Who is busting what budget exactly?

Choice opponents have been known to throw contradictory arguments out against private choice programs. One moment they will claim that the majority of kids using universal choice programs were already going to private schools. A few moments later they will claim such programs are draining district schools of students and money. The irony of these mutually exclusive claims will often escape the person making them, and you can see hints of both in this New York Times podcast titled Why So Many Parents are Opting Out of Public Schools.

Sigh

Choice opponents make all kinds of claims, but not many can withstand even a modicum of scrutiny. Let’s take for instance a widely repeated fable- that Arizona’s universal ESA program has “busted” the state budget.

If you actually examine state reports like this one for district and charter funding and also this one for ESA funding, you wind up with:

Arizona districts have exclusive access to local funding among other things and are by far the most generously funded K-12 system in the state. Districts, charters and ESAs all use the state’s weighted student funding formula, and ESAs get the lowest average funding despite having a higher percentage of students with disabilities participating than either the district or charter sector.

If you track the percentage of students served by the district, charter and ESA sectors respectively, and the funding used by each as a percentage of the total, you get:

So, there you have it; supposedly the sector educating 6% of Arizona students for 4% of the total K-12 funding is “bankrupting” the state of Arizona. Meanwhile the system, which generated an average of $321,700 for a classroom of 20 ($16,085*20), is “underfunded.”

A group of 20 ESA students receiving the average scholarship amount receive $123,780 less funding, but they are (somehow) “busting the budget.” The fact that a growing number of Arizona students opt for a below $10k ESA rather than an above $16k district education tells us something about how poorly districts utilize their resources. So does the NAEP.

There is a school sector weighing heavily upon Arizona taxpayers, but it is not the ESA program.

 


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BY Matthew Ladner

Matthew Ladner is executive editor of NextSteps. He has written numerous studies on school choice, charter schools and special education reform, and his articles have appeared in Education Next; the Catholic Education: A Journal of Inquiry and Practice; and the British Journal of Political Science. He is a graduate of the University of Texas at Austin and received a master's degree and a Ph.D. in political science from the University of Houston. He lives in Phoenix with his wife and three children.