Archives for category: Corporate Reformers

Corporate reformers love the idea of creative disruption. They think that closing schools and opening schools is a bold, innovative stroke.

It’s never their own children who lose their school.

It’s never their own community.

They never ask those involved, because when they do, the people say a loud “No.”

People have many reasons to care about a community school, not just its test scores.

But corporate reformers would like everyone to shop for their school the way they shop for shoes, with no loyalty, no ties, no community.

They think that’s progress. But not for their children. For other people’s children.

A reader writes:

I think one way to counter the fast march to privatization might be to talk about stability.One thing that is important to parents and students, I would think, is stability. People move to certain neighborhoods because they like the schools. If those schools are subject to impulsive decision making processes, instability and even interruption of education could follow. I think our traditional system has been successful in providing some stability for communities. Starting in the 1920s or even before, we built large attractive buildings that were like temples of education. People are loathe to tear down some of these buildings and closing a school is often a heart-wrenching event. Part of what bothers me about charter school businesses is that they can be here today and gone tomorrow. Then a community has build a school from the ground up. Either that or charters take kids from all over a city tearing apart communities, leaving building vulnerable to sale. Getting rid of our education infrastructure seems a grave mistake. Even in our highly mobile society, the presence of schools that are not located in malls and that are run by elected officials and regulated by states can provide a common experience for kids.

It turns out that Stand for Children is not only the guiding organization behind the plan to transfer large numbers of public school students to charter schools, along with $212 million of taxpayers dollars, in Memphis/Shelby County, but it was previously active in promoting the pro-privatization propaganda film “Waiting for ‘Superman'” to parents and the public in Memphis.

As you will see in the link below, John Legend, the singer who is on the board of the Wall Street hedge fund manager group Democrats for Education Reform, funded the showing of this mockumentary to low-income communities. The purpose of the film was to show the failure of public education and the superiority of private management.

A reader sent this link. It shows how Stand on Children set the stage for privatization on a large scale in Memphis.

I recently learned about an amazing new website that shows the commitment of private foundations to charter schools: http://www.erinproject.org/foundation. The website was created by the John and Laura Arnold Foundation. John Arnold is a Texas billionaire who has given a lot of money to Michelle Rhee for her campaign to diminish the teaching profession and privatize public education. The foundation has created a truly astonishing website from which you can learn about funding for charter schools and other initiatives that promote corporate reformers policies. There are a few references to research, but none of the research listings is comprehensive or balanced.

If you are concerned about the creeping privatization of U.S. education, the Arnold Foundation’s list will make you even more concerned. Indeed, it may persuade you that the issue is not “creeping” but “galloping.” In years past, the foundation world devoted its resources to goals that the U.S. Department of Education and other federal agencies neglected. No more, now the federal government and the foundations are on the same page.

If you want to know why so many politicians think so highly of charters, there is a basic rule of  politics that explains it all: Follow the money.

The most visible organization promoting corporate reform is called Democrats for Education Reform, known as DFER (commonly pronounced “D-fer”). DFER is the Wall Street hedge fund managers’ group. It always has a few non-hedge funders on the board, especially one or two prominent African-Americans, to burnish its pretentious claim of leading the civil rights movement of our day. Kevin Chavous, a former council member from Washington, D.C., fills that role for now, along with the DFER stalwart, Cory Booker, the mayor of Newark. DFER has its own member of the U.S. Senate, Senator Michael Bennett of Colorado. It has also raised money generously for Congressman George Miller, the senior Democrat on the House Education and Labor Committee.

This group bankrolls politicians, woos them, raises campaign cash for them, and persuades them of the advantages of turning the children of their district over to privately managed schools. Watch their website to see which politician they favor this month and scan those they have recognized in the past.

In New York City, Hakeem Jeffries, DFERs’s candidate for U.S. Congress, announced his support for tax credits for religious schools on the day after he won the election. His support for charter schools was already well known. Unless there is targeted new funding, support for charters and religious schools comes right out of the budget for public schools, which are already stressed by cuts.

Down in New Orleans, which corporate reformers treat as a model for the nation, there’s trouble.

One of the charter groups, called the Algiers Charter Schools Association, is in hot water with parents. Algiers has eight charters, enrolling over 5,000 students. It recently lost its CEO and hired an interim chief academic officer, Aamir Raza, from New York City to implement changes. Raza is a management consultant (not an educator, needless to say) who had worked for the New York City Department of Education charter office.

