Paul Horton, history teacher at the University of Chicago Lab School, has written a powerful essay explaining why the free-market is an inappropriate model for school reform.
He writes about the history of “neoliberalism” and the free market reforms it encouraged:
Though the newly formed Carter administration’s Department of Education refused to grant federal money to parochial schools because it feared that vouchers would only further encourage rapid white flight from desegregating public schools, especially in the South, the nascent religious right began to organize around the issue of vouchers. Richard Viguerie famously energized the Moral Majority around such related wedge issues desegregation, vouchers for religious schools, and “family values.”
Not surprisingly, market ideas about education were embraced by a Reagan administration that rode the wave of the “Moral Majority” and “the southern strategy” pioneered by George Wallace and Richard Nixon to victory in 1980. Initially supporting a policy of education decentralization and local control, the Reagan Education Department shifted to supporting standardized testing following the publication of the 1983 Nation at Risk report that portrayed public education in the United States as rapidly deteriorating.
In fact, however, the 70s push to integrate schools had resulted in the highest gains to date achieved in closing the achievement gap between African American and Latinos and whites. But the Nation at Risk report focused on declining ACT and SAT test scores and the threat to economic development and national security that would result from a decline of American education. Corporate and Reagan administration leaders like William Bennett sought to use the Nation at Risk report to push a Sputnik like response in a national education program that emphasized national standardized curricula and tests, vouchers, and merit pay.
Clearly, the Reagan administration proposed Friedmanesque market solutions in legislation, but congress did not buy in. But Reagan’s second Secretary of Education, Bennett, created the model for Federal education policy that is pretty much followed today by the Obama administration: Federally supported standardized testing, support for charter schools, data driven teacher assessments, and merit pay. Under George W. Bush’s No Child Left Behind Act these ideas were institutionalized and supported famously by a coalition of liberals led by senator Edward Kennedy and Republican senators and governors who demanded an end to the “liberal racism” of low expectations.
President Obama has embraced all of these ideas and added his support with Secretary Duncan’s “Race to the Top” that also incentivizes state support for charter schools and state adoption of the Common Core Curriculum that attempts to build a foundation for linguistic and mathematical literacy. (Valerie Strauss, “Ronald Reagan’s Impact on Education Today,” Washington Post, 2-6-11) Obama, however, has stopped short of endorsing vouchers even though vouchers would accelerate the growth of charter schools.
Horton points out that the major mainstream media has swallowed the free-market reforms: The New York Times, the Washington Post, the Wall Street Journal. Anything called “reform,” no matter how noxious, is supported by them.
Furthermore, financiers have become enthusiastic supporters of the profit making possibilities of privatization:
Here in Chicago, for example, President Obama’s best friend, Martin Nesbitt, has started a venture capital firm called the Vistria Group that promises to create portfolios for investment in charter schools. Not surprisingly, he and many of the members of Chicago’s Commercial Club (known to locals as the “billionaire’s club), including Commerce Secretary Penny Pritzker, and current Republican governor Bruce Rauner are very enthusiastic about charter school investment based only their experience in organizing and operating the Noble Charter chain. Another of Chicago’s wealthiest families, the Crowns, who own controlling interest in the Chicago Bulls and the Empire State Building, actively invest in charter school “portfolios.” (Google “Crown Foundation”).
In portfolio managed schools like the Noble Charter Schools, the emphasis in teaching and learning is on “practices and discourses of test preparation, including regular test practice, routinized and formulaic instruction, emphasis on discrete (tested) skills, substitution for test prep materials for regular texts, and differential attention to students based on their likelihood of passing high stakes tests,” according to sociologist Pauline Lipman in her book, The New Political Economy of Urban Education. (128)
My teacher informants who decided that they could no longer teach at the Noble Charter schools confirm the above description and insist, “the stress is on rote learning to increase scores and not on what could be called deeper levels of learning. The Noble Charters are not looking for creative teachers, they are looking for teachers who will simply read from a script.”
The rallying cry of the neoliberals is “choice” but for most parents, “choice” is not real. The schools choose, the parents don’t.
Why are the powerful so interested in promoting privatization?
The pressure to require choice that discourages meaningful political change is more often than not top down: reformers like Gates supply funds for astroturf organizing in favor of school choice and hedge fund managers fund “reform” front groups like Democrats for Education Reform and staff them with successful African American strivers who are true believers.
