Plunder Dome—again?

Chileans protest school privatization

REUTERS/Ivan Alvarado

Everything's hitting the fan in Santiago, Chile. Hundreds of students and teachers protesting a bill which, they say, could lead to privatization of public education, have been arrested in clashes with riot police using water canons and tear gas. The crisis threatens the regime of liberal president Michelle Bachelet.

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NEA's Convention

I was going to write something about the NEA's conference and the crazy spin put on Obama's speech by the usual pack of union-hating bloggers—you know, the DFER's Joe Williams, hedge-fund operator Whitney Tilson, and of course Andrew Rotherham. But since Leo Casey and my brother Fred already opened up a can of butt-whup on them, I'll defer to those two union leaders.

I'll just add one point. Williams and Co. never mention Obama's strong rejection (again) of school vouchers, in his NEA speech. Gee, I wonder why? Remember when Williams tried to make Obama into a voucherite?

No wonder he hates unions

Last year in response to Williams' benefactor, hedge-fund operator turned school entrepreneur, Tilson, I explained what happens when charter schools meet the Ownership Society . Tilson then tried to make light of the fact that there was profit to be made in the charter school business. Remember how Tilson mocked the notion?

Yeah, that's right, the charter school business is so profitable that I'm telling all my friends in the hedge fund business that they're in the wrong business. My message: "If you really want to make a lot of money, start a charter school!" LOL!

Now Philadelphia, where Paul Vallas opened wide the door for privately-managed charters, offers us another vivid example of how the school hustle works. This time It's about the Philadelphia Academy Charter School and it's no joke:

Federal authorities and Philadelphia School District officials began investigating the school and its nonprofit in the spring over alleged mismanagement, nepotism, and conflicts of interest involving Brien N. Gardiner, a former elementary school principal who founded both entities, and Kevin M. O'Shea, the charter school's former chief executive officer.The charter school's nonprofit, led by O'Shea's wife, Jamie, has received more than $2.4 million in taxpayer funds in rent payments since 2005, state records show.

Plunder Dome

Then there's Rhode Island's new mayoral academies. Scheduled to open next year, these academies have the potential to become legalized patronage handouts to developers and private management companies—a legacy of George Bush's Ownership Society. While the legislation doesn't give the mayors total control over their local school systems, a la New York and Chicago, it does give them the power, during their brief 2-year stints, to subcontract schools and leverage real estate deals to politically friendly companies.

Maybe Providence ex-Mayor Buddy Cianci can find a way back into the game, now that he's out of prison (remember Operation Plunder Dome?) and back in business.

Edweek points out a big advantage for Rhode Island privateers in the new legislation:

Unlike the state's existing charter schools, mayoral academies would get exemptions from state provisions on teacher pay and benefits. They would not be required to follow the state's "prevailing wage" and retirement statutes for teachers or rules on teacher seniority and tenure.