I think you missed a major point on education reform: pensions.  It used to be that teachers, state, and municipal workers were paid modestly, but had fantastic lifetime pensions.  I know this because my father worked for the University of Illinois at Chicago, when I was young.  Today, however, these people are demanding competitive pay and lifetime pensions too.  In many cases, teachers  get paid 75% or more of there last annual pay for life.  The school districts, states, and municipalities are collapsing under the weight of these pensions.  Move these people over to 401K's like the rest of us and resources will be more abundant for the schools.