Public Schools: Declining Enrollment, Rising Costs, and Questionable Spending

Despite declining student enrollment, many urban school districts continue to increase spending, raising concerns about the effectiveness and efficiency of public education funding.

A report by The Manhattan Institute has revealed a concerning trend in public education across America's most populous cities. Public school enrollment has declined by 2% nationwide between 2013 and 2022, reaching its lowest point in decades. However, despite the decrease in student numbers, school spending has increased in many urban districts.

New York, Illinois, and California have witnessed the sharpest declines in student enrollment, whereas Texas and Arizona have experienced modest gains. Texas is projected to overtake California as the state with the highest number of public school students, but even its major cities have faced a slight decline over the past decade.

Public Schools: Declining Enrollment, Rising Costs, and Questionable Spending

The COVID-19 pandemic has accelerated the decline in enrollment, but the report attributes it primarily to the growing popularity of private schools, charter schools, and homeschooling. Parents are increasingly opting for these alternatives, raising questions about the confidence they have in large urban public school systems.

As enrollment numbers continue to dwindle, school spending has risen steadily. In major urban districts such as New York City, Dallas, and San Antonio, per-student costs have increased significantly over the past decade. In 2020, the average cost per pupil in public schools reached $16,280, marking a 13% increase since 2010.

Public Schools: Declining Enrollment, Rising Costs, and Questionable Spending

Over the past six decades, the student-teacher ratio in public schools has fallen from 26:1 in 1961 to 16:1 in 2020. However, the report highlights concerns about whether the decline in class size has significantly improved student performance.

Studies have shown that the impact of class size on student achievement is "tenuous." Despite decreasing class sizes for decades, student performance has not shown a marked improvement. This raises questions about whether the increased cost associated with lower teacher-student ratios is justifiable.

Public Schools: Declining Enrollment, Rising Costs, and Questionable Spending

The study concludes that school districts need to adjust their funding and staffing decisions in light of declining enrollment. However, organized opposition from teachers' unions and political resistance to change may make it challenging to implement necessary reforms.

Policymakers face a dilemma: they must balance the need to allocate resources efficiently with the potential resistance to cuts. They must prioritize finding the best way to allocate funds to maximize student performance.

The declining enrollment and rising costs in public schools have brought into question the effectiveness and accountability of the current educational system. As parents seek alternatives to traditional public schools, policymakers must address the challenges facing the public education system and explore ways to improve its quality and efficiency.

The study highlights the need for a comprehensive re-evaluation of public school funding and staffing models. Policymakers must work with educators, parents, and community members to develop solutions that ensure the continued viability of public education while prioritizing student outcomes and fiscal responsibility.