Archives for category: Deregulation

Ever wonder why the Koch brothers want to quash environmental regulations? Why they support ALEC, which writes model legislation for states to deregulate corporations? Why they are in an alliance with far-right titans like the DeVos family?

Ever wondered how they made their wealth?

This article, published in 2014 by Rolking Stone, answers your questions.

This is one of the best pieces I have read about the pernicious effects of “education reform” on the the Democratic Party. I have consistently argued that the Democrats triangulated so far during the Clinton administration that they blurred the distinct lines between the parties, then ended up supporting the Republican policies of testing, accountability, and choice, which previously they abhorred.

Jennifer Berkshire here fills in the details with her sharp eye and wit. So thoroughly have Democrats joined with Republicans in demonizing teachers and unions, that there is hardly a dime’s worth of difference between them on education issues. Things have gotten so bad that one Democrat espousing privatization recently co,pare the teachers unions to Alabama governor George Wallace, blocking children as they try to escape public schools to enter charter nirvana.

She writes:

“To begin to chronicle the origin of the Democrats’ war on their own—the public school teachers and their unions that provide the troops and the dough in each new campaign cycle to elect the Democrats—is to enter murky territory. The Clintons were early adopters; tough talk against Arkansas’s teachers, then among the poorest paid in the country, was a centerpiece of Bill’s second stint as Governor of Arkansas. As Hillary biographer Carl Bernstein recounts, the Arkansas State Teachers Association became the villain that cemented the couple’s hold on the Governor’s mansion—the center of their Dick Morris-inspired “permanent campaign.” The civil rights language in which the Democratic anti-union brigade cloaks itself today was then nowhere to be heard, however. And little wonder: Civil rights groups fiercely opposed the most controversial feature of the Clintons’ reform agenda—competency tests for teachers—on the grounds that Black teachers, many of whom had attended financially starved Black colleges, would disproportionately bear their brunt.

“Hillary made the cause her personal crusade in 1983, trotting out anecdote after anecdote about teachers she’d heard about who couldn’t add or read. The reform package passed, cementing Bill’s reputation as a new breed of Democratic governor, one who wasn’t afraid to take on entrenched interests in order to tackle tough problems. “Anytime you’re going to turn an institution upside down, there’s going to be a good guy and a bad guy,” recalls Clinton campaign manager Richard Herget. “The Clintons painted themselves as the good guys. The bad guys were the schoolteachers.”

“By the early 1980s, there was already a word for turning public institutions upside down: neoliberalism. Before it degenerated into a flabby insult, neoliberal referred to a self-identified brand of Democrat, ready to break with the tired of dogmas of the past. “The solutions of the thirties will not solve the problems of the eighties,” wrote Randall Rothenberg in his breathless 1984 paean to this new breed, whom he called simply The Neoliberals. His list of luminaries included the likes of Paul Tsongas, Bill Bradley, Gary Hart and Al Gore (for the record, Gore eschewed the neoliberal label in favor of something he liked to call “neopopulism”). In Rothenberg’s telling, the ascendancy of the neoliberals represented an economic repositioning of the Democratic Party that had begun during the economic crises of the 1970s. The era of big, affirmative government demanding action—desegregate those schools, clean up those polluted rivers, enforce those civil rights and labor laws—was over. It was time for fresh neo-ideas.

“Redistribution and government intervention were out; investment and public-private partnerships were the way to go. Neoliberal man (there are no women included in Rothenberg’s account) was also convinced that he had found the answer to the nation’s economic malaise: education, or as he was apt to put it, investment in human capital. “Education equals growth is a neoliberal equation,” writes Rothenberg.

“But this new cult of education wasn’t grounded in John Dewey’s vision of education-as-democracy, or in the recent civil-rights battles to extend the promise of public education to excluded African-American communities. No, these bold, results-oriented thinkers understood that in order to fuel economic growth, schools had to be retooled and aligned in concert with the needs of employers. The workers of the future would be prepared to compete nimbly in the knowledge-based post-industrial society of the present, For the stragglers still trapped in older, industrial-age models of enterprise and labor, re-training—another staple of the neoliberal vision—would set them on the path to greater prosperity….

