Archives for category: Virtual Charter Schools

Read about how the trustees of the Florida Virtual School responded to an auditor who was tasked with investigating its former general counsel. When she reported to the trustees, they made clear that they didn’t care what she found, interrupted her, and dismissed her findings out of hand.

This suggests that the Florida Virtual School should be investigated. It has 200,000 students across the state. How much money is it collecting from taxpayers? Where is the money going? How many students graduate? What is the quality of education delivered online? Do taxpayers care? Will Governor Ron DeSantis initiate an investigation?

Can pigs fly?

Shaina Cavazos of Chalkbeat in Indiana reports on the startling graduation rate of Indiana’s publicly funded virtual charter school: 2%. Two percent.

“About 2 percent of Indiana Virtual Pathways Academy’s 1,009 seniors graduated, putting the school’s graduation rate below just two others — a school that caters to students with significant intellectual and behavioral disabilities and an adult high school that enrolls only a couple dozen students each and graduated no students last year. Across the state, the vast majority of schools graduate at least three-quarters of their senior students.”

Do you remember when charter advocates promised that charters would be more successful, more innovative, and more accountable than public schools? They are not. For-profit Virtual Charter Schools are scams. They are a waste of money. They are a public embarrassment. Why are they allowed to open?

Peter Greene explains here about this Indiana cybercharter, which buys its existence by paying legislators, then collects public money to not educate anyone. This is not unusual. As you will see from the graph he reproduces, lobbying and campaign contributions area part of their business.

For-profit cybercharters, whether K12 Inc. or Connections Academy, should be illegal. They take public money, lobby legislators, get abysmal results, and are never held accountable. ECOT in Ohio was the darling of Republican politicians, who were happy to give its graduation speech, even though ECOT has the lowest graduation rate in the nation.

At the Indiana cybercharter that Greene writes about, only 10% of the money collected is spent on instruction!

These cybercharters are not schools. They are corporate honey pots that wastepublic money and children’s time.

If a state has children who require homebound instruction, the state should provide the online instruction, using certified teachers, with no profits, no lobbyists.

Sweet deal, but not for taxpayers!

New Mexico will pay out $6 million to the New Mexico Connections Academy, a virtual charter school, for students who are no longer enrolled. Connections is owned by mega-publisher Pearson. The leader of the Connections chain was also the chair of the ALEC education committee, encouraging red states to buy their product, which they did. Jeb Bush is a huge promoter of digital learning and his organization is heavily funded by software and hardware corporations.

When will states wake up to the fact that virtual charter schools are a scam? Any online courses needed should be under the direction of the local school district, meeting its needs, providing content it cannot provide, with no profit involved. Drive the frauds out of the marketplace.

A charter school in New Mexico that teaches students remotely by phone and internet is receiving public funding for hundreds of students who no longer are enrolled, amid attempts by state education officials to close to the school.

New Mexico Connections Academy will receive about $6 million during the current school year for students who are no longer enrolled, according to an accountability report from the budget-writing New Mexico Legislative Finance Committee. State spending accounts for the majority of public school funding in New Mexico. The school said Wednesday that it was setting aside some of the excess funding for future years when state funding is likely to lag behind enrollment.

Enrollment at the online school for grades 4 through 12 fell from more than 1,800 to students to about 1,100 after state officials declined to renew the school’s charter earlier this year amid lagging student academic results. Connections Academy successfully appealed the decision as arbitrary in state district court, though an appeal by the Public Education Department is pending.

Connections Academy opened in the fall of 2013 and contracts with the for-profit education curriculum provider Connections Education that is owned by Pearson.

Jeb Bush, the puppet-master of corporate reform, is convening his annual “summit” of people who support his love of charters and vouchers. The queen of school choice is the superstar of the event: Eva Moskowitz.

Peruse the agenda to see who supports Jeb Bush’s efforts to privatize public education.

The registration fee is $649, enough to keep out the riffraff.

The Primavera online charter school in Arizona is rewarding himself handsomely with taxpayers’ money. Will Governor Doug Ducey or the legislature care or will regulate this self-dealing?

The CEO of Primavera, whose multimillion-dollar payments to himself spurred calls for more oversight of Arizona charter schools, received another $1.3 million from the online charter this past school year, records show.

Damian Creamer, the sole owner of the for-profit Primavera, also paid $27.6 million from the school’s state education funding to another company he owns, Strongmind. The payment was for curriculum, enrollment, technical support and other services.

Meanwhile, the school, which reported it had the third-worst dropout rate in Arizona, gave its 95 teachers a 1 percent pay raise last school year.

Primavera disclosed its spending for the period from July 1, 2017, to June 30, 2018, in an independent audit required by the Arizona State Board for Charter Schools.

Creamer did not respond to requests for comment.