The prominence of education choice ideology is primarily the product of the demands made on politicians by the wealthy. A private equity manager told Chrystia Freedland, author of Plutocrats: The Rise of the New Global Rich and the Fall of Everyone Else, about a heated exchange between a leading Democrat and a hedge fund manager: “Screw you,” he told the lawmaker. “Even if you change the legislation the government won’t get a single penny more from me in taxes. I’ll put my money in a foundation and spend it on good causes. My money isn’t going to be wasted in your deficit sinkhole.”
Foundations that funnel large sums of investment into promoting market “reforms” in education provide both a tax benefit to the wealthy and create emerging markets for investment in stocks that the wealthy are betting on.
Neoliberal education reform is thus pushed by the work of foundations that cater to the whims of millionaires and billionaires, and they are having their way. Many of the presidential appointees to Arne Duncan’s Department of Education were former employees of the Bill and Melinda Gates Foundation, most prominently James Shelton III and Joanne Weiss. Large numbers of representatives from the Broad Foundation that trained Secretary Duncan as an administrator were present at meetings to determine how education policy could best benefit from the proposed American Recovery Act. Silicon Valley executives and Wall Street brokers who want a piece of the emerging privatized education market are gung-ho on heavy charter school and STEM programs for schools. And Pearson Education has done its best to corner every sector of the emerging education marketplace while managing to avoid having to write competitive impact statements when winking at a friendly Justice Department that has been told by Mr. Gates and Mr. Duncan that “scaling up” and standardizing will introduce more market efficiencies and will lead to the greater economic good, the Chicago Law and Economics mantra.
Horton cites several books that demonstrate the superiority of public schools over charter schools. But no one in the Obama administration is listening.
Sheryll Cashin, professor of law at Georgetown, in her well-reviewed recent book, Place not Race: A New Vision of Opportunity in America agrees, and argues that Obama education policy has “failed.” She insists that public and charter schools do not overcome the neighborhood effects that Milton Friedman said they would. “I call it undertow. A child surrounded by poverty is not exposed to other kids with big dreams and a realistic understanding of how working hard in school will translate into success years later.” (31)
A more recent longitudinal peer reviewed study supports Cashin’s point. Sponsored by the Russell Sage Foundation, The Long Shadow: Family Background, Disadvantaged Urban Youth and the Transition to Adulthood, argues that resources in African American neighborhoods do not match resources available in blue collar white neighborhoods, especially when it comes to mentorship and networking that will match 14 and 15 year olds with job prospects. The authors of the Long Shadow Report argue that impoverished schools need more supports and that the country’s leaders need to restart a serious discussion about integration that goes beyond the selective enrollment and magnet school approaches. (http://releases.jhu.edu/2014/06/02/how-the-long-shadow-of-an-inner-city-childhood-affects-adult-success/)
The fact that our political leaders refuse to promote policies that would integrate schools beyond race and class lines, or as Ms. Cashin says by “place not race,” is the most profound indictment of the market approach to education.
This critique is echoed by Economist Ha-Joon Chang of the University of Cambridge who argues that the pure market approach of neoliberals is shortsighted because “they use rules of thumb (heuristics) to focus on a small number of possible moves, in order to reduce the number of scenarios that need to be analysed, even though the excluded moves may have brought better results.” (23 Things They Don’t Tell You About Capitalism, 175)
Chang also has doubts about the idea that increasing test scores will lead to higher rates of productivity or more wealth for the United States, “Education is valuable, but the main value is not in raising productivity. It lies in its ability to help us develop our potentials and live a more fulfilling and independent life…the link between education and productivity is rather tenuous and complicated.” (189)
Horton adds that the privatizers refuse to admit that their ideas have failed. Instead, they step up their efforts to test more, privatize more, as we now see in frenzied efforts to copy New Orleans, Tennessee’s Achievement School District, and incessant testing. Market reform has failed, but its sponsors refuse to see the results of their policies.
The biggest problem with the education privatizers is that they have no sense of limits. They have invested a great deal of capital in ideas that do not work as well as they had hoped. They do not want to think that they are throwing good money after negative results, so they are manipulating the levers of power and the national press to create the impression that their efforts still have potential.
