Today, the sphere of additional education for children is undergoing modernization processes, which, on the one hand, provide wider access to budget funds for private organizations and expand the individual capabilities of children, and on the other hand, are perceived by state organizations as restrictive measures aimed at withdrawing traditional funding. The processes of tightening the requirements and the development of supervision and control institutions in the originally liberal system of additional education for children are becoming noticeable. The purpose of the study is to identify qualitative trends in further development of the competitive environment and to propose optimal measures for neutralizing the negative effects hindering the development of the free market for educational services using empirical materials from the examination and analysis of the modernization progress in specific regions of the Russian Federation. The main methods include a full-scale assessment of the activities of organizational and managerial structures at the regional level with partial interviewing of the implementing subjects of the Target Model for the Development of Regional Systems of Continuing Education for Children, along with a high-quality examination of the documents adopted at the regional level. As a result of the study, it was possible to establish contradictions in the operations of educational systems at the municipal level, which indirectly result in unequal access to public funds for educational service providers, thereby limiting competition. As a result, a set of specific measures and changes in the regulatory framework is proposed to eliminate these contradictions. Further research prospects may be associated with a re-examination of the processes of modernization of regional systems of additional education for children, aimed at fixing established management models and assessing their effectiveness in terms of the private sector involvement, its legalization and institutional influence.
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