Clip

Sep 2019 Page resized

12 A001 107%

The Blanchard News

largest and most influential Cont’d on Page 13

Epic Office Empty

By Tony Strickland provider for thousands of
Oklahoma students, has been
A new Blanchard office for Epic under the scrutiny of state and
Charter Schools remains empty federal law enforcement since at
and appears to be still under least January of 2019 for
construction as of Blanchard allegations of
News press time this week. “ghost student” enrollment, dual
Oklahoma Bureau of Investigation enrollment with Epic students also
Information Director Brook attending private schools and the
Arbeitman confirmed on resulting misuse of public tax
Wednesday that Epic was still the dollars, according to multiple
subject of an ongoing OSBI Oklahoma new agencies. Epic co-
investigation. The OKC Epic founders Ben Harris and David
office had yet to return calls to the Chaney have released a statement
Blanchard News as of press time. noting their confidence in Epic’s
Oklahoma-based Epic Charter complete vindication from the
Schools, an online education allegations.
Property of OPS News Tracker and members of the Oklahoma Press Association.
 The Blanchard News

Sep
12

2019
From the Desk of Dr. Jim Beckham
Page Superintendent of Blanchard Public Schools
A005 This week I would like to share this article from Senator Ron Sharp...

Clip From the Desk of Sen. Ron Sharp

This week, I’ll continue discussing Epic’s problematic enrollment
resized reporting issues and other problems. Last week, I noted that Epic
31% has stated that they’re following the law by reporting all their
Oklahoma and Tulsa County One on One students as Blended
Learning Center (BLC) enrollees whether they access the buildings
or not. Therefore, all grades not accommodated in those two counties
that didn’t have a BLC were still counted as BLC attendees. Students
in all the other counties were listed under Epic One on One.
Last month, Oklahoma Statewide Virtual Charter School Board
(OSVCSB) Executive Director Dr. Rebecca Wilkinson verified that
this type of enrollment practice “would create an illegal dual
enrollment situation in two public schools”.
In further discussion with Dr. Wilkinson, she stated it was
discovered that 1,552 Tulsa and Oklahoma County students are
enrolled in Epic One on One Virtual Charter School. However,
according to OSDE enrollment records for both FY 2017-18 and
FY 2018-19, there were 3,052 students enrolled in Epic Virtual
Charter School after its July 11th response regarding how they report
enrollment at their BLC’s.
Dr. Wilkinson verified that Epic Blended Charter School is not
sponsored by the OSVCSB but rather by Rose State College.
Therefore, it must comply with 70 OS 3-136 requirements.
Paragraph 11 of 70 OS 3-136 requires a brick and mortar charter
school to comply with the 70 OS 1-109 school calendar
requirements, which are the same as a traditional public school:180
days of instruction or 1,080 instructional hours.
Within 70 OS 1-109 is the compliance requirement of 70 OS 1-
111, the minimum six-hour school day. There are some exemptions
within 70 OS 1-111 for athletic events and emergency situations
that can shorten the six-hour day compliance with approval by the
local school district or the Oklahoma State Board of Education.
Brick and mortar charter schools are also statutorily required under
70 OS 3-140 (E): “...to ensure that the student enrollment does not
exceed the capacity of its facility or site”.
I believe Epic has attempted through its BLC’s to provide childcare
for parents. David Chaney, co-founder and former superintendent
of Epic Charter School as well as co-owner of Epic Youth Services
LLC (EYS), discussed this in the Oklahoman on July 12, 2017 -
“These centers provide families who need ‘day care’ during the day
a level of customization...”. The problem, however, was unless the
BLC’s also used the same virtual attendance policy provided to the
virtual charter schools sponsored by the OSVCSB, they could not
expand their intended purpose of ‘day care’ to increase its virtual
charter school’s enrollment.
Finally, after two years and millions of taxpayer dollars later, Dr.
Wilkinson affirmed that Epic Blended Charter School was not
sponsored by the OSVCSB and, therefore, hasn’t been compliant
to the attendance policy under which it is statutorily required. By
arbitrarily transferring its virtual students to its brick and mortar
charter school, a dual-enrollment problem has been created for both
types of schools Epic manages.
Chaney submitted the electronic transmission of the enrollment
numbers for both schools in FY 2017-18 and FY 2018-19, according
to OSDE records. This has complicated matters when both charter
schools’ funding has been comingled with the for-profit, EYS.
Whether these students existed is now suspect under Epic’s dual-
enrollment and attendance policies.
There are also questions as to which sponsor has oversight over
the students in Epic One and One and the BLCs since Epic
commingled its enrollment. Which sponsor collected the sponsor
fee allowed for each charter school? Those are our tax dollars and
we deserve to know.
The OSDE provided Epic Virtual Charter School with $70 million
in FY 2018-19. Comingling funds is a direct violation of Epic’s
contract with the OSVCSB.
Another problem for Epic is its Learning Fund internal policy,
which states that the “Learning Fund” is only available to students
enrolled in its Virtual Charter School. Epic’s website informs parents:
“Enrolling into the Learning Centers will take the full amount of
the student’s Learning Fund”.
Unfortunately, because of lack of proper oversight by the
legislature, State Board of Education and Oklahoma Statewide
Virtual Charter School Board, Epic may have not been compliant
with Oklahoma statutes and Administrative Rules.
Oklahoma statute requires the repayment of all funds for the false
reporting of student enrollment, plus a 10% fine. For each count
there is a year imprisonment.
To contact me at the Capitol, please write to Senator Ron Sharp,
State Capitol, 2300 N. Lincoln Blvd. Room 412, Oklahoma City,
OK, 73105 or call (405) 521-5539.

