These Wall Street Companies Are Ready To Call In On Trump’s Border Wall
These Wall Street Companies Are Ready To Call In On Trump’s Border Wall
Much of the discussion on President Donald Trump’s border wall has focused on its cost and impracticality, as well as the anti-immigrant and racist rhetoric it embodies. Little attention, however...
Much of the discussion on President Donald Trump’s border wall has focused on its cost and impracticality, as well as the anti-immigrant and racist rhetoric it embodies. Little attention, however, has been paid to who specifically might profit from building the structure.
Read the full article here.
In Minneapolis, a Strong ‘Fair Scheduling’ Law for Workers Runs Into a Corporate Roadblock
Less than a year after San Francisco passed a first-of-its-kind fair scheduling ordinance for retail employers, progressive activists in Minneapolis began pushing for an even stronger scheduling...
Less than a year after San Francisco passed a first-of-its-kind fair scheduling ordinance for retail employers, progressive activists in Minneapolis began pushing for an even stronger scheduling ordinance of their own—along with paid sick leave, wage theft protections, and the possibility of a $15 minimum wage.
But the campaign, dubbed the Working Families Agenda, ran into a roadblock earlier this month when its most powerful political ally, Mayor Betsy Hodges, decided to abandon the fair scheduling component. Language in the proposed ordinance called for scheduling notice of at least two weeks in advance and extra “predictability pay” for workers who were scheduled after that threshold.
Those requirements quickly awoke the local business lobby, typically a fairly dormant political power in a city with a strong progressive streak. In late September, opponents formed the Workforce Fairness Coalition by the Chamber of Commerce, and included prominent members like the Minnesota Business Partnership (which represents about 80 businesses, including Target, U.S. Bancorp and Xcel Energy) and the Minnesota Restaurant Association. They took specific issue with the scheduling law, saying that it would impede operations and could force businesses to flee the city.
Many progressive activists don’t buy that argument.
“We heard the same arguments from the Chamber of Commerce that are being made in Minneapolis,” says Gordon Mar, who led the campaign to pass San Francisco’s Retail Worker Bill of Rights, which includes fair scheduling. “As we’ve been implementing the law, those arguments have proven to be just as hollow as they were in business’s opposition to other worker-friendly laws."
Minneapolis Mayor Betsy Hodges ran in 2013 on a campaign that promised to directly address the city’s stark racial disparities, aspiring for a “One Minneapolis.” The city has some of the largest gaps in the country between whites and people of color for a number of indicators including rates of high school graduation, homeownership, low-level arrests and employment.
Those disparities are rampant in the workplace, too. For example, 63 percent of white workers in Minneapolis have access to earned sick time compared with just 32 percent of Latino workers. A Minnesota Department of Health report found that 79 percent of food workers—many of whom are minorities—lacked paid sick time.
In her 2015 State of the City address just six months ago, Hodges outlined an agenda she said would address economic disparities, specifically calling for an ambitious plan to implement fair scheduling, wage theft protection and paid sick leave. But since then, Hodges appears to have taken business’s concerns to heart.
“When it comes to fair, predictable scheduling, I have heard from many people, including many business owners, that the issue is complicated and that more time is needed to engage in this important issue,” the mayor said in a statement on October 14. “As a result, I have come to the conclusion that we are not in a position to resolve the concerns satisfactorily on the timeline currently contemplated.”
While Hodges pledged to continue pushing for paid sick leave and wage theft enforcement, activists felt blindsided by her sudden retreat.
“Our progressive champions were not prepared for the pushback and frankly folded under the pressure, … caving to conservative business elements,” says Anthony Newby, executive director for Minnesota Neighborhoods Organizing for Change, a member of the coalition supporting these policies. “Where does [Hodges] want to be allied? With working people or with the worst actors of the business community?”
The day after Hodges’ announcement, about 300 people streamed into City Hall in downtown Minneapolis to reaffirm support for all aspects of the Working Families Agenda. Workers and organizers spoke about the daily burdens of low-wage work and how they contribute to the racial disparities that plague a city often portrayed as a progressive wonderland. Minneapolis NAACP President Nekima Levy-Pounds described the city’s situation as a tale of two cities: “It’s the best of times if you’re white and the worst of times if you’re black.”
While the scheduling law language had not been set in stone, many businesses were concerned with its details. At first, advanced notice for schedules was set at four weeks, which was eventually scaled back to two. For every change an employer made to a worker’s schedule within two weeks of the shift, that worker would earn an hour’s wage worth of “predictability pay.” For any schedule change within 24 hours of a shift, a worker would get four hours’ pay.
Opponents were quick to cast this as an unrealistic policy with a costly burden placed on employers, and would be completely unworkable for restaurants, retailers and many other businesses that they say are dependent on “flexible” scheduling models. Advocates are quick to point out, though, that current workplace scheduling standards put all the cost on workers. For example, if a worker relies on childcare during her shifts and an employer tells her to stay late, many childcare centers charge fees for late pickups; or, having already spent money on childcare and transit, she could arrive at work to find her shift has been cut.
