A .0375 GPA, again......

Good article here.  Links to other reports, scandals and test results.


https://www.insidephilanthropy.com/home/2017/10/18/virtual-charter-schools-foundations-performance


I have not posted much on this blog lately.  There has been lots of publicity on the virtual schools, none of it positive.  I am not sure there is a need.  They are no longer trendy and cool.  They are scams making some people very rich at the expense of the children.


ECOT is on its deathbed.  Trying to reorganize itself into some other structure to keep the school tax funds flowing.


Ohio Connections Academy, owned by Pearson Education, received its report card.  1 C, 2 D's, and 5 F's which I think works out to a .0375 GPA




"Some have blamed the fallout from ECOT for the disbanding of Ohio's largest charter school advocacy organization. In December 2016, the Ohio Alliance for Public Charter Schools announced it would close at the end of 2016, after more than a decade in which it was an influential player in the state's charter school policy. Critics say poor performance by Ohio charter schools—80 percent of which received an "F" in the state's report card system—caused funder support for the alliance to dry up. In years past, the Ohio organization had counted the Gates Foundation, the Thomas B. Fordham Foundation, and the Walton Family Foundation among its supporters, but by the end of 2016, none of those organizations were listed on the alliance website as current funders, according to the Columbus Dispatch."


Event the politicians are bailing. 


In the words or our President, sad, just sad, what a bunch of losers.  Too bad his education secretary does not see it as it is....

More analysis on charters from Minnesota

Students in most Minnesota charter schools are failing to hit learning targets and are not achieving adequate academic growth, according to a Star Tribune analysis of school performance data.

The analysis of 128 of the state’s 157 charter schools show that the gulf between the academic success of its white and minority students widened at nearly two-thirds of those schools last year. Slightly more than half of charter schools students were proficient in reading, dramatically worse than traditional public schools, where 72 percent were proficient.

Between 2011 and 2014, 20 charter schools failed every year to meet the state’s expectations for academic growth each year, signaling that some of Minnesota’s most vulnerable students had stagnated academically.

A top official with the Minnesota Department of Education says she is troubled by the data, which runs counter to “the public narrative” that charter schools are generally superior to public schools.

More than half of schools analyzed from 2011 to 2014 were also failing to meet the department’s expectations for academic growth, the gains made from year to year in reading and math.

Of the 20 schools that failed to meet the state goals for improvement every year, Pillsbury United Communities is the authorizer for six of those schools: Dugsi Academy, LoveWorks Academy for Visual and Performing Arts, Connections Academy, Learning for Leadership Charter School, and the Minnesota Transitions Charter School’s elementary, Connections Academy and Virtual High School. Those schools also missed annual achievement gap targets.

Bloomberg takes on K-12

Not a good investment.  Good article

Plagued by subpar test scores, the largest operator of online public schools in the U.S. has lost management contracts or been threatened with school shutdowns in five states this year. The National Collegiate Athletic Association ruled in April that students can no longer count credits from 24 K12 high schools toward athletic scholarships

http://www.bloomberg.com/news/2014-11-14/k12-backed-by-milken-suffers-low-scores-as-states-resist.html#disqus_thread

The results for Ohio:
The 2012-2013 Ohio Department of Education report card shows 1 C, 1 D and 6 F's With a performance index of 73.0% and Indicators met of 45.8%^[2

The 2013-2014 Ohio Department of Education report card shows 1 C, 1 D and 6 F's With a performance index of 73.6% and Indicators met of 41.7% ^[3]

http://reportcard.education.ohio.gov/Archives%20TS/Community%20Schools/142950/142950_2012-2013_BUILD.pdf

http://reportcard.education.ohio.gov/Pages/School-Report.aspx?SchoolIRN=142950

A .375 GPA

Some insights from a recent auditor’s report.  I think  I am reading this correctly. 

Imagine Schools Inc. has been justifiably  criticized for paying a subsidiary more money in rent than it does for its teaching staff and producing poor results.  The national benchmark for rent is 15% according to an article in the Columbus Dispatch. 

A recent audit of Ohio Connections Academy shows that teaching and administration total $5,268,575.  Overhead totals $6,003,793.   113% more than the money for teaching salary and benefits.  Overhead is undefined.  This money flows out of the state to a Maryland management company, Connections Learning,  who does with it as they wish.  There is little in bricks and mortar expense.  Compare that to 15% rent benchmark.

