EDUC 648 QUIZ 3: REVENUE—LOCAL
VS. STATE CONTROL. EXAM
QUESTIONS AND ANSWERS
1. Which U.S. Supreme Court case established that education is not a fundamental right
under the U.S. Constitution, shifting the burden of equity litigation to state courts?
A. San Antonio Independent School District v. Rodriguez
B. Serrano v. Priest
C. Brown v. Board of Education
D. Plyler v. Doe
Answer: A
Conceptual Explanation: In San Antonio v. Rodriguez (1973), the Court ruled that the
Equal Protection Clause does not require absolute equality or precisely equal advantages in
education, confirming it is not a fundamental federal right.
2. Under a Foundation Program of state aid, how is the state’s contribution to a local district
typically calculated?
A. The state provides a fixed amount per student regardless of local wealth.
B. The state assumes all costs of instruction while the local district pays for facilities.
,C. The state matches local fundraising efforts dollar-for-dollar.
D. The state pays the difference between a mandated minimum expenditure level and the
amount raised by a required local tax rate.
Answer: D
Conceptual Explanation: The Foundation Program requires a local tax effort; the state
then bridges the gap to ensure every student receives a ‘foundation’ level of funding.
3. What is the primary criticism of relying heavily on local property taxes for school revenue?
A. They create significant funding disparities between ‘property-rich’ and ‘property-poor’
districts.
B. Property taxes are too difficult to collect compared to income taxes.
C. They are inherently progressive, placing too much burden on the wealthy.
D. Property values are too stable and do not grow with the economy.
Answer: A
Conceptual Explanation: Because property wealth is distributed unevenly, districts with
high property values can raise more revenue with lower tax rates than poor districts.
4. Which concept refers to the principle that the quality of a child’s education should not be a
function of the wealth of their neighbors?
A. Fiscal Neutrality
B. Categorical Equity
, C. Vertical Equity
D. Full State Funding
Answer: A
Conceptual Explanation: Fiscal neutrality, a concept popularized during the Serrano v.
Priest litigation, asserts that educational spending should depend on the wealth of the state
as a whole, not local district wealth.
5. A ‘Power Equalizing’ (or Guaranteed Tax Base) formula is designed to achieve which of the
following?
A. Equalize the revenue-raising capacity of districts for a given level of tax effort.
B. Ensure that every district has the exact same budget.
C. Eliminate the need for local property taxes entirely.
D. Provide funding based strictly on student performance metrics.
Answer: A
Conceptual Explanation: Power equalizing ensures that if two districts set the same tax
rate, they receive the same total revenue (local + state), regardless of their actual local
property wealth.
6. What is the ‘Recapture’ provision, often referred to as ‘Robin Hood’ legislation?
A. A federal tax on private schools to fund public ones.
B. The seizing of property from citizens who fail to pay school taxes.
VS. STATE CONTROL. EXAM
QUESTIONS AND ANSWERS
1. Which U.S. Supreme Court case established that education is not a fundamental right
under the U.S. Constitution, shifting the burden of equity litigation to state courts?
A. San Antonio Independent School District v. Rodriguez
B. Serrano v. Priest
C. Brown v. Board of Education
D. Plyler v. Doe
Answer: A
Conceptual Explanation: In San Antonio v. Rodriguez (1973), the Court ruled that the
Equal Protection Clause does not require absolute equality or precisely equal advantages in
education, confirming it is not a fundamental federal right.
2. Under a Foundation Program of state aid, how is the state’s contribution to a local district
typically calculated?
A. The state provides a fixed amount per student regardless of local wealth.
B. The state assumes all costs of instruction while the local district pays for facilities.
,C. The state matches local fundraising efforts dollar-for-dollar.
D. The state pays the difference between a mandated minimum expenditure level and the
amount raised by a required local tax rate.
Answer: D
Conceptual Explanation: The Foundation Program requires a local tax effort; the state
then bridges the gap to ensure every student receives a ‘foundation’ level of funding.
3. What is the primary criticism of relying heavily on local property taxes for school revenue?
A. They create significant funding disparities between ‘property-rich’ and ‘property-poor’
districts.
B. Property taxes are too difficult to collect compared to income taxes.
C. They are inherently progressive, placing too much burden on the wealthy.
D. Property values are too stable and do not grow with the economy.
Answer: A
Conceptual Explanation: Because property wealth is distributed unevenly, districts with
high property values can raise more revenue with lower tax rates than poor districts.
4. Which concept refers to the principle that the quality of a child’s education should not be a
function of the wealth of their neighbors?
A. Fiscal Neutrality
B. Categorical Equity
, C. Vertical Equity
D. Full State Funding
Answer: A
Conceptual Explanation: Fiscal neutrality, a concept popularized during the Serrano v.
Priest litigation, asserts that educational spending should depend on the wealth of the state
as a whole, not local district wealth.
5. A ‘Power Equalizing’ (or Guaranteed Tax Base) formula is designed to achieve which of the
following?
A. Equalize the revenue-raising capacity of districts for a given level of tax effort.
B. Ensure that every district has the exact same budget.
C. Eliminate the need for local property taxes entirely.
D. Provide funding based strictly on student performance metrics.
Answer: A
Conceptual Explanation: Power equalizing ensures that if two districts set the same tax
rate, they receive the same total revenue (local + state), regardless of their actual local
property wealth.
6. What is the ‘Recapture’ provision, often referred to as ‘Robin Hood’ legislation?
A. A federal tax on private schools to fund public ones.
B. The seizing of property from citizens who fail to pay school taxes.
