Archives for category: For-Profit

Angie Sullivan teaches young children in a Title 1 school in Clark County (Las Vegas), Nevada. She writes an email blast to every legislator in the state.

Angie writes:

Folks in other states are banning for-profit charter management corporations.

With good reason.

Whole campaigns are built on banning for-profit scams in other states. We need folks in Nevada to notice this mess.

http://m.wtol.com/toledonewsnow/db_347256/contentdetail.htm?contentguid=yQmm1LBE

Attendance should match testing.

In Nevada we have for-profits corporations claiming they have thousands enrolled but only a few test?

We cannot afford to give $18 Million to a corporation if they are only providing $1 million in educational type services. Note: I did not state learning – because providing a type of service is NOT learning if students do not graduate.

Meanwhile, we elect lawmakers who sit on for-profit charter boards, manage a for-profit branch, or work at a for-profit charter. They will sit in legislative session next year and have their hands on bills to line pockets. Note: I did not say teach kids, because that is NOT the bottom line or mission of a corporation. No wonder no one graduates.

Let’s not repeat mistakes of other states which expanded charters at an alarming rate and now the tax payer suffers. Nevada has a big enough mess already.

Nevada Charters are definitely not a remedy or an example. It is a travesty that a real public school in CCSD is threatened with being turned into a charter. Scary.

It is not fiscally responsible to allow Academica, Gulen Corals, or On-lines to run rampant without the same transparency and accountability required by all public schools.

Time for a for-profit charter moratorium and to clean up this $350 million mess.

CCSD Parents need to be demanding expansion of CCSD Magnets – which are the top schools in the nation – instead of these scammers. And we need funding to maintain quality in Magnets. That is what works. People need to demand what works.

The Teacher,
Angie

Thanks to Guy Brandenburg for directing me to this fascinating post about what happens when private corporations take over government services, in this case, reporting the weather.

Restore Reason writes about the commercialization of weather reporting and draws a parallel with charter schools and vouchers. Please open the link and read the entire post.

I just listened to “The Coming Storm”, by Michael Lewis. I didn’t carefully read the description before diving in, and thought it would inform me about the increasing violence of weather. Rather, I learned about the privatization of weather, or at least the reporting of it, and the Department of Commerce.

Turns out, the Department of Commerce has little to do with commerce and is actually forbidden by law from engaging in business. Rather, it runs the U.S. Census, the Patent and Trademark Office, and the National Institute of Standards and Technology. Over half of its $9B budget though, is spent by the National Oceanic and Atmospheric Administration (NOAA) to figure out the weather. And figuring out the weather, is largely about collecting data. “Each and every day, NOAA collects twice as much data as is contained in the entire book collection of the Library of Congress.” One senior policy adviser from the George W. Bush administration, said the Department of Commerce should really be called the Department of Science and Technology. When he mentioned this to Wilbur Ross, Trump’s appointee to lead the Department, Ross said, “Yeah, I don’t think I want to be focusing on that.” Unfortunately for all of us, Ross also wasn’t interested in finding someone who would do it for him.

In October 2017, Barry Myers, a lawyer who founded and ran AccuWeather, was nominated to serve as the head of the NOAA. This is a guy who in the 1990s, argued the NWS should be forbidden (except in cases where human life and property was at stake) from delivering any weather-related knowledge to Americans who might be a consumer of AccuWeather products. “The National Weather Service” Myers said, “does not need to have the final say on warnings…the government should get out of the forecasting business.”

Then in 2005, Senator Rick Santorum (a recipient of Myers family contributions) introduced a bill to basically eliminate the National Weather Service’s ability to communicate with the public. Lewis asks his readers to “consider the audacity of that manuever. A private company whose weather predictions were totally dependent on the billions of dollars spent by the U.S. taxpayer to gather the data necessary for those predictions, and on decades of intellectual weather work sponsored by the U.S. taxpayer, and on the very forecasts that the National Weather Service generated, was, in effect, trying to force the U.S. taxpayer to pay all over again for the National Weather Service might be able to tell him or her for free.”

