In Pennsylvania, like the rest of the nation, a large share of the costs depends on the taxpayers within each school district. In 1995-1996 local revenue, collected primarily through property taxes, accounted for 55.7 percent of school funding. State revenue supplied about 39.9 percent of the average public school budget. Finally, the federal government added another 3 percent. In this system, all levels of government contribute, but equity is not guaranteed.
School districts contribute the most, but local resources vary.
Rich districts can offer more while poor districts have less to contribute, or else must increase taxes to fill the gap. Looking across the states, the results don't seem very fair. This argument has fueled a quarter century of litigation in the country. State courts have ruled in 27 cases challenging state funding formulas. In states where funding was declared unconstitutional, courts have typically required states to shift more money to poorer districts or eliminate disparities across boundaries in other ways.