More than half of Ohio's public school districts would get less money from the state under Gov. John Kasich's proposed education budget as the administration seeks to adjust the funding formula to better reflect district incomes.

Those cuts come even as Kasich's $72.3 billion, two-year budget increases state foundation funding by $700 million over two years.

The state budget director and superintendent both said the spending blueprint doles out state education aid under a formula adjusted to better reflect a district's wealth.

Budget director Tim Keen told state lawmakers a formula that's ineffective in getting dollars to the neediest districts is unacceptable.

Kasich's budget also reduces districts' state guarantee and resumes phase-out of two tax streams they've received, reducing state payments by $235 million over two years.