Here We Go Again… Pencader Charter School
I detest hostage situations, especially when the hostages are children. Pencader Business and Finance Charter School is in financial trouble again. Shocking, I know. Seems they’ve run out of money and are threatening to close the school on April 30th.
The News Journal has the story:
In a letter addressed to parents, students and teachers last week, president Frank McIntosh said Pencader didn’t have enough money left to pay teachers’ salaries through the end of the year, putting it at risk of bankruptcy. He said the school needs $350,000 to pay its debts and enable its students graduate.
McIntosh said transferring students back to their feeders schools so late in the year would be a mess. Traditional public schools, especially those in the Christina and Colonial school districts, would have to accommodate hundreds of students on short notice with little additional resources, he said.
“How are these schools going to handle a couple of hundred students showing up at their doors this late in the school year
? How are they going to handle teaching them?” he asked. “And even if they can somehow manage to handle it, think how disruptive that is for a student.”
Before I continue let me say that we need new charter school laws. All charter schools must have an exit plan and fund (bond?) in place the second they open. Right now, the plan is… if a charter closes the kids return to their feeder school. Hardly ideal, and it does put a burden on public schools, but I’ve grown weary of charter schools and charter school supporters/parents acting as if they are owed more from a system they opted out of. It is not the job of public schools to clean up charter schools’ messes. Although, that’s what we have now.
And why doesn’t Pencader have the money? It’s a flippin’ business and finance school. McIntosh is quick to place blame, just not on himself:
McIntosh blamed the State Department of Education for Pencader’s fiscal straits, saying state monitors had repeatedly approved the school’s budgets during financial reviews despite knowing they were too thin to cover expenses.
“DOE knew this budget wouldn’t get us through the school year and a closing, but they kept giving us check mark after check mark,” McIntosh said. “Now here we are with all these obligations and we just don’t have the money to pay for them.”
Did he know? I would hope so since he’s running a flippin’ business and finance school. And what “budget” is Mr. McIntosh referring to? There appears to be more than one version. Back to Kilroy. This time the post is called: Pencader’s Hocus-Pocus Financial Reports! One For You And One For DOE.
As you see in the attachment, the report is far more detailed that what Pencader provided the public on line. Go here as see what Pencader allows the public to see unless they file a FIOA click November 2012 Web Report. The web report is just a summary whereas what DE DOE get’s is more detailed.
Interesting. Why would Pencader provide the public with a less detailed report? Now Pencader needs more taxpayer money, and is calling on the state to bail them out. I have very mixed feelings on that.
A spokesperson for the state responds to McIntosh’s charges:
“Pencader received 100 percent of the funds to pay its staff salaries and all components of its accepted budget,” the statement said. “Despite warnings from the state and conversations about the careful management of its funds and prioritization of expenses during DDOE’s regular meetings with Pencader since the start of this year, the school has overspent its budget in some of its categories.”
So where did the money go? As usual, Kilroy supplies some insight in a post titled: OMG! Pencader Lawyers Hit A Gold Mine. In this post, Kilroy lists all the lawyers’ bills since last August. I haven’t added up the payments, but it appears to be just shy of 100,000.00. That’s a lot of lawyering – at really expensive law firms, to boot!
So here we are. Pencader received 100% of the their funds, but now they need more money. And if they don’t get that money then the kids and public schools will pay. And pay good.
I understand that Pencader parents are upset. I understand they are concerned for their children. I’m concerned, as well. But my concern extends to all children. I’m concerned for the public school children who may have to deal with the influx of Pencader students into their classrooms. I’m also concerned, if the state decides to pay the 350,000.00 ransom, where the money will come from. Will there be high poverty public schools that lose teachers? Public middle school science labs without necessary equipment? Public high schools that cut AP courses? There simply isn’t 350,000.00 laying around, so the money will have to come out of someone’s pocket. So when we talk about the impact on the kids, let’s talk about all the kids.
