Archives for category: Scandals

Jonathan Chait writes for New York magazine, where his latest article appeared, opposing the U.S. Department of Education’s proposed regulations for the federal Charter Schools Program (CSP). CSP currently spends $440 million annually to underwrite new charter schools. Chait titled his article “Biden Abandons the Obama Legacy on Charter Schools,” but it might as well have been titled “Biden Abandons the Betsy DeVos Legacy on Charter Schools.”

Chait also attacked the Network for Public Education, which had issued two reports (see here and here) documenting the waste, fraud, and abuse in the CSP, based on the Education Department’s own data. NPE found that almost 40% of CSP funding went to charters that either never opened or closed within a few years of opening. In the life of the program, almost $1 billion had been wasted. In addition, NPE pointed out the scandals associated with some high-profile for-profit charter operators, as well as the use of CSP money to open white-flight charters.

This year, for the first time since the CSP was created nearly 30 years ago, the Department proposed to ban the funding of for-profit charter management organizations and of white-flight charters. The regulations also ask applicants for an impact analysis that describes what effect the new charter is likely to have on existing public schools and why the new charter is needed. These sensible reform proposals sent the charter lobbyists into frenzied opposition, claiming falsely that these regulations were meant to destroy all charter schools. This was nonsense because they would have no effect on the thousands of existing charters, only on applicants for new federal funding, that is, charters that do not yet exist.

Congresswoman Rosa DeLauro, chair of the powerful House Appropriations Committee, sharply denounced the lies and misrepresentations of the “trade organization” for the charter industry. But, despite her reproach, the charter industry still promotes dishonest diatribes about the Department’s efforts to reform the CSP.

Carol Burris, the executive director of the Network for Public Education, was incensed when she read Chait’s defense of the charter industry’s effort to protect the for-profit managers who have abused CSP funds and of the operators that have used CSP funding to provide white-flight charters.

She wrote the following response.

In his recent column, “Biden Abandons the Obama Legacy on Charter Schools,” Jonathan Chait is perturbed that the U.S. Department of Education referred Chalkbeat’s Matt Barnum to me for comment on an article he was writing about the Department’s proposed regulations for funding new charter schools. He then scolds Barnum for not disclosing that the Network for Public Education has received donations from unions. He calls Barnum’s story “neutral.” Chait’s source for this big scoop? The National Alliance for Public Charter Schools.

Jonathan Chait then parrots the “wild exaggerations and misrepresentations” that Rosa De Lauro called out last week after expressing her support for CSP reforms during the Education Department’s 2023 budget hearing. The Appropriations Chairwoman noted that “this kind of information campaign is a familiar tactic for the trade organization [National Alliance for Public Charter Schools]. It does represent charter schools that are run by risky low-quality for-profit education management organizations.”

You know those “wild exaggerations.” I wrote about them here. Obviously, Chait did not read the mentioned Barnum piece, which was solid reporting, and he certainly did not read the proposed regulations carefully (which Representative DeLauro described in a letter to Secretary Miguel Cardona about the charter industry’s misrepresentations). Or he just chose to twist facts and truth.

Now let’s talk about what Jonathan Chait failed to disclose as he opposed the CSP regulation reforms, using the same misinformation that has appeared in other op-eds.

His wife worked for Center City Charter Schools as a grant writer when that charter chain received two grants from the Charter School Program (CSP), the program whose loose rules he is now defending. Download the 2019 database that you can find here and match the years of dispersion to the resume of Robin Chait. But the undisclosed conflict continues to this day. Since 2018, Robin Chait has worked for West Ed which evaluated the CSP during the Betsy De Vos era. And her employer, West Ed, once got its own $1.74 million grant from CSP.

But back to NPE funding. During some recent years we got modest donations from unions to bring teachers to our conferences. At our very beginning, we received start-up funds from the Chicago Teachers Union through a fiscal sponsor, Voices for Children. That ended in 2015. We will always be grateful to our friend, the late Karen Lewis, for that jump-start. Karen foresaw the growing attacks on public schools and teachers as an ominous trend and wanted to encourage allies to support a bedrock institution of our democracy.

