People are fine with them being "in" to get taxpayer money.
Quite simply, I think there should be a minimum standard for state money, and if is not met, that yeshiva should get $0.
Personally, I disagree with the entire system of public schooling. Why is this over bloated form of welfare available to everyone?
If someone can't afford an education, then at most there should be a tuition credit available and will vary based on income.
This tuition credit will only be able to be used at schools at that meet a certain standard. Public schooling is way too expensive per child and has a terrible track record of education.