This study focuses on the political feasibility of some of the alternatives open to States for raising educational revenue and allocating funds to local school districts. Eight states -- California, Colorado, Georgia, Maryland, Michigan, New Hampshire, Oklahoma, and Oregon -- were chosen for study, to represent a range in (1) the level of State aid, (2) the average per pupil expenditure, (3) interdistrict disparities, (4) propensities to innovate, and (5) region. Recent school finance legislative history, the current educational finance system, significant factors affecting education finance reform outcomes, and the reform efforts during the 1972 legislative session were examined for each of the eight States. Study results show that the distribution of property wealth and income, the perceptions of educational needs, and patterns of urbanization will be critical variables in developing alternative proposals for financing education. The study documents the political diversity among States affecting education finance outcomes; and it indicates that a single, national solution to school finance problems will fail to resolve the specific and different issues in individual States even though all States share certain issues in common. (Author/DN)