Tom PickrellTom PickrellDr. Chuck Essigs

Tracey Benson

T “B ldl G ”To “Boldly Go”Where No State Has Gone Before

The Law of Competition in Arizona’s Schools

The Legal Basisfor Public School Choice: Open Enrollmentfor Public School Choice: Open Enrollment

Open Enrollment Any student can enroll in any public school Must meet district admission criteria The Winslow case

The Legal Basisfor Public School Choice: Charter Schoolsfor Public School Choice: Charter Schools

Charter Schools Designed to be alternatives and explicitly created to provide

h ichoice Enrollment requirements Must receive a charter to operate from a sponsor Must receive a charter to operate from a sponsor Number of authorized sponsors has been increased Causes for revocation

Where the Students Are:A National SnapshotA National Snapshot

Charter schools 5,600 charter schools 2 million students 2 million students 41 states and the District of Columbia

Where the Students Are:A National SnapshotA National Snapshot

12

U.S. Charter School Enrollment by Region

10

1210.6%

W ’ # 1

6

8We’re # 1

4

6

2.5%3.3%

5.1%

3.3%2 3%

0

22.5%2.3%

0U.S. Northeast South Midwest West Arizona

Where the Students Are:ArizonaArizona

District Schools 931,543 students or 88.6% of all public school students

Charter Schools Charter Schools 119,573 students or 11.4% of all public school students

Online Instruction 36,936 students (included in student counts above) Operated by charter holder (13) – 32,780 students or 89% Operated by a school district (13) 4 156 students or 11% Operated by a school district (13) – 4,156 students or 11%

Private Schools – 55,390 (Fall 2009)

Homeschools – 10, 131 currently registered in Maricopa County

Choice: Trends & ProjectionsChoice: Trends & Projections1,200,000

1,045,067

800,000

1,000,000-43,501

, ,

600,000 District Students

Charter Students

200,000

400,000Total Students

02008 2009 2010 2011 2012 2013

+47,321

(est.) (est.)

Trending Fiscal ImpactTrending Fiscal Impact1,200,000

800,000

1,000,000-$225,465,683

600,000 District Students

Charter Students

200,000

400,000Total

+$290 834 866

02008 2009 2010 2011 2012 2013

+$290,834,866

(est.) (est.)

Trending Fiscal ImpactTrending Fiscal Impact Private schools aren’t immune. E ll t i d li i titi h t Enrollment is declining as competition heats up.

80,00090,000

NationallyTh N i l C h li

50 00060,00070,00080,000 The National Catholic

Education Association reports its schools are feeling the squeeze from

20 00030,00040,00050,000

20012009

g qcharters.

If the enrollment decline continues, charters will

010,00020,000

Private School Enrollment in Arizona

surpass Catholic schools in enrollment for the first time this academic year.

Private School Enrollment in ArizonaSource: NCES (Education Week, Aug. 2012)

Choice and Special Populations:K-3K 3

K-3 Students K 3 Students

District Schools 262,586 students or 87.9% of all K-3 students

Charter Schools 36,178 students or

12 1% f ll K 3 d 12.1% of all K-3 students

Choice and Special Populations:ELLELL

English Language Learners (ELL) English Language Learners (ELL)

District Schools 83,923 students or 94.2% of total ELL students

Charter Schools 5,165 students or 5.8% of total ELL students Variation from 11.4% 4,991

Choice and Special Populations:Special EducationSpecial Education

Special Educationp Orthopedic Impairment – Self Contained

District 1,069 99.1% Charter 10 9% Charter 10 .9% Variation from 11.4% 113

Moderate Intellectual Disability Di t i t 1 990 98 9% District 1,990 98.9% Charter 22 1.1% Variation from 11.4% 207

i i i i i i S i Multiple Disabilities with Sensory Impairment District 662 98.1% Charter 13 1.9% Variation from 11.4% 64

Choice and Special Populations:Special EducationSpecial Education

S i l Ed ti Special Education Multiple Disabilities – Self Contained

District 3,964 97.7%, Charter 94 2.3% Variation from 11.4% 369

Visual Impairment District 454 92.0% Charter 40 8.0% Variation from 11.4% 17

Choice and Special Populations:Special EducationSpecial Education

Group A Disabled Students Group A Disabled Students Emotional disability, mild intellectual disabilities, specific learning

disability, speech impairment and other health impairment

District 91,296,348 90.0% Charter 10 151 10 0% Charter 10,151 10.0% Variation at 11.4% 1,413

Choice and Special Populations:Special EducationSpecial Education

Total Served Total Served District 101,571 90.2% Charter 11,082 9.8% Variation at 11.4% 1,760

Expenditures on Servicesfor Disabled Studentsfor Disabled Students

Traditional Districts and ChartersTraditional Districts and Charters

Total Expenditures in State (FY2011) - $702,189,174p ( ) $ , ,

Total for Districts - $675,207,043 or 96.16%

Total for Charters - $26,982,131 or 3.84%

Expenditures for Disabled StudentsExpenditures for Disabled Students

A t l Adj t d f % f T t l P l ti Actual vs. Adjusted for % of Total Population Total Expenditures in State (FY2011) - $702,189,174 School Districts School Districts

