When schools get the resources they need, more students graduate, secure good jobs, and live healthier lives. Tennessee’s K-12 school funding system was inequitable and complicated, and for years it seemed too hard to change. The 2022 overhaul of Tennessee’s funding system not only marked a major step for the state, but also sparked regional momentum for reform.

What TISA Changed

The Tennessee Investment in Student Achievement Act (TISA) is the state’s new formula that provides funding for each district based on their students’ unique needs. Under the old formula, Tennessee was 44th in the nation in K-12 education funding, spending far less than the national average. Now, Tennessee provides more funding — or “weights” — for students who need it most, including those from low-income backgrounds, English learners, and students with disabilities. Governor Lee also invested $1 billion in recurring state funds, so that every district got more state funding the first year that TISA went into effect.

TISA didn’t just increase dollars and move them around. TISA created a simple system that parents, educators, and community members can actually understand. When stakeholders understand how schools are funded, they can speak to the spending decisions made by districts and school boards.

What Made TISA Possible

In the fall of 2021, the Governor announced a review of Tennessee’s funding system and kicked off town halls, public comment, and subcommittees representing stakeholders across the state. In February of 2022, he introduced legislation with the new funding formula. TISA passed in a bipartisan vote in April and was signed into law in May. Districts started getting money through the new formula one year later.

At first glance, it might seem like a lightning fast process, but the work of reforming Tennessee’s school funding started years before. Advocacy groups like the Tennessee Alliance for Equity in Education, powered by EdTrust-Tennessee, played a major role in getting TISA to the finish line. The TISA story embodies key lessons for school funding advocacy:

• Big change sometimes starts small. Advocacy work that never makes the news matters just as much as the work that makes headlines.
• Investing in schools is about people, not politics. Bipartisan collaboration can feel challenging, but rallying around what students need can help us find common ground.
• Every voice matters. School funding reform needs parents, educators, businesses, philanthropies, faith communities, and students to come to the table with policymakers and design a solution that works.
• More money is key. In order to direct more dollars to students with greater needs, the state needs to increase funding overall to make sure every district comes out as a winner.
• School funding is one thing that can impact almost everything. It’s no silver bullet, but it can mobilize resources and spark thoughtful conversations about how we serve students. Those things combined can create lasting change.

 What’s Next for Tennessee

While TISA represents a major victory, policy change is only the beginning. The challenge ahead is ensuring that districts use these funds effectively to improve educational opportunities, particularly for traditionally underserved students.

To do that, the state needs to provide clear and consistent data about the funding districts get and how they are spending it. TISA gives local leaders the flexibility to decide what works best, but transparency is key to building trust and making sure resources are used fairly. Stakeholder engagement is key to helping districts make student-centered investments.

A Regional Movement – Southern States Are Taking Charge

The push for fairer funding is not just a Tennessee story — it’s part of a larger movement across the South and the nation. In 2024, Mississippi followed Tennessee’s example and passed a new student-based funding formula. This year, Alabama passed a hybrid formula that adds student weights for the first time. Conversations about school funding are growing in states like Kentucky, North Carolina, and Virginia. This regional momentum is an invitation for advocates, policymakers, and communities to take up the fight in their own contexts.

The South educates over half of the nation’s Black students, one-third of all public school students, and a growing Latino student population. Progress toward equitable education in the South is progress for the whole nation. That’s why EdTrust-Tennessee launched Southerners for Fair School Funding as an initiative to help Southern advocates drive change in their own states. See how fair school funding is in your state, and think about how you can take action.

School funding isn’t about perfect accounting solutions, and it’s not an experts-only conversation. It’s about recognizing that every student is unique, and it takes resources to give them an equal chance to succeed. Investing in their education is an investment in our future, and Southern states are taking up the charge.

Photo by Towfiqu barbhuiya on Unsplash