Funding & Finance

A66 backers try to sort out reasons for big defeat

Voter aversion to tax increases and mistrust of government doomed Amendment 66, supporters of the proposed tax increase said Tuesday night after the ballot measure went down to resounding defeat.

Sen. Mike Johnston, D-Denver
Sen. Mike Johnston, D-Denver

But supporters, from Gov. John Hickenlooper on down, promised that they’ll continue to work to improve school funding – although few concrete ideas about how to do that were on display at a subdued Yes on 66 “party” at the Marriott City Center.

“The individual voters we thought we had said they weren’t sure they could trust government,” said Democratic Sen. Mike Johnston of Denver, a prime backer of A66. “We caught people at a bad moment,” explaining that he felt the recent federal government shutdown and the failings of the federal health insurance website soured voters on another big government program.

Andrew Freedman, Colorado Commits to Kids campaign manager, said internal polling in recent days showed that external events such as the federal shutdown had eroded earlier support for A66.

A key Johnston ally, Democratic Sen. Rollie Heath of Boulder, said the recent devastating flooding also distracted voters. “It made it hard for people to focus,” he said.

Johnston also said the election results raise the question, “Have Colorado voters decided they don’t want to change their tax burden?”

With more than a million votes counted late Tuesday night, A66’s yes vote was only 34 percent, compared to 66 percent voting no.

The amendment was defeated in nine of the state’s 11 most populous counties: Adams, Arapahoe, Douglas, El Paso, Jefferson, Larimer, Mesa, Pueblo and Weld.

Even in two reliably Democratic counties, Boulder and Denver, the “yes” votes were clinging to leads of about 1 percentage point in late returns.

The defeat came despite a professional, $10 million campaign in favor of the amendment. A loose coalition of opponents spent less than $1 million. And the margin of defeat was about the same as that for Proposition 103 in 2011. That initiative proposed a much smaller, temporary tax increase to fund K-12 and higher education, and that campaign raised well under $1 million.

A66 proposed a permanent, two-step increase in state income tax rates that was expected to raise $950 million in the first year. That money was needed to fund the reforms contained in Senate Bill 13-213, a law that now remains on the shelf with A66’s defeat.

Gov. John Hickenlooper
Gov. John Hickenlooper

The mood was already somber as amendment supporters gathered in the hotel’s ballroom Tuesday evening, with many people anticipating the defeat. Interestingly, there were no monitors in the room showing results or TV news bulletins.

About an hour after the polls closed, a parade of speakers came to podium to thank campaigners for their hard work and to promise continued work on improving funding for Colorado schools.

Johnston said, “Democracy is not always easy, but it is always right. … The supporters and opponents of this measure both want the same things … great education, a strong economy and a healthy state. What we disagreed about was how to pay for it, and that was the narrow questions that were decided tonight. … We need to restart this conversation as a state.”

Gov. John Hickenlooper said, “Every great social victory is based on a number of failures. There are always setbacks before we get to that ultimate success. … We’ll keep working on this.”

Lt. Gov. Joe Garcia had the same sentiments, saying, “We need to come back, we need to continue to fight for kids. … We know that kids can live up to our expectations. … Our kids have every right to have high expectations for all of us.”

Freedman said, “Please take tonight not to mourn but to celebrate what we’ve all been through.”

While promising to keep working for better school funding, advocates had no answers Tuesday night about what that effort might look like, saying time is needed to figure out exactly why voters didn’t like A66 and to plot a way forward.

Asked if he would try to advance pieces of the SB 13-213 package in the 2014 legislature, Johnston said, “I can’t answer that yet.”

Sen. Rollie Heath, D-Boulder
Sen. Rollie Heath, D-Boulder / File photo

Heath, asked about the 2014 session, said, “I don’t see a lot of very monumental things happening.” He said there needs to be a focus on implementing existing education reforms, such as educator evaluations and the early literacy program. “If we can get all of that right I would be very happy.”

Chris Watney, head of the Colorado Children’s Campaign, echoed that, saying, “We need to regroup and focus on the things that already are in law.” The campaign two years ago started the studies and discussion that helped lead to SB 13-213 and A66.