It was at this point in my listening that I began to think how this privatization story was paralleling that of education’s. In both cases, those in the public sector are in it for the mission, not the money. In both cases, the private sector only “wins” if the public sector “loses”. In both cases, it is in the interest of the private sector to facilitate the failure of the public sector or make it look like it is failing.

Just as private and charter schools profit when district schools are perceived to be of lower quality, Barry Myers has worked hard to make government provided weather services look inferior to that which the private sector can provide. As Lewis points out, “The more spectacular and expensive the disasters, the more people will pay for warning of them. The more people stand to lose, the more money they will be inclined to pay. The more they pay, the more the weather industry can afford to donate to elected officials, and the more influence it will gain over the political process.”

This is the beginning of a thoughtful post. Please read it.

This is the final installment in Sue Legg’s series about twenty years of school choice in Florida. She is the former education Director of the Florida League of Women Voters and was assessment and evaluation contractor for the Fl. DOE for twenty years while on the faculty at the University of Florida.

She writes:

Twenty Years Later: The SociaI Impact of Privatization

Privatization of schools in Florida is about more than money. It reflects the ebb and flow of the common school movement originating in the 1830s which promoted a free public education system to assimilate the millions of immigrants arriving in the United States. Resistance came from political, religious, and social divisions, elements of which persist even now. Florida, now the third largest state must assimilate its growing immigrant population. The public schools include 2.8 million students who are 38% white, 33% Hispanic, and 22% black. Ten percent are English Language Learners. These demographics may well change Florida’s politics. There is a majority of younger and ethnically diverse people many of whom tend to register to vote as independents.

Charters and private schools represent 22% of the Florida student enrollment. Charter enrollments are 42% Hispanic and 20% African-American. The tax credit scholarship program enrolls 38% Hispanic and 30% African-American.
Numerous research reports e.g. Brookings, CREDO Urban Study, and Florida Department of Education raise concerns about the academic benefit of choice programs. Few examples exist where charters outperform similar public schools and proportionately more charters do less well. The social consequences of choice are even more serious as documented in the 2017 Florida State University Collins Institute’s Report on Patterns of Resegregation in Florida Schools.
The ‘separate but equal’ doctrine adopted by Governor Jeb Bush in 1999 has undermined diversity in schools. Schools with low income and high minority status tend to receive ‘D’ or F’ school grades, for which they were blamed, sanctioned, and made targets of charter school takeover programs.

The major findings of the Collins Institute report document the social impact of choice. The economic and racial segregation documented in regular public schools is even more severe in charters.

• About one third of black and Hispanic students attend intensely segregated schools (90% single race).

• Sixty percent of Florida’s children qualify for free and reduced lunch (FRL). Black and Hispanic students are 1.5 times more likely to experience double segregation by race and economic status.

• Charter schools over enroll Hispanic students (42%), and these students typically have from 10-20% fewer white students than in public schools.

• Black students are more likely to go to extremely segregated schools than Hispanics.

• Only in 8 districts did charters enroll at least 60% of FRL students.

• Most districts enrolled higher percentages of students with disabilities and English as a second language than their charter schools.

Accountability: Florida is masterful at self-promotion.

In April 2018, the headline for Governor Scott’s press report on NAEP results was: Florida Students Lead the Nation in Reading and Mathematics. While Florida’s schools fourth grade NAEP reading scores ranked 6th nationwide, they fell to 26th on the eighth grade. It may be no coincidence that the spectacular rise in fourth grade NAEP scores coincided with the implementation of third grade mandatory retention for students who are not proficient on the state assessment. A contributing factor to the drop in eighth grade scores is that about one half of the children on private school scholarships return to public schools after third grade. The high school graduation rank is 38th which may in part be due to requirements that students pass an algebra I exam and an English Language Skills test to graduate.

Florida also touts the improvement rate of ‘failing public schools’. Of over 4000 public schools, 35 received a failing grade in 2018. Yet, the legislature passed a law mandating a state takeover of failing schools by designated by charter management firms. The 2018 failure rate for Florida charters is much higher (30/365 schools).

Resistance to the Impact of Choice is Growing.

