Closing the Funding Gap: Ensuring Kentucky’s Education Budget Delivers

February 7, 2025

Closing the Funding Gap: Ensuring Kentucky’s Education Budget Delivers

In 1989, the Kentucky Supreme Court, in Rose vs. the Council for Better Education (commonly referred to as the Rose decision), declared the entire state system of public education unconstitutional.  The court found that Kentucky’s public education system failed to meet the requirements of Section 183 of the state constitution, which mandates an "efficient system of common schools throughout the state."  This lawsuit was prompted by major deficiencies in both the adequacy of public school funding and the equity of that funding in districts across the state.  From this decision, the Kentucky legislature passed the Kentucky Education Reform Act, which, among many overhauls, included a new funding formula known as the Support Education Excellence in Kentucky (SEEK). 


The Kentucky Association of School Superintendents commends the legislature for passing an education budget that moves us closer to adequate funding.  Currently, however, a funding shortfall exists and it’s imperative this gap is closed in order for the budget to work and be made whole.  Inadequate funding harms the entire budget process.



How is SEEK Calculated?


Every two years, Kentucky lawmakers set a per-student base funding amount multiplied by the district’s average daily attendance from the previous year. This is just a starting point, however, and not a guaranteed amount per student. 

Next, add-ons adjust funding based on student needs:


  • At-risk students (free lunch eligible) = number of students x 15% of the base funding per student.
  • Home-hospital students = previous year’s average daily attendance x the base amount minus $100.
  • Exceptional children = funding varies by need level and the number of students (low, moderate, or high incidence).
  • Limited English proficiency students = number of students x 9.6% of the base funding per student.
  • Transportation funding is based on distance, frequency, and type of travel.


After calculating adjusted base funding,
local effort is subtracted. Districts must contribute 30 cents per $100 of assessed property value, reducing the amount provided by the state. Wealthier districts receive less state aid, while poorer districts receive more to promote fairness.

Districts can raise local taxes beyond the required amount:

Tier One: Up to 17.5% more, with state equalization for poorer districts.

Tier Two: Up to 30% more (requires voter approval) but gets no state equalization.


A
hold harmless provision ensures no district receives less than it did in 1992.

In short, SEEK funding aims to balance resources so all students, regardless of their district’s wealth, have access to similar educational opportunities.



Why do we have a funding gap?


Funding gaps are not new.  When developing the budget for SEEK, estimates must occur as legislators are projecting two years out.  Based on any number of factors within the formula, a surplus or shortfall will almost always happen.  Over the past 15 years, shortfalls have occurred 4 times.  But during the last fiscal year, there was a $156.3 million SURPLUS in SEEK funds that were swept to the state general fund. 


Factors that impact SEEK include changes in:

  • Enrollment
  • Average Daily Attendance
  • At-risk students
  • Students w/disabilities and category of that disability
  • Students utlizing home-hospital services
  • Students with limited English proficiency
  • Transportation patterns within the district
  • Increase or decrease in property values
  • Local district tax rates 


Since 2022, total enrollment has increased by almost 4,000 students across the state.  In that same time frame, Kentucky public schools have seen an increase of over 10,000 at-risk students, 12,000 students with limited English proficiency, and 9,000 students with a disability.  The shifts in these groups combined with a large variance in local property values across the state make the SEEK estimate an imperfect science.  And yet, the shortfall is less than 1.5% of the total SEEK budget.



Why can’t local districts just pick up the cost?


A common argument is that local school districts have contingencies to cover just this sort of thing.  In Kentucky, 2% of a local school district’s budget is REQUIRED to be in contingency, while at least 5% is recommended. In fact, many accountants recommend at least 3 months of operating costs in reserve.  Much like people who try to save a portion of their income, school districts do the same.


The average school district in Kentucky has around 2200 students.  When you are dealing with thousands of people (students and staff) being transported, fed, utilizing hundreds of thousands of square feet of buildings, ensuring their safety, and supporting the educational efforts of the next generation, there are many expenses.  The roof has leaks, the heating unit stops working, an extra teacher is provided for a program needed for students, the bus breaks down - these costs are why a district has a contingency.  In many districts, the contingency is developed because of expected large future expenses like a building project, staff raises, or expanded programs. 



