What Does the Congress and President Obama Have in Mind

for the preK-12 Markets? Steven Pines, Executive Director

Education Industry Association

September 18, 2009

About the Education Industry Association (EIA)

The leading trade association for private providers of preK-12 education services, products, curricula and technology.

Advocacy and public relations B2B ventures, networking, professional

development Special interest groups –SES tutoring, Drop

out Prevention; Online Learning; Special Education

No Child Left Behind (NCLB) Created/Expanded Markets for Private Sector

• Supplemental Educational Services (SES)• Professional development for teachers,

principals and teacher retention support• Assessment and curricula• Comprehensive school reform• Special/Alternative Education• School restructuring• Drop-out prevention/recovery• Technology• Data and student information systems

Today’s Weather Forecast in PreK-12

A mix of:

Red skies in the morning, sailors take warning, and

Red skies at night, sailors delight

Rising Opportunities in K-12

• Charter school management• School turn-around• Professional development-principals/teacher• Assessment• Instructional content• Drop-out prevention/recovery services• Special education services• On-line instruction/schools• Services that Extend Learning Time (Tutoring)• Test Prep• Devices that individualize assessment/instruction at classroom

ARRA-Race to the Top

• $4.3 Billion Competitive Grants to Governors who agree to:– Adopt high standards/assessments– Reward effective teachers– Create student data systems to improve instruction– Turn-around lowest performing schools

• Phase I application Fall, 2009, Phase II “early” 2010• 50% of funds received by a state, sub-granted to districts by T-1

formula• Proposals shall be comprehensive, integrated, and involve

partnerships • Opportunities for vendors to team• Software developed may be “open-source” and not protected

ARRA- Investing in Innovations

• $650 Million competitive grants to districts and non-profits in partnership with a district or school

• Spur Innovation or Scale Evidenced-based Excellence of:– Student achievement, matriculation, graduation and

career/ college readiness• Application late Winter, 2010• Likely to go to areas that did NOT get RttT $• Opportunities for vendors to team.

ARRA-School Improvement Grants

• $3.5 Billion in T-1 Formula Grants to States– Discretionary sub-grant to Lowest Forming Districts– For 2010 SY (most likely)

• Districts choose among 4 Models:• Turnarounds: Replace the principal and at least 50 percent of the

staff and also adopt new or revised instructional strategies. • Re-starts: Close the school and re-open it under the management

of a charter organization or an education management organization. • Closures: Close the school.• Transformations: Strategy replaces leadership, rewards teacher

effectiveness; adopts comprehensive instructional programs; extends time for students; offers community services;

Cautionary Flags for Private Sector

• Miller’s 2007 “Discussion” draft of NCLB with restrictions on vendors-as potential template for ESEA re-authorization

• Less bi-partisanship in House; Rep. Kline ranking minority new to committee

• Sen. Harkin as HELP Chair brings uncertain leadership; strong on IDEA and chairs Approp’s Ed. subcomm.

• Duncan’s bias for non-profits; exclusion of for-profits as eligible i-3 grantee

• Dept of ED waivers on SES/Choice for ARRA $ under banner of “freedom” and “flexibility” for districts

• Congressional Democrats/staff cynical about private sector in public education

• Increased political clout of teacher unions

ESEA Reauthorization

• ARRA Funding Contains Hints of New Priorities:– Common and high internationally-benchmarked state standards– Turn-around worst schools– Teacher performance incentives– Student data-driven instruction– Charters and school management– Incentives vs sanctions for “struggling schools”– Drop-out prevention/recovery

• Impact of Health Care Vote in 2009 • Mid to late 2010 ?? • Low-level activity is already underway

What You Can Do?

Evidence-based Innovation and Scaling What Works are the new mantra

View public schools as partners, not customers Perform at highest standards: ethics and program quality Engage Members of Congress and Ed Dept. with the

message that you deliver help results for students and schools Join a trade association to amplify the industry’s message.

EIA has launched $500 million Campaign to Pr

Education Industry Associationwww.educationindustry.org

800-252-3280