Progress through the courts is slow but necessary to make change possible. The Florida League of Women Voters won a Supreme Court decision in 2016 to redraw legislative districts. It won again in 2018 to allow early voting on college campuses, to block a confusing proposal to create a separate statewide independent (charter) school system, and to prevent the current governor from naming new members of the Supreme Court on his last day in office. The Citizens for Strong Schools’ Supreme Court hearing on school funding and quality is November 8th.

The court of public opinion looms even larger. The common school movement arose out of the need to address inequities due to immigration, religion, and school funding. Free public schools were seen as the best way to build a sense of the civic responsibility needed to support our new democracy. Will the voters, not only in Florida, once again recognize the value of the public interest over self interest in our public schools when it matters most?

Sue Legg recently retired as education director of the Florida League of Women Voters. She was assessment and evaluation contractor for the Fl. DOE for twenty years while on the faculty at the University of Florida. At my request, she wrote a four-part series reflecting on School Choice in Florida after 20 years.

Twenty years later: Who Benefits, Not Schools!

Florida’s Constitution mandates that the state shall make ‘adequate provision for all students to access a uniform, safe, secure, efficient and high-quality system of free public schools.

The strategies on how to implement or circumvent these values result in constant lawsuits…at least five in the last two years alone. The arguments are not new: civil rights, funding, local vs. state control, and accountability. One might ask: Who benefits in a system that generates so much conflict? Politicians and profiteers, but not the public may well be the answer.

Political Cronyism and Conflict of Interest.

Charter supporters use money and influence to affect policy outcomes. According to Integrity Florida, $2,651,639 was spent on committee and campaign contributions in 2016 alone. Major donors include John Kirtley, who heads Florida Federation for Children and is also chair of Step Up for Students (which distributes a billion dollars in corporate tax credit scholarships to private schools). All Children Matters, run by Betsy DeVos, gave over $4 million to Florida political committees between 2004 and 2010. The Walton family gave over $7 million between 2008 and 2016 to Florida’s All Children Matter. Large contributions by the Waltons, John Kirtley, CSUSA, Academica, Gary Chartrand (a member of the State Board of Education) and others were also made to Kirtley’s Florida Federation for Children. In addition, for profit charters have spent over $8 million in lobbying in Tallahassee. Former Governor Jeb Bush’s foundation ExcelinEd, supports the spread of pro-choice policies in 38 states.

Conflict of interest claims in the Florida legislature have been made against current and former legislators including Speaker of the House Richard Corcoran; legislators Manny Diaz, Eric Fresen (recently found guilty of tax evasion), Seth McKeel, House Education Chair Michael Bileca, Senators John Legg, Anitere Flores, Kelli Stargel, and Ralph Arza (who was forced to resign for other reasons). They have personal ties to the charter industry and held important education committee leadership roles.

Testing Companies.

The A.I.R. testing company received a six-year $220 million contract for the Florida state assessment exams. This contract does not include the mandatory End of Course exams required in high school subjects, the kindergarten readiness test, the English Language Learner test, or the 50 teacher certification tests and the principals’ leadership exam. Add to this cost was the technical debacle resulting from a law requiring all tests to be administered online. Districts did not have the bandwidth.

Private and Charter Schools Expansion.

The Florida tax credit scholarships (FTC) to private schools no longer serves only low-income families. Income eligibility has risen to $63,000 for partial stipends. Funding is increased by 25% per year, but the corporate tax revenue to support them runs afoul of the governor’s agenda to reduce taxes. As a compromise, in 2018 a sales tax ‘donation’ to private schools for new car owners was approved for students with approved claims of being bullied. Students with disabilities may qualify for MacKay scholarships to private schools which may have no qualified teachers to serve them. Parents whose children have severe disabilities are given a stipend and search on their own for assistance.

Sue Legg, the former director of education for Florida’s League of Women Voters, wrote this series at my request. She was assessment and evaluation contractor for the Fl. DOE for twenty years while on the faculty at the University of Florida. This is part 2.

Twenty Years Later: Impact of Charter and Private Sector Schools

With support from the state, charter and private schools enroll 22% of Florida’s three million children. Charters receive the same per student funding as regular public schools. Private schools receive tax credit scholarships to avoid Florida’s constitutional ban on vouchers funded directly by the legislature.

Nearly half of Florida’s 655 charters are run by for-profit management firms dominated by two firms: Academica and Charter Schools USA (CSUSA).