Property of OPS News Tracker and members of the Oklahoma Press Association.
 The Clinton Daily News
0RUHGLVWULFWVFKRROV
Sep RIIHUYLUWXDOSURJUDPV
14
Melanie Brungardt’s
four children were frus-
2019 trated at school.
Brungardt, of Okla-
homa City, said some Put-
Page nam City Schools classes
A007 had too many students,
and teachers were forced
Clip to spend more time on
resized behavioral issues and
42% less time on instilling
knowledge. She under-
stood teachers’ challeng-
es, but “as a parent, you
hate sending your kid to
school all day to not learn
anything.”
The family considered
homeschooling but de-
cided against it – and
ruled out virtual charter
schools – because her kids
didn’t want to miss out on
sports and band. So they
opted for something else:
Putnam City’s own full-
time virtual program.
In recent years, most of
the attention on online
education has been on
virtual charter schools
such as Epic, whose
enrollment has soared
to more than 24,000. The
school is being investigat-
ed for alleged fraud and
misuse of public funds,
which Epic denies.
Less visible is the grow-
ing number of brick-and-
mortar districts that are
offering full-time online
programs.
The state doesn’t track
the number of districts
with online courses or
how many students are
enrolled part-time or
full-time. But a check
of district websites and
other web sources indi-
cates at least 20 districts
offer such programs.
Supplemental on-
line courses have been
available in traditional
schools since at least
2010 and are required by
law. But more students
and parents are seeking
full-time virtual educa-
tion, and districts are
reshaping their models to
accommodate them.
The programs offer
advantages over virtual
charter schools because
students retain access to
campus amenities such
as libraries, gyms, clubs,
and sports and arts pro-
grams. This allows stu-
dents to stay connected to
Property of OPS News Tracker and members of the Oklahoma Press Association.
their community, school
leaders say. Students
can customize a blend
of online and in-person
classes.
“It’s
about
choice
and what
fits the
kids,”
said Jay
Rotert,
director
Mia of Sand
Springs
Mamone Virtual
Academy,
which be-
gan offering a fully virtual
K-12 program this year.
Some school officials say
the trend is being driven
by a need to stay relevant
in a technological world.
But another factor is Epic
Charter Schools’ draw-
ing students away from
district schools.
Pawhuska Superinten-
dent David Cash told a
Bartlesville radio station
that the district will offer
a virtual academy this
year to counter Epic’s
growing popularity in
Osage County.
The question that nags
these schools is the same
one that troubles virtual
charters: Is the quality
of online education the
same as that of in-person
instruction? School of-
ficials aren’t really sure.
Steffie Corcoran, a
spokeswoman for the
Oklahoma State Depart-
ment of Education, said
virtual programs are gov-
erned by locally elected
school boards, which
still must meet state and
federal standards. Dis-
tricts aren’t required to
measure differences in
success between partially
or fully virtual students
and traditional students.
Many districts have only
implemented their online
programs in recent years
and don’t have the data
yet to make comparisons.
Some districts, like
Cleveland, are watching
some metrics. This school
year will be its first to offer
a fully virtual program
and the third for a blended
program, which Superin-
tendent Aaron Espolt said
has been successful so far.
 The Express-Star
Five things to know about virtual
school funding in Oklahoma
By Jennifer Palmer
Oklahoma Watch
Oklahoma lawmakers have 133 million
Sep reasons to examine virtual charter school
funding. That is the number of state tax-
14 payer dollars expected to flow to the
state’s five statewide online schools for
the current school year.
2019 The largest of those schools, Epic Char-
ter Schools, is under investigation by the
Oklahoma State Bureau of Investigation
Page for alleged financial mismanagement and
is facing a forensic audit by the State
A003 Auditor and Inspector. The school’s
spending on a recent ad campaign also
Clip has ruffled a few feathers.
resized The state House Common Education
35% Committee held a study Wednesday look-
ing at the “real cost per student” for vir-
tual students compared to traditional,
brick-and-mortar schools.
Rep. Lundy Kiger, R-Poteau, said he
was particularly concerned about Epic’s
spending on referral bonuses for teachers
and students, marketing and advertising.
“I totally support any kind of education
that’s going to be effective,” Kiger said.
“I want them (virtual schools) to be fully
equipped, I just don’t want state taxpayer
dollars to be wasted.”
Here are five things to know about vir-
tual charter funding:
Virtual charter schools receive most of
their funding from the state.
As a whole, school funding in Oklaho-
ma comes from local and state revenue at
about 45% each, with federal funds kick-
ing in another 10% for certain student
populations. But because charter schools
are excluded from receiving local tax dol-
lars, nearly all charters’ funding comes
from state dollars.
That doesn’t necessarily mean charters
receive fewer dollars, said Shawn Hime,
executive director of the Oklahoma State
School Boards Association. The state
funding formula is meant to equalize
funding, so local tax dollars are subtract-
ed from the amount a school is assigned
for its needs and the difference is pro-
vided by the state. For charter schools,
the full amount is provided by the state.
“When districts have property taxes go
up, it results in less state aid,” Hime said.
“Charters don’t have those chargeables
(of local revenue), so it appears out of
balance,” but is just the way the formula
equalizes funding.
Funding is based on a point-in-time
student head count, even in virtual
schools.
Because of the easy access to virtual
schools, there are more students coming
and going than in traditional schools.
Epic allows year-round enrollment and
has one of the highest rates of part-year
students in the state; in June 2018, more
than half of its students were enrolled
part-year. But like all schools, they
receive funding based on an Oct. 1 head
count.
Kiger said he’s concerned that method
is allowing “gaming the system.” He and
the rest of the education committee on
Wednesday heard from the superinten-
dent of Spiro Public Schools, who talked
about two students who enrolled in Spiro
on Oct. 3 last year. One had been enrolled
in virtual school since the previous May,
the other since June, but the virtual
school had no grades to report for the
students.
“If you keep a student on record until
Oct. 1, you get the financial aid for
them,” said Richard Haynes, Spiro’s
Property of OPS News Tracker and members of the Oklahoma Press Association.
superintendent.
Epic has denied manipulating or gam
ing the timing of enrollment or withdraw
ing students.
Lawmakers are likely to propose
changes in 2020.
Kiger said the purpose of the study was
to look at whether virtual schools should
be funded through a separate formula
and if so, what that would look like. An
example given during the session was a
performance-based model, such as in
Florida, where virtual schools receive
state funding for students only if they
successfully complete the course.
Sen. Ron Sharp, R-Shawnee, proposed
a bill last session that would have made
Oklahoma’s virtual school funding based
on course completion, but it didn’t pass
Sharp, who is a frequent critic of Epic
has indicated he would pursue it again in
2020.
Kiger said he would like to address
students leaving virtual schools after Oct
1 through legislation.
Sharp and Kiger are former educators.
There’s no consensus over the “actu
al cost” of virtual schooling.
When it comes to virtual schools, some
costs are higher, some are lower, and oth
ers are just different, said Rebecca
Wilkinson, executive director of the
Statewide Virtual Charter School Board
Technology expenses and travel, for
instance, are likely higher, but there’s
typically no food or transportation costs
and building costs are less.
She pointed to a 2015 study by the
International Association for K-12 Online