We appreciate any tax-deductible donations we get. You won’t get favors, but you will always get a thank you. Our income comes from individual donations from our large number of supporters—educators, parents, family foundations, and other citizens who have a deep and abiding love for public schools.

This is not the first time Chait has been called out for not disclosing his wife’s connections with charters. But given the topic and her work in organizations connected with the Charter School Program, this is the worst omission yet. Shame on New York Magazine for not making him disclose and for letting him play fast and loose with the truth. And shame on Chait’s hypocritical critique of Barnum even as he hides the family connections with the program he defends.

The Tennessee Holler asks a pertinent question:

Why did Commissioner of Education Penny Schwinn fail to mention her husband’s employer in her disclosure statement?

The Holler wrote:

This week some eagle-eyed Hollerers pointed out TN Ed Commissioner Penny Schwinn left TNTP, the company where her husband works, off of her source of income disclosure.

She listed it last year, but not this year, despite the fact that he remains on their website as a “Leadership Coach.”

This is especially noteworthy since TNTP was a recipient of an $16 MILLION contract from the Tennessee Education Department, a department Schwinn is in charge of… a fact that was not lost on legislators who raised the “Conflict of Schwinnterest” issue in committee last session.

Was leaving TNTP off the disclosure an oversight on Penny’s part? Was it intentional? Are they no longer married? Is he no longer at the company?

These are questions someone should ask, and we will next time we see her.

It’s worth noting that Schwinn has a history of conflicts of interest and self-dealing. They’ve been hallmarks of her career, showing up in both Delaware and Texas, her stops along the way since starting a charter school in Sacramento. She also ran for school board in Sacramento, where she was supported by Michelle Rhee, whose charters lobbyist organization 50 CAN now is affiliated with charter school lobbyist Victor Evans at Tennessee Can, who is now vocally pushing through the new TISA funding overhaul plan from Governor Lee, even standing with him at press conferences.

Victor does NOT want to talk to us about the connection between Michelle Rhee at his parent company and Schwinn, no matter how hard we try.

There is more. Open the link and follow the story.

Carol Burris is executive director of the Network for Public Education.

She writes:

For the past four years, the Network for Public Education has collected and posted charter school scandals from across the United States on a special page of its website entitled Another Day Another Charter School Scandal which you can find here.

NPE has now turned that page into an interactive research tool, allowing you to find a collection of stories by state, by scandal type and by keyword. For example, if you want to search any published story on scandals associated with Success Academy, just type in Success Academy into the query box and ten stories pop up.

Looking for stories regarding charter theft or fraud? Use the drop down menu and 177 stories appear.

At the beginning of the month, we load up all of the stories we found during the prior month. Check back in early December to see November’s scandals. We have presently cataloged stories from 2019 to the present. We plan to add 2017 and 2018 to the research tool shortly. One thing we know from doing this work is that if it is another day, there is another charter school scandal-which is quite remarkable given that there are only about 7500 charter schools in the United States.

The authorizer of the Hmong College Prep Academy in St. Paul, Minnesota, wants to fire the superintendent of the school after learning of big losses in the school’s funds.

A St. Paul charter school’s authorizer has placed the school on probation and recommended the board fire its superintendent after she lost $4.3 million of the school’s money investing in a hedge fund.

The authorizer, Bethel University, said Hmong College Prep Academy’s failed investment “illustrates areas of great concern related to managing finance, governance and legal compliance.”

Christianna Hang, superintendent and chief financial officer, founded the school in 2004. It’s now the state’s largest single-site charter school, with around 2,400 students in the Como neighborhood, and is building a $43 million middle school with financing facilitated by the city of St. Paul.

Hang was looking for opportunities to pay for that project when she ended up wiring $5 million to a hedge fund in 2019, in violation of the school’s policy and state law. The school is now suing the hedge fund.

Bethel’s Aug. 30 letter also cited “significant concerns” about conflicts of interest regarding the superintendent, her husband and a former school board member.

The first conflict involved Bridge Partner Group, a company owned by Hang and her husband, Paul Yang. The board in January approved a contract with the company, effectively converting Yang from the school’s chief operating officer to an independent contractor on a fully guaranteed, five-year contract worth around $190,000 a year; the board later reversed that move.

