School Districts & Revenue Generation
With school budget cuts remaining a big issue in many states, one of the most popular posts on this blog—even two years after it was written by Dave Saba—is one on creative solutions during times of school budget cuts. People continue to search Google for terms like "creative ways to cut school budgets" or "solutions to education budget cuts" and find their way to that post.
I read an interesting story this morning from New Jersey about one district's plan to save $1.7 million over the next 15 years with solar panels. I was curious to see what other creative solutions are out there and did a little digging around.
Too often it seems the quick fix to budget woes is to lay off teachers. It's like the solution of fare hikes here in D.C. every time the Metro transit system faces budget problems. Sometimes layoffs or fare hikes are a solution but, with a little creativity, they need not always be the answer.
Perhaps more districts can debate the pros and cons of the solutions listed below and consider putting some of these to use, freeing up more money for keeping teachers employed and investing in other resources. These are not the only answers and each will have its supporters and opponents, but any reasonable idea is worth consideration as states look to solve their budget issues.
Here are some examples I've come across, beginning with the one from New Jersey:
• From the Asbury Park Press, a New Jersey school district expects to save $1.7 million over the next 15 years by putting solar panels on the roofs of two schools and without paying for the installation of the panels.
• As ABC reports, multiple districts allow advertising on the sides of school buses and more are considering it.
• From the East Valley Tribune, an Arizona school district now offers catering to parents and employees which, according to a district official quoted in the article, "brings in much needed extra money to the district, saves that person a trip to the store or a restaurant, and provides healthier alternatives that meet state nutritional standards."
• From the Orland Park Prairie, an Illinois district is considering renting out its athletic fields after approving a plan to install artificial turf on all its fields, which they also say will cut down on maintenance costs.
• According to the Charlotte Observer, Charlotte-Mecklenburg Schools are considering charging for participating in middle school sports. This is something that was discussed in the previously mentioned ABCTE blog post from two years ago, after fees were proposed for high school sports in Fairfax County. According to the Charlotte Observer article, currently "36 states charge athletic fees in public schools."
• Some schools have started selling advertising on their websites. As this USA Today article "Ads appear on school websites" explains, officials with the San Diego Unified School District believe they could "generate at least $100,000 annually by selling [web] ads."
• According to an article in from the Detroit News entitled "Schools allow ads to raise revenue", "Cash-strapped school districts across Metro Detroit are trying to raise money -- in some cases, as much as six figures -- by allowing advertisements on gym walls, athletic fields and on school Web pages."
• As this Examiner piece explains, some California schools have been able to generate revenue through the sale of surplus assets through online auctions.
Please use the comments section below if you’d like to post other revenue generating ideas and examples or debate those on the list above. Perhaps your contribution will help spark more new ideas and discussion.
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Highly ranked schools could
Highly ranked schools could advertise for tuition students. Most schools have some tuition students, however, if the school offers exceptional education benefits people may be willing to send their child to a high ranking public school, especially if the tuition is fair and reasonable.
Having to let go a teacher
Having to let go a teacher in most cases is a last resort. Small 1A schools don't have many choices left already. I came from a very small school, I think the number of people in my graduating class was 96. They wound up having to let go a few teachers in my freshman year. It was an unexpected turn of events, but I remember trying to think of a way the school could raise money. All I could think of at the time was a fund raiser, but I knew that wouldn't work for the long haul. I needed the advise of someone with business continuity, so I asked my Uncle, whom I deem a smart man. He told me that if the school could muster up the money for solar electricity, in the long run, they would wind up saving a lot of money from it. I offered the idea, and the school thought about it. I recently visited, and it turns out that's exactly what they did. They still had to cut the teachers from my freshman year, but they literally couldn't afford them. At least they've saved enough money to not only hire nine more teachers. They also got a brand new football field and weight room.