State Senate Hearing in Monroeville Focuses on Charter School Reform

Monroeville – October 13, 2016 – At the request of state Sen. Jim Brewster (D-Allegheny/Westmoreland), the Senate Democratic Policy Committee today held a hearing on the role of charter schools in public education.

“I hope today’s hearing gives us a better sense of how the charter school system works; how it complements — or detracts from traditional public schools; and ways we can make these schools more efficient, transparent and accountable,” said Sen. Lisa Boscola (D-Northampton/Lehigh), who chairs the committee.

Brewster, who is introducing charter school reform legislation, added, “Charter schools must be accountable to the taxpayer and demonstrate that they are fiscally sound and properly supported by the community.

“I asked that this hearing be held in Monroeville to give our region’s school officials, as well as representatives from the charter school community, the opportunity to offer their views on this important issue.”

 

Boscola said she was pleased with the diverse make-up of the panel, which included state officials, public school superintendents, charter school administrators and others.

Calling Pennsylvania’s charter school law the “worst in the nation,” State Auditor General Eugene DePasquale issued a 95-page audit last month that revealed numerous examples of financial mismanagement, conflicts of interest and poor oversight. DePasquale testified at today’s hearing.

Many of the critical findings recommendations in DePasquale’s 2014 charter school report were incorporated into Brewster’s legislation. The bill would require greater school board and Department of Education oversight, toughen the fiscal viability requirements for charter school applicants, ban charter board members from having a financial interest in leasing arrangements, step up teacher certification, and require approval from all of the school districts where a charter school draws 25 or more students from. The Brewster legislation would also place a moratorium on new cyber-charter schools.

According to the state Department of Education, Pennsylvania has 162 “bricks and mortar” charter schools (20 in Allegheny County), and 14 cyber charter schools.

Claiming that charter schools disproportionately harm poorer school districts, Mckeesport Area School District Superintendent Dr. Rula Skezas called charter schools the top financial problem for public schools.

“The two most obvious effects that charter schools have had on our school districts are that they have significantly drained the resources available to those students who remain in our schools; and created considerable increased costs for our taxpayers,” Skezas said.

Woodland Hills School District Superintendent Alan Johnson added that his school district will spend nearly $15 million of its $90 million budget on charter school tuition.

Ron Sofo, who serves as CEO of the City Charter High School in Pittsburgh, countered that his school provides a quality education “at $6,000 to $8,000 less per pupil than our authorizing school district.” He argued that charters and public school districts should engage in more collaboration and less competition.

Joining Brewster and Boscola at the hearing were Senate Democratic Leader Jay Costa (D-Allegheny), and Sen. John Wozniak (D-Cambria).

The following testified at the hearing:

  • Matthew Stem, deputy secretary, Pennsylvania Department of Education;
  • Pennsylvania Auditor General Eugene DePasquale;
  • Dr. Rula Skezas, superintendent of the McKeesport Area School District;
  • Nathan Benefield, vice-president of policy, Commonwealth Foundation;
  • Anthony Pirrello, vice-president, PA Coalition of Public Charter Schools Board, & CEO, Montessori Regional Charter School, Erie;
  • Ron Sofo, CEO, City Charter High School, Pittsburgh; and
  • Richard Livingston, president of the Clairton City School Board
  • Jeremy Resnick, Keystone Alliance for Public Charter Schools, executive director, Propel Schools, Pittsburgh
  • Dolores McCracken, vice president, PSEA

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Contact: Charles Tocci
Phone: 717-787-5166
Email: ctocci@pasenate.com

 

Sen. Brewster Proposes Sweeping Charter School Reforms

Harrisburg – Oct. 6, 2016 – A new, sweeping charter school reform proposal intended to address transparency, fiscal solvency and accountability issues was detailed today by state Sen. Jim Brewster (D-Allegheny/Westmoreland).

“Charter schools must be accountable to the taxpayer,” Brewster said.  “They must demonstrate that they are fiscally sound and properly supported by the community.

classroom“Recent reports and audits by the state auditor general revealed that the current charter school law is full of gaping holes that puts traditional public schools at a real disadvantage in trying to manage the impact of charter schools on their operations.”

Brewster said his reform proposal includes suggestions offered by state Auditor General Eugene DePasquale over the last several years to produce a comprehensive reform of charter and cyber charter schools.

“It has become abundantly clear that systemic changes are needed in how brick and mortar and cyber charters operate in Pennsylvania,” Brewster said.  “There is a growing frustration that charters are unaccountable.

“The auditor general has made a number of worthwhile recommendations and I’ve combined some of these ideas with other features to produce what I believe is an excellent starting point for comprehensive reform.”

Brewster said it is important to keep in mind that the original purpose of charter schools was to be an outlet for education innovation and share best practices with the school district.

