The 2013-2014 budget package replaces the previous K-12 finance system with a new Local Control Funding Formula (LCFF). The goal of the LCFF is to significantly simplify how state funding is provided to local educational agencies (LEAs). Under the new funding system, revenue limits and most state categorical programs are eliminated. LEAs will receive funding based on the demographic profile of the students they serve and gain greater flexibility to use these funds to improve outcomes of students. The LCFF creates funding targets based on these students characteristics. For school districts and charter schools, the LCFF funding targets consist of grade span-specific base grants plus supplemental and concentration grants that reflect student demographic factors. In addition to this new formula, the new finance system requires districts to create a Local Control Accountability Plan (LCAP), which describes how they intend to meet annual goals for all pupils, with specific activities to address state and local priorities identified pursuant to EC Section 52060(d).