what's public?

Private managers of public schools, charter leaders enjoy extra buffer from public-records laws

PHOTO: Monica Disare
Eva Moskowitz, Success Academy Charter Schools CEO.

When Success Academy officials read the news last month that board chair Daniel Loeb had made a racially charged comment about a New York State senator, what did they do next?

Did Success CEO Eva Moskowitz frantically email confidantes about the incident? Did her team craft a new policy on board member conduct?

It turns out, we may never know.

That’s in part because emails sent by Moskowitz and other leaders of New York City’s largest charter network which oversees 46 public schools and 15,500 students are not subject to the same public-records laws as district school officials, such as Chancellor Carmen Fariña.

Moskowitz and officials at other charter school networks are generally exempt from the law because they don’t work for individual schools or city agencies, both of which are required to hand over certain records to members of the public who request them. Instead, they are employed by nonprofit groups called charter management organizations, or CMOs, which aren’t covered by the state records law.

“Success Academy Charter Schools, Inc. (SACS) is a private nonprofit organization that provides services to charter schools, but it is not itself a charter school or a government agency under FOIL,” wrote Success Academy lawyer Robert Dunn in response to an appeal of a Chalkbeat request for Moskowitz’s emails under the state’s Freedom of Information Law, which the network had denied. “Thus, it is not in and of itself subject to FOIL or required to have an appeal process.”

In addition, Success officials said the emails would not need to be released because they qualify as internal communications that are exempt from the public-records law.

The city’s most prominent charter school networks — including KIPP and Uncommon — have similar CMO structures, which appears to shield their leaders from at least some FOIL requests. While “the KIPP NYC public charter schools themselves are subject to the New York Freedom of Information Law,” KIPP spokesperson Steve Mancini said in an email, the “CMOs are not.”

But some government-transparency advocates argue that the law is not so clear cut.

Because CMOs are so heavily involved in the operation of public schools, it could be argued that the vast majority of their records are kept on behalf of public schools and should be public, said Bob Freeman, executive director of the Committee on Open Government and an expert on public-records laws.

Even though nonprofits aren’t covered by FOIL, he said, “Everything you do for an entity that is subject to FOIL — everything you prepare, transmit, and receive — falls within the scope of FOIL.”

Success Academy officials emphasized that the network does not categorically deny public-records requests involving its management organization. For instance, it may hand over CMO records related to the daily operation of its schools, the officials said. The network decides on a case-by-case basis which CMO records are public and which are not, they added.

“We follow the same policies as all other charter management organizations,” said Nicole Sizemore, a Success Academy spokeswoman.

Uncommon Schools spokeswoman Barbara Martinez said that their individual schools are subject to public-records requests and the nonprofit CMO releases budget information on its public tax forms.

“Uncommon Schools is a non-profit organization that follows all local, state and federal laws regarding disclosure,” she said in a statement.

However, because public-records laws mainly apply to government agencies and institutions, it is likely that some important communications related to charter schools — such as charter officials’ emails to real-estate companies, for example and detailed financial records related to their CMOs would be off limits to the public.

The issue of charter management transparency flared up in Connecticut a few years ago.

After the state accused a CMO of nepotism and financial mismanagement of its charter schools, the Hartford Courant requested CMO records under the state’s Freedom of Information law. The CMO refused to hand them over, saying, “We are not a public agency.”

In response, state lawmakers proposed a law to increase CMO transparency and subject them to public-records laws. After charter advocates decried the law as overly broad, lawmakers amended it and the law was passed. (A similar bill was recently introduced in the California legislature but did not pass.)

Similar scandals involving CMOs could happen elsewhere, said Wendy Lecker, an attorney at the Education Law Center. During the debate in Connecticut, she called for making all CMO records public.

“Something done on behalf of a school should be subject to transparency and Freedom of Information laws,” she said. “I don’t see why they’d want to shield the public from that.”

A large number of charter schools are run by charter management organizations. In 2015, about 55 percent of New York City charter schools were managed by CMOs, according to the National Alliance for Public Charter Schools.

The nonprofits help their schools hire, pay, and train staff; analyze data; and handle advertising and public relations, according to a report by the NAPCS. The report notes that these organizations are distinct from textbook companies or other vendors that schools contract with because CMOs “have considerable influence over the instructional design and operations of their affiliated charter schools.”

The nonprofit structure has enabled networks to open new schools more easily, including ones in multiple districts and states, said James Merriman, CEO of the New York City Charter School Center.

Even if New York’s public-records laws applied to CMOs, that would not guarantee that all their records would be accessible or easy to obtain.

