Three strikes

These 38 Michigan schools could be shut down for poor performance in June

PHOTO: Alan Petersime

The state of Michigan Friday put 38 struggling schools on notice.

After years of rock-bottom test scores and disappointing results, the schools were informed that they’re in serious danger of having to shut their doors forever in June.

“Because we want all kids to have a good life after high school, our office is responsible for taking action when schools have been chronically failing for several years,” state School Reform Officer Natasha Baker said in a statement.

A statement from Baker’s office said officials will use the next 30 to 45 days to “examine the geographic, academic, and enrollment capacity of other public school options for children attending one of the 38 failing schools.”

If the office determines that closing a school would be an “unreasonable hardship” to students because no better options are available, the office will let the school remain open and try to help school leaders turn things around.

The issue is expected to end up in court as school leaders across the state have vowed to fight closures.

The schools on the list are 16 Detroit public schools, one Detroit charter school and eight Detroit schools that are controlled by the Education Achievement Authority, a state-run recovery district that will revert back to the district’s control this summer.

The news comes as part of a new push by the state to crack down on schools that have produced years of disappointing results.

State lawmakers forced the issue last year when they passed a law requiring the state to shutter every school — district or charter — in the city of Detroit that has spent three or more years in the bottom five percent of the state’s annual school rankings.

Chalkbeat broke the news last summer that the state School Reform Office intended to apply the same standard to schools across the state, creating uncertainty for dozens of schools that were in the bottom five percent in 2014 and 2015.

School leaders were surprised to learn that school rankings from 2014 and 2015 would be used to apply serious consequences since the rankings are largely based on test scores and Michigan Department of Education had told schools it wouldn’t hold scores against them for the first years of the new M-STEP exam, which replaced the MEAP in 2015.

The School Reform Office, however, is no longer a part of the Department of Education. Gov. Rick Snyder took over the office in 2015 in an effort to increase pressure on low-performing schools.

Here’s a list of the Detroit Public Schools Community District schools that could be closing:

Ann Arbor Trail Magnet School
Bow Elementary-Middle School
Clark, J.E. Preparatory Academy
Detroit Collegiate Preparatory High School @ Northwestern
Detroit Institute of Technology at Cody
Durfee Elementary-Middle School
Fisher Magnet Upper Academy
Gompers Elementary-Middle School
Henderson Academy
Marquette Elementary-Middle School
Mason Elementary School
Osborn Academy of Mathematics
Osborn College Preparatory Academy
Osborn Evergreen Academy of Design and Alternative Energy
Sampson Academy
Thirkell Elementary School

Detroit Charter schools:

Michigan Technical Academy

Education Achievement Authority schools:

Burns Elementary-Middle School
Denby High School
Ford High School
Law Elementary School
Mary McLeod Bethune Elementary-Middle School
Mumford High School
Pershing High School
Southeastern High School

See the full list here.

Teachers stiffed

Detroit charter school teachers get tough news: Their school was in debt so they won’t get paid

PHOTO: Erin Einhorn
Matchbook Learning CEO Sajan George notified teachers at the now-closed Michigan Technical Academy that they won't get their summer paychecks.

Furious teachers at a recently shuttered Detroit charter school were notified Wednesday that they won’t be paid thousands of dollars they earned during the last school year.

Teachers at the Michigan Technical Academy had contracts that required the school to pay them through the summer for work they did during the school year. But the school’s management company, Matchbook Learning, alerted teachers in an email Wednesday that the money would instead go to pay off the school’s debts.

“Last Friday, Matchbook Learning became aware that the holders of MTA’s outstanding bond debt are refusing to allow use of funds for any summer payroll and instead, are requiring that any available funds be used toward payment of the bond debt,” Matchbook’s CEO Sajan George told teachers in the email. “We are disappointed and deeply saddened by this development because this means funds will not be there for July or August payroll.”

