The Los Angeles Unified School District closed down two charter schools that are part of the Celerity charter chain, because of financial abuses and mismanagement. The charters appealed to the charter-friendly State Board of Education, which rejected their appeal.

With amazing speed, the two charters changed their names and will reopen in the same buildings with the same principals and most of the same students and staff.

Celerity is the chain whose leader used School credit cards for designer clothes, shoes, expensive meals, and a limousine, while re eiving a salary of nearly half a million dollars a year.

This is what is known as “accountability” in California, where the California Charter Schools Association buys politicians and blocks any effort to hold charters accountable.

California must be so flush with cash that it simply doesn’t care how many millions are lost to charter school scams.

In California, accountability ranges between lax to non-existent, and charter leaders use public money with no oversight. Sometimes they are honest; sometimes they are not. Does it matter? Apparently the public doesn’t mind squandering its tax dollars to help charter owners get rich.

Here is the latest:

“LIVERMORE — An audit released Thursday suggests Livermore’s two charter schools misappropriated public funds, including a tax-except bond totaling $67 million, and mainly pointed the finger at former CEO Bill Batchelor.

“The audit was ordered by the Alameda County Office of Education in November and conducted by the Fiscal Crisis & Management Assistance Team (FCMAT).

“Analysis shows that the Tri-Valley Learning Corporation, which oversees the charter schools: Failed to disclose numerous conflict-of-interest relationships; diverted, commingled and/or misappropriated public funds, including tax-exempt public bonds totaling over $67 million with various private entities; and contributed to an environment of significantly deficient internal controls, according to a county statement.

“The lack of internal controls coupled with financing schemes designed to divert millions of dollars by Batchelor and others through relationships fostered between board members, close associates and other professionals with his nonprofit public and private companies created an environment that made it possible for the essential elements of fraud to occur,” the report states.

“The audit states that internal controls were “so weak” that Batchelor was able to divert $2.7 million of public charter school funds without any supporting documents, covering a span of five years.

“Nathan Ballard, Batchelor’s spokesman, maintained Batchelor’s innocence.

“Mr. Batchelor is innocent of any wrongdoing, and this audit doesn’t change that fact. He is just seeing the audit for the first time, but one thing is clear: Its conclusions are vague and are based a series of inaccurate assumptions,” Ballard said.

“The audit revealed that Batchelor controlled to some degree eight different entities at once during the time that a 2015 bond was issued for TVLC.

“TVLC and California Preparatory Academy went before the Alameda County Board of Supervisors to seek approval for a $30 million municipal bond to finance the purchase of a new high school building at 3090 Independence Drive in May 2015.

“The bond was approved and the Livermore Valley Charter Prep high school and the private school now share the same space.

“At the time of the bond, Batchelor, was the manager of Goldstone United Investments — the seller of the buildings and owner of the land purchased with public bonds. Batchelor was also the owner of California Preparatory Academy and San Francisco Bay Preparatory Academy, which were the co-tenants to the property at 3090 Independence Drive in Livermore.

“FCMAT points out conflicts of interests that Batchelor did not report. The paperworks reveals “a significant lack of disclosure of numerous entities in which Batchelor represented both sides of contracts and lease agreements, which benefited him personally.”

Here is a link to the audit.

Kevin McCarthy, State Assemblyman from Sacramento, published a terrific article in the Sacramento Bee with Joshua Pechthalt, president of the California Federation of Teachers, explaining what a rip-off for-profit charters are.

The last time the Legislature tried to prohibit for-profit charters, Governor Jerry Brown vetoed it. Let’s hope that as more legislators understand the frauds in both for-profit and non-profit charters, the Legislature will bar for-profits and regulate non-profits.

They write:

“Across California and the country, corporations are expanding their ownership and operation of charter schools and their profits, subsidized by taxpayers.

“In California, 34 charter schools operated by five for-profit education management organizations enroll about 25,000 students. These for-profit charter schools siphon hundreds of millions of dollars of taxpayer money away from students to generate massive corporate profits, and in many cases provide an inferior education.

“They exploit loopholes in California’s charter school law allowing them to cheat our students and reap huge profits at taxpayer expense.

“We have a long way to go before California’s public education system is adequately funded and cannot afford to line shareholder pockets with scarce state revenues.

“The Legislature has the opportunity to fix this flaw in state law. Assembly Bill 406, authored by Assemblyman Kevin McCarty and sponsored by the California Federation of Teachers, would prohibit for-profit corporations from operating public charter schools. The bill was approved by the Assembly on Wednesday and now heads to the state Senate.

“It is estimated that California taxpayers provide these companies with more than $225 million a year with little public transparency or accountability.

“K12 Inc., the state’s largest for-profit education management organization, received $310 million in state funding over the past dozen years. In 2016, it reported revenue of $872 million, including $89 million paid to its Wall Street investors.

“It pays millions to top executives while its average teacher salary is $36,000, thanks to heavy recruitment among young, inexperienced teachers, plus burnout and turnover.

“K12 Inc. operates 16 schools in California with about 13,000 students. The average graduation rate of its charter schools is 40 percent, while the statewide rate is 83 percent.

“Like many of these for-profit companies, K12 also overstates student performance and attendance data. Students who logged onto their computers for one minute per day were reportedly counted as full-time students, giving the corporation full average daily attendance funding from the state.”

Read more here: http://www.sacbee.com/opinion/op-ed/soapbox/article154084079.html#storylink=cpy