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05/23/2014 | Promoting Strong Public Schools

Waste, Fraud, and Abuse: Setting the Record Straight on Charter Accountability

The Center for Popular Democracy Enters the National Debate During "Charter School Week"

Last week, the Center for Popular Democracy (CPD) partnered with Integrity in Education to release a report entitled “Charter School Vulnerabilities to Waste, Fraud, and Abuse.” The report was designed to increase awareness around charter industry oversight and accountability. 

The report details over $100 million in fraud, waste, and abuse perpetrated by charter school officials. Its publication coincided with a vote in the House of Representatives that sought to give $300 million in funding to charters with little oversight attached. The report was cited on the House floor and in statements by members who voted no on H.R. 10, and Ed Schultz featured it during a discussion of the House bill on his MSNBC program.

The report received strong media coverage by outlets and education experts including The Washington Post, Salon, Bill Moyers, The Nation, Diane Ravitch, and Education Week.

In addition to the report, we also launched an online petition urging lawmakers to include meaningful oversight provisions within the new law. The petition collected nearly 16,000 signatures in five days and was used by our partner organizations all across the country to engage their members. 

Despite the charter industry getting their bill through the Republican-led House, we were able to initiate a vital conversation on oversight and school privatization before the Senate decides whether to take action. Importantly, we were able to provide a counter-narrative during "National Charter School Week," which the charter industry has created to overlap with Teacher Appreciation Week. 

The release of the "Charter School Vulnerabilities" report marks the beginning of our campaign to increase the level of charter oversight on a national, state and municipal level.

Read more coverage:

Washington Post - May 6, 2014, by Valerie Strauss - A new report by two groups that oppose reforms that are privatizing public education finds fraud and waste totaling more than $100 million of taxpayer funds in 15 of the 42 states that operate charter schools. The report, titled “Charter School Vulnerabilities to Waste, Fraud, & Abuse,” and released by the nonprofit organizations Integrity in Education and the Center for Popular Democracy, cites news reports and criminal complaints from around the country that detail how some charter school operators have illegally used public money.

Salon - May 7, 2014, by Paul Rosenberg - Just in time for National Charter School Week, there’s a new report highlighting the predictable perils of turning education into a poorly regulated business. Titled “Charter School Vulnerabilities to Waste, Fraud and Abuse,” the report focused on 15 states representing large charter markets, out of the 42 states that have charter schools. Drawing on news reports, criminal complaints, regulatory findings, audits and other sources, it “found fraud, waste and abuse cases totaling over $100 million in losses to taxpayers.”

Bill Moyers - May 5, 2014, by Joshua Holland - Charter school operators want to have it both ways. When they’re answering critics of school privatization, they say charter schools are public — they use public funds and provide students with a tuition-free education. But when it comes to transparency, they insist they have the same rights to privacy as any other private enterprise.

The Nation - May 9, 2014, by Zoë Carpenter - Between 2003 and 2008, a Minnesota charter school executive named Joel Pourier embezzled more than $1.3 million from his school, the Oh Day Aki Charter School. While students at Oh Day Aki went without field trips and supplies for lack of funds, Pourier bought houses and cars and tossed bills at strippers. Because his school received federal funding—charter schools are privately run but many receive significant public financing—taxpayers were, in effect, subsidizing his lavish lifestyle.

Education Week - May 7, 2014, by Katie Ash - An examination of charter schools in 15 charter markets across the United States has exposed nearly $100 million in losses due to fraud, waste, and abuse, says a report from Integrity in Education and the Center for Popular Democracy. The report gathered court cases, media investigations, regulatory findings, audits, and other sources from Arizona, California, Colorado, the District of Columbia, Florida, Illinois, Louisiana, Minnesota, New Jersey, New York, Ohio, Pennsylvania, Texas, and Wisconsin.