EdTech

New EdTrust Report: Districts Serving Students of Color Receive $1,300 Less Per Student

By Dr. Matthew Lynch · October 30, 2026 · 4 min read

A new report from EdTrust, titled “Funding for Fairness: Revenue Inequities for States’ Highest-Needs Districts,” sheds light on persistent disparities in state and local school funding across the United States. According to the national nonprofit organization, districts serving the most students of color receive approximately $1,300 less per student than districts serving the fewest. This funding gap, representing about 7% less per student, underscores a systemic issue impacting educational opportunities for a significant portion of the nation’s student population.

EdTrust, an organization dedicated to dismantling racial and economic barriers in the American education system through research and advocacy, emphasizes that these inequities are not accidental. Instead, they are described as direct consequences of historical policies that have devalued property in Black communities and ongoing xenophobia affecting immigrant students' access to public education.

Understanding the Funding Gaps

The report details several key findings that paint a clear picture of the funding landscape:

  • Students of Color: Districts with the highest concentrations of students of color receive about $1,300 less per student, a 7% deficit compared to districts with fewer students of color.
  • English Learners: Districts serving the most English learners face a funding shortfall of approximately $900 per student, or 5% less, than districts with fewer English learners.
  • Students from Low-Income Backgrounds: While nationally, districts serving the most students from low-income backgrounds receive about $200 more per student, EdTrust states this amount is often insufficient to address the challenges these students face. Furthermore, 16 states still exhibit regressive funding distributions, where high-poverty districts receive less funding than low-poverty ones.

These findings, according to EdTrust President and CEO Denise Forte, indicate a failure to uphold the promise of a fair shot for every student. Forte stated, “Adequate and equitable school funding is the key to advancing opportunity for students traditionally furthest from it, and a pillar of EdTrust’s advocacy.”

Why Equitable Funding Matters for Students

The implications of these funding disparities are far-reaching. A lack of sufficient resources can directly impact the quality of education and support services available to students. EdTrust highlights that a high-quality education, which includes access to challenging curricula, evidence-backed literacy instruction, career education pathways, highly-skilled educators, and supportive guidance counselors, all depend on robust funding. When schools lack these essential resources, students, particularly those with the greatest needs, may not receive the comprehensive support necessary to thrive academically and personally.

For parents, these findings can raise concerns about the opportunities available to their children, especially if they reside in districts identified as underfunded. For teachers, it can mean fewer resources for classrooms, larger class sizes, and less access to professional development. Students, in turn, may experience a less engaging learning environment and reduced access to critical academic and social-emotional support.

Understanding these funding realities can help families and educators advocate for better resources. For students seeking additional academic support, free resources like COSMIQ, a free voice-driven AI tutor, can help bridge some gaps by providing personalized learning assistance for K-12 students across various subjects. Additionally, platforms offering free practice hubs by grade and subject can be valuable tools for supplementing classroom learning.

The Broader Context of Educational Equity

Qubilah Huddleston, equitable school funding lead at EdTrust and the report's author, emphasized that addressing school funding is just one piece of a larger puzzle. Huddleston noted, “We also need to create a strong social safety net that ensures equitable access to housing, health care, nutrition, and more.” This perspective underscores the interconnectedness of educational outcomes with broader societal factors.

EdTrust's work extends beyond national analyses, with state-specific initiatives in places like New York, Tennessee, California (through EdTrust-West), and Texas. These state-level efforts aim to advocate for equitable education by centering the voices of students and families and working to dismantle racial and economic barriers within local education systems.

Looking Ahead: Advocacy and Action

The “Funding for Fairness” report is part of EdTrust’s ongoing commitment to highlighting and addressing school funding inequities. The organization encourages continued advocacy to ensure that every student has the right to excel and thrive. By providing detailed data through reports and accompanying interactive tools, EdTrust aims to empower communities and policymakers to understand and address these critical disparities.

As the challenges facing public schools continue to evolve, the need for equitable and adequate funding remains a fundamental pillar for ensuring all students, regardless of their background or location, have access to a high-quality education that prepares them for success in school and beyond.

Learn anything, free.

COSMIQ is a free, voice-driven AI tutor for every learner. No credit card, ever.

Start learning free →