Archives for category: For-Profit

Anya Kamenetz wrote an illuminating and actually frightening article about Pearson’s ambitious plans to introduce for-profit education around the world. I quote the article at length because it is so important. I urge you to read it in full. It appears in “Wired” magazine.

 

Kamenetz went to Manila where she interviewed a mother who sends her school owned by Pearson. The classes in the local public schools are larger than in the Pearson school, and the parent doesn’t want her son to go to school with “those other children.” She is willing and able to pay $2 a day to get something for her son.

 

The sign on the Pearson school says, “APEC Schools: Affordable World Class Education From Ayala and Pearson.”

 
APEC is “a different kind of school altogether: one that’s part of a for-profit chain and relatively low-cost at $2 a day, what you might pay for a monthly smartphone bill here. The chain is a fast-growing joint venture between Ayala, one of the Philippines’ biggest conglomerates, and Pearson, the largest education company in the world.

 

“In the US, Pearson is best known as a major crafter of the Common Core tests used in many states. It also markets learning software, powers online college programs, and runs computer-based exams like the GMAT and the GED. In fact, Nellie already knew the name Pearson from the tests and prep her sister took to get into nursing school.

 

“But the company has its eye on much, much more. Investment firm GSV Advisors recently estimated the annual global outlay on education at $5.5 trillion and growing rapidly. Let that number sink in for a second—it’s a doozy. The figure is nearly on par with the global health care industry, but there is no Big Pharma yet in education. Most of that money circulates within government bureaucracies.

 

“Pearson would like to become education’s first major conglomerate, serving as the largest private provider of standardized tests, software, materials, and now the schools themselves.

 

“To this end, the company is testing academic, financial, and technological models for fully privatized education on the world’s poor. It’s pursuing this strategy through a venture called the Pearson Affordable Learning Fund. Pearson allocated the fund an initial $15 million in 2012 and another $50 million in January 2015. Students in developing countries vastly outnumber those in wealthy nations, constituting a larger market for the company than students in the West. Here in the US, Pearson pursues its privatization agenda through charter schools that are run for profit but funded by taxpayers. It’s hard to imagine the company won’t apply what it learns from its global experiments as it continues to expand its offerings stateside.

 

“The low-cost schools in the Philippines are one of Pearson’s 11 equity investments in programs across Asia and Africa serving more than 360,000 students. Two of the most prominent, the Omega Schools in Ghana and Bridge International Academies based in Kenya, have hundreds of campuses charging as little as $6 a month. They locate in cheaply rented spaces, hire younger, less-experienced teachers, and train and pay them less than instructors at government-run schools. The company argues that by using a curriculum reflecting its expertise, plus digital technology—computers, tablets, software—it can deliver a more standardized, higher-quality education at a lower cost per student. All Pearson-backed schools agree to test students frequently and use software and analytics to track outcomes.

 
“Not every Pearson-backed chain will succeed, but the company can use the outcomes to assess which models work best. Pearson will have a stake in the winners; the Affordable Learning Fund takes at least one seat on each board. The goal is to serve more than a million students by 2020….

 

“Pearson’s corporate reputation doesn’t help matters. In the US, just the mention of its name is enough to make some education activists apoplectic. In 2014 the company was implicated in an FBI investigation of unfair bidding practices for a $1.3 billion deal to provide curricula via iPads to the students of Los Angeles Unified School District. Meanwhile, in New Jersey, Pearson monitored the social media accounts of students taking its Common Core tests and had state officials call district superintendents to have students disciplined for talking about the exam. Barber himself points out to me that his face appears as “the seventh-scariest person in education reform” on an anti-Common Core website.

 

“Yet in many parts of the world, low-cost private schools are a big step up from existing public schools, where buildings may be falling down, philanthropic grants are used to line local officials’ pockets, and teachers don’t bother to show up. The father of Nobel laureate and youth education advocate Malala Yousafzai himself started a chain of low-cost private schools in Pakistan.

