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In the state of California, economic uncertainties have made educational funding and student achievement a controversial topic. The recent adoption of the Local Control Funding Formula to address the state's overly complex and administratively costly school finance system suggests it is critical that educational leaders are prepared to make difficult budget decisions while maintaining a focus on increasing student achievement. The purpose of this case study was to clarify the decision-making process educational leaders use when allocating funding. The following research questions were explored: (a) How do school administrators describe their decision making processes and steps in allocating funding?, (b) What are the factors that influence school administrators when it comes to allocating funding?, and (c) How does student achievement factor into budget decisions? To provide critical background information for this case study, the three streams of research reviewed were: (a) the allocation of funding in public education, (b) the role of school administrators, and (c) the relationship between school funding and student achievement.