麻豆影视

When Congress approved $190 billion to combat the educational devastation wrought by the pandemic, the Stockton, California, school system was practically the poster child for a district in need.

Nearly 80% of students in the Central Valley district live in poverty. High COVID infection rates were packing plants where many of their parents work, and when schools reopened, more than a third of students were chronically absent. 

But almost three years after began flowing to school districts, Stockton has spent only a fourth of the $241 million it received, overcome by and deep mistrust among board members. The money it did spend has come under fire from two civil grand juries, who criticized the school board for approving at least two projects it later abandoned. And Tuesday, an independent auditor hired by the San Joaquin County Office of Education is expected to release the results of a long-awaited into the district鈥檚 finances.

Based on the grand jury reports 鈥� as well as documents The 74 obtained from public records requests and numerous interviews 鈥� several questionable expenditures have emerged, including: 

• $7.3 million in air filters designed to kill COVID from a firm that was not licensed at the time to do business in California 鈥� the bulk of which remain unused in a district warehouse.
• Over $2 million to cover the six-figure salaries of 14 district executives. One of them also runs a popular that regularly targets political enemies, including student activists and teachers. 
• $150,000 in startup costs to a program designed to help students make up for months of instruction lost during the pandemic. After five months of planning, the district pulled the plug after deciding it would cost too much. 

鈥淪tockton is a worst-case scenario,鈥� said Jeffrey Henig, a political science and education professor at Teachers College, Columbia University, who studies school boards. The Biden administration, he said, distributed the relief funds as quickly as possible with 鈥渁n expectation that districts would understand their needs and be able to use it intelligently.鈥�

Instead, with seven superintendents in as many years 鈥� and the board of trustees now 鈥� the district鈥檚 recovery has stalled. It faces a $30 million deficit and risks losing control of its affairs to the county education office.

Losing patience, the community is demanding that leaders address how they plan to use the funds to benefit students.

鈥淚 hoped that class sizes would be smaller, that teachers would have some extra time to step back and help their students that are struggling,鈥� said Michelle Munoz, who left her job in Stockton as an instructional coach last fall. She wanted the district to hire staff to find students who didn鈥檛 show up for online learning, but that didn鈥檛 happen.

Despite the relief funds, she said one school she worked at couldn鈥檛 get a carpet and other furnishings to open a 鈥渃alming room鈥� for students with behavior and trauma issues. At her most recent school, Wilson Elementary, she heard a secretary on the phone asking to buy rolls of laminate for classroom posters on credit because the board had yet to approve the district budget.

鈥淚 know it’s always been a problem, teachers having to buy their own supplies,鈥� she said. 鈥淏ut now you have millions of dollars.鈥�

A 鈥榗risis of self-image鈥�

The district鈥檚 financial turmoil didn鈥檛 occur in isolation.

In 2012, Stockton became the largest city in the nation at the time to . During the housing boom, the city increased retirement benefits for its employees and financed new sports venues downtown along the San Joaquin River. But when the bubble burst, it was unable to pay its bills.

鈥淪tockton has had 鈥� and this is reflected in the schools 鈥� really dicey economic times,鈥� said Robert Benedetti, a professor emeritus of political science at the University of the Pacific, which has a campus in Stockton.

On top of that, he said, the city suffers from a 鈥渃risis of self-image鈥� 鈥� labeled more than once by as America鈥檚 worst and 鈥渕ost miserable鈥� city because of high unemployment and violent crime. 

And it鈥檚 not just the city that has been singled out for such harsh critiques. “I think Stockton Unified might be the worst system in the country,” was the recent assessment of a prominent California school reformer, whose nonprofit issued decrying the district’s “inept governance.”

Even strong districts with stable leaders have struggled to spend their relief funds in the face of staff shortages and supply chain delays. By the time the money came Stockton鈥檚 way, however, the district had been beset by years of interpersonal feuding and economic malaise. Since 2017, enrollment has declined from about 44,000 to 36,000 students, contributing to anxiety in a community where over 3,000 people work for the district.

鈥淧eople鈥檚 livelihoods are affected when programs shrink,鈥� said John Ramirez Jr., who resigned as superintendent last June after just 13 months. 鈥淥f course there is going to be concern.鈥�

鈥榃hat鈥檚 he trying to sell?鈥� 

The pandemic was to the region鈥檚 economy. Then, just as schools were trying to recover, separate grand juries in and issued scathing reports that didn鈥檛 inspire confidence in the district鈥檚 ability to manage a huge federal windfall. 

