Thursday, May 08, 2014

New report blows the lid off of charter school fraud and mismanagement.

Courtesy of Salon:  

The report, co-authored by the Center for Popular Democracy and Integrity in Education, makes the point that the problem of charter school waste, fraud and abuse, which it focuses on, is just one symptom of the underlying problem: inadequate regulation of charter schools. But it’s a massive symptom, which has so far received only fragmentary coverage.

The report takes its title from a section of a report to Congress by the Department of Education’s Office of the Inspector General, a report that took note of “a steady increase in the number of charter school complaints” and warned that state level agencies were failing “to provide adequate oversight needed to ensure that Federal funds [were] properly used and accounted for.” The report found that “charter operator fraud and mismanagement is endemic to the vast majority of states that have passed a charter school law.” It organized the abuse into six basic categories, each of which is treated in its own section: 

• Charter operators using public funds illegally for personal gain; • School revenue used to illegally support other charter operator businesses; 
• Mismanagement that puts children in actual or potential danger; 
• Charters illegally requesting public dollars for services not provided; 
• Charter operators illegally inflating enrollment to boost revenues; and, 
• Charter operators mismanaging public funds and schools. 

Perhaps most disturbingly, under the first category, crooked charter school officials displayed a wide range of lavish, compulsive or tawdry tastes. Examples include: 

• Joel Pourier, former CEO of Oh Day Aki Heart Charter School in Minnesota, who embezzled $1.38 million from 2003 to 2008. He used the money on houses, cars, and trips to strip clubs. Meanwhile, according to an article in the Star Tribune, the school “lacked funds for field trips, supplies, computers and textbooks.” 

• Nicholas Trombetta, founder of the Pennsylvania Cyber Charter School is accused of diverting funds from it for his private purchases. He allegedly bought houses, a Florida Condominium and a $300,000 plane, hid income from the IRS, formed businesses that billed even though they had done no work, and took $550,000 in kickbacks for a laptop computer contract. 

• A regular financial audit in 2009 of the Langston Hughes Academy in New Orleans uncovered theft of $660,000 by Kelly Thompson, the school’s business manager. Thompson admitted that from shortly after she assumed the position until she was fired 15 months later, she diverted funds to herself in order to support her gambling in local casinos. 

Others spent their stolen money on everything from a pair of jet skis for $18,000 to combined receipts of $228 for cigarettes and beer, to over $30,000 on personal items from Lord & Taylor, Saks Fifth Avenue, Louis Vuitton, Coach and Tommy Hilfiger. But the real damage came from the theft of resources for children’s future. 

“Our school system exists to serve students and enrich communities,” said Sabrina Stevens, executive director of Integrity in Education. “School funding is too scarce as it is; we can hardly afford to waste the resources we do have on people who would prioritize exotic vacations over school supplies or food for children. We also can’t continue to rely on the media or isolated whistle-blowers to identify these problems. We need to have rules in place that can systematically weed out incompetent or unscrupulous charter operators before they pose a risk to students and taxpayers.”

Republicans are always going on about how everything is better when done by the private sector, however if the purpose of providing a service is to make money, then the possibility that fraud will occur is virtually a guarantee. 

In the meantime these schools rob funds from public education, thereby undermining its ability to educate our children, and providing the evidence of failure that the conservatives then use to justify the further cutting of funding and the promotion of more charter and private schools.

 Do you see what the Republicans did here?

They attack education, offer reforms that make it much worse, insist on vouchers to send children to private and charter schools in response, which sends taxpayer money away from public schools and toward private ones, which eventually reduces the number of public school teachers, thereby draining money from the teacher's union (NEA), and removing the influence of an organization that often backs, and funds, progressive candidates.

Of course this in turn makes it easier for conservatives to win seats, and further cut funding from public education.

In other words NONE of this push by conservatives has anything to do with education, and EVERYTHING to do with political power and influence.

9 comments:

  1. Anonymous12:44 PM

    And that's only the money. Charter schools also make possible what happened in True Detective.

    ReplyDelete
  2. Anonymous12:50 PM

    Why anyone would vote for a Republican anywhere is beyond me! They are a horrid party and do nothing to support the folks that sent them to their jobs - i.e. U.S. Congress, governors of states, Legislatures, state and local levels.

    VOTE THEM OUT OF OFFICE every chance you get!

    ReplyDelete
    Replies
    1. fromthediagonal1:13 PM

      YES! My gratitude to Salon for doing the research, and to you, Gryphen, for posting this.

      Public Education is the most equalizing factor in any society worldwide.

      But then, that seems to be the reason for the push by reactionary forces not merely in this nation, but in all fanatically religious ones of any of the abrahamic cults to undermine and discredit universal education.

      Delete
  3. Anonymous1:37 PM

    ..."This nation is in danger because of its ignorance of what God has taught," Green said last year to the National Bible Association, announcing his plan for the high school course. "There are lessons from the past that we can learn from, the dangers of ignorance of this book. We need to know it, and if we don't know it, our future is going to be very scary."