On fair scheduling, says Elianne Farhat with the Center for Popular Democracy’s Fair Workweek Initiative, it’s clear there’s going to be a cost. “What gets lost in the conversation is that it’s not that there isn’t a cost right now— it’s just that the workers are bearing that cost,” Farhat says. “What [fair scheduling] is trying to do is balance that cost.”
Despite Hodges’ call for more time to parse out details on scheduling, activists aren’t backing off. Her announcement seems to have galvanized many local organizations that previously were on the fence. Organizers say they will continue to advocate for paid sick leave and wage theft protections in the immediate future while aiming for an eventual victory on fair scheduling.
Compromises will likely need to be made. While San Francisco’s scheduling law applied only to big chain stores, Minneapolis’s fair scheduling proposal is universal. That may need to be scaled back, according to activists: Some added flexibility for “predictability pay” requirements may be needed, and further discussion about phase-in periods for smaller businesses will likely be coming. But organizers say they didn’t expect an easy path to passing the strongest scheduling law in the country. In fact, at a city council meeting last week two members announced a plan to refer the proposed paid sick leave policy to a new committee made up of workers, labor leaders, employers and business associations that would meet in mid-November and hash out details.
“‘No’ is not an answer. The question is what does it take to get a yes,” says Newby. “We need to figure out what is that sweet spot that’s gonna work for us. That may take a little bit more time.”
Source: In These Times
Fed Draws on Academia, Goldman for Recent Appointees
Fed Draws on Academia, Goldman for Recent Appointees
When the Federal Reserve was established, Congress called for its policy makers to have “fair representation of the financial, agricultural, industrial, and commercial interests, and geographical...
When the Federal Reserve was established, Congress called for its policy makers to have “fair representation of the financial, agricultural, industrial, and commercial interests, and geographical divisions of the country.”
But Fed officials have recently been drawn from just two backgrounds—academics, either at universities or Fed research departments, and alumni of the financial services firmGoldman Sachs & Co.
The announcement Tuesday that Neel Kashkari would become president of the Federal Reserve Bank of Minneapolis marked the third Goldman Sachs alumnus in a row to be picked to become a Fed bank president. The other two—Dallas’s Robert Steven Kaplan andPhiladelphia’s Patrick Harker —took office earlier this year.
Mr. Kashkari is a former investment banker at Goldman Sachs and a former Treasury official who ran the government’s Troubled Asset Relief Program (TARP) during the financial crisis. He takes the helm of the Minneapolis Fed Jan. 1, 2016.
Of the 17 Fed officials in office next year—five members of the Board of Governors and 12 regional bank presidents—all but three will have professional backgrounds as academics or with Goldman Sachs. The exceptions will be Atlanta Fed President Dennis Lockhartand Fed governor Jerome Powell, who worked at other banking institutions, and Kansas City Fed President Esther George, who was primarily a bank supervisor.
“The obvious downside of this is there’s more of a groupthink within the Fed,” said George Selgin, the director of the Center for Monetary and Financial Alternatives at the Cato Institute, a libertarian-leaning think tank, referring to the shift toward a narrow range of backgrounds at the central bank. “That can be very dangerous if the groupthink is based on ways of thinking about the economy that are not necessarily sound.”
Mr. Kaplan, a former Harvard Business School professor, had worked as a vice chairman of Goldman Sachs Group Inc., leading investment banking activities. Mr. Harker, the former president of the University of Delaware, served as a trustee of Goldman Sachs Trust and its Variable Insurance Trust.
New York Fed President William Dudley also spent most of his career at Goldman, ultimately serving as its chief economist.
Since the central bank’s founding a century ago, the background of Fed officials has undergone a dramatic shift.
In the early days after the Fed began in 1913, the people selected to run the nation’s central bank were primarily small bankers, reflecting that in the early days, the Fed’s key function was providing banking services to a highly fragmented banking industry. The notion of using Fed policies to steer the broader economy had not yet taken hold.
Through the Fed’s first 40 years, the backgrounds of officials grew increasingly diverse. In the late 1940s, for example, Fed officials included Chester Davis, a former agriculture commissioner and grain marketer; Laurence Whittemore, of the Boston and Maine Railroad and H. Gavin Leedy, a private practice attorney.
The central bank’s leadership also contained many functionaries who rose through the ranks as Fed administrators, such as Robert Gilbert, who in his 20s become one of the first 14 employees of the Dallas Fed. He worked as a loan and discount clerk and in the war loan department, before becoming manger of the Dallas Fed’s El Paso branch and eventually the Dallas Fed President.
Such quaint backgrounds were common among officials in the central bank’s early days but were beginning to dwindle by the 1960s. Today Fed officials who rose through the ranks are almost entirely Ph.D. economists who headed the regional banks’ research departments; the lone exception is Ms. George, who worked as a bank supervisor and Kansas City Fed administrator. Ms. George holds an M.B.A.