The McKeesport lawmaker said his plan includes:

  • Requiring local school boards to sign off on any financing arrangement with a local industrial development authority or other government entity for a new charter school building project in excess of $1 million;
  • Compelling charter schools to post a bond, other type of surety, or agree to a payment escrow arrangement to ensure that they have the financial capability to operate for the entire school year;
  • Limiting the scope of the state Charter School Appeal Board to solely determining whether the local school board acted appropriately in reviewing charter school applications;
  • Requiring officials from the state Department of Education to visit the proposed site of a charter school to ascertain the condition of its physical plant.  Their report will then be made a part of the charter application;
  • Mandating that a charter school applicant obtain approval from multiple school districts if the charter school draws more than 25 students from a specific district;
  • Upgrading accountability by requiring a quarterly report on the operations of the charter school to the local school board – with the report delivered in person by a charter school official;
  • Making a structured financial impact statement, consisting of an estimation of enrollment multiplied by tuition payments, part of the charter school application.  The impact statement may serve as the justification for denial of a charter application;
  • Increasing the percentage of certified teachers from 75 percent to 90 percent of faculty, after grandfathering in current faculty;
  • Prohibiting charter board members from receiving payments for school lease arrangements.  This issue was highlighted in August in the auditor general’s report; and
  • Imposing a moratorium on the approval of new cyber-charter schools, given the recent reports of poor test scores.

Brewster said these reform provisions are a beginning and that other elements could be added.

“We need to dig deep and look critically at the charter law to make sweeping changes,” Brewster said.  “In this year alone, the auditor general has pointed out that the reimbursement process is flawed, that there were too many reimbursement appeals and that the cyber charter law reeked with ethical issues, poor oversight and a lack of transparency.

“It is clear that the charter law is not helping schools, charters themselves or the taxpayers.”

In 2014, DePasquale released his recommendations to improve the charter law.  These suggestions called for an independent board to oversee charter school processes and functions — including lease reimbursements and student enrollment. He also suggested public hearings involving charter changes, limits on fund balances and guidelines on calculating teacher certification benchmarks.

Brewster said a responsible and balanced reform approach can attract support from charter advocates as well as those who have been critical of the proliferation of charter schools.  He said his plan is an excellent platform for creating a partnership between charters and traditional public schools.

“The reform plan that I am offering is intended to bring charters and traditional public schools together,” Brewster said.  “Children should be guaranteed a quality education and taxpayers assured that their tax dollars are being used wisely.”

The McKeesport lawmaker said he realizes that time is short this year to make any move toward charter reform, but that by introducing legislation now there will be greater awareness of the issues involved in crafting meaningful reform.  He said the measure will also be reintroduced next session.

“We need a reasonable starting point to engage all sides in a substantive dialogue,” Brewster said.

Brewster said that he hoped that many of these issues will be discussed at a Senate Democratic Policy Committee hearing on Oct. 13 at the Monroeville Municipal Building in Monroeville.

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Brewster: Court Ruling Validates Charter Funding Concerns Raised by Democrats

Harrisburg – Dec. 11, 2015 – Commonwealth Court’s ruling that the Department of Education cannot shift tax relief money to pay charter schools validates objections raised by Mon Valley lawmakers that were reinforced by Senate Democrats’ efforts to stop payments, state Sen. Jim Brewster (D-Allegheny/Westmoreland) said today.

“The ruling validates concerns Representatives (Bill) Kortz, (Marc) Gergely and I raised in October about charter and cyber-charters trying to access property tax relief funds earmarked for school districts,” Brewster said. “Payments to charters and cyber-charters should not be put in front of property tax relief dollars for taxpayers.

“Senate Democrats then followed up by asking the treasurer to hold off paying charters until legal issues were resolved.”

In a Dec. 9 ruling, Commonwealth Court ordered the state Department of Education to stop the redirection of property tax relief funds to charters. Once a state spending plan is approved, the payments can be made as long as they are not from property tax relief monies.

Reps. Gergely (D-Allegheny) and Kortz (D-Allegheny) along with Brewster sought a meeting in mid-October with education department officials to detail their concerns.

Typically, charter and cyber-charter payments are deducted from basic education subsidies. Given the lack of state budget and no state subsidy payments, charters requested that other available funding be used for reimbursement.

“School districts face difficult fiscal challenges that were compounded by the state budget impasse. Attempts by charters to divert tax relief funds would have made a bad situation worse,” Brewster said. “The court’s order clears up the matter and prevents an inequity.”

Brewster said that it is way past time for a state budget — with sufficient support for education – to be approved. Legal actions, such as this court case, would be unnecessary if an agreement would have been reached on a state spending plan, he said.

