The Adequacy Impact of Flat EBF Funding through Inflation
By Ralph Martire
Executive Director
Center for Tax & Budget Accountability
In FY22, Illinois will increase year-to-year formula funding under the Evidence-Based Funding for Student Success Act (EBF) by $300 million.1 However, due to the state’s historic fiscal problems, which were worsened by the impact COVID-19 had on the economy, that increase almost did not happen. Indeed, the initial FY22 General Fund budget proposal would have flat-funded the EBF at FY21 levels.
Fortunately, President Biden got Congress to pass the American Rescue Plan Act (ARPA), a national relief package that made $1.9 trillion in federal funding available to help state and local governments cope with fiscal challenges created by the pandemic.2 Under ARPA, Illinois gets $8.1 billion for General Fund and other state expenditures over FY21 through FY24.3 Illinois used some of that ARPA funding to cover the year-to-year increase in EBF funding made in FY22.