The Bronx Academy of Promise Charter School’s founders have close financial ties to a non-profit, Urban Youth Alliance, whose board shares members with the charter school’s board. For several years, the Bronx Academy of Promise was managed by a for-profit management company, Imagine Schools, Inc., which charged the charter school $358,388 in management fees, about 12 percent of its total expenses. Imagine also loaned the school $1.44 million to begin its operations – at 12 percent interest. This financial arrangement was “on the table” – known to and approved by – the Board of Regents when it granted the school its charter. Records show that a lawsuit was filed over the school’s decision to terminate its relationship with Imagine Schools. The school has had difficulty recovering important financial records from its management company.
Bronx Academy of Promise Charter School
A $2 BILLION DECISION: THE CASE FOR REFORMING NEW YORK’S CHARTER SCHOOL LAW, April 2010, New York State United Teachers