Learning, which found the cost of a full
time online school is between 93% and
98% of a traditional school.
A different report however, found vir
tual schools should cost at least 24 per
cent less than brick-and-mortar schools
That report, by the Education Commis
sion of the States, found virtual schoo
enrollment is too unpredictable – because
of unlimited size and enrollment capacity
– to be funded through traditional schoo
finance models.
Some lawmakers see signs virtua
schools receive too much.
Epic’s spending has raised eyebrows
for years for various reasons: Its for
profit management company takes an
automatic 10% cut of revenue; it offers
each student a “learning fund” that allows
them to spend education dollars on les
sons and hobbies; it holds a back-to
school event that reserves an entire
amusement park for students and parents
for a day.
But Epic’s recent media campaign
involving TV commercials and other ad
buys has hit a nerve with many residents
and lawmakers, including State Superin
tendent Joy Hofmeister, who has said she
doesn’t like it. Epic has said as an online
charter school, it needs to market its pro
gram to families who want alternatives to
traditional district schools.
Rep. Sheila Dills, R-Tulsa, on Wednes
day questioned Wilkinson, whose agency
authorizes all of the state’s virtual schools
about the spending.
“If virtuals can spend so much on mar
keting, do you believe they receive too
much?” she asked.
Wilkinson replied that she doesn’
know that the spending was illegal, then
added: “It is something this committee
should be asking.”
 Clip
Sep 2019 Page resized
14 B005 44%
McAlester News-Capital
Five things to know about virtual school funding
By JENNIFER PALMER
OKLAHOMA WATCH
Oklahoma lawmakers have
133 million reasons to examine
virtual charter school funding.
That is the number of state
taxpayer dollars expected to
flow to the state’s five statewide
online schools for the current
school year.
The largest of those schools,
Epic Charter Schools, is under
investigation by the Oklahoma
State Bureau of Investigation
for alleged financial misman-
agement and is facing a forensic
audit by the State Auditor and
Inspector. The school’s spending
on a recent ad campaign also
has ruffled a few feathers.
The state House Common
Education Committee held a
study Wednesday looking at the
“real cost per student” for virtu-
al students compared to tradi-
tional, brick-and-mortar schools.
Rep. Lundy Kiger, R-Poteau,
said he was particularly con-
cerned about Epic’s spending
on referral bonuses for teachers
and students, marketing and
advertising.
“I totally support any kind of
education that’s going to be
effective,” Kiger said. “I want
them (virtual schools) to be
fully equipped, I just don’t want
state taxpayer dollars to be
wasted.”
Here are five things to know
about virtual charter funding:
1
Virtual charter
schools
receive most
of their funding
from the state.
As a whole, school funding in
Oklahoma comes from local
and state revenue at about 45%
each, with federal funds kicking
in another 10% for certain stu-
dent populations. But because
charter schools are excluded
from receiving local tax dollars,
nearly all charters’ funding
comes from state dollars.
That doesn’t necessarily
mean charters receive fewer
dollars, said Shawn Hime, ex-
ecutive director of the Oklaho-
ma State School Boards Associ-
ation. The state funding formu-
la is meant to equalize funding,
so local tax dollars are subtract-
ed from the amount a school is
assigned for its needs and the
difference is provided by the
state. For charter schools, the
full amount is provided by the
state.
“When districts have property
taxes go up, it results in less
state aid,” Hime said. “Charters
don’t have those chargeables (of
local revenue), so it appears out
of balance,” but is just the way
the formula equalizes funding.
2 5
Funding is
based on a
point-in-time
Property of OPS News Tracker and members of the Oklahoma Press Association.
state MCALESTERNEWS.COM • SATURDAY, SEPTEMBER 14, 2019 B5
would pursue it again in 2020. virtual schools
Kiger said he would like to
address students leaving virtual receive too much.
schools after Oct. 1 through
Epic’s spending has raised
legislation. eyebrows for years for various
Sharp and Kiger are former reasons: Its for-profit manage-
educators.
ment company takes an auto-
matic 10% cut of revenue; it
4
There’s no offers each student a “learning
consensus fund” that allows them to spend
education dollars on lessons
over the and hobbies; it holds a back-to-
“actual cost” of school event that reserves an
entire amusement park for
virtual schooling. students and parents for a day.
When it comes to virtual But Epic’s recent media cam-
schools, some costs are higher, paign involving TV commer-
some are lower, and others are cials and other ad buys has hit
just different, said Rebecca a nerve with many residents
Oklahoma Watch Wilkinson, executive director of and lawmakers, including State
the Statewide Virtual Charter Superintendent Joy Hofmeister,
student head count, financial aid for them,” said School Board. Technology ex- who has said she doesn’t like
Richard Haynes, Spiro’s super-
even in virtual intendent. penses and travel, for instance, it. Epic has said as an online
Epic has denied manipulat- are likely higher, but there’s charter school, it needs to mar-
schools. ing or gaming the timing of typically no food or transporta- ket its program to families who
Because of the easy access to enrollment or withdrawing tion costs and building want alternatives to
costs are less.
virtual schools, there are more students. traditional district
students coming and going She pointed to a schools.
2015 study by the In-
3
than in traditional schools. Epic Lawmakers ternational Association
Rep. Sheila Dills,
allows year-round enrollment R-Tulsa, on Wednesday
and has one of the highest rates are likely to for K-12 Online Learn- questioned Wilkinson,
ing, which found the
of part-year students in the propose cost of a full-time on-
whose agency autho-
state; in June 2018, more than rizes all of the state’s
half of its students were en- changes in 2020. line school is between virtual schools, about the spend-
93% and 98% of a traditional ing.
rolled part-year. But like all Kiger said the purpose of the
schools, they receive funding study was to look at whether school. “If virtuals can spend so
A different report however,
based on an Oct. 1 head count. virtual schools should be fund- much on marketing, do you
found virtual schools should
Kiger said he’s concerned that ed through a separate formula, believe they receive too much?”
cost at least 24 percent less than
method is allowing “gaming the and if so, what that would look she asked.
system.” He and the rest of the like. An example given during brick-and-mortar schools. That
report, by the Education Com- Wilkinson replied that she
e d u c a t i o n c o m m i t t e e o n the session was a perfor-
Wednesday heard from the su- mance-based model, such as in mission of the States, found doesn’t know that the spending
perintendent of Spiro Public Florida, where virtual schools virtual school enrollment is too was illegal, then added: “It is
Schools, who talked about two receive state funding for stu- unpredictable – because of un- something this committee
students who enrolled in Spiro dents only if they successfully limited size and enrollment should be asking.”
on Oct. 3 last year. One had complete the course. capacity – to be funded through • Oklahoma Watch is a
been enrolled in virtual school Sen. Ron Sharp, R-Shawnee, traditional school finance mod- nonprofit, nonpartisan media
since the previous May, the proposed a bill last session that els.
other since June, but the virtual would have made Oklahoma’s
organization that produces in-depth
Some and investigative content on a range
school had no grades to report virtual school funding based on
for the students. course completion, but it didn’t of public-policy issues facing the
“If you keep a student on pass. Sharp, who is a frequent
lawmakers state. For more Oklahoma Watch
record until Oct. 1, you get the critic of Epic, has indicated he see signs content, go to oklahomawatch.org.
 The Ardmoreite

