Commentary

Detroit Charter Opening Doors of Opportunity

Frontier International Academy shines on CAP Report Card

Quietly but effectively, Frontier International Academy has stood out in making a positive impact on the newer, less privileged American high schoolers who have enrolled there.

On the most recent edition of Mackinac Center's Context and Performance Report Card, Frontier ranked 11th out of 674 high schools statewide. A longer-term measure proved equally remarkable. Combining measured performance from the last 11 years, only five Michigan high schools earned a higher score.

Mackinac's report uniquely adjusts multiple years of state test results based on the level of student poverty in a school. Nearly every single student at Frontier, a public charter school authorized by Bay Mills Community College, is deemed low-income.

Frontier International Academy occupies an old but stately facility that formerly housed Cleveland Middle School building, closed down by the Detroit school district in 2010. The school's management company, Global Educational Excellence, invested in overhauling a structure that was in a bad state of disrepair. Today, more work is being done to make fuller use of the space, converting one wing to serve additional students in grades K-5 next year.

Most of the students served are first-generation immigrants, many from regions in south Asia. In all, 65 percent of the high school's 500-plus students come from homes where English is not spoken as the primary language. The school takes in some learners from higher-performing charter schools like Bridge Academy West and Hamtramck Academy, along with peers from other area schools who tend to need more help. Some students arrive well behind grade level.

"A lot of kids don't have any parents helping them with school work," said high school Principal Dr. Adnan Aabed. "Their parents are working, sometimes in long shifts." The school provides double doses of English and math instruction to students who come in the furthest behind. Some may even take an extra weekly 2-hour ESL class.

Teachers are carefully trained how to deliver "sheltered instruction," a research-backed model that puts extra attention on helping English language learners comprehend classroom content. The model also focuses on providing extra support to students dealing with more serious emotional issues.

Given the challenges, Aabed is proud of his school's 93 percent attendance rate. By the time students reach their final year at Frontier, showing up for class extends beyond campus for part of the day. More than 60 students this year are dual-enrolled at area community colleges.

Aabed says many parents, especially those with daughters, choose his school out of safety concerns. The data reflect the trend: Last school year, 55 percent of Frontier students were female. Another factor that makes the school popular for families is its highly regarded Arabic language program, which blends material on American history and culture into the curriculum. Even so, appreciation of different cultures represented on campus stands as a core value.

Nearly every student at Frontier ends up earning a diploma. Not all of its graduates go on to higher education, in some cases due to cultural expectations. But school leaders employ various programs to help make sure all students have the skills and confidence to take the next step up. That includes the availability of three Advanced Placement courses, growing to five in 2019-20.

"I have had the experience of working with students who came to school as a 9th grader who didn’t understand English, not familiar with American culture, then saw them graduate four years later ready for the challenge of college," said Debrah Davidson, a veteran teacher who also chairs the School Improvement Team. "They are living proof we make a difference."

A caring, effective and stable teaching workforce is a key ingredient of success. It takes a higher starting salary to bring them in, but Aabed noted that more than 95 percent of Frontier's faculty return from year to year.

A sense of mission and accomplishment is instrumental in keeping many of the charter school's educators on board. As Davidson said, "We open doors of opportunity for generations to come."

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.

News Story

Tax Parity? Or Just A Big Tax Hike On Many Michigan Small Businesses?

Gov. Gretchen Whitmer proposes increasing tax rate on many businesses from 4.25 percent to 6 percent

Democratic Gov. Gretchen Whitmer has proposed raising the income tax rate on thousands of Michigan business owners. The increase mostly affects owners of smaller firms, raising their income tax rate from 4.25 percent to 6 percent.

The proposal did not sit well with the National Federation of Independent Business, which is the largest association of small business owners in the country.

“We understand that the budget is a process and, while we are disappointed with the governor’s initial proposal, we look forward to working toward a practical budget that moves our state forward,” Charlie Owens, the NFIB state director in Michigan, said in a news release.

Under Michigan’s current business tax system, the earnings of C corporations – which is the most common business form for large corporations – are taxed at 6 percent. By contrast, owners of flow-through entities – which include sole proprietorships, partnerships, S corporations and some businesses – pay state taxes on company earnings at the same rate as individuals, which is currently 4.25 percent.

The governor says that her proposal would create parity between the different forms of business.

Owens said in a phone interview that if Whitmer wants parity, she should propose lowering the rate for C corporations rather than raising the rate for other forms of corporations. Her proposal, he said, would amount to a $300-million tax increase that mostly harms small businesses. He said that such a large increase will lead to slower economic growth.

The proposal would exempt the first $50,000 of income earned by a flow-through entity from state income tax, which is said to offset part of the tax hike. Treasury Department officials estimate there are 250,000 Michigan firms that are not C corporations and due to the deduction, 100,000 of them would see no increase.

Additionally, Owens said that taxpayers are still on the hook for $600 million annually in corporate subsidies over 30 years, most of which were granted by former Democratic Gov. Jennifer Granholm. These subsidies, he said, overwhelmingly help larger corporations at the expense of smaller ones.

Ron Leix, a spokesperson for the Michigan Department of Treasury, said that classifying this as a small-business tax is a misconception.

“We protect many of our small businesses from this increase with a $50,000 deduction,” Leix said. “So those with business income below $50,000 will pay no additional pass-through tax.”

“The largest pass-through businesses will likely see their combined federal and state taxes decrease,” he continued. “The smallest businesses with income less than $50,000 will not pay any additional tax. A typical pass-through business with $80,000 in profit will see their state and federal taxes increase by $309.”

For this to pass, Whitmer will need support from the Michigan House and Senate. Both chambers have a Republican majority.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.