“Today’s Democratic school reformers—a team heavy on billionaires, pols on the move, and paid advocates for whatever stripe of fix is being sold—depict their distaste for regulation, their zeal for free market solutions as au courant thinking. They rarely acknowledge their neoliberal antecedents. The self-described radical pragmatists at the Progressive Policy Institute, for instance, got their start as Bill Clinton’s policy shop, branded as the intellectual home for New Democrats. Before its current push for charter schools, PPI flogged welfare reform. In fact, David Osborne, the man so fond of likening teacher unions to arch segregationists in the south, served as Al Gore’s point person for “reinventing government.” Today the model for Osborne’s vision for reinventing public education is post-Katrina New Orleans—where 7,500 mostly Black school employees were fired en route to creating the nation’s first nearly all-charter-school-system, wiping out a pillar of the city’s Black middle class in the process.”

Read the article.

It brilliantly describes how Democrats attacked their own base, embraced Republican ideas, and merged their thinking with that of Republicans. A sure-fire recipe for disaster, since Republicans are so much better at being Republicans than Democrats are. You can’t win by destroying your base.

Most of the time, scandals come and go and no one remembers them after a day or two. But sometimes scandals cause a seismic reaction. Think Harvey Weinstein. Powerful men have sexually assaulted women in their employ and hoping to be in their employ or just in their proximity for as long as anyone can remember. Despite a number of high profile scandals, the larger phenomenon is ignored. Many people assumed Trump’s gloating about his sexual assaults would doom his campaign but it didn’t. Bill O’Reilly had to leave FOX news, but that passed. The Harvey story has gotten more attention and more outrage than any of the others.

Could the Ref Rodriguez corruption scandal awaken the public to the systemic problem of giving public money to private corporations and individuals without regular oversight and accountability? Could this be the Big One that tarnishes the privatization movement?

Nonprofit Quarterly writes:
“Something is rotten in the world of Los Angeles school board politics.

“Partnerships to Uplift Communities (PUC) charter school network founder and L.A. Unified School District Board member (and, until recently, board president) Refugio Rodriguez faces three felony charges, 25 misdemeanor charges, and conflict-of-interest allegations for laundering money in his school board campaigns in 2014 and 2015. Charges were filed last month by the city’s ethics commission.

“It might seem unusual that a charter school founder (and recent employee) would head the school board for a major city’s public K-12 system, but this was no accident. Rodriguez was part of a slate, “one of four board members who came into power with the strong backing of charter school supporters and who now make up a majority of the seven-member body.” As Rachel Cohen writes for The Intercept, Rodriguez “was backed by the well-heeled charter school movement, which spent more than $2 million to help elect him. This past spring, education reform advocates won three more seats, giving the board a slim pro-charter majority for the first time ever. Rodriguez was then elected board president in July.” After the ethics charges were filed, Rodriguez stepped down as board president, but remains a school board member.

“Then this past Monday, the other shoe dropped and a second investigation was launched. As another Los Angeles Times article explains, “Officials at PUC Schools, a local charter school network, have filed a complaint with the state Fair Political Practices Commission.”

The filing alleges that Rodriguez, who co-founded PUC, ordered the transfer of about $265,000 from PUC to a nonprofit that appeared to be under his control. An additional $20,000 went to a private company in which he might have owned a stake.

““PUC”, according to the Los Angeles Times, “operates 17 schools in Los Angeles and one in Rochester, N.Y. It is a nonprofit that operates under its own board, with L.A. Unified authorizing its local schools individually.”

“Last Friday, PUC accepted the resignation of Rodriguez’s cousin “senior manager Elizabeth Tinajero Melendrez. In PUC records reviewed by the Times, Melendrez is listed as the person who requested eight of the checks Rodriguez authorized, adding up to nearly $188,000.”

