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Lawmakers pass controversial Detroit rescue plan

New York Teacher

Republican Gov. Rick Snyder signed a $617 million bailout and restructuring of the debt-ridden Detroit Public Schools district.

Back-room negotiations between Republican leaders in the state Senate and the House and Snyder led to the votes needed to pass the lifeline to the district. But Democratic leaders and Detroit lawmakers were excluded from the talks.

The financially and academically ailing 46,000-student district has been managed by the state for seven years, during which it has continued to face plummeting enrollment, deficits and, more recently, teacher sickouts.

Under the plan, the district will be split in two on July 1 and control will be returned to a school board to be elected in November. A commission of state appointees will oversee the district’s finances.

The new debt-free district will educate students. The old district will stay intact for tax-collection purposes to retire $617 million in debt over 8½ years, including $150 million in transition costs to launch the new Detroit Community Schools.

Furious Democrats accused Republican lawmakers of bowing to the politically influential school-choice lobby in dropping a proposal for a commission of mayoral appointees to regulate the opening of new schools — including charters that have drawn students and funding away from traditional neighborhood schools.

The AFT blasted the state’s plans to develop a merit pay system solely for Detroit and to allow noncertified teachers in the classroom.

Detroit Free Press, June 21

Education Week, June 22