Actual - $675,207,043 Adjusted for % of Population 88.6% - $622,139,608

V i i 53 067 435 Variation – 53,067,435

Charters Actual - $26,982,131 Adjusted for % of Population, 11.4% - $80,049,565 Variation <53 067 434> Variation - <53,067,434>

Expenditures for Disabled Students:Districts and ChartersDistricts and Charters

Total Expenditures per District Student ($675,207,043/929,570) $726.36

Total Expenditure per Charter Student Total Expenditure per Charter Student ($26,982,131/118,897) $226.94$ 6.9

Group A ConceptGroup A Concept

Extra funding for every Expenditures for special g ystudent

p pneeds students=

• No financial incentive to put student in• No financial incentive not to end services• Assumes fairly equal distribution of students

Group B ConceptGroup B Concept

Extra funding for Expenditures for gspecific student

pspecific students=

• Identification criteria clear• Parents follow programs

The Public Conversation:Open EnrollmentOpen Enrollment

The most exercised “choice” option in Arizona

Expansion of Specialty Schools & Magnet Programs T diti l Traditional International Baccalaureate Arts CTE Bioscience

Intensified Marketing

The Public Conversation:ChartersCharters

The most high-profile choice option A greater percentage of students A greater percentage of students

enrolled in Arizona than in any otherstate.

Often put forward at the state and Often put forward at the state andfederal level as the solution forimproving student performance. ESEA ESEA Race to the Top Parent Trigger

“Two determined mothers, one a teacher, look totransform their children's failing inner city school. Facing a powerful and entrenched bureaucracy,they risk everything to make a difference in the they risk everything to make a difference in the

education and future of their children.”

The Public Conversation:ChartersCharters

Questioning policy priorities

“…I believe that instead of passing the buck tocharter schools to save our failing schools,gwe should implement some real reform thatwill enable public schools to prepare tomorrow’sworkforce effectively.”

-Carol Cherry, Mesa schoolteacher,The Phoenix Business Journal, August 2012

The Public Conversation:Charters - AccessCharters Access

Geographic Access

300

350

Arizona Charter Schools by County

200

250

300

50

100

150

0

50

The Public Conversation:Charters - AccessCharters Access

P ti l A Th GAO R t Practical Access –The GAO Report GAO report: Additional federal attention needed to help

protect access for students with disabilities

Clear disparities in enrollment of special education studentsstudents

High cost of educating students with special needs is di i l f lli h l di idisproportionately falling on school districts.

(The Wall Street Journal, June 2012; Associated Press, August 2012)( J J g )

The Public Conversation:Charters - AccessCharters Access

“I don’t think I don t think we’ve got a

good handle on this We on this. We

don’t want to see this kind

of exclusion.”– Matthew Asner,

executive director of Autism Speaks

and father of a9-year-old son

with autismwith autism

The Public Conversation:Charters - AchievementCharters Achievement

Conclusions from ResearchG f Given the nature of the research base, drawing broad conclusions about charter schools and achievement across the nation may be premature.

Benefits for elementary school reading and middle school math.

Drawbacks in high school Drawbacks in high school. Some charters do better; the majority do the same or worse. Results vary from state to state.y Conflicting results for specific groups.

Source: NSBA analysis ofBetts and Tang (2008);

C t f R h Center for Research on Education Outcomes (2009)

The Public Conversation:Charters - AchievementCharters Achievement

ADE’s Top 28 "A" Districts and Charter Holders by Number of Students ServedHolders by Number of Students Served

Di i S h l 91 4%District Schools 91.4%Charter Schools 8.6%

23 districts serving 227,138 students

5 charter holders serving 19,576 students

The Legal Basisfor Private School Choice: Tax Creditsfor Private School Choice: Tax Credits

P i t S h l T C dit Private School Tax Credits

Dollar-for-dollar credit $500 for individuals $1,000 for married couples

Contributions to STOs May set own eligibility guidelines May not allow earmarking May not allow earmarking

Private School Tuition OrganizationIncome Tax CreditsIncome Tax Credits

Time Period Individual Donation

Low-Income Student Corporation Donations

Disabled-Displaced Corporate Donations

Total Donations

CY1998 $1 815 798 $1 815 798CY1998 $1,815,798 $1,815,798

CY1999 $13,781,341 $13,781,341

CY2000 $17,701,284 $17,701,284

CY2001 $24,897,444 $24,897,444

CY2002 $26,512,683 $26,512,683

CY2003 $29,445,596 $29,445,596

CY2004 $31,846,494 $31,846,494

CY2005 $42,196,206 $42,196,206

CY2006 $51,012,326 $7,260,800 $58,273,126

CY2007 $53,304,968 $14,258,000 $68,562,968

CY2008 $55 260 728 $9 122 121 $64 382 849CY2008 $55,260,728 $9,122,121 $64,382,849

CY2009 $50,879,153 $7,285,284 $781,000 $58,945,437

CY2010 $43,183,500 $11,123,657 $956,880 $55,264,037

2nd half of FY2011 $12,818,799 $2,301,803 $770,000 $15,890,602

TOTAL $455,656,320 $51,351,665 $2,507,880 $509,515,865

Source: Arizona Department of Revenue

Largest RecipientsLargest Recipients

Recipient Total Donations

Catholic Tuition Organization of the Diocese of Phoenix $112.2 Million22% of all Donations