 

“Barber’s thesis is simple: If his company can offer a better option, millions of families…will vote with their feet. “Technology and globalization are going to change everything, including the status quo in education,” he says….

 

“Because space is tight, the schools have no nurse’s office and no science lab. Some have no gym or play space. One amenity offered everywhere is closed-circuit cameras, a nod to parents’ paramount concern: physical safety.

 

“Pearson models do vary by setting and the visions of individual entrepreneurs. All of them, though, save money on teachers and claim they still deliver a superior education—even though most research shows that teacher quality is the single most important factor in a student’s education. Donnelly and Barber draw parallels to US charter schools, which employ younger, less-experienced teachers without union protections, and to Teach for America, which places recent college grads into the country’s most challenging classrooms with just five weeks of training….

 

 

“But a matchup between a $9 billion public company and the impoverished governments of developing countries looks lopsided, to say the least. If Pearson achieves its vision, only the most destitute would remain in public schools in the world’s largest and fastest-growing cities. Or those schools would close down altogether, as governments increasingly outsource education—a fundamental driver of development and democracy, a basic human right, and a tool of self-determination—to a Western corporation. Teaching would become a low-paid, transient occupation requiring little training. And Pearson would try to bring the lessons it learns in Africa and Asia to education markets in the US and the UK.

 

 

“One morning in Manila, I had breakfast at a five-star hotel with James Centenera, who…was key to launching the APEC schools. In his view, for-profit schools have quickly become an accepted part of the educational landscape here—just another option. “I’m glad people have stopped asking whether the schools are better.” Startled, I realized his remark spoke to a mantra of Barber’s: irreversibility.

 
“In other words, create enough momentum around any change and you’re no longer arguing the merits of your idea. You’re simply treating it as a fact on the ground and rallying others to the cause.

 

 

“What makes this a most effective path to change is also what makes it terrifying and infuriating to critics. Inserting itself into the provision of a basic human service, Pearson is subject to neither open democratic decisionmaking nor open-market competition. The only check on its progress will be the tests that Pearson itself creates.”

 

 

 

 

 

 

 

 

C. Patrick Burrowes is anoxia list who was born in Liberia and educated in the United States. He is very concerned about a pending deal to outsource Liberian education to Bridge International Academies, which USA for-profit company controlled by American investors, including Bill Gates and Mark Zuckerberg.

 

 

Burrowes writes:

 

 

A Bridge Academies investor goes on the offensive:

http://ssir.org/articles/entry/a_big_problem_a_small_experiment_and_a_lot_of_noise

 

I expect Kevin Starr (as an investor in Bridge Academies) to support the company’s take over of Liberian elementary schools. After all, this deal would result in rapid returns on his investments. Too bad, he resorts to playing loose with the facts while smearing critics.

 

He begins by mislabeling Bridge as an “African” company. He would be hard pressed to name a single African investor in the exclusive white male Silicon Valley backers of this venture. If Africans and others are crying foul, it’s because we seen these “well-intentioned” schemes play out to our detriment time and time again. And when it all comes crashing down, Kevin and all the other we-know-better-than-Africans-what’s-best-for-them set will be nowhere around to pick up the pieces.

 

If the school-in-box rote-teaching method employed by Bridge Academies is so great, why not sell it in the U. S. first? Truth is, the company is a bottom feeder, preying on the weakest of the weak. It avoids countries where educational and teaching standards are enforced.

 

Far from encouraging competition (as Kevin suggested), the company secured its take-over of Liberian school through a no-bid process from a government noted for high levels of corruption, even by African standards.

 

The author claims this deal isn’t going to make anyone a ton of money, as if Bridge Academies is a non-profit. Far from it, the company’s own pitch to investors highlights the obscene profits to be made in this “market,” meaning its automaton schools for producing uncritical worker bees.

 

Kevin is dismissive of “tribal” rights and adopts a breezing tone that’s completely inappropriate given the gravity of what’s at stake. Bridge Academies and its know-it-all fat cats are not only endangering the future of Liberia. They are also putting at risk the principle of universal public education, which has benefited their societies for hundreds of years. All on a whim and with the cockiness of a high-roller at a craps table.

