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The Los Angeles Times reports that the charter chain founded by LAUSD board member Ref Rodriguez has now accused him of financial misdeeds. He was accused last month of money laundering during his campaign for the board seat. Rodriguez was put into office by the charter billionaires associated with the California Charter School Association. After the defeat of Steve Zimmer by Nick Melvoin last spring, The board had a charter majority for the first time and was on the cusp of privatizing many more schools. After his indictment, Rodriguez stepped aside as board president but refused to give up his seat.

Will Rodriguez cling to his seat? Will Eli Broad and Reed Hastings and Alice Walton have to buy a new board seat?

“The charter school network that L.A. school board member Ref Rodriguez co-founded and ran for years has filed a complaint with state regulators alleging that Rodriguez had a conflict of interest when he authorized about $285,000 in payments drawn on its accounts.

“Officials at Partnerships to Uplift Communities, or PUC Schools, filed the complaint Friday with the state’s Fair Political Practices Commission.

“According to the complaint and documents reviewed by The Times, the vast majority of the money transfers that Rodriguez authorized and PUC has flagged went from school accounts to Partners for Developing Futures, a nonprofit under his control.

“An attorney who reviewed the records for the school network said he has found little or no evidence so far of services provided for these payments.

“The payments were made in 2014, but do not appear to have been properly authorized,” said attorney Gregory Moser, whose firm was hired by PUC to conduct the investigation. “Nor are the purposes of the expenditures and benefit to the schools adequately documented, our investigation revealed.”

“PUC’s senior managers said they uncovered the transfers — made in a series of checks — while responding to questions and requests from The Times in compliance with the state’s Public Records Act.

“The conflict-of-interest allegations could add to Rodriguez’s legal problems.

“Last month, prosecutors charged him with three felonies and 25 misdemeanors for alleged money laundering in his school board campaign. Rodriguez is accused of soliciting people to give him donations and then illegally paying them back.”

Charter Schools Education Los Angeles Board of Education

Eli Broad says he is stepping down from leadership of his foundation to “devote more time to his family.” This is cause for the New York Times to speak of his many gifts to the cultural life of Los Angeles.

We can only hope that he steps away from his hyperactive efforts to privatize public schools in Los Angeles and elsewhere. Eli Broad and his wife Edythe are graduates of the public schools of Detroit. But they feel no gratitude to the Great Democratic Institution that helped to lift them into a life of great riches.

Maybe they hated their teachers.

For whatever reasons, Eli Broad has contributed a significant bit of his vast fortune to training Superintendents to close public schools and replace them with privately run charters. They are known across the nation as “Broadies” and are viewed by parents and teachers as top-down bullies. He has created a plan to put half the children in Los Angeles into private charters. He contributes to publications and policy groups that defame public schools.

Why the hostility to public schools? Why doesn’t he want to make public schools the best they can be instead of undermining and closing them?

I don’t have the answer but I do recall meeting with Eli in his gorgeous penthouse on Fifth Avenue in New York City. What stuck with me was his frank admission that he knew nothing about education but was certain that good management was the key to solving the problems of urban education.

When he looks over his accomplishments, education reform will not be one of them. He meddled heavily in Detroit, and he and DeVos cannot call it a success for their shared philosophy.

There is not a single district he can point to with pride and claim success.

He has been a destructive force in the world of education. His love of disruption produced nothing but disruption.

While he is retiring from an active role in philanthropy, don’t be surprised if he continues to meddle in education, about which he admittedly knows nothing but has very strong opinions.

A few days ago, Peter Cunningham of Education Post (and former communications director for Arne Duncan and reliable critic of public schools and unions) wrote an article defending Ref Rodriguez, the then-president of the Los Angeles Unified School District Board, who has been indicted on multiple counts for money laundering and campaign finance fraud. Cunningham said that Ref was being treated harshly because of his prominence and that he had simply made “a rookie mistake.”

