The Lost Decade of Education Reform with Steven F. Wilson

In this episode, Susan Pendergrass is joined by Steven F. Wilson, senior fellow at the Pioneer Institute for Public Policy Research and author of The Lost Decade: Returning to the Fight for Better Schools in America, to discuss the rise and decline of the “no excuses” charter school movement.

They examine how once high-performing urban charter networks lost their focus on academic achievement, why ideological shifts around DEI and anti-racism took root, and what it will take to re-center public education around effective instruction. Wilson also explains the importance of urgency in school leadership, the evidence behind student outcomes, and more.

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Transcript: The Lost Decade – Steven F. Wilson with Susan Pendergrass

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(00:00) Introduction and background

Susan Pendergrass: Well, Steven Wilson, thank you so much for coming onto the podcast. We were just speaking before we started recording about how long you and I have been kind of working in the—you completely in the charter space and me somewhat adjacently in the charter school space—and have just seen things change and evolve over time in ways that… some are great and some are less great.

You have a new book out, The Lost Decade: Return to the Fight for Better Schools in America, which is fantastic. You know, 20 years ago, I thought charter schools were going to be part of the answer—to competitively spur non-charter schools to do better and to give parents options and lifeboats in some of our worst urban districts. There were so many high-flying charter school networks emerging, like KIPP—the Knowledge is Power Program—that were like, “Look, it’s not the kids.”

These kids can do as much as any kids—even if they’re poor, even if they are in an urban district, even if their mom is single and has two jobs. We’re not going to give them excuses. We’re going to have high expectations and we’re going to instill discipline. And they started this whole “no excuses” thing. And I thought that was such a great thing for kids. Then… I don’t know. Please, you tell me. I’m sure you know more than I do.

(01:10) The shift away from academic excellence

Steven F. Wilson: Well, first of all, Susan, I’m delighted to be with you—and I’m even more delighted that you’ve read the book. That’s thrilling.

Yes, I think your introduction really nails it. We had found a once-in-a-century educational intervention that had extraordinary effects: the so-called “no excuses” school. (Terrible name, by the way—maybe we should clarify that for listeners.) Around 2000, or in the few years leading up to that, urban charter networks were posting extraordinary effects. They were beginning to show a way out of educational inequality in this country—and then they lost the thread.

They turned away from the North Star of achievement—of great instruction—which is what drove them and their success. And they began to embrace another ideology, another purpose, that I think has been quite destructive. That’s the theme of the book. I refer to it as anti-racist education or social justice education.

Look, we all thought we were doing social justice, right? We thought we were doing anti-racism. We thought that by providing an instructionally effective path—where children could enter the middle class and not be consigned to a life of the minimum wage—we were addressing inequality in America. But we’ve unfortunately turned away from that.

I called the book The Lost Decade because we are now exactly halfway through it. We need to make a sharp pivot back to what was working. My book is really a call to action—a call to return to what works, and pick up where we left off.

(03:47) Mislabeling structure as racism

Susan Pendergrass: So when you say the anti-racist movement, I think what I remember hearing is… making kids stand in line is racist?

Steven F. Wilson: Yeah, that’s right. So a whole lot of things were labeled racist when, in fact, they were just creating the conditions under which children could be safe, respected, and have an opportunity to learn—conditions where teachers could teach.

People forget what the urban classroom looked like 30 years ago when all this began. There’s a book called Let the Lady Teach by Emily Socker. She was an education journalist who taught for a year and took stunning photos. You see New York City classrooms with graffiti-covered walls, broken desks—a scene of abject neglect and contempt for students.

The founders of the no-excuses schools did two things. First, they established order. Children needed to feel safe from gangs, violence, and low-level disorder. The balled-up paper no one picks up, the broken pencil, the kids talking over the teacher—all that had to stop. That was the foundation for joyful, effective learning environments.

Second, they adopted the pledge of no excuses. As professionals, we agreed to stop blaming poverty, racism, or lack of resources for why students weren’t learning. Those challenges are real—but we cannot let them prevent us from doing our job: educating children. That was an ennobling cultural decision—and it drove the successes that followed.

(06:38) School uniforms and equality

Susan Pendergrass: I also remember how those high-performing charter networks were some of the first public schools to require uniforms. At the time, people said, “You can’t make low-income students wear belts,” and yet… they did. Schools helped them. They found a way.

Steven F. Wilson: Exactly. Uniforms did a couple of things: they created a sense of order and purpose and they eliminated status anxiety about clothes or sneakers. They created a level playing field where all kids could feel safe and focused.