The second conflict involves Northeast Bank, which was chosen to finance $7 million of the middle school project while one of its vice presidents, Jason Helgemoe, served as vice chair on the Hmong College Prep board.

Bethel has directed the board to spend 90 days making numerous changes at the school, including dividing superintendent and chief financial officer into two separate positions and hiring a financial consultant who reports directly to the authorizer.

In addition, Bethel is “recommending” the board fire Hang and replace her with someone with no prior ties to Hmong College Prep and for the board to appoint a chairperson who is not employed by the school; the current chair is a teacher.

If you are wondering why there is a Hmong charter school, Minnesota has a long-established practice of authorizing racially and ethnically segregated schools. Defenders of the practice say the children are more comfortable going to school with children of the same background.

I remember when Southerners said the same about segregated schools in the 1950s.

When was the last time your school had millions to invest in the market?

Denis Smith went to graduate school in West Virginia and served as an elementary and middle school principal, director of curriculum, and director of federal programs in the suburban school system adjacent to the state capital. He subsequently moved to Ohio, where he was in charge of overseeing the state’s burgeoning and scandal-ridden charter sector. He wrote a warning to West Virginia, published in the state’s major newspaper, about its new charter law and what is likely to happen. It won’t be pretty.

He said that charters will not be accountable. They will divert money from the state’s public schools, while doing whatever it takes (campaign contributions?) to avoid academic and financial accountability.

He pointed out that the people of West Virginia will lose local control of their schools, as national charter chains move in.

Consider the irony that the leader of the founding coalition of the proposed West Virginia Academy is a professor of accounting. But then we should also know that, when it comes to all things related to charter school accounting and accountability, nothing adds up. Add to that the fact that these schools are free from many sections of state law, including school boards that are directly elected by the public. For example, in Ohio, where I live, charter schools are exempt from 140 sections of the state code.

Keep in mind that charter boards are hand-picked, selected by the companies that manage the school, where school governance by design is not accountable to the voters…

As a former resident of West Virginia and a school administrator in West Virginia and Ohio, it is my hope that the citizens of the Mountain State might learn from the mistakes of Ohio, which bears the distinction of having a refuse pile containing the wreckage of nearly 300 closed charter schools, some of which received funding but never opened, emitting a rancid, overpowering odor, a byproduct of bad public policy.

And speaking about waste, Ohio has spent more than $4 billion on the charter school experiment so far, an exercise that is hell-bent on using public funds for private purposes while skirting transparency and accountability requirements.

Smith asks the people of the state:

Are West Virginians, exploited for generations by energy companies, in favor of selling off their public schools?

Republicans have whipped up a frenzy in the states and in the conservative media that they control about “critical race theory.” They are blowing up the issue because it benefits their party in two ways:

First, it distracts public attention from the violent and unprecedented assault on the U.S. Capitol on January 6. They want to pretend that day—where their own lives were at risk—never happened. It was like “a normal tourist visit,” as one House Republican member said. It was a day of infamy that should never be forgotten, but Republicans are trying to bury it.

Second, the CRT dispute is the kind of cultural wedge issue that fires up the Republican base. They cheer as legislatures pass laws that would criminalize teaching about racism and sexism, because some students might feel bad to learn what really happened in the past.

Nikole Hannah-Jones is a celebrated journalist who has won major awards for her work. The current controversy was launched in reaction to “The 1619 Project,” which she organized and to which she contributed the introductory essay about the resilience of racism. It waspublished in a full issue of The New York Times magazine.

You know the story by now about how the journalism school at the University of North Carolina offered her the Knight Chair of Race and Investigative Journalism. But when the faculty decision reached the board of the university, they decreed that—unlike her white predecessors—she would not be offered tenure.

In response to ongoing protests by students and faculty, the board took another vote and agreed (9-4) to reverse their original decision and to offer her tenure. Hannah-Jones rejected their grudging offer and will instead create a journalism center at Howard University, the most prominent Historically Black University in the nation.

Mercedes Schneider posts here the story behind the scene, as written by Joe Killian of NC Policy Watch. Killian fills in the blanks about the influence on the original decision by Walter Hussman, the wealthy and conservative magnate who donated $25 million to UNC for the journalism school, which was renamed the Hussman School of Journalism. Initial reports suggested that he did not use his influence to affect the board’s decisions. Killian says otherwise.

