Home > Uncategorized > Washington Post’s Explains DeVos’ Complicated Shell Game Involving ESAs, Justifiably Awards Her 3 Pinocchios for Lying

Washington Post’s Explains DeVos’ Complicated Shell Game Involving ESAs, Justifiably Awards Her 3 Pinocchios for Lying

April 9, 2019

As Washington Post writer Salvador Rizzo’s article on Betsy DeVos’ latest budget illustrates, the ALEC gambit of Education Savings Accounts is easy to sell to voters under the rubric of “choice” and complicated to explain as a device to siphon scarce tax dollars out of the pockets of public employees and into the pockets of billionaires. Here’s the way the gambit works:

Billionaires donate a large sum of tax deductible money to a charitable “Education Savings Account” that a presumably “needy” family can use as a de facto voucher to attend a school of their choice if their child has the misfortune of being assigned to a “failing school.” The effect of this writ large is that the federal government loses income— in the case of the DeVos budget $5,000,000,000 worth— and local districts are “held harmless”. The fact that the funds lost at the federal level are not necessarily those earmarked for schools is offset by the fact that at the same time as Ms. DeVos is advocating for this income loss at the Federal level she is also proposing a budget that cuts $8,800,000,000! In the words of Mr. Rizzo: “A clever bureaucratic design cannot paper over the reality of money going in and out.” 

If this concept were floated in a world where the use of these funds for sectarian schools or unregulated for-profit schools was prohibited it might be a means of helping “needy” children escape from “failing” schools. But the world we live in isn’t set up that way. In the world we live in STATES get to define which schools are deemed to be “failing” and too often they base that determination on flawed metrics that identify over 70% of the public schools as deficient. In the world we live in STATES get to define which students are deemed to be “needy” and too often they base that determination on income levels that identify over 70% of the families as requiring subsidies to attend non-public schools— including those families who are already enrolling their children in those schools. In the world we live in STATES get to pass legislation based on the same kind of “clever bureaucratic design” and end up diminishing STATE funds away from their budgets while diminishing funds for public schools since most state funding formulas are based on enrollments.

Long story short: if this kind of “clever bureaucratic design” was limited to the federal government it wouldn’t be nearly as bad as it is if STATES were not using the same “clever bureaucratic design” to cut public school funding. As Woodward and Bernstein learned decades ago when they were unravelling the Watergate scandal, if you want to find the source of a problem… follow the money. And in this case the money is leaving the pockets of teachers and going into the pockets of the billionaires who get tax deductions when they make contributions to Education Savings Accounts.

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