Steve Lopez, a regular columnist for the Los Angeles Times, refutes Cunningham’s claims in this article.

He also answers a question that bothered me about Ref’s indictment. Why is it illegal to give money to your own campaign? As Lopez explains it, it is not illegal to give money to your own campaign, but it is illegal to pretend that you received that money from other people and then repay them for pretending to give you money.

Lopez writes:

The chief of a nonprofit that advocates for charter schools — which Rodriguez has championed — argued in a Times op-ed that the charges against Rodriguez are overblown and he should stay on the board.

“If the allegations are true, Rodriguez clearly made a rookie mistake,” said the op-ed, which called Rodriguez a humble, sincere and polite political novice who should pay fines if he broke the law but not lose his job.

A rookie mistake? Here’s my take:

If you field a double off the wall in the right field corner, wildly fling the ball over the head of the cutoff man and give up an extra base, that’s a rookie mistake.

If you pull someone over on your first night as a cop, forget to put your patrol car in park and then watch it roll over your foot as you’re writing a ticket, that’s a rookie mistake.

Rodriguez is charged with taking $26,000 of his own money and redistributing it through an intermediary to 25 people, mostly friends and relatives — who donated $24,250 to his 2015 campaign for school board.

What’s that smell like to you?

A rookie mistake, or a premeditated strategy to work around campaign law?

The L.A. district attorney’s office, which has filed 25 misdemeanor charges along with the three felonies, seems to think Rodriguez pulled off a money-laundering scheme.

And here’s the most interesting thing about the case:

If Rodriguez had donated the $26,000 to himself, that would have been legal because there’s no limit on how much you can dump into your own campaign.

So this leaves the jaded among us to wonder if Rodriguez —who has admitted to nothing, and whose lawyer did not return my call — wanted it to appear as if he had support from ordinary people, rather than just the charter-advocating high-rollers who bankrolled his campaign.

If so, here are some pointers for future reference:

Tip 1: If you want to make it look as if you’re a strong enough candidate to attract donations from working people, try to find more working stiffs who aren’t relatives or employees at the charter school organization you founded.

Tip 2. Janitors and tutors do not typically donate between $775 and $1,100 to school board candidates, and when they do, it raises suspicion.

Tip 3. Never, ever, drag your own mother into a harebrained, bone-head scheme, even if your name is Soprano. There is no way to reverse that kind of bad karma.

As prosecutors lay it out, Rodriguez cashed out a business investment and wrote the $26,000 check to a female cousin, who has also been criminally charged. The cousin — an administrator at the charter school Rodriguez started — is suspected of depositing the money into a bank account under the names of Rodriguez’s parents. Prosecutors say Rodriguez’s mother then signed 16 checks for friends and family members who were listed as donors to her son’s campaign.

I know, innocent until proven guilty. But this sounds like one hell of a rookie “mistake.” And if you’re someone who frets about awkward conversation at family gatherings during the holidays, just thank the holy gobbler you’re not spending Thanksgiving with the Rodriguez clan this year.

This was a fairly sophisticated strategy on Ref’s part, and he faces a criminal indictment.

He stepped aside as board president, but did not leave the board. So many millions were spent to get him elected, and he does not want to disappoint his backers, who funded one of the dirtiest campaigns ever seen in Los Angeles (his ads mocked his highly qualified opponent, Bennett Kayser, for his age and disability). He wanted to make sure the pro-charter majority maintained its control. He knew for two years that he was under criminal investigation, but kept this to himself.

Now, investigators and journalists will look closer at Ref’s finances. Where did the $26,000 come from? It is not only “the union” that wants to know. It is anyone who cares about ethics in government.

Stepping aside and keeping his seat is wrong. He should resign from his position from the board at once.

Ref Rodriguez was elected to the Los Angeles school board in 2015. He ran against a respected educator named Bennett Kayser and used some extremely negative television ads. Kayser has a physical disability, and one of Ref’s ads showed a shaking hand holding a tea cup, then dropping it. It came as close to stereotyping someone on grounds of physically disability as possible. It was ugly.

