The resolution SJR___ mandates the Alabama Legislature to conduct a comprehensive study aimed at modernizing the K-12 education funding system in the state. Currently, Alabama employs a resource-based funding model established in 1995, which primarily allocates funds based on anticipated costs for resources and inputs, such as salaries and operational expenses. However, this model has been criticized for its complexity and lack of flexibility, as it does not adequately address the diverse needs of students, particularly those with disabilities or other specific requirements. Furthermore, Alabama is one of only six states using this outdated funding approach, while the majority of states have transitioned to a student-based funding model that considers enrollment numbers and additional factors like socioeconomic status and special needs.

The resolution calls for the Legislature to explore the feasibility of shifting to a student-based funding model that would better reflect the actual costs of educating various student groups and promote educational equity. The study will also assess any potential costs associated with this transition and identify necessary legal changes to implement a new funding framework. The findings and any proposed legislation resulting from this study are to be submitted to the Governor and legislative leaders by February 1, 2025.