SBOE looks at investing in charter school facilities

[sonias]

AAS 7/20/10
Board of ed looks at investing in charter school facilities
Some lukewarm about using Permanent School Fund for charters.

While education reformers have eagerly embraced charter schools, investment markets have largely shied away from giving the schools money because they are deemed too financially risky.

But the State Board of Education, as overseer of Texas' $23 billion public school endowment, could soon head down a path other investors have largely avoided.

The board is scheduled to decide this week whether to dedicate a small portion of that endowment, known as the Permanent School Fund, to pay for classrooms and other facilities for Texas charter schools.

The proposal is being pushed by board member David Bradley , R-Beaumont. He says the fund helps traditional public schools pay for their facilities, and charter schools, which are privately managed public schools, should get a similar benefit. But other board members say they have serious concerns about pursuing the untried investment strategy.

Totally nuts! What happened to the conservative belief in the free market? Why should charter schools be propped up since they are independent private ventures? Wouldn't that be a bailout?

David Bradley is stepping up to fill Don McLeroy crazy shoes. :crazy:

I hope the next legislative session shuts that idea down fast!

[sonias]

1. Charter school facility plan revived

Postcards from the Lege blog AAS 7/22/10
UPDATED: Charter school facility plan revived

David Bradley, R-Beaumont, said he wants to keep alive a plan to use public school endowment dollars to finance charter school facilities.

Earlier today, he said there were too many questions to move forward now and would not push for the State Board of Education to include an allocation for charter schools when it discusses later today how to invest the $23 billion Permanent School Fund. He has been advocating for such an investment for the past two years.

(snip)
And the board members heard from its investment adviser yesterday that such an investment would be fraught with risk, yet its return would probably be relatively low. It was recommended that the board seek legal cover from the Texas attorney general before proceeding.

(snip)
So Bradley, after learning Lowe’s position, said he will ask the board to continue the discussion by including a tentative charter school investment in the asset allocation. That does not mean there will be any money going to that investment but it will keep the plan from a certain and quiet death.

David Bradley doubling down on crazy at the SBOE. :crazy:

[sonias]

2. Plan to invest in Texas charter schools gets first defeat

AAS 7/22/10
Plan to invest in Texas charter schools gets first defeat
State Board of Education to have final vote today on proposal to spend $100 million in charter schools

The State Board of Education opted Thursday not to dedicate public school endowment dollars to finance charter school facilities.

But that decision probably will not be the final word on the proposal to invest as much as $100 million of the $23 billion Permanent School Fund into developing and leasing Texas charter schools.

The 7-7 split that scuttled the proposal Thursday could change when a final vote is taken today.

(snip)
Legislators could extend to charter schools, which are privately managed public schools, a debt guaranty similar to the benefit that the Permanent School Fund provides traditional school districts. That guaranty significantly reduces the districts' borrowing costs because they get lower interest rates with the state backing.

The right wing nuts still doing damage at SBOE. :grr:

We do not want the Legislature wasting tax payer money on private charter schools that aren't accountable and frankly aren't performing any better than public schools. Keep the Permanent School Fund going to public schools the way it was intended!

[sonias]

3. Charter school investment plan gets approval

Postcards from the Lege blog 7/23/10
Charter school investment plan gets approval

The balance of the State Board of Education tipped Friday in favor of using money from Texas’ public school endowment to finance charter school facilities.

The absence of Rick Agosto, D-San Antonio, from the dais on Friday morning gave supporters of the charter school proposal the one-vote margin needed to dedicate $100 million of the $23 billion Permanent School Fund to the investment approach.

On Thursday, the board had split 7 to 7 on a vote to include the charter school proposal in the overall investment mix of the endowment, which was created in 1876 to benefit Texas public schools. The tie sunk the proposal, though Chairwoman Gail Lowe, R-Lampasas, agreed to continue discussions and seek an opinion from the Texas attorney general.

The arguments for and against had not changed since the day before when the preliminary vote was taken, just the composition of the board.

For Christ's sake! Freaking unbelievable! Agosto has a lot of answering do for missing this vote! :grr:

[onestepforward]

4. Extremely disappointing

to say the least. Just one vote.

[sonias]

5. SBOE going full guns

Before the new board takes over in January. They are racing to pass as much bad shit as they can get away with.

Our only hope is that the Legislature will shoot this down and overturn these stupid decisions.

I can not wait until these nut bags go away!

[sonias]

6. In Reversal, SBOE Passes Charter Financing

Texas Tribune 7/23/10
In Reversal, SBOE Passes Charter Financing
Reversing its decision as a committee Thursday, the State Board of Education voted on Friday to allocate half a percent of the $23 billion Permanent School Fund to finance charter school facilities, contingent on a favorable opinion from the attorney general or "express legislative authority." The allocation is part of an overall long-term strategic investment plan for the fund.

The measure passed 7-6 with two members absent: Mary Helen Berlanga, D-Corpus Christi, and Rick Agosto, D-San Antonio. Agosto voted against the measure in committee yesterday and could have killed it today by voting the same way. Agosto said he had business in San Antonio today but would have voted against the charter allocation. "I think there's no merit to this as an investment. I don't even know what it is," he said by phone. "This is really unfortunate." Berlanga's position on the issue is unknown, but she often votes against the conservative members who pushed the measure.

The board’s bloc of social conservatives usually consists of seven Republicans on the 15-member panel, including chairwoman Gail Lowe, R-Lampasas. While Lowe voted against the plan, the bloc succeeded in pulling a Democratic vote from Rene Nuñez of El Paso. Other members voting for the plan included David Bradley, R-Beaumont, who spearheaded the idea; Don McLeroy, R-Bryan; Ken Mercer, R-San Antonio; Terri Leo, R-Spring; Cynthia Dunbar, R-Richmond; and Barbara Cargill, R-The Woodlands.

So we had one turncoat on the vote too - a Democrat, Rene Nuñez of El Paso. :wtf: