From the good folks at Network for Public Education:
Fifteen percent of all charter schools–schools that educate about 1 in 5 charter school students–are run by for-profit corporations.
The Network for Public Education’s new report, Chartered For Profit: The Hidden World of Charter Schools Operated for Financial Gain, pulls back the veil on tactics and practices designed to reap as many public dollars as possible from charter schools while hiding behind laws designed to keep profit-making hidden from the public’s eyes.
This report exposes how both large and small for-profit companies evade state laws that make for-profit charter schools illegal by using related entities and a nonprofit front. We explain and provide examples of how for-profit owners maximize their revenue through self-dealing, excessive fees, real estate transactions, and under-serving students who need the most expensive services.
Although this report focuses on for-profit management corporations, many nonprofit management organizations use the same strategies as well.