September 12, 2021

Bruce Baker: What does research say about Charter – District School Spending Differences?

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Rutgers professor and school funding expert Bruce Baker takes a look at the actually research on differences between charter and public school funding.

Many of us are frequently bombarded with claims that district schools have a huge revenue and spending advantage over charter schools, and those claims are almost always cited to the same series of junk comparisons produced by the University of Arkansas Department of Education Reform. The authors of those reports would have everyone else believe that no other research has even been produced on the topic. Time and time again, the same authors have engaged in a circle of self-citation and reiteration of bogus findings from the same bogus and painfully amateur analyses – analyses that first and foremost fail to appropriately assign or attribute revenues allocated to the relevant children served, and second and equally problematic, fail to compare schools providing services of similar scope, to similar populations. I will provide a follow up post which explains the correct methods for making such comparisons. But first, what do real studies, performed by competent researchers find?

Baker (yeah… that’s me, so some self-citation here), Libby, and Wiley (2015), in a peer-reviewed article, find that in Houston, the average charter school spent about $424 less than predicted and NYC charter schools were spending $2,000 more than predicted given their population characteristics. That is, using models to compare otherwise similar schools, spending gaps vary by context, with modest spending gaps disadvantaging charter schools in Houston, but with charters holding a significant spending advantage in New York City.

More recently, Knight and Toenjes (2020), in a study of Texas charter schools, found “after accounting for differences in accounting structures and cost factors, charter schools receive significantly more state and local funding compared to traditional public schools with similar structural characteristics and student demographics.”

Read the full post (with footnotes) here.

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