MOREITE

OKLAHOMA WATCH

Breaking
Sep
15 down
2019 virtual
Page
A001
Clip
school
resized
55%
funding
By Jennifer Palmer
Oklahoma Watch

Oklahoma lawmakers have 133 mil-

lion reasons to examine virtual char-
ter school funding. That is the num-
ber of state taxpayer dollars expected
to flow to the state’s five statewide
online schools for
the current school
year.
The largest of
those schools, Epic
Charter Schools, is
under investiga-
tion by the Okla-
homa State Bureau
of Investigation for
alleged financial
mismanagement and is facing a fo-
rensic audit by the State Auditor and
Inspector. The school’s spending on
a recent ad campaign also has ruffled
a few feathers.
The state House Common Educa-
tion Committee held a study Wednes-
day looking at the “real cost per stu-
dent” for virtual students compared to
traditional, brick-and-mortar schools.
Rep. Lundy Kiger, R-Poteau, said
he was particularly concerned about
Epic’s spending on referral bonuses
for teachers and students, marketing
and advertising.
“I totally support any kind of educa-
tion that’s going to be effective,” Kiger
said. “I want them (virtual schools) to
be fully equipped, I just don’t want
state taxpayer dollars to be wasted.”
Here are five things to know about
virtual charter funding.
Virtual charter schools receive
most of their funding from the
state.
SEE WATCH, PAGE 5A

