Wednesday, May 30, 2012

Dot Woodfin: Conflict of Interest at HISD

Today, we review a 2004 draft memo (the "Memo") prepared by the Houston ISD Office of Internal Audit. This document relates to a Conflict of Interest investigation involving Dot Woodfin, the current Board President and CEO of The Galloway School.

Link: April 2, 2004 Houston ISD Memo


In 2004, Dot Woodfin was manager of Houston ISD's Character Education Department. Ms. Woodfin had co-founded a company called MindOH! which produced Character Education software. About 95% of MindOH!'s $200,000 in revenues were generated through sales to Houston ISD. HISD's internal audit department investigated the apparent conflict of interest of having a district employee's company sell a product to the district. Here are some highlights from the memo:

Mixed Reviews of Quality of MindOH! Software

It appears that the decision to purchase software similar to that which MindOH! offered was at the discretion of individual campus principals. At least two HISD principals did not see the value of MindOH! software.

A principal at Edison Middle School reported to the internal auditors that he initially used MindOH! software for two years free of charge. He dropped it because he "didn't feel the software was worth the asking price" of $5,000. (Memo, page 2)

Another principal at E.O. Smith Middle School claimed that "the reason I have the software is that it is included in the grant package and he had no choice but to use the software" (Memo, page 2). The Memo seems to indicate that this principal never made a purchase request for MindOH! software and that he did not want it. The internal auditors called Pamela Branch, the Grant Coordinator, to provide details regarding the matter. The Memo doesn't make it clear what role Ms. Branch had in the purchase of MindOH!, but it seems clear that the purchase went outside the normal process of originating at the campus level. We're left to wonder who forced MindOH! on E.O. Smith Middle School.

:::

Dot Woodfin had an Active Role in Facilitating the Purchase of MindOH! Software

We'll just let the language in the Memo speak for itself to explain this matter:
Ms. Woodfin has an actual conflict of interest because she provided advise [sic] via e-mail in the purchasing of the MindOH! software. (Memo, page 3; emphasis added)
This seems pretty clear. Ms. Woodfin advised HISD employees how to complete a purchase that she had a financial interest in.
Ms. Woodfin contacted the Purchasing Department to "speed up the process as the schools are anxious to get the program."
It looks pretty bad that Ms. Woodfin attempted to "speed up the process" to transfer taxpayer funds from HISD's checking account to an entity Ms. Woodfin had a financial interest in.

:::

Conclusions

Again, the Memo speaks for itself.

1. Prohibited acts under State of Texas rules:
Ms. Woodfin has a real conflict of interest with HISD because she acted in an administrative role to facilite the payment of MindOH! Software, and has an ownership interest in MindOH!. Grant funds were used to make the software purchase from MindOH! Th[is] is prohibited by The Financial Accountability System Resource Guide Module 1. (Memo, page 4; emphasis added)
--

2. Conflict of Interest under Texas statutes (Local Government Code):
Ms. Woodfin has a real conflict of interest with HISD because she is an employee of HISD, and an interested person because of the value of her investment in MindOH! as a founder. (Memo, page 5; emphasis added)
--

3. Conflict of Interest under HISD's Charter:
Ms. Woodfin is employed by HISD so there is a real conflict of interest, because she is directly interested in any purchase made by HISD from MindOH!. HISD has made purchases in the amount of $58,495.00 with GF1 Funds and $129,500.00 with SR1 Funds. (Memo, page 5; emphasis added)
--

Ms. Woodfin has a history of serious conflicts of interest, some of which smack of self-dealing. It is virtually impossible to acquire hard or soft copies of financials from The Galloway School. Therefore, it is almost impossible to determine if Ms. Woodfin is engaged in similar activity related to her position as Board President and CEO of The Galloway School. Tuition paying parents -- BEWARE.

20 comments:

Anonymous said...

It is becomming more apparent that the underlying factor in the lack of transparancy that the Galloway School provides to parents and the like are leaning more and more towards corruption and or creative accounting practices. Woodfin and Cerace along with the Board should release an annual report which depicts all transactions (full disclosure). This is clearly not happening and could be that the institution has something to hide. Parents should demand to see where and how their money is being spent towards their childrens development and education. Is the school not a non profit?

What can we as parents do to obtain the schools financial records and insure ourselves that there is not any descrepancies? Will the PTO help us? Can we get a petition going to request the information? Is the information available through the IRS? We would be happy to assist in obtaining true transparancy so everyone could settle this new and disturbing concern. For petes sake, don't they already have enough concerns/lawsuits pending?