The school, which Chalkbeat wrote about last fall, closed its doors forever last month when Central Michigan University revoked the school’s charter citing academic and financial difficulties.

The school was one seven Detroit area charter schools that closed this year including five that had been overseen by Central Michigan.

Matchbook Learning, which had been running the school since 2015, had a contract with the school’s board that expired on June 30, George wrote in the email to teachers.

“Matchbook Learning never received and does not expect to receive any funds from the MTA Board, CMU or the bondholders to fund payment of any July or August payroll — meaning Matchbook Learning is not in a position to make payment to you,” George wrote. “Unfortunately, the closing of MTA has had a severe effect on everyone involved. We thank you for your time at MTA, sympathize and empathize with your position, and wish you the best in your future endeavors.”

George told Chalkbeat that his New Jersey-based school management organization, a non-profit, hasn’t been paid by the school’s board since February due to lack of funds. Matchbook is owed what he characterized as “a couple hundred thousand dollars.”

He said he knew Matchbook wouldn’t be paid for the last few months of the school year but that the organization stayed until the last day of class in June.

“If we left, the employees wouldn’t get paid and the school would shut down,” George said.

He said Matchbook asked the school board to approve payments that would enable the teachers to get paid in July and August. The board knew it would receive payments from the state in July and August and authorized a portion of that money to go toward paying teachers. But the bondholders are priority creditors, meaning they get paid first. The bondholders have refused to allow money to go to the teachers, George said. 

“Ultimately it wasn’t in our control,” he said.

The school borrowed about $16 million for building improvements when it first opened and only about $1 million had been paid off when the school closed last month, George said. Had the school stayed open, it would have continued to receive money from the state that could have been used to make payments on the debt. Without money coming in, the creditors moved to collect as much as they could. 

Angry teachers say they’re contacting lawyers in hopes of trying to collect what they’re owed.

“That’s money that we’ve all worked for,” said Maeve Rochon, a kindergarten teacher who said she’s owed around $5,000. “That’s for time we spent in those kids’ lives, doing our jobs. We all stuck it out to the end and now you’re telling us the money we worked for, we’re not going to get?”

Janelle Brzezinski, a spokeswoman for the Governor John Engler Center for Charter Schools at Central Michigan University, said there’s not much the university can do to help the teachers.

“Some creditors of Michigan Technical Academy have ordered an acceleration of payments due on Academy loans,” Brzezinski wrote in an e-mailed statement. “The acceleration of payments means that the Academy received no funds from the scheduled July 20, 2017 state school aid payment sent by the state of Michigan. The Academy board and the Center had been working with the Michigan Department of Education and Michigan Department of Treasury officials to ensure continued flow of state aid through July and August to allow the Academy to meet payroll and other outstanding obligations. Unfortunately, the decision of the creditors to accelerate payments under the Academy loans means that there will not be sufficient funds for the Academy to process the July 31, 2017 scheduled payroll and there may not be sufficient funds to meet the August payrolls.”

Brzezinski encouraged teachers to contact Matchbook or the Wage and Hour Division of the Michigan Department of Licensing and Regulatory Affairs.

home sweet home

‘Finally! Something useful’ or a dangerous mistake? Detroiters respond to city’s housing deal for teachers

PHOTO: Detroit Land Bank Authority
This home on Harvard Road was up for auction the week after Detroit announced a half-off-on-city-owned housing deal for teachers.

Friday’s announcement that all Detroit school employees — whether they work for district, charter, or parochial schools — will get a 50 percent discount on houses auctioned through the Detroit Land Bank Authority stirred a lot of discussion.

Some of our commenters on Facebook had high hopes for the deal:

But one commenter wondered if it’s the city of Detroit that’s actually getting the best deal, not the employees — or other people seeking to buy homes in the city:

And others argued that people who already live in Detroit won’t benefit from this deal:

Still, some readers appear to be ready to move — and have even picked homes to bid on (though not necessarily from the Land Bank Authority)!