For tens of thousands of Connecticut students, the 2025-26 school year marks the first time their school districts are receiving the full state funding they are owed. Local and regional public school districts in Connecticut receive funding via the Education Cost Sharing (ECS) grant and its formula, which has been funded partially over time but has gradually increased in recent years through a phase-in process.
As of the 2025-26 school year, districts deemed “underfunded” by the ECS formula will now receive their full grant amount as calculated by the formula. Since the beginning of the ECS formula’s phase-in, many school districts have experienced annual increases in their ECS grants, including those with the largest numbers of high-need students and those in communities with the least capacity to fund their public schools via local property tax dollars. While the full funding of the ECS formula represents a historic milestone for these districts and the State, it represents a different environment for state funding for some school districts.
This policy briefing identifies how reaching “full” ECS funding will alter what education funding school districts can expect from the State each year. Additionally, this briefing examines the impacts of ECS grant changes, budgeting uncertainty, future shifts in funding, and how inflation looms larger for “fully-funded” districts.
Citation
School and State Finance Project. (2026). District Implications of the Full Funding of the Education Cost Sharing (ECS) Grant. Southington, CT: Author. Retrieved from https://files.schoolstatefinance.org/hubfs/Reports/District%20Implications%20of%20Full%20Funding%20of%20the%20ECS%20Grant.pdf.