New York City’s education department, for instance, is notorious for dragging its feet on FOIL requests. And some information is also exempt from the public-records law.

For instance, opinions or recommendations from within an agency or from outside consultants are exempt from public disclosure. Success’ lawyer argued that even if the network’s executives were subject to public information requests, Moskowitz’s emails to or about Loeb would fall under this “inter-agency” communication exception.

However, government agencies would still have to supply the requested emails, just with the exempted information redacted, said Allan Blutstein, the public-records advisor for the political opposition research group America Rising. Even redacted emails can provide a wealth of information, Blutstein said, since simply seeing when the emails were sent, who they were sent to, and how many were exchanged provides insights into how the organization responded.

“You may not get his or her personal opinion back and forth, but there’s value in knowing how soon they reacted, how soon they’re responding to other people,” Blutstein said. “You can make these types of inferences and learn a lot.”

In addition, institutions that are subject to FOIL must hand over more detailed budget information than nonprofits typically disclose, Blutstein said. While nonprofits are required to release general information, like how much they spend on supplies or training, public institutions must hand over almost every record, he said.

new money

House budget draft sends more money to schools, but not specifically to teacher raises

PHOTO: Laura Faith Kebede/Chalkbeat

Despite months of heated debate, Indiana House Republicans are not setting aside extra dollars for meaningful teacher raises in their version of the state’s $14.5 billion education budget plan released Monday night.

Even though lawmakers are proposing preserving a controversial merit-based bonus pool and adding small amounts for teacher training programs, their budget draft would largely leave it up to school districts to dole out raises through increased overall funding.

The budget draft proposes increasing what Indiana spends on schools overall by $461 million — or 4.3 percent — through 2021, a little more than increases in years past. The basic per-student funding that all districts get would jump from $5,352 per student this year to $5,442 per student in 2020 and $5,549 per student in 2021. House lawmakers are also adding in a one-time payment of $150 million from state reserves that would pay down a pension liability for schools. But while lawmakers and Gov. Eric Holcomb have said that pension payment would free up about $70 million in schools’ budgets each year, the state likely wouldn’t require the cost-savings be passed along to teachers.

Although increasing teacher pay is a top goal for House Republicans, lawmakers have crafted bills that hinge on districts spending less money in areas such as administration or transportation rather than adding more money to school budgets and earmarking it for teacher salaries.

Their criticism of school spending has raised the ire of superintendents and educators who say they have little left to cut after years of increasing costs and state revenue that has barely kept pace with inflation.

But budget draft, which is expected to be presented to and voted on by the House Ways and Means Committee on Tuesday, doesn’t completely omit efforts to incentivize teachers to stick around. Unlike Holcomb’s budget proposal, House lawmakers are keeping in the current appropriation of $30 million per year for teacher bonuses.

The House budget draft would also set aside $1 million over two years for a teacher residency pilot program and $5 million over two years for schools that put in place career ladder programs that allow teachers to gain skills and opportunities without leaving the classroom.

Teacher advocacy groups, such as the Indiana State Teachers Association and Teach Plus, have been supportive of residency and career ladder programs, but the organizations have also called for more action this year to get dollars to teachers. Additionally, the ideas aren’t new — similar programs have been proposed in years past.

Calls for the hundreds of millions of dollars it would take to raise teacher salaries to be more in line with surrounding states will likely go unheeded for now as the state instead prioritizes other high-profile and expensive agencies, such as the Department of Child Services and Medicaid.

But while plans for major teacher pay raises appear to be on hold, House lawmakers are looking to boost funding in other areas of education to support some of the state’s most vulnerable students.

The budget draft would increase what the state must spend on preschool programs for students with disabilities from the current $2,750 per-student to $2,875 in 2020 and $3,000 in 2021 — the first such increase in more than 25 years.

House lawmakers are also proposing the state spend more money on students learning English as a new language, at $325 per student up from $300 per student now. While all schools with English learners would receive more money per student under this plan, the new budget draft removes a provision that had previously allocated extra dollars to schools with higher concentrations of English learners.

A 2017 calculation error and an uptick in interested schools meant state lawmakers did not budget enough money for schools with larger shares of English-learners in the last budget cycle, so they ended up getting far less than what the state had promised. But even the small increases were valuable, educators told Chalkbeat.

House lawmakers also suggested slashing funding for virtual programs run by traditional public school districts. Going forward, funding for both virtual charter schools and virtual schools within school districts would come in at 90 percent of what traditional schools receive from the state — now, only virtual charter schools are at the 90 percent level. It’s a marked change for House lawmakers, who in years past have asked that virtual charter school funding be increased to 100 percent.