Gradually backgrounds in industry, law, and other aspects of government or administration fell out of favor.
“Keep in mind, for much of the Fed’s first half, the focus was really on financial stability,” said Sarah Binder, a George Washington University professor who is also a senior fellow at the Brookings Institution, a Washington think tank. “There wasn’t a well-worked out body of knowledge about monetary policy.”
As it became apparent that Fed policy held vast sway over the economic fortunes of the country, presidents and regional Fed boards increasingly turned to Ph.D. economists to guide the central bank and to be effective participants during the debates of the policy-making Federal Open Market Committee.
Ms. Binder thinks the narrow range of backgrounds among Fed officials may lead to a central bank that is thin on expertise when it comes to “the responsibilities that are laid on top of the board, in particular, that extend beyond monetary policy.”
The central bank is tasked, for example, with regulating much of the financial system, not only the giant Wall Street banks, but also community banks, insurers and other financial institutions. The Fed retains some responsibilities for consumer protection and community development, is responsible for the nation’s payment systems and continues to operate the discount window and other low-profile back-office banking functions.
Liberal activist groups, led by the Center for Popular Democracy, have pushed for diversity in the appointment of new Fed officials, pressing for representatives of workers and consumers or labor and community leaders. They have had no luck, and with the filling of the Minneapolis Fed presidency and inaction in Congress over two current nominees to the Fed board, there are no looming vacancies for the central bank’s composition to begin a shift.
Source: The Wall Street Journal
Fed’s Kashkari to Spend Day in Life of Struggling Black Family
Fed’s Kashkari to Spend Day in Life of Struggling Black Family
Neel Kashkari tried living on streets for a week during his failed run for California governor in 2014. Now, the president of the Federal Reserve Bank of Minneapolis will spend a day in the life...
Neel Kashkari tried living on streets for a week during his failed run for California governor in 2014. Now, the president of the Federal Reserve Bank of Minneapolis will spend a day in the life of a black family barely making ends meet.
“Walking a day in somebody else’s shoes is actually -- it makes the anecdotes that much more real,” Kashkari, 43, told reporters Wednesday in Minneapolis after a meeting with the local community to discuss race and economic inequality. “It influences how I think about the problems we face.”
Kashkari, a former Goldman Sachs Group Inc. executive who went on to oversee the U.S. government’s $700 billion financial rescue program, took the helm of the Minneapolis Fed in January.
National poverty levels among blacks stand at 26 percent, more than double those for whites. Fed Chair Janet Yellen has discussed inequality and the fact that minorities have higher unemployment than whites in speeches and testimony to Congress.
Outrage has mounted in the U.S. over a recent spate of fatal shootings of black men by police, some of which were filmed and broadcast over social media, worsening racial tensions in many communities.
On Wednesday, Kashkari, whose parents emigrated to the U.S. from India, heard Rosheeda Credit describe how she and her boyfriend worked three jobs between them to support their family. She then invited him to find out himself what it was like by spending the day with her.
Kashkari said he’d be “happy to do it.”
The Fed has also been under fire from Democrats, including presidential nominee Hillary Clinton, for a lack of diversity on the boards of directors on the 12 regional Fed banks. Kashkari said the central bank had a lot of work to do to improve diversity and was committed to making that happen.
By ALISTER BULL & JEANNA SMIALEK
Source
Thousands Today Say #WeRise To Reclaim Government For The People
Campaign for America's Future - March 11, 2015, by Isaiah J. Poole - At the office of Illinois Gov. Bruce Rauner, more than 2,500 demonstrators, most wearing white “We Rise” T-shirts, staged a ...
Campaign for America's Future - March 11, 2015, by Isaiah J. Poole - At the office of Illinois Gov. Bruce Rauner, more than 2,500 demonstrators, most wearing white “We Rise” T-shirts, staged a protest against cuts in Medicaid and other social services. In Albany, N.Y., more than 2,000 people marched to the state capitol to protest education funding cuts. In Denver, dozens of activists came out in support of immigration rights measures, including driver’s licenses for undocumented workers.
These are just a few of the dozens of actions that took place in 16 states today as part of “We Rise: National Day of Action to Put People and Planet First.” Local and national progressive organizations mobilized around different aspects of a common agenda that stood in opposition to the right-wing and corporatist policies pushed through state legislatures in these states. The actions were all broadcast under the Twitter hashtag “#WeRise.”
“What we saw today was a stirring of the democratic spirit,” said Fred Azcarate, Executive Director of USAction. “People are upset at elected officials who spend more time working for big corporations and wealthy campaign donors than representing the people they were elected to serve. Today, people rose up to reclaim government and demand that legislators work for them and their families.”
