RAVITCH: Florida Charter Schools Reap huge profits from Real Estate Scam
Even when charter schools are set up as non-profits or with a modest profit margin, the companies running them rake in the big bucks by having other divisions of their companies buy the land for the schools then RENT it to the district.
Something similar is going on with school closures: the land is coveted by developers, who might buy it for a song from corrupt public officials then rent it back to the district for a charter school or simply use it for other purposes.
And which do you think is cheaper, running a school on land that was bought decades ago and probably owned free and clear, or paying RENT on something you used to own free and clear?
Should our tax dollars being going to these Wall Street grifters to run Enron-like scams with our kids education?
Should politicians who set up deals like this be allowed anywhere near public office?
When will Democratic Party voters get rid of Democratic politicians who are bribed to set up these scams and replace them with true progressives?
If Democrats don't clean house soon, they will so soil their brand with this sociopathic corporate behavior that even if they do so later, the public still wouldn't be able to trust them.
And saying that the Republicans would do the same or worse is no defense.
That's like a wife beater telling his wife she should be grateful he only uses his fist since the guy she didn't marry would beat her with a belt.
Eventually, she will find a way to live without any beating at all.
"Charter Schools USA (CUSA) has been operating charter schools in Florida for 20 years, including recently-opened schools in Hillsborough County: Woodmont Charter, Winthrop Charter, and Henderson Hammock Charter. Although charter schools sometimes struggle financially at first, CUSA eventually collects a 5% management fee from each to provide administration and guidance.
"But 10 Investigates found a much bigger pot of money CUSA has been able to tap into: rent. When the company helps open a new school, its development arm, Red Apple Development, acquires land and constructs a school. Then, CUSA charges the school high rent.
"For example, Winthrop Charter in Riverview may struggle to balance its budget this year thanks to a $2 million rent payment to CUSA/Red Apple Development. The payment will equate to approximately 23% of its budget, even though CUSA CEO Jon Hage has been quoted as saying charter school rent should not exceed 20%.
http://wp.me/p2odLa-8vz
= new reply since forum marked as read
