Category Archives: Studies/Reports/Audits

Regular Public School Teachers Miss More School Than Charter Teachers, Study Finds

Source: Liana Loewus, Education Week, September 20, 2017

Teachers in traditional public schools are much more likely than teachers in charter schools to miss more than 10 days of work, according to a new report from a right-leaning think tank. About 28 percent of teachers in traditional public schools are “chronically absent,” defined in the report as taking more than 10 days of personal or sick leave. In charter schools, just 10 percent of teachers take that much leave, the analysis found. … However, Lily Eskelsen García, the president of the National Education Association, said in a statement that “Fordham is using corrupted assertions to draw misguided conclusions.” … Kate Walsh, the president of the National Council on Teacher Quality, a research and advocacy group that has also studied teacher absences, said the most salient difference between the two types of schools is not collective bargaining. Charters are generally autonomous, and not beholden to a larger bureaucracy—the teachers there may have trouble slipping under the radar, Walsh argued. …

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Labor Unions, Civil Rights, Progressive Groups Unite To Oppose ATC Privatization

Source: Aero News Network, September 13, 2017
 
The Professional Aviation Safety Specialists (PASS), AFL-CIO, along with 36 other unions, civil rights groups and progressive associations representing thousands of employees across the country, united to send a strongly-worded letter to lawmakers on Capitol Hill late last week opposing any efforts to privatize the U.S. air traffic control system. In addition to PASS, the letter was signed by the NAACP, the American Federation of Government Employees (AFGE), American Federation of State, County & Municipal Employees (AFSCME), American Federation of Teachers (AFT), Service Employees International Union (SEIU), United Steelworkers (USW), the Leadership Conference on Civil and Human Rights and many more. …

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Trump’s Dire Air-Traffic Claim Contradicted by Government Report
Source: Alan Levin, Bloomberg, September 7, 2017

Efforts to upgrade the U.S. air-traffic system are on budget and steadily improving flight efficiency, a government watchdog found, contradicting assertions by President Donald Trump and airline executives. Just as the House is set to debate a bill that would separate the air-traffic system from the Federal Aviation Administration, a Government Accountability Office report requested by lawmakers shows that the existing system is performing well, undercutting one of the chief arguments by proponents of the change. …

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Unions representing air traffic controllers, flight attendants support House bill to reauthorize FAA
Source: Kim Riley, Transportation Today, August 29, 2017
 
Two of Capitol Hill’s prominent aviation-related labor unions have found more than one thing to support in the House proposal that aims to reauthorize the Federal Aviation Administration (FAA).  Specifically, one of the main thrusts of the 21st Century AIRR (Aviation Innovation, Reform, and Reauthorization) Act, H.R. 2997, would be to transfer air traffic control (ATC) operations currently overseen by the FAA into a private, separate, not-for-profit corporation. The bill also would reauthorize FAA funding and other programs. …

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Disabled Iowans could be exempted from private Medicaid management

Source: Tony Leys, Des Moines Register, September 13, 2017
 
Iowa might resume direct oversight of care for people with serious disabilities instead of having private Medicaid-management companies continue doing it, the state’s human-services director said Wednesday.  Many of the most serious complaints about Iowa’s privatized Medicaid system have come from disabled Iowans and their families. Numerous families have reported having their services cut and their hassles multiplied by the management companies. Their plight has sparked a federal lawsuit against the state.  “We are examining patients that may not be the right mix” for managed care-companies to oversee, Department of Human Services Director Jerry Foxhoven told an advisory council for his agency Wednesday. …

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As complaints pile up, lawmakers overseeing Medicaid privatization haven’t met this year
Source: Jason Clayworth, Des Moines Register, August 20, 2017

A legislative committee tasked with oversight of the for-profit companies that manage Iowa’s Medicaid system hasn’t met this year, undercutting the state’s contention that the companies are being held accountable, critics say. The Legislature’s Health Policy Oversight Committee was tasked in 2015 with evaluating the state’s privatization of its Medicaid system, specifically to ensure the effective administration of the program, which provides health care to 568,000 poor or elderly Iowans. But despite a record number of complaints and a federal lawsuit alleging Medicaid services are being illegally or improperly cut, the 10-member legislative committee has yet to convene in 2017. …