The big question at this juncture somewhat desperately becomes, when will they simply accept their losses? As usual, philosopher and poet Wendell Berry offers us sage advice on the issue of education privatization or anything else:
“The danger of the ideal of competition is that it neither proposes nor implies any limits. It proposes simply to lower costs at any cost, and to raise profits at any cost. It does not hesitate at the destruction of the life of a family or the life of a community. It pits neighbor against neighbor as readily as it pits buyer against seller. Every transaction is meant to involve a winner or a loser. And for this reason the human economy is pitted without limit against nature. For in the unlimited competition of neighbor and neighbor, buyer and seller, all available means must be used; none may be spared.” (What are People For?, 131)”
Opting out of standardized testing for many thus is a very “rational choice” to combat the irrationality of the market “reform” of education in the United States. Opting out of irrational, profit-driven “education reform” is rather simply a measure of the persistence of sanity within a society that instinctively resists the slimy tentacles of plutocracy.

The shopping mall theory of society just does not work. Some people will never get that.
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It works fabulously for the ones who are selling it.
They get it all right.
And they want to get more.
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Friedmungology always works
Like a flesh-eating virus works,
Killing its host
Or damn near almost
Then schmoozing away —
Another day, another prey.
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Thanks Diane for posting this excellent article which gives the economic theory and history of the disassembling of public schools.
The privileged Austrians, Von Hayek and Von Mises, who influenced the free market thinking picked up by the Chicago School, and Ayn Rand, Stigler, Friedman, etc, and sold to Congress by Greenspan/Geithner/Paulson/Summers/Rubin/Clinton/Bush/Obama, etc, have brought us to today.
Nobelist economist Modigliani theorized that people save money to live on in their old age and to not be a burden to their children nor to their government. Today we see how the FREE MARKET dealt the death blow to these hard working elders in America (with unindicted banksters use of credit default swaps, derivatives, CDOs, bundling, false reports by Moody’s) who assiduously saved to care for themselves at the end of their ability to work. These elders are the new poverty class. And ZERO interest on their savings has drowned them. But we have more billionaires in the US today than ever in our history.
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” the wave of the “Moral Majority” and “the southern strategy” pioneered by George Wallace and Richard Nixon to victory in 1980.” this was in the New York Times about 2 weeks ago and it described how Nixon had to “de-racialize” the themes of George and Lurleen Wallace in order to build a platform for the party that would carry…. Rick Perlstein also describes these incidents…. Horton seems to develop the themes that are in two or more of the Perlstein books and I love to read these descriptions of history — things that I lived through but had experiences without the words to describe (such as Perlstein conveys) or Horton pulling it all together from the separate themes … These “waves” washed over us … I remember in college the era of Sputnik my physics professor would scold us “learn physics or learn russian” and then we re-experienced the same drive of paranoia to build the military budgets and the “hard sciences” in Nation at Risk (the theme was quite obvious “beatthejaps” and there were jokes about the little Japanese girl in school etc)…. some of those jokes were tiresome and tedious even back then…. but the fear mongering and build up of military continues with this “STEM” and “coding” that is why I get so furious when association of U. Women sends out propaganda to push more girls into stem…. all of this gets carried away into extreme views (rather than moderation). Thanks to Horton for describing what has been happening in education specifically
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Jan Resseger has an article today that parallels this Horton article… https://janresseger.wordpress.com/2015/10/05/arne-duncans-misguided-policies/
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“What Are People For?” was published in 1990, btw.”…there is finally the pride of thinking oneself without teachers. The teachers are everywhere. hat is wanted is a learner.” ibid.
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A very good essay! It should be read by everyone on the right and left. It perfectly captures the “test prep” mentality of nearly all Charter networks.
The racism inherent in those networks is appalling. Rather than helping students prepare for college and careers, it is training them as cogs, for low-level jobs. One can argue it’s not education at all. The drill-and-kill, rote learning, and regimentation makes it more like an army bootcamp or re-education or socialization of prison inmates. No wealthy person in this country would want his/her children in a program like Success Academies. Can’t we then do better for students of poverty?
