The growth of cybereducation is likely to affect school staffing, which accounts for about 80% of school budgets. A teacher in a traditional high school might handle 150 students. An online teacher can supervise more than 250, since he or she doesn’t have to write lesson plans and most grading is done by computer.

In Idaho, Alan Dunn, superintendent of the Sugar-Salem School District, says that he may cut entire departments and outsource their courses to online providers. “It’s not ideal,” he says. “But Idaho is in a budget crisis, and this is a creative solution.”

Other states see potential savings as well. In Georgia, state and local taxpayers spend $7,650 a year to educate the average student in a traditional public school. They spend nearly 60% less—$3,200 a year—to educate a student in the statewide online Georgia Cyber Academy, saving state and local tax dollars. Florida saves $1,500 a year on every student enrolled online full time.

For individual school districts, though, competition from online schools can cause financial strain. The tiny Spring Cove School District in rural Pennsylvania lost 43 of its 1,850 students this year to online charter schools. By law, the district must send those students’ share of local and state tax dollars—in this case $340,000—to the cyberschool. Superintendent Rodney Green, already struggling to balance the budget, cut nine teaching jobs, eliminated middle-school Spanish and French and canceled the high-school musical, “Aida.”

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