Following the lead of three major foundations in Pittsburgh, which suspended funding to the school system in July 2002 because of a decline in district leadership, governance and fiscal discipline [for more see "Foundations withdraw grants to Pittsburgh school district," a private foundation in Memphis has vowed not to donate any more money to the school system until its leaders show that they can spend the money wisely. Partners in Public Education (PIPE), made up of some of the city's prominent business executives and philanthropists, will withhold all support for the district until school leaders enact 65 recommendations that, says a consultant, could save $114 million over the next five years. The consultant's study, paid for by PIPE, outlined dozens of ways that the school system could become more academically effective and fiscally efficient. Over the last ten years, PIPE has raised about $12 million for innovative projects in the district, such as sending principals to Harvard for training and creating a Teaching and Learning Academy. District leaders say that all of the recommendations in the consultant's report will be considered, and that the staff is already planning to implement many of them.
In Detroit, a retired entrepreneur wants to spend up to $300 million to boost urban education, but so far the education establishment has spurned him. Bob Thompson's performance-based plan goes like this: open a charter high school in Detroit and, if 90 percent of the students graduate and go on to college or other training, Thompson will give the city the new building for $1 a year. In December, then-Gov. John Engler made a pitch to lawmakers to allow up to 15 Thompson-backed charter schools in Detroit, but the effort failed. While most of Michigan's 187 charter schools have waiting lists, and 72 percent of Michigan residents favor charters, charter opponents have thus far managed to keep Thompson's generous offer unclaimed - and a cap on the number of charter schools in the state.
"Schools' backer PIPE cuts off funding," by Aimee Edmondson, Go Memphis, January 18, 2003
"Time for reform, and plain talk, in the Memphis City Schools," by Will Deupree, Memphis Commercial Appeal, February 10, 2003
"State is Foolish to Turn Down $500 Million Gifts to Education," editorial, The Detroit News, February 24, 2003