Unable to account for $400,000 in tax credits, the state will take a new look at how it approves the groups that distribute those funds.
By STEPHEN HEGARTY
Published August 28, 2003
Florida's education commissioner has ordered an investigation into how his department approved the scholarship funding organizations that distribute millions in school voucher money.
The investigation comes after Commissioner Jim Horne cut off funding to one of the organizations because he was unable to determine what happened to more than $400,000 in tax credits.
The director of the Silver Archer Foundation in Ocala is the former owner of a private school that went bankrupt, and has a history of lawsuits and criminal charges, though no convictions.
"The Inspector General is looking into the (organizations)," said Department of Education spokeswoman Frances Marine. "What was the approval process? Was it followed?"
Horne also is expected today to propose a package of reforms for the Corporate Tax Credit Scholarship Program, which allows corporations to forgo paying state taxes if they donate an equal amount to one of the funding organizations. The organizations are supposed to use the money to pay tuition for low-income children.
This is the second time in as many weeks that Horne has proposed changes after embarrassing revelations threatened to undermine public confidence in the voucher programs.
Two weeks ago, Horne announced new requirements for private schools that take state vouchers. The schools now must fill out a "sworn compliance form" providing information on their school and teachers.
That change came after the state halted funding to an Islamic school in Tampa that was co-founded by a man alleged to have terrorist ties. The state earlier cut off funding to a St. Petersburg school that was operating out of a private home until code violations forced a temporary move to a local library branch.
Horne has to strike a delicate balance in tightening accountability. Private schools are less likely to participate in voucher programs if the bureaucratic burden becomes too onerous. And the funding organizations that collect and distribute millions in tax credit dollars face few state requirements.
But Horne now seems to have little choice. In recent days, lawmakers have said they plan to propose their own changes to the program, which is capped at $88-million this year.
At least one of the organization directors said he welcomes reforms.
"We are working with the (Department of Education) on improving the accountability of the SFOs," John Kirtley, director of Florida Pride, wrote in an e-mail.
"I know that it is a priority of the commissioner," Kirtley wrote. "The Florida Association of Scholarship Funding Organizations has already adopted standards that go above the standards already in the law. It is our hope that the DOE adopts them."