The audits provide a snapshot of how lightly regulated charter operators use tax dollars. Charter schools are not subject to the same financial or governance oversight as traditional district public schools, and The Republic has found that some operators, like Creamer, have become charter school millionaires by operating the public schools.

After The Republic reported this year that Creamer had paid himself $8.8 million despite operating a school with the state’s third-highest dropout rate, Attorney General Mark Brnovich called for the law to be changed to allow his office to investigate charter schools more broadly.

Creamer has said the $8.8 million payment was for tax purposes but has not provided documents to support that claim.

“When you see public money go to line the pockets of someone who is supposed to help students become a millionaire, I can’t believe it’s not a crime,” Brnovich said at the time.

Since then, a Republican state senator and Gov. Doug Ducey have said they, too, will push to overhaul Arizona’s charter-school laws to require more transparency and compliance with the same procurement and conflict-of-interest laws that govern district schools.

Brnovich has criticized Creamer because the online charter school owner uses education funds to buy services from related businesses he owns or controls. A related-party transaction or self-dealing is illegal for school districts but common among Arizona charter schools.

Basis Charter Schools Inc., for example, pays about $10 million as an annual, no-bid management fee to a company controlled by its founders. American Leadership Academy founder Glenn Way made at least $18.4 million building schools for ALA through no-bid contracts. And state lawmaker Eddie Farnsworth is poised to make at least $11 million by selling his Benjamin Franklin schools to a non-profit company he created.

Brnovich’s office recently obtained a fraud conviction against Daniel K. Hughes, president and CEO of Discovery Creemos Academy in Goodyear, after he abruptly shuttered his charter school in January and defrauding taxpayers of at least $2.5 million by inflating the school’s enrollment.

Primavera still amassing cash

Primavera has accumulated so much money that it has set aside $8.5 million for Creamer in stockholder’s equity, records show. Creamer can take the money anytime.

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.

Stephen Dyer of Innovation Ohio, a lawyer and former Ohio legislator, reports that the ECOT scandal is worse than previously known.

He writes:

New state funding reports indicate that ECOT had nearly 8,000 fake students in its last full year of operation. According to the Ohio Department of Education, its last year of operation, ECOT couldn’t account for about 20 percent of its students. However, the monthly finance reports ODE puts out suggests the number may have been closer to 55 percent.

First of all, the last year ECOT was fully operational was in the 2016-2017 school year. So I’m using that as a baseline for comparison.

In the 16-17 school year, ECOT received $103.6 million for 14,208 students. This year, it’s zero dollars. A lot of news stories have tried to figure out what happened to all those students. One of the challenges appears to be that they may not have actually had all those students….

ECOT graduated about 2,000 students in 2017, but even subtracting out those students from the 7,791 “missing” students means 40 percent of the ECOT total is unaccounted for — about double the rate that was found by ODE.

So there seems to be something going on here.

I would sure like to know how many, if any of the 7,791 students ECOT claimed it had in 2016-2017 that aren’t in charter schools anymore were actually ever there to begin with. Because it looks like the state’s 20 percent assessment may be significantly lower than first thought.

Follow him as he connects the dots.

This is a handy website that will inform you how much money was diverted from your school district to fund the fraudulent ECOT virtual charter school.

Typing your address and learn how much money you lost, as ECOT man was protected by John Kasich, Mike DeWine (the Republican Candidate for Governor), and other Republican politicians.

https://www.kidsnotcorruption.com/

Betsy DeVos is a big fan of virtual charter schools like ECOT. She wants more of them.

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.

Bill Phillis of the Ohio Coalition for Equity and Adequacy noticed a curious phenomenon. The Ohio State Attorney General Opposes the efforts of school districts trying to recover funds they lost to the fraudulent Electronic Classroom of Tomorrow (ECOT), which went bankrupt last January, having claimed state funds for non-existent students and having lost its authorizer. Why is the Attorney General taking the side of the guy who was indicted?

Bill Phillis writes:

It is baffling that both the Attorney General and the ECOT Man, Bill Lager, oppose the intervention of school districts in the case to recover funds from Lager and some of his former employees.

In his October 9 Memorandum in Opposition to Intervention, the Attorney General argues, “The Districts cannot intervene…because their interest is substantively remote from the claims pressed here,” the Districts “lack standing” and “their intervention would complicate these proceedings.”

William Lager’s memorandum proffers essentially the same arguments against the intervention.

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.

Boards of education in three districts-Dayton, Logan-Hocking and Springfield-have adopted resolutions to intervene. Other districts are considering a resolution.

William L. Phillis | Ohio Coalition for Equity & Adequacy of School Funding | 614.228.6540 | ohioeanda@sbcglobal.net| http://www.ohiocoalition.org