(07:54) Why charter schools changed

Susan Pendergrass: So why did things change around 2005 or so? Why were charter schools so susceptible to this shift?

Steven F. Wilson: Good question. My view—and it can be contested—is that charter schools were uniquely susceptible because of their reliance on young, novice teachers, and because they experienced higher staff turnover than traditional districts. So you had more new teachers arriving, often from elite universities. These teachers had been acculturated in anti-racist ideology and brought it with them.

With 20 to 25 percent staff attrition over four years, you can essentially have a whole new faculty. These new teachers weren’t part of the early TFA generation who felt called to close the achievement gap. Instead, they came in animated by the ideas of Ibram Kendi, Robin DiAngelo, and more radical voices like Tema Okun—who claimed that objectivity and love of the written word were traits of white supremacy.

So teachers began to question whether enforcing discipline or holding students to high standards was racist. Some networks—like Success Academy and Brooke Charter Schools—held their ground. Others capitulated. They didn’t make the case for their methods or explain how they aligned with a true liberal arts education.

(11:35) Parental demand and satisfaction

Susan Pendergrass: And these were the very things that parents wanted, right? The structure, the discipline?

Steven F. Wilson: Absolutely. These schools conducted annual parent surveys—Ascend, KIPP, Achievement First. Satisfaction rates were consistently above 90%. I’ve never heard of a parent asking for more anti-racist programming. What they wanted was a better education and a secure path to college and career. That path has eroded horribly over the past five years.

(14:52) Test score declines

Susan Pendergrass: So what were the actual outcomes of the shift?

Steven F. Wilson: In New York City—the nation’s largest market—urban no-excuses charters used to dramatically outperform traditional schools on state tests. That performance premium eroded by two-thirds over five years. Now, many of them perform just slightly better than the city average. But the networks that stuck with their methods—Success Academy and Classical Charter Schools—have either maintained or improved their results.

(16:29) Can “anti-racist” schools succeed academically?

Susan Pendergrass: And you couldn’t find any high-achieving schools that had adopted the anti-racist framework?

Steven F. Wilson: I looked, and no—I couldn’t find any.

(17:24) What should we do now?

Susan Pendergrass: So what now? How do we turn this around?

Steven F. Wilson: We need to have honest conversations—conversations that have been avoided for too long. And then we need to win the contest of ideas. The no-excuses model works. RAND found that students who attend KIPP middle and high schools have nearly the same college completion rates as white students nationwide. That’s an astonishing result.

There’s growing recognition that the ideological shift hasn’t worked—but fear still dominates. I think that will change within the next year.

(19:47) DEI and illiberalism on both sides

Susan Pendergrass: Meanwhile, terms like “equity” and “DEI” have been politicized. What’s your take on that?

Steven F. Wilson: I support DEI—when it’s done right. Diversity, equity, and inclusion should foster a sense of belonging. What doesn’t work is dividing people into affinity groups or pushing a worldview of oppressors versus oppressed. That’s deeply harmful.

And the answer isn’t to fight illiberalism with more illiberalism—banning concepts, censoring teachers. That’s not how we solve the problem.

(22:24) Accountability, data, and racism claims

Susan Pendergrass: In Missouri, we’ve got very low accountability. Our state system gives almost every district an “A.” When we created our own school grading system, we were told assigning D’s and F’s is racist—because those schools mostly serve Black and Brown students. But parents know when their child’s school is bad. They want a way out.

Steven F. Wilson: Right. The claim that it’s racist to report poor outcomes is a distraction—usually from the teachers’ unions or anti-reformers. They say schools are just reproducing structural poverty and racism. Horace Mann would roll over in his grave.

We need competition. In many communities, the majority school systems are unreformable. The faster path to success is to build new schools around them.

(26:05) Urgency and action

Susan Pendergrass: I hear “fix the schools we have” all the time. But people have been trying that for decades. If your house is on fire, don’t just stand there—build something next door.

Steven F. Wilson: Exactly. People cling to the existing system out of habit or emotion. But it isn’t working. And as you said, we need urgency. That’s another value some now call “racist.” But if your kid is in a broken classroom, you feel that urgency.

High-performing charter schools acted on it. They made staffing changes midyear. They reopened quickly during COVID. They didn’t let failure sit.

(28:22) Conclusion

Susan Pendergrass: Yes, and that urgency made a difference. Our unaccredited districts have been that way for so long a child could attend from kindergarten to 12th grade without any improvement.

The Lost Decade: Returning to the Fight for Better Schools in America couldn’t be more timely. Steven, thank you so much for coming on.

Steven F. Wilson: Such a pleasure, Susan. Great to see you.

