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FCAT math question: How much does Pearson owe Florida in damages?



Pearson's $254 million contract with the Florida Department of Education seems to be clear: If the company is late with FCAT results, it pays. The longer it takes, the more it pays.

Past due So how much does it owe at this point? How much will it owe if the results don't surface until the end of the month, as DOE expects they will? And will it reach the $25 million cap on damages that's included in its contract?

The Gradebook isn't sure. But let's have a calculator party and speculate!

You can see the "schedule for liquidated damages" on page 26 of the contract. And you can see which work tasks are deemed "critical" and "extremely critical" on page 25, along with the dates they were due.

According to DOE, Pearson has yet to deliver any of the results in writing, in 4-10 reading and math, and in science. So by our calculations, Pearson owes $5.69 million, as of today, for the delays in the FCAT 4-10 reading and math and FCAT science results alone. They'll owe $12.97 million if those results arrive on June 30.

If they're also fully liable for the delayed writing results - which are way, way late - then the dollar figures rise a lot, lot faster. DOE attorneys are looking at how much Pearson is on the hook, giving the state's budget-driven decision to move from two graders to one.

If it's all the company's fault, it'd owe another $14.59 million today for the writing results. Which would mean it had already hit its cap.

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[Last modified: Tuesday, July 13, 2010 10:07am]


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