DCPCSB Quarterly Finance and Operations Update?
![[Post New]](/jforum/templates/default/images/icon_minipost_new.gif){kind=icon}
Anonymous
|
This is the first time I've seen a quarterly finance and operations update on the DCPCSB calendar-- have they instituted that in recent months to project financial failures of schools before it gets dire?
I'm surprised to see Stokes on the financial watch list, but assume it is frontloading costs for their opening a new campus? From tonight's summary: "For school finance oversight, the committee reviewed an update on the status of Monument Academy Public Charter School (PCS). The DC PCSB staff has begun conversations with Monument Academy PCS’s leadership regarding the school’s enrollment and status of philanthropic funding to ensure that staff is effectively monitoring the school’s financial health. Richard Wright PCS and Harmony PCS have been subject to a Financial Corrective Action Plan (FCAP), for which the Board will receive an update in December 2019 for Richard Wright PCS and August 2020 for Harmony PCS, according to the approved FCAP timeline for each school. In addition to the schools mentioned above, the committee discussed the financial status of the following schools, each of which is either a new local education agency (LEA), has had one or more financial performance indicators below the established floors on the most recent Financial Analysis Report (FAR), or has warranted elevated financial oversight after review of the school’s most recent financial statement submission: Breakthrough Montessori PCS, Cesar Chavez PCS, Creative Minds International PCS, Democracy Prep PCS1, Digital Pioneers Academy PCS, Elsie Whitlow Stokes PCS Ideal Academy PCS1 , Rocketship PCS, Shining Stars Montessori Academy PCS, Somerset Preparatory Academy PCS1 , Statesmen College Prep Academy for Boys PCS, and The Children’s Guild PCS. Based on the committee’s review, the committee approved removing the following schools from elevated oversight: Academy of Hope Adult PCS, Hope Community PCS, Latin American Montessori Bilingual PCS, Maya Angelou PCS, Sela PCS, and The Family Place PCS" |
Anonymous
Wait, what? Harmony gets another year. Ugh. When will they stop dumping public money into this mess? We just don't need elementary schools serving less than 100 kids, it's across the street from a half-full school building for Pete's sake. |
Anonymous
| Wow, CMI is on the financial list. SSMA too. I wonder what's going on. |
Anonymous
| Harmony has until spring 2021 to significantly pull up their PMF scores or close. https://www.dcpcsb.org/sites/default/files/report/2018-12-04%20Harmony%20DC%205%20Year%20Review%20Report.pdf |
Anonymous
CMI has been there. The CMI former executive director disputed the PCSB methodology. |
Anonymous
I thought failing to contract with a preschool provider was going to break their corrective action plan, but I guess that was optional? Regardless, their PARCC scores went down this year so I think it's probably time to call it a day. |
Anonymous
I wonder if it's the same reason this time, though. I couldn't help but notice their waitlist was waaaaay shorter this year than last. |
Anonymous
I think they had to partner or not offer preK. |
Anonymous
That wouldn’t change the financial position so long as they are not under enrolled. A less lengthy wait list isn’t the same as half empty classrooms. These reports are usually posted. |
Anonymous
Right. And IIRC they did not find anyone willing to partner with them. |
Anonymous
| Where did you find this document online, OP? |
Anonymous
The meeting materials are here (this one is under "consent calendar". I've been doing some digging tonight and it looks like most schools had FARs filed over the summer so you can see what financial indicator is trouble. For example, you can link to the CMI one here on the right column: https://www.dcpcsb.org/school/creative-minds-international-pcs I think you'll have to go school by school. The "comments by the school" from CMI seem to explain their debt ratio issue |
Anonymous
SSMA's doesn't seem really problematic though. I wonder if something has changed. https://www.dcpcsb.org/sites/default/files/Shining%20Stars%20Montessori%20Academy%20PCS_2.pdf The school’s financial position did not present an immediate concern as the school’s change in net assets margin and cash flow from operations margin were both positive, indicating sufficient cash flow and cost management to meet short-term operating obligations. The aggregated three-year margin was (1.65%) as a result of a large operating deficit in FY 2017 when the school entered into a lease agreement with Howard University for a facility. Rent expense related to this lease in FY 2018 was $890K. At the end of FY 2018, the school’s outstanding liability due to Howard University was $603K, which was the primary driver for the current ratio of 0.71. The current ratio measures a school’s liquidity by comparing current assets with current liabilities; a ratio below 1.0 approximates a shortfall in ability to cover upcoming expenses. While the school’s current ratio was low in FY 2018, the school has worked with Howard University to pay the outstanding balance without jeopardizing the school’s financial position. Further, the school’s cash on hand and cash flow from operations indicated that sufficient cost management systems were in place to ensure a continued positive trend in performance. |
Anonymous
| There have been so many embarrassing fails lately, it would be a good thing if the PCSB stepped up its oversight. I wonder who will get shut down this fall. |