Basically, my feelings are mixed when it comes to the bail out. Perhaps other charter schools should have to absorb Pencader students? Yeah, right. Charter schools are one big, united family until there’s trouble, then it’s every school school for themselves.
But here’s the sad thing. Out of all the charter schools, I was rooting for Pencader. It’s potential success relied on a diverse population. Unlike the Charter School of Wilmington and Newark Charter School, Pencader didn’t control it’s population by only taking “smart” affluent kids and then patting themselves on the back and calling themselves an educational success.
Note: To be fair, public magnet schools are doing the same thing. Conrad’s “success” has much more to do with removing its high poverty population than with what’s going on inside the classroom. Sure, test scores appear to go up, but that isn’t really what’s happening. If a school, public or charter, removes the struggling kids, and their low test scores, from its building test scores will look better. They won’t be better, but on paper they’ll look better. That isn’t success – it’s a scam designed to make parents feel better.
Tags: Charter Schools, DDOE, Education, Pencader Charter School
Reblogged on C&E 1st
Markell needs to step in an make sure “teachers” get paid Pencader teachers are victim like parents and students. However, no money should go to Pencader itself! The commitment of state money needs to go to the teachers via state checks to the “teacher”.
As far legislation needed to address future charter closure events, I must reminded everyone that the “state” has an obligation that supersedes the charter school provision. The reality is the “law” failed to ensure children’s education will be protected.
The right thing in this case for “Governor” Markell to do is commit to paying Pencader teachers. As far as school administrators! fuck them! They knew about the shit that was going on!And God help some of them if the DOJ comes in. I cannot share any “sensitive” information I have until Pencader is no longer a legal corporation! God only knows where the DOJ and state auditor is and word has it concerns “were” raised.
Also, honestly, there needs to be some folks fired at DE DOE Charter School Unit!
hah! it isnt MY fault im addicted to heroine… it’s everyone else who didnt stop me!!!!!!
“hah! it isnt MY fault im addicted to heroine… it’s everyone else who didnt stop me!!!!!!”
The so-called drug addict was removed by they forgot to wipe the tables as the residue created new addicts. The real problem was the new board appeared to be protecting someone or some information. Why wasn’t all board members loyal to the former school leader not replaced? Charter board has no “elections” no even for the parent rep! They are all done by appointment.
No bailouts for Charter Schools.
Bailouts should be reserved for the struggling kids — the ones that are being shuffled around in order for these charters and magnets to look good.
Unless the teachers had no choice in the matter of teaching at the school, they are not victims any more than employees of any enterprise are victims due to a failure of the business.
While credentialed teachers can and should be placed where there are openings, why would the state incur the responsibility to pay them? Wouldn’t that be the responsibility of the school district to ensure that teachers are paid?
I’m not sure who the employee of record is, whether it’s the school or the district, but to automatically bump it up to the state level is not only premature but it also provides a bailout when the state may not have had any input into the decision making process.
If the state has to bailout a district, which means I have to pay some of the bill, then I want state control of the process and system so that there authority commensurate with responsibility.
Thought about this for a long time. The state does have culpability here, because the state DID sign off on an audit declaring Pencader to be financially sound to finish out the year. That means that both the State and Pencader have colluded in what is happening to the kids at Pencader.
On the other hand, so are the parents who could have removed their children at the start of this year when there were many flags and many people (here and elsewhere) were telling them to bail out.
I think that the State is going to have to pony up the money, and I find that acceptable ONLY if it serves as a penalty shot for not paying attention and leads to a rewriting of the law to cover these cases.
I agree that the state shares culpability, but my patience has run out with everyone. Which probably makes me not a nice person. And when I’m over at Kilroy’s and I read that Pencader parents are choicing into Moyer… my head explodes, because this group has learned nothing.
