Michigan Charter School Evaluationhomepages.wmich.edu/~miron/publics/michigan/Appendices.pdf · 2002-07-10 · Evaluation of the Michigan Charter Schools B-2 The Evaluation Center,

Evaluation of the Michigan Charter Schools The Evaluation Center, WMU97

Appendices

Appendix A Maps Highlighting the Development and Evolution of the MichiganCharter School Initiative, 1995-2000

Appendix B Descriptions of the Larger Educational Management OrganizationsOperating in Michigan

Appendix C MEAP Results by Grade, Subject and Year (These tables will beavailable on-line only)

Appendix D Comparisons of Current Operating Expenditure and Revenues BetweenCharter Schools and Their Host Districts

Appendix E Distribution of Students by Grade Level, by School Level and byEMOs

1995 - 1996

Appendix A Maps Highlighting the Development and Evolution of the Michigan Charter School Initiative, 1995-2000

1996 - 1997

1997 - 1998 1998 - 1999

All Years1999 - 2000

Location of Charter Schools Operated by National Heritage Academies in the Grand Rapids Area

Evaluation of the Michigan Charter Schools The Evaluation Center, WMUB-1

Appendix B Descriptions of the Larger Educational Management

Organizations Operating in MichiganThe descriptions of the EMOs contained in thissection are based on material obtained directly fromthe companies or indirectly from the schools theymanage or from the web sites established by thecompanies. We cannot confirm that the claims theymake about their schools and programs areaccurate. After describing each of the sixcompanies we have included a short section on“other issues,” which is largely based ondocumentation from critiques of the EMOs or fromnewspaper sources. The purpose of this section isto list or describe controversial issues that havearisen regarding the management companies.

National Heritage Academies

Background and development. NationalHeritage Academies (NHA), founded and owned byMichigan entrepreneur J.C. Huizenga, opened itsfirst school, Excel Charter Academy, in GrandRapids in 1995. NHA opened three more schoolsthe following year and now operates 20 schools inMichigan and 2 in North Carolina, with a totalenrollment of 8,600 students. Huizenga hasinvested about $50 million dollars in NHA. InJanuary he raised $35 million from private investors,in addition to negotiating a $50 million bank loan (7Feb. 2000. Business Week, p.66). The last map inAppendix A illustrates the location of NHA’scharter schools in the suburban areas around GrandRapids.

National Heritage Academies has had a long runningpartnership with Grand Valley State University,which has chartered 15 of their 20 schools inMichigan. NHA is responsible for the businessadministration and operation of each school. Theseresponsibilities include hiring principals, teachers, andstaff; setting the educational curriculum;administrating all extracurricular or cocurricularprograms; providing educational materials,

equipment, and supplies; providing funds for stafftraining; providing transportation and food service (ifany); and managing the physical facilities of eachacademy. NHA reserves the right to subcontractany of its services except for the management of theteaching and instructional program [unlessspecifically approved by the board]. NHA is jointlyresponsible, with the board, for student recruitmentand selection. NHA is accountable to the board forstudent academic performance. NHA providescapital to build the schools, then leases the buildingsback to the appointed school boards (3 Sept.1999,The Grand Rapids Press). Each academypays rent to NHA. For example, Excel pays NHAone-third of its total budget for rent (19 Oct. 1998.Letter, Bill Knoester to Christy Dykgraaf and ShirleyLewis). Eagle Crest Charter Academy’s rent toNHA doubled last year to $630,000. The companyindicates that it is not yet making a profit; rather it isreinvesting money by opening more charter schools.

Educational philosophy. NHA schools sharethe same basic features and vision. NHA hopes toprovide parents with educational choice by creatinga safe, orderly school environment where the childis challenged to pursue not only “academicexcellence,” but also “sound moral guidance” (NHAweb site, www.heritageacademies.com, “WhyNational Heritage Academies?”). Good citizenshipand America’s heritage are also emphasized. Theschools’ pedagogical philosophy is a “back-to-basics” approach that stresses fundamentals. NHAstresses parental involvement as the key to asuccessful school. The structure of the schools’learning environment is based on Effective SchoolsResearch developed by the late Ronald R. Edmonds.The educational curriculum is aligned with theHirsch Core Knowledge Sequence from E. D.Hirsch, author of Cultural Literacy. The HirschSequence teaches a standard body of knowledge ina planned progression for each grade level. Fifty


percent of NHA’s curriculum is based on the CoreKnowledge Sequence. The core curriculum ofhistory, geography, government, economics, math,science, reading, English, and fine arts integrates acharacter education/moral focus component acrossthe curriculum. In this way NHA reinforces the“universal values and morals taught at home byparents” (NHA web site, “Academic Program”).Students are rewarded for displaying moral values.

Curriculum. The curriculum is teacher-directed. In the “whole class” approach, all thestudents are engaged in planned lessons. NHAeschews child-centered learning methods as a“current fad” (NHA web site, “TeachingMethods”). Teachers plan the lessons, present theinformation, engage the students, monitor thestudents, and then provide additional learningopportunities. “The teacher carefully leads studentsthrough the lessons, responding to them and theircuriosity while still directing everything . . .” (NHAwebsite, “Teaching Methods”). According to theweb site, students are engaged in hands-on, project-based, active learning.

The back-to-basics curriculum includes an intensivephonics program for K-2. Phonics instruction isreinforced with the phonics-based reading series,Collections for Young Scholars. Children alsoread classics from children’s literature. The Englishcurriculum emphasizes spelling, grammar,punctuation, vocabulary, penmanship, composition,and writing. NHA uses Saxon Math and ChicagoMath to present mathematical concepts inincrements with continuous review and repetition.Cultural literacy, rather than social studies, combineshistory, geography, government, and economics with“heroes” from character education. At NHA thereis an emphasis on “American heritage,” andAmerica’s “unique roots.” The science curriculumis divided into life, earth, and physical sciencesections. Both cultural literacy and science aretaught without textbooks and are based on theHirsch Core Knowledge Sequence. Art, music, andphysical education are taught as weekly specials.Moral focus highlights a different value each month.Moral focus values are based on the four Greek

cardinal virtues of justice, temperance, fortitude, andprudence with “spin-offs” such as courage,perseverance, respect, friendship, responsibility,gratitude, compassion, self-discipline/diligence, andintegrity. (Excel 1999-00 Parent Handbook, 4).Moral focus assemblies reward students who weremost diligent in displaying moral values.

