Now THIS is the kind of bailout I can get fully behind. A financially distressed Ohio public school superintendent has filed a formal request for $100 million of the federal government's bailout money to help improve his schools' infrastructure and cover ongoing operating expenses. And there's no corporate jets or multimillion dollar CEO compensation packages to worry about!
Like many public school districts around the country these days, the Olmsted Falls school district in the suburbs of Cleveland is facing some tough financial times. The district's total enrollment grew by 29 percent over the last decade to 3,800 students, but the school's financial resources have not kept up with the enrollment growth. The district projects a $2.6 million deficit at the end of the 2009-2010 school year, and two local ballot issues seeking additional school funding failed last month. The district has been forced to take such drastic measures as converting maintenance closets into classrooms.
So when Olmsted Falls Superintendent Todd Hoadley watched fat-cat Wall Street financial firms and car company CEOs coming to the federal government hat in hand, he figured, "Why not me?."
"I feel a moral obligation to our taxpayers to make this attempt," said Hoadley, who requested $100 million from the Treasury Department last week. "This is a legitimate request. I'll be frankly disappointed if something positive doesn't come out of this."
Hoadley submitted his request to Treasury Secretary Henry Paulson and the Federal Reserve Bank of Cleveland. The district would spend half of the $100 million in TARP money on building and renovation projects, while the other half would go toward operating expenses. Both Paulson and the reserve bank rejected his request, telling him that TARP was meant to stabilize financial institutions, not public schools.
But Hoadley isn't giving up — he's seeking help from Congressman Dennis Kucinich and U.S. Sen. Sherrod Brown, both Ohio Democrats, in obtaining bailout dollars.
Hoadley says he does not want to be lumped in with the financial and auto companies seeking handouts from the government. He points out that unlike these companies that need the government's money because they failed at their business, his district has excelled - it just doesn't have adequate financial resources to continue providing the quality education that our children deserve.
We're not looking at this from a bailout standpoint. We don't want to be lumped in with failing corporations," said Hoadley. He noted that Olmsted Falls has long been one of the state's top-rated school districts.
(I'm liking this Hoadley guy.)
Hoadley is encouraging other school districts to make similar requests to the Treasury Department for a part of the bailout money. It does not appear that any other districts have followed suit, although several school associations are investigating the matter right now. And Miami-Dade Schools superitendent Alberto Carvalho is on record saying that Congress should consider bailing out the nation's schools, too, although he has not yet applied for any bailout money.
For Superintendent Hoadley, it's all about the children and their education.
"Somebody has to be looking long-term," Hoadley said. "The only way we're going to dig ourselves out of this economic hole is investing in education."
Finally, some common sense being spoken about this bailout mess. Investing bailout money in our schools will not only help all of our children get the education they deserve, but schools are also big employers and economic engines in our communities. And they produce something much more important than cars or, um, whatever it is that the financial firms produce. They produce educated minds. Bailout money for schools. Now!