 

I wonder if he would be so cavalier about radical policy changes that affected the education of his kids?

 
C. Patrick Burrowes

District officials in California have confided in me that it is virtually impossible to stop a charter proposal, no matter how bad it is or how little it is needed. If the district turns down the proposal, the charter advocates appeal to the Los Angeles County School Board, where they are often approved. In the off-chance that both the district and the county turn down their proposal, the advocates appeal to the state, where they are almost certain to win approval.

 

Here is an example.

 

Two parents proposed to open a dual-language immersion school that would teach Spanish, German, Italian, and French. The school would be called the International Studies Language Academy. The Glendale school board voted against the proposal, 5-0. The proponents appealed to the County office, which did an extensive review and turned them down, 5-1.

 

Staff at the Los Angeles County Office of Education weighed the petition as part of the Charter School Review Team, made up of county officials drawn from various departments, including the controller’s office, the curriculum department and the division of accountability.

 

County officials determined the plan “provides an unsound educational program” and that the petitioners “are demonstrably unlikely to successfully implement the proposed educational program,” according to the report.

 

“We’re disappointed, but know the political climate is tough for charters in the L.A. area right now,” Bonacci said in an email.

 

Similar to Glendale school board members, county officials found several faults with the school’s financial plan and deemed it “unrealistic,” in the report, highlighting how the school underestimated teacher salaries, benefits and the cost for books and materials.

 

In another instance, county officials noted that the school planned to mail bank statements directly to Academica, a Florida-based charter school operator.

 

The school’s lack of internal control in processing checks “can result in fiscal mismanagement,” the report stated.

 

Despite those findings, the petition has won support from the California Charter Schools Assn., whose manager for regional advocacy, Allison Hendrick, urged that the county board approve the appeal.

 

Ah, so the school will be managed by Academica, the political powerhouse in Florida that operates for profit. Due diligence would suggest that the California officials learn more about Academica, whose owners have assembled a vast real estate empire. In Florida, Academica had the help of a state senator who chairs the education appropriations committee. Who will help them in California?

 

Let’s see what happens to this petition, where local officials declared it to be pedagogically and financially unsound.

 

 

Now here is a conundrum: Why would the charter school lobby donate $50,000 to a candidate for State Attorney General who is already backed by the Pennsylvania State Education Association, the teachers’ union?

 

Steven Singer poses that question here. Pennsylvania is a state that is rife with charter school scandals. Such scandals would normally be investigated by the State Attorney General. Duh. If Josh Shapiro gets elected, let’s see how vigorous in investigating the scandals that Singer links to in his blog, and how vigorously he prosecutes the charlatans and frauds who are profiting off the gullibility of parents.

 

Singer asks:

 

 

What’s the best way to avoid a charter school scandal?

In Pennsylvania, apparently you bribe the Attorney General.

 

That may be why Students First PAC donated $50,000 to Josh Shapiro, a Democrat running for the position.

 

This political action committee is not to be confused with the infamous national group founded by Michelle Rhee. Students First PAC is a state organization that typically contributes to charter school friendly candidates.

 

And $50K is quite a chunk of change in a State Attorney General race – the office in charge of prosecuting charter schools for breaking the law.

 

 

Charter school scandals have been an almost weekly occurrence throughout the Commonwealth. Chester Community Charter School, the state’s largest brick-and-mortar organization, is under investigation for pocketing $1.2 million “in improper lease-reimbursement payments.” As Philadelphia public schools are being closed due to a miserly state budget, “nonprofit,” charter operator Aspira Inc. was caught using public money to boost its real estate holdings instead of using those funds to educate children. Nicholas Trombetta, the founder of Pennsylvania’s largest cyber charter, an institution that operates exclusively over the internet, “was charged with fraud, for funneling $8 million of the school’s funds into his personal companies and holdings.”

 

It’s easy to see how having the state Attorney General on your side would benefit an industry rife with fraud and malfeasance.

