Some say this Rose smells like an ethical violation.
Critics are ripping a technology contract the city handed to a former Education Department official’s nonprofit group in September.
New Classrooms, started by Joel Rose, was granted a one-year contract for $420,750 in federal grant money to operate a learning program Rose created while working for the city.
Critics charge the arrangement violates the ethics rules prohibiting workers from cashing in on their public service. They also say Rose promised the services for free in a previous deal.
“This is a huge ripoff to the city,” said Leonie Haimson, director of the advocacy group Class Size Matters.
“The people who approved it don’t seem to know what’s going on.”
Rose, 45, invented The School of One, a personalized middle school mathematics program, while he was working as an administrative officer in the Education Department.
The city spent $9 million in private grants to develop the program, which uses digital technology to create an individualized learning plan for each student who uses it.
The gizmo was named one of Time magazine’s 50 best inventions of 2009, but studies of its results have been mixed.
Rose, who worked for the city schools from 2006 to 2011, raised eyebrows when he attempted to sell the program back to the city in 2012.
He skirted conflict-of interest rules that bar former officials from doing business with their old offices by excusing himself from direct involvement in the deal.
He promised a free software license to the city to last forever, in the unusual deal that charged him with the creation of a system capable of serving 50 schools.
Now just six city schools use the program. And New Classrooms is charging a fee of $191 for each student who uses it.
Rose, who earns a salary of more than $235,000 as CEO of New Classrooms, declined to comment.
But a company spokeswoman said the fees in the new contract cover services other than the free software license Rose promised back to the city in 2012.
New Classrooms co-founder Chris Rush disputed claims that he and Rose are out to fleece the city.
“This is a complete mischaracterization of a partnership that schools love, is getting great results for kids and is in full compliance with all city rules,” Rush said.
City Education officials said the contract was properly vetted and no city taxpayer money was used in paying for the service.