“I think tonight was a decision about taxes,” not education reform, Watney said.  That point was echoed by Tony Salazar, executive director of the Colorado Education Association, who said “the anti-government sentiment was strong.”

A66 would have provided significant funding for implementation of reforms such as new academic standards and teacher evaluation, and Salazar said the defeat puts successful implementation of those programs “at risk.” But he added that “it’s too early to say” if delays might be needed in some of those initiatives.

Bruce Caughey, executive director of the Colorado Association of School Executives, probably spoke for many in the room when he said, “It does feel like a body blow. … We need to take a little time and regroup.”

Other education tax proposals

Voters in several individual school districts also were stingy Tuesday.

According to information compiled by the Colorado School Finance Project, returns showed bond issues or tax overrides failing in Commerce City, Canon City, Elizabeth, Westminster, Bennett, Cheyenne County, Estes Park, Fremont Re-3, Estes Park, Lake County, Lewis-Palmer, Meeker, Walsh, Wiley and East Grand.

An $80 million bond issue passed in Littleton. It didn’t require new taxes but continues and existing one. A Fort Morgan bond also was successful. And six small districts – Creede, Haxtun, Kim, Limon, Moffat 2 and South Conejos – trying to raise local matches for state Building Excellent Schools Today grants apparently also were successful.

Church and state

The backdoor voucher? How a Detroit school created to lift up a ‘Christ-centered culture’ found a way to get public dollars

PHOTO: Allie Gross
At the Cornerstone charter recruitment gathering, families scooped up documents from a table brandishing the phrase “Faith. Family. Culture.” — the private school’s trademark.

When prospective families arrived at Cornerstone Schools’ flagship campus on Nevada Street last month, they were greeted by a staff primed to woo and sell.

Folding chairs had been placed in the tidy front entrance of the northeast Detroit school, and one by one, administrators stood up to speak about the rich culture and strong curriculum that parents and children had come to know and love since the religious school opened in 1991.

“You know, when you come in the fall, we’re going to have a team of parents waiting for you to teach you how to do things because there’s a way to do things. Just like when you go to a church or join a new group,” said Candace Brockman, the primary school principal and soon to be K-8 leader, to the crowd of potential families.

In March, Cornerstone announced that starting next year, its flagship private Christian school would stop providing primary and middle school classes. Instead, a charter, employing the same staff and using the same curriculum, would take over. Families from the religious school would help new families get to know the new school, Brockman explained. The words “Centers of Hope” glimmered in gold typeface above her as she spoke.

“They are going to make sure you understand the history and how they do things and that’s how we’re going to do it here,” she said. “You are going to have to get with our program.”

The history of Cornerstone is clear: The network of schools was started in 1991 by local attorney Clark Durant in response to a speech given by the city’s then-archbishop Adam Maida to the Detroit Economic Club. But how the families Brockman was addressing would get with the program — at least as it exists today — is less straightforward. Although the schools’ genesis was Christ-driven, nearly three decades after its creation, four of Cornerstone’s five schools are charters, which by law cannot teach religion.

And starting next year, the program is even more ambiguous. The last standing private, pre-K through 12th-grade Christian school, the one Brockman was presenting at, will be undergoing its own conversion.

Pinpointing where the religious school ended and the charter school began was difficult. Parents sitting in the room may have wondered: Am I at a meeting with Cornerstone Nevada, the flagship, independent, religious school? Or am I listening to a talk about Cornerstone Jefferson-Douglass Academy, the soon-to-open public charter school? The two entities couldn’t help but brush against each other.

Following Brockman’s presentation, parents were invited to come forward and pick up enrollment information for the public charter school. Making their way to the front of the room, families scooped up documents from a table brandishing the private school’s slogan, “Faith. Family. Culture.” Children grabbed bookmarks that showcased the Cornerstone schools’ principles — love, joy, peace, forbearance, kindness, goodness, faithfulness, gentleness, and self-control. Although posters and murals dotting the hallways made clear that these values came from Galatians 5:22, Fruit of the Spirit — the Apostle Paul’s nine traits of a Christian — the information was noticeably absent from the giveaways.

