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Eli Broad describes close ties to Klein, Weingarten, Duncan

U.S. Secretary of Education Arne Duncan and the philanthropist Eli Broad at an inauguration party thrown by Broad. (Via Flickr)

U.S. Secretary of Education Arne Duncan and the philanthropist Eli Broad at an inauguration party thrown by Broad. (Via ##http://www.flickr.com/photos/34577258@N02/3215801647##Flickr##)

The education philanthropist Eli Broad is based in Los Angeles, but at an event this week in Manhattan he painted a vivid picture of the unique influence he’s exerted in the New York City schools.

Broad said that his foundation has given money to the two charter schools the union president here, Randi Weingarten, opened; has trained seven or eight of the top officials in Chancellor Joel Klein’s Department of Education; and was a player in Klein and Weingarten’s merit-based pay deal.

The remarks came at an event at the 92nd Street Y Monday, where the writer Matthew Bishop of the Economist interviewed Broad on a small stage. Broad said the close relationship began as soon as Klein took the job. “From the first day Joel took office, literally, we met with him,” he said. He is close with other education leaders, too.

In Washington, D.C., the Broad Foundation has met repeatedly with superintendent Michelle Rhee and is believed to be one of the groups that would fund Rhee’s plan to give teachers more money in exchange for giving up tenure rights. Broad said on Monday that several of his staff members are taking jobs in Arne Duncan’s U.S. Department of Education.

The relationships are part of the Broad Foundation’s aggressive education agenda, which includes opening many charter schools, adopting corporate models for school leadership, and changing the way teachers are compensated. Because they are not beholden to public opinion, philanthropies can be “far more aggressive” in their goals than most politicians, Broad said. “We don’t mind taking risks. We don’t mind being criticized, at times even being hung in effigy,” he said.

Broad said his foundation has taken a hit from the economic downturn, seeing its endowment drop in value by 25%. But he said he plans to continue in the business of education giving and offered a few indications of where he might redirect his spending now that his other pet issue, stem cell research, is being funded by the Obama administration. “I’m a big believer in mayoral control,” he said. Earlier, he’d explained his interest in the way school systems are run: “We don’t know anything about how to teach or reading curriculum or any of that. But what we do know about is management and governance.”

He said the continued giving will be important as nonprofit organizations see their capacity shrink. He cited the Harlem Children’s Zone and the Robin Hood Foundation as two organizations that relied heavily on hedge-fund donations and therefore have lost a substantial amount of money in the downturn.

Broad also cited results emerging from the Broad-funded Education Innovation Laboratory, run by the economist Roland Fryer, who previously served beneath Klein. He described the divide inside the Democratic Party and said that Fryer’s preliminary research supports the side he and Klein favor, whose belief he summarized as the idea that schools alone can help close the achievement gap. He said the other side of the debate argues that environmental factors affect the achievement gap as well.

He said his education ventures haven’t always been successful. His foundation backed ED in 08, the national campaign intended to raise make education an issue in last year’s elections. About ED in 08, Broad said simply, “We didn’t succeed.” He said that while candidates adopted pieces of the campaign’s platform, it failed to make inroads in the national consciousness. “It amazes me that the American people don’t get it,” he said. Later, while discussing ED in 08′s call for an extended school year, he said, “The public seems to like long summer vacations.”

“We’re often accused of having too much influence in education,” Broad said. “I’m not sure how you’d restrict that.” While foundations and nonprofits are barred by law from getting involved in politics, they might expand their reach by spinning off organizations with a different tax status that allows them to back political candidates and lobby for pieces of legislation, Broad said. He said the Klein-chaired Education Equality Project is considering doing just that.

  • Patrick Walsh

    Let me get this straight: we have reached the stage where our respect for democracy and for ourselves is so diminished that an unelected rich person with no experience in education can call the shots on how schools should be run and how our teachers should teach ? And such a man is not considered a dangerous demagogue but some kind of hero ? Have we entered into an episode of the Simpsons? What happened to us that we find this acceptable? And, by the way, isn’t the very corporate model this man is proposing we ruin our kids by the very system that has brought the globe to the precipice of ruin? Are we really so spiritually ill that we find it acceptable to treat our children as if they were stocks ?

  • Bill Schwartz

    That’s a little heavy, no?

    I don’t know much about Broad, but he addresses your first questions fairly directly:

    “We don’t know anything about how to teach or reading curriculum or any of that. But what we do know about is management and governance.”

    I don’t anyone is suggesting that we run the schools like any of the businesses that have plunged our financial system into crisis, but we’ve also seen a steady decline in standards and efficiency and we need to do something big to stop it. I think that’s what Broad appears to be saying (though I’m going to look more up on him).

    We’ve got 21st century problems, and we need solutions. If that means experimenting with public-private partnerships for our schools, like some states use for fixing their highways, for instance, or more accountability, then so be it, because the old system isn’t working anymore.

  • Pogue

    Wasn’t Eli Broad a forner director of AIG? How’d that go?

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  • Mary Porter

    I am a chemistry teacher at a low-income public school which has been horribly impacted by Broad’s interference.

    Although Broad admits he doesn’t know anything about how to teach, the business model he imposes on public schools demands that his “trained” administrators come into our classrooms and force us to follow “standards-driven” teaching practices, supposedly to raise test scores. My district can’t provide working heat, light, or running water for my under-equipped lab, but we pay hundreds of thousands to the consulting businesses he promotes. The real drive behind his manipulations is the marketing plan for the useless “services” and products provided (at public expense) by his for-profit entrepreneurial “partners.”

