Contracts for Excellence
The 2007-08 Enacted State Budget included unprecedented increases in school aid, primarily in the form of a new category, Foundation Aid. For districts that received an increase in Foundation Aid over a certain dollar or percentage threshold and had at least one school with substandard academic performance, the Contracts for Excellence (C4E) Program was established to provide additional accountability. C4E was designed to be a comprehensive approach to targeting fiscal resources to specific allowable programs which were believed by the Legislature and Governor to raise the achievement of the students with the greatest educational need.
Limits to the Foundation Aid phase-in held Contract amounts flat for over a decade. However, with the full phase-in of Foundation Aid as part of the 2023-24 Enacted State Budget, the amount of Foundation Aid subject to Contract requirements has increased significantly and continues to grow steadily.
C4E is not simply an allocation of resources; it is a strategic plan for improving student outcomes. Districts required to submit a Contract must demonstrate how restricted Foundation Aid funds will be used to expand opportunity, strengthen instruction, and close achievement gaps. Each plan must be built on evidence-based strategies and shaped by community input, ensuring that the work reflects both local priorities and student needs.