Carol Corbett Burris was a teacher and principal on Long Island, in New York state for many years. After retiring, she became executive director of the Network for Public Education.

She writes:

Last spring, HBO released Bad Education, which tells the story of how a Roslyn, New York Superintendent named Frank Tassone conspired to steal $11.2 million with the help of his business officer, Pamela Gluckin.  Promo materials called the film “the largest public school embezzlement in U.S. history.”

I did not watch it. I am waiting. I am waiting for HBO to release a movie on how a crafty fellow from Australia, Sean McManus, defrauded California taxpayers out of $50 millionvia an elaborate scheme to create phony attendance records to increase revenue to an online charter chain known as A3. 

Or the documentary about the tens of millions that the Electronic Classroom of Tomorrow (ECOT) owes taxpayers for cooking the books on attendance. Or perhaps there will be a mini-series about the fraud and racketeering that charter operator Marcus May engaged in that brought his net worth from $200,000 to $8.5 million in five years and landed him a 20-year sentence in jail. 

The truth is, Frank Tassone and his accomplice are small potatoes compared to the preponderance of charter school scandals that happen every day. What is different is how lawmakers respond. 

When the Tassone case hit the news, I was a principal in a neighboring district. The New York State Legislature came down hard with unfunded mandates on public schools.

We all had to hire external auditors and internal auditors that went over every receipt, no matter how small. Simple things like collecting money for field trips or a club’s T-shirt sale suddenly became a big deal. Although there was no evidence that any other district was engaging in anything like what happened in Roslyn, every district transaction came under scrutiny.

Whether those regulations and their expenses were justified or not is irrelevant. What is relevant is that despite the years and years of scandal in the charter sector, state legislatures never change laws or impose new rules. For-profits run schools doing business with their related companies behind a wall of secrecy, and lawmakers do not worry a bit. 

I am puzzled. Why can’t charter schools be as transparent as public schools?  Why is the ability to easily engage in fraud necessary to promote innovation? 

No one has been able to answer my question yet. 

Billy Townsend was a school board member in Polk County, Florida. He saw up close and personal how charters were sucking the high-scoring students out of public schools and excluding the students with disabilities. He saw up close and personal how the state’s voucher program was serving as a refuge from high-stakes testing and enabling the restoration of racial segregation. Billy believes, as I do, that if the day ever comes when so-called reformers see the harm they are doing to kids and to our democratic institution of public education, they might repent. Will shame move them more than the pursuit of profit and power? Perhaps we are naive to think it might. But hope springs eternal that even the profiteers and entrepreneurs and shady fly-by-night grifters might someday see the light.

Billy has written a powerful series about the Jeb Crow school industry and how its sole purpose is to destroy public education without helping kids. All of the articles are referenced in this post, the last of the series. He has demonstrated how the voucher schools are highly segregated and low-quality. He refers to the choice schools as “failure factories” but now calls them “Jeb Crow” schools to credit former Governor Jeb Bush for creating the Big Lie that school choice saves children. It doesn’t.

Townsend throws out a challenge to reformers who are sincere, if there are any, about equity and helping kids:

Serious “reformers” — those who actually mean it when they use the moral, racialized language of equity in justifying punitive policies that destroy public education capacity — know today that their entire life’s work is bullshit that failed on its own terms. 

They know it. Every single one of them. Some of them will cry about America’s super awesome graduation rate; but they know that’s manipulated data bullshit, too. Mostly, they’ve just gone silent while think tanks beg to keep getting useless test data and grifters use the language and weaponry “reformers” provided them to demolish public education capacity for everyone. 

The question now: if, when, and how will “reformers” ever break their shamed silence about their failures and decide to help us fix them?

Jeb Crow means wealthier, whiter kids get high capital charters; more vulnerable, less white kids get no capital vouchers; and we kill/privatize public schools altogether.

The grifting and cheating by state education officials is breath-taking. They know that school choice is a cynical ploy to shift money from taxpayers to private corporations. They know that the corporation that handles the voucher funding now has assets of nearly $700 million. They know where power lies in Florida. They know how corrupt the Legislature is. But everyone goes along to get along.