    Edubusiness entrepreneurs hide under a layer of fake non-profits set up by “philanthropists” like Broad and Gates. Broad brags he’s “not beholden to public opinion”, meaning that, because of his wealth and the political power it buys, he is not accountable to the public. Believe me, Broad won’t increase my pay at all. I get up at 5:30 every morning to dedicate my life, a day at a time, to teaching real chemistry. My students go to nursing schools, universities, state colleges and community colleges. When they enter the military, they do well enough on the ASVAB to qualify for specialist training. None of that is due to Broad’s business model, though, and I won’t promote his agenda. So my administrators have to decide that I’m not a leader.

    It breaks my heart to see Duncan playing along. You should have seen my students when Obama won the presidency. Their eyes were shining. I tell them they will be the ones to walk across the stage, go on to the life they are supposed to live, and bring prosperity, health, security and life itself to their struggling immigrant families. Instead, it turns out Duncan owns his own his own stock in the Emperors New Schools Venture Fund.

  • http://thefrustratedteacher.blogspot.com tft

    Bill, Patrick wasn’t harsh at all.

  • John de Beck

    I am an elected board member in a large urban district. I survived indirect attacks in my election from business based political Commitees funded by Gates, Broad and others who managed to keep their 501c3 status by using typical arms length techniques but managed active influence of their committees. Now I am opposed by many of the local union folks, who wer in the battle with the business interests and they (unions) now have taken control of the School Board. So we have gone from a business controlled board to a labor controlled board. I am proud to represent what I believe is and will be the solution for public education. That is a moderate middle ground that represents what the people want and what is good for children. School board wars that are currently raging in our country are symptomatic of this country’s political disintegration. I hope the people get the message that a victory of moderation is what will save America in both education and in its political survival.

  • http://ljohnson562@charter.net Linda Johnson

    I’d like to comment on Eli Broad’s disagreement with the belief that “environmental factors affect the achievement gap itself.” The word “environmental” implies such things as home and neighborhood. However, what many of us mean when we discuss factors outside of school, are the critical types of informal education that occur in the lives of children and adults. For example, a child who goes home to a mother who reads to him for an hour each day, is being “educated.” Another child who attends Summer Science Workshop at the Los Angeles Museum of Science and Technology is being educated. His educationally disadvantaged counterpart, sitting at home with a constantly playing TV, might not be learning much at all.

    Many people understand that there are drastic differences taking place in homes all over American but they think “We can’t do anything about it, so let’s concentrate on what we CAN do.” This might seem sensible but it is not true. Many countries provide social and home supports for their children and we can do it too. These supports come in the form of healthcare, infant and parent education, preschool and community centers that provide the kinds of enrichment that privileged children take for granted. We can do it! I admire Mr. Broad’s commitment to education but I wish he took a broader and bolder view on the subject.

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  • Taylor

    Charter schools siphon public money, yet do not accept the public fairly. They hold “lotteries” to decide whether they want to accept students. The lotteries screen out undesirable students (i.e. students with special needs, behavior problems). Charter schools are not held to the same accountability as public schools. Charters are supported by venture capitalists who wish to undermine social programs such as public education and destroy teachers’ unions. Charters are “thin contracts” that disenfranchise teachers’ rights, seniority, pension, and health care. They wish to run schools by the same failed capitalist principles that destroyed this country’s economy. The media perpetuates the myth that public schools are failing because nobody asks or is allowed to ask the media’s pundits by which standard they are using to determine failure. If you ask most people how they know public schools are failing they won’t be able to tell you. Those that try will spout ridiculous speculation that they parrot from the mainstream media which is owned by corporations. We have no independent media to supply the public with the information they need to make an educated decision about charter schools. All they hear is that there’s more choice involved. A Stanford University study that researched charter schools this year found they had little or no effect in raising test scores. The testing industry itself is a huge racket. It has a vested interest in perpetuating the myth that standardized tests produce effective measurement of academics. Eli Broad is nothing more than a rich old man who despite economic indicators insists his way is the best; an old man who has lost touch with a world he no longer understands.

  • Michael Fiorillo

    It’s revealing that Broad earned the first of his many fortunes building gated communities and subdivisions in white-flight suburbs of Southern California. Originally named Kaufman and Broad, the company is now known as KB homes, the stock of which is a major part of his foundation’s endowment.

    So, a fortune created by federally- subsidized housing inequalities is then channeled into a tax-exempt foundation that funds the dismantling of the public schools and creation of a separate-and unequal education system. It’s almost like a perpetual motion machine, as designed by Mephistopheles.

  • Mary Porter

    It gets worse, Mike. KB Homes ramped up to high gear during the bubble, and sold massively overpriced substandard homes to the working class families made eligible for loans by the Clinton Mortgage reforms (Cisneros went straight from the Clinton administration to KB homes).

    The other half of his fortune came from his AIG stock – yes, he made another killing on those same defective mortgages, as AIG bundled them into derivitives. He donated most of his AIG stock at its peak to his own privately-controlled education foundation, which dumped the stuff. By the time the crash came, he was out and we educators are trapped under his billions. He also rebuilt New Orleans for Bush – you know how that went.

    The housing stock is worse than underwater, now. He brought in cheap drywall from China for his developments, and the walls are now exuding toxic hydrogen sulfide gas which corrodes the wiring and poisons the occupants. The problem surfaced first in Florida, because of the heat and humidity. It’s hard to say how many houses are affected, because of course he lies to evade responsibility, but the number keeps going up.

    Now go back and read his insufferably arrogant quote, “We don’t know anything about how to teach or reading curriculum or any of that. But what we do know about is management and governance.”

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