Property of OPS News Tracker and members of the Oklahoma Press Association.
 Clip
Sep 2019 Page resized From
15 A005 42% A001
The Ardmoreite
WATCH
Continued from Page 1A
As a whole, school fund-
ing in Oklahoma comes
from local and state rev-
enue at about 45% each,
with federal funds kicking
in another 10% for certain
student populations. But
because charter schools are
excluded from receiving
local tax dollars, nearly all
charters’ funding comes
from state dollars.
That doesn’t necessar-
ily mean charters receive
fewer dollars, said Shawn
Hime, executive director of
the Oklahoma State School
Boards Association. The
state funding formula is
meant to equalize funding,
so local tax dollars are sub-
tracted from the amount a
school is assigned for its
needs and the difference
is provided by the state.
For charter schools, the
full amount is provided by
the state.
“When districts have
property taxes go up, it
results in less state aid,”
Hime said. “Charters don’t
have those chargeables (of
local revenue), so it ap-
pears out of balance,” but
is just the way the formula
equalizes funding.
Funding is based on
a point-in-time student
head count, even in vir-
tual schools.
Because of the easy ac-
cess to virtual schools,
there are more students
coming and going than in
traditional schools. Epic
allows year-round enroll-
ment and has one of the
highest rates of part-year
students in the state; in
June 2018, more than half
of its students were en-
rolled part-year. But like
all schools, they receive
funding based on an Oct.
1 head count.
Kiger said he’s con-
cerned that method is al-
lowing “gaming the sys-
tem.” He and the rest of
the education committee
on Wednesday heard from
the superintendent of
Spiro Public Schools, who
talked about two students
who enrolled in Spiro on
Oct. 3 last year. One had
been enrolled in virtual
school since the previous
May, the other since June,
but the virtual school had
no grades to report for the
students.
“If you keep a student on
record until Oct. 1, you get
the financial aid for them,”
said Richard Haynes,
Spiro’s superintendent.
Epic has denied ma-
nipulating or gaming the
timing of enrollment or
withdrawing students.
Lawmakers are likely
to propose changes in
2020.
Kiger said the purpose
of the study was to look
at whether virtual schools
should be funded through
a separate formula, and if
so, what that would look
like. An example given
during the session was a
performance-based model,
such as in Florida, where
virtual schools receive state
funding for students only if
they successfully complete
the course.
Sen. Ron Sharp,
R-Shawnee, proposed a
bill last session that would
have made Oklahoma’s vir-
tual school funding based
on course completion, but
it didn’t pass. Sharp, who
is a frequent critic of Epic,
has indicated he would
pursue it again in 2020.
Kiger said he would like
to address students leaving
virtual schools after Oct. 1
through legislation.
Sharp and Kiger are for-
mer educators.
Property of OPS News Tracker and members of the Oklahoma Press Association.
There’s no consensus
Schools sponsored a play
area at Penn Square Mall
agency authorizes all of
the state’s virtual schools,
this committee should be
asking.”
over the “actual cost” of earlier this year. Mashi- about the spending. Oklahoma Watch is a
virtual schooling. ur Rahaman/Oklahoma “If virtuals can spend so nonprofit, tax-exempt,
When it comes to virtu- Watch much on marketing, do 501(c)(3) corporation
al schools, some costs are you believe they receive too whose mission is to pro-
higher, some are lower, and Some lawmakers see much?” she asked. duce in-depth and inves-
others are just different, signs virtual schools re- Wilkinson replied that tigative journalism on
said Rebecca Wilkinson, ceive too much. she doesn’t know that the public-policy and quali-
executive director of the Epic’s spending has spending was illegal, then ty-of-life issues facing the
Statewide Virtual Charter raised eyebrows for years added: “It is something state.
School Board. Technology for various reasons: Its
expenses and travel, for for-profit management
instance, are likely higher, company takes an auto-
but there’s typically no food matic 10% cut of revenue;
or transportation costs and it offers each student a
building costs are less. “learning fund” that allows
She pointed to a 2015 them to spend education
study by the International dollars on lessons and hob-
Association for K-12 On- bies; it holds a back-to-
line Learning, which found school event that reserves
the cost of a full-time on- an entire amusement park
line school is between 93% for students and parents
and 98% of a traditional for a day.
school. But Epic’s recent media
A different report how- campaign involving TV
ever, found virtual schools commercials and other ad
should cost at least 24 buys has hit a nerve with
percent less than brick- many residents and law-
and-mortar schools. That makers, including State
report, by the Education Superintendent Joy Hof-
Commission of the States, meister, who has said she
found virtual school enroll- doesn’t like it. Epic has
ment is too unpredictable said as an online charter
– because of unlimited size school, it needs to mar-
and enrollment capacity ket its program to families
– to be funded through who want alternatives to
traditional school finance traditional district schools.
models. Rep. Sheila Dills, R-Tul-
As part of its marketing sa, on Wednesday ques-
campaigns, Epic Charter tioned Wilkinson, whose
PUBLIC ANNOUNCEMENT
Meeting for Descendants of
Chickasaw & Choctaw Freedman
The inaugural meeting of the proposed
Association of Southern Oklahoma
Descendants of Freedman of the Chickasaw
This ad is sponsored by:
and Choctaw Tribes will meet on Saturday,
September 28, 2019 at the Tatums Town
Hall meeting room, beginning at 1 p.m. The
informational meeting is free and open to Ardmore, Lone Grove, Marietta, Ringling,
the public and will incorporate the formal Sulphur, Velma, Madill, Norman
establishment of the association.
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 Enid News & Eagle
Sep
15
2019
Page
A005 As part of its marketing campaigns, Epic Charter Schools sponsored a play area at Penn Square Mall earlier
this year. (Mashiur Rahaman / Oklahoma Watch)
Clip
resized
32% Virtual charter schools get
most of money from state
By Jennifer Palmer