If you read one thing today, read Billy Townsend’s reports on Florida’s massive crime against children and the state’s own future.

In the Public Interest is a nonpartisan organization that protects the public interest and has a special focus on the dangers of privatization.

Here is its latest report on charter schools:

Welcome to Cashing in on Kids, an email newsletter for people fed up with the privatization of America’s public schools—produced by In the Public Interest.

Not a subscriber? Sign up. And make sure to like us on Facebook and follow us on Twitter.

Democratic charter school advocates are starting to help elect Republicans. Author and host of the Have You Heard podcast Jennifer Berkshire pointed out a noteworthy trend in the ever-shifting partisan dynamics of public school privatization. “Well-heeled Democratic charter advocates [are] spending big to elect Republicans.” This includes cofounder of Netflix Reed Hastings, a longtime charter school backer. Twitter

This pairs well with journalist Rebecca Klein’s breakdown of how state governments are carrying former Education Secretary Betsy DeVos’s torch as they consider school voucher programs. HuffPost

Now the rest of the news…

“Enabling theft and fraud” in Los Angeles. Carl Peterson documents how the Los Angeles Unifed School District continues to take away building space from public school students to give to charter schools, with past due bills totaling $1.9 million. Patch

Charter school founder gets a year in prison. The founder of a defunct charter school in St. Louis, Missouri, has been sentenced to 366 days in prison and ordered to repay nearly $2.4 million in state funding obtained by falsifying student attendance. St. Louis Post-Dispatch

“Charter schools invaded our neighborhoods without public input.” A group of parents, teachers, and educators in East Los Angeles detail how their neighborhoods have become saturated with charter schools to the detriment of public schools. Age of Awareness

And here’s this week’s opportunity to connect…

The Coalition for Community Schools and Institute for Educational Leadership is hosting a coalition town hall on racial equity in the “community school” model. Join February 23, 2021 2:00 – 3:00 PM ET. Coalition for Community Schools

Once again, a state audit has uncovered waste and misspent funding at a charter chain, in this case, the Richard Allen Charter Schools in Ohio. Among other findings, the head of the school leased a Maserati with public funds.

A new state audit of the Richard Allen charter schools includes multiple findings of improperly spent money in 2016-17, and allegations of ethics violations and conflicts of interest that have triggered an ongoing special investigation.

The audit comes 15 months after the Dayton Daily News published an investigation into lack of oversight at Richard Allen, which operated four schools in 2016-17 and now has buildings on Salem Avenue in Dayton and Shuler Avenue in Hamilton.

Last year, the state attorney general’s office did not know that Michelle Thomas — whom the state sued, alleging $2.2 million in misspending — was still running the schools.Thomas, who is still the Richard Allen superintendent, on Tuesday called the audit process “a complete farce.”

School leadership “strongly objected” to the state auditor’s findings in their official response.

Auditor of State Keith Faber’s office said Tuesday that it stands by its work.

The documents released Tuesday cover the 2016-17 school year, as multiple years of Richard Allen audits have been delayed.

The audit’s findings include:

• The schools overpaid their former management company (the Institute of Management and Resources, which was also run by Thomas) by $852,618 in 2016-17 — $139,277 for Richard Allen Academy, $613,870 for Richard Allen II, $15,686 for Richard Allen III in Hamilton and $83,785 for Richard Allen Prep.

A finding for recovery seeking repayment of those funds was issued against IMR, which filed for bankruptcy protection more than two years ago, and against former treasurer Brian Adams and eight school board members: Alphonse Allen, Michael Brown, Gerald Cooper, Laquetta Cortner, Wanda Mills, Lonnie Norwood, Rhonda Ragland and Kelli Vaughn.

• The school also overpaid those eight board members by $1,110 to $1,375 each for attending meetings. The state filed findings for recovery against those eight and Adams for a total of $10,725 on that charge.

• Thomas improperly served as the superintendent of Richard Allen schools while serving as director of IMR, the school’s management company.As the Dayton Daily News reported last year, the audit shows IMR leased a 2015 Maserati for Thomas, while claiming that Thomas made the lease payments. But elsewhere in the audit, the state makes clear that IMR “failed to provide a detailed accounting” of the services it provided to the school, bringing into question how its management fees were spent.