White Hat Charter schools got about 1 billion from Ohio, claimed public property as theirs, refused

[madfloridian]

to testify in 2010 at a hearing of the legislature about whether Ohio gives too much power to charter schools.

One billion dollars from public school coffers to such a company is a sure-fire way to break the back of public schools. Charter schools are the policy of both parties, though only the Republicans as a rule push vouchers.

So both sides need to take responsibility for cases like this.

White Hat was sued by 10 charter schools to gain back control from the management company. That was in 2010. Now the case is being heard by the Ohio Supreme Court.

The question is how much control can and should be ceded to White Hat

The Ohio Supreme Court has agreed to hear an appeal from the boards of 10 charter schools against the for-profit company that used to run them.

The boards have been fighting White Hat Management for 3 years over control of the schools.

Here is more about that fight.

Akron's White Hat Charter School being sued by 10 of its schools for lack of accountability.


Picture from Ohio.com. White Hat was established in 1998 by Akron businessman David L. Brennan, who was a key advocate for introducing charter schools in Ohio. Like most charter schools, White Hat’s Hope Academies and Life Skills Centers are primarily funded by the state based on the number of pupils they enroll. The contracts between White Hat and the schools now suing allow the company to collect virtually all the funds and use them to run the schools.

Since 2008, Akron-based White Hat Management, has collected around $230 million to run charter schools in Ohio. The company has grown into a national chain and reports that it has about 20,000 students across the country.

But now 10 of its own schools and the state of Ohio are suing, complaining that many White Hat students are failing, and that the company has refused to account for how it has spent the money.

The dispute between White Hat and Ohio, which is unfolding in court in Franklin County, provides a glimpse of a larger trend: the growing role of private management companies in publicly funded charter schools.

White House charter operators refused to testify before a legislative hearing and claimed that they owned public property.

The suit charges that White Hat lobbied the state legislature for changes to the charter school law in 2006 that made it possible for White Hat to fire any school board that tries to sever ties with the management company.

Nor is it financially feasible for a charter school to switch operators because White Hat's contracts state that it owns the school's property, furniture and equipment — even though they were all paid for with tax dollars, according to the complaint.

''Essentially, White Hat created an educational model where tax dollars flow to the private corporation with little room for oversight or control by the schools' governing bodies,'' said a news release accompanying the filing of the lawsuit.

"Further, the law makes White Hat's receipt of tax dollars hard to stop."

In 2012 it was learned that White Hat Charters had gotten nearly a billion dollars in revenue from the State of Ohio.

Ohio's For-Profit White Hat Charter Schools nearing one billion in revenue from state.

Congratulations are in order to Kasich pal David Brennan and his White Hat Management company for being awarded two more charter schools by the Ohio Department of Education despite the worst list of accomplishments we may have ever seen. And with these additional schools, it is likely that White Hat schools will top $1 billion in revenue in Ohio.

[valerief]

1. Buy a pol, get a billion. nt

[Fred Sanders]

2. White Hat, Black Heart, NOT quid pro quo corruption in action.....how silly to say so.

[geardaddy]

3. Charter schools, blech.

[bbgrunt]

4. k and r.

[WillyT]

5. HUGE K & R !!! - Thank You !!!

[theHandpuppet]

6. What a scam! Check this out....

http://www.dispatch.com//content/stories/local/2014/01/12/charter-failure.html
The Columbus Dispatch
Columbus has 17 charter school failures in one year
Schools closing at alarming rate, costing taxpayers and disrupting the lives of hundreds of students
By Jennifer Smith Richards and Bill Bush
Sunday January 12, 2014

At the beginning of 2013, one long-struggling charter school closed. Over the summer, five more did. And in the fall, 11 more Columbus charters closed their doors, most of them brand new.

That’s 17 charter schools in Columbus closed in one year, which records show is unprecedented.

“It shows the power of a couple of players with standards that are not up to par really affecting an overall market,” said Chad Aldis, a vice president at the Thomas B. Fordham Institute, which sponsors 10 charter schools in Ohio, some in Columbus.

Nine of the 17 schools that closed in 2013 lasted only a few months this past fall. When they closed, more than 250 students had to find new schools. The state spent more than $1.6 million in taxpayer money to keep the nine schools open only from August through October or November.... MORE

And this --

http://www.dispatch.com//content/stories/local/2014/03/25/police-probing-charter-schools-that-closed-shortly-after-opening.html
Columbus police probing charter schools that closed shortly after opening
By Bill Bush
The Columbus Dispatch
Tuesday March 25, 2014 10:32 AM

Two Columbus charter schools that opened last fall and then quickly closed are missing thousands of taxpayer dollars that were never deposited into the appropriate accounts. Columbus police are investigating.