No doubt that there is more than meets the eye here. This school isn't about just harrassment, retaliation against children and parents, it is more deep rooted than that.

We will attempt to obtain the schools support in providing the much needed clarification on this subject. The other problems with the school pale in comparison to out and out allegations of corruption.

Anonymous said...

Wow this is crazy. This is so sad that we as parents have to focus on issues such as corruption, retaliation against children and their parents at a private school. We should be encouraging more engaging curriculum and technology for the school, is that what we pay all this money for? I could not even dream that our hard earned money has gone in the pockets of such immoral and corrupt people.
I am actually ashamed to say that my children went to The Galloway School.

Parents stand up and demand answers from the school. We all have to stand together, this is the only way we will get the truth.

Anonymous said...

Thank you TGS Watch for educating us (parents) about what is actually happening at this school! education is power and you are empowering this mom to make all the right decisions for her children.

Anonymous said...

I think the parents and teachers of the galloway school should know what Sue Harral, Galloway social studies teacher told me one day. Sue said that she use to work with Bonnie Cerace at Armand Bayou Elementary school years ago. That's how they met. She said there was a scandal at the school concerning Bonnie. Bonnie had fallen for her class room mother. Her straight, married room mother. Bonnie would ask this woman to go with her antique hunting in flea markets every weekend. This woman began to feel uncomfortable with Bonnie. Eventually, this woman told Bonnie that she was a happily married woman and needed to stay home with her family instead of shopping with Bonnie all the time. She told Bonnie she was sorry if Bonnie had misunderstood her in any way. Sue Harral said that Bonnie was so heart broken she was unable to get off the couch for weeks.

Sue Harral is not the only teacher that talks about Bonnie Cerace's personal life. It is commom knowledge that Bonnie and Dot Woodfin have been very close for many years. Dot Woodfin told parents that she had been Bonnie's coach in college. The two have been good friends ever since. Dot Woodfin has "lived" with the same woman for many years.
While some may say this is their own personal business I disagree. These two women are the Principal and Board President of a Christian based school and quite frankly I wouldn't think this sort of life style represents a Christian school.
Now the other facts. Cerace was the one to bring Dot onboard as the board president.Why? So between the two of them they could have complete control. In the past, Cerace had problems with board members trying to fire her. Well, in comes Dot and no more board problems. Dot keeps the board in line and out of Bonnie Cerace's way. Did she know that Dot had an ethics problem before in HSID? Well... what do you think?

The problem with this school lies with mainly two people, Bonnie Cerace and Dot Woodfin. Neither women will voluntarily leave their positions. Why? Well, for the same reason that they refuse to allow parents access to the finacials of the school. It's not the kids that are keeping these women at the school. Its the perks of being in total control of the money.

Thats what this school is all about..Greed, Sex, Money, and Power.

Anonymous said...

I was told the exact same story about Bonnie and the room mom, also by Sue Harral. Cathy Deskins also told a number of people about another time when a woman Bonnie was in a relationship with "dumped" her for another. Bonnie proceeded to stalk this woman and her new partner, until it got so bad that the couple broke up.

I'm sure when you ask them Bonnie, Sue Harral and Cathy Deskins will deny ever telling people these things. But they DID... How else would us anonymous people know about them?

Anonymous said...

You get to stay anonymous because of your grave fear of Cerace but you clearly put these ladies in the line of fire. Why?? That is cowardly of you!! Shame on you....

Anonymous said...

I wish this blog had "like" and "crossed the freaking line" options next to them for people to push!! Like face book. Wonder how many "likes" the previous two posts would get. Most defiantly shame on you!

Anonymous said...

You you could always go get educated by Miss Cerace? Go straight to the source. I'm sure you will figure out by her reaction if there is some truth in the deminshing of her character and the doubt in her professional ability on this blog.I will be doing this next week!! While this blog is full of all kinds of gossip/ facts I will confront this head on by talking straight to the organ grinder.

Ekram Khan said...

Personally, I don't think anyone's personal life or their sexual orientation is relevant in a professional setting. However, actions like stalking bring into question that person's good judgement. I would imagine we would all want someone with good judgment in charge of educating and caring for our children.