Teaching staff. Many of the teachers at NHAschools are young and inexperienced. NHAprovides two weeks of training in the summer.According to an August 7, 1999, article in TheGrand Rapids Press, seven out of eight new maleteachers for the 1999-00 school year were graduatesof Cornerstone, a Bible college in Grand Rapids (1Aug. 1999, Granderson). NHA recruits teachersfrom Calvin, Cornerstone, Hope, Grand Valley, andHillsdale Colleges (1 Aug. 1999, Granderson).Teachers’ salaries are slightly lower than those inthe traditional public schools. Teacher compensationis merit-based and determined by standardized testresults and parent satisfaction surveys given at theend of the school year.

Innovations. NHA says it is being innovative inproviding “academic excellence.” It also provides alonger school day–7 hours long with 6 hours ofinstruction in core subjects. Classroom size is limitedto 24 students. Integrated character education/moralfocus is also considered innovative. AcademyLink,introduced in the spring of 2000, is an Extranet linkthat provides access to the school calendar,classroom home pages, parent newsgroups,committee minutes, and documents. NHA iscurrently in the process of developing gifted andtalented programs.

Assessments. Student achievement is assessedby standardized tests such as the MEAP and MAT-7. According to NHA, its students score 35 percentabove the national average on standardized testsmeasuring grade level growth (NHA web site,“Academic Excellence”). Nonstandardizedassessment methods include teacher-made tests,mastery skill checklists, criterion-referenced tests,and norm-referenced tests. Quarterly report cards,student exhibitions, participation in state and nationalcompetitions, anecdotal records, and parent/ teacher


observations are also part of student assessment.Parental satisfaction is gauged by parent surveysand growing enrollments. Teacher compensation ismerit-based and determined by standardized testresults and end-of-school parent satisfactionsurveys.

Other issues. There are a number of lawsuitsfiled by parents currently pending against NHA.The ACLU is representing parents at VanguardAcademy in Grand Rapids who allege NHAknowingly participated in violations of theestablishment clause by mandating a staff moralfocus retreat which had religious overtones and byallowing a parents’ prayer group to meet on campusduring the school day. In December of 1998 threefamilies with students at Vanguard CharterAcademy filed suit in federal district court allegingviolations of the Establishment Clause of theMichigan and United Sates Constitutions by bothNHA and Vanguard Charter Academy (Daughertyet al. v Vanguard charter Academy et al.). Theparents allege that the school promoted religion in anumber of ways including a staff training thatincluded religious worship, endorsement of prayeractivities during the school day, distribution ofreligious literature to students, display of religioussymbols and teaching about creationism in scienceclasses. The case is scheduled to go to trial inSeptember 20000. Some of the key events andincidents related to this case are listed below:

F On October 23, 1998, National Heritage held aMoral Focus Retreat for the teachers of allNHA schools at Ridgepoint Community Church,Holland, MI. Students were given the day off sothat all of the staff could attend this mandatorytraining. A parent (and chairman at the time ofthe retreat) of Vanguard’s Moral FocusCommittee, attended the event. He said that theretreat opened with Christian music, wasemceed by a minister, and a Christian prayerwas conducted prior to lunch. One of thespeakers at the retreat, an ordained Baptistminister, delivered what the parent described asa sermon on the topic of Moral Absolutes. Hemade an audio recording of the presentation and

alleges that it was “saturated with references toGod, Jesus and biblical scripture.” According toan article in the September 18, 1999 Wall StreetJournal, National Heritage Presidentacknowledged that the Baptist sermon wasinappropriate.

F The plaintiffs also allege that a group known asthe Mom’s Prayer Group holds prayer meetingsin the school facility during school hours.According to the plaintiffs, the school endorsedthe activities of the Mom’s Payer Group byallowing teachers to submit prayer requests andparticipate in teacher luncheons sponsored bythe group. The Mom’s Prayer Group was alsoallowed to maintain a mailbox by the teachers’mailboxes in the central office and to solicitmembers in the hallway during studentorientation according to one of the parentsinvolved in the suit. The Wall Street Journalreported that despite drawing up new guidelinesgoverning church/state separation at Vanguard,the Mom’s Prayer Group is still allowed to meetat the school.

F The topic of creationism has become acontroversial issue at National Heritage schoolsin Michigan and New York. The February 18,2000, issue of the New York Times reports thatJohn R. Walker, a Rochester business professorwho sponsored NHA’s charter application,stated that The Rochester Leadership Academywill teach the science of evolution, but because“the theory of evolution is unproven,” the school“will present contrasting theories,” includingcreationism.

F NHA’s Excel Charter Academy allowsteachers to teach the theory of evolution and thestory of creation as an objective for fourth gradescience. The charter application for NHA’sVanguard Academy, on file with Grand ValleyState University, lists “creation” as part of thescience curriculum.

F Efforts by NHA to open a school in New Yorkearlier this year met with opposition from theAmerican Jewish Committee. The AJC is


concerned that an NHA-operated academywould teach creationism, as other NHAacademies allegedly do in Michigan (15 Dec.1999 Democrat and Chronicle). They are alsoconcerned about NHA’s “strong evangelicalties” (18 Feb. 2000 Denbo Letter).

F One fourth-grade teacher at NHA’s KnappCharter Academy “told her students aboutdinosaurs last year and learned a lesson herself.Some parents protested that fossil evidence ofdinosaurs, which became extinct 65 million yearsago, contradicted their Biblical belief that Godcreated the world 6,000 years ago. Since then,the teacher has dropped the dinosaurs and says,‘I basically try to steer clear of any hot issues.’”(18 September 1999, Wall Street Journal).

A special education teacher brought a secondlawsuit in 1999 against NHA. The teacher allegedshe had been wrongfully terminated when sherefused to condone what she considered illegalactivities in regard to special education services.Among other things, the teacher alleged that NHAinstructed her to discourage parents from enrollingspecial education students. The case was settledoutside of the court with an agreement by both NHAand the plaintiff that neither side would publiclydiscuss the issue.

