Finding Space: Charter Schools in District-Owned Facilities

Accessing affordable facilities has long been identified as one of the most significant challenges facing charter schools. In response to this challenge, an array of policy and market-based approaches has emerged over the years. Examples of these approaches include: public and private credit enhancement, tax-exempt bond financing, community development lending, commercial facilities development, state per pupil facilities aid, constitutional mandates for fair treatment, state facilities grant programs, federal tax credits, co-location with other public schools, and charter schools accessing vacant district facilities. In January of 2014, New York City Mayor, Bill DeBlasio, put forward a proposal to no longer allow charter schools to use district-owned facilities at no cost. Instead, he proposed to charge charter schools rent for the use of these facilities. The resulting debate has brought national attention to this topic and highlighted the need for more data and a common framework for understanding the nature of transactions between charter schools and districts for the use of district-owned facilities. Against this backdrop, the National Charter School Resource Center has developed this paper to provide policy-makers and sector stakeholders with a more data-driven and nuanced exploration of the issue. This white paper is organized as follows: (1) Section I provides information about our primary data source: the Charter School Facilities Initiative (CSFI) survey and dataset; (2) Section II describes the landscape of charter schools in district-owned facilities using data from the CSFI dataset; (3) Section III provides a framework for financial transactions between charter schools and districts for the use of district-owned facilities and shares data on these transactions; (4) Section IV highlights trends in the use of district-owned facilities by charter schools over time and explores possible reasons for the growth of this phenomenon; and (5) Section V concludes the paper by noting key considerations for policymakers and charter sector stakeholders.