budget season

New budget gives CPS CEO Janice Jackson opportunity to play offense

PHOTO: Elaine Chen
Chicago Public Schools CEO Janice Jackson announced the district's $1 billion capital plan at Lázaro Cardenas Elementary School in Little Village.

Running Chicago’s schools might be the toughest tour of duty in town for a public sector CEO. There have been eight chiefs in a decade – to be fair, two were interims – who have wrangled with mounting debt, aging buildings, and high percentages of students who live in poverty.

Then there’ve been recurring scandals, corruption, and ethics violations. Since she was officially named to the top job in January, CEO Janice Jackson has had to clean up a series of her predecessors’ lapses, from a special education crisis that revealed families were counseled out of services to a sexual abuse investigation that spotlighted a decade of system failures at every level to protect students.

But with budget season underway, the former principal finally gets the chance to go on the offensive. The first operations budget of her tenure is a $5.98 billion plan that contains some good news for a change: 5 percent more money, courtesy of the state revamp of the school funding formula and a bump from local tax revenues. CPS plans to funnel $60 million more to schools than it did last school year, for a total of $3.1 billion. Put another way, it plans to spend $4,397 per student as a base rate — a 2 percent increase from the year prior.

CPS’ total budget comes out to $7.58 billion once you factor in long-term debt and an ambitious $1 billion capital plan that is the focus of a trio of public hearings Thursday night. When it comes to debt, the district owes $8.2 billion as of June 30, or nearly $3,000 per every Chicago resident.

“The district, without a doubt, is on firmer footing than it was 18 months ago, but they’re not out of woods yet,” said Bobby Otter, budget director for the Center for Tax and Budget Accountability. “When you look at the overall picture (the $7.58 budget), they’re still running a deficit. This is now the seventh year in a row they are running a deficit, and the amount of debt the district has, combined with the lack of reserves, leaves them with little flexibility.”

Earlier this week, standing in front of an audience of executives at a City Club of Chicago luncheon, Jackson acknowledged that it had been an “eventful” seven months and said she was ready to focus on strategies for moving the district forward. “I won’t be waiting for next shoe to drop or wasting time and resources waiting for next problem. I want to design a system to educate and protect children.”

“I’m not in crisis mode,” she added.

Here’s what that looks like in her first year when you just consider the numbers. The biggest line items of any operating budget are salaries, benefits and pensions: Taken all together, they consume 66 percent of CPS’ planned spending for the 2018-2019 school year. Rounding out much of the rest are contracts with vendors ($542.6 million, or 9 percent), such as the controversial janitorial deals with Aramark and SodexoMAGIC; charter expenditures ($749 million, or 13 percent); and spending on transportation, textbooks, equipment, and the like (12 percent).

A closer look at how some of those items are allocated offers a window into Jackson’s vision. The Board of Education is scheduled to vote on the plan July 25.

Investing in choice

Earlier this month, the district announced a nearly $1 billion capital plan, funded by bonds, that would support new schools, technology upgrades, and annexes at some of the district’s most popular campuses. The operating budget, meanwhile, accounts for the people and programs driving those projects. It proposes nearly doubling the staff, from 10 to 17, in the office that manages charters, contract programs, and the creation of new schools. It reestablishes a chief portfolio officer who reports directly to the CEO. And it adds expands access to International Baccalaureate programs and Early College STEM offerings. In a letter at the beginning of the 2019 Budget Book, Jackson said such expansions “move the district closer to our goal of having 50 percent of students earn at least one college or career credential before graduating high school.” 

Advocating for students

The budget seeds at least two new departments: a four-person Office of Equity charged with diversifying the teacher pipeline, among other roles, and a 20-person Title IX office that would investigate student abuse cases, including claims of student-on-student harassment.

Leaning into high schools

Fitting for a budget designed by a former high school principal – Jackson was running a high school before age 30 – the plan leans in to high schools, establishing $2 million to fund four new networks to oversee them. (That brings the total number of networks to 17; networks are mini-administrative departments that track school progress, assist with budgeting, and ensure policy and procedures are followed.) And it earmarks $75 million across three years for new science labs at neighborhood high schools. What’s more, it supports 10 additional career counselors to help campuses wrestle with a graduation mandate – set forth by Mayor Rahm Emanuel – that seniors have a post-secondary plan to graduate starting with the Class of 2020.