And I know that a large part of my frustration hinges on the fact that you (Steve), me, Kilroy and others were telling Pencader parents to bail, to run as far away from that “school” as possible, to “choice” into Dickinson because they extended their choice deadline. They didn’t listen, so forgive me if I’ve run out of sympathy for people who enrolled their kids in charter schools without even understanding what a charter school is. This is the big lie with Choice – most parents aren’t capable of making an educated choice. And when they make bad choices, everyone has to pay.
I, too, think the taxpayer (state) will pony up the money – at the expense of other people’s children, but for some reason the kids in public school don’t count as victims. Seriously, the sense of entitlement surrounding charter schools is astounding. So yeah, I’m not feeling particularly sympathetic.
Here’s where I end up. If the state (us) bails them out, fine. If the school closes on April 30th, fine. The only people I have sympathy for are the public schools, and the kids attending them, that have to clean up another charter school mess.
“I think that the State is going to have to pony up the money, and I find that acceptable ONLY if it serves as a penalty shot for not paying attention and leads to a rewriting of the law to cover these cases”.
But damn!!!!!!!!!!!!!! there is needs to be an investigation by state auditor than DOJ if necessary! If Pencader is allow to close without an investigation of some sort Fawn Hall is going to burn the books! And possibly both books 😉
Until we stop looking for simple solutions for complex problems, our education system will remain a mess.
The state does have culpability here, because the state DID sign off on an audit declaring Pencader to be financially sound to finish out the year.
There is an audit to determine financial capability and then there is the stewardship of those funds by the Board and whoever else spends money at Pencader. Are we certain that spending has been focused on classroom activities? Pandora notes that they’ve spent 100K on lawyers, which isn’t a classroom expense. If they got their money it is hard to see how they can have issues now.
“Until we stop looking for simple solutions for complex problems, our education system will remain a mess”.
Until government stops being it’s own education watchdog and give parents and taxpayers more transparency tools the Wall Street ponzi scheme will continue!
This isnt a bail out. This is a gift. When a public school district wants more money they go to referenda. THere should be a referendum for Pencader. When the state bailed out CSD they had to pay the money back. How is Pencader going to pay it back. GM, Bank of America, Solyndra, Fisker, etc. All this throwing away of our money and we have no say in the matter. It sucks for the students there, but the administrators, parents, etc screwed them. Close the school april 30 and disincorporate it and let the Ann Lewis’ of the whole fiasco shoulder the legal bills.
Arthur – Pancader is s state-chartered school and isn’t part of any district and by law cannot call referendums. That’s what they signed up for. In a district school, you are represented by the district’s locally elected school board. But for a state chartered school, you are represented by the State Board which is appointed by the Governor and confirmed by the Senate. State chartered schools don’t have any local representation to hold accountable – their own boards are appointed, not elected.
Either DDOE has some money it can reallocate to Pencader, or it needs to be appropriated by the General Assembly.
You know, our education system, for the most part, isn’t a mess… unless everyone wants to say that their kids are idiots. Didn’t think so. Our public education system is a mess when it comes to high poverty populations, but most people don’t want to address that, because that will cost money. Please stop feeding into the Wall Street/charter advocate/businessman meme that the education system is a mess. It’s not true. It is, however, the propaganda that keeps charters, even bad ones, in business.
And Arthur and Cassandra are correct. This is gift, and the money was already given to Pencader. They blew it and now expect more.
Puck – I know how the system works. I was making the point that the real people who will bail Pencader out of their own mess are the taxpayers and we don’t get a say in it. When we’ve already pissed away $25 mil for Fisker what’s another $500k, right? Pencader wanted to run like a private business and be left alone and now that they’ve once again F’d up they want a handout. No. This is their 3rd or 4th time at this dance. Close them down. Hopefully, the seniors have enough credits to graduate and if so, congratulations you’re year is done early. Everyone else will go to their feeder school for the rest of the year and the parents can start doing what needs to be done for next year.
