Study Says Outsourcing Services Could Save Schools Money

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Could hiring private companies for non-academic services help school systems save money? One study says yes.

The Troy University study released Wednesday says school districts could save millions of dollars by contracting out food, transportation and maintenance services.

It estimates Alabama school districts spend more than $1.4 billion annually, paying employees directly to do the work. That’s about 20 percent of the education budget.

State Superintendent Tommy Bice says privatization worked when he was superintendent of the Alex City school system, but thinks it should be up to each school district.

“We have 136 very unique school systems, 1500 different schools. What worked for us in alex city, I think it would be unfair for us to say you could pick that up and replicate it somewhere else–but it does give school systems a chance to look at budgets and say is there a better, more efficient way to do this,” said Bice.

Alabama Governor Robert Bentley says he’s not a fan of outsourcing.

“Actually, we tried that in Tuscaloosa several years ago. It didn’t work very well. I think we have a great school system, we have great school bus drivers, we have great support personnel, and I support them and I think they do a very good job,” said Bentley

According to the Troy University study, fewer than 16 percent of Alabama school systems contract private services.

You can see the study results here.

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