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Christopher A. Candelaria
The Impact of Additional Funding on Student Outcomes: Evidence from an Urban District Using Weighted Student Funding and Site-based Budgeting
This study uses a concurrent embedded mixed-methods design to assess the impact of additional funding on student outcomes in a large, urban school district in the Southeastern United States. The district implemented student-based budgeting (SBB), which allocates dollars to schools based on student characteristics using a weighted student funding (WSF) formula and provides flexibility to principals to allocate those dollars under site-based budgeting. Using simulated instruments in a difference-in-differences framework, we estimate the impact of additional funding on student outcomes provided by WSF. Student test scores in math and ELA increased by 0.14 and 0.12 standard deviations, respectively. Our qualitative analysis suggests that the flexibility given to principals was a key mechanism that improved student outcomes.
Should They Pay, or Should I Go? Differential Responses to Base Salary Increases
This study uses administrative data from Oregon to estimate the extent to which base salary increases reduce teacher turnover and to investigate whether these effects are heterogeneous by teacher characteristics. Using multiple sets of fixed effects to isolate plausibly exogenous variation in salaries across experience bands within a district, we find that increases in salary are associated with decreases in teacher turnover. In our fully specified model, we estimate that a 1 percent increase in current and future base salary is associated with a 0.15 percentage point decline in turnover. This relationship appears to attenuate for mid-career teachers. While increasing salary reduces turnover among BA and MA degree teachers, these effects are not statistically different from each other. We also find that teachers in special education positions are more responsive to salary increases than those only assigned general education classes. Together, our results indicate the varied impact salaries may have in ameliorating teacher staffing challenges across different teacher characteristics.
Paying for School Finance Reforms: How States Raise Revenues to Fund Increases in Elementary-Secondary Education Expenditures
This study investigates how individual states raise revenue to pay for elementary-secondary education spending following school finance reforms (SFRs). We identify states that increased and sustained education expenditures after reform, search for legislative statutes that appropriated more education spending, and assess how policymakers funded the SFRs. Our results show that state legislatures increase investments in education by increasing tax revenue streams, such as sales and excise taxes, and by taking over property tax collections. Considering these results, we discuss that increased state investment in education should be accompanied by a policy mechanism to distribute state aid equitably to districts. Moreover, policymakers should consider local voters’ preferences when implementing SFR policies, as tax increases may reduce local fiscal effort for education.
Weighting for Progressivity? An Analysis of Implicit Tradeoffs Associated with Weighted Student Funding in Tennessee
We study the progressivity of state funding of school districts under Tennessee’s weighted student funding formula. We propose a simple definition of progressivity based on the difference in exposure to district per-pupil funding between poor and non-poor students. The realized progressivity of district funding in Tennessee is much smaller—only about 17 percent as large—as the formula weights imply directly. The attenuation is driven by the mixing of poor and non-poor students within districts. We further show the components of the Tennessee formula not explicitly tied to student poverty are only modestly progressive. Notably, special education funding is essentially progressivity-neutral for poor students. If we adjust the formula so all factors except individual student poverty receive zero weight and distribute the excess to poor students, we can increase the progressivity of district funding by 124 percent. We interpret this as the opportunity cost of the non-poverty-based funding components, measured in terms of progressivity.
Teacher Shortages: A Framework for Understanding and Predicting Vacancies
We develop a unifying conceptual framework for understanding and predicting teacher shortages at the state, region, district, and school levels. We then generate and test hypotheses about geographic and subject variation in teacher shortages using data on unfilled teaching positions in Tennessee during the fall of 2019. We find that teacher staffing challenges are highly localized, causing shortages and surpluses to coexist. Aggregate descriptions of staffing challenges mask considerable variation between schools and subjects within districts. Schools with fewer local early-career teachers, smaller district salary increases, worse working conditions, and higher historical attrition rates have higher vacancy rates. Our findings illustrate why viewpoints about, and solutions to, shortages depend critically on whether one takes an aggregate or local perspective.
What is a School Finance Reform? Uncovering the ubiquity and diversity of school finance reforms using a Bayesian changepoint estimator
School finance reforms are not well defined and are likely more prevalent than the current literature has documented. Using a Bayesian changepoint estimator, we quantitatively identify the years when state education revenues abruptly increased for each state between 1960 and 2008 and then document the state-specific events that gave rise to these changes. We find 108 instances of abrupt increases in state education revenues across 43 states; about one-quarter of these changes had been undocumented. Half of the abrupt increases that occurred post-1990 were preceded by litigation-prompted legislative activity, and Democrat-party control of a state increases the probability of a changepoint occurring by 8 percentage points.
The Effects and Local Implementation of School Finance Reforms on Teacher Salary, Hiring and Turnover
Knowing how policy-induced salary schedule changes affect teacher recruitment and retention will significantly advance our understanding of how resources matter for K-12 student learning. This study sheds light on this issue by estimating how legislative funding changes in Washington state in 2018-19—induced by the McCleary court-ordered reform—affected teacher salaries and labor market outcomes. By embedding a simulated instrumental variables approach in a mixed methods design, we observed that local collective bargaining negotiations directed new state-level funding allocations toward certificated base salaries, particularly among more senior teachers. Variability in political power, priorities, and interests of both districts and unions led to greater heterogeneity in teacher salary schedules. Teacher mobility rate was reduced in the first year of the reform, and subsequently new hiring rate was reduced in the second year. Suggestive evidence indicates that a $1,000 salary increase would have larger effects on junior teachers’ hiring and their transfers between districts to a greater extent than late-career teachers.
Spending More on the Poor? A Comprehensive Summary of State-Specific Responses to School Finance Reforms from 1990–2014
Sixty-seven school finance reforms (SFRs), a combination of court-ordered and legislative reforms, have taken place since 1990; however, there is little empirical evidence on the heterogeneity of SFR effects. In this study, we estimate the effects of SFRs on revenues and expenditures between 1990 and 2014 for 26 states. We find that, on average, per pupil spending increased, especially in low-income districts relative to high-income districts. However, underlying these average effect estimates, the distribution of state-level effect sizes ranges from negative to positive---there is substantial heterogeneity. When predicting SFR impacts, we find that multiple state-level SFRs, union strength, and some funding formula components are positively associated with SFR effect sizes in low-income districts. We also show that, on average, states without SFRs adopted funding formula components and increased K-12 state revenues similarly to states with SFRs.
Get Real! Inflation Adjustments of Education Finance Data
Use of education finance data is ubiquitous. Yet, because the academic calendar circumscribes two calendar years, researchers have linked the Consumer Price Index to three different dates: the Fall, Spring and academic fiscal years. We demonstrate that linking the CPI to these different academic year results in identifying different trends in U.S. educational spending during the Great Recession. Descriptive inferences should not be sensitive to researcher discretion about merge years. We provide an easy-to-use software package to facilitate implementation of NCES guidelines in the hope that future analyses of education finance data will explicitly and consistently apply inflation adjustments.