PHOTO: Allie Gross
A hallway at the Cornerstone flagship campus showcasing the network’s guiding principles.

Cornerstone’s switch from private to charter raises thorny issues about the separation of church and state — and whether Michigan’s notoriously freewheeling charter sector is set up to safeguard it. It also highlights questions about privatization — whether the Cornerstone network is using its charter schools, and the public dollars they’ll bring in, to prop up their struggling religious school.

The network, and its portfolio of independent and publicly funded schools, offers an example of “the extreme difficulties private religious schools are going to confront if they are trying to become charter schools, and want in some way to maintain what they believe are their core values,” said Kary Moss of the American Civil Liberties Union, which lobbies to protect the First Amendment. “This is obviously a big problem in a state like Michigan where there is such a pro-charter movement and little regulation.”

U.S. law bars public schools from teaching religion. Voucher programs, which exist in 14 states and Washington, D.C., have blurred the boundaries by allowing parents to use public education funds to pay tuition at religious schools. But Michigan does not offer vouchers. Voters rejected the practice in 1970 and again in 2000 when now-Secretary of Education Betsy DeVos helped to underwrite the ballot proposal and poured upwards of $12 million into the campaign.

As a result, there are no options for religious schools in the state to get public funds for instruction. It also means that religious schools that struggle financially have little choice but to close.

But the state’s chaotic school choice landscape offers a not-so-obvious loophole: Schools can shop for an authorizer to reopen as a charter school, allowing them to receive public funds in exchange for accountability tied to student learning. The downside: They must drop their religious affiliation and practices, and open up to all students.

That could be a tall order for Cornerstone, a 26-year old school network steeped in religious rhetoric and created for the express purpose of “lifting up a Christ-centered culture.” Brockman, like much of the current staff, says on the school’s website that she “considers it a blessing to be able to educate children in a learning environment that places Jesus Christ first.”

The network has transitioned from private to charter before — in 2009 they converted two of their religious schools into charters, and they’ve since opened two more. And their authorizer, Grand Valley State University, has found no problems with the Cornerstone charters overstepping church-state lines. Yet conversations with the school’s founder, Durant, highlight the needle-thin line they straddle.

“We are a little not-for-profit trying to do the great prophet’s work if you will. God’s work. To help these children have fulfilling lives,” Durant said in an interview with Catholic News Network last summer. He later defined a fulfilling life as “following the things Jesus would teach and to love God and to love others.”

The comments give insight into the intricacies and strength of Cornerstone’s religious roots. But they also just toe the line, never fully compromising the school’s secular status.

A big part of this is due to the outward-facing work of the network to still draw distinctions between its private and religious schools. Like the other charters, Cornerstone Jefferson-Douglass Academy will move from the purview of the Cornerstone Schools Association, the organization running the private school endeavors, to the Cornerstone Education Group, a management company that leads the network’s charters.

For example, the four charter schools adopted a brand-new curriculum, and while the schools continued to use the private schools’ principles — love, joy, peace, forbearance, kindness, goodness, faithfulness, gentleness, and self-control — charter leaders do not place them in the context of the Bible or make them as much of a focus in the school day.

“What you have to do with your charter school is you say ‘OK, what are the attributes then of the character that make it possible for a person to at least begin to appreciate?’” Durant said in an interview with Chalkbeat. “So what is it? It’s love, peace, patience, kindness, gentleness, long-suffering, all these things which, in a fulfilling life, if you had those virtues, you’d be an amazing human being.”

Durant, who received a contribution and public endorsement from DeVos when he ran for the U.S. Senate as a Republican in 2012, said he wants “every company, every organization” to hire his graduates, knowing that “they would infect the culture in a good way in those places.”

Still, the four charter schools, which fell in the 9th, 14th, 19th and 20th percentile according to the latest state rankings, have not hit the same threshold of success that the Cornerstone private school boasts. The low achievement, which Durant calls unacceptable, spurred a recent restructuring of the charters’ management company. A new CEO and chief academic officer were hired. The network has also been re-visioning what a Cornerstone charter school will look like, with Jefferson-Douglass Academy as a forthcoming case study.

A hallway at the Cornerstone flagship campus.

