Local Government Powers: Privatization

1
Local Government Powers Privatization

• Stepping back
• Sources and limitations on local government
  powers
  
• Choices by state in how to provide
  services/regulate through particular
  (governmental?) means
  
• But
• Can local (or state) governments then allocate
  power to private entities?
  
• What rules apply and what issues arise?
• Common examples
• Privatization of jails
• Use of charter schools

2
Privatization of Jails Tulsa

• History of civil rights problems due to jail
  conditions
  
• New approach
• County commissioners
• establish public trust (TCCJA) to manage funds
  from new sales tax
  
• to pay private entity (CCA) to manage and
  operate county jail
  
• under contract...
• subject to state statutory administrative
  requirements that apply to county jails and
  privately operated jails
  
• relating to security, inmate discipline and
  employment, food, clothing, housing
  

3
Jail Privatization Key Questions

• Separation of powers delegation
• Why worry about delegation?
• What is being delegated is delegation
  permissible?
  
• How are concerns addressed in the structure
  here?
  
• Authority of TCCJA
• Where does authority come from and how
  interpret?
  
• Relation to constitutional role of sheriff?
• Is this modification? Or de facto abolition?
• Must sheriff be the one to privatize?
• Special legislation concerns?

4
Privatization Charter Schools

• State Constitutional provisions (NJ)
• Legislature to provide for the maintenance and
  support of thorough efficient system of free
  public schools
  
• Historically, public school districts with public
  schools
  
• New models charter schools with public
  funding where special charter and independent
  governing board
  
• Implications (and for whom)?

5
Charter schools Legal Issues?

• Statutory structure (NJ)
• Procedure for establishment operating
  guidelines (admission, enrollment, transport)
  
• Funding district of residence pays per pupil
  amount to charter school (as set by state
  commissioner, but presumptively 90 of local
  budget for grade level)
• State guidelines to prevent segregation,
  including grade level and school comparisons

6
Charter Schools Analysis

• Segregation risk?
• Will charter schools affect racial balance in
  public school district from which it draws
  pupils?
  
• Economic impact
• While charter schools draw resources that prevent
  school district from providing viable, thorough
  efficient education for others?
  
• Courts response Initial flaw? Interpretative
  stance? Why?