Labor Begins

Everyone seemed to feel last nights school meeting was very productive. It was the 4 founding families, although all were invited. We agreed to put up our booth at the farmer's market on Saturday, agreed that of the two possible free locations for the school we preferred the old school house on Trace Ridge Road because it would require less construction (and there's only 8 weeks until school starts).

The bulk of the meeting was a discussion of the finances. I shared a simple equation to help us begin to finalize the projected income and expenses so that we can finalize the strategic plan in order to file for non-profit status. The equation is this:

Tuition = total expenses / # of student days per week

We began with the assumption that tuition was $10 per day and then determined which expenses were optional and which were absolutely necessary. Those deemed necessary included utilities, insurance, salary, facilities maintenance, and supplies. We assigned relatively solid estimates to each and discovered that there was a shortfall of about $80 per week.

We then identified several ways to fill in that gap:

• Seek more students (we need 8 more student days, so either 8 students who select one day a week or some combination of students who select 2-3 days per week)
• Rather than have a paid teacher for all 3 days a week, shift the strategy so that the paid employee does all coordination in 1 or 2 days and rely more upon the other parents to share the teaching.
• Plan more fund raising activities
• Plan to compensate the teacher with both dollars and goods or services.

The last option involves a great deal of administrative burden. The acceptable goods and services must be identified up front with a dollar value assigned to each. They would also be considered part of the taxable income and so there would still be some dollars associated for state and federal taxes.

There are still a number of questions to be answered, but I was personally proud and surprised that we are facing the uncertainties and working through the complexity together. I was also fairly surprised that no one suggested we forget about applying for non-profit status. That is certainly something to celebrate because in my mind that was the most often re-visited decision over the past 2 years. We really have come a long way!

Eight weeks of hard labor to go!