IPEC executive director highlights risk of state takeover of IPS if voters reject tax measure

The Indiana Public Education Corporation (IPEC) Executive Director, Karega Rausch, warned the board about the potential consequences of a failed $95 million property tax referendum during their Thursday meeting before the November 3 Election Day. He stated that if the referendum does not pass, it could lead to the insolvency and state takeover of Indianapolis Public Schools (IPS).

Board member Patricia Castañeda echoed Rausch's concerns, stating that a state takeover is not in the best interest of children, families, or communities. IPEC's primary focus since its formation earlier this year has been securing the passage of the referendum, but the board is now preparing for future meetings where they will discuss more detailed budget and plans for unified transportation, facilities, and accountability.

Rausch also announced that they will provide voters with a reporting tool to track how referendum dollars are spent at IPS and charter schools, ensuring that "not a dime" of the referendum money goes to IPEC. The board has approved its first budget of $3.2 million, which includes $1.9 million for consulting and other outside expertise, $1 million for staff salaries, and $300,000 for physical space.

IPEC Chair David Harris acknowledged that the budget is a high-level outline, and further planning is needed. IPEC will next meet on November 12 at 5:30 p.m., with the meeting expected to be longer than previous ones.