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This study investigates how an extensive form of decentralisation corresponds with schools’ discipline and ethical environment. It analyses teacher interviews from faith-based, autonomous schools in a U.S. state that has devolved power and authority for decision-making to parents and other independent ‘agents’. It follows Foucault’s use of the metaphor of the panopticon and adopts his power analysis to examine the nature of parental control and its influence on disciplinary and ethical practices. Findings suggest that these autonomous schools are driven by a ‘mini-public’ ideology that constrains educators’ autonomy and generates particular disciplinary norms; entangling ethical, educational, and social ramifications, including teacher resistance and teacher demoralisation. Implications for policy, including potential collaboration with organizations are discussed in this context of control.