The virtual funding proposal comes as lawmakers are considering bills that would add regulations for the troubled schools, where few students pass state exams or graduate.

The budget draft also includes:

  • $5 million per year added to school safety grants, totaling $19 million in 2020 and $24 million in 2021
  • Doubling grants for high-performing charter schools from $500 per student to $1,000 per student, at a cost of about $32 million over two years. The money is a way for charter schools to make up for not receiving local property tax dollars like district schools, lawmakers say.
  • $4 million per year more to expand the state’s private school voucher program to increase funding for certain families above the poverty line. Under the plan, a family of four making between $46,000 and $58,000 annually could receive a voucher for 70 percent of what public schools would have received in state funding for the student. Currently, those families receive a 50 percent voucher.
  • About $33 million over two years (up from about $25 million) for the state’s Tax Credit Scholarship program.

rethinking the reprieve

Indiana lawmakers take step to eliminate generous ‘growth-only’ grades for all schools, not just those in IPS

PHOTO: Anthony Lanzilote

A panel of Indiana lawmakers took a first step Monday to stop giving new and overhauled schools more generous state A-F grades that consider only how much students improve on tests and cut schools slack for low test scores.

The House Education Committee was initially looking to clamp down on Indianapolis Public Schools’ innovation schools, barring them from using student test score improvement as the sole determinant in their first three years of A-F grades. The more generous scale has boosted IPS’ performance as it launches a new strategy of partnering with charter operators, by allowing some innovation network schools to earn high marks despite overall low test scores.

But lawmakers expanded the scope of the bill to stop all schools from receiving what are known as “growth-only grades” after Chalkbeat reported that IPS’ overhauled high schools were granted a fresh start from the state — a move that would allow the high schools to tap into the more lenient grading system.

“I want to be consistent, and I felt like [grading] wasn’t consistent before, it was just hodge-podge,” said committee Chairman Bob Behning, an Indianapolis Republican. “We need to be transparent with parents.”

Read: Why it’s hard to compare Indianapolis schools under the A-F grading system

The committee unanimously approved the bill. If it passes into law, Indianapolis Public Schools stands to be one of the districts most affected. Growth-only grades for innovation schools have given the district’s data a boost, accounting for eight of the district’s 11 A grades in 2018. All of its high schools could also be eligible for growth-only grades this year.

Indianapolis Public Schools officials did not immediately respond to requests for comment. In the past, they have defended the two-tiered grading system, arguing that growth on state tests is an important window into how schools are educating students. Growth-only grades were originally intended to offer new schools time to get up and running before being judged on student test scores.

IPS was also the target of another provision in the updated bill that would add in stricter rules for when and how schools can ask for a “baseline reset” — the fresh start that its four high schools were recently granted.

Read: IPS overhauled high schools. Now, the state is giving them a fresh start on A-F

The resets, which districts can currently request from the state education department if they meet certain criteria that show they’ve undergone dramatic changes, wipe out previous test scores and other student performance data to give schools a fresh start. The reset schools are considered new schools with new state ID numbers.

The state determined a reset was necessary for IPS’ four remaining high schools because of the effects of decisions last year to close three campuses, shuffle staff, and create a new system a new system for students to choose their schools. Each school will start over with state letter grades in 2019.

But Behning and other lawmakers were skeptical that such changes merited starting over with accountability, and they were concerned that the process could occur without state board of education scrutiny. If passed into law, the bill would require the state board to approve future requests for accountability resets.

A state board staff member testified in favor of the change. The state education department did not offer comments to the committee.

Rep. Vernon Smith, a Democrat from Gary, said he didn’t like the fact that a reset could erase a school’s data, adding that he had concerns about “the transparency of a school corporation getting a new number.”

The amended bill wouldn’t remove the reset for IPS high schools, but by eliminating the growth-only grades, it would get rid of some of the incentive for districts to ask for a reset to begin with. Under current law, reset schools are considered new and qualify for growth-only grades. But the bill would require that reset schools be judged on the state’s usual scale, taking into account both test scores and test score improvement — and possibly leading to lower-than-anticipated state grades.

The amended bill would still offer a grading grace period to schools opening for the first time: New charter schools would be able to ask the state to give them no grade — known as a “null” grade — for their first three years, but schools’ test score performance and test score growth data would still be published online. Behning said he didn’t include district schools in the null-grade measure because they haven’t frequently opened new schools, but he said he’d be open to an amendment.

The bill next heads to the full House for a vote.