Parents at Walker Charter Academy and VanguardCharter Academy complained about the “heavy-handed” discipline and management style of theprincipals at the respective schools. These incidentswere reported in The Grand Rapids Press, andare–in part–documented in information obtainedfrom NHA through a Freedom of InformationRequest (FOIR) and through interviews of parents.

F Two recent parent-organized meetings at twodifferent NHA schools were critical of whatparents consider a “heavy-handed managementand discipline style” in NHA administrators.The parent who organized the meetingconcerning Walker Charter Academy said shehad become frustrated trying to talk with theschool’s principal and NHA when her son wassuspended from school. According to the

parent, her son was suspended for talking afterbeing “put on the fence,” a form of punishment.

F Parents at Vanguard Charter Academy kepttheir children home one day in May to protestthe way the principal was treating students andstaff. Concerned parents met to express theirviews that Vanguard’s principal was intimidatingand threatening. Information from a May 16,2000, Freedom of Information Request sent toVanguard school indicates that the staffaddressed four “major areas of concern: unpro-fessionalism, lack of communication, fosteringdivision among staff members, and intimidation.”The staff requested that they be able to expressopinions without retaliation. The staff expressedconcerns such as using children as “pawns,”“gag orders,” “teachers afraid,” and the “heavy-handed administration.” The staff requestedthat the principal “stop making threats.”

F Email letters to NHA, also part of the FOIRrequest, from anonymous parents at Vanguardindicate problems not only with the admini-stration, but also with special education. Emailletters between NHA personnel indicate thatparents, staff, and students are afraid of theprincipal at Vanguard. Another anonymousemail from a parent mentions that the principalfired without cause the African Americanschool secretary who had been with the schoolfrom the beginning. Another letter from a parentpertains to an incident in April when theprincipal threatened to call the Wyoming PoliceDepartment and have the students fingerprintedbecause someone had locked a bathroom stalldoor.

Recent criticism of NHA and other charter schoolswas due to initial noncompliance with a freedom ofinformation request by The Grand Rapids Pressand seven other members of Booth Newspapers forinformation regarding the individual salaries ofteachers and principals. NHA says that it chose notto respond at first in order to protect the privacyrights of its employees, citing its status as a privateemployer. Later NHA submitted most of theinformation requested. NHA still refrained from


releasing the salary of its president, Peter Ruppert (3Apr. 2000, Lloyd editorial). Ruppert thinks that thenews media is focusing on the wrong issues inmeasuring accountability. NHA officials would liketo shift the attention to parent satisfaction andstudent achievement. Ruppert believes that thecriticism is being levied against charter schools inorder to influence the vote on legislation to raise thenumber of charter schools in Michigan (17 Apr.2000, Ruppert editorial). NHA requested thatparents at NHA schools write their state legislatorsand, “to make it easier,” provided the parents with a“talking point” sheet with key points to address whenwriting a letter in support of NHA (12 April 2000,Letter, Peter Ruppert).

The Leona Group

Background and development. The LeonaGroup, L.L.C., a school management companybased in Lansing, Michigan, began operating in 1996.It is run by educators and businessmen, and operates20 schools in Michigan and 14 in Arizona. Fourteenof its Michigan schools are located in metropolitanDetroit. There are 6,5000 students in Michigan, and4,000 in Arizona. With some support by shoppingmall developer, A. Alfred Taubman, the companyreports that it is making a modest profit (BusinessWeek, p. 66).

Services provided. The Leona Group (LG)provides direct management services for eachschool, such as start-up, building, financialassistance, customized educational programs, staffand budget oversight, and operational management.The company charges each school a set fee for itsservices; however, any surplus funds remain at theschool site to be used at the school’s discretion.

Philosophy. The Leona Group advertises asproviding a safe, academic environment tailored tothe needs of the students within a specificcommunity. Its objective is to adequately preparestudents to become responsible, academically andtechnically literate contributors to society, fullyequipped to enter the work force or college. TheLeona Group vision is to provide quality education sothat the student can pursue high personal and

academic goals while learning to be a cooperative,respectful member of his/her community. LGemphasizes school choice and school competition,believing that by setting high educational goals in itsschools, other charter and traditional public schoolswill also improve their standards.

Curriculum. One of the unique aspects of TheLeona Group is that it strives not to reproduce itsschools according to a blueprint. Each school isviewed as reflective of its community. Theeducational curriculum of each school is “customizedto meet the needs of children and families in thel o c a l i t y ” ( L e o n a G r o u p w e b s i t e ,http://www.leonagroup.com/service.htm). Severalcommon characteristics of schools in The LeonaGroup include personal learning programs, specialeducation inclusion, small class sizes, longer day andyear, parental involvement, dress and disciplinecodes, before and after school care, a safe academicenvironment, staff development and training,computer literacy skills, and academic basics. Theacademic curriculum is aligned with the MichiganCore Curriculum Framework. One of the goals ofeach school is to create a learning climateresponsive to the individual needs of students. Eachschool emphasizes high academic and behavioralstandards.

In terms of assessment, LG reportedly uses theCTBS/Terra Nova test in addition to the state-mandated MEAP. Individual schools providedifferent nonstandardized assessment practices.

Other issues. Financially troubled WestMichigan Academy of Environmental Science willnot have its charter renewed this August. Theschool, located in Walker, hired The Leona Groupthree years ago, when it began experiencingfinancial problems. According to Leonaspokeswoman Valerie von Frank, the company wasat first unaware of the extent of the school’sproblems and now has a large financial andemotional investment in the school. The school boardis accusing the company of violating its contract (19April 2000 Grand Rapids Press).


Beacon EducationalManagement–Michigan, Inc.

Background and development. Established in1994, Beacon Educational Management, Inc. locatedin Westborough, Massachusetts, merged with JCR& Associates, Inc., of Utica, Michigan, in January2000. Beacon offers a variety of contractededucational services for existing or new charterschools. It also offers consulting services totraditional public and private schools. Beaconoperates 27 charter schools with 4,700 students inMassachusetts, Michigan, North Carolina, andMissouri. New schools are scheduled to open inNew York and Pennsylvania this fall. MichaelRonan is Beacon’s chief operating officer. JohnRomine was president of JCR & Associates andnow heads up the Michigan operations for Beacon.The merger of the two companies greatly increasedBeacon’s management contracts nationally and gavethe company a significant share of the for-profitcharter school market in Michigan (Beacon web site,“Beacon News”). According to Business Week,venture capitalist William R. Hambrecht hasinvested $6 million in Beacon (p. 66).

