If you thought the dust had settled in Raleigh now that lawmakers have agreed on a final budget for 2015-17, think again—late Monday afternoon, Senate lawmakers gutted a House bill and inserted language that would divert money intended for use at traditional public schools over to charter schools.

Sen. Chad Barefoot spoke in support of the measure, arguing that public school money should follow a child, wherever he or she attends school. But Katherine Joyce, a lobbyist for the North Carolina School Administrators Association, said the changes will “have a significant, negative impact on your school districts.”

“This is making lots of changes in the delicate balance between funding for your public schools and funding for your charter students,” Joyce said. “Your LEAs will be strongly opposed to it.”

Many Senators appeared to be taken surprise by the move. A similar version of the bill was introduced back in March, which passed the Senate but stalled in the House.

Currently public and charter schools all share per pupil funding given to school districts by the state. But it’s possible for districts to carve out certain funding streams to keep within traditional public schools—which includes sales tax revenue. The proposed charter school funding change would no longer allow that practice of reserving sales tax revenue for traditional public schools..

The funding change for charter schools would have additional impacts, some of which include:

  • Public schools would have to share federal monies with charters that support nutrition and transportation programs—even though charter schools are not required to offer students lunch or transportation.
  • If a district has a supplemental property tax intended for public schools, those funds would have to follow a child—even if he or she attends a charter school outside of the taxing district.
  • Districts may have to separately designate gifts and grants in order to keep them within the traditional system.
  • Federal appropriations made to school districts would have to be equally shared with charter schools.

Back in May, I talked with Guilford County Schools’ Chief of Staff, Nora Carr, about the proposed measure, as it stood in HB 456.

Tillman acknowledged that with his proposed measure, districts would have to separately designate those gifts, grants or reimbursements in order to keep them with traditional public schools—and that practice, says Guilford County Schools Chief of Staff Nora Carr, is what’s actually calling into question the issue of fairness.

“The thought of trying to add yet another level of paperwork [to earmark restricted funds], at a time when we’re cutting staff right and left because of other legislative actions going on,” said Carr, “and to paint this as fairness is just really misleading.”

Carr explained that, for example, Medicaid reimbursements for exceptional children (EC) by and large should go to traditional public schools, which serve the lion’s share of that student population. In order to make sure the reimbursements are directed to the schools serving EC students, the district would have to create yet another separate fund, creating more bureaucracy when the district is already dealing with very tight resources.

It’s important to note that the latest version of the bill may exclude Medicaid reimbursements, allowing those to stay with traditional public schools by default—but the language isn’t totally clear, so that’s a provision worth tracking.

And grants, as Carr noted back in May, are often sought out for specific activities at traditional public schools during a time of waning revenues. Having to then share the grant awards with charters who did not seek those funds would be unfair, said Carr.

Read the latest version of the charter school funding bill here, and a bill summary written by legislative staff here. The bill is expected to be on the Senate floor Tuesday afternoon, then, if approved, on to the House for a concurrence vote.


voucher-chartMillions of private dollars have made their way to North Carolina in an effort to encourage lawmakers to push a school privatization agenda.

Those funds have resulted in the removal of the cap on charter schools and a new voucher program that takes money away from the public school system in order to fund unregulated and unaccountable private education in the name of school choice.

To connect the dots between the national players in school privatization efforts and local lawmakers that have pushed for the expansion of charters and vouchers, the Institute for Southern Studies (ISS) published an essay and infographic Friday that details how Reps. Stam, Yarborough, Jones and others have benefited from the privatizers’ offerings and the resulting legislation they are seeking to enact.

According to ISS (as well as information I’ve previously reported), Parents for Educational Freedom in NC (PEFNC), headed by Darrell Allison, is the key facilitator behind the school privatization movement. Between PEFNC and political action committees (PACs) closely aligned with Allison, nearly $1.5 million has been funneled through these organizations to local lawmakers, originating  from the Walton Family Foundation and the American Federation for Children — both organizations well known for promoting school privatization initiatives.

