Board members raised sustained concerns on July 19 about the performance and funding of statewide virtual schools, saying some virtual programs perform poorly while receiving state dollars. One board member noted local funding formulas can make virtual enrollment financially attractive and asked whether state funds are being spent in students' best interest.
Dr. Mackey said the legislature set up a model that allows local districts to contract with vendors to offer statewide virtual programs, producing three broad categories: district-only virtual options (students limited to county), vendor-run statewide virtual schools (students from across the state), and district-hosted virtual options. "We have four or five statewide virtual schools," he said, adding that the department has limited direct control because those schools are authorized and contracted through local boards.
Board members described a split picture: district-operated virtual options that keep local ownership often perform better, while some vendor-operated statewide programs enroll students from many counties and have low achievement. A board member raised the possibility that some systems use virtual enrollment to capture a disproportionate share of funding.
Dr. Mackey acknowledged the problem and promised a staff report in the fall that will examine which virtual programs receive state funding, performance metrics across models, and potential policy responses. "We'll come back with a full report on that," he told the board.
No formal policy changes were adopted during the session; the board asked staff to prepare an analysis for a future meeting.