The states where We Rise demonstrations were organized also include Arizona, Georgia, Idaho, Kansas, Massachusetts, Minnesota, New Jersey, Nevada, New Hampshire, Ohio, Pennsylvania and Wisconsin. The events were led by groups affiliated with National People’s Action, Center for Popular Democracy, USAction, and other allies.
“Apparently conservatives believe they have a mandate to give big corporations another free ride on the backs of everyday people,” said George Goehl, Executive Director of National People’s Action. “But they’re wrong. They have no such mandate. Instead, as we can see in the resistance to draconian policy or Chuy Garcia’s campaign to unseat Rahm Emanuel as Mayor of Chicago, there is a new brand of populism taking root in America. People are fed up with politicians doing the bidding of big money. They’re ready for leaders who will work for, not against, people and the planet.”
“Politicians working primarily on behalf of big corporations are making it harder and harder for families to get by,” said Ana María Archila, Co-Executive Director of The Center for Popular Democracy. “Our families won’t stand for this, and today thousands of workers and families raised our voices in state houses across the country to demand that elected officials join us in leveling the playing field so that each and every family can thrive.”
The Campaign for America’s Future is working with two of the organizations behind today’s “We Rise” events, National People’s Action and USAction, in sponsoring the “Populism2015″ conference in April, with the Alliance for a Just Society. One goal of that conference is to build political momentum from today’s events around a populist progressive agenda “for people and the planet.” Register for the April 18-20 conference in Washington through the Populism2015 website.
Nearly 2,500 Bridges to Nowhere: Congress Considers Expanding Charter Program Despite Millions Wasted on Closed Schools
UPDATE July 15th -- Earlier this week, Senate Majority Leader Mitch McConnell (R-KY) invoked cloture on the ESEA bill, which contains provisions to...
UPDATE July 15th -- Earlier this week, Senate Majority Leader Mitch McConnell (R-KY) invoked cloture on the ESEA bill, which contains provisions to expand the Charter Schools Program. The final vote will be held today. McConnell's move to bring matters to a close came as a surprise to the authors of the bill who had expected a more robust debate, and, as EdWeek reports, "especially squeezes Democrats who are still working on proposals to beef up accountability."
As both the House and the Senate consider separate bills that would reauthorize and expand the quarter-billion-dollar-a-year Charter Schools Program (CSP), the Center for Media and Democracy (CMD) has examined more than a decade of data from the National Center for Education Statistics (NCES) as well as documentation from open records requests. The results are troubling.
Between 2001 and 2013, 2,486 charter schools have been forced to shutter, affecting 288,000 American children enrolled in primary and secondary schools.
Furthermore, untold millions out of the $3.3 billion expended by the federal government under CSP have been awarded as planning and implementation grants to schools that never opened to students.
Charters Much More Likely to Close
The failure rate for charter schools is much higher than for traditional public schools. In the 2011-2012 school year, for example, charter school students ran two and half times the risk of having their education disrupted by a school closing and suffering academic setbacks as a result. Dislocated students are less likely to graduate and suffer other harms.
In a 2014 study, Matthew F. Larsen with the Department of Economics at Tulane University looked at high school closures in Milwaukee, almost all of which were charter schools. He concluded that closures decreased “high school graduation rates by nearly 10%" The effects persist "even if the students attends a better quality school after closure.”
Hidden behind the statistics are the social consequences. According to a 2013 paper by Robert Scott and Miguel Saucedo at the University of Illinois. They found that school closures “have exacerbated inter-neighborhood tensions among Chicago youth in recent years” and have been a contributing factor to the high rate of youth incarceration.
Because the U.S. Department of Education does not provide the public with any accounting for the amount of taxpayer money—whether state or federal—that has been spent on these failed charter schools, there is no way to estimate the total amount of money missing in action. However, the Center for Popular Democracy (CPD) recently estimated that "according to standard forensic auditing methodologies, the deficiencies in charter oversight throughout the country suggest that federal, state and local government stand to lose more than $1.4 billion in 2015."
Major Probes into Closed Charters Underway
According to a PowerPoint presentation CMD has uncovered, the watchdogs at the U.S. Department of Education's Office of the Inspector General are currently conducting major nationwide probes into the lack of accountability and oversight within the Charter School Program. One of these audits focuses on where federal grants end up when charter schools are forced to close. A spokesperson for OIG confirmed to CMD that these investigations are ongoing.
The new probes come in the wake of a scathing 2012 audit, which exposed an utter lack of financial controls in the case of money awarded to charters that later closed. “The school files had no follow-up documentation for any of the 12 closed schools reviewed,” the OIG noted in the case of California. The U.S. Department of Education had conducted no oversight and failed to ensure that states receiving tens or hundreds of millions in grants had “procedures to properly account for SEA grant funds spent by closed charter schools.”
Meanwhile, U.S. Department of Education officials have assured stakeholders that the problems with millions disappearing down black holes are now a thing of the past. But the fact that the OIG has found reason to launch major investigations this year tells a different story.
