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ERIC Number: ED508637
Record Type: Non-Journal
Publication Date: 2009-Mar
Pages: 20
Abstractor: ERIC
Reference Count: N/A
The Fiscal Impact of the Milwaukee Parental Choice Program: 2009 Update. SCDP Milwaukee Evaluation Report #7
Costrell, Robert M.
School Choice Demonstration Project
In February 2008, the School Choice Demonstration Project (SCDP) issued its first report on the fiscal impact of the Milwaukee Parental Choice Program (MPCP) on taxpayers in Milwaukee and the state of Wisconsin. There are two reasons to update the 2008 report. First, the figures will naturally change with the continuing growth of the voucher program, along with changes in per pupil revenue allocations to Milwaukee Public Schools (MPS) and MPCP. So it is of interest to see how these developments play out on the net fiscal impact and its allocation among groups of taxpayers. To summarize the results of this update, readers will find that: (1) The net fiscal benefits of the MPCP have continued to grow, due to rising voucher enrollments, and also because of the widening gap between per pupil allocations to MPS and MPCP. For FY09, the researchers estimate the net fiscal benefit of the MPCP to be $37.2 million; (2) The net fiscal benefits continue to be very unevenly distributed, with an adverse impact on Milwaukee property taxpayers. The "funding flaw" persists, despite a recent legislative effort to address it. For Milwaukee property taxpayers, the adverse impact is estimated at $44.7 million for FY09, while other property taxpayers and state taxpayers benefit by $52.0 million and $30.0 million, respectively; (3) The alternative measure of the funding flaw that has led some to wonder if the flaw has ceased to exist is a misleading measure, due to a misunderstanding of how the funding formulas work. This report will try to explain the nature of that misunderstanding. It will also show that the recent policy change intended to address the flaw has only modestly mitigated the problem. (Contains 2 tables, 4 figures, and 12 footnotes.) [Funding for this paper was provided by the Kern Family Foundation, Robertson Foundation and Walton Family Foundation.]
School Choice Demonstration Project. Department of Education Reform, University of Arkansas, 201 Graduate Education Building, Fayetteville, AR 72701. Tel: 479-575-3172; Fax: 479-575-3196; e-mail:; Web site:
Publication Type: Reports - Research
Education Level: Elementary Secondary Education
Audience: N/A
Language: English
Sponsor: Annie E. Casey Foundation; Joyce Foundation; Lynde and Harry Bradley Foundation
Authoring Institution: University of Arkansas, School Choice Demonstration Project (SCDP)
Identifiers - Location: Wisconsin