California impanels civil grand juries to serve as government watchdogs. In Stockton, the panels pointed to a district in disorder and a 鈥渧icious cycle鈥� of superintendent turnover: Promising projects started under one leader would be abandoned when the next one took over.

Frequently, students paid the price.

鈥淚 know it’s always been a problem, teachers having to buy their own supplies. But now you have millions of dollars.鈥�

Michelle Munoz, former Stockton instructional coach

The district contracted with Educational Consulting Services Inc. of Huntington Beach to provide a Saturday program for students to make up for missed instruction 鈥� a sorely needed service in a district where are chronically absent, 79% are not proficient in grade-level math and 73% are not proficient in grade-level reading.

But after paying $150,000 in federal relief funds for start-up costs and signing in January 2022 with the teachers union to provide instruction, efforts to launch the program ceased, according to the grand jury. 

Marcus Battle, then the district鈥檚 chief business official, called the program 鈥渁 noble idea鈥� that fell victim to poor planning. The district, he said, initially sought to roll out the program to less than 20 schools. But when leaders decided to expand it to serve thousands of students at a potential cost of 鈥渢ens of millions鈥� of dollars, he worried it would 鈥渟piral out of control鈥� and withdrew his support.

A district spokesperson declined to discuss the episode.

Another relief-fund project that started only to be quickly abandoned was a $7.3 million investment in ultraviolet air filters designed to kill COVID. The firm hired to provide and install the filters, IAQ Distribution of San Diego, was not licensed at the time to do business in California, the grand jury found.

In part of a pattern the panel identified, the board approved the contract even though district staff rated IAQ鈥檚 proposal the lowest-quality bid out of five submitted. 

The district would not elaborate on why the work was left unfinished. Newly installed board President AngelAnn Flores, the lone member to vote against the contract in August of 2021, is pushing for an investigation into what she deems 鈥渕isspent money.鈥� She called the deal 鈥渂ogus鈥� and said the district is planning to sue IAQ to recoup $6.6 million.

Neither IAQ nor its parent company, Alliance Building Solutions Inc., responded to calls or emails seeking comment.

Ultimately, only the district paid for were installed. The rest are sitting in a district warehouse.

The example is one of several cited by the grand jury in which the board of trustees that oversees the school system made 鈥渃rucial decisions with minimal data, knowledge and consideration.鈥�

In the case of IAQ, lifelong connection between a former board member and Anthony Silva, a former Stockton mayor with a long list of legal troubles.

鈥淚 heard about it through Anthony Silva,鈥� Scot McBrian, a trustee at the time, told The 74. 鈥淢y first thought was, 鈥榃hat’s he trying to sell?鈥� I asked him if he had any financial interest in it and he said no.鈥�

McBrian said he鈥檚 known the former mayor since they played chess when Silva was a teenager. Aside from the tip from an old friend, the filters reminded him of an air purifier he used to sell in Texas and later installed in his home. After recommending give a presentation on the devices, McBrian told the board that IAQ should be considered a potential vendor.

Without elaborating, the grand jury said, 鈥淭he practice of a trustee recommending a vendor is unusual and may be considered or perceived as a conflict of interest.鈥�

Oprah鈥檚 candidate vs. the 鈥榰nderdog鈥�

Silva 鈥� and his successor as mayor, Michael Tubbs 鈥� play an outsize role in the psychic landscape of the city. Once a school board member who called himself the 鈥減eople鈥檚 mayor,鈥� Silva, a Republican, is a Stockton native who worked to rebuild the city鈥檚 police force and provide as it emerged from bankruptcy. He frequently warned of 鈥渙utside forces鈥� he said were trying to influence the city鈥檚 agenda. 

鈥淧eople see him as an underdog and he always seems to be advocating for the underdog. I think that sometimes resonates with this town,鈥� said Jose Rodriguez, executive director of El Concilio, a nonprofit that runs preschool programs in district schools and opened a charter this school year. 

鈥淚 think Stockton Unified might be the worst system in the country.鈥�

Don Shalvey, California charter school developer

A Stanford graduate, Tubbs leapt to national prominence when Oprah Winfrey to boost his early political career. He sought support from outside donors, including those that embraced charter schools, and backed reformer John Deasy, who served as superintendent of the before running Stockton Unified from 2018 to 2020. Tubbs is best known for launching a to help the city鈥檚 poorest residents and Democratic California Gov. Gavin Newsom.