Philosophy. Beacon views public education asAmerica’s “beacon of hope” (Beacon web site,“History”). The company hopes to assist educationreform by providing schools that improve the qualityof education nationwide. Beacon schools aim toprovide an environment where all children candevelop the educational skills, knowledge, and valuesnecessary to be productive citizens (Beacon website, “History”). It strives to be an eclectic mix ofold and new, integrating innovative ideas with basicvalues. Believing that the success of a school restson experienced and innovative teachers, Beaconhires educators who share a common belief in schoolautonomy, accountability, and high expectations forstudent achievement (Beacon web site, “History”).

Services. Beacon provides total, as well aspartial, school management services. Drawing onexperience in business and education, Beaconstreamlines the business aspect of the schools itmanages to reduce administrative costs. Unlike

some EMOs that clone charter schools, Beaconoffers to tailor its services to fit the needs of thecommunity. Providing an initial “Lightpoints”assessment, the company listens to the goals andinterests of the school community before developinga plan that fits the educational needs specified.Beacon’s integrated management of educationalservices offers expertise in personnel, curriculum,finances, administrative support, student services,and organizational support. Beacon recruits andhires employees, supervises and evaluates staff, andprovides professional development opportunities.Curriculum services include a standards-basedcurriculum that meets local and state standards;“School Tools” for teachers and students; a choiceof year-round, extended, or a traditional school year;and accountability plans. Financial services providedby Beacon are budget preparation, payroll,accounting, employee benefits, equipment andsupplies, and fund-raising. In the area ofadministrative support, Beacon gives on-line supportand assistance with compliance issues. Studentservices include child care, clubs, extracurricularactivities, transportation, food service, a handbook,and mentor programs. Organizational supportinvolves strategic planning, school governance, andcommunity collaboration.

Curriculum. Beacon provides a Lightpointscurriculum based on core educational standards thatmeet national, state, and local requirements.However, since each school is autonomous, differentcurricular approaches can be used at differentschools. For example, at Detroit Community HighSchool the curriculum is founded on Austrianphilosopher/scientist Rudolph Steiner. Instructionalstrategies range from innovative, projects-basedlearning and technical career exploration totraditional teacher-directed methods.

Assessment. Standardized tests include theMEAP and Terra Nova. Other methods ofevaluation used by various Beacon schools includeportfolios, progress reports, teacher observations,unit tests, and developmental checklists.


Other issues. Before merging with Beacon,JCR & Associates experienced financial problemswith a school it managed in Detroit–Sierra LeoneEducational Outreach Academy that was charteredby Central Michigan University. The school washaving financial difficulties when it hired JCR &Associates in 1997-98. The school was closed in1998 after it failed to submit monthly debt reductionplans. JCR & Associates claim that the school wasresponsible for filing the financial reports, while theschool claims that JCR & Associates wasresponsible for filing the financial reports (DetroitFree Press on line). We are aware of at least twoschools that initially intended to work with Beaconand then broke with them. In both cases, excessivecosts were cited as reasons for breaking theirrelationship.

Advantage Schools Inc.

Background and development. Founded in1996, Advantage opened its first 2 schools inSeptember 1997, and early results from both reflectremarkable gains in students’ academicperformance, conduct, and self-confidence. With theopening of additional schools in the fall of 1998 and1999, Advantage’s 14 schools are currently servingsome 8,000 children from primarily urban families(Advantage Schools web site, www.advantage-schools.com).

Advantage Schools, Inc. opens and operates charterschools in urban areas nationwide. In 1997,Advantage opened its first schools in Phoenix,Arizona, and Rocky Mount, North Carolina.Advantage opened schools last fall in Kalamazoo,Michigan; Chicago, Illinois; Worcester and Malden,Massachusetts; San Antonio, Texas; and JerseyCity, New Jersey. With the opening of 10 newAdvantage schools planned for the fall of 2000,including schools in Benton Harbor and HighlandPark, Michigan, the number of students enrolled isprojected to grow to more than 10,000 (AdvantageSchools web site).

The mission of Advantage Schools is to create anew generation of world-class urban public schools

that will enable all children—regardless ofsocioeconomic background or prior academicperformance—to reach the heights of academicachievement. Advantage implements the samemethod of instruction and curriculum in each school(Advantage Schools web site).

Services. Advantage Schools, Inc. provides fullservices for its schools that include hiring personnel,payroll, buildings, purchasing, grant writing, and legalservices. Advantage also provides busing for thosestudents who need this service. After schoolprograms are available from 3:30 to 6:30 p.m. forthose students whose parents work. The schoolsimplement a nutritional program that servesbreakfast and lunch, and they participate in the freeand reduced lunch program. Advantage has aParent Advisory Council and provides studentprogress reports, report cards, and parentconferences.

Curriculum and instruction. All schoolsmanaged by Advantage implement the Advantagecurriculum and school design. More than 4,500students are currently enrolled in Advantage schools.Advantage schools implement a direct instructionmethod that includes reading, language/writing,spelling, and math lessons and may include lessonsin science, history, geography, foreign language,literature, music, and the arts to broaden students’understanding of the world in the tradition of theclassical liberal arts education.

Key elements of direct instruction include thefollowing:� Explicit, teacher-led learning that develops

students’ ability to think and solve problemsindependently

� Placement of students in instructional groupsbased on academic skill level rather than grade,using common curriculum with no separatetracks

� Advancing students to new material after theyhave mastered prior material in a structuredsequence

� Polished, scripted lessons developed throughrigorous testing and refinement

�


School Name Location Year Founded Grades Served 99/00

Morey Charter School Shepherd, MI 1997 K-6

Summit Academy Flat Rock, MI 1996 K-11

Pansophia Academy Coldwater, MI 1995 K-12

New Bedford Academy Lambertville, MI 1998 K-8

Will Carleton Academy Hillsdale, MI 1998 K-6

Summit Academy North Romulus, MI 1998 K-5

Michigan Automotive Academy Romulus, MI 1995* 10-12

* Michigan Automotive Academy was formerly managed by Schoolhouse Services, but switched EMOs in 1999.