What must happen now?


It is crucial the Kentucky Legislature close this shortfall.  The money is there.  Last year, over $156 million from the SEEK fund lapsed back to the general fund.  To close this year’s gap, 25% of that money is needed - a small drop in the bucket.  School districts utilize expected SEEK dollars to create their budgets for the next year.  Not closing the gap will lead to budget shortfalls locally, which could impact jobs, whether or not districts can give raises, and uncertainty in the budgeting process moving forward.  This budget was a good education budget.  It should not be short changed because of the SEEK shortfall.


The Kentucky Association of School Superintendents encourages every superintendent to reach out to their local legislators to discuss more specific talking points and how this shortfall could affect your district and your long-term plans.  Now is the time to act to ensure we continue to focus on Kentucky public education funding.



October 16, 2025
Building the Workforce Kentucky’s Students Deserve Across the Commonwealth, superintendents are confronting the same challenge: how to attract and keep the high-quality educators and staff every student deserves. Compensation matters, but as Kentucky’s education leaders know, it is not sufficient on its own. Building a durable education workforce requires clearing certification bottlenecks, aligning professional learning to the real work of teaching, reducing outdated mandates, and empowering local accountability grounded in United We Learn . KASS’s 2026 priorities point the way forward: recruit and retain high-quality teachers and staff, study and remove outdated mandates, and build momentum for an accountability system aligned to United We Learn, a model that supports innovation and meaningful measures of student learning. The Workforce Reality: Vacancies, Turnover, and Competition for Talent Recent data from the Kentucky Department of Education’s 2023–24 Educator Shortage Report show that 13 percent of all posted vacancies remained unfilled for the entire school year, and districts reported 1,766 classified support staff vacancies as of September 1. These positions are vital to student learning and daily operations. Turnover is equally costly. According to the Learning Policy Institute , teacher turnover, which includes costs for separation, recruitment, and onboarding, averages between $12,000 and $25,000 per teacher depending on district size. High turnover drains resources that could otherwise support classrooms and is linked to lower student achievement. Kentucky cannot simply hire its way out of the challenge. The state must compete for talent by making it easier for educators to enter, remain, and grow in the profession. Certification Reform: Widening the Gate Without Lowering the Bar One of the most significant barriers to building Kentucky’s teacher workforce lies in certification. For decades, certification structures have been rigid, with limited flexibility for individuals who bring valuable experience into the classroom. Kentucky has taken meaningful steps to address this issue. In June 2025, the Education Professional Standards Board (EPSB) reviewed recommendations from its Certification Structure Workgroup to modernize grade bands and expand flexible pathways. These proposals include multiple ways to demonstrate competency, broader grade-band options such as K–8 or 6–12, and smoother entry routes for experienced professionals, particularly in high-need secondary and career and technical education fields. There are particular high needs areas in Kentucky. Almost every district across the state has experienced certification issues related to secondary math and science positions. Recommendations like general science certifications for 6-12 can help attract potential educators and free up certification quandaries at the secondary level. Currently, unlike say English, where a teacher could teach any of the grade levels in that content, science has highly specific degrees that require not just a science credential, but biology, or chemistry, or physics. The legislature can ensure all stakeholders are brought together to address these types of challenges. Reforming certification does not mean lowering standards. It means removing barriers that keep capable people out while maintaining high expectations that protect students and the profession. Professional Learning That Works: Job-Embedded, Ongoing, and Focused Recruitment without retention is a revolving door. Research shows that sustained, job-embedded professional learning improves both teaching practice and student outcomes. KASS’s 2026 priorities call for aligning professional development requirements with educator contracts to emphasize personalized, job-embedded learning. That alignment shows respect for educators’ time and ensures that professional learning translates into stronger instruction. Many districts have created wonderful models of this by taking advantage of flexible calendars, instructional coaches, and federal funding. We must ensure those are highlighted and we continue to create these opportunities for teachers across the commonwealth. When our schools dedicate time for coaching, professional learning communities, and curriculum-aligned professional development, we treat teacher learning as essential infrastructure, not a compliance task. By giving them a voice in this learning, we help retain teachers in the profession. Local Accountability and Local Empowerment Accountability frameworks shape how educators experience their work. When accountability emphasizes growth, authenticity, and community goals, teachers are more likely to stay and thrive. Kentucky’s United We Learn Council is developing a new accountability framework to present to legislators in 2026. The framework aims to capture the full breadth of student learning and opportunity, reflecting goals defined by local communities. Educators come to work everyday hoping to make a difference for students. This means ensuring essential learning goals but when this happens, what this looks like, and how we go about achieving it are nuanced. Local accountability gives us the opportunity to have a more holistic view of a student as well as the tireless work our educators do each day. This focus on local empowerment is central to KASS’s vision. Local accountability allows districts to design systems of growth rather than systems of punishment. As we continue building momentum for a unified accountability model that empowers districts to innovate for student success while maintaining clarity and comparability, we will attract and retain teachers to the profession. Strengthening the Pipeline: From Middle School to Master Teacher To compete for talent, Kentucky must inspire the next generation of educators long before they reach college. KASS supports expanding Educators Rising chapters in every middle and high school so students can explore teaching as a meaningful career path. Because most annual teacher demand results from attrition rather than new positions, retention is the most powerful workforce strategy. When early pipeline programs are paired with strong mentoring, induction, and leadership development, educators see a clear and lasting future within Kentucky schools. Cut the Red Tape: Let Educators Focus on Students Finally, superintendents across Kentucky report that overlapping mandates and reporting requirements create unnecessary burdens. Legislative and research briefings, including findings from the Kentucky Legislative Research Commission , have highlighted the need for modernization. Simplifying and streamlining these processes would return valuable time to teaching and leadership. KASS applauds recent legislative progress and supports continued collaboration with policymakers to ensure that reforms are practical, measurable, and sustainable. The Red Tape Reduction Act was a valuable first step in streamlining evaluation requirements and professional learning. There is still much work to do, however, particularly with legislative unfunded mandates, departmental interpretation of existing laws and regulations, and unleashing technology to allow schools to spend more time on student achievement and less time on burdensome bureaucratic initiatives. KASS is ready to work with our legislative partners to identify more opportunities to continue to cut red tape. A Call to Action KASS stands ready to partner with lawmakers, the EPSB, the Kentucky Department of Education, higher education, and local communities to recruit, retain, and elevate Kentucky’s education workforce. Together, we can ensure that every student learns from teachers and staff who are well-prepared, well-supported, and proud to call Kentucky home.
October 16, 2025
Nestled in the heart of Mercer County, Burgin Independent School stands as a model of what small schools can achieve when every student is known, valued, and empowered to lead. Serving approximately 530 students from preschool through 12th grade, the district continues a long legacy of community-driven education that dates back to its founding alongside the town of Burgin in the late 1800s. Under the leadership of Superintendent Chris LeMonds, Burgin Independent has embraced the power of connection—both within the classroom and across generations. One shining example is Burgin Family Day, a monthly, schoolwide initiative that brings together students from every grade level to build relationships, foster leadership, and strengthen the school’s family-like culture. Each month, a new theme—such as kindness, respect, or teamwork—guides activities that pair older and younger students for mentorship, collaborative learning, and fun. The results speak volumes. Since the program’s launch, 100% of students have participated each month, disciplinary referrals have declined, and teachers report stronger classroom relationships and improved morale. Parents echo that sentiment, often calling Burgin’s approach “a small school with a big heart.” One 10th grader shared, “I like Family Day because I get to spend time with younger kids and help them feel welcome,” while a second grader reflected, “The older students make me feel special because they spend time with me.” Legislative support has also played a key role in helping Burgin continue its mission. Through the recent increase in SEEK funding, the district is now hiring a full-time School Resource Officer (SRO)—a long-held priority that ensures every student learns in a safe and supportive environment. As Burgin Independent looks ahead, the district aims to expand Family Day to include community partnerships, parent engagement, and cross-curricular connections, continuing to model the power of unity and empathy in education.
