A new report by the Network for Public Education (NPE) explains why charter schools are often nonprofit in name only when they are associated with a for-profit management group.
NPE's report, titled "Chartered for Profit: The Hidden World of Charter Schools Operated for Financial Gain," reveals that many charter schools have contracts with for-profit management groups, commonly called education management organizations (EMOs), which use the nonprofit status of charter schools to hide their business dealings. (Charter schools are defined as nonprofit entities in all states except Arizona.)
The Network for Public Education—an organization co-founded by education historian Diane Ravitch that advocates for public schools—states in the report that between September 2020 and February 2021, NPE identified more than 1,000 charter schools contracted with for-profit EMOs, including "directing schools to their related real estate and service corporations" more often than not.
Charters Run for Profit
The NPE report covers an astonishing range of enterprises that make up the for-profit charter school industry, and their array of profit-yielding business methods.
When Florida couple Dwight and Connie Cenac were losing too many students from the Christian private school they ran, they converted the school to a charter, made their for-profit management company the school's operator, and made their real estate firm the CONTINUE READING: The for-profit charter school industry is completely out of control - Alternet.org