Because of an unusual governance setup, it’s not clear who actually was running the two Talented Tenth Leadership Academies that closed in October.

The schools’ founder, Andre Tucker, is listed in state incorporation papers as creating them, but he also was a $70,982-a-year employee of his sponsor, the North Central Ohio Educational Service Center.

After he was hired, Tucker was assigned by the center to work at Talented Tenth — at his schools — according to a contract he provided yesterday. He previously was an accountant for Honda and had presided over another failed Columbus charter school.... MORE

[madfloridian]

9. It's unbelievable how unaccountable they are.

And it infuriates me when I think how so much blame has been put on teachers for years now.

[octoberlib]

7. This is just disgusting. Thanks for posting. nt

[gratuitous]

8. What did they think was going to happen?

Yes, public schools can squander money, but with publicly-elected boards holding regular meetings, concerned citizens have ways to participate in the process and hold schools and districts accountable.

Charter schools are beholden to nobody except their stockholders, and the general public isn't considered to be in that circle. The money is supposed to pipeline into this black box labeled "charter school" and that's the extent of public participation. Now it looks like the good folks at White Hat are absconding with a lot of public money, appropriating publicly-owned real estate and buildings for themselves, and giving the middle finger to anyone who asks impertinent questions. They've crafted the law in such a way that the state's treasury is plugged into their pockets and nobody can break the connection.

What did Ohioans think was going to happen? And did anyone seriously think that when these charlatans were caught they'd just shrug and smile and hand it all back? Not a chance; they aren't giving back a penny without a knock down-drag out fight. Oh, and if any students who went to these schools come out without learning a damn thing, well, they and their parents should have just chosen better. Too bad and you've wasted your scholastic life. Maybe you can get back on track in five years or so. Lots of people start college in their mid-20s. Not White Hat's fault.

[geretogo]

10. It's just more funneling money from public resources into a handful of private right wing thieves .

[madfloridian]

17. I would think taxpayers would get mad and fight back.

Some are, but not enough. That's exactly what it is. Funneling money from the public to private companies.

[farmbo]

11. Huh?... "Both sides" need to take responsibility??

"So both sides need to take responsibility for cases like this."

Sorry, but that's BS.

The GOP has controlled the Ohio Governor's office and at least one branch of the General Assembly for 19 out of the past 23 years. They also held strong majorities on the Ohio Supreme Court which rubber- stamped, every kooky charter school/ voucher initiative passed by the Republican majorities. Republican state auditors looked the other way as charter schools misspent taxpayer funds in ways that are only now becoming apparent.

David Brennan-- aka White Hat-- came in under Voinovich(R) and built his charter school empire under Taft(R). Even under Strickland (D) the GOP still controlled the Ohio Senate.

I would venture to guess that his contributions go 10 to 1 to Republicans.

Worse yet, the first year of the Kasich administration (2011) was occupied with a struggle to preserve the very right of teachers (and police, fire and public employees) to collectively bargain in the state. That GOP steamrolling effort was turned back-- at great expense of time and treasure-- by Democrats, unions and working folks.

Only one side needs to take "responsibility" for White Hat's shameful rise in Ohio-- the GOP.

Stop this false equivalency.
Just stop it!

[madfloridian]

14. I am sorry but it is the policy of this administration to have more charter schools.

Get mad at me whatever you need to do. But the fact remains that it is the policy.

[farmbo]

15. You've lost me... 'this administration' in Ohio is GOP-- John Kasich

... as were three of the four prior administrations.

How can you blame Ohio charter schools on the Dems? That's just puzzling.

FWIW... I surmise that you're referring generically to Arne Duncan and the Obama Administration.
But the story cited in your OP refers only to White Hat: a notorious Ohio charter scheme.

[madfloridian]

16. It is not just Ohio policy. It is national policy supported by this administration.

It would be a hell of a lot easier to post at DU if I would just back off the topic.

But I taught for so many years. I was a good teacher. I saw this new kind of education hostile takeover start when Jeb became governor.

I was critical of Jeb once at the teachers' lunch table. I was called in by the principal and told I was not to be critical of the governor at the school again.

This iS national policy. It is happening in every state. I agree Ohio is worse than many, but it is not the only state.

I am going to post constructive criticism with sources as long as Arne Duncan is in charge. And he serves at the pleasure of the president.

[blkmusclmachine]

12. Savvy!

[passiveporcupine]

13. Who are those guys?

sorry...couldn't resist.