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Breakdown of US government spending on education and infrastructure 2023
Executive summary
Federal, state and local governments together funded nearly all U.S. education spending in 2023: multiple sources put total K–12 spending in the high hundreds of billions (one estimate at $947 billion) with state and local governments providing the lion’s share (about 87%) while the federal share was roughly in the low teens percent range (about $119–$130 billion) [1] [2]. Federal outlays specifically for the U.S. Department of Education’s FY2023 enacted budget were reported around $79.6 billion, up about $3.2 billion from the prior year [3] [4].
1. National picture: who pays for education and how much
Most reporting makes clear that K–12 education is primarily a state and local responsibility: “state and local governments provide the vast majority of funding for K–12 education — 87 percent” and total K–12 spending for FY2023 is reported at about $947 billion from all sources [1]. Independent data aggregators similarly break down federal vs. state/local amounts and per-pupil figures, showing federal funds are a modest share of total K–12 finance [2].
2. The federal role: programs, proportions, and the Department of Education budget
The federal government’s role is concentrated in targeted programs—Title I, IDEA, child nutrition, student aid and loan programs—rather than covering core operations of most districts. The Department of Education’s appropriations for FY2023 were reported at about $79.6 billion, an increase of roughly $3.2 billion from FY2022, reflecting Congressional action on the FY2023 appropriations [3] [4]. Other federal education spending (grants, loan subsidies, tax preferences) and program outlays extend beyond ED’s discretionary budget and are analyzed in CBO materials [5].
3. State and local spending: the biggest share and the data sources
Census-based and research-organization summaries show state and local spending dominates: examples cite state and local K–12 expenditures in the hundreds of billions—local governments alone contributing hundreds of billions and per-pupil spending in the mid-to-high five-figure range depending on the dataset [2] [6]. The Urban Institute and Census-based compilations note that in 2021 state and local governments spent about $756 billion on elementary and secondary education, underscoring the scale of nonfederal funding [6].
4. Reconciling different totals and definitions
Reported totals vary because sources use different definitions (K–12 vs. all education, spending vs. funding, fiscal year vs. school year) and different data systems (Department of Education tables, Census Annual Survey, BEA NIPA accounts). For example, the $79.6 billion figure refers to the Department of Education’s FY2023 appropriations (federal agency budget), while the $947 billion figure aggregates federal, state and local K–12 spending [3] [1]. Aggregators and historical tables (e.g., usgovernmentspending.com and FRED/BEA) use Census and BEA series, which can produce different totals for the same year [7] [8] [9].
5. Infrastructure vs. operational spending: where the money goes
Available sources emphasize that much state and local education spending is operational (salaries, benefits, routine operations) and that construction/maintenance is a component but not the majority of annual outlays; the Urban Institute describes education spending as including operations, maintenance and construction but places total elementary/secondary spending as a major share of state/local budgets [6]. The Department of Education budget summaries and state tables indicate line items for facilities or modernization in specific programs, but detailed national totals separating “infrastructure” from other K–12 spending require state-level Census breakdowns not fully enumerated in the summary sources provided here [4] [10].
6. Education versus broader “infrastructure” spending in federal budgets
“Infrastructure” in federal discourse often refers to transportation, water, broadband and other non-education capital projects funded through separate appropriations (not primarily ED). The Department of Education’s FY2023 budget and CBO materials focus on education-specific programs and don’t treat K–12 facilities as the core of federal infrastructure funding; separate federal infrastructure laws (e.g., surface transportation, broadband grants) sit outside ED’s budget [4] [5]. Available sources do not present a consolidated figure that treats K–12 facilities as part of federal infrastructure spending.
7. Limits, caveats and how to get a full 2023 breakdown
Limitations in the reporting mean there is no single figure in these sources that itemizes 2023 U.S. government spending broken down into neat buckets like “federal K–12 operations,” “state/local K–12 operations,” and “education infrastructure” in a single table; you must combine Department of Education appropriations (FY2023 ED ~ $79.6B), Census/NCES state and local finance tables (hundreds of billions for K–12), and BEA or CBO accounts for federal outlays to reconcile totals [3] [4] [7] [8] [5]. For a precise, auditable 2023 breakdown you should consult the Department of Education budget tables (state tables and Budget Summary) and the Census Annual Survey of State and Local Government Finances, as referenced in these sources [10] [7] [6].