Questions were raised about the finances of Ref’s charter chain, about food services.

A small publication called the LA Progressive raised questions about his campaign donations.

Rodriguez’ campaign disclosure filings with the City of Los Angeles show that several staffers of his charter school, Partnerships to Uplift Communities (PUC), gave small donations in December 2014, before a filing deadline at the end of the year. What is odd and striking about several of the donations is that they come from PUC staffers who first made a very small donation early in the month and then, in the last 3 days of the year, suddenly ponied up the largest donation allowed by campaign ethics laws. Six donated the maximum $1,100. One paid $850.;;;

What is highly irregular about this pattern of donations to Rodriguez, however, is the job category of the PUC employees and the timing of their donations.

A janitor, a tutor, a parent organizer, two maintenance workers, a kitchen manager, and an office manager would not raise eyebrows for donating $25, $50, or even $100 to a candidate, as these seven PUC workers did within days of each other in mid-December 2014.

None of that mattered. He won. He was backed by the usual cabal of very wealthy charter supporters who wanted to put one of their own on the school board.

These donations seem to be at the center of an investigation of campaign finance violations by Ref. A number of charges have been filed against him for breaking the law. He stepped down as LAUSD president, but he did not leave the board. It is unseemly for a public official facing criminal charges to stay in a position of authority, but there he is. Doing it.

Peter Cunningham, who used to be Arne Duncan’s communications director and now runs the pro-charter Education Post, funded by the same people who fund California’s charter schools, wrote an article in defense of Ref. He thinks that what Ref did, if he did it, was a mistake made by a rookie. He thinks that it was unfair to bring criminal charges against Ref when others have done the same things and not faced criminal charges. He thinks that the prosecutors in Los Angeles are persecuting Ref “simply because he was elected board president.”

Up until now, no one has alleged that the district attorney was acting improperly. Ref should not be treated unfairly, but then again, he should not get special treatment just because he founded a chain of charter schools and is beloved of Eli Broad, Reed Hastings, and the California Charter Schools Association.

Justice should be swift and unbiased. Let Ref Rodriguez make his case in court, not in the media.

This is a new kind of charter school scandal. A virtual school enrolled students already enrolled in Catholic schools and claimed full state tuition. The virtual school gave the Catholic school cash and laptops. Meanwhile, the parents paid tuition to the Catholic school. In effect, the students attended two schools.

Bizarre new world of profit-taking.

http://www.latimes.com/local/education/la-me-edu-lennox-virtual-academy-20170920-story.html

Ref Rodriguez, amidst criminal charges of money laundering, relinquished the presidency of the Los Angeles Unified School District aboard but is remaining on the board. This enables the pro-charter majority to retain control. Long-time charter supporter Monica Garcia will serve as board president until a new election is held.

“Less than three months into his role as president of the Los Angeles Board of Education, Ref Rodriguez announced Tuesday that he would step down from that post to spare the school district the distraction of a criminal case filed against him last week.

“Rodriguez, 46, said he would retain his seat on the board.

“The development is a stunning turnaround both for Rodriguez and supporters of charter schools, who spent record sums in independent campaigns to elect a board majority that is widely viewed as pro-charter.

“In 2015, Rodriguez broke ground as the first member of the board to have deep ties to the charter school community as the co-founder of a charter organization.”

It would be a huge disappointment to Eli Broad, Richard Riordan, Reed Hastings, and Alice Walton to lose control of the board in which they invested so many millions.

Because Rodriguez intends to remain on the board, the charter-friendly majority should remain intact, but his legal problems have become a cloud over what he and the new majority have called their “kids-first” agenda.