In 2016, In the Public Interest reported that Academica’s real estate arm controls more than $155 million in south Florida real estate. They essentially own the property for half of their schools and lease it to themselves through the non-profit charter boards they establish. Some of its charters pay exorbitant leases to the Catholic church or other religious entities. Using church facilities is not illegal if there is no religious instruction or other artifacts in classrooms.

CSUSA operates in a similar manner. CSUSA has its own real estate company. We tracked the history of one such school and found that CSUSA had purchased a former ATT call center for about $1.2 million. They flipped the building several times to have the property reappraised, and invested $1.5 million in air conditioning etc. The final appraisal was for $9 million, and the CSUSA board signed an escalating lease for over a million dollars per year which would in time surpass the school budget. Teachers are paid from the remaining budget which seldom allows for retirement or health benefits. Thus, teacher turnover tends to be more than double the rate for traditional public schools.

In 2016, the U.S. Office of the Inspector General delineated the similarities between charter financing and the subprime loan crisis that wreaked havoc with the housing industry. Real estate loans have minimal annual payments with large balloon payments when the loan becomes due.

Independently run charters survive at first on start up funds from the state and federal government. Even though charters are exempt from the regulations governing the quality of school facilities, many complain they are underfunded. Some are housed in abandoned strip malls or former business locations that need remodeling.

The lack of regulation was supposed to spur innovation. Charters must meet local fire and safety codes, employ teachers who are certified within 18 months, and administer state assessments. Otherwise, they are exempt from operational district oversight and state school facilities codes. District school boards can only intervene if charters cannot pay their bills or they receive failing grades two years in a row on the state assessment tests. There is no limit on charter expansion, and the State Board of Education may overrule, and does, proposals that are not approved locally.

Where does this lack of regulation lead? The simple answer is profiteering, corruption and closures. The management of Newpoint charters is the current scandal. The company has been charged with racketeering involving 57 million dollars in the operation of its 15 schools. Investigative reporting by the Miami Herald, Orlando Sentinel, and Tampa Bay Times have documented many other scandals in which charters close without warning, funds are collected for unenrolled students,

Charters close at an alarming rate. At least 373 Florida charters closed in the last twenty years. They take the money with them. Even some proponents of charters are having doubts.

Parents are finding out the hard way that they have no voice in charter school management. Erika Donalds, a former school board member whose husband is a legislator, sponsored the doomed constitutional amendment 8 to create a separate charter system. She also co-founded one of the Classical Academies where she was a board member. The charter was based on ‘Christian values’, but had a principal who created an environment “where fraud can occur without detection”. Donalds withdrew her children. She has, however, formed an alliance with the wife of the 2017 Florida Senate president to open another Classical Academy.

Past attempts by some legislators to limit the ‘self-dealing’ and profiteering failed. In September 2018, Integrity-Florida released its latest report on needed reforms. Millions of tax payer dollars have been lost to both excessive profits and criminal misuse of funds. Legislation is needed to require a justification for opening a charter and improved regulation to prevent profiteering. At least now, the public is growing aware of the financial threats to our public schools. No longer is the problem ‘over there’. It is affecting everyone.

During this past two decades of “reform,” there has been a concerted effort to minimize or eliminate democratic control of public schools. Egged on by No Child Left Behind and Race to the Top, states and districts initiated state takeovers of entire school districts, which typically failed, and mayoral control, which substituted the singular judgment of the mayor for elected school boards. John Chubb and Terry Moe wrote a book in 1990, “Politics, Markets, and America’s Schools,” in which they argued that school choice was a panacea, and that democracy was the most essential obstacle to achieving that nirvana.

In this article, posted at Valerie Strauss’s “Answer Sheet,” Carol Burris and I argue that governance matters, and that democratic governance is a fundamental tenet of public education.

We have learned from the repeated errors of state takeovers and mayoral control, as well as charter school failures and voucher scams, that democratic accountability is essential to public education. The schools belong to the public, and they must not be handed off to grifters, celebrities, religious groups, or corporate charter chains.

Governance matters.