Throwing a lifeline to small schools

The budget also sets forth a $10 million “Small Schools Fund” to help schools with low enrollment retain teachers and offer after-school programs. It also earmarks an additional $5 million to help schools facing precipitous changes in enrollment, which can in turn lead to dramatic budget drops.   

Supporting modest staff increases

After a round of layoffs were announced in June, the budget plan adds at least 200 teachers. But the district would not provide a clear accounting of whom to Chalkbeat by publication time. Earlier this week, it announced plans to fund additional school social workers (160) and special education case managers (94).

The district plans to add positions for the upcoming 2018-2019 year.

As Chicago Teachers Union organizer and Cook County Commissioner candidate Brandon Johnson pointed out in an impromptu press conference earlier this week in front of district HQ, the budget is still “woefully short” on school psychologists, nurses, and counselors. And it doesn’t address the calls from parents to restore librarians and instructors in such subjects as art, music, physical education — positions that have experienced dramatic cuts since 2011. “What is proposed today still leaves us short of when (Mayor Emanuel) took office,” Johnson said. “The needs of our students must be met.”

Principal Elias Estrada, who oversees two North Side schools, Alcott Elementary and Alcott High School, said he was still figuring out how the additional staffing would work. He’s getting another social worker – but he oversees two campuses that sit three miles apart, so he figures he’ll have to divide the person’s time between campuses. Estrada asked the board at Monday’s budget hearing to help him understand the criteria it uses to determine which schools get extra staff or additional programs, like IB. “I need a counselor, a clerk, and an assistant principal,” he said; currently those positions also are shared between the elementary and the high school.

After the meeting, he said that schools might have gotten slightly bigger budgets this year, but the increase was consumed by rising salaries and he wasn’t able to add any positions. What’s more, his building needs repairs, but it didn’t get picked for any of the facilities upgrades in the $1 billion capital plan that accompanied the budget.

“What is the process?” he asked. “The need is everywhere.”

At two public hearings on Monday, fewer than a dozen speakers signed up to ask questions of the board, central office administrators, or Jackson.

To see if your school is getting one of the newly announced positions or any funding from the capital plan, type it in the search box below.

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Sayonara, SESIS: New York City to scrap its beleaguered special education data system

PHOTO: Patrick Wall/Chalkbeat

New York City is scrapping a special education data system that has frustrated educators since it launched nearly a decade ago.

The troubles of SESIS, as the city’s Special Education Student Information System is called, are well known. Since its launch in 2011, the system — which required over $130 million to build — cost the city tens of millions of dollars in settlements, at times malfunctioned more than 800,000 times a day, and made it difficult to track whether students with disabilities are getting the services they need.

Education department officials said they have been able to “stabilize” the system in recent years. But they also have concluded that an entirely different system is needed. On Friday, they announced that they would phase SESIS out and replace it with something new — at a cost and on a timeline that is not yet clear.

The announcement comes on the eve of a City Council hearing set for Monday where council members say they will press for more transparency about special education.

“It was originally designed as a document management system,” Lauren Siciliano, the education department’s Deputy Chief Operating Officer, said about SESIS. “Think more of a filing cabinet right now as opposed to being able to follow a student through the process.”

Special education teachers often spent hours navigating a maze of drop-down menus — inputting data such as whether they met with a student and for how long — only to experience error messages that erased their answers.

Megan Moskop, a former special education teacher at M.S. 324 in Washington Heights, said she once encountered 41 error messages in two hours. What’s more, she said, the system didn’t reflect the experiences she had with her students.

“At the end of the day, I would be expected to go in, mark that they are present, mark whether they made progress toward a goal,” Moskop said. “It’s very standardized.”

It is not yet clear how quickly the education department will phase SESIS out. Officials said the city would begin a multistage process of identifying a vendor to create a new system by the end of March, then would ask for more detailed plans by the end of 2019. An official purchasing process would happen after that, Siciliano said, meaning that construction of  a new system will not begin for well over a year. Families and educators would be consulted throughout, officials said.

Linda Chen, the department’s chief academic officer, said a new system would lead to tangible improvements for students with disabilities.

“I do think that if we have clear and reliable visibility into the data it would absolutely allow us to better serve our students,” Chen said.