Federal Millions Missing in Action as Charter Close or Never Open
It is impossible to anticipate the findings of the ongoing OIG probes, but even a cursory review of federal charter school grants in Wisconsin and Indiana, conducted by CMD, uncovered dozens of schools that were created out of seed money under the program but later forced to shutter because of financial mismanagement, failure to educate students or lack of enrollment.
Wisconsin received $69.6 million between 2010 and 2015, but out of the charters awarded sub-grants during the first two years of the cycle, one-fifth (16 out of 85) have closed since.
Indiana was awarded $31.3 million under the Charter Schools Program between 2010 and 2015. One of the reasons the state landed the grant, the reviewers contracted by the U.S. Department of Education to score the application make clear, was that charter schools in the state are exempt from democratic oversight by elected school boards. “[C]harter schools are accountable solely to authorizers under Indiana law,” one reader enthuses, awarding the application 30/30 on the rubric “flexibility offered by state law.” This “flexibility,” which the federal program is designed to promote, has been a recipe for disaster:
The Indiana Cyber Charter School opened in 2012 with $420,000 in seed money from the federal program. Dogged by financial scandals and plummeting student results the charter was revoked in 2015 and the school last month leaving 1,100 students in the lurch.
Padua Academy lost its charter in 2014 and converted to a private religious school, but not before receiving $702,000 in federal seed money.
Via Charter School was awarded $193,000 in a “planning grant” but never opened.
Early Career Academy landed a $193,000 planning grant and was due to open last year. This has been postponed because of “governance issues,” according to the school. The charter is sponsored by a for-profit college—ITT Tech—that is currently being sued by federal government for coercing students into taking out student loans for college credits that do not transfer.
In April 2015, Education Secretary Arne Duncan testified in front of the Appropriations Subcommittee on Labor, Health & Human Services and Education on abuse of federal funding by for-profit colleges, such as ITT Tech, that were “taking advantage of a massive influx of taxpayer resources.”
“The findings that we are putting forward are pretty stunning…pretty egregious. The waste of taxpayer money—none of us can feel good about,” said Duncan.
And yet, he is calling for a 48 percent expansion of the charter schools program—a program that will likely be up for the vote in the House and Senate this week, before the results of any of the OIG audits are made public to lawmakers and stakeholders.
CMD will soon be releasing the full dataset, as well as information on the methodology used to arrive at the list of closed schools, to help reporters and public school advocates tell the story.
Source: PR Watch
Protesters Stage 'Die-In' At Harvard Museum To Criticize Namesake's Link To Opioid Crisis
Protesters Stage 'Die-In' At Harvard Museum To Criticize Namesake's Link To Opioid Crisis
Several organizations, including the Center for Popular Democracy, SIFMA NOW, ACT UP Boston, participated in the protest.
...
Several organizations, including the Center for Popular Democracy, SIFMA NOW, ACT UP Boston, participated in the protest.
Read the full article here.
Failing the Test: Searching for Accountability in Charter Schools
Failing the Test: Searching for Accountability in Charter Schools
The original concept of charter schools emerged nationally more than two decades ago and was intended to support community efforts to open up education. Albert Shanker, then president of the...
The original concept of charter schools emerged nationally more than two decades ago and was intended to support community efforts to open up education. Albert Shanker, then president of the American Federation of Teachers union, lauded the charter idea in 1988 as way to propel social mobility for working class kids and to give teachers more decision-making power.
“There was a sense from the start that they would develop models for the broader system,” John Rogers tells Capital & Main. Rogers, a professor at the University of California, Los Angeles’ Graduate School of Education and Information Studies, is director of UCLA’s Institute for Democracy, Education, and Access. He adds that charter schools were to be laboratories where parents and educators would work together to craft the best possible learning environment and to serve as engines of innovation and social equity.
But critics of today’s market-based charter movement say monied interests have turned those learning labs into models for capital capture in the Golden State and beyond–“the charter school gravy train,” as Forbes describes it. Charters are publicly funded but privately managed and, like most privately run businesses, the schools prefer to avoid transparency in their operations. This often has brought negative publicity to the schools – last month the Los Angeles Daily News reported that the principal of El Camino Real Charter High School charged more than $100,000 in expenses to his school-issued credit card, many of them for personal use.
See More Stories in Capital & Main’s Charter School Series
“Information belongs to the public,” says Daniel Losen, who conducts law and policy research on education equality issues. “To the extent that you think choice should benefit parents—good choices are made with good information.” Losen co-authored a March, 2016 report about charter schools’ disciplinary policies, produced by the Center for Civil Rights Remedies at the Civil Rights Project at UCLA.
Billions of taxpayer dollars have flowed into expanding America’s privately-run charter school system over the past two decades, including $3.3 billion in federal funds alone, reports an analysis by the Center for Media and Democracy. California has the nation’s largest number of charter schools, with most of them located in Los Angeles County. But in an age when words like “accountability” and “transparency” dominate political discourse, the financial mechanics of charters receive less oversight and scrutiny than the average public school bake sale.
Charter schools were originally intended to support community efforts to open up education.
The National Alliance for Public Charter Schools candidly spells out the Golden State’s laissez faire rules of the game on its website: “California law provides that charter schools are automatically exempt from most laws governing school districts.”
The California Charter Schools Association (CCSA) has explicitly opposed state legislation that would clearly define the existing transparency laws and codes for charter schools — standards charters can now avoid despite their use of public funds.
“Charters don’t have to disclose budgets,” says Jackie Goldberg, a long-time Los Angeles school teacher and former Los Angeles Unified School District (LAUSD) board president, who also served in the California State Assembly. “Once a charter is written, it’s not subject to the Brown or the Public Records acts.”
The CCSA opposes several bills currently progressing through the state legislature that would bring charter school transparency requirements into line with those expected of public schools. One measure spells out the expectation that charters would follow the same standards as public schools when it comes to the Public Records Act that guarantees access to public records; CCSA argues that most charter schools already voluntarily comply—so the law is therefore unnecessary.
Below are several of areas of concern often cited by charter school critics.
Open Meetings
California public schools are required to follow the Ralph M. Brown Act that requires regular meetings with notices posted in advance, along with public testimony and the availability of agendas and minutes. Open meetings guarantee the right of local parents, teachers and taxpayers to participate in discussions about policy, funding, disciplinary standards—all the heated issues that arise in local schools or that go before school boards.
The finances of charter schools receive less oversight than the average public school bake sale.
But a group called the Charter Schools Development Center provides advice and wiggle room to attorneys representing charter schools on Brown Act requirements. Charters are frequently run by a nonprofit whose board members are chosen and named by previous board members. The CSDC’s Guide to the Brown Act pointedly raises the question of whether governing structures fit the profile of “local legislative bodies” required to comply with the Brown Act and recommends charter school boards “cover their bases” and follow at least the spirit, if not the precise requirements, of the Brown Act.
Disciplinary Protocols and “Counseling Out”
The California Education Code stipulates that a public school student undergoing the drastic disciplinary measure of expulsion is entitled to a due process hearing that includes district administrators and the principal, and allows the student and parents to present arguments and information.
That doesn’t apply to California charter schools, according to a 2013 state Court of Appeals ruling that holds charters can “dismiss” a student without due process. The ruling differentiates between expulsion and dismissal. Following a dismissal, a student is then sent back to the public school system. (The UCLA report that Daniel Losen co-authored found national suspension rates at charter schools were 16 percent higher than those of public schools.)
Charter schools depend on their reputations for teaching students who hit high test-score marks. The practice known as “counseling out” is used to winnow out difficult students, and extends beyond California—the New York Times has detailed incidents in a high-achieving charter school in Brooklyn.
Counseling out can happen for a variety of reasons, not just disciplinary. Jackie Goldberg says she personally witnessed a counseling out session at a South Los Angeles charter, where a student’s mother was simply told by a school staff member that her son was better off finding “a school that meets his needs.”
Public schools, on the other hand, cannot “counsel out” challenging students.
Conflicts of interest
Public school governments are required to follow California Government Code 1090, which states that officials can’t vote on issues or contracts wherein they have a vested interest. Charter decision-makers are not subject to the conflict-of-interest code.
Veteran educators and administrators interviewed by Capital & Main have expressed deep concern about the disparities between transparency requirements for public schools and publicly funded charter schools.
Most California charters are run by educational management organizations (EMOs), which are described by the National Education Policy Center at the University of Colorado as “private entities [that] may not be subject to the same financial or other document/records disclosure laws that apply to state-operated entities and public officials.”
Steve Zimmer, the current LAUSD school board president and a former high school teacher and counselor, has been critical of the lack of oversight of charter funding.
“You don’t have to go through a procurement process, you don’t have to follow labor standards,” he says. “This is playing out on a multiplicity of levels.”
Audits are not routinely required in the California charter system. It was only in 2006—some 14 years after California became the second state in the nation to pass legislation to create charter schools—that the state Charter Schools Act was amended to allow local school officials to request a state audit of a charter school’s financial transactions when they suspect something is amiss.
It took a state audit—triggered by a request from the Los Angeles County Office of Education—to uncover $2.6 million in payments that went to Kendra Okonkwo, the founder of Wisdom Academy for Young Scientists charter school, and to her close family members—with no oversight from the governing board of the nonprofit running the South Los Angeles school.
Another audit uncovered an Oakland charter school founder directing $3.8 million to companies he owned. American Indian Model Schools founder Ben Chavis is presently under IRS and FBI investigations related to his dealings with the school district.