“As NPQ has reported previously, conflicts of interest, or even the appearances of them, put the entire organization at risk of losing its credibility. Jacqueline Elliott, the cofounder of PUC, has distanced herself from the scandal in the media, perhaps hoping to maintain the reputation of the charter network with funders. (Elliott is not under any investigation.)

“A large and complicated web of money and influence has been woven under the feet of Los Angeles’ education leaders. Untangling it will certainly cost the district time and credibility, especially since, as noted above, the balance of the school board recently shifted toward charter school supporters, who strongly supported Rodriguez and who now occupy four of the seven board seats.“

NPQ ends hopefully on the note that “Big money and scandal are not, obviously, necessary or even frequent companions to large charter networks.“

As we have seen time and again, “big money” is indeed a necessary and frequent companion of large charter networks. Whether scandal follows depends on the extent to which there is public oversight of public money.

Given the fact that the charter industry controls the school board in Los Angeles, don’t expect LAUSD to clean its own house. Expect it to join the coverup, even if Ref is thrown off the island as a necessary sacrifice.

Will the public wake up to the waste of their tax dollars? Will this scandal be the one that ignites outrage? Should the public pay $1 Million a year for visas for Turkish teachers? Should the public pay charter CEOs over half s Million a year? Should the public pay for executives at virtual charters who collect millions a year in compensation? Should the public turn a blind eye to the millions from hedge fund managers and other financiers and rightwing foundations that want to privatize public education?

When the editorial boards of the nation’s most powerful newspapers—the New York Times, the Washington Post, the Los Angeles Times— consistently defend private and unaccountable charters and support privatization, it makes you wonder how big a scandal is necessary before they wake up and defend the public interest? Do they know they are supporting the agenda of ALEC and Betsy DeVos? Do they care?

This looks like a good deal for the leaders of a charter school who were accused of misappropriating
Ropristing $3 million for their personal use. No jail time. A payback of $600,000 and pocket change. And an agreement not to lead any other charters until 2020. The fines apparently will be paid by insurance companies, not the defendants.

“The former leaders of a public charter school for disabled and at-risk teenagers have agreed to settle a District lawsuit alleging they sought to enrich themselves by diverting millions of dollars in taxpayer money meant for the school into private companies they created.

“Donna Montgomery, David Cranford and Paul Dalton, all former managers at Options Public Charter School, agreed to a collective settlement of $575,000, which will be paid to the school that now operates under new leadership as Kingsman Academy. Jeremy Williams, a former chief financial officer of the D.C. Public Charter School Board, who allegedly aided the scheme, agreed to a settlement of $84,237 in a separate deal signed last week. The defendants agreed that they would not serve in a leadership role of any nonprofit corporation in the District until October 2020.

“This settlement ensures that more than $600,000 in misappropriated funds will now go to Kingsman Academy to serve disabled students in the District of Columbia, and will deter future wrongdoing,” said Robert Marus, a spokesman for the Office of the Attorney General. “As the referees for the District’s nonprofit laws, our office will continue to bring actions against any who would misuse funds meant for public or charitable purposes.”

“A statement issued by attorney S.F. Pierson, who represents Dalton, said all three former managers “continue to contest the District’s claims and continue to maintain their position that they managed Options to the highest standards.” Pierson said the former school leaders are “not personally paying” anything to settle the District’s claims. It’s common that insurance plans cover litigation-related costs for nonprofit directors or corporate officers.”

This is a big win for the accused, but a loss for the disabled students, who didn’t get the services intended for them.

I don’t know about you, but I read this article with a sense of horror. I know that some of my favorite readers are hunters, but I don’t believe they hunt animals with military assault weapons, armor-piercing bullets, and silencers.

https://www.washingtonpost.com/opinions/the-nras-idea-of-recreation-assault-rifles-armor-piercing-bullets-and-silencers/2017/09/11/6d22c616-9740-11e7-82e4-f1076f6d6152_story.html

It begins:

“The days are growing colder, and soon millions of American hunters will pursue a time-honored tradition. They will load their automatic weapons with armor-piercing bullets, strap on silencers, head off to the picnic grounds on nearby public lakes — and start shooting.


