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State fights cuts to for-profit charters
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Federal funding to dozens of forprofit charter schools in Arizona will end July 1 unless the U.S. District Court in Phoenix intervenes.
The Arizona Board for Charter Schools filed a lawsuit Wednesday in federal court that challenges the determination of the U.S. Department of Education that for-profit charter schools cannot qualify as "public schools." Federal officials issued that decision March 18 following a preliminary audit in November 2003.
Arizona law defines all charter schools — for-profit and nonprofit — as public schools and requires them to provide services to lowincome and special-education children. Charter schools cannot charge tuition and must enroll all students in an equitable manner as any other public school.
Without federal funding to support mandatory programs for special-needs children, the lawsuit says for-profit charter schools would be unable to compete in Arizona with other public schools.
"The determination singles out for-profit charters as the only Arizona public schools excluded from federal funding," the lawsuit reads.
John Blair, chief operating officer for the Leona Group — a for-profit organization that operates 17 charter schools in Arizona — said his group is not yet at the panic level. But he said the issue is serious.
"We still have to provide the services, but we don’t get the money to do it," Blair said.
East Valley charter schools that would lose federal funding include El Dorado High and Bright Beginnings schools in Chandler, Desert Hills High School in Gilbert, Sun Valley High School in Mesa, Intelli-School in Ahwatukee Foothills, Tempe Accelerated High School and Apache Trail High School in Apache Junction.
Overall, Arizona has 52 forprofit charter schools that serve about 12,000 students. Most Arizona charter schools are nonprofit and are not affected by the dispute.
Federal auditors have not accused any for-profit charter school in Arizona of mishandling money.
"The bureaucracy in Washington is once again wasting limited resources to solve a problem that does not exist — and for which they have no authority — at the expense of Arizona’s children," said Kurt Davis, state charter school board president.
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