Choice and free market solutions don’t obviate the above, and they’re fake arguments besides. It’s never a free market when the government steps in a takes taxpayer money and redistributes it, through vouchers or otherwise. People in poor neighborhoods don’t have better opportunities just because they get a voucher. For rich people, it’s a subsidy. And for everyone this kind of government re-distribution breeds corruption and crony capitalism. (We need look no further than the states of Ohio and Florida for examples.) If it’s a public good, it should be adequately funded and provided through public agencies with sufficient oversight and a good amount of local control. The latter, local control, is a deeply conservative idea that must prevail over “free market”.
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There’s no such thing as a “free market”, period. The rules of the market are always determined by the government. It can be no other way.
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Dienne: “No such thing as a free market”……………. the book “Waking the Frog” explains this quite well (and why we cannot rely on “market” to do anything about climate change)
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The FREE MARKET is actually the ‘manipulated’ market. it is directed by those at the top of industry and government, and maneuvered by the traders, who actually MAKE the market.
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It’s a shame, though, because “markets” were never intended to run the whole show. People are supposed to be using markets, not the other way around. They were never intended to be sold as akin to gravity or something- a force we all must bend to. It’s not even remotely true either- government and other large actors take actions that create these “market” conditions, especially when we’re talking about privatizing what was a public sector entity.
It’s a declaration of “market principles” that isn’t even true as far as “market principles” go.
Is it “markets” opening more charter schools in Ohio or is it the Obama Administration and the Kasich Administration funding expansion of those schools over other schools? Obviously it isn’t pure “markets” because they both admitted that their goal is to drive out “bad” charter schools by opening more “good” charter schools. That’s government creating a market condition. It’s not “free” anything.
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Trying to create an education that appeals to billionaires is misguided and flawed. The government is supposed to work for its citizens, not just billionaires. The federal government’s role in education should focus on issues of equity. How teachers teach, and how students are evaluated is not the responsibility of the federal government. They should be actively involved in integrating public schools because this is the more cost effective way to address poverty in schools. I have seen the positive impact of integration on my ELLS. It has the potential to enable students to escape the cycle of poverty.
Economists are not educators. They should work on the economy to address income inequality in our country. Teachers should teach, and economists should work to improve the economy. Economist should stay in their own lane as they have much work to do. The notion of “scaling up” is as idiotic as “trickle down.” Scaling up is not going to address the negative impact that the global economy has had on our country. Scaling up is not a job creator. Getting students well prepared for unemployment is not a national goal. America needs good paying, stable jobs for its citizens, and this will address issues of poverty better than anything. Privatization has the reverse effect. It is is always looking to lower the bottom line, and the welfare and needs of students are secondary. Schools are more than the supply chain to the economy. They are communities; they are local control; they are democracy in action.http://www.projectcensored.org/privatization-of-free-market-industry-costs-billions-more-than-public-services/
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Sorry: How teachers teach, and howe students are evaluated are…
Economists should… Editing on the fly.
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Choices.
From the perspective of the free market fundamentalists that dominate the “thoughts” of the corporate education reform movement, who makes them?
I am not making a new point but slightly rewording what others have expressed. A family makes a medical decision. It involves a three or four or five year old child. Who gets to make the choice? Do the mother and father have equal decision making power, or can they be vetoed by their child? Can the child make choices that go against the parents’ wishes? To paraphrase the “thought leaders” of the self-proclaimed “education reform” movement and their predecessors, so well illustrated by George Orwell’s ANIMAL FARM: Some choicesters have more choice than others.
Depending on the needs of the moment [i.e., whether it serves their egos and garners $tudent $ucce$$], the rheephormistas will variously invoke images of the family, authoritative or authoritarian or compassionate or abusive. So when outgoing Sec. of Ed. Arne Duncan actually spoke his mind by letting loose with his “white suburban moms” comments, he was just voicing what he and the other heavyweights and enforcers and enablers of the “new civil rights movement of our time” believe quite deeply is their true role:
Our daddy and mommy. Folks like him give (or take away from) us those choices that are appropriate and necessary and in line with THEIR values and aspirations.
From their POV, as the equivalents of underdeveloped and immature tykes, it would be both immoral and reprehensible to leave educational choices up to us aka the vast majority of the population.
Dictators and despots through the ages have proclaimed themselves the stern but loving parents that needed to administer the bitter medicine they were dishing out.
Of course, for almost everyone else, that medicine was poison.
