Description: The Economic Impact Aid (EIA) program provides funding to school districts to provide compensatory education services to low-performing and English learner (EL) pupils. School districts use funding for a variety of purposes, including: (1) extra assistance to low-achieving pupils, (2) supplemental instructional services to EL students, (3) training to teachers who instruct EL students, and (4) supplementary materials. We find that the EIA funding formula is outdated and results in district allocations that appear arbitrary and unpredictable. We recommend the Legislature simplify the EIA formula so that district allocations are predictable and meet local needs for serving both poor and English learner students.