Pennsylvania cybercharter schools boom is crushing taxpayers

The list of problems worsened by the pandemic is long.

It swamped our antiquated and fraud-susceptible unemployment system. It burned out workers in already understaffed hospitals and nursing homes. It crushed vulnerable families. It broke weak links in supply chains.

State officials rushed to correct many of those problems, throwing a lot of money and resources at them.

So when will they recognize how badly the pandemic has exacerbated the problem of cybercharter school funding and do something about that?

Enrollment at cybercharters in Pennsylvania skyrocketed during the pandemic. The bloated costs to school districts and taxpayers now is nearly $1 billion a year.

Lawmakers are derelict in their duties if they can’t see how ridiculous the funding formula is for cybercharter schools.

Under state law, they are paid at the same rate per student as traditional charter schools.

But cybercharters don’t have the same buildings, supplies and infrastructure to pay for. They also can have fewer teachers, lowering personnel costs.

In total, their costs are about 25% to 30% less than brick-andmortar charters, according to various research. A study by Education Voters of Pennsylvania estimated cybercharters are overpaid $250 million annually.

How can that possibly be justified? It’s such a waste of our limited education dollars.

And it’s only getting worse. Enrollment in Pennsylvania’s 14 cybercharters grew 59% from 2020 to 2021, from 38,300 students to nearly 61,000. That’s according to a report last month from Children First, a progressive-leaning children’s advocacy organization in Philadelphia.

Pennsylvania has become the “cybercharter capital of the nation,” according to the report, with more full-time cybercharter students than any other state.

With the jump in enrollment, the bill to taxpayers was an estimated $980 million last school year, 40% more than the previous year.

The return on taxpayers’ investment hasn’t been great, the Children First report notes.

All 14 cybercharters scored below the state average on the 201819 English and math assessments. And all were flagged as needing support under the state’s School Improvement and Accountability plan. Fixing the cybercharter school problem is simple. Just come up with a funding formula that’s in line with their actual costs. And make it universal.

School districts now pay different rates, based on what it costs them to educate their students.

Last year, a cybercharter would have received $10,183 for a student in Upper Darby and more than twice as much, $22,322, for a New Hope-Solebury student, according to Children First.

The report notes how the price inequity creates incentives for cybercharters to advertise and recruit in districts with higher tuition rates.

Legislation pending in the state House and Senate would set a statewide cybercharter tuition rate, $9,457. Tuition would be higher for special education students.

That amount still seems generous, as some school districts are running their own cyberschools with per-pupil costs of $5,000 or less. But it would be a starting point for discussions — if legislative leaders allow discussion to occur. Both bills have been stuck in committee for nearly a year, with no sign they ever will emerge.

The House bill has 75 co-sponsors, including 14 Republicans. That’s a start toward bipartisan support. If other GOP lawmakers need inspiration, they should be comforted knowing that even some within the charter school industry agree on the need to fund cybercharters differently.

With many school districts having their own cyber schools now, they shouldn’t have to pay for their students to attend a cybercharter. If students want an online education, they should take it from their home district.

I disagree with another recommendation from Children First — to adopt a pay-for-performance system for cybercharters, tying pay to students’ completion or mastery of courses.

That isn’t the answer. Funding isn’t withheld from traditional public schools when students don’t succeed. Funding for cybercharters shouldn’t be tied to performance, either. But it’s not unreasonable to reduce their funding to reflect their lower expenses.

Taxpayers shouldn’t have to live with this costly side effect of the pandemic, for which there is no cure.