It's a societal issue:
1. Teachers unions are out to benefit the teachers, regardless of impact on the students.
2. Students are not motivated to learn. Why should they? They are taught the world owes them a living.
3. Parents are not involved in their kids' educations. They are not motivated to see their children succeed. There are many reasons for this, from broken homes to drug addictions and back.
Three legs to a stool, and all three contribute to the problem. Teachers blame the kids, kids blame the parents, and parents blame the teachers, but in the end, society as a whole is to blame. At one time, the immigrants who built this country insisted their children get educated so they could have a better life than the first ones off the boat. Now, not so much. At one time, a kid didn't have much of anything to call his/her own, especially not high-cost toys and clothes. What they had, they earned by doing extra chores or taking on a part time job when they were old enough. Now, not so much. At one time, kids were expected to grow up quickly, to become contributors to society. Now, not so much. Watch what happens when kids are home schooled. Some would love to make "home schooled" an insult or a punchline, but they can't, because usually home schooled kids run rings around government schooled kids. The difference is, they have engaged parents and motivation to learn.
The bottom line remains, we can't throw enough money at the problem, because the root of the problem is not money related. The rot lies in the heart and soul of society. PC fads don't work. Fancy campuses don't work.