Tag: school district

  • Houston ISD Fraud: The $6 Million Scandal Uncovered

    Imagine millions of dollars meant for school repairs, classrooms, and playgrounds vanishing into the pockets of corrupt officials. That’s exactly what happened in Houston, where a jaw-dropping fraud scheme involving a top school administrator and a contractor just ended with guilty verdicts. After a dramatic four-week trial, Brian Busby, the former Chief Operating Officer of Houston ISD (HISD), and Anthony Hutchison, a contractor, were convicted of 33 federal charges, including bribery, wire fraud, and witness tampering. Let’s break down how they pulled off this nine-year heist—and how they got caught.

    The Players: Who’s Who in the Scandal

    • Brian Busby: The man in charge of HISD’s $260 million budget and 7,000 employees. He was supposed to ensure taxpayer money went to schools—but instead, he allegedly pocketed cash and even got free home renovations. His salary at the time was over $150,000/year while working for the district.
    • Anthony Hutchison: A contractor whose companies, Southwest Wholesale and Just Construction, scored lucrative HISD contracts. Prosecutors say he overbilled the district by millions and paid bribes to keep the scheme alive.
    • The “Bribe Squad”: Five former HISD officials admitted to taking bribes and testified against Busby and Hutchison. Their roles?
      • Rhonda Skillern-Jones: Former HISD Board of Education president, caught accepting $12,000 in a Walmart parking lot.
      • Derrick Sanders: Officer of Construction Services, pressured to approve Hutchison’s inflated bids.
      • Alfred Hoskins: General Manager of Facilities, Maintenance, and Operations, who greenlit unnecessary projects.
      • Gerron Hall and Luis Tovar: Area Managers for Maintenance (South and North), who allegedly rubber-stamped Hutchison’s work in exchange for cash.

    The Scheme: Cash, Contracts, and Cover-Ups
    This wasn’t just a few under-the-table deals. The scam ran like a well-oiled machine:

    1. Rigged Contracts: Busby strong-armed HISD staff to award Hutchison’s companies projects, bypassing competitive bidding. After Hurricane Harvey, Hutchison scored even bigger contracts for repairs.
    2. Bribes in Parking Lots: Skillern-Jones testified that Busby handed her $12,000 in cash in a Walmart parking lot after Hutchison’s company completed two school projects.
    3. Lavish Trips and Gambling: Some officials received bribes during wild Vegas getaways. One witness recalled Hutchison yelling “next!” to signal it was Busby’s turn for a cash payout.
    4. Overbilling Bonanza: Hutchison’s companies charged HISD double for supplies like lawn care and construction materials, pocketing over $6 million in fraudulent charges.
    5. Tax Tricks: Busby deposited nearly $3 million in unexplained cash into 18 bank accounts. Hutchison wrote fake checks to cover bribes and gambling debts, then lied on his taxes.

    Gerry Monroe, a community activist from Houston’s Third Ward, was known as The Five Star General on social media and YouTube before he passed in 2024. He has been discussing the buildup for years. Here is a video from three years ago. It covers the wire Rhonda Skillern Jones was wearing while collecting the bribe money.

    The Cover-Up: “Just Say It Was for Gambling!”
    When the FBI started investigating in 2018, Busby and Hutchison panicked. They pressured witnesses to lie, telling one official to claim a damning handwritten ledger (detailing bribes) was just “gambling notes”. But the evidence was overwhelming:

    • The Ledger: Found in Hutchison’s home, it listed every bribe payment and project.
    • Text Messages and Bank Records: Showed a trail of cash deposits, fake invoices, and cozy communication between the duo.

    The Fallout: What Happens Now?

    U.S. District Judge Andrew Hanen presided over the trial and has set sentencing for July 28. At that time, Busby and Hutchison face up to five, 10 and 20 years, respectively, for the conspiracy, bribery and witness tampering charges. Hutchison also faces up to 20 years for each count of wire fraud. All charges also carry a $250,000 maximum possible fine. Skillern-Jones, 39, Houston; Sanders, 50, Hoskins, 58, Hall, 48, all of Missouri City; and Tovar, 39, Huffman have pleaded guilty to the conspiracy charges. They face up to five years in prison. — U.S. Attorney’s Office, Southern District of Texas

    U.S. Attorney Nicholas Ganjei called the scheme a “betrayal” of Houston’s students, while the FBI vowed to root out corruption. HISD is Texas’s largest school district, serving predominantly low-income students. Every dollar diverted to luxury trips or home renovations meant fewer resources for classrooms, teachers, and kids. The trial had more than 50 witnesses. There was a mountain of evidence, from Vegas selfies to parking lot cash drops. All of this revealed a picture of greed that’s so bold it’s unbelievable.