“If you do not immediately recognize this pastime as part of America’s heritage, then you are sadly out of step with the current Republican majority in Congress. On Tuesday, a House panel takes up the “Sportsmen’s Heritage and Recreational Enhancement Act of 2017,” which promises “to protect and enhance opportunities for recreational hunting, fishing and shooting.

”
Among these recreational enhancements:


●Allowing people to bring assault guns and other weapons through jurisdictions where they are banned.


●Rolling back decades-old regulations on the use of silencers.


●Protecting the use of armor-piercing bullets.


●Easing importation of foreign-made assault rifles.


●Protecting the practice of baiting birds with grain as they migrate and then mowing them down.


The House Natural Resources Committee was to have had a hearing on the bill in June, before the baseball-practice shooting that seriously wounded House Majority Whip Steve Scalise (R-La.) led to its cancellation.


“But the National Rifle Association was not to be denied. In a statement last week, the gun lobby’s director applauded the revival of the bill, which, he said, “will protect America’s hunters and recreational shooters and help preserve our outdoor heritage.” Among the GOP witnesses for Tuesday’s “recreational shooter” hearing: Stephen Halbrook, author of a book that draws parallels between the current gun-control debate and Nazis’ disarmament of Jews.”

More than any other state, Michigan placed its bets on charter schools. This article shows what happened. Republican Governor John Engler sold his party on the miracle of school choice. Betsy DeVos jumped on the Choice bandwagon and financed its grip on the legislature. Although the article doesn’t mention it, Betsy and her husband funded a voucher referendum in 2000 that was overwhelmingly defeated.

The author Mark Binelli describes the mess that choice and charters have made of the state’s education system. The state is overrun by unaccountable charters, most of which operate for profit.

The damage has fallen most heavily on black children, especially in Detroit and in the districts where the state installed emergency managers and gave the public schools to for-profit charter operators.

Rich districts still have public schools.

Binelli writes:

“Michigan’s aggressively free-market approach to schools has resulted in one of the most deregulated educational environments in the country, a laboratory in which consumer choice and a shifting landscape of supply and demand (and profit motive, in the case of many charters) were pitched as ways to improve life in the classroom for the state’s 1.5 million public-school students. But a Brookings Institution analysis done this year of national test scores ranked Michigan last among all states when it came to improvements in student proficiency. And a 2016 analysis by the Education Trust-Midwest, a nonpartisan education policy and research organization, found that 70 percent of Michigan charters were in the bottom half of the state’s rankings. Michigan has the most for-profit charter schools in the country and some of the least state oversight. Even staunch charter advocates have blanched at the Michigan model.

“The story of Carver is the story of Michigan’s grand educational experiment writ small. It spans more than two decades, three governors and, now, the United States Secretary of Education, Betsy DeVos, whose relentless advocacy for unchecked “school choice” in her home state might soon, her critics fear, be going national. But it’s important to understand that what happened to Michigan’s schools isn’t solely, or even primarily, an education story: It’s a business story. Today in Michigan, hundreds of nonprofit public charters have become potential financial assets to outside entities, inevitably complicating their broader social missions. In the case of Carver, interested parties have included a for-profit educational management organization, or E.M.O., in Georgia; an Indian tribe in a remote section of Michigan’s Upper Peninsula; and a financial firm in Minnesota. “That’s all it is now — it’s moneymaking,” Darrel Redrick, a charter-school proponent and an administrator at Carver at the time I visited, told me.”

It is refreshing to find this article on the Bloomberg website, read by many in the business community.

Noah Smith explains clearly that: (a) policymakers in the Trump era are Gaga about markets; (b) markets aren’t right for every problem.

“My Bloomberg View colleague Tyler Cowen has a running series of blog posts bearing the title “Markets in Everything.” Plenty of other economists and writers have picked up the phrase, and with good reason — it’s evocative of a powerful idea that defined much of Western political economy in the later part of the 20th century. The idea is that markets — systems of property rights with free buying and selling — are the best way to organize a vast array of human interactions.

“Decades after the Beatles sang “Can’t Buy Me Love,” a whole generation of libertarian thinkers were wondering how much better the world would be if people could buy and sell everything. Some, like authors Jason Brennan and Peter Jaworski, took this idea to radical extremes, arguing that everything from body parts to school grades should be up for sale. Though few would go that far, the idea certainly seemed to fit with a political era of privatization and deregulation. Economists tended to like the idea for a more prosaic reason — mathematical models with so-called complete markets are a lot easier to solve.

“In the U.S., marketism is still making inroads. The Trump administration is considering a plan to replace many military functions with private contractors in Afghanistan. Donald Trump also canceled an Obama-era proposal for a rule against getting paid for donating bone marrow. On the left, many thinkers support legalizing prostitution. The Internal Revenue Service is experimenting with using private debt collectors. Efforts to reduce the use of corporate prisons have stalled.

“For the most part, this isn’t a good thing. Like every ideology, marketism has its limits, and like every movement it eventually overreached. There are plenty of reasons that a vast array of human interaction should be carried out without money or any kind of quid pro quo. And unsurprisingly, these problems crop up in many of the areas of human life into which people are now trying to push markets…

“Transaction costs can also arise from natural human emotions. Imagine if someone offered you money to be their friend. If you’re a normal human being, the idea of boiling friendship down to a cold, self-interested exchange would probably feel repellent to you. Sex, which often creates an emotional attachment even deeper than friendship, is similar, which may help explain why so many societies frown on prostitution. And letting people sell their organs for money is inherently disgusting to many.

Within companies, people often prize loyalty to coworkers or to an organization. That may explain the surprising yet common finding that direct monetary incentives often reduce work performance rather than increase it. Privatizing the army, tax collectors and prisons is a bad idea, because it ignores the crucial function that loyalty, dedication, idealism and commitment play among combat troops, bureaucrats and prison guards.”

Just substitute or add the words “public schools,” and you can see that this argument is very apropos current education policy debates.

Denis Smith explains how the charter industry has exposed Republican hypocrisy in his state of Ohio. As readers will be quick to point out, charters have also exposed the hypocrisy of Democrats who have jumped on the money train and sold out minority children, public education and unions.

To track the rise of the charter industry, follow the money and campaign contributions. In Ohio, politicians sell themselves for far less than in New York.

Consider this:

“In a page one article detailing the history of the notorious online charter school ECOT, the Columbus Dispatch published a detailed review of this operation that has been efficiently sucking up the low hanging fruit otherwise known as public tax dollars since 2000. In the last four years alone, that low hanging fruit has generated more $100 million annually for ECOT founder Bill Lager’s charter school companies, allowing him to maintain a very comfortable lifetstyle in several luxury residences, including one in Key West, Florida. In return, Lager has donated more than $2 million to the Ohio GOP and its candidates.”

So Lager gives a total of $2 million and in return he collects $100 million annually. That’s quite a handsome return on his investment. No wonder so many entrepreneurs want into the action.

Jennifer Berkshire (the writer formerly known as EduShyster) is one of the best education writers on the national scene.

In this article, she describes the evangelical roots of the present school-choice movement, as personified by Betsy DeVos.

You will meet some very peculiar people who loathe “government schooling” and prefer to home school their children. Some will be familiar to you, like the far-right billionaire Robert Mercer and his daughter Rebekah, who bankrolled Steve Bannon and Breitbart News. Daughter Rebekah homeschools her children to keep them free from the contamination of both public and private schools.

Berkshire notes that the Mercers funded an odd Oregon politician named Arthur Robinson.

She writes about Robinson:

In Oregon, Robinson is known as a kooky Tea Party-ish chemist who has been stockpiling urine as part of his mission to improve health, happiness, prosperity — and boost student test scores. He’s also a perennial GOP congressional candidate whose long-shot bids have been mostly underwritten by the Mercers.