The management company can recycle the same software year after year.  They can sell essentially the same software to multiple states.  The transfer and accounting of the overhead expense insures that the non-profit altruistic E-school never will show a profit.  Useful to show why they cannot pay teachers more or to elicit sympathy from parents or politicians.  They are the underdog. 

Yet it is a very profitable business for the management company. Connections Learning, K-12 and others are aggressively expanding in every state possible.  Underdog status also justifies the need for more money and more students.  See page 20 on the attached link. 

What are the latest state report card results for this E-school?  1 C, 2 D’s and 5 F’s.  A .375 GPA.  It would be nice if they could move the decimal point.

To help manage the multimillion dollar budget they hired a part-time treasurer  who is under indictment for her role as treasurer with Cincinnati College Preparatory Academy.  I guess there is no need for an on-site full time treasurer. 

The audit also shows unresolved title money issues totaling $668,642 (see page 46).  When will this be resolved?  To paraphrase a politician, pretty soon we are talking real money.  At best it shows that they are sloppy with their record keeping.  At worst is suggests that they are playing with the allocations to put more of scarce title money in their pockets at the expense of taxpayers. 

https://ohioauditor.gov/auditsearch/Reports/2013/Ohio_Connections_Academy_11-Hamilton.pdf

There is an obvious problem.  Look at the proliferation of E-schools in Ohio.  Who benefits?

What is needed?  Transparency, strong boards (which are not lead around by the nose by the management company), and oversight.  These characteristics exist in the vast majority of our public school districts.  Oh by the way, results  would be good too.

Analysis on outsourcing, Ohio included

Another article about outsourcing.  Follow the money.  Is this the best we can do for Ohio?

http://www.sourcewatch.org/images/c/c9/Outsourcing_Report_Oct_2014.pdf


Some analysis on school boards. 

From a prior post:  Traditional school districts, in most cases, employ qualified professionals to manage finances, develop curriculum and ensure that applicable laws are followed. Charter schools are, by philosophy, less traditionally structured.

Ohio could do a lot to head off charter-school problems by reforming the process by which they are created.

A key weakness has been the lack of any way to hold accountable those charter-school sponsors who don’t act as watchdogs over the schools they sponsor. Weak Ohio law allows blatant conflicts of interest — for example, nothing bars sponsors, the supposed watchdogs, from selling services to the schools they are supposed to be holding accountable"

“All control and direction for the school comes on high from corporate, and such constructs as school governing boards and local governance amount to distractions. Clearly, local control is an oxymoron to the Dennis Bakkes of the charter school industry.

The memo also makes it clear that no autonomy is expected of the boards which are chosen mostly by the company’s regional managers. While the best of our nation’s schools usually feature a collaborative model where teams of teachers work with school administrators, privatization of public schools that are operated by national chains seems to come only with a top-down approach, and any semblance of a governing board to provide guidance and oversight for the school’s operations is not to be tolerated in Bakke’s world.

In Ohio, the Revised Code treats a charter school as a school district, with its own treasurer, chief administrative officer, and governing board. But state law also allows great latitude regarding the operation and governance of the school, and current law requires that each school have a minimum of five board members, with no other qualifications stated in the law.”

Raymond Lambert School Leader of the Year by the Ohio Alliance for Public Charter Schools (OAPCS) once had this to say about boards.

“I wonder why people sit on Boards? Is it a cheap self esteem boost?”

“ I often think the many Boards I have seen are lead around by the nose anyway.”

"Ohio’s charter schools, which are publicly funded, are

supposed to be subject to periodic state audits and held to

performance standards by the sponsoring organizations

that contract with operators.

 

But governing boards may not be as independent as they

ought to be, as a 2014 investigation by the Akron Beacon

Journal found. White Hat shares legal representation with

 

the boards of many of the charter schools it has contracts

with.

149 And a number of board members have admitted

that they were recruited by White Hat, a clear conflict of

interest.

In a revealing statement, Maggie Ford, chief academic

officer at White Hat, told the

Beacon Journal, “Sometimes

we have one or two people that would like to start a school,

and they don’t have enough for an entire board. So they

want to, they talk to, other board members or ask us to

help recruit board, um, recommend board members.”

