Predictors and Outcomes of ESSER Budgeting Decisions in Tennessee

Learning loss related to the COVID-19 pandemic is a large concern, but we know relatively little about how decision-making related to pandemic relief funds happened and whether certain types of spending were more effective than others at stemming learning loss. To address this research gap, I link several data sources to describe district characteristics and Elementary and Secondary School Emergency Relief (ESSER) budgeting priorities in Tennessee. I document the wide degree of variability in district ESSER budgeting decisions across districts and provide evidence that some of the variation in districts’ budgeting priorities can be explained by the demographic makeup of districts and pre-pandemic district finances. I also examine whether variation in district ESSER budgets explains differences in student achievement in the post-pandemic period.