How Are Charter Schools Funded in Florida: Insights & Solutions

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Written by

22Beacon (Formerly Charter Schools Development Corporation) | Real Estate Development Team

Charter schools in Florida are public schools, but their funding model sets them apart from traditional district schools. While both types of schools rely on public dollars, charter schools operate under a distinct set of financial guidelines that determine how they receive, manage, and allocate funds. Understanding how charter schools are funded in Florida is essential for school leaders, families, and partners alike. Funding impacts everything from staffing to facilities to long-term sustainability. Unlike district-run schools, charters must often find creative solutions to bridge financial gaps, especially when it comes to securing and maintaining facilities.

At 22Beacon (formerly CSDC), we specialize in helping charter schools overcome these challenges through tailored real estate and financial services. By guiding schools through the complexities of facility planning, capital acquisition, and long-term financing, we empower Florida charter schools to focus on what matters most: educating students.

What Are Charter Schools in Florida?

Charter schools in Florida are public schools that operate independently of traditional school districts. They are tuition-free, open to all students, and governed by performance contracts that allow for increased autonomy in exchange for greater accountability. This independence enables charter schools to tailor their academic programs, staffing models, and schedules to better serve the needs of their students.

As of 2024, Florida has more than 700 charter schools serving over 380,000 students statewide. These schools represent approximately 12% of all public school students in the state. The demand for charter schools continues to grow due to their innovative approaches and student-centered learning models.

Charter schools in Florida are authorized and monitored by local school districts or, in some cases, other state-approved sponsors. While they receive public funding, they are managed by their own governing boards and operate under different oversight rules than traditional district schools. This combination of public support and independent operation makes them a unique and increasingly popular option for families across Florida.

You can explore more statistics and background by visiting the Florida state page at the National Alliance for Public Charter Schools.

Who Funds Charter Schools in Florida

Charter schools in Florida are primarily funded through the Florida Education Finance Program (FEFP), the state’s main funding formula for public education. This formula calculates funding based on the number of Full-Time Equivalent (FTE) students enrolled, adjusted for factors such as grade level, special education services, and additional student needs.

How charter schools are funded in Florida overall involves more than just the FEFP. In addition to state funding, Florida charter schools receive support from a combination of federal, state, and local sources. Like traditional district schools, they may access discretionary lottery funds and local millage levy funds approved by voters. These funds support operating costs such as staffing, curriculum, and student services.

However, charter schools often face limitations when accessing local property tax revenues for capital projects. This can create challenges in constructing or renovating school buildings. While they may apply for Capital Outlay Funding through the state, this process is often competitive and insufficient to meet growing infrastructure needs. As a result, many schools must pursue alternative financing or real estate partnerships to secure adequate facilities.

Challenges Facing Charter School Funding in Florida

While charter schools in Florida are publicly funded institutions, they often receive less funding per student than their traditional public school counterparts. This funding gap is largely due to limited access to local revenue sources, such as property taxes, which are commonly used by school districts to finance not only daily operations but also infrastructure improvements and long-term capital projects.

Unlike district-run schools, charter schools generally do not have the authority to levy taxes or issue bonds backed by local tax revenues. Although they are entitled to operational funding through the Florida Education Finance Program (FEFP) and may receive a portion of discretionary millage funds, this support is often inconsistent and insufficient. As a result, many charter schools find themselves operating with tighter budgets, particularly when it comes to securing and maintaining physical space for classrooms, technology labs, athletic facilities, and other essential infrastructure.

This challenge is especially acute when charter schools look to grow. Whether expanding enrollment, opening new campuses, or upgrading aging facilities, they face significant hurdles without access to the same capital funding mechanisms that support district schools. Although programs like Capital Outlay Funding provide some financial assistance for facility-related costs, eligibility requirements are strict, funds are limited, and demand often exceeds available resources.

Federal assistance, such as the Charter Schools Program (CSP) Grant, can help bridge some of these gaps by supporting the planning and implementation of new schools. However, CSP funding is competitive, and the application process requires time, expertise, and administrative capacity that many new or smaller charter schools may lack. Moreover, even when awarded, the grants often cover only a portion of what’s needed to fully develop or improve facilities.

Because of these constraints and how charter schools in Florida are funded primarily through state-level sources with limited access to local capital, schools are increasingly seeking alternative funding solutions to meet their capital needs. Many turn to nonprofit organizations, mission-aligned lenders, and real estate development partners to structure creative financing models that align with their growth plans.

22Beacon’s Role in Supporting Florida’s Charter Schools

Florida charter schools often face steep hurdles when it comes to securing and financing appropriate learning spaces. That’s where 22Beacon comes in. As a nonprofit organization dedicated to educational facility development, we provided charter schools with the tools, capital, and expertise needed to thrive.

Real Estate Solutions for Florida Charter Schools

Finding, financing, and developing a permanent facility is one of the biggest hurdles for charter schools in Florida. Unlike traditional district schools, charter schools often lack access to public infrastructure and must navigate the real estate market on their own. That’s where our real estate expertise makes a critical difference.

Through our Building Services, we provide schools with a full-service model that supports facility development from start to finish. This includes assistance with site selection, financing strategy, design coordination, and construction management. Every project is built around the school’s long-term vision, budget, and enrollment projections.