“Our public education system is a mess when it comes to high poverty populations”
@pandora. Could you define the “education system” from your perspective? I was going to make a comment but I realized that I don’t what definition is being used for the term “education system.”
Meanwhile, the teachers lose their jobs, the directors go back through the revolving door, some classes get even more over-filled, and everyone… other than the people responsible for this mess… suffers. Unless, people pony up… which is how cartels work. Even that only gets them through to the end of the year.
It’s like any other power-hungry institution that shouldn’t have existed in the first place… they create a lose/lose situation for the people who trusted them. Are the directors of PC being investigated? This reminds me of a story ’bout a man named Hill. He sold clarinets to the kids in the town.
ben shut your mouth THE THINK METHOD WORKS.
also, extreme measures were necessary to combat the nefarious pool table that showed up in town.
Oh stop it with your anti-billiards shipoopy. It helps cultivate horse sense…and a cool head, and keen eye.
between the pool table and that harlot librarian (Chaucer, Rabelais, BALZAC. Really?) we can’t get rid of we needed some wholesome music to distract/protect our children.
Wow, how interesting to see dogmatic anti-statists suddenly anxious to see the state bail out a charter school. Now let’s speculate as to why they would do that. Here’s a guess. Charter schools have been seen by them as a step forward in the direction of undermining public schools and eventually privatizing education altogether. So getting a state bailout is, though hypocritical for them, a necessary means to continuing to achieve that end.
And then there is Dave who callously believes that people losing their job aren’t victims. And what is his “logic” for this antisocial belief? Teachers are no more victims for losing their jobs than other people who lose their jobs in mass. Here’s a scoop for you, Dave. Anytime people lose their jobs, they are victims. It might be unavoidable, but many unavoidable things make people victims.
Dana, I don’t think Dave was saying that people losing their jobs aren’t victims. I think he was saying that Pencader teachers are just like all the other poor people who’ve lost their jobs.
Pandora, he said this: “Unless the teachers had no choice in the matter of teaching at the school, they are not victims any more than employees of any enterprise are victims due to a failure of the business.” Since in principle teachers did have a choice about teaching at the school, then according to his logic, they are not victims and, furthermore, they are just like other employees who lose their jobs: nonvictims.
Dana-
Please check your reading comprehension skills.
Dave said that teachers are not victims ANYMORE than employees of any enterprise are victims due to a failure of the business.
BOTH sets of employees are victims. Neither is entitled to a bailout beyond Unemployment Benefits.
I’ll tell you what, Roland. I’ll check my reading comprehension skills if you get checked and treated for attention deficit disorder. Try paying attention to how Dave prefaced his statement and how it modifies everything he said subsequent to it: “Unless the teachers had no choice in the matter of teaching at the school….” Now for the explanation as to what this means in the context of what he said, see my comment to Pandora. Were you able to follow this response or was it too long for your attention span?
“Bailouts should be reserved for the struggling kids — the ones that are being shuffled around in order for these charters and magnets to look good.” – Cassandra, why is that? I would guess that the majority of kids in charters and magnets did not choose their school. Their parents did. So they are no different than the ‘struggling kids’, are they? What, exactly, does ‘struggling kid’ mean anyway? If you think there aren’t ‘struggling’ kids in charter or magnet schools.. well, maybe I don’t know your definition of ‘struggling’.
Sorry, Dana. I missed your earlier comment to Pandora.
Don’t you find it odd that she agrees w/ me?
You totally missed Dave’s point. Twice.
Wanna double check those reading comprehension skills, champ?
Pencadermom-
Please look at the demographics for Wilmington Charter and Brandywine Springs School. That should open your eyes to what cassandra_m is talking about. BSS is not a charter school (it’s K-8)but it might as well be.
I attended a rural AISD school prior to deseg. That school had more African American and poor white kids than BSS does today, & my elementary school had far fewer students than BSS.
Full disclosure:
All 3 of my kids attended BSS. It was great until Buzzy retired. It’s still really good.