Hundreds of millions of taxpayer dollars on the table in closed-door Medicaid haggling
Source: Tony Leys, Des Moines Register, July 3, 2017

The three companies running Iowa’s $4 billion Medicaid program contend they need millions more dollars from taxpayers, starting this month — but there’s been no public hint of how much more money the state will have to fork over. Iowa hired the companies last year to manage the state’s Medicaid program, which covers health care for about 600,000 poor or disabled residents. The shift has been intensely controversial, with critics complaining it has led to tangles of red tape for care providers and cuts in services for Medicaid recipients. Supporters, including Gov. Kim Reynolds, say the new system is saving money for the state by leading to more efficient, effective care. …

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Governing garbage: Advancing urban sustainability in the context of private service delivery

Source: Jacqueline Peterson and Sara Hughes, Cities, October 2017

Abstract:

City governments across North America are increasingly pursuing sustainability aims through novel policies and practices. Such efforts frequently involve changes to municipal services that are provided by the private sector. However, the implications of private service delivery for public sustainability aims are not well understood. We use the experience of Minnesota’s Twin Cities metropolitan area with organic waste recycling to examine how different types of public-private relationships in service delivery shape the ability of municipalities to pursue sustainability through organic waste recycling programs. We find that municipalities with contractual relationships with waste haulers – “organized” systems – have greater success in introducing organic waste recycling than municipalities with licensing relationships with waste haulers – “open” systems. These findings point to the importance of institutional variation in public-private relationships to the success of urban sustainability initiatives and the ability of decision makers to affect change.

Does Outsourcing Some State Jobs Save TN Taxpayers Money?

Source: Local Memphis, August 31, 2017
 
Many Tennessee lawmakers hope to see if outsourcing some state jobs actually saves taxpayers money. It’s been a controversial topic since Governor Bill Haslam began implementing the idea a few years ago.  Questions about outsourcing are always the same. Does it save money and is there accountability?  “There’s… people concerned about state jobs all over Tennessee,” said one protester.  Many state lawmakers have heard and seen the protests about the ongoing outsourcing of state jobs. That’s why a majority of legislators from both parties signed a letter of concern earlier this year to Governor Haslam. The Governor has defended outsourcing state jobs in some areas, especially on state college campuses. …

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UT campus workers protest Gov. Haslam’s outsourcing plan
Source: WBIR, August 28, 2017

University of Tennessee Knoxville staff, faculty and students joined local business leaders, state representatives and faith leaders in a demonstration Monday to call on university officials to “opt-out” of Gov. Bill Haslam’s outsourcing plan. The demonstration was organized by United Campus Workers. Last week, a bill to introduce oversight in outsourcing was heard in summer study in the General Assembly. If the university were to “opt-in”, United Campus Workers believe as many as 10,000 facilities jobs, including hundreds in Knoxville, would be outsourced. Those who oppose the plan fear it will result in job loss, loss of oversight and accountability, reduced services and negative consequences for local businesses which provide services to campuses. …

Outsourcing is not working and it hurts working Tennesseans
Source: Dwayne Thompson, Tennessean, August 10, 2017
 
Since August 2015, Gov. Bill Haslam’s administration has pushed a radical experiment in outsourcing that would turn thousands of state facilities workers jobs, millions of square feet of Tennesseans’ real estate, and hundreds of millions of taxpayer dollars to the multinational giant JLL.   There has been widespread opposition to the outsourcing plan. Facilities services workers, faculty, and staff have significant concerns that outsourcing will compromise the quality of services on which effective teaching, research and service rely.  Students have spoken up about fears for safety if a revolving workforce replaces the workers they know and trust. …

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KDADS Secretary makes pitch to privatize Osawatomie

Source: Melissa Brunner, WIBW, August 30, 2017
 
The Kansas Dept. for Aging and Disability services is making the case to privatize the Osawatomie State Hospital.   Secretary Tim Keck presented information Wednesday to state lawmakers and community leaders. Over nearly two hours, Keck detailed the history Osawatomie, the issues it has experienced in recent years and steps the state has taken to address the problems.  Looking to the future, Keck detailed a bid from Correct Care Recovery Solutions to rebuild and run Osawatomie, which lost federal certification in 2015. Correct Care runs mental health facilities around the country. …

