MarylandMaryland was one of our school funding success stories, and an oddball of sorts.  The first part of the story follows the script.  In 1994, Baltimore City plaintiffs filed a lawsuit against the state of Maryland, alleging that state funding was insufficient for student to receive an adequate education.  The trial judge held that the plaintiffs had stated a valid claim.  But on the eve of trial, the story turned. Maryland did what almost no other state has.  It settled and agreed to a consent decree under which it would develop a management and student achievement plan for the schools and substantially increase funding in the Baltimore City Schools: $30 million more in the first year and then $50 million more in each of the following four years. 
 
In 2002, Maryland went one step further.  Based on recommendations by the Commission on Education Finance, Equity, and Excellence (“Thornton Commission”), Maryland implemented an entirely new funding formula designed to ensure that schools and school systems have the resources necessary to provide every child with an adequate and equitable education.   The formula paid special attention to meeting the needs of low-income, special education, and limited English proficiency students.
 
Plaintiffs are now alleging that the state has slipped back into its old habits and is failing to fund its education formula.  In 2008, the state stopped funding inflation increases, creating a large funding gap over the last decade.  Based on the existing funding formula, the gap is at least $1.6 billion statewide.  A state sponsored study by Augenblick, Palaich and Associates found that the gap between current spending and what is necessary for adequate education outcomes is actually even larger.  It recommended in 2016 that school funding increase by $2.9 billion – $1.9 billion from the state and $1 billion from local governments.  Below is a chart from that report showing the gap for Baltimore schools and others.