This is our article:

https://www.washingtonpost.com/education/2018/11/04/why-it-matters-who-governs-americas-public-schools/

This video is about the ECOT scandal, which siphoned hundreds of millions of dollars from Ohio’s public schools.

When you vote, think about the politicians who let this happen.

Jan Resseger sums up the many reasons to be optimistic about resistance to corporate education Reform.

Among them are the teacher walkouts this spring.

And much more.

The Reformers are no longer making grandiose claims. The evidence is in. They have no secret sauce. Just money. Lots of it.

Summary: Democracy beats billionaires.

The New York Times reported that Governor Rick Scott created a “blind” trust that was not at all blind. He has been plagued with ethical problems because…he is unethical.

TALLAHASSEE, Fla. — Rick Scott had been governor of Florida for barely three months when questions first mounted about conflicts of interest. Fabulously wealthy but a newcomer to politics, Mr. Scott mandated random drug testing for state workers in March 2011, and was pushing the legislature to require it for welfare recipients. The Republican governor, who had made his fortune as a health care executive and investor, also proposed reorienting the state’s Medicaid system toward managed care.

As it happened, those moves would have created vast potential markets for the chain of 32 urgent-care clinics that Mr. Scott had co-founded a decade earlier, after his forced resignation as chief executive of the hospital company Columbia/HCA. News reports about the governor’s personal stake in the Solantic clinics, which he transferred to his wife shortly before taking office, stifled the momentum of his first months in office.

To shield himself from future conflict charges, Mr. Scott, who is now running to unseat the incumbent senator Bill Nelson, created a $73.8 million investment account that he called a blind trust. But an examination of Mr. Scott’s finances shows that his trust has been blind in name only. There have been numerous ways for him to have knowledge about his holdings: Among other things, he transferred many assets to his wife and neither “blinded” nor disclosed them. And their investments have included corporations, partnerships and funds that stood to benefit from his administration’s actions.

Only in late July, when compelled by ethics rules for Senate candidates, did Mr. Scott disclose his wife’s holdings. That report revealed that his wife, Ann Scott, an interior decorator by trade, controlled accounts that might exceed the value of her husband’s. Their equity investments largely mirrored each other, meaning that Mr. Scott could, if he wanted, track his own holdings by following his wife’s.

The filing revealed that the Scotts together were worth between $254.3 million and $510 million. (The Senate requires that assets be valued only in ranges.) They own a beachfront mansion in Naples, Fla., valued at $14.1 million (along with a $147,000 boathouse) and a Montana residence on 61 acres worth $1.5 million. The governor, who has banked more than $200 million in investment income while in office, forgoes his $130,000 state salary and jets across Florida in his own plane.

If he wins a tight race for the Florida seat, which is central to control of the Senate, Mr. Scott could well become the richest member of the next Congress. His broad menu of investments might regularly present conflicts that require recusal. He has declined to say whether he would use a blind trust in the Senate, where the rules controlling them are far more stringent.

Mr. Nelson, a 76-year-old Democrat who is serving his third term, has made campaign issues of Mr. Scott’s wealth and the blindness of his trust. “Governor Scott has been in public service for himself,” he charged in August.

Time for Rick Scott to return to the private sector!

Vote for Bill Nelson.

For years, the politicians in Ohio took campaign contributions from the charter industry, let the charter lobbyists write the law regulating them, and ignored their frauds.

But the Electronic Classroom of Tomorrow went bankrupt, and the frauds could no longer be ignored.

Jan Resseger writes here that the ECOT scandal has turned charters into an election issue. This is good news for anyone who cares about accountability and transparency for public funds.

The surprise really ought to be that the 17-year, billion dollar ripoff of tax dollars by the Electronic Classroom of Tomorrow (ECOT) has remained among high profile election issues in this 2018 election season. After all, when USA Today profiled 28 American cities which have not yet recovered from the 2008 Recession, 9 of them were in Ohio: Warren, Youngstown, Mansfield, Marion, Lorain, Middletown, Sandusky, Akron and Dayton. Besides the economy, the opioid crisis is devastating parts of the state and healthcare more generally is an issue.

