to close the gap between rich and poor districts in Texas," said Pam Hormuth, director of Texas Kids Count and lead researcher on the report. "The resulting inequities in resources, performance, and student achievement hurt all Texans in the long run."

Hormuth added that under the current funding system, people living in districts with low property wealth per student have to tax themselves at a higher rate than those living in higher wealth districts in order to raise the same amount of money per student. Hormuth recommends that the overall amount of state aid for public education be increased to enhance the ability of all schools to improve each student's education. "All children, regardless of their family's income or the neighborhood they live in, should have equal access to educational resources," said Hormuth.

"School Finance in Texas" is part of Measuring Up: The State of Texas Education, a series of reports on the main issues affecting state education, including: