Congress seeks to restrict for-profit involvement in charter schools

Democrats in the U.S. House of Representatives are proposing to cut $40 million from the $440 million federal Charter School Program (CSP) and to prohibit federal funding to any charter school “that contracts with a for-profit entity to operate, oversee or manage the activities of the school.”

The changes are included in the 2022 health, labor and education spending bill, approved by the House Appropriations Committee last week along party lines.

Some charter organizations worry that the language is too vague, reports Education Week, fearing that it could be interpreted to include nonprofit charter schools that contract with private companies for food and other student services that are also used by traditional public schools.

However, in a statement shared with The Hill, House Appropriations Committee Chair Rosa DeLauro (D-Conn.) said the measure “is clearly focused on ending the practice of charters accepting federal funds only to have the school run by a low-quality, for-profit company rife with conflicts of interest.” Charter schools run by for-profit companies represent 18 percent of the nation’s charter schools. Section 47604 of the California Education Code prohibits a new or renewing charter school from operating as, or being operated by, a for-profit.

The bill includes a significant $25 billion increase in K-12 education funding for public schools, including charters. It’s expected be amended before coming up for a vote on the floor.