Education Funding

Charter Sector to Get $1 Billion From Walton Family Foundation

By Arianna Prothero — January 08, 2016 3 min read
  • Save to favorites
  • Print

A heavyweight funder in K-12 education, the Walton Family Foundation, announced it is doubling down on its investments in school choice with a $1 billion plan to help expand the charter school sector and other choice initiatives over the next five years.

That investment will match what the foundation has poured into K-12 initiatives since it first started its education philanthropy 20 years ago.

In a new report detailing its five-year strategic plan, the foundation identified 13 cities and states it intends to work in—a decision it says was driven by growing demand for new schools and research showing academic gains among some charter school students.

“When we look at charter performance in the urban core, in parts of the country that have the most perniciously unfixable academic outcomes in the country, we see exciting breakthroughs of charter schools at scale,” said Marc Sternberg, the director of the foundation’s K-12 education program."It’s a combination of results and a surge in demand that conveyed to us that there’s a real opportunity to have impact.”

A June study from Stanford University’s Center for Research on Education Outcomes found that students in charter schools in 41 cities significantly outperform their district counterparts in reading and math, while the National Alliance for Public Charter Schools estimates that more than 1 million students are currently on waiting lists for charters.

Big Footprint

The Walton Family Foundation is the philanthropic arm of Walmart founder Sam Walton’s heirs and long has been a major supporter of school choice.

(The Walton Family Foundation provides grant support for Education Week’s coverage of school choice and parent-empowerment issues.)

One can hardly turn around in the charter school sector without bumping into a benefactor of the Walton Family Foundation. Nearly one-quarter of all charter schools nationally have received startup funds from it, according to the report.

In addition to charters, the foundation supports private school choice and regular school districts willing to dip their toes into school choice.

This newest round of funding will focus on expanding school choice options in low-income communities in cities such as Los Angeles, and New Orleans, developing teachers and school leaders, and supporting strategies to help parents navigate school choice.

The Walton Family Foundation was among the first major K-12 philanthropists to invest in charter schools, and has helped shape the sector as it is today. “They’ve played a real role in pushing for the growth of the charter management sector and networks of charter schools in order to prioritize going to scale, as they like to refer to it,” said Jeffrey R. Henig, a political science and education professor at Teachers College, Columbia University, and co-editor of the book The New Education Philanthropy.

But the foundation’s investment strategy is changing.

Initially, it focused on creating competition in K-12 to improve the overall system. The foundation’s latest report says it has learned that’s not enough. Parents need help in choosing schools—such as citywide enrollment systems, said Sternberg.

“Families need access to real-time information. Families need easy transportation options. We need government to do its job and authorize high-quality schools,” he said. “We now know that there are some key enablers outside of the school that have to be in place.”

But the $1 billion announcement has not come without its critics. Among them: the American Federation of Teachers, which released a report last June saying Walton’s investments in charters are irresponsible.

“This is not about public charters ... or about ensuring parents have great choices for their kids,” AFT President Randi Weingarten said in a statement.

“This is about the fundamentally flawed Walmart model that destabilizes and diminishes public education.”

A version of this article appeared in the January 13, 2016 edition of Education Week as Charter Sector to Get $1 Billion Boost From Walton

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Recruitment & Retention Webinar
Hiring, Retention, and Fill Rates: A Data-Driven Sub Strategy
Explore what keeps substitutes coming back and hear how one district rebuilt its substitute hiring process and improved its fill rate.
Content provided by Frontline Education
Early Childhood K-12 Essentials Forum Early Childhood Education: Building Essential Skills for Success
Join this free virtual event to examine the biggest challenges in supporting young children, from preschool through elementary school. 
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Student Absenteeism Webinar
Attendance Isn't an Attendance Problem
Boost attendance by strengthening relationships, belonging, and support with practical strategies from Doug Fisher & Nancy Frey.
Content provided by Corwin

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Education Funding Ed. Dept. Risks Letting $180 Million for Research Expire as Deadline Looms
Spending by the agency's research arm has lagged most significantly compared with previous years.
6 min read
Russell Vought, Director of the Office of Management and Budget (OMB) testifies on the OMB budget during a House Appropriations Financial Services and General Government Subcommittee hearing on Capitol Hill in Washington, DC, on June 4, 2025.
Russell Vought, director of the White House Office of Management and Budget, testifies during a House Appropriations subcommittee hearing on Capitol Hill in Washington on June 4, 2025. OMB has been slow to release congressionally appropriated funding to the Institute of Education Sciences, the U.S. Department of Education's research arm. IES now has just weeks to spend $180 million before it expires.
SAUL LOEB / AFP via Getty Images
Education Funding Averting a Shutdown, Congress Punts Federal Spending Decisions to December
Federal funding talks will continue into December as Congress agrees to avoid a shutdown.
2 min read
Speaker of the House Mike Johnson, R-La., arrives for a closed-door meeting with Republican lawmakers as he prepares for a vote on a stopgap spending bill to keep the federal government fully funded through early December, avoiding the possibility of a shutdown before the midterm elections, at the Capitol in Washington, Tuesday, Sept. 1, 2026.
Speaker of the House Mike Johnson, R-La., arrives for a closed-door meeting with Republican lawmakers at the U.S. Capitol on Sept. 1, 2026, as he prepares for a vote on a stopgap spending bill to keep the federal government fully funded through early December, avoiding the possibility of a shutdown before the midterm elections. The continuing resolution carries over the current year's funding levels for education programs into the first two months of the federal fiscal year that starts Oct. 1.
J. Scott Applewhite/AP
Education Funding Education Department Will Keep Sending Most K-12 Funds Through Its Own System
The agency will send formula funds through its own system again despite program shifts to other agencies.
5 min read
A sign from the General Services Administration is posted outside of the Department of Education headquarters in Washington, D.C. on Friday, July 17, 2026.
A sign installed by the General Services Administration is posted outside the Department of Education headquarters in Washington on July 17, 2026. Despite shifting its programs to other agencies, the Education Department will send billions of dollars in formula funds for schools through its own grants portal on Oct. 1, rather than a portal run by the Department of Labor.
Eric Lee for Education Week
Education Funding Video What's in Store for School Funding for 2026-27?
A new education tax credit, federal budget negotiations, and more are in store.
The U.S. Capitol building in Washington, D.C. on Friday, July 17, 2026.
The U.S. Capitol building in Washington, D.C. on Friday, July 17, 2026.
Eric Lee for Education Week