Susan Pendergrass: Same. Thank you.

Produced by Show-Me Opportunity

Grading for Equity in San Francisco, and What It Means for Missouri

Under intense public pressure, the San Francisco Unified School District (SFUSD) recently walked back from a controversial “Grading for Equity” plan that would have significantly lowered academic standards. The plan has already been implemented in some other California districts and includes provisions such as:

  • Homework and weekly tests would no longer count toward students’ final semester grades.
  • Semester grades would depend entirely on a final exam, which students could retake multiple times.
  • Tardiness and absences would have no impact on grades.
  • Cheating or copying would carry only non-grade-based consequences.
  • The threshold for earning an A would fall to 80 percent.
  • The threshold for a D would fall to 21 percent.

My first reaction was to laugh out loud. I suspect many others feel the same. Still, it’s worth pausing to consider where these ideas come from and why they resonate with some educators. Like many flawed policies, these changes are rooted in good intentions. Proponents of “Grading for Equity” see grade gaps between students from different backgrounds—by race, poverty status, etc.—and are trying to reduce those gaps. I see the same gaps, and I want them reduced, too.

But here’s the reality: grade gaps reflect real gaps in skills and knowledge. And when school ends, it’s not the letter grades that shape students’ futures—it’s the underlying skills and competencies those grades are supposed to reflect. “Grading for Equity” is just wishful thinking. It is a refusal to grapple with the truth.

Fortunately, I’m not aware of any Missouri school districts as extreme as SFUSD, and I haven’t heard of any “Grading for Equity” initiatives here. But this episode is a useful reminder that some educators seem to misunderstand what it takes to prepare students for success. Lowering expectations to conceal skill gaps will not help anyone in the long run.

This is also a powerful example of why we need high-quality, comprehensive tests in our public schools. Standardized tests compel schools and districts to confront the reality of student performance. They offer families and the public reliable, externally benchmarked data about what students have—and have not—learned. In an ideal world where we all prioritized student learning, such tests might not be necessary. But in the world we live in, they’re a vital safeguard.

Missouri Moves Away from Three-Cueing

Missouri has joined more than a dozen states in improving reading instruction by passing legislation—Senate Bill (SB) 68—that restricts the use of three-cueing when teaching students to read. This policy change is just one part of a huge education omnibus bill. While this restriction is a welcome change, the policy sadly falls short of eliminating three-cueing in Missouri’s early literacy curriculum.

What is the Three-Cueing System?

Three-cueing is an approach to teaching reading that relies on text (the letters on the page) as little as possible and instead uses language cues. ExcelinEd describes it like this:

Instructional strategies that employ the three-cueing systems model of reading include visual memory as the basis for teaching word recognition or three-cueing systems model of reading based on meaning, structure and syntax, and visual – which is also known as MSV.

Reading is not a natural skill—it is a learned one. Consider learning to shoot a basketball. There is a preferred form, and players who learn it early tend to become more accurate and consistent. But if a child is left to figure it out on their own (or learns bad habits) they may end up with a jump shot that “works” to some degree, but is hard to fix later. In the same way, poor reading strategies such as three-cueing can become ingrained if not corrected early. Reading instruction should be grounded in the skills that lead to fluent reading from the beginning.

Research consistently shows that the best way for students to become fluent readers is to:

  • Decode: connecting letters and letter patterns to spoken sounds.
  • Encode: connecting spoken sounds to written letters when spelling.

Over time, skilled readers come to read every letter rapidly and fluently as they connect the letters’ sounds with their oral vocabulary, out loud or silently. In contrast, the three-cueing system encourages students to rely more on memorization, contextual clues, or how the “whole word” looks.

What Missouri Can Do in the Future

SB 68 makes phonics instruction the primary strategy for teaching reading in Missouri. At one point during the legislative process, the bill included a ban on three-cueing, but the final language only bars three-cueing from being a “primary instructional method.” This vague language could allow for the continued usage of three-cueing in Missouri classrooms. As ExcelinEd notes, an ideal policy would “prohibit the use of curricula that employ the three-cueing systems model of teaching students to read.” Research shows that states committed to phonics have improved reading outcomes. In the future, Missouri should fully prohibit three-cueing.

Why the New Property Tax Rules in Missouri Are Bad, Part 1

This is the first in a series of blog posts about why the new property tax legislation passed in the recently concluded special session of the Missouri Legislature is harmful.