Oklahoma Watch
Oklahoma lawmakers have 133 million
reasons to examine virtual charter school fund-
ing. That is the number of state taxpayer dol-
lars expected to flow to the state’s five state-
wide online schools for the current school year.
The largest of those schools, Epic Charter
Schools, is under investigation by Oklahoma
State Bureau of Investigation for alleged finan-
cial mismanagement and is facing a forensic
audit by the State Auditor and Inspector’s
Office. The school’s spending on a recent ad
campaign also has ruffled a few
feathers.
The state House Common
Education Committee held a
study Wednesday looking at the
“real cost per student” for virtual
students compared to traditional,
brick-and-mortar schools.
Rep. Lundy Kiger, R-Poteau,
said he was particularly concerned
about Epic’s spending on referral
bonuses for teachers and students,
marketing and advertising.
“I totally support any kind of education
that’s going to be effective,” Kiger said.
“I want them (virtual schools) to be fully
equipped, I just don’t want state taxpayer dol-
lars to be wasted.”
Here are five things to know about virtual
charter funding.
Virtual charter schools receive most of
their funding from the state
As a whole, school funding in Oklahoma
comes from local and state revenue at about
45% each, with federal funds kicking in anoth-
er 10% for certain student populations. But
because charter schools are excluded from
receiving local tax dollars, nearly all charters’
funding comes from state dollars.
That doesn’t necessarily mean charters
receive fewer dollars, said Shawn Hime,
executive director of Oklahoma State School
Boards Association. The state funding formula
is meant to equalize funding, so local tax dol-
lars are subtracted from the amount a school
is assigned for its needs and the difference is
provided by the state. For charter schools, the
full amount is provided by the state.
“When districts have property taxes go
up, it results in less state aid,” Hime said.
“Charters don’t have those chargeables (of
local revenue), so it appears out of balance,”
but is just the way the formula equalizes fund-
ing.
Funding is based on a point-in-time stu-
dent head count, even in virtual schools
Because of the easy access to virtual
schools, there are more students coming and
going than in traditional schools. Epic allows
year-round enrollment and has one of the
highest rates of part-year students in the state;
in June 2018, more than half of its students
were enrolled part-year. But like all schools,
they receive funding based on an Oct. 1 head
count.
Kiger said he’s concerned that method is
allowing “gaming the system.” He and the
rest of the education committee Wednesday
heard from the superintendent of Spiro Public
Schools, who talked about two students who
enrolled in Spiro on Oct. 3 last year. One
had been enrolled in virtual school since the
previous May, the other since June, but the
virtual school had no grades to report for the
students.
“If you keep a student on record until Oct.
1, you get the financial aid for them,” said
Richard Haynes, Spiro’s superintendent.
Epic has denied manipulating or gaming
Property of OPS News Tracker and members of the Oklahoma Press Association.
the timing of enrollment or withdrawing stu-
dents.
Lawmakers likely are to propose chang-
es in 2020
Kiger said the purpose of the study was to
look at whether virtual schools should be fund-
ed through a separate formula, and if so, what
that would look like. An example given during
the session was a performance-based model,
such as in Florida, where virtual schools
receive state funding for students only if they
successfully complete the course.
Sen. Ron Sharp, R-Shawnee, proposed
a bill last session that would have made
Oklahoma’s virtual school fund-
ing based on course completion,
but it didn’t pass. Sharp, who is
a frequent critic of Epic, has indi-
cated he would pursue it again in
2020.
Kiger said he would like to
address students leaving virtual
schools after Oct. 1 through leg-
islation.
Sharp and Kiger are former
educators.
There’s no consensus over
the “actual cost” of virtual schooling
When it comes to virtual schools, some
costs are higher, some are lower, and others
are just different, said Rebecca Wilkinson,
executive director of the Statewide Virtual
Charter School Board. Technology expenses
and travel, for instance, are likely higher, but
there’s typically no food or transportation costs
and building costs are less.
She pointed to a 2015 study by the
International Association for K-12 Online
Learning, which found the cost of a full-time
online school is between 93% and 98% of a
traditional school.
A different report however, found virtual
schools should cost at least 24 percent less
than brick-and-mortar schools. That report,
by the Education Commission of the States,
found virtual school enrollment is too unpre-
dictable — because of unlimited size and
enrollment capacity — to be funded through
traditional school finance models.
Some lawmakers see signs virtual schools
receive too much
Epic’s spending has raised eyebrows for
years for various reasons: Its for-profit man-
agement company takes an automatic 10% cut
of revenue; it offers each student a “learning
fund” that allows them to spend education dol-
lars on lessons and hobbies; it holds a back-to-
school event that reserves an entire amusement
park for students and parents for a day.
But Epic’s recent media campaign involv-
ing TV commercials and other ad buys has
hit a nerve with many residents and law-
makers, including State Superintendent Joy
Hofmeister, who has said she doesn’t like it.
Epic has said as an online charter school, it
needs to market its program to families who
want alternatives to traditional district schools.
Rep. Sheila Dills, R-Tulsa, on Wednesday
questioned Wilkinson, whose agency autho-
rizes all of the state’s virtual schools, about the
spending.
“If virtuals can spend so much on market-
ing, do you believe they receive too much?”
she asked.
Wilkinson replied she doesn’t know that
the spending was illegal, then added: “It is
something this committee should be asking.”
Oklahoma Watch is a nonprofit, tax-exempt, 501(c)
(3) corporation whose mission is to produce in-depth and
investigative journalism on public-policy and quality-of-life
issues facing the state.
 El Reno Tribune

