New York’s Foundation Aid formula, created in 2007 after a long legal battle, allocates state education funding across 700+ districts based on factors like regional salaries and poverty rates. However, it currently uses outdated data and has been impacted by recessions and enrollment declines. Governor Hochul sought to eliminate the “save harmless” provision protecting districts from funding cuts, but the legislature rejected this. The Rockefeller Institute’s December 2024 report recommends updates, with final decisions up to the governor and legislature.