K12, Inc.A report released Thursday blasts K-12, Inc.-backed California Virtual Academies (CAVA), that state’s largest provider of online education, for producing few graduates and directing large amounts of revenue toward advertising, executive salaries and profit — while paying its teachers less than half the average wage traditional public school teachers earn.

“It is too easy for kids to fall through the cracks in CAVA’s current online schooling system,” said Donald Cohen, executive director for In the Public Interest, the Washington-based think tank that penned the report. “We are calling on California to immediately increase oversight of online education to ensure students are receiving a quality education.”

Notable findings of the report include:

  • In every year since it began graduating students, except 2013, CAVA has had less than a 50 percent graduation rate, while California’s traditional public school graduation rate has hovered around 80 percent;
  • Some CAVA students log into their virtual classroom for as little as one minute a day, which is enough to give the charter its daily attendance revenue from the state;
  • While K12 Inc. paid almost $11 million total to its top six executives in 2011-12, the average CAVA teacher salary was $36,150 that same year — close to half of average teacher pay in California; and
  • In December 2011, the California Charter Schools Association called for the closure of CAVA in Kern County because the school did not meet its renewal standards.

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K12, Inc.As expected, the State Board of Education gave its blessing Thursday to two virtual charter schools applying for a new pilot program set up by the state legislature.

The new public schools will allow students to take their entire course loads remotely, and stand to send millions in public education dollars to two companies that will manage the daily operations of the virtual schools.

N.C. Policy Watch has been covering the push by K12, Inc., the company behind the N.C. Virtual Academy, since 2011 to open a virtual charter school in North Carolina. The company has been criticized in other states for its aggressive lobbying of public officials to open schools, as well as low academic results from many of the public schools it manages.

On Thursday, the state board also decided to drop a requirement that would have required schools to provide or pay for learning coaches for students whose parents can’t serve in that role.

Here’s more from my article earlier today:

Get ready to add “attend third-grade” to the growing list of things you can do over the Internet in North Carolina, after ordering pizzas and watching cat videos.

The State Board of Education, which oversees public education in the state, is expected to approve two charter schools today that will teach children from their home computers in schools run by Wall Street-traded companies.

Daily monitoring would be in the hands of “learning coaches,” a role that’s been filled by parents, guardians and athletic coaches in the more than 30 other states that offer publicly-funded virtual schooling options.

Today’s anticipated vote of approval (click here to listen to an audio stream of today’s meeting) will be a significant change of the state board, which fought an attempt in the courts from the N.C. Virtual Academy to open up a virtual school three years ago.

If approved, the N.C. Virtual Academy (to be run by K12, Inc., NYSE:LRN) and N.C. Connections Academy (to be run by Connections Academy, owned by education giant Pearson, NYSE:PSO) will be able to enroll up to 1,500 students each from across the state, and send millions in public education dollars to schools run by private education companies.

You can read the entire piece here.



The State Board of Education will be making its final decision about whether to give a green light to two online-based charter schools that hope to open their (virtual) doors this fall.

It seems all but certain the state board will approve the schools, where students from kindergarten through high school work from home computers while being supervised by a “learning coach,” which usually is a parent. The schools are seeking to each serve up to 1,500 students statewide in the first year, which would send millions in state, local and federal education dollars to the schools.

K12 logoRepublican-led legislature slipped a provision into last summer’s budget bill mandating the creation of a four-year pilot program for two of the online-based charter schools.

Several public education groups, including the N.C. Association of Educators and N.C. School Boards Association, have expressed concerns about the schools, saying the charter schools will divert scarce public education dollars to hand off to for-profit companies while delivering a subpar education to students.

Proponents have said that North Carolina, which offers no full-time virtual education, needs to offer the public education choice for children that don’t do well in traditional schools, because of health issues, full extracurricular or athletic schedules, bullying or in need of remedial help or advanced learning.

Both of the publicly-traded companies behind the two schools now applying to open, K12, Inc. and Connections Academy (which is owned by education giant Pearson), has had teams of lobbyists at the N.C. General Assembly paid to push their cause.

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Two for-profit companies vying to tap into public education funding streams and enroll thousands of North Carolina children into virtual charter schools will be in front of a state education committee tomorrow.

K12 logoA special committee designated by the State Board of Education to review virtual charter school applications will meet from 10:30 a.m. to 1 p.m. Wednesday on the seventh floor of the state Education Building, 301 N. Wilmington Street in Raleigh. Audio of the meeting, which is open to the public, will also be steamed here.

The full State Board of Education, responding to the state legislature’s creation of a pilot program for virtual charter schools, will meet in  January to decide if the online schools can enroll students – and receive public funding – for the 2015-16 school year.

Virtual charter schools teach students from kindergarten through high school through classes delivered through children’s home computers. Parents or guardians often serve as “learning coaches” to assist with lessons while teachers remotely monitor students’ attendance and performance.

North Carolina’s legislature opened the door for two virtual charter schools to open next August when it tucked a provision in this summer’s budget bill that created a four-year pilot program for two online-based charter schools to open by August 2015.

The country’s virtual education market happens to be dominated by two companies, K12, Inc. (NYSE:LRN) and Connections Academy, a subsidiary of Pearson, an educational publishing company also traded on Wall Street (NYSE: PSO). Both companies employed lobbyists in North Carolina last year.

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Tennessee’s education commissioner has ordered the closure of a struggling K12, Inc.-operated online school, as lawmakers here at home debate a budget proposal that could pave the way for K12 to finally set up shop in North Carolina.K12 logo

Tennessee Virtual Academy began operating in 2011 and struggled to produce positive academic results from the get go, according to The Tennessean. Three years of low student growth at the K12-managed school prompted Kevin Huffman, Tennessee’s education commissioner, to order the school’s closure at the end of the 2014-15 school year.

K12, Inc. has a history of producing low performance and graduation rates across the country, most recently prompting the NCAA to announce that it will no longer accept coursework from 24 virtual schools that are affiliated with the company.

The company has also been compared to subprime mortgage lenders, pulling in and churning out a disproportionate amount of students who are not well prepared for the online learning model–all in the name of big profits from taxpayer budgets.

A spokeswoman for K12, Mary Gifford, told members of a study committee considering virtual charter school options here in North Carolina that the poor results simply reflect the fact that their company tends to attract low performing students, and the home-based system of education can do little to help that demographic.

“High school is a nightmare,” Gifford told the virtual charter study group in February. “Forty percent of the students in high school will be very successful.”

K12, Inc. has been trying, unsuccessfully so far, to land in North Carolina, and is currently waiting on the state Supreme Court to hand down a decision on their appeal to open a virtual charter school in the state.

Meanwhile, lawmakers have acted on the recommendations of a virtual charter school study committee and have inserted language into the proposed 2014 budget to direct the State Board of Education to establish a Virtual Charter School Pilot Program, which would authorize the operation of two virtual charter schools serving students in kindergarten through 12th grade beginning in the 2015-16 school year.

The provision would allow the virtual charters that show positive academic outcomes to become permanent institutions at the discretion of the State Board, without having to go through a formal application process.

There does not appear to be criteria set forth in the proposed legislation for how the State Board of Education should vet and select the two virtual charter schools that would take part in the pilot program.

Notably, at least 90 percent of all teachers employed by the virtual charter schools must reside in North Carolina.

To read the virtual charter school study committee’s report to the legislature, click here.

To read the language for a virtual charter school pilot program in the state budget proposal, click here and read section 8.35.