I believe East Ramapo is the only school district in the country, let alone the state that has more students in Private schools than public schools, so any change of the state formula would only benefit this one district and would be a bailout even if that wasnt the intention.
if he state would give yeshivas the money then they would have the right to dictate terms on what can be taught. Without the money they have alot less control of what is the curriculum