Charter schools, the key to big savings

Andrew Coulson of the Cato Institute writes,

Michigan is awash in concern over education funding. Recent budget cuts ranging from $165 to $465 per pupil — with another $127 per-pupil cut on hold — have been described as a "tsunami that threatens to push scores of districts into deficit this year." But if Michigan converted all its conventional public schools into charters (also known as public school academies), that tsunami would explode into a refreshing mist — complete with fiscal surplus rainbow.

Based on the latest (2006-07) figures, the average charter school in Michigan spends $2,000 less in state and local tax dollars per pupil than the average district school. So the savings from a district-to-charter student exodus would add up to $3.5 billion annually. To put that in perspective, it would erase Michigan's recent $2.8 billion state budget shortfall and still allow for a $700 million across-the-board tax cut.

Charter Schools in Nevada also spend less per pupil than the traditional public schools. If Nevada had a robust charter school program like Arizona, we could save up to $320 million a year. So why don't we have more charter schools?

Read Coulson's article here.