 

Shapiro, chair of the Montgomery Country Board of Commissioners, is the odds on favorite to succeed Kathleen Kane as the state’s highest ranking law enforcement officer.

 

He is running for the Democratic nomination against Northampton County District Attorney John Morganelli, and Allegheny Country Attorney General Stephen Zappala.

 

Despite strong corporate education reform ties, Shapiro has been endorsed by the Pennsylvania State Education Association (PSEA), the largest teachers union in the Commonwealth.

 

Julian Vasquez Heilig announced on his blog that he will soon open a new “center” for the study and support of Education Profitization.

 

He says he has pledges of $10 million each from the Gates Foundation, the Broad Foundation, the Arnold Foundation, and the Donald Trump Business Casual Clothing Foundation.

 

Where is the Walton Foundation?

 

Heilig writes:

 

I sincerely hope that the new Center will work closely with the University of Arkansas College of Education Faculty, Fordham Foundation, ALEC, BAEO, Education Next, Libre and every other neoliberal so we can make this money.

California’s Attorney General Kamala D. Harris won a settlement in excess of $1.1 billion against defunct for-profit Corinthian Colleges for defrauding students  with false advertising. There is a website in the linked article where students can apply for restitution. Since the corporation is bankrupt, they may never see any repayment. The entire for-profit sector is a mighty scam; they should all be tightly regulated for fraud and predatory practices. Or shut down before more students are ripped off.

 

The Los Angeles Times reported:

 

 

Granting a default judgment, San Francisco Superior Court Judge Curtis Karnow found that Corinthian Colleges provided untrue or misleading statements about graduates’ job placement rates, duping both students and investors, and that the Santa Ana-based company unlawfully used U.S. military seals in advertisements, among other claims.
The for-profit college operator, which filed for bankruptcy protection in May, was also faulted for advertising programs or degrees that it didn’t offer, such as training programs for X-ray and dialysis technicians, according to court papers.

 

The judgment found that Corinthian and its subsidiaries had unfair and unlawful debt collection practices, including barring students from attending classes if they were behind on loan payments, and that they failed to disclose their role in the “Genesis loan” program.

 

Corinthian Colleges, along with its Heald College business, were also faulted for misrepresenting the likelihood of whether academic credits earned at their programs could be transferred to the Cal State system, according to court papers.

 

In his 21-page judgment, Karnow ordered restitution of $820 million for students and civil penalties of just more than $350 million.
“For years, Corinthian profited off the backs of poor people — now they have to pay. This judgment sends a clear message: There is a cost to this kind of predatory conduct,” Harris said in a statement.

 

Harris filed suit against Corinthian Colleges Inc. and its subsidiaries in 2013, accusing the company of targeting low-income students with a “predatory scheme,” touting untrue job placement rates.

 

The attorneys for Corinthian did not appear at hearings, because they say the  corporation is bankrupt and there is no one to represent.

 

 

 

 

The world of rightwing corporate reform is ever-changing. It seems like only yesterday that Michelle Rhee announced her intention to challenge teachers’ unions, destroy tenure, and take away due process from teachers across the nation. She said she would raise $1 billion in a year and gather 1 million members for her new organization, which she called StudentsFirst, because (she said) teachers don’t care about students, only billionaires really care. She did raise some money–only $7 million or so, far from $1 billion–and she spent it trying to elect Tea Party Republicans and others who support charters and vouchers. Her organization turned into the public voice of anti-teacher, anti-public school activism. But in 2014, she stepped back from the national stage to help her husband Kevin Johnson, the Mayor of Sacramento (whom she married in 2011), and joined the board of Scott’s Miracle-Gro. She also assumed the chairmanship of her husband’s charter chain, St. Hope.