The state was slated to make a $45 million payout to charter schools in late October, with 312 school districts diverting funds to charters.

Brewster cited McKeesport school district as an example of the imbalance when charters step before taxpayers. He said that McKeesport should receive $1.2 million in property tax payments but charters would have taken $1.17 million of that disbursement.

Property tax relief funds are generated through gaming revenues.

CONTACT: Tim Joyce

412-380-2242

TJOYCE@pasenate.com

Senate Democrats Ask Treasurer to Withhold Payment to Charters

Harrisburg – Oct, 20, 2015 – State Senate Democrats today called on the Pennsylvania state treasurer to “stop payment” on a scheduled disbursement of property tax revenue headed to charter schools. They have sent a letter to state Treasurer Tim Reese formally asking for the withholding of the money.

“Charter schools are seeking gaming tax relief funds based on one legal interpretation, while public schools and many public officials have a different view of the law,” state Sen. Democratic Leader Jay Costa (D-Allegheny) said today. “The treasurer should not release one dime until there is legal clarity and outstanding issues have been resolved.”

Charter schools contend that they are due disbursement from funds generated from gaming revenues. Typically, when a state budget is adopted, charter school funding is deducted from basic education subsidies.

Due to the budget impasse the normal funding stream is not available. The charters say that the law stipulates that since those funds are not available, the funds are then deducted from other state payments. The state is expected to make a $45 million payout to charter schools on Oct. 22, with 312 school districts diverting funds to charter schools.

“All of our schools, including traditional public schools and charters, need to be appropriately funded by the commonwealth,” Senate Democratic Appropriations Chair Vincent J. Hughes (D-Philadelphia/Montgomery) said. “However, we cannot provide special assistance to charter schools while many other school districts are suffering.

“I urge the state treasurer to hold off making payments to charter schools until the budget impasse has been resolved and all schools have funding in place.”

Sen. Jim Brewster (D-Allegheny/Westmoreland) called for the suspension of the payment to charter schools late last week. Brewster said “public schools are facing incredible difficulties because of the lack of a state budget.

“Now, the funding they are getting outside of the basic subsidy is being hijacked and that is wrong.”

Brewster pointed to the situation involving two of his school districts in the Monongahela Valley as examples of inequity. He said that while McKeesport is due $1.2 million in reimbursements, they will only receive $41,000 after charter school funds are deducted. He said that Clairton will have to send its entire $230,000 reimbursement to charters and receive nothing.

“Since so many of our schools are hurting due to the budget impasse, we need to answer important legal questions regarding these funds before they are distributed later,” Sen. Andy Dinniman (D-Chester), Democratic chair of the Senate Education Committee, said. “The bottom line is that both public and charter schools are in need of these supplemental gaming funds – funds that do not go through the normal budget process.”

In the letter to the treasurer, Senate Democrats said they do not believe that gaming fund reimbursements constitute “state payments” and that the state law dealing with disbursement of funds never contemplated a budget impasse.

They say that the statute involving the generation of faming funds and property tax relief define the use of funds disbursed from the property tax relief fund. Senate Democrats say that there is no discretion to shift funds earmarked for tax relief to pay operational costs at charter schools.

“Pennsylvania Race Horse Development and Gaming Act and the Taxpayer Relief Act must be read together in order to establish the General Assembly’s intent for the use of the money in the Property Tax Relief Fund,” the letter says.

Costa said that under the Fiscal Code the state treasurer has the authority to withhold payments from the state treasury.

“No payment can be made without the state treasurer’s warrant and approval,” Costa said. “This is a clear case when the law is murky and public schools are being treated inequitably by laws that did not anticipate a long budget impasse.”

Brewster, who met with the secretary of education and budget secretary yesterday about the issue, said he is very concerned about the short-term financial health of school districts if the funds are diverted.

“Many school districts across the state will bear the burden if these funds are released and they are not compensated,” Brewster said. “Given the outstanding legal issues, the responsible course of action is to stop payment until the conflicting interpretations of the law are reconciled.”

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Mon Valley Lawmakers Seek Suspension of Payments to Charters

Harrisburg – Oct. 16, 2015 – Mon Valley lawmakers are demanding that the PA Department of Education halt the scheduled payment of state funds to charter schools and cyber-charters until state funds are first paid to public schools or a more equitable distribution formula is developed.

State Sen. Jim Brewster (D-Allegheny/Westmoreland), Reps. Marc Gergely (D-Allegheny) and Bill Kortz (D-Allegheny) said they have asked for a meeting early next week with Education Secretary Pedro Rivera to formally request a better handling of the matter.

“Public schools are facing incredible difficulties because of the lack of a state budget,” Brewster said. “Now, the little funding they are getting outside of the basic subsidy is being hijacked by charter schools.

