Title: Education Policy Trends: School Choice and Private Finance Presentation to Canterbury Deputy and Ass
1Education Policy Trends School Choice and
Private FinancePresentation to Canterbury
Deputy and Assistant Principals Regional
ConferenceHanmer Springs, New Zealand5 August
2004
- Norman LaRocquenlarocque_at_nzbr.org.nz
2The Education Forum
- Independent public policy organisation based in
Wellington education focused. - 13 members ECE, schools, tertiary, business.
- Aim is to influence policy through various means
independent view. - Website, monthly newsletter, visits by
educational experts, research on education policy
issues, newspaper articles, books, reports,
submissions to government, media releases, etc. - Focus is on market-based solutions to education
policy issues. - Website
- OpEds
- Subtext newsletter
- Hot Topics
- Briefing Papers
- Books, reports
- Both Sides Now.
3Choice-based Policy Innovations
- Developing and developed countries are making use
of a range of innovative policies at the school
level. - These policies include
- Demand-side financing policies such as vouchers
and scholarships - Charter schools
- Private management of public schools
- Home schooling
- Private Finance Initiatives.
4Demand Side Financing
- More than 30 countries using vouchers or other
demand-side financing mechanisms to finance
education - vary from small/targeted to
full/national programmes - Denmark, Ireland, Netherlands, Australia,
Ontario, Sweden public funding of private
schools - Chile national voucher programme
- USA Milwaukee, Cleveland, Florida operate
voucher schemes, many states have tuition tax
credits - Philippines and Cote dIvoire operate large
voucher schemes. - Voucher programmes in USA are controversial, but
comparatively small in size (13,000 students in
Milwaukee, 100,000 private scholarships, etc). - No Child Left Behind students in schools
identified as needing improvement for 2 years
must be offered Supplemental Educational Services
(SES) such as tutoring Federal programme, 2
Billion budget, 1,000 providers offering SES. - Some growth in USA Zelman decision in 2002,
Washington DC, Colorado? - Larger programmes in other countries far less
controversial (eg Netherlands, Ireland). - New Zealand examples TIE, Independent school
subsidies, integrated school funding, early
childhood education funding, tertiary education
funding, health vouchers (new). - Vouchers breaking up that old (Democratic) gang
of mine - Black Alliance for Educational
Options, Hispanic Council for Reform and
Educational Options?
5Charter Schools
- Public schools that are freed from much of the
regulation that applies to standard public
schools (eg. zoning, curriculum, industrial
relations), in exchange for accountability
requirements. - Most have specialist focus or mission at-risk
kids, arts, science, etc. - Publicly funded, but not for capital schools
remain free to students. - Fast growing area - first Charter school opened
early 1990s. Now have 2,250 schools with some
700,000 students. - Bi-partisan political support.
- Management can be contracted out to
for-profit/not-for-profit providers. - Virtual Charter schools link to home schooling.
- Weak ones are being closed down.
6Government Assistance to Private Students and
Teachers in the Philippines
- GASTPE main financial assistance scheme high
school and tertiary levels - Educational Service Contracting Scheme govt
contracts with private schools/voucher - Tuition Fee Supplement (being wound down) -
voucher - PESFA (tertiary) student loans, college faculty
development fund. - High school assistance much more significant than
tertiary - ESC TFS 400,000 students assisted in 2002/03
- PESFA 15,000 in 2001/02.
- ESC recipients increasing, TFS recipients
declining. - ESC numbers increased by 50,000 in 2004/05 and
per-student payment increased to PhP4,000 (from
PhP2,500). - Preschool Service Contracting Scheme targeted,
small scale assistance to preschool sector
25,000 children assisted. - Iskolar scheme new free post-secondary
education for one child from each poor family.
7Demand Side Financing in the Netherlands
- Nationwide school choice scheme - free choice of
public or independent school. - No zoning - students can attend any school.
- Liberal supply side. Non profits and parents can
set up schools if minimum requirements are met. - Diverse supply of schools.
- 70 of primary and secondary students attend
independent schools receiving government funds. - Topping up of fees not allowed.
- Schools with students from lower income areas
receive more government money.
8Government Sponsorship of Students at Private
Institutions in Cote dIvoire
- Government sponsors students to attend private
schools given lack of places at public secondary
schools. Key elements of the scheme are - private schools are paid on a per-student basis.