Rheephorm Speak has been with us a long long time.
That’s how I see it…
😎
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Working people should get ready to take another hit from the President and Congress:
Looks like Obama has his trade deal.
How low can US wages go, do you think? Stagnant or dropping for a decade wasn’t enough for them, I guess. They want to drive them still lower.
I feel sorry for younger people. I’m ashamed of what my generation left them- nothing that lasts.
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These trade deals are a lot like the ‘treaties” with the Native Americans.
They’re still screwing the Americans. It’s just that now they are not singling out the natives but screwing everyone (except those at the top, of course.)
So I guess they are making progress. 🙂
Chief Joseph weighs in on the treaty
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We, who have been fighting against TPP for the past year, are now told how wonderful it will be for American jobs.
Obama used snake oil, smoke and mirrors, and probably more underhanded ways to get this passed by an unfriendly Congress. It is one more death knell for US workers. Now, not only China and other Asian countries will outbid us, but all the Latin and So. Americans will also be in on lowering the quality of life for American workers.
Thanks to Obama for TPP, and Clinton for NAFTA and GATT, America is now a bona fide Third World country. Let’s now turn all public libraries, and maybe public schools too, into “poor houses” for poverty stricken workers.
So much for the Dems….we are a one party nation…the Oligarch Party.
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Economic reasoning, while perfectly valid, is not a formula for public policy. Policy is about what you intend to do. Economics describes the climate in which you must do it. “National policy” dictated from top down by government officials educates no one. The policy that this nation adopted from its inception was to publicly fund public schools to serve all equally, so that the poor were not excluded.
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Keysians work from the bottom up in their reasoning. The Austrian School and the Chicago School works from the top down. It is stimulus v .austerity.
Although, when the economy tanked in 2007, it looked as though Obama would come through in 2008 and provide stimulus ala FDR job creation, with public works projects set up to rebuild our infra structure….instead, he did much damage by fostering the plan to protect the ultra wealthy, that FICA protect the banksters risks by insuring their frauds with our public money. He assigned, with the support of Congress, to ‘banks too big to fail’ multi millions/billions of taxpayer dollars supposedly for stimulus, which these same banks used to buy up smaller banks about to fail, and use them as tax write offs for their own profits…like sharks swallowing up smaller fish. Then he allowed these same banksters to keep the excess of most of our forced donated tax funding (which we had no say in doing), supposedly in a stimulus move, but which is an ongoing boon to these banksters in that they get the float on our multi millions which should have been returned to our treasury for the benefit of We, the People, not of Blankfein, Rubin, et al, who run Goldman Sachs and Citigroup.
And yet, we did not see the DoJ, and former Wall Streeter Obama appointment, Eric Holder, indict anyone, not even Jamie Dimon who has been shown to have directly defrauded with his HSBC. And not with the BoA, nor other execs who, with knowledge and forethought, allowed all the frauds in mortgages leading to the economic collapse in the US and world wide. This started in the Bush administration and flourished with Obama. They are in the same party, the Oligarchs.
Yet an inner city kid caught smoking a joint is immediately sent to free market prison. Is this a democracy?
We live in a 1% world of such excess it is mind boggling, as 13,000 homeless children at LAUSD starve on the sidewalk of Skid Row.
And with government as the prime enemy of the people, colluding with these corporate bums, it is fascism.
We can only revolt if we decide that we are willing for our own military to murder us (rather like Egypt and Syria)…and with exposure to the new heat weapons that Obama’s group devised to burn and scatter protestors. We can never have another Occupy movement without massive casualties. The Dems and Reps, who represent only the Oligarchs, have seen to it.
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error…sorry, meant FDIC, not FICA…though if all the millionaires and billionaires paid a fair share to FICA of their huge incomes (we all pay about 15%), and not only based on up to $180,000 of income, Social Security would be safe in perpetuity.
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Ellen,
Yes, one is punished for not making a “rational choice.” The market is the perfect machine. The Grand Inquisitor decides who or what is rational…….
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Actually, Paul, this economic disaster from which we are still reeling, started with Bill Clinton and his collusion with the deregulators, Summers, Rubin, and Phil Gramm, to kill off Glass Steagall in favor of the Gramm, Bliley, Leach legislation. Derivatives are pure gambling…quoting FDR.
