Tensions over leadership flare at St. Croix Prep

A struggle over leadership at St. Croix Preparatory Academy has ensued after four board members abruptly quit last month and the school's development director threatened to sue the 1,200-student charter school.

The dispute takes on growing importance as a June 30 deadline nears for the school to renew its contract with its authorizing corporation, Friends of Education, of Wayzata.

"A renewal period of less than five years will have significant negative impact on SCPA's relationship with its bondholders," new board chairman Jim Markoe and six remaining board members wrote in a March 31 message to parents and teachers.

Friends of Education became aware of "serious legal and governance concerns" involving unelected individuals tampering with the board's business, according to a letter from executive director Beth Topoluk.

School administrators said that a complaint against board member Perri Kauls had been resolved with no disciplinary action taken. Another complaint against the board regarding its handling of that complaint also was resolved, according to school information.

Markoe said that new board members — four parents and one faculty member — elected June 2 will receive extensive training to persuade Friends of Education that the board can lead the school in a more strategic direction.

"We need to function at a much higher level. That's not what was happening in the most recent turnover of the board," Markoe said in a recent interview.

Kauls wrote in her resignation letter that St. Croix Prep "is not a private school that belongs to a small handful of individuals," but a public school "that belongs to the people that make up its community." She said it is the board's responsibility to think critically and ask difficult questions, but "the board must also expect and demand the same behavior from the executive director and administrative team."

Witikko wrote of "potential corrupt decisionmaking" as well as "depowerment" of the board and "utter lack of focus on the school's true customer, the parents and children."

Said Meyer, "It's quite unfortunate that during this time I've had to suffer the consequence of the system that appears to have very little intention to remain true to its mission and setting an example worthy of being followed in regards to character and leadership."

Kugel wrote that "the current administration leadership has lost sight of the need for communication and cooperation with parents and teachers alike."

Markoe, who replaced Meyer as board chairman, said he couldn't comment on the departures because of state privacy laws. However, he said, board responsibilities for new members will be "made very clear" through additional training.

The school opened in 2004 in a small Stillwater storefront, moving twice before building and expanding along Stagecoach Trail in Baytown Township.

"Now we're an institution so for the board it's more strategic, it's visionary, it's governing," Gutierrez said. "That transition for all of us, from Year 1 to Year 11, has been a change."

Topoluk wrote in March that "multiple persons" had complained to Friends of Education that relatives of at least one board member were "sorting through school communications to determine which communications the board member(s) should review. … "

In response, the academy pledged "longer-term measures" requiring new board members to become familiar with ethics, policies, contracts, documents, operations and the school's "academic and financial status." Training will include learning Minnesota's Data Practices Act and the state's open meetings law, the letter to Topoluk said.

Topoluk wrote in an April 8 letter that Friends considered the school's new oversight actions a "satisfactory resolution and currently does not contemplate adverse consequences" in renewing the school's contract.

Over objections of some board members who left, she reached a settlement with the school for $15,000 in salary, $30,000 in installments for "personal injury," up to $15,000 for her retirement fund, and payment for some health benefits through June 30. Bramstedt was earning $60,000 a year, Gutierrez said.

Markoe declined to comment on possible connections between the settlement and the board departures, adding that he's aware of accusations from some parents that the school is hiding something.

"We communicate to the extent we're allowed by law," he said. "It creates a tension but that tension is a reality of respect for people's privacy. It's not in any way an effort to keep information from people."