New CPS Board Boosts Its Legal Tab as It Faces Outgoing CEO in Court
Board Approves Increased Legal Fees for Ongoing Litigation
In a split decision, the Chicago Board of Education voted to increase the amount the board can spend on legal fees to $75,000 as it continues to face a legal challenge by outgoing CEO Pedro Martinez. The vote took place after a two and a half hour closed session, with 12 members voting in favor of the measure and six voting against.
Background on the Dispute
The CEO has been at odds with the School Board and the mayor’s office for months. He was terminated by the previous board without cause in late December, although he will stay on until June. The dispute is rooted in a bitter disagreement between the CEO and the mayor’s office over how to deal with a budget deficit and how to settle the Chicago Teachers Union contract.
Costs Adding Up
The increase in legal fees may seem modest, given the school district’s $9.8 billion budget. However, it shows that costs are adding up in a leadership drama that has gripped Chicago Public Schools since the summer. Initially, the board approved a $40,000 contract for firm Cozen O’Connor in mid-November, just two and a half months ago.
Voting Breakdown
The votes aligned with the board members’ affiliations. Among those that voted in favor of increasing the law firm’s contract, eight were appointed by the mayor, three were supported by the Chicago Teachers Union during the fall election, and one ran as an independent. All the no votes were elected members who were not endorsed by the CTU, except one. One board member didn’t vote and the board president only votes to break a tie.
Other Legal Fees
The school district spends millions on outside law firms. At Thursday’s board meeting, board members approved a slight increase, to almost $4.7 million, that CPS is authorized to spend on outside law firms. These law firms work on a variety of areas, from talent to real estate. The law firm that stands to make the most, Franczek, P.C., is handling negotiations for CPS with the CTU. The maximum Franczek can earn under the current contract is $850,000.
Conclusion
The ongoing legal battle between the CEO and the board is a costly one, with the latest increase in legal fees bringing the total to $75,000. As the dispute continues, it remains to be seen how it will impact the school district and its students.
FAQs
Q: Why did the board vote to increase the legal fees?
A: The board voted to increase the legal fees to $75,000 as it continues to face a legal challenge by outgoing CEO Pedro Martinez.
Q: What is the background on the dispute between the CEO and the board?
A: The CEO has been at odds with the School Board and the mayor’s office for months over how to deal with a budget deficit and how to settle the Chicago Teachers Union contract.
Q: How much will the school district spend on outside law firms?
A: The school district is authorized to spend almost $4.7 million on outside law firms, with the maximum Franczek can earn under the current contract being $850,000.
Q: What is the current status of the legal battle?
A: The legal battle between the CEO and the board is ongoing, with a judge granting Martinez a temporary restraining order to prevent board members from entering into negotiations without his permission.