The new state law creates three types of counties for property taxes:

1)        Five percent counties: These counties are made up primarily of Missouri’s smaller, rural counties. In these counties, upon local voter approval, a homeowner’s property tax liability can go up by no more than the lower of five percent or the national inflation rate during reassessment, unless voters approve tax rate increases or the homeowner improves their property. There are 75 counties in this category.

2)         Zero percent counties: These counties are made up primarily of mid-sized and suburban Missouri counties. In these counties, upon local voter approval, a homeowner’s property tax liability cannot increase at all during reassessment unless voters approve tax rate increases or the homeowner improves their property. There are 22 different listings for counties in this category.

3)         “Unaffected” counties (my term, not language from the bill): These counties are primarily Missouri’s large urban counties or counties in central Missouri, including the Lake of the Ozarks area. These 17 counties and the City of St. Louis are not included in this legislation and their tax and reassessment system will continue unchanged. It is worth noting that Jackson County, which has had by far the worst administration of assessment and tax collection in recent years of any Missouri county, is unaffected.

There are many reasons why these substantial changes to the system are bad, but the first one is that, in general, property taxes are the least harmful tax for economic growth. So, if you want to create a tax system that encourages greater economic opportunity for all Missourians, the property tax is the last tax you should focus on. Furthermore, these changes will almost certainly lead to greater governmental reliance on income taxes (mostly through the state’s foundation formula for school funding), which is exactly the wrong way to go about this.

Here is a chart I like to share. It includes four major economic studies of tax policy. The conclusions are obvious. Property taxes, in general, are the least harmful for economic growth and income taxes are the most harmful. Why Missouri would be severely limiting property taxes in many counties in a manner that will increase dependency on income taxes is beyond me. It may make for good politics. It is not good tax or economic policy.

Not all property taxes are the same, of course. Property taxes focused on the value of the land are the best, and we need to expand that (i.e., land taxation) in Missouri. Property taxes focused on homes and buildings are next best. Missouri makes heavy use of personal property taxes on cars, boats, etc., and those taxes on mobile assets are less beneficial and should be phased out. Finally, personal property taxes on business and farm equipment are harmful, and should be ended. (The final category makes up a very small part of the property tax base, so ending it would not be difficult.)

Future posts will discuss the constitutional problems with this bill, the harmful effects of favoring current homeowners over future homeowners, a discussion of Charles Tiebout and his theories, and more. For more information, please see my testimony from the special session, these policy studies on this issue of property taxes and assessments, and related commentaries.

The One Big Beautiful Bill’s Impact on Medicaid with Brian Blase and Elias Tsapelas

In this episode, Susan Pendergrass is joined by Brian Blase, president of Paragon Health Institute, and Elias Tsapelas, director of state budget and fiscal policy at the Show-Me Institute, to break down the health care provisions in the “One Big Beautiful Bill.”

They focus specifically on the bill’s Medicaid provisions, including efforts to enforce eligibility checks, freeze the growth of provider tax schemes, and reduce improper enrollment. Blase and Tsapelas also discuss the reality behind claims that millions will lose coverage, the true cost of Medicaid expansion, and the perverse incentives that allow states to game the federal reimbursement system.

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Produced by Show-Me Opportunity

Testimony of Patrick Tuohey Before the Missouri House Economic Development Committee June 10, 2025

On June 10, 2025, Patrick Tuohey, senior fellow at the Show-Me Institute, testified before the Missouri House Economic Development Committee during a special session focused on proposed stadium subsidies for the Kansas City Chiefs and Royals. In his testimony, Tuohey argued that the proposed funding package is based on a false sense of urgency, fueled by non-competitive offers from Kansas and a misleading June 30 deadline. He questioned the economic value of the proposed subsidies, highlighted concerns about taxpayer risk, and warned against allowing professional sports teams to play local governments against each other.

Read his submitted testimony here: https://bit.ly/4kXtdII

See the recording of the full hearing here: https://house.mo.gov/MediaCenter.aspx

Testimony of David Stokes Before the Missouri House Economic Development Committee June 10, 2025

On June 10, 2025, David Stokes, director of municipal policy at the Show-Me Institute, testified before the Missouri House Economic Development Committee to express concerns about the property tax provisions included in a special session bill.

Stokes warned that the proposed property tax caps, added on the Senate floor without a public hearing, are constitutionally questionable, economically harmful, and likely to trigger long-term unintended consequences. He argued that freezing or severely limiting property taxes in certain counties will increase pressure on other revenue sources, such as sales taxes and state income taxes, and lead to greater use of tax districts like TDDs and CIDs. He also raised concerns about fairness and uniformity, noting that identical homes could be taxed at dramatically different rates simply based on how long someone has lived there.

