Tagged: Muskegon heights school district

Muskegon Heights students are heading back to class today to begin the second half of what’s been a very turbulent school year.

This story is the first in a four-part series about how things are going so far in Michigan's first fully privatized public school district. Find part two here, part three here, and part four here.  

Old district “implodes” after years-long financial problems

The school board in Muskegon Heights battled a budget deficit for at least six years in a row. They gave up the fight a year ago and asked the state to just take over. 

“The system that was in place imploded,” said Don Weatherspoon, the guy the state eventually sent in late April to be the emergency manager.

"Enrollment went down, costs went up, they borrowed more than they could pay back; you’re on a collision course with disaster and that’s what happened," Weatherspoon explained. Student enrollment is a big factor in how much money a school district receives from the state.

“Everything that you can think of basically broke down. Discipline, learning, record-keeping, financial accounting, etc,” Weatherspoon said.

By May, Weatherspoon discovered the district is more than $16 million dollars in debt; so much debt it couldn’t afford to open school in the fall.

Over the summer Muskegon Heights schools’ then emergency manager laid off everybody who worked at the district and hired Mosaica Education to run operations for 5 years.

Muskegon Heights has some of the lowest performing schools in Michigan and is dealing with a multi-million dollar deficit. The state appointed manager says he had no other option but to privatize operations.

Three months in, one in four (20 of 80 total) of the newly hired teachers has quit.

“It’s confusing because I go from this learning process to this learning process to that learning process and it’s just ridiculous how some teachers leave and we have to start all over and learn something new,” Muskegon Heights High School senior Tony Harris said, “It’s just, it’s crazy.”

The emergency financial manager of Muskegon Heights Public Schools is asking voters to renew an operating millage for the next 16 years.

“The outcome of this millage will change the future of Muskegon Heights forever,” says a letter the school district’s emergency financial manager Don Weatherspoon sent home to parents this week.

Weatherspoon privatized the school district so he could focus on paying off its $16 million debt. That debt is mostly owed to the State of Michigan.

The first two weeks of class have presented some obstacles for Michigan’s first fully privatized public school district.

Muskegon Heights schools' emergency financial manager hired Mosaica Education, a charter school company, in July to run the K-12 system while he focuses on paying off the district’s debt. Highland Park schools’ EFM took the same option later that month.

Alena Zachery-Ross is the top administrator at the new Muskegon Height Public School Academy System. She’s very positive, but admits the first two weeks didn’t go “as smoothly” as she expected.

“There are all these things that you don’t think of. There are small details that we want to ensure are taken care of immediately but they take time,” Zachery-Ross said. She says these 'day-to-day' details are important but she must stick to a priority list.

The recession has made it harder for local governments and school districts to balance their budgets. This summer the governor signed a new law creating a board that will help those hardest hit cope with short term cash flow problems.

Earlier this month the emergency financial managers of both Muskegon Heights Public Schools and Highland Park schools got emergency loans to pay off other state loans. MHPS borrowed $7.65 million while Highland Park schools borrowed $4.4 million.

“It’s not a handout; it’s a loan in order to help get people on their feet, in order to make the changes that are necessary going forward,” said Caleb Buhs, a spokesman for Michigan’s Department of Treasury. The school districts have 30 years to pay the state back.

Highland Park Public Schools contracted the Leona Group to run its charter system next year.

A press release issued by the school system's Emergency Manager, Joyce Parker, said that she met with the newly appointed board of education today who approved the Leona Group, LLC contract as charter operator unanimously.

From the release: