Showing posts with label hedge funds. Show all posts
Showing posts with label hedge funds. Show all posts

Tuesday, November 20, 2012

Charter School Enrollment Rising Rapidly

Huck/Konopacki Labor Cartoons

Between the 2010-11 and 2011-12 school years, the number of students enrolled in charter schools rose by nearly 13%, to just over two million students nationwide, according to a new report from the National Alliance for Public Charter Schools. 110 school districts across the nation have at least 10% of their students enrolled in charter schools, 16 more than last year.

New Orleans leads the nation with 70% of its students enrolled in charter schools, the New York Times reported last week. Detroit, Washington, D.C., and St. Louis, each have more than 30% of their public school students attending charter schools. New York City saw a 24% jump in charter school enrollment over the past year. California currently has the highest total number of charter schools, according to the WSWS.

The rise of charter schools has come primarily as a result of a highly effective and well-funded PR campaign financed by billionaires like Bill Gates, the Waltons, Eli Broad and others, that has painted the entire traditional public school system as a complete failure and charter schools as their best salvation. They have spent millions of dollars propping up fledgling charters that could not possibly have survived or thrived without private donations. They have bought politicians and initiatives in many states, resulting in laws that facilitate the creation of new charter schools and that defund traditional schools (like NCLB and Parent Trigger laws, which have been used to foist charter schools upon communities). Wall Street bankers and hedge fund managers have also jumped into the charter school circus, recognizing the large profits to be made in public education (see here and here).

Proponents have even created their own reality with bogus studies that “prove” that charter schools are far more effective than they actually are. In reality, charter schools are no better than traditional public schools. A national study by the Center for Research on Education Outcomes at Stanford found that while 17% of charter schools produced better results than neighborhood public schools, 37% were significantly worse, and the rest were no different. Also, many of the studies that have found superior outcomes at charter schools were based on dubious or misinterpreted data.

Furthermore, charter schools are far more segregated than traditional public schools. 70% of black charter school students attend schools with 90-100% minority students, 75% of whom are also black, yet black students make up only one-third of all charter school students. Half of Latino charter students also attend racially isolated minority schools. Charter schools are also segregated by class. While, poor students make up 40% of public school students, they make up only 17% of private religious and 10% of private secular school students. (For more on charter school segregation (see herehere and here.) Additionally, many push out or block special education students and English Language Learners from enrolling. In contrast, traditional public schools must accept all students, regardless of socioeconomic status, ethnicity or physical or mental ability.

Thursday, February 10, 2011

Why Is Wall Street After Our Schools?


Well, they aren’t really our schools, and never were, but that’s a whole other story.  The privatization of public education has been accelerating for some time now. First it was a bunch of religious nuts who wanted their kids to be educated without the corrupting influence of evolution and the homosexual agenda. Then it was a few for-profit Educational Management Organizations hoping to turn a quick buck. Some billionaire “philanthropists” like Gates, Broad and Walton started to get involved, soon joined by hedge fund managers and Wall Street raiders.

Robert Skeels at Solidaridad has an interesting piece on this subject: Charter Voucher Charlatans Now Advocating AIG Style Derivatives

Monday, February 7, 2011

California’s Education Hall of Shame


Huck/Konopacki Labor Cartoons
California is quickly becoming the new front line in corporate Ed Deform. Many of the usual suspects have quietly begun to focus their efforts on State-wide and local efforts in California, while several lesser known accomplices have joined their ranks. Here is just a partial list:

Eli Broad needs no introduction for anyone following education issues and he is certainly not a new player in Ed Deform. He spends millions to train school-board members and principals how to govern school districts like large corporations. His Superintendents Academy trains CEOs to lead urban school districts, while his Residency in Urban Education program places recent business graduates into educational management positions. He promotes performance pay schemes and heavily funds charter schools, like Aspire and Green Dot, the latter receiving $10.5 million from Broad to run several charter schools in L.A. He was also a major funder of Waiting for Superman. He recently pledged $25 million to make Teach For America a permanent low quality teacher-training program and $500,000 to prop up ICEF Public Schools, one of the nation’s largest charter school companies, which was facing insolvency.

Michelle Rhee also needs no introduction after her reign of terror as head of D.C. schools. However, she has recently relocated her StudentsFirst organization to Sacramento after marrying Kevin Johnson, mayor of Sacramento. Rhee plans to raise $1 billion and has already won a pledge from billionaire Eli Broad. Much of this money will be used to support school board members sympathetic to her agenda of charter schools, value-added teacher evaluations and the elimination of tenure, and to counter the influence of teachers unions.

Gloria Romero, anti-union and pro-privatization former state senator, is now head of Democrats for Education Reform (DFER) in California, an organization funded by hedge fund managers from NYC whose goal is to privatize and profit from public schools. Romero made the big-time of Ed Deform when she was invited to Obama’s Super Bowl Party this week, a major coup for the woman who lost a bid to become the California Superintendent, despite backing by charter school companies and nearly $800,000 in donations by EdVoice.  While Romero feigned surprise at the invitation to the president’s party, she did say she was “there to cheer on the reform team in education.” As a state senator, Romero had pushed hard to expand charter schools and to win Race To the Top funds from the Obama administration and was a strong supporter of the Parent Trigger law. Her presence at the party should be seen as a signal that she plans to work closely with Obama and Duncan to push through their Ed Deform agenda.