Algiers has this problem: Some of its charters are high-flying (a 93-97% pass rate on the state tests) and some do very poorly (a 7% pass rate on the same test). Critics in New Orleans attribute the disparity to a conscious policy by the Algiers leadership to use certain schools as “dumping grounds” for low-performing students so the others look like miracle schools.

Raza, who is on a 90-day contract at $16,000 a month, decided to shake things up. He fired the central office staff and announced his intention to move the principals from the high-performing schools to the low-performing schools. This caused a ruckus.

Parents were furious. They held meetings to express their rage; they did not want to lose their principal, and they were outraged by the lack of transparency of Raza’s decisions.

When the Algiers association held its board meeting, the parents turned out by the hundreds to express their anger. The president of the Algiers Neighborhood Presidents’ Council said, “”I am unfortunately going to advise you that in the opinion of all 16 neighborhood presidents, Mr. Raza exhibited the utmost lack of respect, extreme arrogance and uncompromising demeanor.” Of course, Raza was doing only what he saw school leaders in New York City do for the past ten years, that is, whatever they wanted.

But this time, for once, maybe for the first time ever in charter school history, the voices of the parents were heard. The board backed down. The board put a hold on Raza’s proposal.

Perhaps the most outrageous idea from Raza never got past the memo phase.

A leaked memo from Raza’s office revealed details of a plan to shame the administrators and teachers at one of the lowest performing schools. The head of the Algiers association told a reporter from the New Orleans Times-Picayune that this idea would not be implemented.

But here it is:

“The document, with a heading from Raza’s firm, the Raza Consulting Group, includes a list of suggested motivational methods, including “Order Eisenhower Charter School shirts for all teachers and administrators with Eisenhower Charter School on the back and Grade D on the front.”

“It is recommended that the principal wear the Grade D shirt every day as a reminder to the school staff after enrollment drive is over,” the document continues. “Declare Friday as dress down day only for those teachers and administrators who will wear the D grade shirt.”

Referring to the state-issued school performance scores based largely on standardized test scores, the Raza report also calls to, “Display the school’s current letter grade (as determined by SPS scores) in teacher lounge and all other areas of the school once the enrollment drive is over.”

And it says, “Place the Grade D in large font on top of each internal communication and memos to the school staff.”

Really, you can’t make this stuff up.

This confirms my belief that the corporate reform agenda is not 21st century thinking. It is actually 19th century thinking, taking us back to the days when children were told to wear a dunce cap and sit in the corner. Only now it is the teachers who will wear the dunce cap and a big letter D.

I wonder if Raza, whose group consults for business, has made similar proposals to major corporations to motivate their employees? Can you imagine a corporate headquarters where every employee is required to wear a D on his or her suit?

Joe Nocera, a regular columnist for the New York Times, wrote a column about what can only be described as the legal looting of Burger King.

He describes how one group of financiers bought the company, paid themselves a few hundred million, then sold it to some other Wall Street bunkum artists for a billion, who extracted another billion from the company before selling it to yet another group of investors who had figured out how to milk the company one more time. Every time it changed hands, some smart guys on Wall Street laid off workers, did some fancy footwork with financial instruments, got rich and dumped the company.

I read the books about Enron (The Smartest Guys in the Room and Conspiracy of Fools); I know about Ken Lay and Jeffrey Skilling. I read The Predators’ Ball about Michael Milken and his junk bonds. I read Barbarians at the Gate and Liar’s Poker. I read half a dozen other books about the way that ingenious financiers buy a company, break it into parts, and sell it off for more than they paid, or strip the company of its assets and abandon the shell. I learned about how household names and products disappeared as equity investors descended on their parent companies like vultures and picked them apart to make money (read the book about Jack Welch and GE, At Any Cost). I learned about hostile takeovers and corporate raiders. These are the guys who took down what I used to think of as the American way of life and elevated greed as our highest value. Although so much of this is repellent, I felt a certain resignation. That’s their world, I thought, not mine.

But now they are coming into education. They are hedge fund managers and equity investors. These are the guys who play with millions of dollars every day, and they have decided that rearranging the nation’s education system is a fun hobby. They don’t have much sympathy with working stiffs who earn only five figures, and low five figures at that. They don’t understand why there is such a thing as public education; so few of them went to public school and wouldn’t dream of sending their own child to one. Why shouldn’t all schools have a private board of directors like the one they send their children to? Why shouldn’t all schools be deregulated? That’s the way it works in business. Why shouldn’t schools with low scores be closed and replaced by new ones? That’s the way it works in their world. Why should schools be compelled to take children they don’t want, children with severe disabilities and children who don’t speak English? Isn’t winning what it’s all about? Winning means getting the highest test scores, and if you take in the kids who can’t do that, you can’t win.

