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IN RE: APPOINTMENT OF A RECEIVER FOR THE HARRISBURG SCHOOL DISTRICT IN THE COURT OF COMMON PLEAS OF DAUPHIN COUNTY, PENNSYLVANIA NO. 2019 CV 3960 MD. CIVIL ACTION - LAW MEMORANDUM OPINION Under the Commonwealth of Pennsylvania's constitutional structure, a school board of director’s authority is not derived directly from its electorate. Instead, the authority is statutorily granted by the General Assembly. Similarly, the General Assembly maintains authority over all ofits subdivisions, especially when a subdivision is in financial distress. Under the Public School Code of 1949, 24 P.S. § 1-101, et. seq., the General Assembly provided special statutory provisions establishing the School District Financial Recovery law (Article VI-a) providing for financial recovery plans, as well as receivership. In the present case, then-Secretary of Education Ronald J. Tomalis issued a Declaration of Financial Recovery Status on December 12, 2012, deciaring the Harrisburg ‘School District (hereinafter “District”) in Moderate Financial Recovery Status as set forth in 24 P.S. § 6-621-A, and therefore, subject to the Financial Recovery Law, 24 P.S. § 6- Pa. Const. at. Il, § 14 Page 1 of 7 601-A et. seq. Gene G. Veno was appointed to serve as the first Chief Recovery Officer (hereinafter “CRO’) for the District pursuant to 24 P.S. § 6-631-A. The CRO's recovery plan was adopted by the District's board of directors on May 17, 2013 (hereinafter “2013 Plan’)? On May 31, 2013, the 2013 Plan was approved by then-Executive Deputy Secretary of Education Amy C. Morton. In July of 2015, Dr. Audrey Utley was appointed to serve as CRO. Dr. Utley prepared an amended recovery plan that was unanimously approved by the District's board of directors on May 31, 2016 (hereinafter “2016 Amended Plan’).* The Secretary of Education approved the 2018 Amended Plan on June 9, 2016.5 In October of 2018, Dr. Janet Samuels was appointed as CRO. On June 3, 2019, the Pennsylvania Department of Education filed a Petition for Appointment of a Receiver for the Harrisburg School District in accordance with 24 P.S. § 6-671-A. In its Petition, the Secretary of Education asserts that the District's board of directors (1) failed to comply with the directives issued by the CRO and (2) failed to satisfy or continue to satisfy the objectives stated in the 2016 Amended Plan. One of the objectives in the 2016 Amended Plan was to improve student academic performance (initiative ED04 — Increase Academic Accountability). In order to demonstrate success, the District was required to achieve improved student performance across all grades on the PSSA and Keystone Exams, using the District's 2014-2015 PSSA and Keystone Exam results as a baseline.® Specifically, by June 2018, the District 224 PS. § 6-652-A(C). 324 P.S. § 6-652-A(d). 424 PS. §§ 6-652-A(a), (). 524 PS. § 6-652-A(d). © See 2016 Amended Plan, Petition for Appointment of a Receiver for Harrisburg School District, Exhibit 7. Page 2 of 7 was required to: (1) eliminate the gap between the District's 3" grade English Language Arts ("ELA") and Mathematics PSSA achievement scores and the current stale PSSA average scores for 3 grade; (2) close the gap by fifty percent (50%) of the difference between the District’s ELA and Mathematics PSSA achievement scores and the current state PSSA average scores in grades 4 through 8; (3) close the gap by fifty percent (50%) of the difference between the District's Keystone Proficiency Rate in Algebra |, Biology, and Literature and the current state Keystone achievement average at John Harris High School; and (4) close the gap between the District's Keystone Proficiency Rate in Biology and the current state Keystone achievement average at Sci-Tech High School, The following table demonstrates those objectives’: 2014-2018 | 2014-2015 | Reauiied | Required | Required cute Dene ual Annual nual Average Results a Soore one ae (2015-2016) | (2016-2017) | (2017-2018) PSSA Math Grade 3 | 48.5% 70.4% 23.1% 35.8% 48.5% PSSA ELA- Grade 3 62.0% 18.8% 33.1% 478% 62.0% PSSA Math - Grade 4 | 44.5% 8.4% 15.3% 21.2% 27.1% PSSA ELA —Grade 4 58.6% 47.4% 24.3% 32.1% 38.1% PSSA Math Grade 5 | __ 42.8% 6.2% 12.3% 18.4% 24.5% PSSAELA~Grade 5 | 61.8% 18.1% 25.4% 31.2% 40.2% PSSA Math - Grade 6 | 39.7% 6.1%, 12.2% 17.7% 23.2% PSSA ELA~Grade 6 | 60.7% 19.8% 26.6% 33.4% 40.3%, PSSA Math - Grade 7 | ~_33.1% 3.0% 86% 13.5%, 18.4% PSSAELA~ Grade 7 | 58.7% 15.5% 227% 29.9% 37.1%. PSSA Math - Grade 8 | 29.8% 47%, 89% 13.1% 17.3% PSSA ELA—Grade 8 |. 58.0% 19.3% 25.8% 32.3% | 38.8% Keystone Algebra 1 ~ Sere ‘| 945% 18.1% 25.8% 33.5% 41.2% Keystone Biology — " Deena 728% 23.2% 31.5% 39.8% 48.1% Keystone Literature — z ; 7 Sohn Hares 59.0% 10.9% 18.9% 26.9% 34.9% Keysione Biology — 9 : ise Teoh 72.8% 42.1% 52.3% 62.6% 72.8% The information contained within the table is derived from the 2016 Amended Plan on pages 18-20, attached as Exhibit 7 to the Petition for Appointment of a Receiver for the Harrisburg School District Page 3 of 7

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