But the ECOT scandal hasn’t died as an issue on voters’ minds. Partly this is due to clever work by public education advocates and Democrats. When ECOT’s property was auctioned off, an anonymous purchaser paid $152 in taxes and fees to buy the costume of ECOT’s mascot, Eddy the Eagle. You can watch Eddy on twitter, @EddyEagleECOT, traveling to political events across the state carrying his “Ask Me About Mike DeWine” sign. DeWine, running as Ohio’s Republican candidate for governor, has been Ohio’s attorney general since 2010 but only filed a lawsuit to recover tax dollars lost to ECOT last winter as the school was being shut down.

Because of the way Ohio distributes state aid and the way its charter school law works, over its 17-year life, ECOT ate up local school operating levy dollars in addition to state aid. A tech-savvy opponent of Ohio’s entrenched Republican majority has now set up https://www.kidsnotcorruption.com/ , an interactive website which describes ECOT: “ECOT THE SCANDAL: Wondering just how bad is the ECOT scandal? Well, you should be angry because ECOT is the biggest taxpayer ripoff in Ohio history and Republicans are responsible. Sadly, it’s our kids who were hurt.” At this website it is possible to track how much each Ohio school district has lost to ECOT over the years: for example, from Cleveland’s schools, $ 39,405,981; from Columbus’ schools, $591,000,000; from Cincinnati’s schools, $ 14,648,988.

Several local school districts have now initiated legal action on their own against ECOT to recover lost funds, and three other school districts so far have filed in court to argue that they do not want Attorney General Mike DeWine, who earlier this year filed to recover funds from ECOT, representing them. The Dayton Daily News‘ Josh Sweigart reports: “Springfield City Schools is joining Dayton Public Schools and the Logan-Hocking School District in arguing in court that they don’t want the state representing them in getting money from ECOT. The school districts argue that Attorney General Mike DeWine—the Republican candidate for governor—is soft on charter schools and has received campaign donations from ECOT founder Bill Lager… DPS and Springfield are both working with the Cleveland-based law firm Cohen, Rosenthal and Kramer. The firm is working on a contingency fee, meaning it gets paid only if the districts succeed… (T)he districts are skeptical that DeWine would be as aggressive as their attorney.”

William Phillis, executive director of the Ohio Coalition for Equity and Adequacy of School Funding, notes, in his October 11, Daily E-Mail, that Attorney General Mike DeWine has filed a memorandum opposing the intervention of local school districts in this case on their own because their interest is “substantively remote from the claims” in the Attorney General’s lawsuit. Phillis notes that William Lager, ECOT’s founder and operator has made “essentially the same arguments” to oppose the intervention by specific school districts on their own behalf. Phillis comments: “It is curious that both the Plaintiff and Defendant in this case are on the same page. That accord might validate the importance of intervention by the districts. If they agree on this matter, maybe they will agree on more substantial issues.”

On October 8, the Cleveland Plain Dealer endorsed Cleveland attorney, Steve Dettelbach for attorney general in the fall election over his opponent Dave Yost, the current Republican state auditor. Yost was elected to that post in November, 2010. He has been accused of moving too slowly against ECOT, and the Plain Dealer‘s endorsement reflects this concern: “There is a tiebreaker in this decision however, and it comes in the form of the long-running ECOT… scandal that has hung like a millstone around the neck of a number of Republicans on the Ohio ballot this year who took large campaign contributions from those connected to the now-shuttered online school. That includes Yost, who announced he’s given more than $29,000 in ECOT-related contributions to charity but denies the campaign donations impacted his actions… But the fact remains that the whistleblower’s warning came in 2014 and Yost’s office did not start investigating with gusto until 2016.”

Read it all.

The politicians eagerly accepted ECOT’s invitation to be its commencement speaker. Even Jeb Bush flew to Ohio to testify to ECOT’s awesomeness.

Every politician in Ohio who facilitated and ignored this massive rip-off of taxpayer’s dollars and waste of kids’s lives should be voted out.

Mike DeWine was State Attorney General abd ignored the ECOT fraud; he is now running for Governor.

Dave Yost was State Auditor and ignored the fraud until it blew up in his face; he is running for Attorney General.

They are responsible for the state’s failure to monitor ECOT and for the favorable treatment ECOT received. Voters should hold them accountable for this massive fraud.