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State officials hope to replace, privatize Osawatomie State Hospital
Source: Peter Hancock, Lawrence Journal-World, August 30, 2017

State officials in Kansas began laying out their case Wednesday for why they think the state should replace the aging and troubled Osawatomie State Hospital with a new facility and hand over management of the facility to a for-profit, out-of-state corporation. Tim Keck, secretary of the Kansas Department for Aging and Disability Services, which manages the psychiatric hospital, said the hospital has become too challenging for the state to manage, and it is time for the state to make a decision. …

Kansas Lawmaker Leary Of Plans To Privatize Osawatomie
Source: Celia Llopis-Jepsen, KMUW, August 23, 2017

The Kansas Department for Aging and Disability Services has unveiled a proposal to build a new mental hospital at Osawatomie, which a Tennessee company would run. But Kansas House Minority Leader Jim Ward says the agency should be exploring in-house options. “This administration has a terrible history of privatization. Whether it be child support collection, DCF, KanCare,” Ward says. KDADS Secretary Tim Keck says the private operator would bring expertise and the ability to recruit mental health professionals. But, he says, his department is keeping an open mind. …

Kansas agency may privatize state psychiatric hospital working to regain federal funds
Source: Allison Kite, Topeka Capital-Journal, August 16, 2017
 
The Kansas Department for Aging and Disability Services is considering privatization for a troubled state psychiatric hospital that has now passed an initial step toward regaining some federal funding. KDADS Secretary Tim Keck said the department was considering a bid from Correct Care Recovery Solutions, which runs other mental health facilities across the country, to rebuild and privately run Osawatomie State Hospital.  The department also announced in a press release Wednesday that the acute care unit at the state psychiatric hospital had passed an initial survey required to get that part of the hospital re-certified by the federal Centers for Medicare and Medicaid. …

Kansas Official To Outline Privatization Plan For Osawatomie State Hospital
Source: Jim McLean, KCUR, August 14, 2017
 
One way or another, Tim Keck wants to replace the state’s aging Osawatomie State Hospital with a new mental health treatment facility.  Though he is meeting with some resistance, the secretary of the Kansas Department for Aging and Disability Services is pushing lawmakers to consider privatizing the state-run psychiatric hospital, which in recent years has been beset by operational problems.  On Tuesday Keck will outline a privatization plan submitted by a Tennessee-based company to stakeholders and legislators during a 1 p.m. meeting at hospital’s administration building. …

Osawatomie Contract Bidder Has History Of Safety Issues At Its Florida Psychiatric Facilities
Source: Meg Wingerter, KMUW, February 23, 2017

Correct Care Solutions, a Tennessee-based company that is the sole bidder for a contract to operate Osawatomie State Hospital, has a history of safety problems at the state psychiatric facilities it runs in Florida. Officials with the Kansas Department for Aging and Disability Services (KDADS) declined to provide details this week on Correct Care’s bid to operate Osawatomie State Hospital, one of two state facilities for people deemed a danger to themselves or others. The department is evaluating the proposal and hasn’t given a timeline for whether or when it would bring it before the Legislature. Under a law they approved last year, lawmakers must approve the contract before KDADS can move forward. …

‘Tough’ Budget: New Funding Unlikely For Kan. Mental Health System
Source: Meg Wingerter, Hays Post, February 12, 2017

A key Kansas lawmaker says the state doesn’t have the money to fix problems in its mental health system, which a new report says are getting steadily worse. The report, the second from a task force created in 2015 to advise the Kansas Department for Aging and Disability Services, says the system has continued to deteriorate. The task force’s first report, issued about 18 months ago, concluded the system was “stretched beyond its ability to provide the right care at the right time in the right place.” Rep. Brenda Landwehr, who chairs the House Social Services Budget Committee, agreed there are substantial gaps in the system but said lawmakers are virtually powerless to respond because of the depth of the state’s budget problems. … Given the amount of projected red ink, Landwehr said the state can’t afford to implement task force recommendations that would require significant new spending. Specifically, she said, it can’t afford to add psychiatric residential services for people covered by KanCare, the state’s privatized Medicaid program. … In the updated report, task force members also signaled their opposition to privatizing Osawatomie State Hospital, citing concerns about the quality of care delivered by for-profit contractors in other states. … More than 60 [House members] have signed on to a bill that would prohibit the privatization of either of the state’s mental health hospitals unless authorized by the Legislature. …

