Pennsylvania School Funding Formula Report

Last Updated: March 02, 2009

Pennsylvania School Funding Report

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Pennsylvania has enacted substantial changes in its school funding formula, including a factor that adjusts a district's state aid based on estimates of the relative cost of hiring teachers in that particular district compared to the cost of hiring equally qualified teachers in other districts. This "location cost metric" (LCM) takes into account both the estimated cost of hiring comparably educated and trained non-teaching professionals in the same location, and the cost of living there, especially the cost of renting a house.

The purpose is to provide funding that allows a school district to compete with other employers in the area who hire college-educated persons, and to provide teachers with the income necessary to meet their needs for housing and other goods and services in that area.

Click here to download the complete report as a PDF.