What if we ran schools like the stock market? There would be a portfolio; you would keep the winners and sell the losers. That’s the way the world works, right?

Their world and the world of education are different spheres. They operate by different rules. Unfortunately, the barbarians are no longer at the gate. They are inside.

Diane

Back when I was on the right side of the political fence, I was on the editorial board at Education Next. It is supported by the Hoover Institution and the Thomas B. Fordham Institute, both conservative think tanks with which I was affiliated. The journal, which is based at Harvard and edited mainly by Paul Peterson, was created to counter what was seen as the liberal bias of the mainstream education media.

Education Next is a well-edited journal (I used to write a monthly book review there), but it does have a strong bias in favor of charter schools, vouchers, and testing. It is the journal of the corporate reform movement.

The current issue of Education Next has a fascinating article about the “reformers’ fight club.” I have been writing and speaking about the interconnections among these organizations (and there are many more), and it is good to see confirmation of what I have been saying.

For some reason, these incredibly rich and powerful organizations like to portray themselves as underdogs in contrast to the teachers’ unions.

So, get this picture: On one side are the 3.2 million teachers who belong to the NEA and the AFT. On the other side are the Gates Foundation ($60 billion), the Broad Foundation (billions), the Walton Foundation (billions, and spent $159 million this past year alone on education grants), the Dell Foundation, big corporations, Democrats for Education Reform (Wall Street hedge fund managers who can pump millions into political campaigns at will), and 50CAN (more hedge fund managers). And there are supposedly “liberal” advocacy groups like Education Trust and Ed Sector.

Gosh, that is surely an unequal lineup. No wonder the “fight club” feels like underdogs. Those teachers’ unions are just so doggone powerful and rich. Why, they have the big foundations and Wall Street trembling. Who knew that teachers had so much power?

Diane

Bloomberg News Social column June 26, 2012

Born to Rise’

Jonathan Gray, Blackstone Group LP (BX) senior managing director, was at the IAC Building last night to fete Deborah Kenny, the founder and chief executive officer of Harlem Village Academies, on her new book “Born to Rise: A Story of Children and Teachers Reaching Their Highest Potential.”

“The idea of kids who live a mile north from my kids and have little educational opportunity feels wrong,” Gray said at the party hosted by Barry Diller and Diane von Furstenberg, with Donna Karan, Calvin Klein and Katie Couric in attendance.

Help goes beyond financial. Gray’s wife, Mindy Gray, is a Homework Helper. Jane Och, the wife of Daniel Och, who runs Och- Ziff Capital Management Group LLC, teaches bridge to students.

Tis the season for charter-school books. On June 14, the night of his run in the JPMorgan Chase & Co. Corporate Challenge in Central Park, Daniel Loeb, founder and CEO of Third Point LLC, co-hosted a party for Eva Moskowitz, founder of Success Academy Charter Schools, and Arin Lavinia, its director of literacy. They have written “Mission Possible: How the Secrets of the Success Academies Can Work in Any School.”

David Levinson, a real-estate developer, and Simone Levinson, vice chairwoman of the board of the nonprofit Turnaround for Children, opened their home for the event.

Michael Karsch, principal of Karsch Capital Management LP, attended both book fetes.

Yesterday I wrote about Juan Gonzalez’s article on Success Academy, which was seeking a 50% increase in its management fee from the state, even though it has a surplus of $23.5 million and spent $3.4 million last year on marketing. The typical charter management organization in New York City has a management fee of 7%, but CEO Eva Moskowitz wanted to increase hers to 15%. Given her surplus, it is hard to see a case for “need,” especially in light of her fund-raising prowess and the presence of several well-heeled hedge fund managers on her board. Needless to say, she is handsomely compensated at a salary close to $400,000 a year.

So here is the update: yesterday, the SUNY Charter Institute gave her everything she asked for. Six new schools plus a 50% increase in her management fee, which will bring in many new millions of taxpayer dollars for her operation.

But there is more to the story. Today, the New York Times ran a story about the “co-location” of a Success Academy school with a New York City public school. (Co-location is a term of art that means that the NYC Department of Education gave free public space in a public school building to a private charter operator, saving the charter the cost of rent and utilities and crowding the kids in the public school out of their classrooms.)