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Privatization considered at Osawatomie State Hospital
Source: Charity Keitel, Miami County Republic, November 23, 2016

After more than a year of improvements, renovations and the pursuit of recertification, the Osawatomie State Hospital’s (OSH) future continues to remain in a state of flux. Kansas Department for Aging and Disability Services (KDADS) Interim Secretary Tim Keck recently announced that a request for proposal (RFP) for privatization of the operation of OSH has been put into effect. The RFP entails several specifications and could allow for a partial privatization of the hospital or a full bid for the entire operation. The RFP states that the state may award one contract to assume responsibility for providing at least 206 inpatient beds within the state of Kansas, but a minimum of only 94 inpatient beds would be required to be maintained at the current Osawatomie State Hospital campus. The remaining beds could be maintained at the OSH campus or at another KDADS-approved facility within the state hospital’s 45-county catchment area. Despite the RFP, Keck said it in no way means that privatization is a certainty in OSH’s future. He said he believes it is worthwhile to consider all the options even those that may not come to fruition. The RFP can be rescinded at any time for any reason at the state’s discretion. … Jones went on to say that he does not agree with an RFP that plans to move beds away from OSH and not increase functions there. He said the RFP seems to allow for a move of beds away from the state hospital as an option, which he does not favor. … It’s his belief that the legislators need to push back and make sure the RFP does not make it through the legislature. …

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Americans express support for traditional public schools in new poll, even as Trump disparages them

Source: Valerie Strauss, Washington Post, August 29, 2017
 
… A majority of Americans polled also said they oppose programs that use public money for private and religious school education, policies that are supported by President Trump and Education Secretary Betsy DeVos. And a majority said they do not think that standardized test scores  — which have been used for more than a dozen years as the most important factor in evaluating schools — are a valid reflection of school quality.  These are some of the findings in the 49th annual PDK Poll of the Public’s Attitudes Toward the Public Schools, the longest continuously running survey of American attitudes toward public education, released late Monday. … But 52 percent of Americans oppose using public funds to send students to private school and opposition rises to 61 percent when the issue is described in more detail, the report says, indicating that Americans broadly care about the issue of how public funds are spent. …

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Fact Meter: Kansas budget director’s chart offers misleading view of KanCare waiting list

Source: Tim Carpenter, Topeka Capital-Journal, August 28, 2017
 
The fate of thousands of Kansans with intellectual or developmental disabilities who don’t receive benefits for which they’re qualified remains a contentious issue more than four years into operation of the state’s privatized $3 billion Medicaid system. Shawn Sullivan, budget director for Gov. Sam Brownback, discussed during a presentation to a House and Senate oversight committee the need for sustained state government revenue growth to shrink the waiting list for home- or community-based services through Medicaid. …

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Kansans share KanCare concerns with legislative panel
Source: Tim Carpenter, Topeka Capital-Journal, August 22, 2017

Individuals and associations representing enrollees in Kansas’ Medicaid program shared frustration Monday with difficulty securing services for thousands of people eligible for assistance as well as with Gov. Sam Brownback’s declaration of policy victory for saving the state treasury $1.4 billion after turning the system over to three insurance companies. … Dozens of issues were raised at the Capitol during a hearing of the Kansas Legislature’s joint committee on KanCare oversight. Testimony in support of the KanCare insurance providers and state agencies blended with complaints raised repeatedly over the years. This inquiry by legislators occurs at a time of transition, with Brownback preparing to leave office and the state applying to the federal government for permission to continue with KanCare, which serves more than 400,000 low-income adults, pregnant women and people with disabilities. …

Feds stop requiring bi-weekly Kansas reports on Medicaid
Source: Associated Press, July 12, 2017
 
Federal officials are no longer requiring Kansas to file bi-weekly reports on a large backlog of applicants for the state’s privatized Medicaid program.  The Kansas Department of Health and Environment was notified last week by the Centers for Medicare and Medicaid that the state can discontinue the reports it has been sending since early 2006. At the time, Kansas had more than 7,000 backlogged applications that had been pending for more than 45 days for its Medicaid program, called KanCare. …

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FAA airport privatization program grounded by financing concerns

Source: Jim Watts, Bond Buyer, August 24, 2017 (subscription required)
 