“The fact that charters are moving ahead of public schools is ridiculous.”

Charter schools are slated to receive a disbursement next week from funds generated from gaming revenues. Normally, funding for charter schools is deducted from basic education subsidies. However, as a result of the budget impasse the basic funding stream is not available. Since those funds are not available, the funds are then deducted from other state payments.

“Schools in the Mon Valley are facing hardship and financial stress and are struggling to stay open until a budget is finalized,” Kortz said. “During a budget impasse, it is ludicrous that any funds would be deducted from payments for public schools before they receive their subsidy payments.”

According to figures released by the McKeesport Area School District, they were slated to receive $1.2 million in property tax relief payments. Charter schools are slated to take $1.17 million leaving McKeesport with $41,000. Clairton reportedly is set to lose more than $230,000 in gaming reimbursements to charters.

“It is hard to believe that public schools could be dealt another blow in a state budget impasse,” Gergely said. “Public schools should not have to stand behind charter schools in the payment line.

“This is an extraordinary situation and the fiscal pain that school districts and taxpayers feel should not be made worse by taking away funds and giving them to private schools.”

Brewster said that given the exceptionally difficult financial times brought on schools by the budget impasse, PDE should suspend the disbursement of funds to charters and cyber-charters until all school districts understand how payments are processed.

“State statutes that cover the distribution of funds to schools are clearly not equipped to deal with equity issues when there is an extended budget dispute,” Brewster said. “We need to look at these laws as part of a comprehensive review.”

He said that he would work with Kortz, Gergely and other lawmakers on legislation to ensure that this situation does not happen in the future and that public schools are protected.

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Contact: Tim Joyce
Phone: 412 380-2242
Email: tjoyce@pasenate.com

Brewster Plans to Introduce Package of Education Reform Legislation

Harrisburg, Nov. 26, 2013 –State Sen. Jim Brewster (D-Allegheny/Westmoreland) announced today that he will introduce a package of legislation that he said will address education accountability issues involving charter schools, cyber charter schools, teacher certification and the need for high-quality prekindergarten.

“The state has to implement reforms, especially when it comes to charter schools, cyber charter schools and teachers working at charter schools,” said Brewster. “I will introduce four bills that will help address the accountability of charter and cyber charter schools, and to ensure that the legislature moves toward a better comprehensive education system in Pennsylvania.”

Brewster said his legislation would require all teachers at charter schools to be certified.  Currently, a charter must have 75 percent of its teachers certified.  Because charter schools hire their own teachers and design their own curricula, Brewster said it’s important that the teachers are just as qualified as teachers in public school districts.

“According to the National Center for Education Statistics, last year 23 states required all charter school teachers to be certified, and 14 states – including Pennsylvania – required a certain percentage to be certified,” said Brewster. “Charter school teachers should be held to the same standards as traditional teachers, and mandatory certification would help ensure that.”

In addition to requiring teacher certification, Brewster’s legislation would implement a moratorium on state approval of new charter schools. Brewster said until changes are made in accountability at the local level, Pennsylvania should focus on the charters that are already established and not be involved in approving charters that have been denied by the local school board.

“There is no one-size-fits-all education policy, and when managed responsibly, charter schools offer parents a public school alternative that still delivers the high-quality of education students deserve,” said Brewster. “The charter school reforms in this package would help us achieve the most important goal: properly educating Pennsylvania’s children.”

Other legislation in the package would establish the Prepare All Kids program that would utilize federal money to provide grants to establish or enhance voluntary, high-quality full-day pre-kindergarten programs.

Under the measure, grants would be awarded on a per-student basis and priority given to the approved providers who are serving children from low-income families or children with special needs.  The federal legislation that would create the program is sponsored by U.S. Sen. Bob Casey.

“My Prepare All Kids legislation would create a vehicle to accept dollars if congress moves on the federal legislation,” Brewster said.   “I think Senator Casey’s legislation is an excellent example of how we can tailor investments to help our children achieve greater success in school.”

Brewster said that there is a performance gap based on socioeconomic status.  He said that language in the federal legislation notes that studies have reported that the average cognitive scores for pre-school children in the highest socioeconomic group is 60 percent above scores in the lowest socioeconomic group.

The final bill in the package would be effective if a school district closed and its remaining students were sent on a tuition basis to nearby schools.  The legislation would create a pool of teachers and education support personnel who would be offered employment in one of the accepting districts when a vacancy exists and qualified personnel from the pool is available.

“This reform package would move Pennsylvania’s school districts and charters in the right direction by putting a child’s education above all else,” Brewster said.

Brewster said he expected to formally present the legislation to the full Senate when it returns to voting session on December 3.

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