Cassandra, If you are talking about ‘low income’ students, there are 19 charter schools in Delaware. Of those 19 schools, over half of those schools have over 40% low income students. It’s actually 58%. 32% of charters have over 70% of their students in low income.
I didn’t include the only magnets I know of.. CSW, Conrad, and DMA. They are the only magnets I know of, they are also they only schools I know of who hand pick their students. Maybe there is a bigger issue with Red Clay, the district where all of the magnets are!
Roland, so BSS is not a charter. I was talking about charters, because Cassandra was!
Sorry, Pencadermom. I was just using an example that I’m personally familiar with. BSS is amazingly white for a public school, and so is CSW. The only colors those schools like are yellow and brown.
CSW, NCS and DMA are charter schools. Conrad and Cab are magnets. All control their population.
Conrad, unlike the others you mention, does have an “attendance preference zone” [I think that is the term] that functions like a feeder pattern in giving a significant preference to children who live in the vicinity of the school.
Still… that preference zone isn’t a feeder. You still have to complete a choice application and have an interview and writing assignment.
In 2006-2007, Conrad had 27.7% African American students, 46.2% Hispanics and 26.1% white with 74% low income and 18.4% special ed. ELL was 21.4%
In 2012-2013 Conrad had 10.4% African American students, 20.3% Hispanics and 66% white with 33.9% low income and 4% special ed. ELL today is 7.9%
Interesting numbers, no?
Pencadermom, this is what I responding to from Pandora’s post:
If a school, public or charter, removes the struggling kids, and their low test scores, from its building test scores will look better.
While Charter schools and their boosters portray charters as “parental choice”, the children of those choosing parents stay in that school at the pleasure of the people who run the Charter. So if you have a kid with some issues — high poverty-related or no — the school has the choice to not deal with those issues. Resulting in a struggling kid not getting any help. And parents who have to “choose” all over again. *These* are the kids in need of a bailout. A charter that made promises that couldn’t deliver shouldn’t go to the head of the line for help ahead of these persistently underserved kids.
We Delawareans have not yet figured out how to work the melting pot, thus seems that our education system here has become as polarized as our national politics.
In the meantime, for the current Pencader financial shortfall, I agree that it makes no sense to worsen the situation by disrupting the school year end for the Pencader students and for the public schools who would have to take them in suddenly; therefore the State must come up with the $350k.
Recognizing that there are no quick fixes, the longer term goal of having a strong public school system is the ultimate solution, in my view. We must gradually take school choice off of the table, and turn the specialized charter schools into magnet schools, making them part of the public school system. As I’ve said a while ago on here, I like the idea of having one statewide school system, headed by one superintendent and perhaps three assistant superintendents to run area school units, like one for Sussex/Kent, and two for New Castle, somewhat like how that of Fairfax County VA is set up. Thus, as our public school system strengthens under more unified and efficient management, in the long run, private schools will become less attractive alternatives. Part of this involves returning to the neighborhood schools approach, thus minimizing bussing and emphasizing the idea of localized community involvement.
Hasn’t it been clear for years that the path we are on is not working? We need to find DoE folks who can lead us in a better direction toward a stronger public education system for all. How about hiring some experts who have been successful elsewhere with this approach?
Interesting numbers, no?
Wasn’t disputing that–just trying to be accurate.
I appreciate your accuracy!
“Conrad, unlike the others you mention, does have an “attendance preference zone” [I think that is the term] that functions like a feeder pattern in giving a significant preference to children who live in the vicinity of the school.”
Steve. Conrad is “all choice” with no feeder-pattern. But yes re: attendance preference zone. But that preference is not a guarantee. Conrad is a grade 6-12 magnet school replace a 6-8 traditional middle school! However, once a student is ready for high school they have to reapply to the high school component just like Cab. Red Clay deviated from the state approved Neighborhood Schools Plan which move 6-8 student further from their neighborhood school. Nothing was stopping Red Clay from keeping the traditional 6-8 program and adding the high school “magnet school” HOWEVER, its up to the part within Conrad community to stand-up and fight! The door is open and pretty much that’s all we can do! And yes it was I who pushed that preference clause and support of a few watchful board member who kept it from being swept under the rug.