October 2, 2025
Fleming County Schools has emerged as a national leader in redefining what accountability means for public education in Kentucky. Their journey, driven by local voices, bold leadership, and a relentless focus on students, offers a living example of how districts can shape systems that honor both rigorous standards and community values. The story did not happen overnight. Fleming County’s “moonshot” began with a simple but powerful question: how can we measure success in ways that reflect the growth, readiness, and creativity of every student? Instead of relying solely on one-day test scores, the district committed to building an accountability system that tells a richer story. Through years of iteration, Fleming County created its Measures of Quality (MoQs) framework. This model balances academic growth with durable skills, real-world application, and readiness for life beyond school. Students are invited to demonstrate mastery through projects, presentations, and authentic work that reflects their unique talents and aspirations. Dr. Brian Creasman, Superintendent of Fleming County Schools, describes this approach as being “inches from landing.” For him, accountability is not about compliance, but about community. “When families, teachers, and students see themselves in the story of success, accountability becomes a shared promise, not a bureaucratic burden,” he explained. The district’s progress is visible not only in dashboards and reports, but in the confidence of its culture. Teachers feel empowered to innovate. Students see purpose in their learning. Families trust that their schools are preparing children for both college and careers. This cultural shift is what makes Fleming County’s work so significant. Artifacts of the journey tell the story best. Students presenting their portfolios to community panels. Teachers collaborating on new performance assessments. Families giving input on what readiness means for their children. These moments showcase accountability not as a policy, but as a practice lived out every day in classrooms and communities. For superintendents across the Commonwealth, Fleming County provides an inspiring example. Local accountability can be bold, human, and effective. It can honor state expectations while elevating what matters most to communities. Most importantly, it can keep Kids First by ensuring every child is seen, supported, and celebrated for who they are becoming.
October 2, 2025
Nestled in the scenic hills of Eastern Kentucky, Lawrence County Schools has a long legacy of educational excellence and resilience. Once home to more than 100 one-room schoolhouses, the district has evolved into a thriving school system that now offers a blend of tradition and innovation. With programs ranging from Gifted and Talented education to Advanced Placement, dual credit opportunities, and an expanding Career and Technical Education (CTE) portfolio, the district ensures every student has a pathway to success. Superintendent Katie Webb and her team are committed to tailoring learning experiences that inspire, challenge, and empower each student. With a focus on both academic rigor and extracurricular engagement, Lawrence County nurtures school spirit, family involvement, and community pride—values that are central to the district’s mission. A transformational moment for the district came in 2021 when state leaders approved funding for a new Local Area Vocational Education Center (LAVEC). This investment provided Lawrence County High School with expanded facilities, including a state-of-the-art greenhouse. As agriculture instructor Melissa Blackburn explained, “The new greenhouse is an incredible enhancement to our program. It exposes students to cutting-edge technology they’ll encounter in industry settings, from advanced irrigation to electrical and industrial maintenance”. The LAVEC has since become a hub of opportunity. Through programs like Building America Apprenticeship (ABA2), students are gaining real-world skills and workforce readiness. Internships and apprenticeships are expanding in collaboration with community partners, while achievements in agriculture, JROTC, FFA, and HOSA showcase how students are excelling on both local and national stages. Partnerships are central to Lawrence County’s success. Organizations like Three Rivers Medical Center, The Jordan Center, Joe Young Insurance, and Dr. Lester’s Pre-Dentistry Program provide students with internships and job-shadowing experiences that prepare them for high-demand careers. These connections ensure students can stay in their community while pursuing meaningful, future-ready work. Looking ahead, Lawrence County Schools will continue to expand opportunities for all learners—bridging academics, workforce development, and community collaboration. With the support of their legislative partners and the commitment of district leadership, Lawrence County is demonstrating how rural schools can unlock student potential and strengthen Kentucky’s future.
Vibrant Classroom
September 18, 2025
