We examined professional development spending among Minnesota school districts and explored: (1) the level and variation in spending among districts; (2) associations between expenditures on professional development and district characteristics, including ethnic divergence between faculty and students; and (3) associations between professional development spending, district context, and student outcomes. We found that, on average, district policymakers in Minnesota spent $1,438 for each teacher’s professional development, devoted 1% of their operational expenditures to that endeavor, and contributed $15 to the development of each teacher for every $100 expended per student. Bigger districts tended to expend more dollars on the professional development of their teachers, but spending levels were not significantly associated with student outcomes. While the number of students served is significantly associated with expenditures on professional development, the “need” for professional development as measured by the ethnic divergence between faculty and students was not significantly associated with spending on professional development. However, the ethnic divergence between faculty and students within the district were significantly and negatively associated with student outcomes.