Source: Brookings Institute & Edunomics Lab

Though the guidance does not require a spending test, it does require all districts to provide an allocation methodology. This is a spending rationale articulating how the district divvies up its funds across schools – something that’s missing in most districts. District leaders and school board members often don’t recognize the enormity of their role in deciding how to spend the country’s $650 billion public education budget. Many may not have ever articulated an approach to apportioning their public funds, or even thought through the range of options. Hopefully this requirement will prompt them to explore whether their budgets reflect an intentional strategy, habit, or something else.