What disturbs me most is the fact the board has been stacked in favor of Bonnie and Dot and seemingly managed in a manner that grants absolute power to Bonnie and Dot. That type of scenario breeds corruption and reviewing Dot's history with the HISD ethics probe into her company (MindOH) and the circumstances that led to her "retirement" from her position with the HISD, I think all tuition paying parents at the Galloway School need to be concerned about how funds are spent. I had my children enrolled for only 4 months of the 2011-2012 academic year but I can tell you that the books, technology resources, and facilities don't resemble those of other "elite" private schools in the area.

However, concerned parents with a moral compass will continue to investigate and bring to bear appropriate actions in the interest of the children and hard working parents of the Galloway School. I doubt that James and Marie Galloway ever intended their school to be hijacked by Bonnie and Dot. We need to stand together for justice.

History has proven that financial indiscretions always bring down even those who think they are infallible. We are on to them and I would like to reach out to anyone who has information that can help deliver justice.

Ekram Khan said...

To the anonymous poster willing to confront Bonnie Cerace next week, more power to you! I eagerly await your follow up post. The more Bonnie is confronted with probing questions, the less likely she will be to retailiate in a way that confirms her guilt. Line of fire? Are you kidding me? There is nothing to fear and we clearly have an opportunity to break this cycle of bullying by Bonnie.

Anonymous said...

So confront Bonnie Cerace. So glad you're doing that, and people will be waiting to hear what you learned, if anything. But be prepared for smoke and mirrors. Don't expect her to tell you anything resembling the truth.

And To the Shame on you person - whoever you are: I say "shame on you" to ANYONE who gives Cerace an ounce of support. I couldn't help noticing that you are anonymous too, by the way. This blog is about putting the TRUTH out there, and that's what's being done. So sorry if people are put in the line of fire, but again, this blog is about the TRUTH being told.

Anonymous said...

Knowledge is power, but it is the character of the individual that determines how that power is used."

This wise and noble quote was taken off the website of Geode Educational Services, LLC, at geodeedu.com. I think in the context of this blog and all that has come to light, the quote is highly applicable. Geode Educational Services sells discipline/character education programs to schools. Information obtained online shows that this company has a staff of ONE, and revenue estimated around $42,000 annually. The Principal of this company is, interestingly enough, a woman named Deane Morrow-Greer, age 75. Ms. Morrow-Greer is none other than Dot Woodfin's roommate, and has been for many years. Interesting.

Interesting because this character education curriculum sounds remarkably similar to MindOH, the company co-founded by Dot Woodfin. She must REALLY enjoy associating with people involved in character education!

Apparently, while Dot was employed as a Character Education Department manager for Houston ISD, she was receiving personal financial gain from the sales of the MindOH curriculum, which constitutes the conflict of interest/ethics violations issues which have now come to light. This ethics violation constituted a conflict of interest under the State of Texas laws, the Local Government Code, and under Houston ISD's Charter. Was she then forced to retire? Hopefully, we will learn more about this as the facts emerge.

The MindOH website has some impressive things to say about its curriculum programs. In part, the program helps students with "problem solving, conflict resolution, communications skills, developing INTEGRITY, and self-discipline." It includes "strategies and methods for making responsible choices." Sounds great. These are all things we want our kids to learn.

The Geode website boasts similar tenets: "...assists students in understanding the importance of respectful and responsible behavior." And also having students "... take control of their destiny by learning the importance of responsible choices that facilitate success in school and in life." Wow! I like it! Sounds like something that truly benefits students.

So basically, it appears that these 2 character education programs have similar objectives.

The point I am trying to make here should be obvious. But in case some of you are not following the logic or irony here, allow me to spell it out for you

continued below:

Anonymous said...

Continued from above:

Dot Woodfin has documented ethics violations within a school district!!! She is the Galloway board President!!! HELLO!!! She was not able to follow the very philosophy of the curriculum she was selling!!! She was head of the Character Education Department!!! Conflict of Interest at its finest! Doesn't anyone see a problem here?? This is the classic analogy, like a plumber whose toilet is always overflowing, the pulmonary (lung) doctor who smokes, the auto mechanic whose car continually breaks down, etc.

What poor and irresponsible judgment on Bonnie's part to put her in charge of the Galloway School! Well, we've seen what Bonnie's decisions have cost the school. WHY is the board unable to do anything about these 2 women who are in leadership? WHY can't they get them out? WHY are these women fighting so hard to stay in their positions? After all that has happened, WHY will they not resign?