Arizona Christian Tuition Organization $96.1 Million18.9% of all Donations

Source: Arizona Department of Revenue

Scholarships by County FY2011Scholarships by County FY2011County # of Scholarships Scholarship $ Avg. Scholarship

Apache 189 $359 012 $1 900Apache 189 $359,012 $1,900

Cochise 322 $488,523 $1,517

Coconino 193 $379,974 $1,969

Gila 179 $354,559 $1,981

Graham 21 $25,121 $1,196

Greenlee 0 $0 $0

La Paz 3 $6,525 $2,175

Maricopa 16,460 $31,570,510 $1,918

Mohave 180 $301,090 $1,673

Navajo 476 $785,849 $1,651

Pima 4 819 $9 930 516 $2 061Pima 4,819 $9,930,516 $2,061

Pinal 277 $442,493 $1,598

Santa Cruz 65 $47,791 $735

Yavapai 763 $1,479,477 $1,939p

Yuma 615 $926,659 $1,507

Source: Arizona Department of Revenue

The Legal Basis for Private School Choice:Empowerment AccountsEmpowerment Accounts

Originally for disabled students Funds may be used for a menu of nine option including tuition Funds may be used for a menu of nine option, including tuition

and fees for private schools The state is expressly prohibited from exercising “control or

”supervision” The school is not required to “alter its creed, practices,

admissions policy or curriculum”p y Dollars can be set aside for post-secondary education Beginning in 2013-14 will extend to:

S d di h l i h D F l d Students attending a school with a D-F letter grade Children of active duty military Wards of the juvenile court Previous recipients of an empowerment account

The Cost of Private School ChoiceThe Cost of Private School Choice Current Empowerment Accounts 307 active empowerment accounts 307 active empowerment accounts Highest award = $28,685 Lowest award = $2,185.06 Average award = $16,699.60

Estimate of eligible student for 2013-14 (ADE) 117,000 special education students 90 000 attending D F schools 90,000 attending D-F schools 13,000 in permanent foster care Unknown number of active militaryy

The Public ConversationThe Public Conversation One of the fastest growing segments of the school choice

movement and part of a larger national agenda to shift tax dollars away from traditional public schoolsdollars away from traditional public schools. Nationally, $350 million that would have gone into public budgets to

pay for private school scholarships for 129,000 students. (Alliance for School Choice, The New York Times, May 2012)( , , y )

Proponents acknowledge legislative strategy of using special education students and other sympathetic groups as entry points for future expansion. (Education Week February 2012)(Education Week, February 2012)

The Missing Links: Accountability & TransparencyN d di d i d No standardized tests required

No reporting on academic progress required No requirements on teacher effectiveness

The Public Conversation

Private Schools The Data

# of “A” Schools ?

# of students served by “A” schools

?

? # of ELL students

Amount spent per student ?

Amount spent per student

Amount spent per di bl d t d t

?

disabled student

The Public ConversationThe Public Conversation Whose Choice Is It Anyway?

The choice is in the hands of the school not the family and The choice is in the hands of the school, not the family and students. Milwaukee DOJ complaint about “discriminatory” voucher

program (The Wall Street Journal June 2012)program (The Wall Street Journal, June 2012)

Access is unequal, particularly among disabled students.

The needs of the vast majority of disabled students cannot be met in a private school setting. No requirements for private schools to provide special

d i i d h d heducation services to students who need them. No requirement to show that progress is being made. They also strip away the rights special education students

have in public schools under IDEA.

The Legal Basisfor Online Educationfor Online Education

Students attend for free Students attend for free Providers must be approved by the State Board of

Education Must meet state standards Students must take AIMS and other standardized tests Online schools must maintain a daily log for each student

for attendance purposes

The Implications & Complicationsof Online Educationof Online Education

ADM must be apportioned according to USRF rules ADM must be apportioned according to USRF rules

Full-time instruction is funded at 95% the base support pplevel.

Part-time instruction is funded at 85% the base support level.

The Public ConversationThe Public Conversation

Enrollment has tripled over past six years. p p y About 3% of students have taken at least one online course. For profit companies, including national chains, dominate the field. Being pitched as a way to save the state money. Arizona has fewer regulations that most states. Legislature has lifted restrictions on number of schools, how quickly they

can grow and who can attend.S di h d id did ’ l k d State audit showed providers didn’t accurately track and report costs.

The state’s largest online schools are failing to retain students. Cheating is a concern. Largest providers do not require in-person

proctoring of final examsproctoring of final exams. Little research on academic outcomes.

(The Arizona Republic, December 2011)(The Arizona Republic, December 2011)

The Public Conversation:Tell Your StoryTell Your Story

National kick-off will be in Arizona Jan. 27-Feb.2J Look for an ASBA toolkit, with materials to enable

members districts to highlight the choices they offer.