Click here to read the full report by ISS.



In case you missed it over the weekend, the Wilmington StarNews had another good editorial concerning the efforts of some of the state’s public charter schools to keep the salaries they pay secret and en effort by lawmakers to approve of the secrecy.

“The public has a right to know who works for its government agencies and institutions, how much they are paid and other important details of their employment. North Carolina’s General Statutes make that clear.

But after news organizations including the StarNews sought salary information for charter schools, a Charlotte-area state representative introduced an amendment that allows charter schools to redact the names of employees from salary lists. The House foolishly passed the amendment on Thursday; the Senate should opt for full disclosure.

At best, this amendment sets a bad precedent by shielding some public employees from full disclosure when others – including teachers in the state’s traditional public schools – do not enjoy that same protection. At worst, the amendment could go a long way toward confirming what charter school critics have been saying all along: that these schools are effectively private schools paid for with taxpayers’ money.”

The editorial goes on to provide more updates on the efforts of a charter school chain in the Wilmington area run by right-wing funder and activist Baker Mitchell

Read More


In case you missed the news earlier this month, Salon highlighted a new report out by the Center for Popular Democracy and Integrity in Education that examines 15 states representing large charter school markets — and found instances of fraud, waste and abuse at charters totaling $100 million in taxpayer funds.

From Salon:

Perhaps most disturbingly, under the first category, crooked charter school officials displayed a wide range of lavish, compulsive or tawdry tastes. Examples include:

• Joel Pourier, former CEO of Oh Day Aki Heart Charter School in Minnesota, who embezzled $1.38 million from 2003 to 2008. He used the money on houses, cars, and trips to strip clubs. Meanwhile, according to an article in the Star Tribune, the school “lacked funds for field trips, supplies, computers and textbooks.”

• Nicholas Trombetta, founder of the Pennsylvania Cyber Charter School is accused of diverting funds from it for his private purchases. He allegedly bought houses, a Florida Condominium and a $300,000 plane, hid income from the IRS, formed businesses that billed even though they had done no work, and took $550,000 in kickbacks for a laptop computer contract.

• A regular financial audit in 2009 of the Langston Hughes Academy in New Orleans uncovered theft of $660,000 by Kelly Thompson, the school’s business manager. Thompson admitted that from shortly after she assumed the position until she was fired 15 months later, she diverted funds to herself in order to support her gambling in local casinos.

Others spent their stolen money on everything from a pair of jet skis for $18,000 to combined receipts of $228 for cigarettes and beer, to over $30,000 on personal items from Lord & Taylor, Saks Fifth Avenue, Louis Vuitton, Coach and Tommy Hilfiger. But the real damage came from the theft of resources for children’s future.

The end goal of the report, say its authors, is to warn the public about the increasing risk that communities and taxpayers face by having an inadequately regulated charter industry.

Despite rapid growth in the charter school industry, no agency, federal or state, has been given the resources to properly oversee [charter schools]. Given this inadequate oversight,we worry that the fraud and mismanagement that has been uncovered thus far might be just the tip of the iceberg.
Read the full report here.

ICYMI, Brunswick County Public Schools official Jessica Swencki has a great essay in this morning’s edition of Raleigh’s News & Observer in which she explains what’s really driving a large and growing segment of the charter school movement: private, for-profit companies out to milk the public coffers.

“In North Carolina, charter schools are operated by ‘nonprofit’ corporations, which are not subject to the same laws that demand public accountability for state and local tax dollars. These ‘nonprofit’ corporations can be subsidiaries of larger for-profit corporations – all the nonprofit corporation needs is a ‘board’ of purportedly earnest, well-intentioned people during the application process. Once the charter is granted, there is very little to stop the potential exploitation of our state’s limited public education resources.

In fact, one doesn’t have to look any further than the Eastern part of the state for a case study in how savvy companies use this loosely regulated system to pocket millions of taxpayer dollars.

Click here to read the rest of Swencki’s explanation of how this scam works.