Sep
15

2019 Forum highlights disparities in school spending

By STEVE METZER no money to
Page The Journal Record
OKLAHOMA CITY
replace an old, leaky
underground storm
A009 — Despite big
investments made in
cellar, which means if
severe weather is in
Clip education in recent the area, students who
years, “noticeable, have to take shelter
resized definable” inequities there end up standing
35% in funding remain in water.
between school “Our school has no
districts in Oklahoma, businesses, no stores,
and the rising no post office, so
influence of virtual facility (maintenance
charter schools may and upgrade) for us is
be making disparities quite a problem,” he
worse, especially for said.
rural districts. Mathews said there
That was one of are many other school
the messages shared districts across the
by rural school state that similarly
administrators with struggle as a result
state lawmakers who of so many expenses
gathered on at the being tied to local
Capitol to take part in property tax revenues
forums scheduled to and bonding capacity.
address funding issues “They’re in a
related to traditional desperate fight to
public schools, brick- keep from being closed
and-mortar charter or consolidated,” he
schools and virtual said.
charter schools. “While our schools state funding, it’s atmosphere. I think where you have an Haynes added that
A panel of 17 state have received historic imperative that we it will call for us to elected school board, some rural schools
representatives also funding the last two improve oversight,” revisit the (funding) and to me that’s a have lost students to
assembled to hear years, we’re now faced he said. formula as well as fundamental problem. virtual charter schools
from experts about with new problems,” Epic Assistant oversight. I think “If I can set up a — along with state
per-student costs Sharp said. Superintendent of we’ll be looking into charter school and funding based on
of operating virtual “There is an Communications all aspects of it. The pick five of my friends enrollment numbers
schools as compared evident lack of Shelly Hickman bottom line is we need to serve on the board, — only to end up
to traditional schools transparency of responded that Sharp to be looking out for I have autonomy over re-enrolling the same
as well as oversight state fund use, has made willfully the best interests of what it is I’m going students months later
responsibilities proper oversight and misleading comments our students.” to do, and that’s not without receiving any
pertaining to virtual accountability within about the charter State Rep. Andy control at all in a increase in funding.
charter schools. our virtual charter schools. Fugate, D-Oklahoma traditional sense.” He suggested
Those who offered school system.” Two state City, agreed that Spiro Public Schools that issues related to
input included Sharp has said representatives who virtual schools likely Superintendent measures of student
Shawn Hime, he has grave doubts attended Wednesday’s will be a hot topic Richard Haynes success and attendance
executive director about the veracity forum said it’s likely when lawmakers meet and New Lima reporting by virtual
of the Oklahoma of enrollment figures that school funding again in session. Public Schools charter schools need to
State School Boards reported by Epic and virtual school “I don’t know Superintendent be carefully examined
Association; Rebecca that directly affect oversight will where it will go yet. Jim Mathews offered by the state.
Wilkinson, executive state funding of be among issues My question is really lawmakers input from “There is a
director of the the virtual schools. addressed during about the three-tiered rural districts. noticeable, definable
Oklahoma Statewide He also has aired the next session of oversight,” he said. Haynes spoke difference between a
Virtual Charter School concerns about Epic’s the Legislature. “We have about serious brick-and-mortar
Board; Brad Clark, oversight and its “I think we’ll be the sponsoring challenges faced school and a virtual
general counsel of the reporting of finances. looking at a lot of organization that is by school systems school, and between
Oklahoma Department “The rules for potential areas, from the oversight piece. in areas that don’t rural and urban. It’s
of Education; and traditional brick-and- the funding of schools We have the governing generate much in the just the reality of the
several others. mortar public schools to the makeup of board and then the way of property tax situation. They have
Oklahoma Sen. Ron and virtual charters students (and) family school itself. In revenue for schools. more resources and
Sharp, R-Shawnee, who are different, and it’s expectations,” said today’s scenario, the It can be incredibly revenue to work
has been a vocal critic causing confusion and state Rep. Danny governing board is difficult to finance with than what a
of the state’s Epic problems. Sterling, R-Tecumseh. selected by those who a new bus or a rural school has. That
virtual charter schools, “Given their “The rise of virtual run the school. It’s not new roof, let alone doesn’t mean their
also attended the astronomical schools) is definitely like traditional brick- a new school, he said. kids are any more
interim study session. growth and increasing changing the whole and-mortar schools In his district there’s important,” he said.

Property of OPS News Tracker and members of the Oklahoma Press Association.
 The Norman Transcript

Virtual school
Sep
16

2019
funding: five
Page
A001
Clip
things to know
By Jennifer Palmer
resized Oklahoma Watch
52%
Oklahoma lawmakers
have 133 million reasons
to examine virtual charter
school funding. That
is the number of state
taxpayer dollars expected
to flow to the state’s five
statewide online schools
for the current school
year.
The largest of those
schools, Epic Charter
Schools, is under investi-
gation by the Oklahoma
State Bureau of Investiga-
tion for alleged financial
mismanagement and is
facing a forensic audit
by the State Auditor and
Inspector. The school’s
spending on a recent ad
campaign also has ruffled
a few feathers.
The state House Com-
mon Education Commit-
tee held a study Wednes-
day looking at the “real
cost per student” for
virtual students compared
to traditional, brick-and-
mortar schools.
Rep.
Lundy Kiger,
R-Poteau,
said he was
particularly
concerned
about Epic’s
spending on
referral bonuses for teach-
ers and students, market-
ing and advertising.
“I totally support any
kind of education that’s
going to be effective,”
Kiger said. “I want them
(virtual schools) to be
fully equipped, I just don’t
want state taxpayer dol-
lars to be wasted.”
Here are five things to
know about virtual char-
ter funding:
1. Virtual charter
schools receive most
of their funding
from the state
As a whole, school fund-
ing in Oklahoma comes
from local and state
See FUNDING Page A6

Whitney Bryen / Oklahoma Watch

Sen. Ron Sharp airs frustrations about Epic Charter Schools
during an interview April 22 with Oklahoma Watch in his
office at the State Capitol.

