Indiana online schools

After years of failing grades, Hoosier Academy Virtual will close in June

PHOTO: Scott Elliott
Ball State University oversees all three Hoosier Academies schools.

The Hoosier Academy school board voted Tuesday night to not renew the charter of its full-time online school after months of scrutiny from the state, dropping enrollment, and poor academic performance.

Hoosier Academy Virtual Charter School will close after June 30. The board will continue to operate its two other schools, the hybrid Hoosier Academy-Indianapolis, where students learn online and in-person at a brick-and-mortar school, and Insight School of Indiana, which is geared toward students with more intensive needs.

John Marske, board chairman, told Chalkbeat in an email that the board did not think the school could meet the requirements to get its charter renewed. The school is authorized by Ball State University and operated by the for-profit K12 Inc.

“If we were to seek renewal, we would have had to submit a renewal application by October 1, 2017,” Marske said. He noted that “the Board has seen evidence of significant improvement at Hoosier Virtual,” but didn’t feel that academics were strong enough “to pass the rigors of a new charter application process.”

The school’s leader, Byron Ernest, also an Indiana State Board of Education member, did not immediately return requests for comment. Bob Marra, who directs charter school efforts at Ball State, said he was not immediately available to speak.

Marske said the board is now focused on alerting and addressing questions from the families of the 2,065 students enrolled in grades K-12 and its almost 100 teachers.

“Our intention is to give our families and teachers as many options as possible,” Marske said. “Meanwhile we are also focused on improving results of the Hoosier Hybrid school in Indianapolis, as well as the Hoosier Insight school.”

According to minutes from Hoosier Academy’s July board meeting (the most recent posted by the school), Hoosier Virtual saw a drop of about 800 students from its enrollment of 2,867 a year ago. The Insight School enrolled 593 as of July, and the hybrid school enrolled 199.

Hoosier Academy Virtual escaped closure in May when the Indiana State Board of Education voted to allow the school to remain open despite years of poor test scores and F grades. The board also decided not to allow them to enroll new students and reduced fees paid to Ball State to authorize the school.

This is the full text of the resolution the board passed last night at its monthly meeting:

 

HOOSIER ACADEMY, INC.

Resolution Regarding Charter Renewal – Virtual Charter School

Resolution No. 2017 – [ ]

WHEREAS, in 2016 Ball State University Office of Charter Schools (the “Sponsor”) reauthorized Hoosier Academy, Inc. (the “Corporation”) to operate the Hoosier Academy Virtual Charter School (“Virtual School”) for an additional two year charter term, and the Corporation and Sponsor entered into a Charter agreement (“Charter Agreement”) for a Charter term ending June 30, 2018; and

WHEREAS, pursuant to the Charter Agreement and the Sponsor policies, if the Charter has not been renewed and the Corporation wishes to renew the Charter, the Corporation must initiate the renewal process by filing a written request for renewal with the Executive Director of the Sponsor no later than October 1 in the last academic year before expiration of the then current term of the Charter; and

WHEREAS, the Board of Directors, with input from its educational management company, K12 Classroom, LLC, and the Head of Schools for the Hoosier Academy Virtual Charter School, has continued to implement various initiatives, programs and offerings for the Virtual School  to enhance the opportunity for student success and increase overall success rate of students as measured by State assessment protocols, but after careful consideration and assessment of school operations, educational results, and the interests of its students and the community served by the Virtual School, the Board deems it to not be in the interest of the Virtual School or its students or community served by the Virtual School to seek renewal of the Charter; and

WHEREAS, the Board believes it is very important at this time to focus continued improvement efforts on the Hoosier Academy Indianapolis School hybrid/blended program and the Insight School of Indiana both of which are operated by the Corporation, and the Board, in concert with its Sponsor, Ball State University Office of Charter School and its educational management company, K12, Classroom, LLC, will be working to further identify best practices and lessons learned from the success and challenges of the Virtual School over the past several years of its existence to develop new and improved opportunities for students in our network of schools.

