SSFS Closing

[Anonymous]

Anonymous wrote:

Anonymous wrote:So poor leadership/BOT stewardship + Rodney. Yup.

No possible way these financial troubles began with Rodney. More than likely they started under Tim Gibian former head of school who left in 2020. Seems that the school kept building and growing beyond their financial means. An audit will reveal how long this has been in play and the cause, which is something our families deserve to understand. How did the day-to-day management by the leadership and CFO of the school impact it, did the BOT truly understand what was happening and when, did the transition away from Quaker principles to a focus on social justice issues in a heavy-handed way by Tom Gibian’s replacement push families and staff away, was there truly a reduction in the number of boarders? The truth needs to be revealed as a 61-year old institution where my children went is now going to close and it had been a bright light for our family and so many and now no one else can benefit from this very special place.

You make some good points. And social justice is a Quaker principle.

[Anonymous]

Anonymous wrote:Two things can be true at the same time. (1) It is a tough time for all independent schools in terms of upward cost pressures, more families affected by Fed (and Fed adjacent) turmoil. (2) Couple that with poor management (financial and/or alienating a significant enough number of families at the school) and that’s the end.

But the schools that keep an eye on the numbers and continue to deliver value to their community should be ok. Parents should also do their due diligence and review form 990s, etc.

I would have loved to review ssfs form 990, but they don’t have to disclose it. Convenient.

[Anonymous]

Responding as an independent school administrator. Many independent schools enter an “arms race” to ramp up facilities and renovate — to stay competitive and attractive in the market. Boards make decisions to borrow money for costly projects w/o much strategy to generate revenue beyond tuition. This can happen when a campaign won’t be able to meet its goal. Philanthropy is a critical piece of how independent schools achieve long term sustainability.

With 140 acres, was there talk of ever selling some land to right size?

[Anonymous]

I'm not on the SSFS board of trustees and don't know what they knew or when they knew it, but deciding to close a school that students, parents, teachers and staff all love is not a decision any school trustee would take lightly. A trustee wouldn't want to pull the trigger too fast, when saving the school seems like a possibility. Making the SSFS closure announcement before the application deadlines for other schools would have been much, much better, but I'm guessing someone at SSFS was still trying to get some sort of refinancing deal or a big cash infusion from donors.

For all we know, other schools in the DMV are in precarious situations too. With salary and facilities costs so high and tuition unaffordable for most families (unless the schools are subsidized by a church or religious community), the schools and their boards are facing really tough times. It's probably worse in DC because of the Trump/Musk/DOGE layoffs but the future is dim for private schools everywhere. The schools with very wealthy alumni bodies should do ok but some of the rest are going to go through bad times like SSFS did. This is a national problem not just an SSFS problem.

[Anonymous]

To PP, your point is illustrated with the build of an impressive (and expensive) upper school building which was to be paid for by a fundraising campaign that yielded pledges that then went unfulfilled.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:So poor leadership/BOT stewardship + Rodney. Yup.

No possible way these financial troubles began with Rodney. More than likely they started under Tim Gibian former head of school who left in 2020. Seems that the school kept building and growing beyond their financial means. An audit will reveal how long this has been in play and the cause, which is something our families deserve to understand. How did the day-to-day management by the leadership and CFO of the school impact it, did the BOT truly understand what was happening and when, did the transition away from Quaker principles to a focus on social justice issues in a heavy-handed way by Tom Gibian’s replacement push families and staff away, was there truly a reduction in the number of boarders? The truth needs to be revealed as a 61-year old institution where my children went is now going to close and it had been a bright light for our family and so many and now no one else can benefit from this very special place.

You make some good points. And social justice is a Quaker principle.

Yes, of course it is, and it is not the only. However, it seemed primary and exclusive to Tom’s replacement.

[Anonymous]

Anonymous wrote:Is a Cash Flow/Debt Service Ratio of 1.60 considered good for an independent school? (that was listed in a SSFS financial forecast document from the 2023/2024 school year, with previous years at 2.13 to 1.0) I'm trying to understand what could have happened.

Is this public information? A big complaint I have is that SSFS is classified as a religious exempt 501(C)(3) so is not required to file a Form 990 with the IRS. How much debt did SSFS actually have? How much of this debt is from the new high school? Secular independent private schools have to file the 990 form every year with the IRS. This is helpful to families wanting know the financial health of their school.

For example, you can find Bullis' 990 here. https://projects.propublica.org/nonprofits/organizations/520635080

Also, I find is amazing how much a HoS actually makes in salary. The HoS of Bullis was paid $694,841 in 2023. I have no idea what SSFS paid RG but it must have been in the same ball park.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Two things can be true at the same time. (1) It is a tough time for all independent schools in terms of upward cost pressures, more families affected by Fed (and Fed adjacent) turmoil. (2) Couple that with poor management (financial and/or alienating a significant enough number of families at the school) and that’s the end.

But the schools that keep an eye on the numbers and continue to deliver value to their community should be ok. Parents should also do their due diligence and review form 990s, etc.

I would have loved to review ssfs form 990, but they don’t have to disclose it. Convenient.

It is an IRS requirement that an exempt organization make available the Form 990 for three years following the date it is filed: https://www.irs.gov/charities-non-profits/public-disclosure-and-availability-of-exempt-organization-returns-and-applications-public-disclosure-overview

[Anonymous]

Not for religious organizations who are exempt from that filing requirement - go look up the 990 for Sidwell, SJC, etc - you won’t find them.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Is a Cash Flow/Debt Service Ratio of 1.60 considered good for an independent school? (that was listed in a SSFS financial forecast document from the 2023/2024 school year, with previous years at 2.13 to 1.0) I'm trying to understand what could have happened.