    Green has established a beachhead in his home state of Oklahoma, where the public Mustang School District in suburban Oklahoma City will begin teaching a class about the Bible as an elective beginning this fall. The goal is to place the Bible course in thousands of schools by 2017.

    Green told the Mustang school board last fall that the one-year trial of the Bible curriculum developed by the Green Scholars Initiative wasn't intended to proselytize or "go down denominational, religious-type roads," and persuaded the board that the plan would pass any constitutional challenges.

    That is possible, said Mark Chancey, a professor of religious studies at Southern Methodist University. But while a carefully constructed course about the Bible can be constitutional, it's easy to cross a line.

    "Sometimes it happens very intentionally where people and groups try to send in these courses as Trojan horses to try to get public schools to promote their religion over all other others," Chancey said.

    Green has described an intent to teach the Bible for its moral principles and not only as a way to illuminate subjects from archaeology to zoology. While the curriculum in Mustang includes topics such as the religious influence on art, it also notes the consequences of people deciding to disobey God.

    Last year, before the National Bible Association, a group that encourages the nation's leaders to read the Bible, Green said his goals for the high school curriculum were to show that the Bible is true and that its impact, "whether (upon) our government, education, science, art, literature, family . when we apply it to our lives in all aspects of our life, that it has been good."

    Green is a member of the evangelical Council Road Baptist Church in Bethany, Oklahoma, and believes the Bible is literally true and that he is obligated to share the gospel. His 500-plus Hobby Lobby stores are closed on Sundays, because Green believes the Sabbath is a day of rest and everyone should be able to go to church.

    That faith led the company to its high-profile fight against a portion of the Affordable Care Act that requires businesses to provide certain types of birth control. The Supreme Court heard arguments in March in that case, with a decision is expected next month.

    http://bigstory.ap.org/article/bible-curriculum-part-green-evangelization-push

    ReplyDelete
  4. Anonymous1:40 PM

    ot Republicans will be glad to know:

    City Satanists raise $28k on Indiegogo for monument next to 10 Commandments

    http://americablog.com/2014/05/satanists-build-monument-next-10-comandments-oklahoma.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+Americablog+%28AMERICAblog+News+%29

    ReplyDelete
  5. Anonymous2:17 PM

    Not that the Palin children go to school but do any attend Charter schools? Homeschool? What beside har or skeen skuuls?

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  6. I have nothing to add. You've said it all.

    Regarding the money part.

    Then there is the whole academics/testing part.

    ReplyDelete
  7. Anonymous9:11 PM

    This is good news for me! I went to a private xtian school 1st grade through college. It messed up my life and had years of therapy. Drove me to be a progressive. Not only that I found out when I left my sheltered world that I wasn't as educated as those who went to public schools. Back in the 60's there was "summer school" in the public schools where the students who were behind had to spend their summers going to school so they could pass the next grade. My parents allowed me to a public summer school 3 years in a row in high school. I had to lie to them that I wanted to understand math better when in reality I wanted to go to find out what public school life was all about! I really, really resent that one single penny of my tax dollars go to these charter schools ESPECIALLY the religious ones. It's just another way the right wing has found to entwine religion & government. Also I believe another effect of charter schools is that it actually ends up discrimination against students from poor families.

    Wisconsin's poor kids suffer most under the school privatization model

    http://www.thedailypage.com/isthmus/article.php?article=42639

    I can't find it but I read an article 2-3 weeks ago about a charter school functioning within the same building as a public school. Talk about discrepancies & discrimination being thrown in the poor students faces! The charter school kids got cool uniforms, better classrooms, better everything and they are walking the same halls.

    Vote NO against our tax dollars paying for private charter schools! Why should we in the first place !?!?!!

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  8. There's a charter school financial fraud scandal just beginning to bubble up here in Michigan. Here it is, in a nutshell: Steven Ingersoll has been indicted by the Feds on a variety of charges relating to a $1.8 million dollar bank loan. Although the loan was to be used to convert a church building to a charter school, nearly $1.0 million was diverted into Ingersoll's personal bank accounts.

    Since that story broke on April 10, my blog has consistently exposed an even larger scandal: Ingersoll's "prepayment" of nearly $2.5 million dollars in "management fees" to his company. He had the ability to "prepay" his management fees, but ended fiscal year 2013 owing $2.38 million dollars to the charter school, the Grand Traverse Academy, and opted to "withhold" repayment.

    I don't know about you, but in my book that's embezzlement!

    So what did the school administrators and the board do? Nothing! They came up with a cover story--that Ingersoll was repaying the money by accepting less in management fees for each of the subsequent three years--and hoped it would never see the light of day.

    And then came the federal indictment.

    The school scrambled to make everything look kosher: hiring the former board president (a longtime friend and business partner of Ingersoll's) as the new education management provider. The announcement was made on the same day he filed incorporation papers with the State of Michigan.

    Then, Ingersoll paid back the favor by hiring the son-in-law of the former board president, giving him a job as a principal at another charter school.

    http://www.glisteningquiveringunderbelly.blogspot.com/2014/04/indicted-charter-cheater-steven-j.html

    The bunch in Traverse City thinks they've swept this under the rug...not so fast!

    ReplyDelete

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