School funding can be complicated, but one important part of Ohio’s system is fairly simple to understand.
Ohio calculates a base cost for educating students. That cost is then shared between the State of Ohio and each local school district. The state-share calculation also affects funding for areas such as special education, career-technical education, gifted education, and services for English learners.
A recent edition of On The Money, written by Ohio school-finance expert Dr. Howard Fleeter, shows that the state’s average share of that base cost has declined significantly over time.
In FY1999, the statewide average state share was 47.0%. In FY2019, it was 46.3%. By FY2026, it had fallen to 35.3%, and for FY2027, it is projected to be 31.5%.
What does that mean?
Think of the base cost of education like a bill shared between the state and the local community.
When the state pays a smaller percentage of that bill, the local share becomes larger.
Dr. Fleeter notes that from FY1999 through FY2024, the statewide average state share of the base cost had never been below 40%.
That makes the current decline especially important.
Why does this matter to Orrville?
School districts rely on a combination of state and local funding to operate schools and provide services to students. When the state’s share of the base cost decreases, local communities must take on more responsibility.
That affects the financial environment in which Orrville City Schools must plan for staffing, transportation, student services, educational programs, and other day-to-day operating costs.
The 31.5% figure does not represent all state funding Ohio schools receive. It specifically refers to the state’s share of the base-cost portion of the school funding formula. Dr. Fleeter explains that this remains an important measure for understanding how Ohio’s school funding system is functioning over time.
The Bottom Line
The basic message is simple:
When the state funds a smaller share of the cost of educating students, local communities are responsible for a larger share.
Orrville City Schools will continue providing clear, factual information so our community can better understand the financial factors affecting our schools.