California's Local Control Funding Formula Transforms School Finance
- Minseo Choi
- Apr 1
- 1 min read
Updated: Aug 12
California's Local Control Funding Formula (LCFF), enacted in 2013, created a simpler and more equitable K-12 education finance system that has demonstrated measurable improvements in student outcomes over its first decade of implementation. Research indicates that LCFF-induced funding increases improved students' academic achievement, reduced grade repetition, and enhanced the likelihood of students graduating from high school and being college-ready. The formula directs additional money to districts where many students are in poverty or learning English, fundamentally restructuring how California allocates its K-12 education resources.

The policy's design allocates funding based on the proportion of high-need students in each district, ensuring that resources follow the students who need them most. This targeted approach has produced concrete results: districts receiving additional LCFF funding have shown improved academic achievement across multiple metrics, with particularly strong gains in graduation rates and college readiness indicators. The formula represents a significant departure from California's previous complex funding system, which often failed to adequately support the state's most vulnerable student populations.
The success of California's LCFF demonstrates that well-designed funding formulas can serve as powerful tools for educational equity when they prioritize transparency, local control, and targeted support for high-need students. As researchers continue to study its long-term impacts, the LCFF model provides valuable lessons for other states seeking to reform their school funding systems to better serve all students.


