Fighting to fix

Detroit school board and superintendent: We can improve the local schools the state wants to close

PHOTO: Erin Einhorn
The new Detroit school board voted unanimously Wednesday to fight school closures in court.

Members of the new Detroit school board vowed Wednesday night to prevent state officials from shutting down low-performing schools — and to find another way to fix those schools.

“The school board is committed to improving our schools, not shutting them down,” board president Iris Taylor said in a prepared statement she read after the board voted unanimously to hire a law firm to battle state-mandated closures.

The state school reform office last month released a list of 38 schools across the state that will be shut down for low-performance unless the office decides that closing the schools would cause a hardship to students. The 38 schools include 16 in the Detroit Public Schools Community District and eight schools in the state-run Education Achievement Authority that will return to the main district next summer.

The board hired the Miller Canfield law firm, which produced a memo last summer that is expected to be the basis of the district’s legal fight with the state. The memo argues that because the Detroit Public Schools Community District is officially a new legal entity that replaced the Detroit Public Schools, it should be given a fresh start and not face consequences for decisions made under the old district.

Now, district officials have directed managers to create improvement plans for each of the schools in the next 10 days. “Our leadership teams are working around the clock” to create the plans, Interim Superintendent Alycia Meriweather said in a statement.

Here are the full statements from the school board and Meriweather.

DPSCD Board of Education Statement

For the first time in nearly a decade, the City of Detroit has a true school board, made up of educators, executives, and community leaders, empowered to make decisions that will improve our schools and lead to better educational outcomes for Detroit’s children.

Yet, just days into our term, the State School Reform Office (SRO) has listed 16 low performing DPSCD schools and eight EAA schools on a potential closure list, regardless of whether those children and families have a quality school in their neighborhood.  The SRO advised Detroit parents that if their child’s school is closed, they should consider sending their child to communities as far as Holly and East China to find a quality school.

Since 2009—when the state emergency managers took over Detroit schools—over 150 schools in Detroit have been shuttered.  These closures have imposed serious hardship on Detroit schoolchildren.  Study after study has indicated that when students are forced to switch schools unexpectedly, their academic performance suffers, their absenteeism rates increase, and the risk that they will drop out of high school skyrockets.  Yet the SRO is considering closing still more schools—inflicting new educational injuries on a population of students that has already suffered.

That is simply not right.  The DSCD school board is committed to improving our schools not shutting them down.

To that end, the board has directed DPSCD management to rapidly complete improvement plans for each of these schools.

We have spoken with Governor Snyder’s staff and he has committed that thoughtful analysis will be done before any schools are closed.

Meanwhile, we are authorizing DPSCD to take legal action when timely and appropriate to present why we believe these school closures cannot legally move forward.  We are hopeful that we can work with the state to avoid any action, however, we reserve the right to do so.

We look forward to presenting a plan for improvement to the SRO and the families of Detroit.

Statement from Interim Superintendent Alycia Meriweather

On behalf of myself, our families, teachers and our administrators I want to thank the Board of Education for their leadership. We stand with their decision to work to keep our schools open. We have no doubt that closing schools without providing high-quality options would be devastating to our families. It would mean undue hardships in transportation, safety and access to critically needed wrap around services.

We also understand that it is critically important that each of these 16 schools shows dramatic improvement. As I speak, our leadership teams are working around the clock to create data-driven improvement plans for each school. These plans will be presented within the 10 days. We are confident that each one of these neighborhood schools can be a high-quality option for our students.

Finally, I want to thank the community – Mayor Duggan, our legislators, pastors, residents and friends for your outpouring of support. We sense that you are behind us and that you are locking arms with us to help us create better outcomes for our students. Thank you.

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)!