Read his submitted testimony here: https://bit.ly/4kXtdII
See the recording of the full hearing here: https://house.mo.gov/MediaCenter.aspx

Testimony: The Show-Me Sports Investment Act and Senate Bill 3 on Property Tax Adjustments

On June 10, Show-Me Institute Senior Fellow Patrick Tuohey and Director of Municipal Policy David Stokes submitted testimony to the Missouri House Economic Development Committee. Tuohey addressed the Show-Me Sports Investment Act and stadium subsidies, while Stokes focused on Senate Bill 3 and proposed property tax adjustments.

Click here to read testimony on the Show-Me Sports Investment Act.

Click here to read testimony on Senate Bill 3 and property tax adjustments.

Watch Patrick Tuohey’s Testimony

Watch David Stokes’ Testimony

The Wrong Direction on Tax Policy

A version of this commentary appeared in the St. Louis Post-Dispatch.

Taxes are going down, right? That’s a good thing, right? My answers are “yes,” and a hesitant “maybe?”

I like low taxes, but I like low taxes evenly spread out for everyone. How we tax is almost as important as how much we tax. Whether they are income, property, or sales taxes, and whether they are at the national, state, or local government level, too often lately we are cutting taxes for some people in some instances for some things. These highly targeted cuts might work out overall, but often they are done because they make good politics, not good public policy. Taxes should be broadly based for several reasons, including fairness, certainty, and administrative ease. This is the opposite of what is happening.

Congress seems likely to pass changes to federal income tax rules that would exempt income from tips and overtime from taxation. This is absurd. The airport skycap who works a 50-hour week should be admired for his hard work, but his tax treatment should not be any different from that of the woman processing tickets behind the airline counter for 40 hours per week. This proposal treats things that are, essentially the same—regular, tipped, and overtime wages—as entirely different things for taxes. That’s a dangerous road to travel.

Staying in the same realm, one of the most hotly contested items in the ongoing federal tax debate is whether to raise the state and local tax (SALT) deduction. Currently, the SALT cap is $10,000 per household. This means that you can deduct state income taxes, local property taxes, etc., up to $10,000 from your federal income taxes. Currently, congressmen from higher-tax states are fighting to significantly increase the SALT deduction cap. The latest number is $40,000. That means that high-tax states would be able to continue increasing taxes knowing that their taxpayers would in part be subsidized by other federal taxpayers. California (or any high-tax state) would get to keep the tax money, and Missouri taxpayers would get to subsidize California taxes. This is preposterous.

The same things are happening locally in Missouri. A few years ago, legislation was passed allowing counties to freeze the property taxes of senior citizens. Scores of counties in Missouri have since done so. As a result, the wealthiest sector of the population gets its property taxes frozen upon turning 62. Younger families working and raising kids will see their taxes continue to rise, and those taxes will almost certainly rise more than they otherwise would have without the senior tax freeze. This is insane.

Another example includes Missouri’s sales tax rules. The legislature passed a law removing sales taxes from diapers and feminine hygiene products. We can all sympathize with the aim here. But adding more products to the sales tax exemption list will increase pressure to raise sales tax rates (or institute entirely new sales taxes) on the other products that are still taxed. Your diapers will have cost less due to reduced taxes, but your infant’s clothes will cost a little more with the new sales taxes on them.

Each of these targeted tax changes will have unseen, harmful effects. High-tax states will continue to get away with tax increases if the SALT deduction is raised. More workers will see their pay come via high-pressure “tips” instead of typical wages. Seniors will avoid beneficial downsizing simply for tax purposes. As fewer goods are subject to regular sales taxes, new special taxing district sales taxes will be added onto everything else. These targeted taxes will likely succeed for purposes of short-term politics, but they are going to fail by any longer-term fiscal measure.

Is there anything going right with tax policy? Sure. Keeping the federal tax rates from rising by passing those parts of the “big, beautiful bill” will benefit everyone, although the entire plan needs further spending cuts. In Missouri, the state income tax rate has been steadily coming down for everyone over the past decade as revenue targets are hit. Finally, the sales tax base has been broadened by taxing online sales and legal marijuana in the past few years. All of those moves are consistent with good tax policy.

If you are a wealthy California homeowner over 62 who still works for tips on overtime while buying diapers online for your Missouri grandkids, you may benefit from all of these changes. But if you are like most people you will benefit from maybe one while being hurt by the others. Of course, the one you benefit from will be clear and obvious, while the multiple ways you are harmed will be small and harder to detect. You will think you’re a winner in this game of tax politics. But in reality, you won’t be, and neither will the government’s fiscal condition.

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