U.S. Supreme Court Rules Dark Money Must Be Disclosed

Trying to find out who and which groups are trying to secretly impact elections is discouraging. The Citizens United ruling in 2016 opened a Pandora’s box of attack ads against political opponents funded by secret donors. Today’s Supreme Court ruling requires full disclosure beginning now. The Supreme Court declined to hear the case referred from the Appellate Court.

The top organizations participating in the dark money ads include the Chamber of Commerce, the conservative Crossroads GPS, the Koch brothers Americans for Prosperity, and the National Rifle Association. Organizations may continue to publish ads and fund campaigns. The difference is that now individuals and groups contributing to these organizations must reveal their identities. Read the report on the decision here.

Florida Gets an ‘F’ on Support for Public Education

Public education is about the value and necessity of providing equal access to high quality education. As public funds get diverted to private schools and entrepreneurs, the public school system gets more and more fractured. There is less money as cost inefficiencies mount. More communities are fractured by race, income, and academic programs. In areas where privatization is dominant, parents must search for a school to accept their children. If transportation is a problem, as it often is, they may not have good choices because available schools may be segregated racially, economically and/or by achievement levels. They may not even have a way to evaluate the quality of the available options.

By design, no one really knows much about where the money is spent and what is happening in privately operated schools. Parents who question are invited to withdraw their children. Children who do not ‘fit in’ are invited to leave. There are people in leadership positions for whom children can be ploys in policies to implement a political and/or religious agenda. Proponents celebrate their successes without regard for the children they exclude, dismiss or serve poorly. Parents learn this the hard way.

Most private schools are openly religious. Many charters are covertly supporting particular religious orientations e.g. those housed in religious facilities or that espouse a particular set of ‘Christian or other values’.

Many charters and private schools do not support children with special needs or who are learning English as a second language.

The Schott Foundation and the Network for Public Education analyzed data to assess support for public education in each state. Overall, Florida received an ‘F’. You can see state-by-state results here.
The criteria include:
1. Types and extent of school privatization
2. Civil rights protection of students in private school voucher and charter programs
3. Accountability, regulations and oversight
4. Transparency of voucher and charter programs
5. Other charter school accountability issues

Florida’s low grade is due several factors:
1. It has the most school privatization of all states.
2. Students receiving vouchers and tax-credit scholarships are not required to participate in the state testing or teacher certification programs. Private schools are not required to be accredited. Thus, most are small religious schools of unknown quality. Private schools are also exempt from federal civil rights protection. Children can be denied admission or expelled for any reason.

What would improve accountability?
1. Comparable pubic and private school student achievement measures.
2. Transparency in how money is spent for charter and voucher ESE students by individual schools.
3. Comparable attrition and discipline measures for public, charter and private schools.
4. Public accountability of spending by charter management firms.
5. Stronger provisions to avoid conflict of interest between charter board members and management companies.
6. Return school facilities to the public if charters close.

Newpoint Charter Owner Guilty

An Ohio businessman, Steven Kunkemoeller, and the owner of Florida’s Newpoint charter school chain conspired to get kick backs and were accused of organized fraud in the management of 15 Florida charters. Kunkemoeller was found guilty today and faces up to 60 years in prison. Marcus May, the Newpoint charter owner, will face trial soon. You can read the story here.

This type of criminal activity is not unusual in the charter sector. It is a function, in part, of the privatization movement in which oversight and regulation are viewed as stifling innovation. Clearly, these innovative business practices can lead to jail time. The Florida legislature failed once again this year to pass proposed legislation to curb charter profiteering. The Senate had inserted a measure in SB7055 to control real estate and other purchasing self interest machinations, but the House deleted it. How bad does it have to get before the children’s interest replaces charter management self interest?

Erik Fresen Faces Prison Time

Remember Representative Fresen, whose sister Magdalena Fresen is Vice President of Academica, Florida’s largest for-profit charter management company?  He term limited out of the legislature this year.  His next  step is to go to jail?