And of course, Ronnie Reagan who started the pathway to do away with unions.
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When money supplants people in importance
“Something is rotten in the state of Denmark”.
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It ain’t the gouda….
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And now we know why so many of the elites children attend the U of C Lab School instead of the public schools….
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The latest target for entrepreneurs in education is the “private school sector” for low-and middle- income families. There are several reasons for this attraction. One is the public subsidy for private schools available through vouchers, scholarships, or tax credits in 29 states. Another attraction is the relative success of the “public school” charter industry in gathering investors and securing political backing for (subsidized) market-based education. A third lure is the prospect of reversing closures of urban Catholic schools where K-12 enrollment in the past decade has fallen by 20 percent. Catholic schools participating in voucher programs have lowered their tuition rates in order to survive.
Vouchers and variants (e.g., education savings accounts or individual tax credit/deductions, or tax credit scholarships) enable public funds to flow to private schools, including religious schools. The Friedman Foundation for Educational Choice has a database of 58 of these voucher-like programs. In Ohio, over 400 private schools, most of these parochial, can receive vouchers. The Friedman database shows that vouchers, and voucher-like schemes, offer about $4,000 to $7,000 per student, with $5369 the average benefit. Special education vouchers can be as high as $13, 900 and rise to $19, 790 for students with autism. States have different eligibility rules. These influence rates of participation and the funds actually used. The Friedman Foundation envisions an enlarged “market” for private school choice financed with voucher-like public subsidies, ideally with 100% participation now available in Nevada for all public school students.
Networks of private schools for low-income families in urban centers are not yet abundant, but promoters seek lessons from the “public-school” charter industry. They are focusing on the economies of scale that can be achieved by standardized operations in multiple schools. They also see the need to recruit entrepreneurs and provide them with scale-up funding and oversight.
This will be the approach to private school choice of the newly formed Drexel Fund, a 501(c)3 venture philanthropy formed in July, 2015. The Fund will “seek partners in the growth of high-quality, financially sustainable networks of faith-based and other private schools“ in six states that provide the most advantageous environment for expansion: Arizona, Florida, Indiana, Louisiana, Ohio, and Wisconsin.” All of these states have robust voucher-like programs, tax-credit/deductions, or scholarships for private school choice.
Applicants that meet Drexel’s criteria for scaling up their operations will become part of Drexel’s “portfolio.” For its initial work, the Drexel Fund is raising $85 million “to support the creation of 50,000 high-quality, private school seats. Funding will be available to support the development and implementation of multi-year growth plans for new and existing networks of high-performing schools that serve low- and middle-income students.” The eligibility of middle-income families is a noteworthy feature of this plan with implications beyond the scope of this post.
“While the Drexel Fund anticipates making a significant investment in its portfolio members, it does not expect to be the sole funder and will look to partner with local funders sourced by the applicant.” “On average, no more than 15% of a school or network’s budget, at scale, should be met by philanthropy.” In other words, schools and networks in the Drexel Fund portfolio should be largely self-supporting.
“Portfolio members” will benefit from the efficiencies gained by the expertise of staff from the Drexel Fund who will monitor the performance of the network, attend board meetings, review annual milestones, suggest operational changes, and the like. A 501(c)3 venture philanthropy fund invests in nonprofit organizations in order to build and sustain their cost-effectiveness. Investors get a tax deduction for contributing the fund, but no income or profit other than a “social benefit.” In this case, the presumed benefit is privatized education on a larger scale with a strong focus on “faith-based schools,” especially Catholic schools in (mostly) low-income communities. More at http://drexelfund.org/
Two charter-like networks are examples. The first Cristo Rey Jesuit college prep high school was founded in 1996 to serve low-income students in Chicago. By 2015, thirty Cristo Rey schools operated in 19 states and DC. The schools serve over 10,000 students. In addition to academic studies, students participate in a Corporate Work Study Program five full days a month. Each school depends on revenues from the work-study program to meet operating expenses. Students are formally trained to do clerical work in law firms, banks, hospitals, universities, and other professional settings.