The New York Times article is simply horrifying. The contrast between the Success Academy charter and P.S. 30 defines the meaning of “separate but equal” even though the kids may all be of one race. In one school, the kids get the best of everything. In the other, they struggle with whatever the NYC Department of Education is willing to supply. Some critics call the new system “academic apartheid.” The charter school has fewer students with disabilities. Its teachers work a 9 1/2 hour day, and they don’t last long. When Success Academy first arrived, P.S. 30 was making great strides and earning an A on its progress report. Now it has a D rating, a fact that Success Academy delights in retelling to the reporter.

This charter chain represents the competitive spirit that corporate reformers love. It flourishes by sucking the life out of public schools and killing them.

Diane

I love Twitter for many reasons. I have met many friends on Twitter, some of whom I will never encounter in person. I learn from Twitter. People from across the country and even from other countries send me news stories, opinion pieces, blogs, ideas.

I received one this morning that I thought was, well, awesome.

On many occasions, I have had discussions with friends and allies and friendly adversaries about whether there is a middle ground between corporate reformers–the people who want to rearrange education so that it is based on incentives and sanctions, who believe that test scores are the best ways to measure the quality of students and teachers and schools, who see virtue in closing down neighborhood public schools, and who applaud the transfer of public schools to private management–and those who disagree with them, myself included.

Can’t we negotiate our differences? Can’t we all just get along, as the late Rodney King once memorably asked. We all know important it is to collaborate.

Why not collaborate with the people whose ideas you disagree with? Why not find a middle ground with those who want vouchers and those who think that teachers can be judged by the changes in their students’ test scores? Why be unreasonable?

The post I read this morning reinforced my sense that there are some things, some principles, some bedrock values that are nonnegotiable. When the other side wants you to do things that you think will cheapen and degrade education, how can you compromise? When they want you to do things that will humiliate teachers and lower the status of the teaching profession, how can you compromise? When they want to end collective bargaining rights, is there room for compromise? When they want you to turn education into a consumer product rather than a public good, is that negotiable?

But in every dispute, there must be a middle ground, right? There must be a way for reasonable people to agree, right?

The blog I read earlier today, written by someone I do not know, spoke to this issue of when it is wrong to negotiate.

The first thing that got my eye was that he wrote about the choice facing a young person who wants to find a career in the world of education policy. Face it, there are two sides, and one side has all the money and projects political power and has lots of organizations that need to be staffed. He writes:

“Most of the money in education policy is on the side of organizations like Stand for Children and Democrats for Education Reform. If he ever wants to work in education policy, the good jobs are all going to be on the side of the pro-privatization reformers. Pro-privatizers have done a good job of conflating being against their version of reform (e.g., being with parents and teachers) as being pro-status quo. It’s the surest way to keep yourself out of the education policy job market to be on the side of the straw man status quo.”

Who are these powerful groups? He answers: “Notoriously funded by tiny groups of immensely wealthy people, with no control by or buy-in from communities, no democratic structures that allow for parent participation, and in fact nothing other than the whims of their millionaire funders, these groups have unilaterally decided they deserve a spot at the negotiating table. They bought their button, in other words.”

And why should they not be in a position to call the shots? They are the reformers, and those who don’t agree with them represent, in their words, “the status quo.” Yet teachers, school board members, parents, principals, administrators, etc. are in awe of the reformers. And this is who they are and this is why they have a seat at the table and determine what happens to your school, your job, your children:

“…although we don’t live in your community, don’t send our children to school there, don’t vote there, don’t have any meaningful membership there and, to what degree we do have some supporters there, they have no meaningful say in how we as organizations make decisions, we are rich. In other words, we are not rooted in your communities at all; we have no stake in the outcome of our programs and policies insofar as they don’t materially affect us; nobody in your community has any say in how our organization is run; but we, for no reason other than our wealth empowering our speech, deserve a seat at the table and you must negotiate with us, or you–not we–are “politicizing children.”

And you must negotiate with them because they have so much money and they bought a seat at the table! Or did they buy the table?

What are their goals? “liquidate teachers’ ability to collectively bargain and privatize enough the school systems to reduce the public schools to last-resort catchalls, not unlike public County Hospitals. Use unreliable but easily consumed standardized test scores and fluidly defined “graduation” rates to allow parents to choose a school from a menu, encouraging competition.”

But can you negotiate with them?

“Parents and teachers see, in the middle distance, the death of public education as the incubator of civil society with the goal of equality, in the form of neoliberal privatization reform. Who says you have to negotiate with death to be reasonable? You don’t negotiate with death. You fight death to your dying breath.”

Diane