In Christian homeschooling circles, Arthur Robinson is a household name. The Robinson Self-Teaching Curriculum, developed by Robinson and his six home-schooled children, teaches children to “teach themselves and to acquire superior knowledge as did many of America’s most outstanding citizens in the days before socialism in education.”

Robinson fleshed out his views on education during his 2016 run for Congress, releasing an education platform called “Art’s Education Plan!” He called for a nationwide voucher program, providing every student in the United States with the “freedom and resources to apply to any school in our nation, public or private.”

There was also a bold plan for Congress to shut down the schools of Washington, DC, for three months, long enough to fire the “unionized deadwood” and create a model in which students and parents are customers rather than “vassals of school administrators.”

She describes the ultra-conservative financiers and their faithful political vassals who have turned Florida into a mecca for publicly funded religious education, even though the Florida Constitution explicitly forbids it, and even though the state’s voters turned down a Jeb Bush effort to strip the state Constitution of its anti-voucher language in 2012.

Yes, there are some far-right extremists in the school choice movement. But, notes Berkshire, it was not DeVos that put school choice into the mainstream. It was Democrats who called themselves “reformers.”


DeVos and her allies are aided in the efforts to dismantle public education by Democratic education reformers who’ve spent the past two decades doing essentially the same thing. It is “progressive” reformers, after all, who’ve led the charge to convince parents and taxpayers that there is no meaningful difference between a public school and one that’s privately managed. That parents don’t care who runs their schools as long as they’re good is a standard reform talking point, along with the reminder that “charter schools are public schools….”

School choice has been legitimized, not by DeVos et al, but by the likes of Corey Booker, Rahm Emanuel and other reform-minded Democrats. If saving public education is to be a key plank of the #resistance, Democrats will have to join the fight or be swept aside.

Carol Burris, executive director of the Network for Public Education, wrote an analysis of the major problems with school choice that advocates refuse to address.

She begins by writing that privatized school choice directly threatens public education:

Privatized school choice is the public financing of private alternatives to public schools. Examples include charters run by corporate boards, private schools funded by vouchers, online learning charters and publicly subsidized home schooling. Then there are the disguised voucher plans such as Arizona’s Empowerment Scholarship Accounts, or ESAs, which give taxpayer money on debit cards to parents with little oversight as to how it is spent.

Privatized school choice, in its various forms, has been rapidly gaining ground in many of our states. The thinly veiled agenda of privatized choice is the destruction of public schools, which Secretary of Education Betsy DeVos and her allies refer to as “government schools.”

What the privatizers never talk about is that every dollar that goes to school choice is taken away from public schools. To adjust for the loss of revenue, public schools have to lay off teachers and close down programs. So the great majority of students are injured so a few can attend a charter or use a voucher.

Voucher programs almost always begin small–targeted at poor children, or children with disabilities, or foster children, or military children–but then expand to apply to all students. Sometimes the privatizers admit that they are pursuing a camel’s nose-under-the-tent strategy, but usually they claim to want “only this small program.”

Unaccountable, unsupervised privately-managed schools waste taxpayers’ dollars with bloated administrative salaries and overhead. In these conditions, without public oversight, fraud and corruption go undetected, and when a whistleblower complains, we learn that hundreds of thousands or millions of dollars were squandered or stolen.

She writes:

When we turn our backs on our public schools, we turn our backs on our most profound American values. We are not embracing conservatism; we are embracing consumerism. It is as simple and sad as that.

I would put it somewhat differently. I would say that the privatizers’ goal is not only to destroy public education but to encourage us to think as consumers, not as citizens. As citizens, we support public services that are for everyone, even if we don’t use those services. Thus, childless people pay taxes for public schools, even though they don’t use them, as do people whose children are grown. But consumers take care of themselves only. In the future, if this movement for privatization prevails, taxpayers may well reject bond issues because they don’t want to pay taxes for private choices. If we think only of ourselves, we lose the sense of civic responsibility that a democracy requires in order to protect and serve the interests of all its citizens.