Education finance policy change is often discussed in terms of funding formulas, budget proposals, and expenditure coding. But during a recent webinar hosted by the Strategic Funding and Finance Center, leaders from Tennessee and Maryland emphasized another important factor behind successful policy change: strong relationships between states and school districts. 

The webinar, Strengthening Systems: How SEA–LEA Partnerships Advance Education Funding Policy Change, brought together state and district leaders working on two major policy efforts: Tennessee Investment in Student Achievement (TISA) and the Blueprint for Maryland’s Future. Although the two efforts are different in scope, panelists shared many of the same lessons about trust, communication, operational planning, and collaboration. 

Education Finance Policy Change Is About More Than Money 

Both Tennessee and Maryland began their policy change efforts because leaders believed their existing funding systems no longer met the needs of students. 

In Tennessee, the state had used a resource-based funding formula for more than 30 years. Over time, many districts felt the system had become outdated and no longer reflected the changing needs of students. The state responded by creating TISA, a student-based funding formula designed to direct more funding toward specific student needs.  

The Blueprint for Maryland’s Future also grew out of concerns about whether the state’s funding system was adequately supporting student success. After years of study and discussion, state leaders created a long-term, comprehensive effort that combined increased funding with major changes to accountability and school improvement systems.  

Still, panelists made clear that passing a law is only the first step. The harder part is turning policy goals into real change in districts and schools. 

Communication and Ongoing Engagement Help Build Trust 

One of the strongest themes throughout the webinar was the importance of communication, especially during the early stages of implementation. 

Tennessee leaders described how the shift to TISA created some uncertainty across the state. District leaders worried about how the new formula would affect local budgets and how the transition would work in practice. To address those concerns, state leaders held meetings with district leaders, school boards, county officials, and community members across Tennessee. District leaders said this outreach helped build trust because state leaders were visible, available, and willing to answer questions directly.  

Maryland leaders described similar challenges and approaches to solutions. Districts faced uncertainty about how new funding rules and expectations would affect staffing, budgeting, and daily operations. Panelists stressed that communication was not just important at the beginning of implementation. Ongoing engagement helped state and district leaders stay aligned, solve problems, and strengthen working relationships over time. 

The Biggest Challenges Can Be Operational 

Another major takeaway from the webinar was that many implementation challenges are operational, rather than ideological. In other words, the biggest difficulties often involve data systems, reporting requirements, and details around schedules, staffing, and budgeting processes, rather than specific disagreement about the goals of the policy itself. 

In Tennessee, districts had to change how they tracked student information because funding was now tied more closely to student characteristics and services. Maryland districts faced similar challenges. Under the Blueprint, districts must now report school-level spending by different funding categories, such as multilingual learner funding and special education funding. These changes led to different kinds of work for district finance teams and required new systems and processes. Several panelists explained that even strong policies can struggle if districts do not have the operational capacity to implement them effectively. 

The discussion highlighted an important lesson: successful policy depends on both good design and strong implementation systems. 

Technical Assistance Can Make a Big Difference 

Maryland leaders also discussed the value of technical assistance during implementation. The Accountability and Implementation Board (AIB) provided districts with facilitators and finance experts who worked directly with local leaders to identify challenges and develop solutions.  

District leaders said this support was especially helpful because it focused on practical problem-solving rather than simple compliance. Consultants worked alongside districts to think through how new funding requirements could work in the day-to-day operations of school systems.  

This partnership approach helped districts feel supported, which strengthened trust between state and local leaders. 

Collaboration Changes Over Time 

Panelists also explained that collaboration evolves as implementation moves forward. At the beginning, conversations focused on understanding the policy and answering broad questions. Over time, discussions became more detailed and technical. Tennessee leaders said districts are now asking more advanced questions about student data and funding calculations, showing that implementation has become more sophisticated.  

Maryland leaders shared that established, regular meetings among superintendents and state leaders created opportunities for honest conversations, shared learning, and collaborative problem-solving. These ongoing conversations helped partnerships grow stronger over time. 

Lessons for Future Policy Efforts 

The webinar ended with several important lessons for states and districts working through major policy changes. 

First, panelists emphasized the importance of explaining the “why” behind policy efforts. People are more likely to support change when they understand its purpose and intended outcomes.  

Second, several leaders stressed the need for more planning time before implementation begins. Large-scale policy change takes time, and rushed timelines can create confusion and stress for districts. Building more time for planning may also help alleviate operational challenges that otherwise need to be solved in real time.  

Finally, panelists highlighted the importance of breaking down silos within and across organizations. Strong implementation requires coordination between those responsible for finance, instruction, and operations, accountability teams, and community stakeholders.  

As more states consider changes to school funding systems, this webinar offered an important reminder that lasting policy change depends on funding policy decisions, but also on communication, trust, and strong partnerships. Although Tennessee and Maryland are at different stages of their policy change efforts, their experiences point to the same conclusion: the intended change works best when state and district leaders work together closely.