Property of OPS News Tracker and members of the Oklahoma Press Association.
 The Norman Transcript

y y

Sep
16

2019

Page
A006
Clip
resized
31%
From
A001

Mashiur Rahaman / Oklahoma Watch

As part of its marketing campaigns, Epic Charter Schools sponsored a play area at Penn Square Mall earlier this year.

there are more students if so, what that would K-12 Online Learning,
Funding: coming and going than in
traditional schools. Epic
look like. An example
given during the session
was a performance-based
which found the cost of a
full-time online school is
between 93% and 98% of
State funding
for virtual schools
Q Oklahoma
Virtual Charter Academy:
$11,985,942
From Page A1 allows year-round enroll-
ment and has one of the model, such as in Florida, a traditional school. Q Oklahoma
where virtual schools A different report Entries are listed by school Connections Academy:
revenue at about 45% highest rates of part-year
students in the state; in receive state funding however, found virtual and Fiscal Year 2020 initial $4,941,880
each, with federal funds
kicking in another 10% for June 2018, more than half for students only if they schools should cost at allocation: Q Insight School of
certain student popula- of its students were en- successfully complete the least 24 percent less Oklahoma: $3,213,159
tions. But because charter rolled part-year. But like course. than brick-and-mortar Q Epic Blended: Q ESchool Virtual:
schools are excluded from all schools, they receive Sen. Ron Sharp, R- schools. That report, by $42,817,925 $129,289
receiving local tax dol- funding based on an Oct. Shawnee, proposed a bill the Education Commis- Q Epic One on One: Q All Virtual Schools:
lars, nearly all charters’ 1 head count. last session that would sion of the States, found $70,139,049 $133,227,244
funding comes from state Kiger said he’s con- have made Oklahoma’s virtual school enrollment
dollars. cerned that method is virtual school funding is too unpredictable –
based on course comple- because of unlimited size as an online charter school, Wilkinson replied that
That doesn’t necessar- allowing “gaming the
tion, but it didn’t pass. and enrollment capacity it needs to market its pro- she doesn’t know that the
ily mean charters receive system.” He and the rest of
Sharp, who is a frequent – to be funded through gram to families who want spending was illegal, then
fewer dollars, said Shawn the education committee alternatives to traditional added: “It is something
Hime, executive director on Wednesday heard from critic of Epic, has indi- traditional school finance
cated he would pursue it models. district schools. this committee should be
of the Oklahoma State the superintendent of
again in 2020. Rep. Sheila Dills, R-Tulsa, asking.”
School Boards Associa- Spiro Public Schools, who
Kiger said he would like on Wednesday questioned Oklahoma Watch is a
tion. The state funding talked about two students
to address students leav-
5. Some lawmak- Wilkinson, whose agency nonprofit, nonpartisan
formula is meant to who enrolled in Spiro on
ing virtual schools after ers see signs virtual authorizes all of the state’s media organization that
equalize funding, so local Oct. 3 last year. One had virtual schools, about the produces in-depth and
tax dollars are subtracted been enrolled in virtual
Oct. 1 through legislation. schools receive too spending. investigative content on a
Sharp and Kiger are
from the amount a school school since the previous former educators.
much “If virtuals can spend so range of public-policy issues
is assigned for its needs May, the other since June, much on marketing, do you facing the state. For more
and the difference is but the virtual school had Epic’s spending has believe they receive too Oklahoma Watch content,
provided by the state. For no grades to report for the 4. There’s no consen- raised eyebrows for years much?” she asked. go to oklahomawatch.org.
students. for various reasons: Its
charter schools, the full
“If you keep a student
sus over the ‘actual
amount is provided by the for-profit management
state. on record until Oct. 1, cost’ company takes an auto-
“When districts have you get the financial aid of virtual schooling matic 10% cut of revenue;
property taxes go up, it for them,” said Richard it offers each student a
results in less state aid,” Haynes, Spiro’s superin- When it comes to virtu- “learning fund” that allows
tendent. al schools, some costs are them to spend education
Hime said. “Charters don’t
Epic has denied ma- higher, some are lower, dollars on lessons and
have those chargeables (of
nipulating or gaming the and others are just differ- hobbies; it holds a back-to-
local revenue), so it ap-
timing of enrollment or ent, said Rebecca Wilkin- school event that reserves
pears out of balance,” but
withdrawing students. son, executive director an entire amusement park
is just the way the formula
equalizes funding. of the Statewide Virtual for students and parents
3. Lawmakers are Charter School Board. for a day.
Technology expenses and But Epic’s recent media
2. Funding is based likely to propose travel, for instance, are campaign involving TV
on a point-in-time changes in 2020 likely higher, but there’s commercials and other
typically no food or ad buys has hit a nerve
student head count, Kiger said the purpose transportation costs and with many residents and
even in virtual schools of the study was to look building costs are less. lawmakers, including State
at whether virtual schools She pointed to a 2015 Superintendent Joy Hof-
Because of the easy should be funded through study by the Interna- meister, who has said she
access to virtual schools, a separate formula, and tional Association for doesn’t like it. Epic has said

Property of OPS News Tracker and members of the Oklahoma Press Association.