Primer: Charter Schools

Charter schools are publicly funded K-12 schools that have more fiscal and operational autonomy than other public schools, and offer parents and students school choice within the public education system. Charter schools are not bound by many of the same rules, regulations and statutes that apply to other public schools. In exchange for these waivers, charter schools are expected to meet high standards of academic and financial performance. These criteria are established in each school’s charter.

In 1991, Minnesota became the first state in the nation to pass charter school legislation. Today, more than 40 states have charter schools in operation. Minnesota currently has 131 charter schools in operation with a total enrollment of 23,478 students.

Charter schools are especially popular in areas where traditional public schools are failing. The Minneapolis School District, for example, lost one-quarter of its enrollment between 1998 and 2006, dropping from the largest enrollment in the state to the third largest. A significant factor in that declining enrollment is competition from charter schools as well as suburban and private schools. As failing school districts disproportionately affect minority students, charter schools have become a popular option for non-white students. The Star Tribune summarized on October 26, 2006: “The issue of unequal achievement among racial groups has helped to fuel large-scale departures from [Minneapolis public schools] by black families opting for charter or suburban options. That has put financial pressure on the district because state aid follows those students elsewhere.” Critics and opponents of charter schools claim that this decrease in state aid to traditional public schools is harming the public education system as a whole. Proponents of charter schools believe this kind of competition among schools leads all schools to improve their performance.

Charter School Key Facts

• Operated independently from the school district in which they are located

• Staffed by teachers who have appropriate state licensure

• Funded primarily by state general education revenue with start-up funding in the first three years provided by the federal government

• Located in leased facilities, funded in large measure by lease aid, a state program that provides per pupil funding to compensate for the fact that charter schools cannot own property, levy taxes, or issue bonds

• Accountable for academic and non-academic outcomes

• Sponsored by a school district, an institution of higher learning, a nonprofit organization, or a foundation

• Reviewed every three years by the sponsor to determine whether the charter will be renewed

• Governed by a board of directors made up of parents, teachers, and community members elected by the school community