Tag: school choice

Tax Credits, Courts, and Cabers

As Adam Schaeffer notes on this blog today, education tax credits have won in court, again. This time in Arizona.

I’ve long argued that their superior resistance to court challenge is one of many reasons to favor tax credits over other approaches to school choice. But there’s one court that even credits are likely to run into trouble with: the 9th Circuit Court of Appeals.

The 9th Circuit is the most statist appellate court in the nation, and it has been sitting on an education tax credit case, Winn v. Garriott, for more than a year. For the record, I expect it to rule against the program sometime in 2009. If it does, that ruling will be appealed and almost certainly overturned by the Supreme Court of the United States.

Supporters of educational freedom should both brace themselves for this setback and also put it in perspective. The 9th Circuit is overturned more often than a caber at the Highland games.

Education Tax Credits Upheld, Again

The decision by the Arizona court of Appeals today upholding the constitutionality of the business tax credit program should put to bed once and for all these frivolous lawsuits against tax credits. Opponents are wasting their money.

Education tax credits are taxpayer funds and therefore cannot run afoul of state constitutional provisions regarding the use of government funds. It really is just that simple.

Some school choice supporters have given up on vouchers because of recent disappointments and think that means the end for private school choice. They forget the most successful school choice policy in recent years is education tax credits.

Not only have tax credit programs been passed and expanded with regularity (GA just passed a $50 million, universal program last year), education tax credits have proven bullet-proof in court.

Education tax credits are the future for school choice, and it’s looking pretty bright.

Obama First Dem President to Support Vouchers

Through his press secretary Robert Gibbs, president Obama has declared that he will reverse congressional Democrats’ phase-out of the DC Opportunity Scholarships program. The scholarships make private schooling affordable for 1,700 poor DC children, most of whom would be forced back into the District’s broken public school system if it were to end.

However – yes, there’s always a however – there’s every indication that president Obama will do the minimum necessary to keep the program going at its current size, and will not help to expand it.

This is nevertheless a crucial milestone. There is finally a major national Democratic leader who is beginning to catch up to his state-level peers. Democrats all around the country have been supporting and signing small education tax credit programs because they realize that these programs are win-win: good for their constituents and good for their long-term political futures.

The old guard of the Democratic party – typified by congressional leaders – still imagines that school choice is bad for them. They still think that they can roll back time to a period when the public school monopoly was inviolate. That time has passed. Real educational freedom is spreading – slowly – around the country. That is not going to stop.

The last Democrats to be found jamming their fingers into the dike, hoping to stop the flight to educational freedom, will find their political careers swept away when that dike finally crumbles.

The Early-Ed Big Lie

In a speech on education this morning at the U.S. Hispanic Chamber of Commerce, President Obama repeats questionable statistics in support of his bid to expand the government’s monopoly on education back to the womb, asserting that “$1 of early education leads to $10 in saved social services.”

Unfortunately he’s referring to small-scale programs that involved extensive and often intensive total-family intervention rather than simple “early education.”

In contrast to the– real-world school choice programs have been tested extensively with solid, random-assignment studies. Nine out of ten of these studies find statistically significant improvement in academic achievement for at least one subgroup.

Obama should follow the scientific evidence on what works in education; school choice, not “early education.”

Vouchers vs. the District with ‘More Money than God’

Editor’s Note: This post was updated on March 9, 2009.

This week, education secretary Arne Duncan referred to DC public schools as a district with “more money than God.” Perhaps he was thinking of the $24,600 total per-pupil spending figure I reported last year in the Washington Post and on this blog. If so, he’s low-balling the number. With the invaluable help of my research assistant Elizabeth Li, I’ve just calculated the figure for the current school year. It is $26,555 per pupil.

In his address to Congress and his just-released budget, the president repeatedly called for efficiency in government education spending. At the same time, the Democratic majorities in the House and Senate have been trying to sunset funding for the DC voucher program that serves 1,700 poor kids in the nation’s capital. So it seems relevant to compare the efficiencies of these programs.

According to the official study of the DC voucher program, the average voucher amount is less than $6,000. That is less than ONE QUARTER what DC is spending per pupil on education. And yet, academic achievement in the voucher program is at least as good as in the District schools, and voucher parents are much happier with the program than are public school parents.

In fact, since the average income of participating voucher families is about $23,000, DC is currently spending almost as much per pupil on education as the vouchers plus the family income of the voucher recipients COMBINED.

So Mr. President and Secretary Duncan, could you please sit down with Democratic leaders in the Senate before next Monday’s vote on an amendment to keep funding the DC voucher program, and reassert to them your desire for efficiency and your opposition to kicking these children out of a program that they depend on?

Here are the details of, and sources for, the DC education spending calculation:

Excluding preschool, higher education, and charter schools, the main education expenditures in the District are as follows:

Office of the Deputy Mayor for Education $4,917,325
DCPS (k-12 relevant items only, see below) $593,961,000
OSSE (k-12 relevant items only, see below) $198,277,000
Office of Public Education Facilities Modernization $38,368,800
Non-public Tuition** $141,700,442
Special Education Transportation** $75,558,319
Capital funding $239,033,000
Total DC k-12 budget $1,291,815,886
DCPS official total enrollment (incl. special ed.) 48,646
Total per pupil spending $26,555

Budget Sources:

DC budget FY2009, Agency budget chapters, part 2

DC Budget FY2009, Capital Appendices, part 2

DC Budget FY2009, Operating Appendices, part 2

Enrollment Source:

Linda Faison at DCPS, e-mail, March 5, 2009

The non-k-12 items excluded from the OSSE budget were:

            amount      code     description

$36,697,000  A245 public charter financing and support
$85,943,000  a430 early care & education administration
$6,322,000  a431 childcare program development
$14,544,000  a432 pre-k and school readiness
$459,000  a433 early childhood infants and toddlers
$2,036,000  a434 income eligibility determination
$37,000  a440 career & technical education
$34,397,000  a475 DC Tag
$726,000  a470 post secondary educ & workforce readiness
$4,574,000  a471 career and tech education
$3,237,000  a472 adult and family education
$1,800,000  a477 adult scholarship

The non-k-12 item excluded from the DCPS budget was:

            amount      code     description

$58,780,000  2200 early childhood education

Transfers from OSSE to DCPS (count in OSSE budget, but not in DCPS budget):

Revenue code Amount

706 $18,172,000
727 $90,290,000
728 $1,370,000

Week in Review: A Health Care Summit, School Choice and Ayn Rand

Obama Holds White House Health Care Summit

President Obama hosted almost 150 elected officials, doctors, patients, business owners, and insurers on Thursday for a White House forum on health care reform. The Washington Post reports Obama “reiterated his intention to press for legislation this year that dramatically expands insurance coverage, improves health care quality and reins in skyrocketing medical costs.”

Cato senior fellow Michael D. Tanner responds:

The Obama administration and its allies mainly seek greater government control over one-seventh of the U.S. economy and some of our most important, personal, and private decisions. They favor individual and employer mandates, increased insurance regulation, middle-class subsidies, and a government-run system in competition with private insurance. On the other side are those who seek free market reforms and more consumer-centered health care.

These differences are profound and important. They cannot and should not be papered over by easy talk of bipartisanship.

In a new article, Tanner explains why universal health care is not the best option for Americans seeking a better system:

If there is a lesson which U.S. policymakers can take from national health care systems around the world, it is not to follow the road to government-run national health care, but to increase consumer incentives and control.

To find out how the free market system can increase health care security, read University of Chicago professor John H. Cochrane’s new policy analysis, which explains how markets can “provide life-long, portable health security, while enhancing consumer choice and competition.”

Battle Over Washington DC School Choice Program Continues

Congressional Democrats are considering cutting the funding for a pilot education program that sends low-income children in Washington, D.C., to private schools through vouchers. The program serves as an example of how helpful school choice programs can be to children who are born into families that cannot afford to send them to good schools.

Adam Schaeffer, policy analyst at Cato’s Center for Educational Freedom, says even the mainstream media is on the side of school choice this time.

In a recent study, Andrew J. Coulson, director of Cato’s Center for Educational Freedom, demonstrates the superiority of market-based education over monopolies.

For comprehensive research on the effectiveness of charter schools, private schools, and voucher programs, read Herbert J. Walberg’s book, School Choice: The Findings.

Cato Celebrates Women’s History Month

The Cato Institute pays homage to three women during Women’s History Month who unabashedly defended individualism and free-market capitalism early in the 1940s — an age that widely considered American capitalism dead and socialism the future.

In 1943, Isabel Paterson, Rose Wilder Lane and Ayn Rand published three groundbreaking books, The God of the Machine, The Discovery of Freedom and The Fountainhead, that laid the foundations of the modern libertarian movement.

On Rand’s centennial, Cato executive vice president David Boaz highlighted the many contributions she made to liberty:

Although she did not like to acknowledge debts to other thinkers, Rand’s work rests squarely within the libertarian tradition, with roots going back to Aristotle, Aquinas, Locke, Jefferson, Paine, Bastiat, Spencer, Mill, and Mises. She infused her novels with the ideas of individualism, liberty, and limited government in ways that often changed the lives of her readers. The cultural values she championed — reason, science, individualism, achievement, and happiness — are spreading across the world.

Ed Secretary Crosses Congressional Democrats on DC Vouchers

Libby Quaid, the Associated Press’s intrepid DC education correspondent, has just broken the biggest education story of the year to date: Education Secretary Arne Duncan opposes congressional Democrats’ efforts to kick kids out of the DC voucher program and back into the public schools.

While Duncan said he opposes vouchers, he added that, “D.C. is a special case,” saying that ”kids already going to private schools on the public dime should be allowed to continue.”

I confess, I’m surprised by even the qualified support for DC vouchers expressed by Duncan – surprised, and delighted. From the sound of it, though, Duncan is suggesting only that existing participants be grandfathered into the program, not that any additional children should be allowed to join them.

And Duncan makes a misstep when he implies that school choice can only “help a handful of children.”

Sweden, Denmark, the Netherlands and a host of other nations have large school choice programs already. The Dutch program is nearly a century old and private schools enroll nearly three quarters of the student population. As for Duncan’s desire to create new schools that will serve whole neighborhoods, he need only visit Milwaukee to see the hundreds of millions of dollars that have been invested in creating new private schools in some of the most depressed parts of the city, thanks to that city’s private school choice program.

School choice is not only good for kids and communities, it’s good for taxpayers. The government of Florida’s own accountability office reported last year that its statewide k-12 education tax credit program is saving $1.50 for every dollar it costs to operate.

Will Duncan’s comment rescue the voucher program from Senate Democrats who are set to vote on the bill in question this week? Stay tuned.