Goldman Sachs, special education and the Pay for Success fraud.

stuart_carlson_goldman_sachs

-Bev Johns

It turns out that the Utah 99 percent claimed success rate in keeping kids out of special education is the very first Pay for Success project in the U.S of any kind to begin to pay off investors (Goldman Sachs and the Pritzkers).

It is in both the Senate and House ESEA bills as a permissive use of Federal funding for both State and local school districts.  Pay for Success was put into both bills months before even this most dubious example produced “results”.

And which National organization is raising questions about it?

CEC does not reply or says it has taken no position. LDA is quiet. So far, NEA and AFT have not considered it important enough to their members to take action.

And some supporters of early childhood funding just look at the money, not the source of the money, and not so much the dubious (if not outright fraudulent) results.

Such is the state of the field of special education.

Blog from Pay for Success website below.

www.payforsuccess.org

Note the profit making Goldman Sachs is fronted by the nonprofit Finance Fund on Pay for Success.

And the intermediary in Utah is the United Way, which paid Goldman Sachs and others over $1 million in United Way contributions to start the Utah project, and certified the 99 percent “success” rate, and the first investor repayment to Goldman Sachs and the Pritzkers (neither one is mentioned in the their post)

4 thoughts on “Goldman Sachs, special education and the Pay for Success fraud.

  1. My husband and I are retired special educators and were members of CEC for many years. We were members when the organization used to participate in professional research, policy and active involvement at national, state and local levels for the betterment of children with disabilities.
    What happened to that organization? They have been silent for years, and only publish fluff pieces – Reader’s Digest versions of feel-good articles. They are no longer the professional organization they once were.
    Arne & Co. could not have destroyed education, especially services for SWD, if professionals had a voice and the folks at the helm of AFT & NEA were not dragging heavy sacks of $$$ around to keep quiet & support more destructive politicians.
    When will their day of reconning come? Not too soon!

  2. Thank you for continuing to update this important story, although truthfully, each time I read about it, I feel physically ill that someone is trying to make money this way.

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