Petrilli (no relation) has recommended several approaches for realigning the teaching workforce to create productivity gains: 1) redefining the roles of classroom teachers to create a more productive and better paid workforce; 2) prioritizing salary over benefits to attract more aggressive workers; 3) paying for increased productivity by asking fewer people to do more work in order to get better results; 4) integrating online and “blended” education models into public schools. I have not heard of any districts using this advice. As educational leaders look to MOOCs for additional cost savings in public education, perhaps two other proposed efficiencies should be reconsidered.
Per pupil weighted formulas
Hill (2012) suggested federal, state, and local governments combine funds spent on K–12 education, divide it by enrollment, assign it as weighted fractions on a per pupil basis that will ensure sufficient equity, and then distribute those dollars to schools directly. This would force a significant reduction in expensive administrative structures, because money would not be held by centralized bureaucracies to preserve particular schools or programs, but would flow wherever students are educated. This type of revenue stream would help schools eliminate district and state barriers to innovation that are inherent multiple layers of management.
Jefferson (1995) proposed decentralizing educational budgets to allow the disbursement of funds aimed at maximizing student development. A strategy for decentralizing budgets is zero-based budgeting, which requires a full analysis of operating programs. Jones (2012) clarified that zero-based budgeting called for an intensive examination of all aspects of government programs and their effectiveness. Governor Nathan Deal required zero-based budgeting for 37 of Georgia’s Department of Education programs in its 2014 state budget. Most schools simply review the revenues and expenditures from the previous year with the understanding that everything is working. Zero-based budgeting requires that school leaders assess the best use of taxpayer’s dollars and allocate the money as if they were personally writing the checks.
Reporting administrative and business expenses via per unit costs, replacing restricted categorical funding “buckets” with per pupil funding and using zero-based budgeting methodologies to scrutinize legacy programs may have a profound effect on how schools make financial decisions. By streamlining funding sources and reducing restrictions on how funds are used, school governance structures may be able to more explicitly report spending trends, because there will be fewer categories of funds.
Largely absent from the discussion on MOOCs is reasoned debate on how schools can increase efficiency and productivity. Public education has already identified methods for reorganizing school districts and reducing costs by analyzing district business and administrative costs on a per unit basis. Bydistributing school revenues equitably, transparently, and in ways that allow schools flexibility with funds, decentralized school governance models could implement zero-based or per pupil budgeting at their school sites. While additional gains in teacher effectiveness may be realized by using technology to enhance productivity, the promise of realizing substantial savings from MOOC implementation in K12 pale in comparison to the suggestions listed here.
Hill, P. (2012). The costs of online learning. In Education Reform for the Digital Era (pp. 77-98). Eds. Chester E. Finn, Jr. and Daniela R. Fairchild. The Thomas B. Fordham Institute. Washington, D.C.
Jefferson, A. (1995). Decentralized budgeting: Getting the most out of disbursements of funds. Education Canada, 35(4), 33-35.
Jones, W.C., (2012) State’s zero-based budgeting program to focus on education. Morris News Service. Monday, June 11, 2012. Athens, GA.
Petrilli, M. (2012). How school districts can stretch the school dollar. Policy Brief. Accessed at http://edexcellence.net/publications/how-school-districts-can-stretch-the-school-dollar.html