IT IS THEREFORE RESOLVED that the Board of Directors hereby authorizes, confirms and approves the decision to not pursue renewal of the Charter for the Virtual School beyond the term ending June 30, 2018, and to not submit a request for renewal of the Charter to its Sponsor; and

IT IS RESOLVED FURTHER that the Board President and the Head of Schools, be and hereby are, authorized to coordinate and work with the Sponsor to ensure timely notification to parents and a smooth and orderly closure and transition for students and parents, in accordance with all applicable laws and as guided by and consistent with the School Closure Plan Implementation protocol adopted by the Sponsor, Ball State University Office of Charter Schools.

Indiana online schools

Indiana Virtual School has the lowest graduation rate of any public school in the state

PHOTO: Shaina Cavazos
Indiana Virtual School is located in the Parkwood office park at 96th St. and College Ave near the northern edge of Marion County.

For the second year in a row, Indiana Virtual School graduated a lower percentage of students than almost every other high school in the state.

In 2017, 6.5 percent of students graduated — 64 students out of 985. Of the schools the state provided data for, only a private school that caters to students with significant intellectual and behavioral disabilities posted lower numbers. Indiana Virtual’s rate is up slightly from 5.7 percent the year before.

It’s possible there are other schools with lower graduation rates, but the state does not release data for schools with fewer than 10 students in the graduating class to comply with federal privacy laws.

The graduation data, released this week by the Indiana Department of Education, comes months after a Chalkbeat Investigation found widespread low performance at Indiana Virtual School and questionable business and spending practices.

Special Report: As students signed up, online school hired barely any teachers — but founder’s company charged it millions

From 2016 to 2017, the school’s graduating class more than doubled. Last May, Indiana Virtual School enrolled nearly 4,700 students. Despite Indiana Virtual’s poor performance, it continues to bring in millions of dollars from the state. In September, it opened a second school. After shifting almost 3,000 of its students to the new Indiana Virtual Pathways Academy in the fall, Indiana Virtual had 3,376 students.

Indiana Virtual has received two failing grades from the state since it opened in 2011. Last year, 20 percent of sixth-, seventh-, and eighth-grade students and 8 percent of 10th-graders at Indiana Virtual passed the English and math state tests. Statewide, about half of students in grades K-8 and one-third of high school students passed both exams.

Thomas Burroughs, the school’s lawyer and former board member, defended the school’s performance to Chalkbeat in October, saying the school offers a last chance to students who would have no other way to graduate. The school’s superintendent, Percy Clark, also said many students at the school enroll after having been expelled elsewhere and start behind their peers.

Across the state, 87.2 percent of students graduated from high school in 2017. The rate is calculated by dividing the number of students in a high school cohort by the number of them who graduate as seniors after four years.

Every online charter school in Indiana graduated fewer students than the state as a whole, though some, such as Indiana Connections Academy and Hoosier Academy Indianapolis, a hybrid school with a traditional campus on the city’s east side, show marked improvement from last year. Insight School of Indiana has no data for 2016 because it had not yet opened.

School 2017 graduation rate 2016 graduation rate
Indiana Virtual School 6.50% 5.7%
Hoosier Academy Indianapolis 68.42% 53.3%
Insight School of Indiana 17.21%
Hoosier Academy Virtual 23.32% 22.7%
Indiana Connections Academy 49.48% 43.9%

Although Gov. Eric Holcomb has already committed to working with the state board to look into online charter schools, he has not specified what action they will take. Earlier this month, lawmakers also proposed laws to tighten up the state’s rules for charter school oversight, but this soon in the legislative session, it’s hard to say how far such proposals will get.

Learn more about Indiana Virtual School and online charters in the state here.

bills

Two Indiana Senate bills would tighten up rules for charter school oversight

PHOTO: Shaina Cavazos
Both of these bills are coming from lawmakers who are part of the Senate Education Committee.

Two Indiana senators — a Republican and a Democrat — are calling for the state to reform how charter schools are overseen.

Sen. Dennis Kruse, an Auburn Republican who chairs the Senate Education Committee, and Sen. Mark Stoops, a Bloomington Democrat also on the committee, have each proposed a bill to ensure charter school authorizers cannot open new schools or renew charters without evidence that students are learning.

The bills come two months after a Chalkbeat investigation revealed that while the small Daleville Community School District charged with overseeing Indiana Virtual School has appeared to follow state law, it isn’t necessarily meeting the needs of the school’s thousands of students.