More recently, a San Jose Mercury News investigation of California Virtual Academies, an online charter school chain run by the Virginia-based, publicly traded company K12 Inc., found that not even half of its enrollees graduated with a high school diploma and even fewer—almost none—were qualified to attend a California state university. The online chain, launched by former Goldman Sachs banker Ronald Packard, with seed money from Larry Ellison, cofounder of tech giant Oracle, and former junk bond purveyor Michael Milken, has collected more than $310 million in state funds over a dozen years. (An April 12 statement from K12 Inc. criticized the investigation as incomplete.)
A study commissioned by the Center for Popular Democracy calculates the lack of oversight has cost California $81 million.
Jason Mandell, Director of Advocacy Communications at the California Charter Schools Association, says that charter school opacity is changing. “There’s an increasingly thorough review process. If a charter school isn’t meeting standards, the charter can be shut down. When you know you’re going to be scrutinized and people are watching, you better perform. [Charters] have more autonomy in exchange for greater accountability.”
Last year, however, Governor Jerry Brown, himself a charter school founder, passed on a chance to tighten that accountability. He vetoed a bill approved by both houses of the legislature that would have made it explicit that schools should be subject to the Brown and Public Records acts.
David Tokofsky, a former member of the LAUSD Board of Education who has also worked for a charter school operator, cautions that the push for charter schools has been framed in terms of “education reform,” although the movement behind these schools, he says, is really one for deregulation of financial oversight and management.
“Deregulation was supposed to be about curriculum,” Tokofsky says, allowing teachers and parents more freedom to craft education and programs to fit the students. “It has become deregulation about every aspect of the school.”
“We know,” he adds, “when deregulated banks fail; we know when deregulated airplane doors fail. Do we know when deregulated schools are hurting your kids?”
By Bobbi Murray
Source
State legislators clash over the rights of charter schools
State legislators clash over the rights of charter schools
To state Sen. Owen Hill, the issue is simple.
"We [should] treat all public school students equally within a district," the Colorado Springs Republican says.
Hill, chair of the...
To state Sen. Owen Hill, the issue is simple.
"We [should] treat all public school students equally within a district," the Colorado Springs Republican says.
Hill, chair of the Senate Education Committee as his second four-year term begins, says that's not happening right now because charter schools don't always get an equal share of mill levy increases approved by school district voters.
The money from those taxes isn't divvied up automatically based on pupil counts. Instead, it's distributed based on contracts that charters agree to when approved by a school district. Some districts might give charters a large share of those funds; some may not give them any.
Hill is co-sponsoring Senate Bill 61 — similar to a bill of his that failed last session — trying to change that system. The bill would require school districts to distribute mill levies on a per-pupil basis, starting in the 2017-18 school year, to charters and traditional public schools.
Some exceptions exist. If a mill levy was passed to fund something that a charter doesn't offer (like school buses), the charter won't get the money. If a charter school was authorized by a school district other than the one it was located within, then the authorizing district would only owe it the per-pupil amount for kids who reside in its boundaries. Charter schools authorized by the state's Charter School Institute would be compensated by the Department of Education based on a calculation of mill levies collected by "the charter school's accounting district."
To Hill, the bill aims to correct an unfair situation. Currently, he says, "[Parents have] got this situation where they go to one school on one side of the street and that school receives $10,000 for that child, or if they go to the school on the other side of the street, the school board will basically say, 'Well, all you get is $2,500 if your child goes there.' So now we're picking winners and losers among our kids."
But Hill's view isn't shared by all legislators or education workers.
What Hill leaves out, they say, is that charters aren't equal in any other way — they don't follow the same rules or meet the same standards. So why, they say, should they be treated the same only when it comes to funding?
When Colorado legalized charters in 1993, it was hoped they would foster innovation, serve different needs and give options to families in struggling areas.
Many specialize. In Colorado Springs, for instance, two new charters were recently authorized: Landmark Community School, a sober high school, and the Colorado Military Academy, a military-style K-12.
Charters may not get all the district funds they desire, but they receive no less than 95 percent of state per-pupil funding, often get a portion of district funding, and can apply for a variety of federal and private funds.
Back in 2014, for instance, Philanthropy News Digest reported, "Denver-based DSST Public Schools [a system of charter schools] has announced a $7 million pledge from cable television entrepreneur John C. Malone and the Malone Family Foundation." The Walton Family Foundation announced last year that it would give $1 billion over the next five years to expand charters and school choice.
Charters are not forced to abide by all laws and standards that apply to traditional public schools. According to the Colorado Department of Education, charter schools are automatically granted waivers to 17 state laws. Among them are "local board duties concerning competitive bidding" and "local board powers — accepting gifts, donations and grants." Unlike traditional schools, charters are not required to hire licensed teachers nor must they follow many employment rules that apply to firing and paying teachers.
What's more, charters can ask the State Board of Education to waive other laws. Charters are eligible to have all but three sections of laws waived. What that means, says Sen. Mike Merrifield, D-Colorado Springs and a former high school music teacher, is that charters get a pass on many expensive requirements, but are free to raise money in ways that are difficult or impossible for traditional public schools.
