LESC Education Topics


Public School Finance

The Legislature serves a critical role in creating the state’s budget for public education. In fact, public education comprises the largest portion of the state’s budget, with approximately 43 percent of the state’s general fund dollars flowing to K-12 public schools. In recent years, the Legislature has made significant and targeted investments in educational programs, services, and public school personnel compensation. However, some school districts and charter schools continue to report funding insufficiency, staffing shortages, and high-turnover for some job categories. These chronic challenges have been exacerbated by the Covid-19 pandemic, which had long-lasting impacts on student, educator, and familial wellbeing. As school districts and charter schools grapple with these challenges, the Legislature has signaled its intention to continue supporting communities in establishing a strong foundation for continued growth in student achievement and educator wellbeing. LESC staff serve help the committee navigate the state’s public education budget and craft budget recommendations responsive to the voice of educators across the state.

Analyst Contact: Daniel Estupiñan | Daniel.Estupinan@nmlegis.gov

2024 Interim Priorities

  • Revise the Public School Funding Formula. LESC staff will compile a comprehensive and collaborative proposal for revising the state equalization guarantee (SEG)—the state’s public school funding formula—to recommend changes to basic program units, special education units, and at-risk components of the formula.

  • Study the Family Income Index. LESC staff will study the effectiveness of the family income index in identifying concentrations of poverty at the school-site level.

  • Study Cash Balances. LESC staff will study the status of cash balances throughout the state to identify the various reasons why school districts and charter schools maintain specific levels of reserves.