Philip Anschutz, right wing evangelical billionaire and media mogul, has donated at least $100,000 to the Coalition for School Reform in Los Angeles, a slush fund to elect privatization friendly school board members. Anschutz helped fund Waiting for Superman. (See Kenneth Libby’s Philip Anschutz and Walden Media: What Kind of Agenda?) The Anshutz Foundation donates to the Cato, Hoover, American Enterprise and Freedom Works Institutes as well as other right wing think tanks and foundations. They also fund Evangelical organizations, as well as school privatization favorites like KIPP. Anschutz was a big funder of proposition 8 in California, the anti-gay marriage law. He also funds the Discovery Institute, the main backer of Intelligent Design and young Earth lunacy.

Donald Fisher, billionaire founder and president of Gap (Old Navy and Banana Republic), was a big investor in Edison Schools (a for-profit Educational Management Organization (EMO). He donated heavily into the campaigns of pro-Edison school board members in San Francisco. He was also a major contributor to KIPP and was the chairman of the board of trustees for their foundation. He also contributed to Teach For America, GreatSchools.net, and EdVoice. Fisher died in 2009, however, his family and foundation continue to support his Ed Deform agenda.

Reed Hastings is the founder and CEO of Netflix. He also owns DreamBox Learning, an online education startup that makes math games for K-3 graders. He advocates for charter schools and has served as president of the California State Board of Education. He has been a KIPP board member and fought to lift the state cap on charter schools, citing a goal of getting 20% of California children enrolled in charter schools. He is also a founding member of NewSchools.org, Aspire Public Schools and EdVoice.net.

Kevin Johnson is a former basketball star, current mayor of Sacramento, hubby of Michelle Rhee and accused serial pedophile. (They should be an interesting family, considering Rhee’s history as a child abuser). Johnson is also president and CEO of the Kevin Johnson Corporation, which founded the St. HOPE Public Schools charter system. In 1995, he apologized to a 16-year old girl who has accused him of fondling her (though he never admitted guilt) and even proposed a settlement with the girl’s family. Similar accusations were made against Johnson by a student at one of his charter schools in 2008. The teacher to whom the student brought the complaint eventually resigned, claiming that she and the student had been intimidated and asked to change their story. The girl eventually recanted. St. HOPE also agreed to pay $423,836 in a settlement for misuse of AmeriCorp funds.

Democrats For Education Reform (DFER)
DFER plans to open two offices in California, one in Los Angeles, and one in the Bay Area. They are raising $1 million to support these two offices. DFER’s initial focus will be on large urban districts like LAUSD, SFUSD, Oakland and San Diego, and pushing pro-privatization candidates onto their school boards. A major goal of DFER is to provide a financial opposition to the teachers unions in local and state-wide elections. They will also fight for more parental choice, mayoral control, performance pay, and weakening of tenure and seniority rights. With these goals, Romero is certainly a good match. DFER has spent $17 million in the last three years in California, backing candidates like U.S. Rep. George Miller, of Martinez, a proponent of NCLB, and Sacramento Mayor Kevin Johnson. According to John Fensterwald, DFER has many venture capitalists and fund managers on their board of directors and are likely to shake down Eli Broad and Reed Hastings, as well as EdVoice, for additional funding.

Ed Voice
Ed Voice is an Ed Deform advocacy group funded by wealthy California philanthropists and is closely allied with Eli Broad. They spent $100,000 to get Marty Block elected in San Diego. They raised nearly $1 million in 2007, including $94,400 each from Eli Broad, Gap chairman Don Fisher, Carrie Walton Penner (Wal-Mart heiress) and R.B. Buzz Woolley Jr., La Jolla investor and president of the Voice of San Diego.

Friday, January 28, 2011

California’s New Wave Of Billionaire Ed Reformers


Billionaire (by Maggie T)
The San Diego Education Report Blog had a nice summary of some of the newest wave of Ed Deform coming to California. As most of you who follow education reform already know, Michele Rhee is basing her StudentsFirst organization in Sacramento. Rhee is engaged to Sacramento Mayor Kevin Johnson, who will no doubt support Rhee’s agenda in Sacramento.

Rhee wants to raise $1 billion and recruit 1 million volunteers and she just might be able to pull it off. Billionaire Eli Broad has already stated that he plans to be a big donor to the cause. According to the SD Ed Report Blog, much of the $1 billion will be used to buy election board members and other elected officials sympathetic to Rhee’s ed deform agenda, including more charter schools, value-added teacher evaluation and the elimination of tenure.

New to California is the group Democrats for Education Reform, a New York-based organization backed by hedge fund billionaires like David Einhorn. They hired State Sen. Gloria Romero, former chair of the Senate Education Committee and author of the “parent trigger” law. She is allied with Rhee declaring, “I am proud to march shoulder to shoulder with Michelle Rhee. . . Si se puede!”

Translated: Yes we can wrest control of the Democratic party from the CTA. “We have to tackle the special interests which for too long have dominated the education discourse in our party,”