You remember Ben Austin? He is the guy in Los Angeles who started an organization called Parent Revolution whose purpose was to organize parents to seize control of their public school and turn it over to a charter operator. This process was made possible by a law passed in 2010 called the Parent Trigger, which says that a majority of parents can sign a petition to grab control of their school and fire the principal, the staff, or give the school to a private charter operator.

A bunch of billionaires, including Eli Broad, gave him millions of dollars to pay organizers to train parents to sign petitions. For a few brief shining moments, the Parent Trigger was the New Coke of education. Rightwing billionaire Philip Anschutz funded a movie to sell the Parent Trigger, but it flopped in the blink of an eye.

Seven years and many millions of dollars later, Parent Revolution can claim the capture of one public school for the charter industry. One. And they got a dedicated Hispanic principal fired. That’s it.

So it’s time for Ben Austin to start a new organization with another pile of money, including billionaire Eli Broad. It is called Kids Coalition. Apparently Austin’s new strategy is to sue and sue until every child has a great education.

That will work about as well as the Parent Trigger, but hey, it’s a living, for as long as the money keeps coming in. Eli has so much. What’s another few million?

The most interesting part of the story is the photograph of Austin. I tried to decipher the books behind him. There is Michelle Rhee’s “Radical.” Steve Brill’s paean of praise to DFER (“Class Warfare”), something by David Brooks. The thinking of a reformer. A real radical. A guy who knows how to start organizations with catchy names. A guy who has his hand on the pulse or purse of very wealthy donors.

http://laschoolreport.com/exclusive-ben-austin-launches-kids-coalition-to-give-la-students-a-legal-right-to-a-high-quality-education/

My favorite quote from the story:

“He also noted that when he drops off his daughters and walks them into their classrooms, the classroom looks, smells, and operates the same way his LA Unified classroom did 40 years ago.”

Maybe he could succeed in changing the smell of the classrooms of L.A. Distribute a spray can to every teacher. That will definitely produce a new smell.

The Los Angeles Times knows that it is a truly bad idea to let a billionaire buy a school of his choice in the LAUSD, but hey, it is Eli Broad, and he does provide $800,000 a year to underwrite education coverage in the LA Times.

LAUSD already has STEM schools, but this is Eli’s STEM school, and he really wants it.

Besides, it will provide wonderful resources for a few hundred kids in the nation’s second biggest school district, so who can say no?

So much for public education. So much for deliberation and due process. So much for billionaires buying whatever they want.

Does the LA Times agree that any other rich person should be allowed to get funding from the state for any school they want to open? Oh, yeah, that’s charter schools.

The LAUSD board split on the issue, with the pro-charter majority (all in debt to Eli Broad) supporting it, and the anti-charter minority saying that the district already has many excellent STEM programs which could use extra funding. (If they voted again today, the vote might be a tie, since the president of the board was just charged with multiple felony counts of campaign finance fraud.)

But with Eli, enough is never enough. He enjoys sticking his big thumb into the public’s eye and expecting gratitude.

Let us never forget that he secretly contributed money to defeat a ballot proposition to increase funding for the public schools.

If he can’t control them, why bother?

Public radio in Los Angeles supplies more details on charges against Ref Rodriguez.

If convicted, he faces up to four years in prison.

This story broke in the LA Times just minutes ago.

“Los Angeles Unified School Board President Ref Rodriguez was charged on Wednesday with three felony counts of conspiracy, perjury, and procuring and offering a false or forged instrument, among other charges, the result of a months-long investigation by local authorities into donations to his successful first-time run for office in 2015.

“The charges against Rodriguez, 46, who represents District 5, which stretches from Los Feliz to South Gate, were detailed in a news release from Los Angeles County district attorney’s office.

“Prosecutors accuse Rodriguez of giving more than $24,000 to his own campaign, while illegally representing that the donations had been made by more than two dozen other contributors.

“The allegations come at a high point in Rodriguez’s political career. Elected board president in July, he currently presides over the first L.A. Unified school board majority dominated by members who were, like him, elected with major financial support from charter school advocates.”