Instruction that engages the whole class, includingfrequent student choral responses as well asindividual responses

Advantage says that effective instruction requires asafe and orderly environment focused on learningand that schools have an important role to play insupporting parents’ efforts to teach their childrenbasic values. Parents, students, and school leaderssign contracts agreeing to support and adhere toAdvantage’s Code of Civility, which definesexpectations for student conduct and schooldiscipline policies. The Code focuses on ten basiccharacter virtues, the “Keys to Success”:responsibility, perseverance, respect, kindness, truth,citizenship, courage, self-discipline, fairness, and truefriendship. These virtues are also the focus ofAdvantage’s character and ethics curriculum.

Advantage emphasizes the need for students tounderstand consequences as part of their behavior,and misbehavior calls for a disciplinary measure. AtAdvantage schools, there is zero tolerance forphysically dangerous, threatening, illegal, orinsubordinate behavior. All students are required towear uniforms at Advantage so students canconcentrate on education rather than wearing the“right clothes.”

Other issues. Advantage Academy inKalamazoo has an outstanding debt. This school hasa high rate of mobility as well, with students movingin and out of the district often. The principal of theAdvantage Academy in Kalamazoo resigned last

year, citing, among other concerns, that decisionswere being made in Boston and not Kalamazoo. “It is a dictatorial management style. They manageby intimidation and do not allow anybody on the locallevel to make any decisions on their own.Everything has to go through them”(4 Feb. 2000,Kalamazoo Gazette). The director, along with fiveteachers, two site coordinators, a behaviorintervention specialist, and a secretary tendered theirresignations after only five months of operation inKalamazoo. Advantage has experienced highturnover among school administrators in the schoolsthey operate in Michigan as well as in other states.

Helicon Associates

Helicon Associates was founded in 1993 and hasseven schools in Michigan, three of which serve highschool grades. Helicon has provided limited servicesto charter schools, but is moving toward fullservices.

Services. One specific charter school managedby Helicon, Pansophia Academy, receives businessand administrative support services that include thefollowing in their contract: F Helicon will provide a qualified school

administrator to handle all aspects of schooladministration and will hold him/her accountablefor the success of the academy.

F Helicon agrees to implement the educationalgoals, programs, and curriculums set forth in thecontract with the authorizing university.

F At the end of the each semester, Helicon willprovide the Academy Board with update reports


on progress toward implementing each goal. F Helicon will evaluate the educational progress of

pupils and provide services to students withdisabilities and special education needs.

F It will provide qualified and certified teachersand support staff, as well as bookkeeping,accounting, and other business services.

F Qualified personnel from Helicon will assist thecharter schools with operating statements,budgets, and other documentation to provideoversight.

F Accounts payable, payroll, salary, wage andbenefits administration, personnel and recordsmanagement services will also be provided byHelicon.

F Advice, recommendations, and counsel forpurchasing, facilities management and upkeep,and maintenance will be handled by Helicon

F Helicon will also keep accurate financial recordsand provide monthly financial reports.

This contract shows the wide variety of services thatHelicon would be able to provide to any of thecharter schools. The contract also shows that thecharter school is responsible for recruiting studentsand complying with Helicon’s “ConfidentialInformation” by not releasing information thatindicates that Helicon provides limited services. Thecharter schools have to agree to hold Heliconharmless “against any and all liabilities, costs, causesof action, damages and expenses”(26 June 1997.Services Agreement).

Curriculum and instruction. Helicon has twoschools at the high school level and two at the middleschool level.

Each Helicon school has its own mission statementthat includes different aspects of each school;however, three schools have identical missionstatements, which suggests that the managementcompany is having a stronger role in starting andshaping the schools. Below are the missionstatements from the Helicon schools.

F New Bedford Academy, Summit Academy, andSummit Academy-North have the same missionstatements: To provide meaningful learning anda need-fulfilling environment, empowering every

student with the knowledge, skills and behaviorsthat will add quality to their life (http://www.charterschools.org/schools/region2.html).

F Will Carleton Public School Academy: Theacademy will serve the community as a charterschool where parents can choose a traditional,character-based curriculum and educationalatmosphere for their children. The school willhave an orderly, disciplined environment, whereall children are exposed to the wonder and joy oflearning, where all children are expected tolearn, and where all children and adults areexpected to behave in a respectful andappropriate manner.

F Morey Charter School: The school is designed toteach students to successfully communicatethrough reading, writing, speaking, listening,viewing, and representation, and to develop amastery of math principles and practices. Astrong emphasis on technology will be integratedacross all curricular areas. Students will not onlydevelop necessary skills and knowledge, but willalso learn how to apply them in meaningfulsettings.

F Pansophia Academy: This school will in manyrespects resemble the “one-room” schoolhouse.A rigorous core academic program that willinclude an emphasis on the Great Books, will becomplemented by community service projectsand school excursions.

F Michigan Automotive Academy: The academywill strive to instill the proper attitude andmotivation in its students to enable them to applythe practical training they receive at theacademy on their first day. With dedicatedeffort, time on the job, and continued training, anAcademy graduate has the opportunity tobecome a proud and skilled professional.

These mission statements primarily focus on lifeskills and behavior. The Morey Charter School,Michigan Automotive Academy, and PansophiaAcademy have aspects of the curriculum and


instructional programs that are unique. MoreyCharter School emphasizes technology andcommunication. Pansophia will use service projectsand school excursions for learning and completingthe core academic program. Michigan Automotivehas a working component to help prepare students tobe skilled professionals upon graduation. MichiganAutomotive was formerly managed by SchoolhouseServices, but switched to Helicon in the 1999/2000school year.

Charter School AdministrativeServices

Charter School Administrative Services was foundedby Bill Allen in 1995. The company operates nineschools that include elementary, middle, and highschool levels. Five of the schools have identicalmission statements, indicating a “cookie-cutter”approach to curriculum and less individuality in eachschool. The other four schools have a variety of fociincluding the fine arts, two school-to-work programs,and an entrepreneur-focused school. This companyprovides full services for its schools. Missionstatements for Charter School AdministrativeServices are listed below:

F The Academies of Detroit West, Westland,Lathrup Village, Southfield, and Oak Park: Themission of this school is to offer the finestacademic program possible; to improve pupillearning by creating a school with high andrigorous standards for pupil performance; toteach self-discipline, honor and high moralstandards; to teach students to understand theAmerican “free enterprise system” andencourage them to fully participate; toencourage and allow the most effective teachingmethods in an environment where each studentis well known; to provide teachers with theopportunity, responsibility, and accountability forthe management and control of the total schoolcurriculum and environment; and to fosterstudent, parent and community involvementthrough the use of community resources andpartnerships.

