Nine charged with lying about where they live to save thousands in tuition

CEDAR FALLS – Prosecutors say nine parents or guardians, including a state lawmaker, lied about where they live to save thousands in tuition at a Cedar Falls laboratory school.

All nine allegedly tampered with records to send their kids to the Price Lab teaching School at the University of Northern Iowa. The Iowa Attorney General's Office says they used fake addresses to get a discounted tuition.

People who live within a certain area close to the Price Lab School must pay about $500 a year to attend classes there. But, those who live outside of that zone must pay $5000 a year.

In this case, the Attorney General's Office alleges a small group of people used false addresses to pay the lower rate.

"You never want to see something like this happen,” University of Northern Iowa Spokesperson James O'Connor said.

An audit conducted last Fall exposed the fraud and prompted the school to take action.

"The audit found we needed to make some changes for our account and record keeping system. Those changes were made immediately after the audit,” O'Connor said.

State Representative Kerry Burt is the most well-known member of the group facing charges.

Wednesday afternoon, Burt ended his re-election campaign and issued a statement that said, "I believe I am innocent and strongly believe my name will be vindicated once all of the relevant facts come to light."

Kerry Burt had an eventful one-term in the legislature. Police arrested him for drunk driving in Ankeny in February 2009. Burt pled guilty and paid a fine. It also cost him his job as a Waterloo firefighter because he lost his driver's license.

The University of Northern Iowa has put safeguards in place to prevent people from committing this type of crime in the future.

"Even though you would hope people wouldn't try to do inappropriate things, you need to make sure you're setting up systems that are appropriate systems,” O'Connor said.

Now, the group of people accused of getting a deal have a court date instead.

If convicted, the nine could face up to two years in prison and fines ranging from $600 to $6,000.

The defendants are scheduled to appear in court later this month.

Full text of Representative Burt's statement:

"In the last year, allegations have been made against my family and others concerning Price Lab School. The charges filed by the Attorney General today will give me an opportunity to set the record straight and I look forward to my day in court. I believe I am innocent and strongly believe my name will be vindicated once all of the relevant facts come to light.

However, given the timing of these matters it's important that I focus my full attention on my family. Although I will serve out the remaining months of my term as State Representative, I will not seek re-election to the Iowa House and I am ending my campaign effective today.

It has been a great honor serving the people of Waterloo and I'm proud of my record expanding health care to more Iowans, creating jobs, and making sure our kids get a quality education. I am extremely grateful to the citizens of Waterloo for allowing me to serve and look forward to continuing my public service in the future."

- Mark Geary, KCRG-TV9