Overview of School Funding 2014
Next year, the State of Ohio will spend more on primary and secondary education than at any point in state history. FY 2015, State General Revenue Fund and Lottery Profit spending for primary and secondary education will exceed FY 2010 funding levels by $1.3 billion, or 17.8 percent. Even including one time federal-stimulus funding, TPP/KwH reimbursements, and property tax relief, FY 2015 funding levels will exceed FY 2010 funding levels by $317.8 million, or 3.3 percent.
The following chart discusses the elements typically associated with primary and secondary education funding in the State of Ohio.
How School Funding is Distributed
Public school districts use a combination of state funds, local sources such as property taxes (and in some cases income taxes) and federal funds.
The amount of state funds that a district receives is based on a formula that takes into account the student enrollment and the property wealth of the district.
About School Funding
The Department of Education’s General Revenue Fund budget represents the largest component of primary and secondary education.
These funds, along with profits from the Ohio Lottery are used to fund Ohio’s 612 public school districts, 49 joint vocational school districts, and approximately 370 public community schools. They also fund the activities of the Ohio Department of Education, including funding for early childhood education, pre-school special education, assessments, and the A-F report card.
In addition to state aid through the foundation program, many school districts receive reimbursements payments for lost property tax revenue caused by the phase out of the general business tangible personal property tax (TPP) and the reduction of property tax assessments rates on utility property (KwH). Finally, the state pays 10% of locally levied property taxes for residential and agricultural real property owners and an additional 2.5% for homeowners and represents property tax relief to individual property taxpayers in Ohio.
Most Requested Reports
Last Modified: 2/3/2015 10:16:55 AM