  • Houston ISD: First Year Snapshot under TEA Control

    Before I begin this article, I would love for you to watch the following clips as references to give you a better idea of what led to the TEA takeover in Houston ISD.

    Recorded this on my lunch break in April 2023. Please excuse the colorful language. This rant came from a place of concern.

    The 2023-2024 school year marked a turbulent chapter for the Houston Independent School District (HISD) as it became the largest district in Texas to fall under the control of the Texas Education Agency (TEA) due to low performance at Phillis Wheatley High School. This unprecedented move sparked heated debate, leaving many wondering about the impact on Houston’s students, educators, and the community. Let’s delve into the first year of this takeover and explore the key developments, ongoing challenges, and the uncertain road ahead.

    Leadership Shakeup and Reform Initiatives

    Mike Morath, TEA Commissioner, appointed a new Board of Managers and Superintendent Mike Miles, who implemented various reforms focused on academics, school climate, and community engagement. Increased investment in core subjects, new curricula, and teacher training aimed to boost academic achievement. Initiatives to improve school safety included converting some libraries into “team centers” for students facing behavioral issues, a move met with criticism from parents and educators.

    A Year of Challenges: Teacher Shortages, Special Education Concerns, and Community Discontent

    The first year under TEA control presented significant challenges. A teacher shortage forced HISD to hire non-certified teachers, particularly in special education, raising concerns about the quality of instruction for special needs students who require specialized support. Parents also expressed anxieties regarding changes in Individualized Education Plans (IEPs) and access to qualified specialists.

    The TEA takeover fueled a sense of unease within the community. Many residents worried about a loss of local control over HISD schools and felt the TEA lacked transparency in decision-making processes. Regular board meetings offered opportunities for public input, but some community members felt their voices were not being heard.

    The Budget Shortfall

    As Texas’ 7th largest school district, Houston ISD has been grappling with financial difficulties for years. Currently, they are dealing with a staggering $450 million budget gap. To put this in perspective, HISD’s total budget for the upcoming year is $800 million. This deficit has forced the administration to make tough choices; such as staff reductions across many departments and removal of quality programs, like libraries.

    1. Position Cuts and Non-Renewals:
      • Miles confirmed that an unspecified number of teachers will not have their contracts renewed next school year. Principals are assessing all data to make decisions on which teachers should return.
      • He emphasized the importance of looking beyond spreadsheets and considering factors like teacher responsiveness to feedback and continuous improvement mindset.
      • While the exact number of non-renewals remains fluid due to ongoing decisions by teachers, Miles believes the district will be able to fill those positions as it did last summer.
      • No teachers or principals have been let go, but other positions (such as custodians) are being reduced across various departments.
      • Wraparound Services Specialists, who ensure students’ are receiving non-academic services, are being cut as well.
    2. Budget Gap:
      • HISD faces a significant budget gap, estimated at $450 million for the upcoming school year.
      • The end of federal COVID-19 relief funds (ESSER dollars) has complicated the financial situation.
      • Jobs in various roles, including custodians and administrative staff, are at risk due to the funding gap.
    3. Campus Funding Cuts:
      • Some campuses within HISD are experiencing up to 12% budget cuts for the 2024-2025 academic year due to declining enrollment and other factors.
      • The New Education System (NES) reforms, coupled with the exhaustion of federal monies, contribute to the funding challenges.

    In summary, Superintendent Miles acknowledges the severity of the budget crisis and emphasizes data-driven decision-making while navigating these financial constraints

    The outlook on the budget for the next school year is unclear. The TEA has yet to release its funding plans for HISD, and budgetary constraints could further limit resources for crucial areas like teacher recruitment, special education services, and instructional materials.

    The second year of the TEA takeover will be critical. Continued improvement in academic performance will be a top priority. Addressing teacher concerns, ensuring qualified educators are in place, and fostering trust within the community will be essential for long-term success. Increased transparency from the TEA and the Board of Managers regarding decision-making and communication with the community will be crucial to navigating this uncertain path forward.

    State takeovers have a mixed track record in Texas. While some districts have seen improvement, others have struggled. The long-term impact on HISD remains to be seen. Stay tuned for further insights into the evolving story of Houston ISD.