A 20-year-old federal pilot program of airport privatization has found few takers because of restrictions on how the Federal Aviation Administration allows private operators to fund related infrastructure projects, the Congressional Research Service said. A CRS report, released earlier this month, points to challenges that may lie ahead for the Trump administration, which says it is preparing a 10-year, $1 trillion plan that will focus on leveraging private investments in infrastructure through public-private partnerships.  The CRS focused on the FAA’s Airport Privatization Pilot Program (APPP), created by Congress in 1996 to increase airports’ access to private capital for infrastructure projects. Only two airports have been privatized since the law was enacted, and one of them, Stewart International Airport in Newburgh, N.Y., reverted back to public ownership after seven years in private hands. …

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Airport Privatization: Limited Interest despite FAA’s Pilot Program
Source: U.S. Government Accountability Office (GAO), GAO-15-42, Published: November 19, 2014

From the summary:
Since the FAA started to accept applications to the Airport Privatization Pilot Program (APPP) in 1997, 10 airports have applied to the pilot program (see figure). Of these 10, 2 were privatized, 7 did not complete the program, and one application is currently under FAA review. Public-sector airport owners’ objectives for full privatization varied, but the overriding reason cited was financial benefit. The 7 applicants that withdrew did so for varied reasons, such as changes in market conditions that reduced expected privatization benefits.

Several factors reduce both public and private sector interest in airport privatization in the U.S.—such as higher financing costs for privatized airports and the possible lack of state and local property tax exemptions. Also, while the APPP reduces some of the challenges to privatization that we identified in 1996, privatization still requires considerable time and cost to navigate. Furthermore, public sector airport owners have found ways to gain some of the potential benefits of privatization without ceding control under full privatization, such as entering airport management contracts and joint development agreements for managing and building an airport terminal.

The potential effects of airport privatization on airport efficiency, the federal aviation trust fund, federal tax revenues, and airport employees and concessionaires are difficult to determine. Privatization’s impact on these areas depends on many different factors such as how each airport privatization is structured, making it difficult to estimate the overall impact.

Different airport ownership and financing structures and motivations have driven more extensive overseas privatization efforts, as at least 450 airports around the world have been privatized to some degree. Stakeholders mentioned a variety of lessons learned from the U.S. and international experience, including ensuring public-sector due diligence, involving all stakeholders and creating a transparent privatization process. Stakeholders also provided a range of suggestions for modifying the APPP, from increasing the clarity of the program’s rules to reducing the federal role in airport privatizations.

Nuclear Negligence

Source: Center for Public Integrity, August 1, 2017

Nuclear Negligence examines safety weaknesses at U.S. nuclear weapon sites operated by corporate contractors. The Center’s probe, based on contractor and government reports and officials involved in bomb-related work, revealed unpublicized accidents at nuclear weapons facilities, including some that caused avoidable radiation exposures. It also discovered that the penalties imposed by the government for these errors were typically small, relative to the tens of millions of dollars the NNSA gives to each of the contractors annually in pure profit.

  1. A near-disaster at a federal nuclear weapons laboratory takes a hidden toll on America’s arsenal: Repeated safety lapses hobble Los Alamos National Laboratory’s work on the cores of U.S. nuclear warheads
  2. Safety problems at a Los Alamos laboratory delay U.S. nuclear warhead testing and production: A facility that handles the cores of U.S. nuclear weapons has been mostly closed since 2013 over its inability to control worker safety risks
  3. Light penalties and lax oversight encourage weak safety culture at nuclear weapons labs: Explosions, fires, and radioactive exposures are among the workplace hazards that fail to make a serious dent in private contractor profits
  4. More than 30 nuclear experts inhale uranium after radiation alarms at a weapons site are switched off: Most were not told about it until months later, and other mishaps at the Nevada nuclear test site followed
  5. Repeated radiation warnings go unheeded at sensitive Idaho nuclear plant: The inhalation of plutonium by 16 workers is preceded and followed by other contamination incidents but the private contractor in charge suffers only a light penalty
  6. Nuclear weapons contractors repeatedly violate shipping rules for dangerous materials: Los Alamos laboratory’s recent mistakes in shipping plutonium were among dozens of incidents involving mislabeled or wrongly shipped materials associated with the nuclear weapons program