 

In effect, the boards at many “nonprofit” charter schools

were hand-picked by White Hat, which contracted with

those same boards to operate the schools."

Combine a couple of hand-picked board members and combine that with a couple of well-meaning but unqualified parent board members and you have a serious but profitable governance situation. Again, where is the independence?

Keep in mind that a billion dollars has been transferred out of the public schools to charter schools in Ohio.
I  note that the folks who set up Connections Academy board are former White Hat employees.  I suspect that many of the same management people take what they learn to set up a new charter that primarily benefits their interests.  I would submit that the boards are handpicked rubber stamps with little actual power.

 

League of Women Voters (NM) takes a look at E schools

http://www.lwvglc.org/documents/lwvglc_paper_for_profit_virtual_charter_schools.pdf

Not recommended in New Mexico.  Good analysis.

The profit motive in virtual schools

After digging deeper, the independent folks in Maine came to the right decision.

http://www.pressherald.com/2012/09/01/virtual-schools-in-maine_2012-09-02/

Secret to a good school? School boards?

Cui Bono (who profits)

A recent article indicates that a good school board make the difference in performance.

http://national.deseretnews.com/article/1350/The-secret-to-good-schools-might-surprise-you.html#kmFZI51zT3Df3rPj.03

"The report also found that when board members were professionalized, underwent professional training and in some cases even earned a salary, students performed better. "

It suggests that the timing of elections matter.  "It matters, for example, when elections are held. Holding elections at the same time as state and national-level elections, the authors found, correlates to standardized student proficiency test scores 2.4 points higher than a comparable district that has off-cycle elections."

Compare this to the system now employed by Ohio charter schools.  Who appoints the boards?  The sponsor or the charter school.  There are no elections!  Simplifies your board selection and business model.

What is the main focus of the board?  I would suggest that it is selected for self-preservation of the school management and the jobs and profits it generates for its management.  It is an unpaid job.  The charter schools can and do act like a personal, but funded by taxpayers, business.

SO how does this work in practice?  A recent prime example of this in action.  The Horizon and Noble academies were recently raided by the FBI.  Who selected the board?

"A chain of 19 publicly funded Ohio charter schools, founded by Turkish immigrants, is taking the position that the United States lacks a qualified pool of math and science teachers and is importing perhaps hundreds of Turks to fill the void.

The schools are run almost exclusively by persons of Turkish heritage, some of whom are not U.S. citizens — a new twist in Ohio’s controversial charter-school movement.

In addition, the Horizon and Noble academies, run by Chicago-based Concept Schools, are related through membership, fundraisers and political giving to the nonprofit Niagara Foundation, which provides trips to Turkey for state, local and federal lawmakers.

Among those touring Turkey has been State Rep. Cliff Rosenberger, a Clarksville Republican on the powerful finance and appropriations committee and considered to be a leading candidate for House speaker next year. He was joined on the trip by at least four other state legislators and local government leaders from his area in southwest Ohio.

There have been other trips from Ohio, and in Illinois, there are allegations that state officials who took trips showed favoritism in disbursing public dollars to Concept schools.

Public records show that since late 2009, the U.S. Department of Labor has allowed 19 of these schools in Ohio to hire 325 educators almost exclusively from Turkey.

However, as early as 2002, state audits found thousands of public dollars “illegally expended” to finance the U.S. citizenship process for Turkish employees — some fresh out of college with no classroom experience and broken English. Help with legal and immigration fees also extended to their children and families, including the spouses of directors.

The auditor also cited suspect wire transfers, totaling $36,000, and checks made out to “cash” to repay personal loans issued by individuals in Istanbul, Turkey."

Complete article here:

http://www.ohio.com/news/break-news/ohio-taxpayers-provide-jobs-to-turkish-immigrants-through-charter-schools-1.501940?localLinksEnabled=false#.U7ngdZ1rYfM.facebook

Quote from Denis Smith from an earlier blog post.
http://dianeravitch.net/2014/03/25/denis-smith-of-ohio-who-governs-charter-schools/


“All control and direction for the school comes on high from corporate, and such constructs as school governing boards and local governance amount to distractions. Clearly, local control is an oxymoron to the Dennis Bakkes of the charter school industry.