F Academy of Inkster: The academy will focus onschool-to-work programs as well as the basiclearning skills. The mission of the Academy is toprovide all with mastery of the essential skillsneeded for a quality education in the 21stcentury.

F Cherry Hill School of Performing Arts: Theacademy is designed to meet the needs ofstudents who show potential or who havedemonstrated skill and ability in an arts area.The academy offers a comprehensive collegepreparatory curriculum which provides qualityinstruction in all subject areas. The school is alsodesigned to fulfill secondary education andcollege entrance requirements.

F Academy of Michigan: The academy providesan academic program combined with vocationaltraining in the areas of medical, engineering,finance and computers. Graduating seniors willbe prepared for immediate job placement at atechnical level or continued post-secondaryeducation.

F Academy of Flint: The academy will preparestudents to be successful citizens, cooperativeworkers and profitable entrepreneurs as theydevelop their unique potential. Through thecollaborative efforts of parents, administrators,teachers and stakeholders, a learningenvironment will be provided that has aculturally diverse curriculum of educationalexcellence.

Edison Schools Inc.

The Evaluation Center is currently conducting anevaluation of Edison Schools Inc. This studyfocuses largely on a secondary analysis of studentachievement data, however the report also containsdescriptive information about the growth of thecompany and a descriptions of their school model.This report will be available in the autumn of 2000and will be posted on the web site of The EvaluationCenter.


Appendix C

MEAP Results by Grade, Subject and Year

Given the large amount of data contained in these tables, we have decided to make themavailable on-line after the release of this report. <www.wmich.edu/evalctr/ >

Evaluation of the Michigan Charter Schools The Evaluation Center, WMUD-1

Appendix D

Comparisons of Current Operating Expenditures andRevenues Between Charter Schools and Their Host DistrictsMiscellaneous questions and commentsregarding the expenditures and revenues ofcharter schools and traditional public schools:

1. The variance of the instructional expenditures asa percentage of current operating expenditures(COE) seems to indicate that charter schools spenda greater proportion of the funds are spent onsupport services (includes school administration,general administration, operations and maintenance,etc.) than do the public schools.

F Why? The public schools have historically run55-65 percent of COE in the instructionalareas. Instructional expenditures are thosethat have a direct link to instruction in theclassroom. They do not include the schooloffice or any support staff (counselors,librarians, social workers, etc.) They doinclude basic instruction (K-12) and addedneeds such as special education andcompensatory education.

F Where is it going? This may be where thecharter schools are recording the managementcompany fees.

F The chartering institution's fee, i.e., theauthorized state universities (charter feenormally 3 percent of total dollars) which aregenerally taken directly off the top before thefunds are given to the school.

2. Charter schools rarely provide transportation forstudents, while it mandated for traditional publicschools. This is a large expenditure for the publicschools that is not borne by the charter schools.

F In most cases one needs to add thetransportation and the debt serviceexpenditures of the public schools todetermine the cost of transportation as well asthe purchasing of buses. Most public schools

borrow from the general operating fund overfive years for bus purchases. There arerarely other expenditures in the general funddebt service for public schools.

F Charter schools are not able to raise long-termdebt millage to fund building costs, but theycan obtain bridge financing from financialinstitutions that can be converted toconventional debt. This should be recorded asrent/purchase fees, part of support services,which public schools do not have to do.

F To analyze the data, one needs to know themillage rates for debt service and the changesthat occurred in the public schools during thattime period. Many school districts have nothad millage campaigns recently; therefore, thegeneral operating funds cover the ongoingcosts for maintaining and expanding facilities.

3. Overall, the cost of educating elementarystudents is lower than for high school students inthe state. Charter schools are usually notincluding those more expensive high schooloperations, so their costs (for elementaryclassrooms) should be lower than the publicschools.

4. One needs to consider the kindergarten portion ofthe education. If the charter schools are runninghalf-day programs, they will get a full FTE foreach kindergartner, but can provide education totwice as many kids as in a first grade program.Some charter schools may have a full-dayprogram or perhaps a half-day program with achildcare component to attract. The publicschools may have fewer costs for a kindergartenprogram. The impact on the total costs of thepublic school is diluted by the fact that there aremany other grade configurations within the


school. (Example: split classrooms for first &second grade, multilevel instruction, etc.) Manypublic schools now have full-day kindergartenprograms to stay competitive.

5. The costs of employment are much higher in thepublic schools.F The public schools have a broader range of

staff with much experience. F The average salaries are substantially higher

in the public schools than in the charterschools.

F The charter schools may be operating withless experienced teachers (recent graduates--just out of college, base or starting salarycould be lower when compared with wagesfor experienced teachers). The public schoolsmay be able to hire better-prepared teachersdue to better wage and benefit packages.

F If charter schools do not increase teacherswages, they risk turnover since the betterteachers may attempt to move to better payingjobs in the public schools. Also the concept of“lead teacher” with “part-time” assistantsprovides lower costs (less experienced)compared with hiring full-time, qualifiedteachers. In some instances, wage packagesin charter schools are tied to bonuses at theend of each year.

6. The benefits paid by public schools must includeMichigan Public Schools Employee RetirementSystem (MPSERS) participation. There is nooption for schools to provide a less costlyretirement package. Charter schools do notparticipate in MPSERS and may offer packagesthat cost less.

7. Charter schools appear to be significantly lowerthan public schools in the added needs costs,which includes special education andcompensatory education, expenditure areas.

8. Are all students' needs being met? What ishappening to the special education students sincethey are more costly to educate?

F When special needs students are kept until thefourth Friday count day and services are notprovided (or students are labeled as disciplineproblems without proper consideration of thestudent's impairment), the parents are likely toreturn to the public schools. The publicschools have no choice but to accept thesestudents but, do not receive the state fundingfor them. This revenue stays with the charterschool, and the public schools must bear theresponsibility and expense of educating them.

