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Indianapolis Public Schools will seek changes that allow it to charge Innovation Network charter schools more for services like transportation, food service, and facilities support, as the district confronts a budget crunch.
As part of this process, the district expects its Board of Commissioners will vote to provide notices of termination of existing contracts with these Innovation schools, which receive some services from IPS but operate independently when it comes to instruction and staffing.
However, IPS will not end or interrupt contracts with Innovation schools this school year, and it has not sent any notices of termination, the district said in a Friday statement to Chalkbeat. IPS said sending those notices would be “a necessary legal step to explore more fiscally responsible arrangements.”
The district said it wants to continue the Innovation partnerships, but at the actual cost of the services it provides. Currently, Indiana law caps what it can charge. The district said that it will seek changes to that law during the next legislative session, which starts in January.
The statement from IPS is another sign that the district is trying to exert more control over its future in the wake of political upheaval. Last month, IPS officials decided to leave a universal enrollment platform that has served district and charter schools, a move that the school board declined to reverse. The Indianapolis Public Education Corporation, a new oversight body with members appointed by the mayor that began meeting over the summer, has assumed control over certain aspects of how public schools are run in the city and diluted IPS’ power.
IPS has signaled for some time that it would reevaluate its contracts with Innovation schools Last month, the district told its teachers union that it would reconsider Innovation Network agreements before resorting to district-wide educator layoffs to trim $20 million from its budget.
The district noted in its Friday statement that under a new state law known as SEA 1, IPS is getting less property tax revenue, and that the district must also share that money with charter schools within its borders.
“Put simply, the pie is getting smaller and is being cut into many more pieces,” IPS said.
It’s not clear which Innovation Network schools would be affected by any such changes to contracts, or when the school board could vote on sending notices of those contract terminations. There are a total of 30 Innovation schools.
IPS said it has been meeting with Innovation Network partners about the new fiscal landscape, but did not specify which schools it has met with.
Some Innovation schools are charter schools, but not all. Each has an agreement with the district that specifies an end date and outlines what services the district provides.
At Monarca Academy, which is co-located at Northwest Middle School, IPS provides custodial and food services, as well as transportation, and will continue to do so as the school expands to include high school grades, according to a June district presentation about the agreement.
But at Global Prep’s new building, the school will manage its own facility, IT, custodial, and food services, while IPS will coordinate transportation at a cost to the school.
A list of IPS Innovation Network schools can be found here.
Aleksandra Appleton covers Indiana education policy and writes about K-12 schools across the state. Contact her at aappleton@chalkbeat.org.