"I would be more inclined to be supportive [of Senate Bill 61] if [charters] would adhere to all the same requirements that local public schools do," Merrifield says.
Another critic: the state's largest teachers' union, the Colorado Education Association. CEA President Kerrie Dallman has a litany of complaints about SB61. Chief among them: "We have a chronically underfunded system, and what Owen Hill's bill does is pull money out of classrooms in order to direct it to these charter schools. What we ought to be doing is talk about growing the pie."
The charter system in general also has its detractors. A statewide poll of 500 registered voters in January 2016 found that "voters overwhelmingly favor charter school reform proposals."
The GBA Strategies poll, performed for In the Public Interest and the Center for Popular Democracy, found, for instance, that 88 percent wanted to "require state officials to conduct regular audits of charter schools' finances to detect fraud, waste or abuse of public funds"; 76 percent wanted to "require charter schools to publicly disclose they are exempt from some state or school district laws including the law requiring public school teachers to be licensed to teach"; and 74 percent wanted to "require companies and organizations that manage charter schools to disclose outside funding including gifts, grants, and donations." The margin of error was plus or minus 4.4 percentage points.
Last summer, the National Association for the Advancement of Colored People and the Movement for Black Lives (which includes Black Lives Matter organizers) both came out against charter schools. The groups expressed concerns ranging from the privatization of the public school system to segregation based on perceived abilities, to lack of transparency and accountability. That's notable, because charters, remember, were originally seen as a better way to educate underserved communities.
Cheyenne Mountain School District 12 Superintendent Walt Cooper says his district has long had a great relationship with its charter, The Vanguard School, which is actually located just outside D-12's boundaries. D-12 authorized it agreeing that Vanguard would get a per-pupil portion of D-12's mill levies — but only for Vanguard students living within D-12's boundaries. Cooper says the agreement was fair, and it actually wouldn't change should SB61 pass (a key change from last year's version of the bill). But he opposed Hill's first bill, and he's not keen on SB61 either.
Cooper says he's a fan of local control, adding, "A one-size-fits-all approach does not work."
What's more, he says, there are differences between charters and traditional schools — and that's fine. But, he says, "Let's either all play by exactly the same rules ... or recognize [charters] for the fact that they are different and let's not try to make them the same."
Hill has a counter to the "charters are different" argument. School districts can apply for waivers to state laws too, he says.
That's true. Districts can apply for waivers for "innovation schools" with specific, approved plans. But they don't get automatic waivers, and aren't eligible for as many waivers as charters. Plus, Cooper says, the state board seems less inclined to grant waivers for traditional schools.
He recounts D-12's recent waiver application for its kindergarten program. Cooper says he worked with Vanguard, whose application for the same waiver was approved immediately, to produce his own application. But Cooper's proposal wasn't rubber-stamped. It took three months, three tries and appearing before the state board to get his application approved, with a three-year sunset.
"Basically, we copied their [Vanguard's] homework, and they got an A and we got a D," he says. "We were asking for exactly the same thing."
By J. Adrian Stanley
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Group Marches for More Transparency in Charter School System
90.5 WESA - October 2, 2014, by Julian Routh - In wake of a report detailing alleged charter school fraud, members of the group Action United and other concerned parents took to the streets of...
90.5 WESA - October 2, 2014, by Julian Routh - In wake of a report detailing alleged charter school fraud, members of the group Action United and other concerned parents took to the streets of Downtown Pittsburgh Thursday morning to demand more oversight from their local government.
Since 1997, there has been more than $30 million in proven or charged fraud, waste or abuse in Pennsylvania’s charter school system, according to the report released Wednesday.
To bring attention to this, the group marched from the offices of Governor Tom Corbett at Piatt Place to the Urban Pathways School on Penn Avenue, which was under fire in 2010 for spending more than $12,000 in government funding on restaurant charges and staff retreats. The school also allegedly used state tax money to build schools in Ohio.
Action United, a Pennsylvania group that fights what it calls "injustice" in the state, is asking charter schools to sign a fraud prevention pledge, which promises schools will institute a fraud risk management program and conduct fraud assessments.
Hazel Blackman, president of the regional council for Action United, said there needs to be more accountability in the Corbett administration and among charter schools.
“The reason we came out is because it’s been secretive and hidden behind closed doors what’s going on,” Blackman said. “The leadership needs to be in place to help solve what’s going on with the taxpayers’ dollars.”
Charter schools are public schools, funded by the state, that receive money based on the number of students enrolled.
A report in May by the Center for Popular Democracy and Integrity in Education said more than $136 million has been wasted in charter schools nationwide since 1997.
Action United member Bill Bartlett said this is an injustice, and that it calls for stronger leadership to be elected Nov. 4.
“We have kids who have no textbooks, we have programs being cut, we’ve got over $1 billion cut from education already,” Bartlett said. “On top of that you’re going to take $30 million and skim it off the top and put it into the pockets of crooks. That’s absolutely wrong.”
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