F As we have seen in our analysis in Chapter 3,there is a substantially lower proportion ofstudents with special educational needs in thecharter schools than in the traditional publicschools. This may be due to overt or covertattempts to keep these high cost students outof the charter schools. It is noteworthy thattransportation is mandated only for specialeducation students. And many of the EMOrun charters do little or nothing in the way ofproviding transportation.

9. Where are the compensatory education costs?These high-risk students are usually identifiedthrough many means including the free andreduced lunch counts. If the charter schoolsdo not have a representative population offree and reduced lunch students it is possiblethat they have a lower population of studentswho will need additional (and costly) serviceswhen compared to the public schools.

10. Research shows that increased parentalinvolvement increases student achievement.

F If you argue that the parents choosing thecharter schools are those who are interestedand concerned about their children'seducation, it is reasonable to believe that theywill be more involved, check on homework,come to school programs, come to parentteacher conferences, etc.

F In this case it would seem reasonable toexpect that achievement gains should begreater in the charter schools than in thepublic schools. Is that happening? Somecharter schools require/mandate volunteer


parent participation. How are parents whodid not fulfill this need at a public schoolsuddenly fulfilling this requirement when it isrequired/mandated?

11. A final area of concern is that financialinformation/data are not provided on acons i s ten t bas i s by meaningfu lcategory/source, either by the charters or bythe state, making comparisons difficult.Reasons for this could be relative unfamiliaritywith reporting requirements, which isunacceptable, or the use of managementcompanies (as private entities) to circumventcertain requirements that public entities haveto comply with). If the data could be brokenout in detail and compared on an equal basis,it would make more sense. In the future wehope to see improvements in reporting/compliance with reporting requirements.

Appendix D-1. Comparison of Current Operating Expenditures and Revenues Between Charter Schools and Their Host Districts (1995/96 - 1998/99)

1995/96 1996/97 1997/98 1998/99 1995/96 1996/97 1997/98 1998/99 1995/96 1996/97 1997/98 1998/99 1995/96 1996/97 1997/98 1998/99

Amount Amount Amount Amount% of Total

COE% of Total

COE% of Total

COE% of Total

COE Amount Amount Amount Amount% of Total

COE% of Total

COE% of Total

COE% of Total

COEInstruction

Basic Programs 2,662 2,838 2,935 2,837 52.9% 51.6% 49.2% 48.7% 3,018 3,096 3,078 3,211 48.3% 48.8% 48.0% 48.0%Added Needs (includes Spec. and Comp. Ed) 205 207 176 216 4.1% 3.8% 3.0% 3.7% 788 843 895 912 12.6% 13.3% 14.0% 13.6%Other Programs - (1) 1 - 0.0% 0.0% 0.0% 0.0% 94 64 57 52 1.5% 1.0% 0.9% 0.8%

TOTAL INSTRUCTIONAL COSTS 2,867 3,044 3,112 3,053 57.0% 55.4% 52.2% 52.4% 3,900 4,003 4,030 4,175 62.4% 63.2% 62.9% 62.4%A A A A

Support ServicesInstructional Staff 154 157 184 226 3.1% 2.9% 3.1% 3.9% 642 614 634 645 10.3% 9.7% 9.9% 9.6%

D General Administration 1,518 1,565 1,858 1,698 30.2% 28.5% 31.2% 29.1% 772 788 796 876 12.3% 12.4% 12.4% 13.1%E Maintenance & Operations 439 658 732 798 8.7% 12.0% 12.3% 13.7% 693 667 682 714 11.1% 10.5% 10.6% 10.7%

Transportation - - 76 - 0.0% 0.0% 1.3% 0.0% - - 269 286 0.0% 0.0% 4.2% 4.3%Other - - - 56 0.0% 0.0% 0.0% 1.0% - - - - 0.0% 0.0% 0.0% 0.0%Unlocated 55 73 (1) - 1.1% 1.3% 0.0% 0.0% 247 266 - - 3.9% 4.2% 0.0% 0.0%

TOTAL SUPPORT SERVICES COSTS 2,166 2,453 2,849 2,778 43.0% 44.6% 47.8% 47.6% 2,354 2,335 2,381 2,521 37.6% 36.8% 37.1% 37.6%

TOTAL CURRENT OPERATING EXPENDITURES (COE)5,033 5,497 5,961 5,831 100.0% 100.0% 100.0% 100.0% 6,254 6,338 6,411 6,696 100.0% 100.0% 100.0% 100.0%

TOTAL General Fund Expenditures 5,561 6,228 6,477 6,334 6,460 6,530 6,604 6,935

Increase from COE to Total Expenditures 528 731 516 503 206 192 193 239 B B B B

SALARY INFORMATIONInstruction Salaries 1,839 1,917 1,470 1,269 36.5% 34.9% 24.7% 21.8% 3,699 3,786 3,800 3,925 59.1% 59.7% 59.3% 58.6%SS Salaries 627 630 587 476 12.5% 11.5% 9.8% 8.2% 1,788 1,775 1,801 1,878 28.6% 28.0% 28.1% 28.0%

TOTAL SALARIES 2,466 2,547 2,057 1,745 49.0% 46.3% 34.5% 29.9% 5,487 5,561 5,601 5,803 87.7% 87.7% 87.4% 86.7%

Average Teacher Salaries 22,992 21,370 17,095 15,174 C 48,382 47,278 47,954 48,076 Student Memberships 126 163 192 241 14,460 9,791 8,530 7,820 Pupil/Teacher Ratio 16.63 16.00 17.45 17.61 22.92 20.92 21.83 21.26

Total Revenue 6,385 6,647 6,688 6,403 6,674 6,807 7,105 7,181

A. The decreasing percent of instructional expenditures to total current operating expenditures is of concern. Will the trend continue? Where is the money going?

B. The large amount of expenditures outside of the COE may be related to capital outlay but it could also be payments to management companies for fees to use equipment.

C. Decreaseing avearage teacher salaires may indicate (1) that there may be considerable turnover of staff; (2) starting salaries could be lower due to inexperience; (3) base salary could be tied to management company profitability; or some variation of incentives ie. enrollment or performance based or some combination of variables.