Flaws with SESIS have made it difficult to know how well the city is serving students with disabilities. Because the system was not set up to communicate with other city databases, city officials have had to manually tabulate data across systems. And the annual reports that show whether students are receiving required services may not be accurate because of the system’s flaws, officials have warned.

The system’s glitches also made the user experience so cumbersome that teachers had to spend time on nights and weekends entering data. An arbitrator eventually ordered the city to pay over $38 million in teacher overtime.

Additionally, the system has sparked legal action. Former Public Advocate Letitia James filed a lawsuit claiming that SESIS was to blame for some children not receiving services as well as lost Medicaid payments. Between 2012 and 2015, according to the IBO, the city collected $373 million less in Medicaid reimbursements than officials projected.

Some advocates said that given SESIS’s troubled history, it makes sense to find alternatives.

“There has to be a strong data system in place,” said Maggie Moroff, a disability policy expert at Advocates for Children, a nonprofit advocacy organization. “We are eager to see a better system to be put in place, but are really worried about that transition period.”

Advocates have also pushed the city to make the data SESIS tracks directly available to parents.

“We will absolutely be looking at that,” Siciliano said.

next steps

Charter schools racing to find new buildings as district ends their leases

PHOTO: Koby Levin
Escuela Avancemos will move to a new building.

At least two Detroit charter schools are racing against the clock to find new buildings for more than 500 students next fall after the city district decided not to renew their leases.

It’s the latest move in an ongoing effort by the Detroit Public Schools Community District to get out of the charter business, and it means another bout of uncertainty for schools that enroll hundreds of children in Detroit.

Leaders of GEE-Edmonson Academy and GEE-White Academy face the daunting challenge of finding new buildings before the start of the next school year. Another school, Escuela Avancemos, already found a new building. More schools, including Rutherford Winans Academy, have leases that expire this year, but their representatives did not return requests for comment on whether their lease was renewed.

Most students at the two schools run by Global Educational Excellence (GEE) walk every day, Superintendent Michael Conran said. If a new building can’t be found in those neighborhoods, the school’s would face new transportation challenges, casting doubt on their ability to maintain their enrollment.

“We were clearly not anticipating that the leases would not be renewed,” Conran said. “That news came pretty late, I believe it was after the New Year. That’s quite a notification to the boards in such a short period of time.”

The challenges for these schools don’t end there. The district could also decline to renew their charters for the GEE schools when they expire in June, potentially forcing them to find new backers as well as new buildings.

More than one charter school has already jumped ship. Escuela Avancemos, a small school in southwest Detroit, will begin the coming year in a new building and with a new authorizer, Central Michigan University. Officials had begun searching for a new building even before they were notified last month that their lease would not be renewed.

“For the protection of our school, we’ve had to take matters into our own hands to guarantee our future,” said Sean Townsin, principal at Escuela Avancemos.

Superintendent Nikolai Vitti made clear soon after he took the helm of the district in 2017 that he believed the district’s resources should be channeled toward its own students, not toward charter schools.

He reiterated that position last year when the district severed its ties with a three-school network of charter schools, forcing it to scramble to find new buildings and a new charter. Parents were forced to choose between an extraordinarily long commute to the new site and making an unwanted switch to another school. Enrollment was cut in half.

Supporters of the move pointed out at the time that those schools had been district schools until they were spun off by state-appointed emergency managers. In a city with lots of school options and few quality schools, they argued, some consolidation is necessary.

Most charters in Detroit are overseen by Michigan’s public universities, but 10 schools are supervised by the Detroit district.

A handful of those schools also rent their school buildings from the district, putting them in a particularly vulnerable position should the district decide that it would rather not support charter schools — its chief competitors for students and state funding.

In a statement about those schools, Chrystal Wilson, a spokeswoman for the district, said the the charter schools could eventually be replaced with district schools.

“Now that we have the leadership to rebuild the district, we need to review and maximize our property assets. This means possibly re-using currently leased schools for new DPSCD schools, replacing older buildings with high repair costs, or adding a school in an area where facility usage and class sizes are high where another traditional public school does not exist. We understand and accept if district charters are leaving for other authorizers.”

No matter the district’s plans, Conran said the Global Educational Excellence schools would continue trying to serve students.

But he asked for transparency from the district and time to plan.

“I’m just simply waiting to hear from DPS any decisions they anticipate making in as timely a manner as we need to make sure we can continue to support these students and their families,” he said.