General Accounting Office
December 2002
A new report by the General Accounting Office (GAO) investigates disparities in per-pupil spending between inner city and suburban schools. It examines forty-two of them, choosing three urban and three suburban schools from each of Boston, Chicago, Denver, Fort Worth, New York, Oakland, and St. Louis. In these seven metro areas, the GAO notes, there is no consistent spending pattern based simply on locale. In some locales, the city schools spent more than those in the 'burbs, in some they spent less, and in still others the results were mixed. The reasons for these differences are complex, but the report reveals several important patterns. Most notably (and not surprisingly) the GAO found that the largest determinants of per-pupil spending are teacher salaries, student-teacher ratios, and student-to-support-staff ratios. These factors vary from city to city; however. For example, inner city teachers in Boston earn more than their suburban peers, while the reverse is true in New York. Also notable if not surprising: urban schools fared worse in student achievement than suburban schools but these differences did NOT appear to be related to per-pupil spending. Inner city schools also employed more beginning teachers, had lower enrollments, fewer library books and computers, and less parental involvement. As such, it will require more than dollars to turn around struggling city schools. You can find this report online at www.gao.gov/new.items/d03234.pdf.