School Funding Reform on the Horizon
University of Delaware Professor Gary T. Henry shares insight on potential school funding changes in Delaware
Delaware’s students are facing challenges, and the numbers show it. According to the Nation’s Report Card, reading and math scores have declined over the past decade, putting the state well below the national average.
Fixing the problem isn’t simple. But one part of the solution may be updating Delaware’s 80-year-old school funding model.
The state’s Public Education Funding Commission (PEFC) has been reviewing how Delaware funds public schools and exploring ways to make the system fairer and more effective. Here, Gary T. Henry, professor in UD’s College of Education and Human Development, interim dean of the Graduate College and a member of the PEFC, explains why this issue matters for Delaware students, families and teachers.
Q: Let’s start with the basics. What’s wrong with Delaware’s current school funding model?
Henry: Delaware adopted the unit count model in the 1940s, back when schools were primarily staffed by a principal and classroom teachers. Today, the state gives money based on the number of enrolled students, which determines how many “teacher units” schools get.
Q: So more students, more funding?
Henry: In general, yes. But here’s the problem: The original model didn’t account for students who need additional support, such as English learners, students with disabilities or those living in poverty. Those students require more resources, but the current funding model doesn’t reflect that. With the exception of special education, the funding is still tied almost entirely to enrollment, not need.
Q: How have schools responded?
Henry: Schools have added assistant principals, mental health staff and other support roles. But without funding from the state based on the needs of the students, schools with greater student needs will not have sufficient funds to adequately serve their student population.
Q: Is this the main issue with Delaware’s school funding model?
Henry: Unfortunately, no. The state’s funding model has led to substantial funding disparities in lower-wealth districts. Schools in wealthier areas raise more local revenue, even with the same tax rate as less wealthy communities, hire more classroom teachers and pay teachers more. Meanwhile, schools serving students in poverty have fewer resources, fewer teachers, lower teacher salaries and fewer highly qualified teachers. Right now, Delaware is the only state that actually sends more state money per pupil to wealthier districts.
Q: What’s the proposed fix?
Henry: The PEFC is recommending a hybrid model. It would keep some parts of the unit count system but add “weights,” or extra funding for students with greater needs and send more funding to districts with less local wealth. The critical issue is how much of the state’s funds will be allocated based on student needs and adjusting for local wealth differences.
Q: Do we know if this kind of model really helps students?
Henry: Yes, we’ve got a lot of research showing that when states reform funding to address student needs and reduce funding disparities in lower wealth districts, achievement improves. Teacher recruitment and retention improve, too.
Q: How does teacher pay fit into this?
Henry: Under the current model, salaries are split between the state and local districts. That means a teacher in a poorer district can make up to $8,000 less than one in a wealthier area with the same level of education and experience. If the model allocates more funds to less wealthy districts, it could even out those disparities.
Q: And Delaware’s behind neighboring states, right?
Henry: That’s right. In 2025, Delaware’s average teacher salary was about $71,000. According to the 2024 Nation’s Report Card, 35% of fourth graders are proficient in math and 26% proficient in reading. Compare that to New Jersey, where teachers earn about $83,000 on average, and nearly half of students were proficient in math in 2024. While school funding is only one of the factors affecting student outcomes, states that pay teachers more tend to see better outcomes.
Q: What would this mean for Delaware families?
Henry: Ideally, stronger outcomes across the board. If we improve reading and math skills, graduates will be better prepared for college and the workforce.
Q: For teachers?
Henry: A new model could make Delaware more competitive for the best teachers. Right now, our neighboring states pay starting teachers $2,000 to $9,000 more. That’s a big difference for new graduates with student loans. Some of UD’s own education grads choose to teach elsewhere for that reason. With better pay, we can keep more of that talent here.
Q: And most importantly, for students?
Henry: The goal is to level the playing field for every student. With a new funding model, a child’s ZIP code would no longer determine whether they have access to more great teachers.
The UD advantage: Growing Delaware’s educators
Improving student outcomes and supporting educators lies at the heart of UD’s College of Education and Human Development (CEHD).
- Teachers of Tomorrow introduces high school students to teaching careers through a two-week, on-campus summer institute and yearlong opportunities to learn about a UD education degree.
- Teacher Preparation Project provides accessible, high-quality programming in education, connecting Delaware high school students to UD through internships, learning labs, teacher-leader experiences at UD summer camps for children and participation in Delaware’s Educators Rising conference.
- Flexible pathways to an education degree allow students to begin their teaching journey with an affordable, supportive associate degree program in early childhood education or elementary and middle school teacher education.
- Teacher Residency Program offers yearlong, paid placements in Delaware schools, with graduates committing to teach in their residency districts for three years after graduation.
- Alternative Routes to Certification helps professionals earn initial teaching certification through non-degree programs.
- Graduate and online programs help current educators advance their skills or earn certification while working full time.
- Through the School Success Center, CEHD provides professional development and collaborates directly with teachers and school leaders in content-specific curricular supports, literacy, math and school leadership.
All of these initiatives work toward the same goal: preparing and supporting the teachers who will help every Delaware student succeed.
Article by Jessica Henderson. Photos by Evan Krape and Kathy F. Atkinson.