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Principals say rapid PSEO growth strains high schools financially and erodes local course offerings; propose caps and shared solutions
Summary
Principals from rural and small Minnesota high schools told the House Education Policy Committee on Jan. 22, 2025, that rapid growth in PSEO enrollment — especially online courses — is shifting funding away from home high schools and undermining local advanced-course offerings.
Elementary and secondary principals from Greater Minnesota told the House Education Policy Committee on Jan. 22, 2025, that a surge in Post-Secondary Enrollment Options (PSEO) — particularly online courses — is creating financial pressure and reducing local advanced-course offerings.
Aaron Nelson, principal of Pequot Lake Schools, said PSEO enrollment across his district cluster rose from 182 students in fall 2022 to 232 in fall 2024, with projections of more than 250 for spring 2025. "This represents over 15% of our student populations," Nelson said, and he estimated the growth produced roughly $500,000 in lost funding to his high school for a single semester.
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