The memo also makes it clear that no autonomy is expected of the boards which are chosen mostly by the company’s regional managers. While the best of our nation’s schools usually feature a collaborative model where teams of teachers work with school administrators, privatization of public schools that are operated by national chains seems to come only with a top-down approach, and any semblance of a governing board to provide guidance and oversight for the school’s operations is not to be tolerated in Bakke’s world.

In Ohio, the Revised Code treats a charter school as a school district, with its own treasurer, chief administrative officer, and governing board. But state law also allows great latitude regarding the operation and governance of the school, and current law requires that each school have a minimum of five board members, with no other qualifications stated in the law.”

Raymond Lambert School Leader of the Year by the Ohio Alliance for Public Charter Schools (OAPCS)  and now with Ohio Connections Academy, formerly with WhiteHat once had this to say about boards. 

“I wonder why people sit on Boards? Is it a cheap self esteem boost?”

“ I often think the many Boards I have seen are lead around by the nose anyway.”

This is an expensive experiment.

Follow the Money

Cui Bono (who profits)

As noted in a prior post, virtual schools in Ohio are currently a $218 million dollar (per year) experiment.  Pretty soon you are talking about real money and real millionaires. 

It is not the teachers or administrators who are getting rich.

Pearson bought Connections Education which includes the Connections Academy Schools and Nexus Academy for $400 million.  They have since branched out to international schools and are marketing all over the world.  They are also a major force behind the common core standards.

Private equity firm Apollo Management LP is selling Baltimore online schooling company Connections Education LLC to U.K. publishing giant Pearson plc for $400 million, Pearson said Thursday, Sept. 14.
Apollo and Sterling Partners, the target's minority owner, will pocket nearly the entire amount because Connections Education has little debt, a person familiar with the company said.
The two PE firms evidently will turn a profit. In September 2004, according to a financial filing, they paid $12 million to buy the business from Educate Inc., a K-12 education services provider Apollo had purchased for $283 million the previous year.
It isn't known how much additional capital, if any, New York-based Apollo and Baltimore-based Sterling have put into Connections Education since then.
Apollo executives were unavailable for comment. Sterling did not return a message seeking comment.
Connections Education has enjoyed spectacular growth over the past seven years. It posted less than $6 million in revenue the year Apollo and Sterling bought it.
This year, revenues are likely to hit $190 million, Sterling said.
Through its Connections Academy business, the company provides online instruction to more than 40,000 students in grades K-12. It operates "virtual" accredited public school in 21 U.S. states.
"Virtual schooling is an attractive choice for a growing group of American parents, and in the next decade it will take off in other countries," Pearson chief executive Marjorie Scardino said in a statement.

There are some justifiably angry folks as to the privatization of public schools, control of testing, and the pushing of private curriculums by Pearson.  An effort is underway to boycott Pearson.

http://unitedoptout.com/boycott-pearson-now/

 

 

As noted in an earlier post, the Connections Academy Pricing plan:

 

"a representative of Connections explained that its services were available at three price points per student:

Option A: $7,500, a student-teacher ratio of 35-40 to 1, and an average teacher salary of $45,000.

Option B: $6,500, a student-teacher ratio of 50 to 1, with less experienced teachers paid $40,000.

Option C: $4,800 and a student-teacher ratio of 60 to 1, as well as a narrower curriculum

Profit model for Connections Academy

"a representative of Connections explained that its services were available at three price points per student:
Option A: $7,500, a student-teacher ratio of 35-40 to 1, and an average teacher salary of $45,000.
Option B: $6,500, a student-teacher ratio of 50 to 1, with less experienced teachers paid $40,000.
Option C: $4,800 and a student-teacher ratio of 60 to 1, as well as a narrower curriculum.
Despite lower operating costs, the online companies collect nearly as much taxpayer money in some states as brick-and-mortar charter schools. In Pennsylvania, about 30,000 students are enrolled in online schools at an average cost of about $10,000 per student. The state auditor general, Jack Wagner, said that is double or more what it costs the companies to educate those children online. "

http://www.nytimes.com/2011/12/13/education/online-schools-score-better-on-wall-street-than-in-classrooms.html?pagewanted=all&_r=0

Based on the current report card, it looks like Ohio is paying for Option A but getting Option C and the commensurate results from Ohio Connections Academy.