The Philadelphia School Partnership has announced a $35 million commitment to the Philadelphia School District to offset costs associated with charter school expansion in the city and fund the transformation of district schools.

Most of the funds — some $25 million — will help cover the estimated costs over the next three years of adding up to fifteen thousand seats in quality charter schools in the city. The remaining $10 million will be invested in transforming district schools into high-quality schools. PSP also will work to support the restoration of some form of charter reimbursement and the implementation of a fair funding formula for all district schools.

How much of those costs the gift will cover, however, is disputed. According to the Philadelphia Inquirer, PSD claims the cost to enroll that many students in charter schools is closer to $500 million. Mark Gleason, PSP’s executive director, told the Inquirer that his organization arrived at its figure by calculating what it thought would be the district's outlay for three years of so-called stranded costs — the amount the system must pay when a student leaves a district school for a charter. PSP's stranded cost per student is approximately $2,000, while the district uses a figure of $7,000.

"We have been listening to the concerns of education stakeholders, parents, and public officials about the potential financial impact of charter expansion on district schools and students," said Gleason. "We agree that financial impact is an important consideration, and it has become clear that cost concerns are hindering the [School Reform Commission] from making decisions about the charter applications in the best interest of kids and families who are eager for a new opportunity to attend a great school."