I wonder if there is a mechanism for the State to foot the bill and then sue the bejeezus out of the people on the board (past and present), personally, for negligence and misuse of public funds. Let both sides go through discovery and make their cases. Let a court decide to what extent the state is liable and to what extent the current and past board is liable.
Not an attorney, LG, but since charters are corporations and therefore covered under statutes limiting personal liability, would not that be difficult to impossible? I don’t think you can sue them (at least not successfully) separately from their corporate identities.
kilroy
I understand the difference between a feeder pattern and a preference zone as well as you do. I was only making the point for completeness sake on pandora’s comment.
Well, you could sue them and a judge may tell you that they are immune. I’m not a lawyer either, but I thought that the protection afforded to board members can be nullified in cases of gross negligence. Again, the Judge can be the judge of that.
re: Pencader, at the end of the day, the “state” is responsible for overseeing public education and that children receive a fair and equitable education. The Pencader Charter School “Corporation” was authorized in accordance to state law and the Delaware State Board of Education is the authorizing and oversight agent. DE DOE cannot authorize or close a charter school. They can only recommend such action to the state board who makes the decision.
When a traditional public school such as with Red Clay and Christina falling into financial distress it trigger action on DE DOE’s part that sends in the Financial Recovery Team with bailout money in the form of a “loan” and direct oversight of district finances
1802. Financial Recovery Team.
“Upon the recommendation of the Secretary of Education (“Secretary”) that a school district or charter school is in financial distress as provided in paragraph (1) of this section, the Director of the Office of Management and Budget (“Director”), with the consent of the Controller General, may appoint a Financial Recovery Team (“Team”), and the Department of Education is hereby authorized to secure technical assistance and other resources as necessary to ensure the effective operations of the Team.”
DE DOE / Markell didn’t want to go the FRT route with Pencader because it would of set a precedence of $$$$ bailing out charter schools. What is very ironic is, Pencader’s board president was a member of the FRT for Christina and is credited for helping Christina out of financial distress. Christina new superintendent at the time Lillian Lowery required a top to bottom audit as a condition of her employment which exposed Joe Wise insane spending.
It was obvious that with concerns of Pencader’s former school leader an audit would have been wise and smart business. But what didn’t Pencader’s new board president do! He became less transparent and operated on a FY2013 preliminary budget and final budget not approved by the board. Monthly budget reports we’re limited and Pencader IRS990 form was never produced. Pencader did lose it IRA non profit status and to this day there is nothing to verify its reinstatement
“All charter schools must have an exit plan and fund (bond?) in place the second they open”.
Charter schools operate on a thin margin and the funds needed for an exit plan would be enormous! Pencader claims to need $350,00.00 to stay open. However, my guess is they need about $600,000.00 to right the ship!
Pencader is trying to hold Dover hostage and if they close the door April 30th it would disrupt DCAS testing due to take place in May, Also, we’re back to the state’s obligation. Pencader students wouldn’t meet the requirements in regards to school attendance and wouldn’t be able to take final exams! It’s a game of who is going to blink first? Markell can come back and say fine, we’ll cover teacher’s salaries but we’ll mail it to teachers. No way is Markell going to put cash in Pencader’s hands so they can pay lawyers first! In the end the entire board will walk away! Now the question is, did someone remember to pay their board and director’s insurance?
We need a hold on new charter schools that aren’t already in the pipeline until state policies and procedures or laws are in place to address such crisis!
No, we need to end this era of charter schools in Delaware because they are nothing more than tax payer funded private schools. Use the charter school money to improve the public schools, incorporate the charter school programs into Delaware’s public schools.