 

And now we learn that Michelle Rhee is folding the tents of StudentsFirst and merging it with 50CAN. The latter organization is funded by hedge fund managers and the Sackler family of Connecticut, whose fortune was made from pharmaceuticals, specifically the opiod drug Oxycontin, that is now causing so much addiction and death across the nation. Forbes says they are the 16th richest family in America. Jonathan Sackler’s daughter Madeleine made a documentary about Eva Moskowitz’s Success Academy charter chain called “The Lottery.” It gave viewers the impression that these were the world’s most magical schools, and any child lucky enough to win the lottery would have a blessed life. Never having attended a public school, she bought into the myth that they are horrid places that one must escape from, and that charter schools are sort of like the private school she attended in Greenwich.

 

The leader of StudentsFirst is Jim Blew, who most recently worked for the Walton Family Foundation (e.g., Walmart money), which funds StudentsFirst, Teach for America, KIPP, and every organization that promotes the privatization of public education. Now Blew will head the California branch of StudentsFirst, whatever is left of it after the merger.

 

What a close and tight knit world the corporate reformers live in!

 

 

 

As previously reported here, the Liberian government is considering a plan to privatize and outsource control of its schools. The good news is that Liberians are fighting back against this proposal.

 

“Local and international experts have planned to fight tooth and nails to ensure that a plan by the Government of Liberia to outsource all primary education here to a private company do not push through.

 
“Liberia’s plan is to privatise all primary and pre-primary schools over the next five years. Public funding will support services subcontracted to a private company – the Bridge International Academies, a company incorporated in the United States under the name New Globe School Inc.

 
“Already the Liberian Government through Education Minister George Werner has signed a Memorandum of Understanding or MOU with the Bridge International Academies to kick start the process-a pilot project is said to be ongoing with 70 schools.

 
“The cash scrap government of Liberia is expected to spend around US430 million over the five years period. There is also a question as to whether the PPCC rules were followed in awarding such contract to Bridge International Academies.

 
“International and local experts say such arrangement is not only a blatant violation of Liberia’s international obligations under the right to education, and have no justification under Liberia’s constitution, but will also deny indigents and poor access to quality education.
Mrs. Hester Williams Katakaw is the Proprietress of the Levi Williams School System and a former deputy education minister for instruction under President Ellen Johnson Sirleaf’s first term. She says education stakeholders here will not allow such arrangement to push through.

 
“We will resist it and make sure that it does not go through at the National Legislature”, Mrs. Williams Katakaw told this paper Wednesday. She says government has a responsibility to ensure that all children here are educated and that pushing such responsibility on a foreign firm is not in the best interest of Liberian children.

 
“Mrs. Katakaw questions the performance of Bridge International in other countries saying, “they have failed miserably in other countries and we are not going to allow them to come do the same here”. She says Liberian children at those tender ages should be educated by Liberian teachers and not foreigners.

 
“Education Minister Werner appears very defensive on this arrangement. In his letter dated March 3, 2016 addressed to the Secretary General of the National Teachers’ Association of Liberia or NTAL, Mr. Samuel Y. Johnson, Sr. following the launched of a pilot project involving 70 schools, he said the pilot project is a private partnership and not privatization.

 
“…I must correct your characterization of the pilot as privatization, and somehow threatening the provision of free education. As we have communicated to your members including at the January meeting, the pilot will not involve any privatization of education…”

 
“However, following this communication an agreement was entered into with Bridge International. When this paper contacted officials at the Ministry of Information Wednesday, its Communications Director Maxim Bleteen handed copies of the minister’s letter to the NTAL saying the minister had requested him to give a copy to any reporter seeking information on the privatization deal.

 
“He claimed that the letter addressed the issue of the Public Procurement Concession Commission rules but nothing of such was mentioned. “It is completely unacceptable for Liberia to outsource its primary education system to a private company”, the United Nations Special Rapporteur on the right to education, Kishore Singh said Tuesday in Geneva.

 
“This is unprecedented at the scale currently being proposed and violates Liberia’s legal and moral obligations,” he said. “Such arrangements are a blatant violation of Liberia’s international obligations under the right to education, and have no justification under Liberia’s constitution,” the Special Rapporteur stated.

 
“This also contradicts political commitments made by Liberia and the international community to the fourth UN Sustainable Development Goal which is on education and related targets.” He cautions that public schools and their teachers, and the concept of education as a public good, are under attack with such arrangements.

