This policy brief summarizes the full report [ED468840], which describes a study that evaluated whether smaller school districts, as a result of their higher costs per pupil, experienced greater hardship in the areas of infrastructure, resources, and staffing. The policy brief reports on the results of a survey that was administered to the superintendents of Minnesota's 350 public school districts, who were asked to evaluate their district's infrastructure, programming, staff, curriculum, and funding via referenda. Also described are the effects of changes made in the 2001 legislative session and it proposes a policy to reduce disparities in the state's basic funding formula. (Contains 5 tables.)