Harvest Education Coop

November 3, 2008

OverviewThe Coop Option in ContextMission & StrategyWhat We Know:

Teachers and StudentsCurriculumDaily ScheduleLocation

BenefitsHow to Reach a Final Decision …

GovernanceFinancesCoop LeadershipCosts

This Option in Context1. We have a desire to stay together.2. There are alternatives:

a. Large group Coopb. Large group to another schoolc. Class by classd. Great idea, but not meant to be …

3. Which option is best?– Continuity– Cost– Location

– Curriculum– Risk

This Option in ContextThe purpose of this presentation is to demonstrate the Coop as a feasible option, to communicate benefits, and to begin a comparison to the alternatives, to help you make decisions!

MissionThe mission of the Harvest Education Coop is, with the maximum number of students, families and teachers possible, to continue with the Harvest Schools curriculum and stay together for 2008-2009 school year.

Strategy

The Coop’s strategy is to maintain to the maximum extent possible the attributes of Harvest Academy, including curriculum, teachers, policies, staff salaries, and tuition.

We must hang together, gentlemen...else, we shall most assuredly hang separately. -- Ben Franklin

Strategy – What’s Reality

1. Full tuition required for all students.2. Tuition rises if less than 65 students.3. Less than 55 students is not viable.4. All assuming we maintain average

teacher net salary and benefits.

What We Know: Preface1. We know a lot about this option.2. We have a thorough spreadsheet,

including factors for risk.3. We have decisions on many things.4. We have a plan for everything!5. We can’t know for sure until you

decide. 6. We must step out together (one way

or another).

Teachers and Students• Expressing Interest:

– 12 teachers– 66 students

• Prospects: Kinder• To go forward

– Seven teachers– ~65 students at current tuition– <55 students, not viable

• We have no commitments – if you desire this option, commitments start tonight, with your cash commitment very soon to follow!

Teachers and Students

Class Showing interest

Kinder 7

1 and 2 18

3 and 4 9

5 and 6 16

7 and 8 8

9 thru 12 8

TOTAL 66

One teacher per class, plus one full-time equivalent allocated for electives:

7 teachers

Curriculum• We continue with Harvest curriculum• There are no additional fees• Electives will be offered where

possible

Daily Schedule• 8 am to noon – Core curriculum• Noon – Lunch, brought by students• 12:30 to 3:30 – Electives• After-school care – Will be provided,

same price

Location• Option 1 – Harvest Sigma Location

– Negotiating now– Rent, Utilities, Insurance – accounted for

• Alternatives– Community Bible Church– Storefronts– Eagle’s Nest Church

• Realities– There are plenty of options– It may not be settled by commit time– If we have a Coop, we will find space close by

Governance – Why a 501C3

1. The fundamental strategy is “share the load.”a. Uneven class enrollmentb. Differing tuitions / keeping teachers w/

studentsc. Unavoidable losses / teacher pay

2. Shared load means a single bank account.3. We need a non-profit to own and manage

the account.

For the Coop “everyone together option,” we must have a 501C3 non-profit incorporation. Why?

Without a 501C3, the only option is “class-by-class.” Some classes will be left behind, but this is a reasonable alternative.

Governance1. Texas 501C3 Non-Profit Corporation2. Three Directors3. Constitution and By-Laws4. Closes once we’re done5. Volunteers on board to open, pay fees and

serve on the board if elected.

Finances – Things Accounted For• Tuition • Salaries (current average, FICA & benefits)• Rent• Utilities• Supplies• Liability Insurance• Conservative assumptions about who comes• Bookkeeper• Late payments• Rainy day buffer • Thorough review with Leonard Myers

Finances• Thorough spreadsheet developed• Accounts for multiple risk factors

– Not all families will choose to come– Loss of students along the way– Late payments– And a miscellaneous buffer

• Open books policy• Excess split 50/50: Teacher bonus, tuition

refund. $0 balance when we’re done.

Coop Leadership• Board of Directors (can I serve?)

– President, Secretary, Treasurer

• Principal, selected from teachers• Teaching staff

President?

Secretary?

Treasurer?

Cost EstimatesThese estimates assume something close to the current grade level distribution of students. Goal: Maintain teacher average pay rate.

65 students Current rates (no discounts/scholarships)

60 students Add $30 per student per month

55 students Add $70 per student per month

Below 55 Assume not viable

Benefits• Available to all classes• At or near current tuition• Same curriculum, same classes• Harvest teachers• Reduced pay risk for teachers (compared

class by class option)• The closest option to “Harvest School”

How We Reach a Decision …1. Consider this presentation2. Consider the next discussion on the

Christian School Fair3. Pray and then indicate the viable options

for your family4. Do we have enough to go forward?

Timeline• TODAY: Sanity check – do we have a

chance?• Thursday, Nov 6 – Commit with a check

– Made to Harvest Education Coop– $150 per child– Non-refundable– For January tuition

• Friday, November 7: Teachers go/no-go• Monday, November 10: EITHER

– GO: CHECKS ARE CASHED– NO-GO: CHECKS RETURNED

Harvest Education Coop

Questions and Answers