What Are Public Charter Schools? How They Differ From Private Schools
Public Charter Schools vs. Private Schools

What Is a Public Charter School?

Definition

A public charter school is a publicly funded, independently operated school that functions under a performance-based contract—called a charter—issued by a public authorizer. These schools are free to attend and are accountable for academic outcomes rather than compliance with traditional school regulations.

How They Started

The concept was pioneered in Minnesota in 1991, driven by reformers who wanted to:

  • Break bureaucratic bottlenecks

  • Provide innovative learning models

  • Offer more choices to families, especially in underserved communities

As of 2024, over 45 states and D.C. have passed charter school laws, with more than 7,800 schools serving nearly 4 million students.

Read more: How Many Public/Private Schools Are There In The US?

How Charter Schools Operate

Governance

Charter schools are typically run by:

  • Nonprofit boards

  • Charter management organizations (CMOs) (e.g., KIPP, Aspire)

  • In some cases, for-profit education companies

They are monitored by authorizing bodies such as state departments, school districts, or independent commissions.

Contractual Obligations

Each school signs a charter agreement detailing:

  • Academic goals

  • Student demographics

  • Budget plans

  • Governance structure

  • Renewal and revocation terms

Performance Reviews

Charter schools undergo regular evaluations. If they fail to meet performance standards or commit financial mismanagement, their charters can be revoked—resulting in closure.

Funding and Resources

How They're Funded

Charter schools receive per-pupil public funding, similar to traditional schools. This includes:

  • State aid

  • Local funding formulas

  • Federal education grants (e.g., Title I)

However, they generally do not receive:

  • Direct facilities funding

  • Transportation services

  • Local tax overrides or capital improvement funds

How They Bridge the Gap

To cover gaps, charter schools often seek:

  • Private grants and philanthropy

  • Community fundraising

  • Partnerships with nonprofits or local businesses

Some critics argue that this model creates inequities between well-funded charter schools and others with fewer resources.

Academics and Student Outcomes

Curriculum Flexibility

Charter schools can:

  • Create their own curriculum

  • Implement non-traditional teaching methods (Montessori, project-based learning, blended learning)

  • Emphasize niche focus areas: arts, STEM, language immersion, civic engagement, etc.

However, they are still expected to meet state academic standards and participate in standardized testing.

Student Performance

Research on academic performance is mixed:

  • Some charter schools outperform local public schools

  • Others perform the same or worse

  • The variation is large depending on the state, the school’s operator, and the student population

A Stanford CREDO study found that urban charter schools often outperform traditional public schools in math and reading, especially for Black and Hispanic students.

How They Differ From Private Schools

Category Charter Schools Private Schools
Funding Publicly funded (no tuition) Privately funded (tuition + donations)
Governance Independent boards under public charter Private entities, often religious or corporate
Curriculum Flexible, but aligned to state standards Fully independent, not subject to state control
Accountability Evaluated by state authorizers Self-regulated or accredited voluntarily
Admissions Lottery-based; must accept all students Selective; can deny admission based on criteria
Religious Content Legally required to be secular Can be religious-based (e.g., Catholic, Islamic schools)
Testing Requirements Must administer state exams Testing policies vary; often internal
Special Needs Services Must provide per IDEA guidelines May not be required to follow IDEA fully

Read more: What Is The Average Private School Tuition In The United States?

Legal Challenges and Religion in Charter Schools

Landmark Controversy: Oklahoma 2023

In 2023, the Oklahoma Virtual Charter School Board approved a proposal by the Catholic Archdiocese to launch a religious charter school. This ignited a legal battle over whether public funds can support religious education.

The case raised questions about:

  • First Amendment rights

  • Separation of church and state

  • Precedents on public funding of religious institutions

In 2025, the U.S. Supreme Court declined to approve the religious charter, reinforcing that publicly funded charter schools must remain secular.

Pros and Cons of Charter Schools

Pros

  • Increased parental choice

  • Innovative and specialized curriculum

  • More flexibility in operations and hiring

  • Competitive pressure on public schools to improve

  • Often better performance for underserved students in urban areas

Cons

  • Uneven quality across states and schools

  • Potential to drain funds from traditional public schools

  • Can create fragmentation and reduced oversight

  • Risk of exclusion for students with disabilities or high needs

  • Dependence on unstable private funding streams

Societal Impact and Equity Concerns

Who Attends Charter Schools?

Charter schools often serve:

  • Minority-majority student populations

  • Low-income families

  • Students seeking alternatives to underperforming public schools

However, enrollment trends have raised equity concerns, including:

  • Underrepresentation of students with special needs

  • Inadequate ESL services

  • Claims of disciplinary disparities

Charters in Rural vs. Urban Areas

Charters are most common in urban districts, where demand for alternatives is highest. In rural areas, limited resources and low population density often make charters impractical.

FAQs About Charter and Private Schools

1. Are charter schools better than public schools?

Not necessarily. While many charter schools outperform their public school counterparts, others do not. Outcomes depend on local governance, funding, and implementation.

2. Can a charter school charge tuition?

No. Charter schools must be tuition-free and open to all students regardless of background or ability.

3. Can a charter school be religious?

As of now, charter schools must be secular. Any effort to introduce religious instruction has faced strong legal opposition and constitutional scrutiny.

4. Do private schools follow the same rules as charter schools?

No. Private schools are exempt from most state education regulations, allowing more freedom in operations and curriculum. However, they are also less accountable to the public.

5. How do I enroll my child in a charter school?

Most charter schools have open enrollment periods. If more students apply than there are seats, a random lottery determines admissions. No entrance exams or selective criteria are allowed.

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