Hedge Fund Managers Back Charter School Movement, Democrats' Campaigns
Several Wall Street billionaires who have invested heavily in the expansion of charter schools contributed over $200,000 to Democrats in the 2013-2014 election cycle, helping Gov. Dannel P. Malloy secure re-election.
The campaign contributors earned their fortunes as hedge fund managers and private equity investors before earning reputations as "education philanthropists." They have helped bankroll charter school movements across the country, spending to influence elections and to support advocacy monvements.
Gov. Malloy opened this year's legislative session with a budget proposal that included $4.6 million in funding to open two new privately-managed charter schools in the state, and an additional $17 million for new charter school seats over the next two years. Funding for local school districts would have remained flat.
The charter school funding became a sticking point in budget negotiations this year after a state legislative committee voted down the governor's proposal, and remained a point of contention as talks reached the final days. As of Friday night, a budget deal still had not been announced.
On the campaign trail last fall, Malloy was relatively quiet on the issue of charter school expansion, while Republican challenger candidate Tom Foley ran on a platform of increased school choice. But a review by The Courant of spending records show that charter school donors still chose to support Malloy.
The campaign contributions last cycle came from board members at and top donors to pro-charter school groups like Connecticut Coalition for Achievement Now (ConnCAN), Achievement First, Families for Excellent Schools, and others that have spent nearly Wall Street Billionaires Backing Charter Schools, Malloy - Hartford Courant:
(PDF) and