Any accountability system begins with a simple truth: in order for schools to deliver on their promises to students, adequate and equitable funding must exist. Each Kentucky district faces its own realities: urban and rural, large and small, county and independent, property-rich and property-poor. Yet all 171 school districts share the same responsibility: meet the educational needs for every child in the Commonwealth. This was the promise of the Kentucky Education Reform Act (KERA). It took courage to not only paint a picture of what Kentucky schools should be, but also fund those initiatives. The SEEK formula was designed with this balance in mind. Its founding vision recognized that every community has unique assets and challenges, and that state support is necessary to ensure fairness across the Commonwealth. This is what makes the formula powerful: it allows all districts, regardless of size, wealth, or demographics, to provide the foundational opportunities every child deserves and that’s required by Kentucky statute. When schools are properly funded, vibrant learning becomes possible. Resources extend beyond textbooks and technology; they include the ability to hire and retain strong teachers, offer diverse programs for every learner, and provide meaningful experiences that prepare students for life. Whether it is advanced coursework, career and technical pathways, robust arts programs, or gifted and talented classes, funding makes these opportunities a reality. And for Kentucky School Districts, the promise of KERA was that the state would shoulder the largest burden. This promise has not been upheld since 2008. Local accountability means communities have a voice in shaping how dollars are used to hold their local districts accountable. Superintendents and boards must be able to deploy funds where they are needed most, reflecting the values and priorities of local families. Adequate SEEK funding, paired with flexibility, ensures that schools can adapt to the specific needs of their students while remaining aligned with state goals. As we expand accountability to the local community, the call to action is clear: to achieve the goals our community desires, we must have state funding to turn these aspirations into a reality. Districts are committed to transparency, innovation, and results, but they must have the fiscal foundation to succeed. A statewide approach that strengthens SEEK and honors local context is essential to sustaining meaningful learning opportunities in every Kentucky community for every Kentucky student. Funding is not just about numbers - It is about what those numbers mean in classrooms, in hallways, and in the lives of children. When we fund our schools equitably and responsibly, we build a system of accountability that truly reflects the values of Kentucky: fairness, opportunity, and schools that put Kids First.
September 4, 2025
At the heart of every vibrant learning experience is a strong teacher. A great educator transforms content into curiosity, and classrooms into spaces where students feel both challenged and supported. When we talk about building a future-ready public education system in Kentucky, the starting point is clear: we must ensure a great teacher is present in every classroom. Kentucky’s school leaders have worked diligently to raise teacher pay in recent years. In fact, many districts have given some of the largest percentage raises in their history, and those efforts have largely kept pace with inflation. But keeping up is not the same as catching up. Teachers have not regained the ground lost during the lean years following the 2008 recession, when salaries failed to keep pace with rising costs. At the same time, private sector wages have surged ahead, widening the pay gap and making it harder to recruit and retain the next generation of educators. We cannot rob Peter to pay Paul. Long-term commitments such as pensions, health care, and retirement security are essential for stability in the profession. At the same time, year-to-year funding for salaries and classroom resources determines whether teachers feel valued and whether districts can attract the next generation of talent. Both elements matter. Both must be sustained. Teachers are not asking for luxuries; they are asking for the conditions that make vibrant learning possible. Competitive salaries, reliable benefits, and supportive working environments ensure Kentucky classrooms remain staffed with the kind of educators who bring lessons to life. Without these, we risk losing teachers to other professions or neighboring states, which is an outcome Kentucky cannot afford. This is why our legislative advocacy must stay focused on both sides of the equation. Investing in SEEK funding, protecting retirement systems, and ensuring sustainable pathways for compensation are not abstract policy debates. They are the concrete decisions that determine whether every Kentucky child has access to a strong teacher, every single year. As superintendents, we know the stakes. When teachers thrive, students thrive. Vibrant learning is not a slogan; it is the daily work happening in classrooms across the Commonwealth. Let us continue to lead with purpose, advocate with unity, and put Kids First by ensuring that Kentucky teachers have the respect, resources, and rewards they deserve.
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