Many state and education leaders continue to support and employ methods that prevent schools and principals from undertaking the efforts that they think are most needed to improve education in their classrooms. The use of state categorical grants--funds to school districts with strict limits on their use--exemplifies this lack of innovation in…

How a state chooses to design its system of funding schools is ultimately a question of education governance, determining who--state policymakers, school districts, or school principals--gets to make the decisions about how and where funding is spent. States have two primary ways of funding schools: the foundation, or base funding that is intended…