It really is madness. "We tested as many ways as we could think of, but we couldn't game it to get the results we want so we just decided testing doesn't work". These are the people in charge of training our children, and they think this these are valid conclusions.
They are too weak to say "SAT hasn't produced the results we wanted, so we're going to..."
"seek more equitable ways to assess a student"
They're again, too weak to say "from now on, admissions will be based on color".
"the state exam ... would disproportionately favor Asian Americans"
Oh, the horror, tests show that Asians are smart. Can't let that happen.
If a square peg doesn't fit a round hole, we just need to use a bigger hammer.