And most importantly, WHY do they refuse to comply with financial transparency? Why will they not turn over their financials, AS ALL NON-PROFITS ARE REQUIRED TO DISCLOSE?? Why are they fighting to stay in power, trying to act like everything is normal? Let's think about that... They won't resign, they won't turn over their financials...Hmmmm...If Cerace and Woodfin were OUT, the financials would be looked at with a fine tooth comb. What do you think would be found? Any guesses? Everything is definitely NOT normal.

I'd like to close my commentary with another quote taken from Geode Educational Services. Perhaps, like the troubled students who are offered useful strategies from this fine curriculum, Dot Woodfin and Bonnie Cerace can take "some emotional distancing and self-reflective time in order to think through responsible choices that will result in more positive consequences."

We would all like to think they might do this, but I wouldn't hold my breath.

TGS Watch said...

this blog is full of all kinds of gossip

Anon (May 30, 2012 8:14 PM):

You seem to suggest that some items on TGS Watch are not factually accurate. I think everything I write is true, but please contact me publicly or privately if you believe you see something that isn't true.

~TGS Watch

Ekram Khan said...

Aside from the fact that my children are much safer NOT attending the Galloway School since March, I am glad that my hard earned money is not going into a bottomless pit.

I am sure a third party examination of the financials will reveal much and validate what many have already been saying on these blogs.

Bonnie, why is it so difficult for you to provide the finaincials for review? With all of this talk about character education SOFTWARE, do you not have accounting SOFTWARE that would print out reports with a few clicks of a button? Providing the financials should not be a time consuming task. So what is behind the refusal to do so?

You may be able to refuse the release of the financials for now. But eventually you will be compelled to do so by authorities wielding far more power than anyone on these blogs. At that time, quite a few people on the Galloway School Board and Administration will need to be concerned about their involvement and/or complicity in this matter.

Anonymous said...

And you would think that they would have been concerned LOOOOOOOONNNNGGG before now.

Anonymous said...

Perhaps vested interest has played a part in their complacency? The truth will eventually come out since the financials will have to be revealed. If I were on the board, I would take a good look at myself in the mirror and make the right decisions.

ThirdParty said...

Mr. Khan, I have been following this blog since it first started out with the sexual harassment claim by Lori Solt. It is ironic and sad that it has turned into a medium for you and a small faction of like thinking people with the intent of trying to destroy people's reputation for your own greedy intentions. we are alike in one way – we both have money. From my objective viewpoint, I see that you are an angry man who is using this blog to use scare tactics and bribery (offering to credit parents for the tuition they have already paid to Galloway if they will come to your school and offering to pay attorney fees if they wanted to sue) to build a school that is non-existent at this time and has no credibility. And you plan to do this in a matter of months based on your word alone. I find this amusing. What do you really know about education? Do you really expect to fill your positions for the school and have a quality curriculum ready in a matter of a few months? Rather ambitious to say the least even for an educational expert whom I don't believe you are. While you are determined to pour your money in a disparaging manner by tearing down people and the school, I prefer to put my money into finding out more about these individuals and the school and at the very Ieast provide additional information so parents can weigh their decision about education for their children in a more honest approach. By the way Mr. Khan, I must say that condoning the publishing of Mrs.Galloway's home phone number and asking people to call her to complain when you are aware she is L00 years old is unwarranted and speaks volumes about your character. I must admit this has served as a catalyst for me to get involved in this situation. One other thing, I do not believe that all newspaper articles are accurate nor do I believe that HISD's ambiguous documents as you presented them are complete and I further question their accuracy. Some things just do not add up. To the parents of Galloway: do not panic and succumb to fear based tactics. I will be back with information, good or bad, that perhaps will assist you in making a decision that you feel is best for your child. I do not sign my name because quite frankly Mr. Khan, a person with as many aliases as you have does not fit my criteria for trustworthiness. I have no self-serving agenda; however, your agenda is very obvious. Your business plan is to plant seeds of doubt and panic in parents in order to start your school. Such a shame. An honorable man should seek to start a school based on his passion for educating our youth and preparing them to succeed in the "real world" and not on retaliatory methods against a school that you feel was perhaps not a good fit for your son. Recruiting students and parents would be based on your ability to provide a superior educational experience rather than trying to destroy a school or "buy the Galloway School" in order to circumvent the hard work and time required to establish a great school based on strong educational standards. Your motives are certainly suspect.

Ekram Khan said...

Third Party,

You are almost as sure as death and taxes! Posting on every comment?

Unknown said...

Third Party,

Where are you? I am looking forward to our debate.