Students (who must be age 14 or older) are employees of the Work Study Program. The program is operated as an agent for employee leasing. The program handles all payroll, W-4, I-9, Workers’ Compensation, FICA, FUTA and related issues for the students. The fee charged to the company is deducted as a business expense, not a donation. The Corporate Client hires students who work in job-sharing teams of four Monday through Friday, 9 a.m.-5 p.m., during the 11 month school-year. Schedules ensure that students are available to work without missing academic classes.
With the help of 24 national university partners and 22 supporting university partners, the Network hopes to have 20,000 alumni by 2020 and achieve a college completion goal of 70%–about the same rate as students from advantaged backgrounds. Cristo Rey schools have admission requirements. They offer a common curriculum and end of course assessments aligned to ACT College Readiness Standards and designed to improve the college readiness and ACT performance of students.
At the local level, a “network” for six historically important Catholic schools in New York City serves as another example and shows the influence of the charter school franchising. About twenty foundations and 50 wealthy individuals support The Partnership for Inner City Education (PICE). Established in 2013, PICE operates much like a charter management organization with an 11-year contract and some oversight by the Archdiocese of New York.
The Chief Operating Officer of PICE had a similar role in setting up the Achievement First charter network. The six schools in PICE, like Achievement First schools, require daily exercises or quizzes in all academic subjects and have a uniform curriculum ”with every student in every school learning the same content at the same time.” Much of the curriculum is provided by in a digital format by Amplify and delivered on Chromebooks. Teachers have been trained to use Doug Lemov’s no non-nonsense method of instruction. Unlike most charter schools without unions, the Archdiocese negotiates contracts with The Federation of Catholic Teachers.
Per-pupil expenditures are around $8,000. The maximum tuition is $4, 500. Every student must be supported by an additional $3, 500 (about two-thirds of students of receive scholarships). The back-to-basics focus and no non-nonsense ethos are viewed as compatible with the Catholic tradition.
Although the Drexel Fund is not restricting its portfolio to Catholic schools, key personnel have been active in Catholic education.
Partners and Co-founders of the fund, John Eriksen, served as Catholic school superintendent in Paterson, New Jersey, is a graduate of Notre Dame University and Harvard Kennedy School with “significant experience in management consulting and investment management,” Rob Birdsell helped Cristo Rey schools become a national Network and led the national expansion of the Accelerate Institute (originally the Inner-City Teaching Corps).
Abigail Schumwinger, Investment Director, was program officer for the Walton Family Foundation’s strategy “to grow high performing private school networks serving low income students in publicly funded private school choice.” She was in that role for seven years and was the Walton Foundation representative in Milwaukee immediately prior to start work for the Drexel Fund. Abigail taught first grade for two years as part of the Inner-City Teaching Corps.
Jane Brown, Director of Operations, served for 18 years as a CFO for a network of K-12 Catholic Schools. She has worked as an international banker on Wall Street and spent six years as lobbyist for non-profit corporations.
Board member BJ Cassin is Founder of the Cassin Educational Initiative Foundation (CEIF). CEIF provided start-up funds for 16 Cristo Rey High Schools and 37 Nativity Miguel Middle Schools in economically challenged communities. He has served on the Board of Trustees for Saint Mary’s College of California.
Board member Thomas J. Healey is a Senior Fellow at Harvard University’s John F. Kennedy School of Government. He chaired the investment committees for the Rockefeller Foundation and Georgetown University. More at http://drexelfund.org/
Managers of the Drexel Fund are pursuing rapid growth in charter-like networks, each with a minimum of four schools with a good start on being financially self-sufficient. It remains to be seen if there is a market for networks of private schools that may be only marginally different from charter and religious schools. In any case, the schools in the Drexel Fund portfolio will be free to choose the students who attend them. unlike public schools.
Although the Drexel Fund is clearly interested in saving and propagating Catholic schools there is no reason to exclude other religious schools from scaling up and seeking any benefits from private managers who will seek efficiencies while pleasing customers.
In any case, the civic purposes of public education are largely out of the mindscapes of entrepreneurs who focus on unexploited educational markets with the least regulation. Many entrepreneurs also hope for this national policy: Public “money follows the student” with few strings attached.
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Excellent report Laura…thank you.
Watch the Drexel Fund. This Wall Street blend of both secular private schools and religious private schools is a whole new chapter in investment funding. Read Tilson Foundation reports on this and other emerging markets in education.
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Will do thanks.
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Sent from my iPad
>
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