Special Report: As students signed up, online school hired barely any teachers — but founder’s company charged it millions

The district was on track to earn at least $750,000 in fees last year overseeing Indiana Virtual, which over its six-year lifespan has earned two F-grades and, in 2016, managed to muster only single-digit graduation rates. The school continues to bring in millions of state dollars for its students, and in September, opened up a second school, also chartered by Daleville.

Kruse’s Senate Bill 350 says an authorizer cannot offer a contract, or charter, to an existing organizer unless its current students are achieving academically. Organizers are nonprofits that run charter schools. They’d have to provide evidence that could include test scores, attendance rates, graduation rates, increased numbers of students taking advanced classes or earning honors diplomas.

The bill would require the Indiana Department of Education to create rules by Nov. 1 to prevent charter school organizers from committing financial or enrollment “fraud, waste and abuse.” Schools would also have to submit an annual report that includes audits, the most recent enrollment count, and a list of employee salaries.

Currently, Indiana authorizers — which include universities, mayors, or school districts — can only be punished for their school’s bad academic performance, not other kinds of missteps. This bill would empower the state board to more closely scrutinize and take action regarding charter schools and authorizers.

If the department finds the school was in violation, the department would be required to tell the organizer and recommend that the state board do one of the following:

  • Require the school’s authorizer to revoke its charter,
  • Withhold funding from the school, or
  • Require the school to take action to remedy its problems.

Stoops’ Senate Bill 315 goes even further by placing more restrictions on authorizers that are school districts or universities. He said he wasn’t aware that Kruse was offering a bill on the same topic, but that he looks forward to talking with him about it. He’s worked unsuccessfully before to regulate authorizing, but new information about online charter schools has spurred him to address it again this year.

“Charter schools are a little out of control,” Stoops said. “They continue to take students even when they fail, and the whole issue of how authorizers get a cut of their funding, so there’s a lot of incentive for authorizers to create these new schools.”

The bill removes the 2015 grandfathering provision that let existing authorizers avoid screening by the Indiana State Board of Education before they were allowed to open charter schools. Under the bill, these authorizers must now be screened before they can renew existing charters or authorize new schools.

The bill does not change the fact that the state board does not screen school districts, such as Daleville, but instead requires them to register as authorizers, and they are automatically approved.

Stoops also included language in the bill that would give charter school authorizers stricter rules around what state grades are needed to open or renew schools. The bill says that an authorizer may not sponsor a charter school if that school’s organizer already runs a school in Indiana that has received a D or F grade for two consecutive years.

Read: In danger of closure, virtual charter surprises state board by transferring students to sister school

Like in the state’s voucher law, grades would be factored into whether charter schools can enroll new students under Stoops’ plan.

Starting July 1, a charter school that earns a D or F for two consecutive years cannot accept new students for one year. If the school earns a third D or F, the school may not accept new students until it earns a C-grade or better for two consecutive years. If a school earns an F grade for three consecutive years, it cannot enroll new students until it has received a C-grade or better for three consecutive years.

The bill also would eliminate the fees all authorizers can collect for overseeing schools starting in July. Now, authorizers can get up to 3 percent of a charter school’s state funding.

Although these provisions don’t apply to all authorizers, David Harris, executive director for The Mind Trust, said he worries aspects of both bills infringe on the autonomy that can also make charter schools successful. The Mind Trust works closely with Mayor Joe Hogsett’s office on supporting mayor-sponsored charter schools in Indianapolis.

“Specific rules written to restrict the decisions of authorizers will not transform bad authorizers into high-quality authorizers,” Harris said.

This early in the session, it’s hard to say how far such proposals will get. Committee chairs like Kruse tend to advance bills they author, but Stoops’ bill faces another hurdle: Democrats are in the vast minority in the General Assembly, and it’s the majority party that has the discretion to say what merits discussion. That said, Gov. Eric Holcomb, a Republican, has already committed to working with the state board to look into virtual schools.

Ultimately, Stoops said that the track records and poor performance of some charter schools and online schools speak for themselves, and he thinks it’s causing policymakers to take a second look at how to regulate them.

“How do they get away with it?” Stoops said. “I think that’s definitely worth dealing with.”