鈥淗e was talking about programs that were of national interest,鈥� said Benedetti, the University of the Pacific professor. 鈥淗e was not seen as a local in any way, and there was nobody to tout him as one.鈥�

Silva鈥檚 star dimmed following a series of arrests. In 2016, he pled guilty to a of providing alcohol to a minor in connection to a strip poker game at a camp he ran for low-income youth. The following year, he to felony conflict of interest. Prosecutors said he transferred $5,000 from a mayor鈥檚 fund to the Stockton Kids Club, where he served as CEO, and used club donations for personal expenses, including trips and online dating.

In 2022, Silva, who now runs a family entertainment business called Indoor Adventures, to have the conflict of interest charge reduced to a misdemeanor and got the conviction expunged from his record. Multiple attempts to reach him by phone and Facebook, and through two attorneys, were unsuccessful.

Though 2020 was the last time either man occupied City Hall, support for them remains a kind of district shorthand: Silva鈥檚 backers see themselves as defending the traditional school system from privatization, while Tubbs鈥檚 supporters say they want alternatives to a punishing status quo. 

But if Silva disappeared from public life, it鈥檚 often hard to notice.

In 2021, three members of the board of trustees , the current board president, in part because she accused them of being Silva鈥檚 associates. She countersued on First Amendment grounds, and even though the trio later dropped the case, a county that they need to pay Flores over $19,000 in attorneys fees. Silva also sued her for defamation over comments she made at a March 2021 meeting regarding his conviction for serving alcohol to a minor. A hearing on that case is scheduled for March 21.

鈥淚鈥檓 seen as controversial and uncontrollable,鈥� Flores said.

In recent years, shouts of 鈥淥ut of order!鈥� have dominated board meetings. The the board for its frequent use of complaints and censures against trustees in its voting minority, which at the time included Flores.

鈥楻eform politics鈥� 

The tensions in Stockton often arise from a sense of hopelessness in a city where achievement was stagnant even before the pandemic.

鈥淔olks have not had results for a long time. If I鈥檓 a parent, I鈥檓 going to be concerned about that,鈥� said Ramirez, the former superintendent. With 鈥渟econd-, third- and fourth-generation students in poverty, we鈥檙e not going to make a change in our community until they have an opportunity to succeed.鈥�

Ramirez sidestepped questions about district controversies during his tenure, citing the terms of his , which continued his $285,000 salary for an additional year. But he did note that the persistent toxicity tends to overshadow even legitimate accomplishments.

A successful online 鈥� now in more than 40 districts nationally 鈥� got its start in Stockton, and the graduation rate, he said, has increased from 79% to 83% since 2018. The district also at least $9 million in relief funds to upgrade science labs and career education programs.

But many families aren鈥檛 waiting for the district to improve. More affluent parents among Stockton鈥檚 320,000 residents tend to put their children in private schools or move to the neighboring Lincoln Unified district, which has a lower poverty rate and higher-performing schools. Roughly 6,000 Stockton students attend .

Trustee Ray Zulueta Jr. sees the grand jury and fraud investigations as proxy attacks by community members affiliated with 鈥渕ultiple groups donating millions of dollars to education reform politics in Stockton.鈥�

The Bill and Melinda Gates Foundation, for example, awarded in 2020 to the Community Foundation of San Joaquin to expand an 鈥渆arly college鈥� model that allows students to earn college credit in high school. And the City Fund, which supports nonprofit organizations opening charters, donated $1.2 million last year to San Joaquin A+, led by Don Shalvey, the California charter school pioneer who released the damning report on Stockton schools and founded Aspire Public Schools. Shalvey spent 11 years at the Gates Foundation, and the Aspire network now has 10 sites in Stockton. (Both the Gates Foundation and City Fund provide financial support to The 74; donors play no role in newsroom editorial decisions.)

To Zulueta, these are 鈥渓iberal institutions 鈥� working hand in hand with big business entrepreneurs to control localities through takeovers of public education systems.鈥� Campaign donations from local reformers, he said, have favored Democrats on the board who support 鈥減olitical movements like [Black Lives Matter] and defund [the] police.鈥�

209

In most districts riven by reform fights, the most formidable enemies of school choice are typically teachers unions.

But in Stockton, the two groups have found common cause. They mutually endorsed four members for school board, all of whom won in November. Along with Flores, who took over as president, they now hold the majority on the seven-member board.

Silvia Cantu, a sixth-grade teacher at Washington Elementary and a member of the Stockton Teachers Association, said she supported the candidates because she didn鈥檛 like the direction the district was going under the previous board. 