Is this public information? A big complaint I have is that SSFS is classified as a religious exempt 501(C)(3) so is not required to file a Form 990 with the IRS. How much debt did SSFS actually have? How much of this debt is from the new high school? Secular independent private schools have to file the 990 form every year with the IRS. This is helpful to families wanting know the financial health of their school.

For example, you can find Bullis' 990 here. https://projects.propublica.org/nonprofits/organizations/520635080

Also, I find is amazing how much a HoS actually makes in salary. The HoS of Bullis was paid $694,841 in 2023. I have no idea what SSFS paid RG but it must have been in the same ball park.

There were heads of school there before and after RG. Do you wonder how much they paid them even when the school clearly had financial issues under them? Do you wonder how much the school spent on a head search this year knowing it was possible they might close? Do you wonder why they would bring a new head of lower school on campus two weeks ago and pay that salary for the rest of the year knowing they were going to close?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Two things can be true at the same time. (1) It is a tough time for all independent schools in terms of upward cost pressures, more families affected by Fed (and Fed adjacent) turmoil. (2) Couple that with poor management (financial and/or alienating a significant enough number of families at the school) and that’s the end.

But the schools that keep an eye on the numbers and continue to deliver value to their community should be ok. Parents should also do their due diligence and review form 990s, etc.

I would have loved to review ssfs form 990, but they don’t have to disclose it. Convenient.

It is an IRS requirement that an exempt organization make available the Form 990 for three years following the date it is filed: https://www.irs.gov/charities-non-profits/public-disclosure-and-availability-of-exempt-organization-returns-and-applications-public-disclosure-overview

That is true but there are exceptions.

https://www.irs.gov/charities-non-profits/exempt-organization-types

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Two things can be true at the same time. (1) It is a tough time for all independent schools in terms of upward cost pressures, more families affected by Fed (and Fed adjacent) turmoil. (2) Couple that with poor management (financial and/or alienating a significant enough number of families at the school) and that’s the end.

But the schools that keep an eye on the numbers and continue to deliver value to their community should be ok. Parents should also do their due diligence and review form 990s, etc.

I would have loved to review ssfs form 990, but they don’t have to disclose it. Convenient.

It is an IRS requirement that an exempt organization make available the Form 990 for three years following the date it is filed: https://www.irs.gov/charities-non-profits/public-disclosure-and-availability-of-exempt-organization-returns-and-applications-public-disclosure-overview

That does not apply to churches and religiously affiliated schools.

Exceptions to filing requirements include:

“4. A school below college level affiliated with a church or operated by a religious order”

https://www.irs.gov/charities-non-profits/annual-exempt-organization-return-who-must-file

[Anonymous]

Anonymous wrote:Responding as an independent school administrator. Many independent schools enter an “arms race” to ramp up facilities and renovate — to stay competitive and attractive in the market. Boards make decisions to borrow money for costly projects w/o much strategy to generate revenue beyond tuition. This can happen when a campaign won’t be able to meet its goal. Philanthropy is a critical piece of how independent schools achieve long term sustainability.

With 140 acres, was there talk of ever selling some land to right size?

THIS! It’s field of dreams nonsense. “If you build it they will come . . .” But they don’t come. Basic Econ would say you can’t keep hiking tuition to the point only families with generational wealth can afford it (and they don’t favor schools like SSFS)

[Anonymous]

Anonymous wrote:

Anonymous wrote:Responding as an independent school administrator. Many independent schools enter an “arms race” to ramp up facilities and renovate — to stay competitive and attractive in the market. Boards make decisions to borrow money for costly projects w/o much strategy to generate revenue beyond tuition. This can happen when a campaign won’t be able to meet its goal. Philanthropy is a critical piece of how independent schools achieve long term sustainability.

With 140 acres, was there talk of ever selling some land to right size?

THIS! It’s field of dreams nonsense. “If you build it they will come . . .” But they don’t come. Basic Econ would say you can’t keep hiking tuition to the point only families with generational wealth can afford it (and they don’t favor schools like SSFS)

I appreciate your field of dreams analogy. They certainly won’t come if it’s geographically undoable and unfortunately SSFS is undoable for the affluent dwellers of NWDC that keep a myriad of other privates flourishing. In NWDC it’s probably a little easier to build and expect to fill the classrooms.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Change.org petition: https://chng.it/LYSJXKksNW

Note: YOU ARE ABLE TO SIGN THE PETITION AND SUPPORT THE CAUSE WITHOUT MAKING A DONATION, SO PLEASE DO, AS THE PETITION IS THE TARGET. YOU SHOULD BE ABLE TO SKIP THE CALL FOR FUNDS PAGE. DONATIONS DO NOT GO TO SSFS.

Who in their right minds would stay/ teachers, staff, families not juniors- for 1 more year?

A lot of people. This is a mean and unhelpful comment.

As the petition states, keeping the school open for one more year would give everyone the needed time to make a thoughtful transfer into their next chapter. It would also provide full transparency of a situation that was clearly hidden from too many vested parties. Perhaps that is why the school administration did not take the step of a one-year announcement in the first place, which would further infuriate me if I were a student, teacher or parent at SSFS.