The Alameda Unified School District is studying the idea of converting some, or perhaps all, the district's schools into charter schools. The district has two options: become a "charter district" and convert all Alameda Schools into charter schools, or create a portfolio of schools that includes a mix of charter and non-charter schools. The charter district idea would require the approval of the California superintendent of public instruction and the state board of education. The portfolio concept could be accomplished solely with AUSD approval.

In order to become a charter district, more than 50 percent of AUSD teachers must support the idea.

Some families, teachers, principals and districts embrace charter schools because they find flexibility, freedom and accountability. They find more flexibility on curriculum, budget and staffing; more freedom to innovate and offer unique approaches to education and a high level of accountability with review and renewal mandatory every five years

In addition the report says people from parents to principals like a charter school ability to make quick and effective changes to meet a student's need as well as teachers and families empowered to make important decisions to benefit students.

In a 2007 University of Southern California field study about charter schools parents cited "challenging curriculum and individualized student attention as key reasons for their high level of satisfaction."

Other families, teachers, principals and districts oppose charter schools. Based on the negative financial impact they might have on a school district's central offices or other schools in the district. Those who disagree with the charter-school concept point out that charter schools are "schools of choice" and are able attract brighter, more promising students from other schools. They point to the complexity of funding for charter schools and say that being a charter school does not necessarily relate to being a good school.

The school district would treat a dependent charter like any another program — as a part of the district. "The charter is included in all reporting, including the district's audit report and fiscal year financial statements," the report says.

An independent charter, on the other hand is a separate, apart from the district. This kind of charter school keeps its own books, which are subject to audit; has its own governing body, student services and curriculum.

Either state or local revenue funds independent charter schools; the state always funds independent charters. If the state funds the school, then the school pays the staff. If the district funds the schools, all staff members are district employees.

The district's report also discusses the availability of funds. A charter school revolving fund loan of up to $250,000 is available to any charter school that is not a conversion charter and has not completed its first full term of its initial charter.

The charter school must use proceeds from the loan for initial expenses not for operating costs like employee salaries or benefits. At the end of its first fiscal year, the school will begin to repay the loan from regular apportionments due the school.

As AUSD considers whether to move forward with the idea of converting to a charter district or creating a portfolio of charter schools, it must consider community, economic and organizational factors. The district will be considering the implications of schools no longer being "neighborhood schools" and students from outside the district boundaries being allowed to enroll. AUSD must also take into account the community's willingness to take a strong political stance on the benefits of choice and charters.

Economically the district must consider if it can ensure financial sustainability with a charter model, whether the charter model can attract additional funding and whether any funding be lost through the shift to charter schools.

The district's organizational challenges include the role AUSD would play in supporting any new charter schools, getting a sufficient number of teachers to support the idea of increasing the number of charter schools or, more importantly, supporting the ideas of AUSD becoming a charter district. More than 50 percent of the district's teachers must approve conversion to a charter district.

The district must also face the possibility of high employee turnover during the change and the possibility of calling on outsider providers to operate the charter schools.