 

Unlike the other Cornerstone charter schools, Jefferson-Douglass Academy will keep the same curriculum the private school is currently using. Additionally, a Christ-centered class will be offered after school by a third party. Finally, the time slot that previously was saved for chapel and a “Life and Teachings of Jesus” course will stay on the schedule but be replaced with intensive character development.

The school is also in the process of re-thinking how they can make sure influential texts, such as the Bible, are still, legally, underscoring lessons.

“I think of the things that we’ve talked about a number of times and I am certainly interested in, and that is how can we be more intentional about what the kids get exposed to,” Durant said, adding that texts like Martin Luther King’s I Have a Dream speech and Abraham Lincoln’s second inaugural speech are chock-full of religious allusions that require an understanding of the Bible to fully comprehend.

“If you begin to understand what King said — the references he’s making, why he’s referencing the 40th chapter in Isaiah, why he’s doing these other things — and you have kids go and read that stuff,” Durant said.

And while officials have been clear they understand the law and their First Amendment obligations, at a recent information session for religiously oriented Cornerstone Nevada parents, school officials emphasized that Cornerstone’s core principles and “culture” would go nowhere when the school transitions to a charter.

“We want to have as many of our kids that we can seeding the kindergarten each year,” said Ernestine Sanders, the CEO of the Cornerstone Schools Association, the private school network, explaining how the school’s current pre-K would remain private and Christian.

Current parents who expressed concerns about having students without the same background enter their children’s classes were reassured.

“Is the goal to put all the Cornerstone kids in one (class) and then everybody else in another?” a parent asked.

Sanders nodded. “That’s our goal,” she said.

Critics of allowing religious organizations to receive charters to run publicly funded schools say Cornerstone’s hybrid model is troubling. They note that even if the charter schools stay in their lane and don’t teach religion, public dollars will still be benefiting the private, religious institution.

The Nevada campus, which the private Cornerstone Schools Association owns, will be leased to the Jefferson-Douglass charter school for 13.5 percent of its yearly per-pupil funding — or an estimated $500,000. While Durant says the lease funds will be kept at an arms length from any religious programming done by the private Cornerstone Schools Association, it has been noted that the network’s only remaining religious school, the Nevada campus high school, plans to expand in the coming years.

These fuzzy lines are troubling to some.

“In the religious voucher setting, if you’re going to give vouchers to non-public schools you can trace the money and know what you’re getting,” said Peter Hammer, the director of the Damon Keith Center for Civil Rights at Wayne State University’s law school. “Here it’s like one of those bad science fiction movies where they take over the body.”

The authorizer that green-lighted Cornerstone’s most recent switch, Grand Rapids-based Grand Valley State University, has experience authorizing schools run by religiously oriented operators. In 1990, one of their schools, Vanguard Charter School Academy, was the subject of an ACLU legal challenge. Filed on behalf of five families with children at the school, the lawsuit charged that the campus allowed prayer in school, taught creationism, and held a mandatory staff retreat with religious overtones.

The suit was ultimately dismissed, after the school made some changes as a result of the lawsuit. But not before attracting national attention to the charter school, which was run by National Heritage Academies, a for-profit charter network founded by Michigan billionaire and DeVos friend J.C. Huizenga.

Now, Grand Valley State University, which authorizes over 65 charter schools across Michigan, says it plans to keep a close eye on the church-state issue. The group even plans to hire an outside consultant to make sure the school’s space is “free of inappropriate religious symbols,” said Alyson Murphy, the organization’s director of governance and compliance, in an email.

“We review the curriculum (I recently reviewed the Jefferson-Douglass curriculum with a fine-toothed comb) to ensure it is consistent with public school laws and we also have a school consultant who attends every board meeting,” Murphy wrote in an email. “We are working closely with the board’s legal counsel to make sure that all religious items are appropriately covered up/removed before students are in the building for class.”

Candace Brockman, the primary school principal and soon to be K-8 leader, speaks to the crowd of potential families.

Grand Valley officials appear to have their work cut out for them, far beyond the church-state issues.

Sanders told parents at the transition meeting that the school would likely not be able to serve students with all kinds of disabilities — something private schools can do but public schools cannot.

