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Education’s Fiscal Cliff, Real or Perceived?

Daniela Fairchild Greg Hutko
5.22.2013

Education’s Fiscal Cliff, Real or Perceived?In our 2005 report, Charter School Funding: Inequity’s Next Frontier, we wrote, “U.S. charter schools are being starved of needed funds in almost every community and state.” We backed that statement with funding data from seventeen states and twenty-seven districts. A 2010 report, tracking 2006–07 data, agreed. In the years since, some jurisdictions have moved to provide more equal funding levels to district and charter schools, yet large disparities remain. This paper—which will be published in the Journal of School Choice in September—examines the extent of those inequalities. Larry Maloney and colleagues tallied local, state, federal, and non-public revenue from 2007 to 2011 in Denver, Newark, Los Angeles, Washington, D.C., and Milwaukee. The upshot: On average in 2011, charters received $4,000 less per pupil, per year, across all five studied locales, with gaps ranging from $2,700 in Denver to nearly $13,000 in D.C.—though jurisdictions with the largest spending gaps (Newark and D.C., specifically) actually narrowed the gap between district and charter funding during the study period while those that started out closer to equal funding widened the gap. The authors also noted that charter schools—which receive a higher percentage of their operating budget from nonpublic revenue, such as foundation grants—were hit harder by the economic recession than their district counterparts: While states seemed to find funds (sometimes federal bailout dollars) to shelter district schools during the worst of the recent economic storm, charter schools, and their students, were often left out in the cold.

SOURCE: Larry Maloney, Meagan Batdorff, Jay May, and Michelle Terrell, Education’s Fiscal Cliff, Real or Perceived? (University of Arkansas Department of Education Reform, April 2013).

Topics:
Charter Schools
Tags: Charter school Denver Milwaukee Newark United States fiscal cliff Washington
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Daniela was the development manager and policy analyst for the Fordham Institute. Donning many hats at Fordham prior to this role, Daniela had worked as a research intern, research assistant, and interim new-media manager. She started her career as a teacher of students with emotional and behavioral disabilities, and as a high school rowing coach. Prior to joining forces with TBFI, Daniela was a Global Development…

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Greg Hutko is a research intern at the Thomas B. Fordham Institute.  Before joining the team, he taught middle school science in Boston while earning his M.Ed. in curriculum and teaching from Boston University. Greg graduated from MIT in 2010 with BS degrees in economics and management science and has put his degrees to good use doing domestic policy research at the Brookings Institution. In his spare time, Greg…

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