This resolution mandates the Alabama Legislature to undertake a study aimed at modernizing the state's K-12 education funding system. The current system, known as the Foundation Program, has been in place since 1995 and is primarily resource-based, relying on state and local tax dollars, with local contributions coming from property taxes. The program allocates funds to school districts based on expected resource costs, such as salaries and classroom support, but offers limited additional state funding for students with disabilities or other specific needs. The resolution highlights the complexity of the Foundation Program and its lack of flexibility to adapt to the changing needs of students and school districts.

The resolution notes that Alabama is one of only six states that still use a resource-based funding formula for K-12 education, while the majority of states have adopted a student-based funding model that allocates money based on student enrollment and characteristics such as income level, disability, and language proficiency. The Legislature is tasked with exploring a shift to a modern, weighted, student-based funding model that more accurately reflects the costs of educating different student groups and aims to bring all students to proficiency. The findings of the study and any proposed legislation are to be delivered to the Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate by February 1, 2025.