“If we figure that we can’t meet (a student’s) needs then we’ll have to say that, because sometimes kids come with some incredible challenges, and parents, we know that another school would be able to do that,” Sanders said, noting that the school’s principal was still doing interviews to assess potential students. “You know, like autism is an area where we would say we can’t do that, but there are schools in a public school that have to meet that need, but it’s not something we can do. So the more we know, the more we can say ‘You can come here.’”

Authorizers are responsible for ensuring that charter schools comply with federal anti-discrimination laws.

It will have to keep a close eye on the school’s academic performance, as the other charter schools in the Cornerstone network have struggled. One campus, Lincoln-King Academy, landed on the state’s priority list in 2014, and only recently came off of it. Today, it’s the highest ranked Cornerstone charter school, falling in the 20th percentile, but only after Sanders was hired to help bring up achievement and strengthen culture.

Finally, Grand Valley State University will have to make sure that the new school remains solvent — which could be a challenge if it fails to thrive in Detroit’s crowded charter landscape or if current parents grow alienated and leave.

Nicole Perry said she isn’t thinking about pulling her 10-year-old son Ayinde out of the school that will soon be known as Jefferson-Douglass. But she said she was dismayed to learn about the conversion, even though it will eliminate her tuition bill.

Perry, who is the current PTO president for the primary school, said she chose the school in 2012 because of its rigorous academics, small classes, and “Christ-centered learning environment.”

“I feel like with us becoming a charter school it’s like, ‘Oh, they’re like the other schools. When I used to say Cornerstone, it meant something different,” said Perry, who said she cried at the first meeting when she learned Cornerstone wouldn’t be a private school anymore.

Still, she will be there next year — one of the parents Brockman spoke of who will guide and welcome newcomers.

“No one likes change if it’s not what you want, but the way I see it we either have to get on board or get off in my mind,” she said. “My son has been here for six years, I know the lay of the land, I like the school. Let me take this new person and grab them and show them, why not help the situation rather than hurt it.”

money matters

Why so negative? Colorado lawmakers seek to rebrand controversial tool that limits spending on schools

A student works at Tollgate Elementary School in Aurora. (Photo by Nic Garcia/Chalkbeat)

Colorado lawmakers are tired of hearing about the “negative factor.”

So they changed its name — at least in statute.

Going forward, the tool that budget writers will use to spend down the state’s financial obligation to public schools to balance the state budget officially will go by its original name: the “budget stabilization factor.”

The change was made when lawmakers passed the state’s annual school funding bill earlier this month.

The negative factor “has been used as a pejorative,” said state Sen. Kevin Priola, the Henderson Republican who put forth the idea of the name change. “The budget is never perfect. But these are the economic realities we have to deal with.”

Some education funding advocates are rolling their eyes. The term, they say, has become so well known and accepted that any attempt to change it will be difficult.

“You can change the name, but the debt’s the same,” said Lisa Weil, executive director of Great Education Colorado, a nonprofit that advocates for more school funding.

The negative factor — oh, sorry, we mean the budget stabilization factor — is just one part of a much larger and complex formula used to determine school funding.

The budget tool was first created in 2009 when state lawmakers were forced to slash the budget after the Great Recession.

School advocates knew they couldn’t escape the cuts the rest of the state was facing. So a team of lawmakers, lobbyists, superintendents and financial officers helped developed the tool.

Here’s how it works: After lawmakers determine how much funding schools should receive based on a formula developed in 1994, they compare that amount to available tax revenue. The difference is that year’s “stabilization factor.”

At the time the tool was created, the group wanted the cuts to be systematic — applied equally across all schools — and transparent. As part of the compromise, the state was required to track how much money it was withholding from schools.

In 2014, funding advocates sued the state, claiming the negative factor was unconstitutional. But the state Supreme Court disagreed.

Since then, Republican lawmakers have become more critical about the provision that requires them to track how much money the state isn’t giving schools. They argue that other state services such as roads, hospitals and parks all share a burden when it comes to balancing the budget.

Lawmakers have withheld about $5.8 billion from schools since the budget balancing tool was created. However, funding has slowly crept up each year, just not as fast as school leaders would hope.