 
“Provision of public education of good quality is a core function of the State. Abandoning this to the commercial benefit of a private company constitutes a gross violation of the right to education,” Mr. Singh emphasized.

 
The human rights expert noted that “it is ironic that Liberia does not have resources to meet its core obligations to provide a free primary education to every child, but it can find huge sums of money to subcontract a private company to do so on its behalf.”

 
“These sums could be much better spent on improving the existing system of public education and supporting the educational needs of the poor and marginalized,” the Special Rapporteur suggested. Mr. Singh called on the Government of Liberia to approach the UN Educational, Scientific and Cultural Organization (UNESCO) for technical assistance and capacity building, instead of entering into such partnerships with for-profit providers in education, “devoid of any legal or moral justification.”

 
“Before any partnership is entered into, the Government of Liberia must first put into place legislation and policies on public private partnerships in education, which among other things, protect every child’s right to education,” Mr. Singh said.

 
“There also needs to be an independent body or institution established to receive complaints of potential violations of the right to education that might result from this development,” he added. The Special Rapporteur emphasized that “education is an essential public service and instead of supporting business in education, governments should increase the money they spend on public educational services to make them better.”

 
“In a letter addressed to President Ellen Johnson-Sirleaf dated March 21, 2016, the International Trade Union Confederation (ITUC-Africa) called on president Sirleaf to halt the planned outsourcing of primary education here.

 
“…this policy will seriously undermine the right to educate and eclipse opportunities for indigent and poor individuals, families and communities to use education to claw out of poverty and hardship,” the letter signed by Kwasi Adu -Amankwah, ITUC-Africa General Secretary said .

 
“The ITUC-Africa (www.ituc-africa.org) is a Pan African trade union organisation representing over 17 million workers in 49 African countries, including Liberia. In its letter ITUC-Africa further stated “ITUC-Africa is supporting and strongly reiterating the calls by the National Teachers’ Association of Liberia (NTAL) and the Educational International (EI) urging your government to halt the proposed measure to outsource Liberia’s primary education system to private for-profit actors.”

 
“ITUC-Africa therefore urges Madam President to use her good offices and goodwill to stay action on the implementation of this policy,” the union added. The PPCC Director of Communications Nathan Bangu promised to return a call requesting information on as to whether Minister Werner got the PPCC barking before signing an MOU with Bridge International Academies.”

 

 

Paula Dockery, a former Republican legislator in Florida, explains how last-minute legislative maneuvering enables special interests to cram their priorities into overstuffed bills and into law. The writing of a bill in the closing days of the session, she says, is like a train running down the tracks. All kinds of things get added without public discussion.

 

 

The charter industry has been a beneficiary of these tactics.

 

 

Dockery writes:

 

 

“The final bill is a conglomeration of unrelated and contentious education policies. It allows students to transfer to any public school anywhere in the state if there is capacity — a nightmare for school district planning and budgeting. It allows high school athletes who change schools to be immediately eligible to play — which opens up high school athletics to potential recruiting.

 

 

“It financially punishes school districts for overspending on construction while making it easier for charter schools to get access to capital funding. It attempts to weaken the school board membership association that often disagrees with legislative policy changes. It relies on performance measures to determine college and university funding.

 

 

“On a positive note, it creates a funding formula for charter school capital costs that favors charters that serve poor and disabled students.

 

 

“Unfortunately, a key Senate proposal that prevented charter school operators from using public funds to build or improve facilities they own for their private gain was removed from the bill at the House’s insistence. Wasn’t this the reason for the train in the first place?”

 

 

The Liberian government is close to signing an agreement with private, for-profit corporations to provide education.

 

The teachers’ union called on the government to consult with all concerned parties before agreeing to privatize and outsource the nation’s schools.

 

As we have seen in earlier communiques (see here and here), Western corporations are focused on Africa as fertile territory for low-cost, for-profit education, using ill-trained teachers who read from a script.