鈥淚 did not want [Stockton Unified] taken over鈥� by the county, she said. The former trustees, she added, 鈥渕ostly spent millions of dollars on administration. [The money] won鈥檛 trickle down to the classroom.鈥�

鈥淣othing you can do will save these devils. I have big plans for all of you.鈥�

Motec煤zoma Sanchez, founder, 209 Times

The success of these strange bedfellows put both groups in the crosshairs of Motec煤zoma Sanchez. In a city full of brash personalities, there is perhaps none so aggressive as Sanchez, founder of the named for the region鈥檚 area code. 

The characterizes the candidates who now lead the board as pawns controlled by and 鈥溾�� set on luring Black and Hispanic families into charter schools. The site posts unflattering-as-possible photos of board members, teachers and even students who raise concerns about the district鈥檚 finances and portrays them as part of a larger plot to expand charters.

The seven-year-old site has grown as the lost readers, from 20 years ago to about 33,000 today.

鈥淚 destroyed them and took over as the dominant media source for the region,鈥� Sanchez boasted in an email to The 74. 

During the 2022 election, the 209 Times accused teachers in the union, by name, of trying to 鈥渇ool unsuspecting parents鈥� into voting for the four candidates. In a typical example, it mocked a former Stockton Unified student 鈥� now 26 and a member of the advocacy group FixSUSD 鈥� by posting her photo next to Fiona鈥檚, the ogre princess from the movie Shrek, with the caption, 鈥淲ho wore it better?鈥�

Out of fear of being shamed by the site, several district employees contacted by The 74 asked to remain anonymous. The irony is not lost on them that the source of their fears is a colleague 鈥� one who serves as the face of the district鈥檚 efforts to welcome families and help those in crisis.

Since 2021, Sanchez has been director of the district鈥檚 . During his tenure at Stockton Unified, federal relief funds have been paying his yearly salary, now at $141,000. 

Sanchez didn鈥檛 respond to questions about his salary or his treatment of political opponents. But in another email, he accused a 74 reporter of being 鈥渁 paid shill鈥� for charter developer Shalvey and 鈥渢he national charter school movement.鈥�

鈥淣othing you can do will save these devils,鈥� he wrote. 鈥淚 have big plans for all of you.鈥�

According to the district, Sanchez is just one of 21 current and former high-ranking central office employees who have been paid with relief funds.

Another is Armando Orozco, who earns $150,000 a year as director of facilities. In September, the district placed him on paid leave after he sent an email to current Interim Superintendent Traci Miller demanding $800,000 to stay silent about 鈥渃orrupt and erroneous actions鈥� in the .

Orozco could not be reached for comment, and the district declined to make Miller available for an interview. 

The head of the agency conducting the fraud investigation has already indicated that paying department directors out of relief funds is a sign of financial distress.

鈥淚f you鈥檙e going to have them in the central office, the implication is that they are there to stay,鈥� said Michael Fine, CEO of the Fiscal Crisis and Management Assistance Team, 鈥淲hy would you be using one-time funds?鈥�

鈥楶ersonalities and vision鈥� 

After running on promises of greater transparency, the new board is under pressure to produce results.

On top of the projected budget shortfall, a fraud investigation and a long list of grand jury recommendations it has yet to implement, the district has just a year and a half to show it can responsibly spend its remaining $180 million before hitting a congressional deadline to obligate the funds.

鈥淲e didn鈥檛 get here overnight,鈥� explained board president Flores, a 45-year-old substitute teacher and former afterschool program leader.

In one of its first official acts, the board in January devoted an entire meeting to informing the public on how relief funds have been spent. Staff, teachers and community members packed the board room of the district鈥檚 modern administration building, about a block from the waterfront. 

Flores, who asked many of the questions, seemed underwhelmed by a series of PowerPoint slides the district provided displaying lump sums for items like transportation, instruction and maintenance. 

鈥淚 was expecting a little more detail,鈥� she said, drawing applause from several observers. She later referenced 鈥渋llegal鈥� facility contracts, but offered no specifics.

Cecilia Mendez, the former board president 鈥� and among those who sued Flores 鈥� waved off any suggestions of financial mismanagement.

鈥淭his board has done nothing wrong,鈥� she said.

Before the trustees took their seats, a district employee placed a small bamboo plant and a copy of The Giving Tree next to each name plate. She reminded them of the adage about money not growing on trees, stressing that the relief funds require 鈥渕onitoring and care.鈥� In the book, the tree gives everything to its ungrateful owner until there is nothing left but its stump.

For about a year and a half, Zachary Avelar sat in one of those seats. Despite losing in November, he does not seem sad to have left it all behind.

 鈥淚 did not enjoy local politics,鈥� said Avelar, who was just 22 when he joined the board. 鈥淓veryone says they’re about helping children, but we both know that’s not true. People here fight over personalities and vision.鈥� 

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