ACSA Region 2

 

 

 
 

July 1, 2008

 


 
TO:       All Interested Parties


FR:       Laura Preston, ACSA Legislative Advocate


RE:       AB 2115 (Mullin) Charter schools: governing boards.

 
AB 2115 (Mullin) has been amended to apply public conflict of interest regulations and the Brown Act to all charter school boards.  You may recall that last year, ACSA and others opposed the CA Charter School Association's conflict of interest regulations put forth before the State Board of Education.  Their proposed language diminished the conflict of interest regulations for charter schools that all public school boards must comply with.  As a result, legislation has been introduced to require all charter school boards to comply with the same conflict of interest requirement that all entities that receive public funds must adhere to.
 
The Education Code states that charter schools are considered public schools in order to receive public funds.  Charter school officers and employees are also part of the public school system.  Because of these two facts, ACSA believes charter school officers and employees must comply with the same conflict of interest provisions of the Government Code and Education Code as any other public school officer or employee. 
 
There have been a number of charter schools that have been forced to close their doors due to fiscal mismanagement.  One of the most famous was uncovered by a 2005 Fiscal Crisis and Management and Assistance Team (FCMAT) investigation that found numerous conflict of interest violations on the part of the founder of the California Charter Academy.  The founder was charged with criminal conflict of interest violations.  But, because the law is unclear whether the conflict of interest violations and remedies applied, no charges were brought against the CA Charter Academy school board members.
 
The inability to bring conflict of interest charges against charter school board members who are complicit in the misuse of public funds was never the intent of granting flexibility to charter schools.  While charter schools are excluded from many of the provisions of the Education Code, conflict of interest regulations that govern public schools are part of the Government Code and Education Code and were never intended to be waived as they apply to public charter schools.
 
AB 2115 holds charter school boards accountable to the same conflict of interest requirements as those that govern all other public school boards.  The measure explicitly states that charter school boards must follow the conflict of interest requirements set forth in Government Code Section 87100 et seq. and Education Code Section 35107 et seq.  Requiring fiscal transparency to charter school boards will ensure those few individuals who abuse charter schools for their own financial gain will be held accountable. 
 
AB 2115 has passed the Assembly, two committees in the Senate and is now waiting to be heard on the Senate Floor.  As you can imagine, the charter school community is strongly opposed to AB 2115.  Please take a moment to draft a letter and/or call your own Senator to encourage their support for AB 2115.  Below is ACSA's letter of support for the bill.  Please feel free to use any part of my letter to help in drafting your own correspondence.  I encourage you to do this sooner than later since we are unsure when the bill will be heard.  Remember, all letters should be written to "your State Senator,"State Capitol, Sacramento, CA  95814.
 
Please feel free to contact me should you have any questions or need additional information.  AB 2115 is in an uphill battle for approval.  Your help in securing it's passage is critical at this time.  Thank you in advance for your help.

 

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June 30, 2008
 
The Honorable (Your State Senator)
California State Senate
State Capitol, Room 
Sacramento, CA  95814                              AB 2115: SUPPORT
 
Dear Senator:
 
On behalf of the Association of California School Administrators, ACSA, I am pleased to inform you of our support for AB 2115 (Mullin).  AB 2115 will be heard on the Senate Floor soon.
 
AB 2115 applies public conflict of interest regulations to all charter school boards.  Charter schools are considered public schools in order to receive public funds.  Charter school officers and employees are also part of the public school system.  Because of these two facts, charter school officers and employees must comply with the same provisions of the Government Code (Sections 1090 et seq. and 87100 et seq.) as any other public school officer or employee does.
 
In 2002, a school district sought advice from the Fair Political Practices Commission, FPPC, as to whether the Government Code sections apply to a charter school operated by a non-profit corporation.  The FPPC concluded that this school is a local government agency and the governing board members subject to the conflict of interest statutes.  In a 1998 opinion, the Attorney General of California clarified that, although a charter school operates independently of an existing school structure, it may not be formed as a legal entity separate from the school district that granted the charter.  This is true of non-profit corporations that govern a charter school; they are still public schools and are still reviewed by the entity that authorized its existence, the school district, county office of education, or the state.  The California Department of Education has reinforced this opinion and has stated that a charter school is considered a governmental agency and part of the public school system.
 
The Government Code sections apply to school districts, county offices of education and charter schools.  It does not make a distinction between charter schools operated by a school district, county office of education or a charter school operated by a non-profit corporation.
  
Currently, there are charter school boards that believe they are not covered by the Government Code and have attempted to legislate an alternative conflict of interest statute.  By creating a separate conflict of interest system for charter schools operated by non-profit corporations, a separate school system would be created which is unconstitutional.
 
AB 2115 will clarify that charter school boards are to be held accountable to the same conflict of interest requirements as those that govern other public school boards. 
 
Finally, ACSA does not believe there will be any cost to the state, school districts, county offices of education or charter schools in order to comply with the provisions of AB 2115.
 
On behalf of ACSA, I encourage your support of AB 2115 when it is heard on the Senate Floor.
 
Sincerely,

Laura Preston
ACSA Legislative Advocate
lpreston@acsa.org

(916) 329-3807

 

 

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