Religious organisations are classified as 'charities' in Australia, whether they engage in charitable works or not. This means they are automatically tax-exempt, in both their religious and commercial activities. Is it possible that the revenue of the tax-exempt churches that stand behind religiously based schools, together with the revenue of these tax-exempt schools, is more than enough to fund them?
Provisions in the recently adopted Fijian Constitution are an excellent model for incorporating both equality and freedom when it comes to establishing state-belief separation.