The Turnkey Development Program is designed to alleviate the operational burden on school leaders. Rather than juggling contractors, permits, and funding sources, school administrators can rely on our team to manage every phase of the development process with precision and accountability.

Additionally, schools can engage 22Beacon through Owner's Representative Services to oversee construction or expansion projects already underway. This ensures cost transparency, timeline management, and expert oversight without drawing resources away from day-to-day school operations.

Financial Solutions for Florida Charter Schools

Even when a charter school has a clear vision and a strong academic plan, limited funding for capital projects can halt progress. To address this gap, we offer customized financial solutions that help charter schools access the resources they need to build, expand, or renovate.

One of the most powerful tools in this suite is Direct Lending, which provides schools with flexible financing options for facility-related projects. Whether launching a new campus or upgrading an aging building, schools can move forward confidently with structured support from our lending team.

Another key offering is the Building Block Fund™. This program provides loan guarantees and lease financing options, enabling schools to qualify for better terms and reduce financial risk. It’s especially useful for new or growing schools that may not yet meet conventional lending requirements.

Together, these services provide a clear and reliable path for charter schools to grow, even amid funding limitations. For Florida schools navigating complex financial challenges, our Financing Services act as both a strategic advisor and a long-term funding partner. Our Featured Schools highlight real examples of charter campuses we've helped develop and transform across the country.

Capital Outlay Funding

Capital Outlay Funding is a vital source of support for Florida charter schools seeking to develop, improve, or maintain their physical infrastructure. These funds can be used to acquire, lease, renovate, or construct school facilities, helping schools provide safe and effective learning environments for their students.

To qualify for Capital Outlay Funding, a charter school must meet specific eligibility requirements. These include:

• Being in operation for two or more years

• Having a governing board established in Florida that oversees multiple charter or conversion schools

• Being part of an expanded feeder chain already receiving capital outlay funds

• Holding accreditation from a recognized regional accrediting association

• Operating in a facility provided by a business partner (charter school-in-the-workplace model)

In addition, schools must also:

• Pass annual audits without financial emergency findings

• Show satisfactory student achievement on state accountability standards

• Have final sponsor approval to operate for the current fiscal year

• Operate in facilities not provided by their school district sponsor

Allowable uses of Capital Outlay Funding include:

• Purchasing or constructing real property or school buildings

• Renovating or maintaining owned or long-term leased facilities

• Acquiring student transportation vehicles

• Purchasing or leasing hardware and software used for digital learning and school operations

• Covering insurance premiums for facility protection

• Equipping a school library with an opening day collection

• Acquiring maintenance, safety, or materials distribution vehicles

For more information, schools can access current distribution reports and additional resources on the Florida Department of Education’s Capital Outlay page.

Grants for Charter Schools in Florida

In addition to public education funding, charter schools in Florida can access competitive federal and state grants designed to support school development, expansion, and quality improvement. These grants help schools bridge funding gaps that often limit access to facilities, staffing, and educational resources.

Charter Schools Program (CSP) Grant

The Charter Schools Program (CSP) Grant is one of the most important funding sources available to Florida charter schools. Funded by the U.S. Department of Education and administered by the Florida Department of Education, the CSP Grant is designed to:

• Increase the number of high-quality charter schools across Florida

• Improve educational equity by expanding access for students from underserved communities

• Strengthen school sustainability through planning and early operational support

Each year, the Florida DOE issues a Request for Proposals (RFP) for the CSP Grant. Charter schools may apply for funding to support:

• Planning and launch of new charter schools

• Program design and instructional model development

• Staff recruitment and training

• Acquisition of necessary equipment and materials

This grant is particularly valuable for schools in the early stages of growth that need additional resources to ensure a strong foundation.

Florida Charter School Revolving Loan Fund

In addition to the CSP Grant, Florida also offers a Charter School Revolving Loan Fund, which provides low-interest loans to eligible charter schools. These loans can be used for:

• Facility acquisition or lease

• Renovation and construction expenses

• Equipment and instructional material purchases

• Other start-up and expansion costs

The Revolving Loan Fund is a critical resource for schools that need flexible, short-term financing to manage operational costs while they scale their programs.

Together, these grant and loan programs play a key role in ensuring that Florida’s charter schools, particularly those serving high-need communities, can grow and thrive despite limited access to traditional capital funding. Schools interested in applying for either opportunity should monitor the Florida Department of Education’s website for eligibility requirements, deadlines, and application guidelines.

Conclusion

How charter schools in Florida are publicly funded is through a combination of sources, including the FEFP, discretionary funding, and federal grants like the CSP. While these mechanisms help sustain daily operations, many schools still face significant challenges, especially when it comes to funding facilities and capital improvements.

This is where 22Beacon steps in. As a nonprofit partner with deep experience in charter school development, we help Florida schools overcome barriers through strategic real estate guidance and flexible financial solutions. From turnkey campus development to direct lending and loan guarantees, our services are built to support long-term growth and educational excellence.

If your charter school is navigating funding complexities or preparing to expand, we invite you to contact 22Beacon to explore how we can help you move forward with confidence.