Payment rises with student's education level
(US200) - students in lower/upper secondary, as well as
technical and professional training are eligible.
Applies to both religious and secular
chartered schools - placement of students is linked to school
performance. - In 1997, the Government paid out US10.3 million
to subsidise/sponsor over 162,000 students in
private schools. - In 1995/96, 40 of students in private
institutions were state sponsored. Private
primary schools receive subsidies.
9Demand Side Financing in Denmark
- Nationwide programme of free choice of
independent school. Parents who opt out of
public system get 80-85 covered by the
government. - No free choice at public primary and secondary
grammar schools - zoning prevails. - Free choice for students attending upper
secondary vocational schools. - Liberal supply side - parents and non-profits can
set up schools if they meet requirements. - Poorer families can apply for a place at an
independent school and have their fees paid.
10Private Management of Public Schools
- Contract schools involve school boards
contracting directly with Education Management
Organisations (EMOs) to operate public schools.
Schools remain free to students. - In USA, EMOs operate in poorest areas.
- Politically and financially challenged.
- Developed country examples include Edison Schools
and others in the USA, Global Education
Management Systems and Education Action Zones in
the UK. - Also, a number of examples of this approach in
developing countries - Fe y Alegria in South America
- Municipal Schools of Bogota
- Sabis Schools in Middle East, UK and USA
- Transformed Schools in China.
- In New Zealand, Alternative Education is an
example of school contracting - Introduced 1997
- Schools may contract with private providers to
teach alienated students - 3,000 teenagers
- 11,000/student
- 200 providers.
11Edison Schools in the USA
- Edison Schools formed in 1992.
- Largest for-profit operator of public schools in
the USA. - 130 schools, with 132,000 students.
- Edison Schools operate in low-income areas.
Schools are managed under a contract with the
local school board. - Edison Schools remain free to the student (no
tuition fee). -
12Fe y Alegria Schools in South America
- Fé y Alegría (FyA) established in Venezuela in
1955 by Jesuits. Schools in 13 countries,
500,000 students, 22,000 staff. Offer formal
education and technical training. - Majority of students from poor families.
Government provides funding to FyA schools - to
meet either operating/set-up costs. - In 1998, the Government of Venezuela announced
that FyA would take over three failing public
schools in two poor Caracas neighbourhoods. FyA
will lease buildings for 50 years and the schools
under an agreement with the government. Teachers
to be paid by the state. The schools will offer
a complete education system including higher
education.
13Home Schooling
- Home-schooling in USA is significant growth area.
- Approximately 2 of school age children are being
home schooled in the USA. - 1.1 million home schooled children in USA in 2003
up 29 since 1999. - Home schooling now mainstream in USA.
- Up to 170,000 students being home schooled in the
UK.
14Policy Innovations School Evaluation Services
- Private sector providing information to assist
school districts and parents to make more
informed schooling decisions (eg. Standard and
Poors). - Web based information and decision-making tool
for parents, educators, policymakers and others. - School evaluation services (SES) provide reports
on schools districts strengths,
challenges/concerns and other key factors. - SES analyses academic, financial, and demographic
indicators and trends.
15Private Finance Initiatives
- Governments in the UK, Australia and elsewhere
making use of private sector to build and operate
schools and related infrastructure (eg. hostels). - Form of Public Private Partnership.
- The UKs Private Finance Initiative (PFI) is the
most prominent of these programmes. Also used in
Australia, Canada. - PFIs are now the main source of funding from UK
Department for Education and Skills for new or
replacement schools. - Between 1990 and 2003, 102 education PFIs in UK,
worth 2 Billion. - Operate on a concession basis private sector
builds a school and leases it to the government
for a set period (eg. 25 years), then turns the
building over to the government at the end of
that period. - Also used at tertiary education level UK,
Australia (University of Southern Queensland,
Swinburne University of Technology).
16 www.educationforum.org.nz
17Ratio of students to teaching staff, Primary
level, Selected countries, 2001
18Public spending on education/GDP, Selected
Countries, 2000
Primary, secondary and post-secondary
non-tertiary education
19(No Transcript)
20Responsibility for school policy and management,
New Zealand and OECD, 2000