D. Gen.Adm. Could be a catch -all category for Mgmt.Co expenses.

E. Mtnc. & Oper.could be lower due to services being funded by Mgmt.Co.

CHARTER SCHOOLS HOST SCHOOL DISTRICTS

Appendix D-2. Comparison of Current Operating Expenditures and Revenues Between Leona Group and National Heritage Academies (1995/96-1998/99)

1995/96 1996/97 1997/98 1998/99 1995/96 1996/97 1997/98 1998/99 1995/96 1996/97 1997/98 1998/99 1995/96 1996/97 1997/98 1998/99

Amount Amount Amount Amount% of Total

COE% of Total

COE% of Total

COE% of Total

COE Amount Amount Amount Amount

% of Total COE

% of Total COE

% of Total COE

% of Total COE

InstructionBasic Programs 3,474 3,066 2,628 2,464 56.8% 53.4% 44.8% 43.6% 1,624 1,946 2,704 2,359 30.1% 34.5% 43.4% 37.9%Added Needs (includes Spec. and Comp. Ed) 26 18 120 167 0.4% 0.3% 2.0% 3.0% 29 213 349 246 0.5% 3.8% 5.6% 4.0%Other Programs - - - - 0.0% 0.0% 0.0% 0.0% - - - - 0.0% 0.0% 0.0% 0.0%

TOTAL INSTRUCTIONAL COSTS 3,500 3,084 2,748 2,631 57.3% 53.7% 46.9% 46.6% A 1,653 2,159 3,053 2,605 30.7% 38.3% 49.0% 41.9%

Support Services Instructional Staff 49 34 54 288 0.8% 0.6% 0.9% 5.1% 17 58 66 80 0.3% 1.0% 1.1% 1.3%General Administration 1,640 1,688 1,814 1,659 26.8% 29.4% 30.9% 29.4% B 2,534 2,993 2,460 1,815 47.0% 53.0% 39.5% 29.2%Maintenance & Operations 701 816 1,129 982 11.5% 14.2% 19.2% 17.4% C 1,188 433 508 1,717 22.0% 7.7% 8.2% 27.6%Transportation - - 120 91 0.0% 0.0% 2.0% 1.6% - - 138 - 0.0% 0.0% 2.2% 0.0%Other - - - - 0.0% 0.0% 0.0% 0.0% - - - - 0.0% 0.0% 0.0% 0.0%Unlocated 221 122 - - 3.6% 2.1% 0.0% 0.0% 1 - - - 0.0% 0.0% 0.0% 0.0%

TOTAL SUPPORT SERVICES COSTS 2,611 2,660 3,117 3,020 42.7% 46.3% 53.1% 53.4% 3,740 3,484 3,172 3,612 69.3% 61.7% 51.0% 58.1%

TOTAL CURRENT OPERATING EXPENDITURES (COE)6,111 5,744 5,865 5,651 100.0% 100.0% 100.0% 100.0% 5,393 5,643 6,225 6,217 100.0% 100.0% 100.0% 100.0%

TOTAL General Fund Expenditures 6,972 6,921 6,477 6,006 5,392 5,651 6,282 6,217

Increase from COE to Total Expenditures 861 1,177 612 355 (1) 8 57 -

SALARY INFORMATIONInstruction Salaries 2,802 1,894 598 345 45.9% 33.0% 10.2% 6.1% D 1,423 1,762 2,209 2,155 26.4% 31.2% 35.5% 34.7%SS Salaries 533 761 250 233 8.7% 13.2% 4.3% 4.1% 735 620 529 574 13.6% 11.0% 8.5% 9.2%

TOTAL SALARIES 3,335 2,655 848 578 54.6% 46.2% 14.5% 10.2% 2,158 2,382 2,738 2,729 40.0% 42.2% 44.0% 43.9%

Average Teacher Salaries 38,400 21,196 6,706 4,330 D 29,665 31,728 30,446 29,901 Student Memberships 164 258 308 337 174 255 264 329 Pupil/Teacher Ratio 17.25 16.75 23.56 21.69 25.00 23.00 18.25 17.69

Total Revenue 6,521 7,052 6,081 6,705 5,474 5,742 6,339 6,264

LEONA GROUP NATIONAL HERITAGE ACADEMIES

Appendix E. Distribution of Students by Grade Level, by School Level, and by EMO

The number of charter schools is 132. In addition to these students, two schools reported a total of 171 students who fell into the category of Alternative Education/Adult Education (Ages 16+)

Enrollment by Grade Level, All Charter Schools in 1998-99

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

K 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th

Num

ber

of s

tude

nts

Enrollment by School Level, All Charter Schools in 1998-99

0

5,000

10,000

15,000

20,000

25,000

ElementaryK-5

Middle/Jr. HS6-8

High School9-12

Nu

mb

er

of

stu

de

nts

Ave. 3,600per grade

Ave. 2,182per grade

Ave. 1,129per grade

E - 1

Distribution of Students by Grade Level for Schools With or Without EMOs

Enrollment by Grade Level, Charter Schools With EMOs in 1998-99

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500


Num

ber

of s

tude

nts

Enrollment by Grade Level, Charter Schools Without EMOs in 1998-99

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500


Num

ber

of s

tude

nts

E-2

Distribution of students by Grade Level for Major Educational Management Organizations (1998-99)

National Heritage Academies (13 schools in 1998-99)

0

200

400

600

800


Num

ber

of s

tude

nts

Leona Group (13 schools in 1998-99)

0

200

400

600

800


Num

ber

of s

tude

nts

Helicon & Associates Inc. (6 schools in 1998-99)

0

200

400

600

800


Num

ber

of s

tude

nts

Edison Schools Inc. (3 schools in 1998-99)

0

200

400

600

800


Num

ber

of s

tude

nts Beacon Education Management Inc. (11 schools in 1998-

99)

0

200

400

600

800


Num

ber

of s

tude

nts

Charter School Administrative Services (6 schools in 98-99)

0

200

400

600

800


Num

ber

of s

tude

nts

Documents

Michigan Charter School Evaluationhomepages.wmich.edu/~miron/publics/michigan/Appendices.pdf · 2002-07-10 · Evaluation of the Michigan Charter Schools B-2 The Evaluation Center,