Ethics Florida Style: Go Directly to Jail

The buzz about Florida is that there is more self-interest than public interest than in any other state.  Are such allegations warranted?  Information is not difficult to find. The Center for Public Integrity ranked states on a corruption index in 2012.  Florida was rated an ‘F’ on ethics enforcement agencies.  It appears there are rules that are easy to bend and break.

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FINALLY! U.S. OIG Issues Charter Management Problems Alert

cash-burningThe U.S. Inspector General has recognized the serious nature of the charter management problems.  The League of Women Voters has been calling for  better transparency and management oversight for several years.  Now, the federal government has joined us—-well, a part of the federal government.

It is one step toward better accountability for our tax dollars.

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Charters: Deregulation has gone too far!

business-257880_1280In a new brief, William Mathis, head of the National Education Policy Center, argues that market based accountability for charter schools just does not work.  At first glance, Florida’s policies are better than in some states.  There are, however, some fatal flaws.

He makes the case for better oversight and regulation.  His recommendations take a national perspective and include these general process requirements:

authorizers, those who approve charter contracts, control the criteria for granting charters and the length of time charters are in effect.  Authorizers (in Florida, are the local school boards) must also specify the accountability mechanism for charters, and the state should fund oversight. 

The basic difference between Florida’s policy and this recommendation is that in Florida, districts are the authorizer of charters, but they have little control over the criteria charters must meet and little access to information about charter fiscal policies and practices.  The State legislature defines criteria for granting charters which are so broad that districts are not able to designate which charters are needed and actually are innovative.

The Florida Department of Education and the State Board of Education hold the reins of power.  Thus, oversight is by design, minimal.  No one ‘close to the store’ is watching what is going on behind the scenes.  Even many charter school oversight boards have little knowledge of school practices.  The press and whistleblowers ferret out problems that fester.

The brief also addresses operational policies i.e.:

Governance including budget, admissions procedures, discipline practices, and civil rights protection should be transparent.  Annual reports and audits must be publically available and facilities must meet building codes and inspections.  Staff background checks should be required.

Again, these recommendations, on the surface, are mostly met in Florida’s charter school policies.  Annual audits are  required.  Admission lotteries for vacant seats are mandated.  Monthly budget reports are available.  What is missing?  Basically two loopholes, aa mile wide, exist.  The first problem is that there is no corrective action for fiscal mismanagement that does not reach a crisis level or for lapses in operations that impact which students enroll, retention of teachers, or suspension or dismissal of students.

The second problem is the lack of transparency that for-profit charter management firms enjoy.  Budgets of their charter schools lack the detail of where and how money is spent.  These companies control the entire budget, but financial records of for-profit privately run companies are shielded from public view.  Thus, the public has access to charter school facility costs, for example, but no access to how these costs are generated.  In some cases, it is like giving a blank check that may be nearly half of the budget without explanation of where the money ended up.

The one consolation in all of the exposure of charter mismanagement is that it is now becoming part of the public discussion about school choice.  Privitizing schools may give the appearance of facilitating innovation, but the reality is too often that it results in the loss of public trust.

Charter School Audits: Not Good News

auditHow many struggling charters are too many?  The latest Florida Auditor General report is out.  It cites 92 (15%) out of 652 charters for general fund/unrestricted fund deficits.  In other words, they are spending more than they are taking in.  Six charters are in such bad financial shape, the report questions their ability to continue to operate.  When these audit reports come out, letters get sent and promises to do better are made until charters cannot pay their bills.

How many charters have failed in your district?

 

 

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Pinellas to shut down 3 charters

money-40603_1280Yes, more fraud, waste and abuse that Florida must address.  The Pinellas School Board voted to shut down three NewPoint charter schools today.  Windsor Prep, East Windsor and NewPoint Pinellas are all involved in an indictment for fraud.  Read the Tampa Bay Times editorial.  The editor calls for an investigation of two other NewPoint related schools which also appear to be involved in self dealing with tax payer money.

The same charter management company is indicted in Pensacola for grand theft, money laundering and white collar crimes.

 

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