New Models of Education Bernie Noe October 2015 Photo: Reuters Photo: Shuva Rahim Cost per pupil Cost per pupil per program Metrics to assess school programs: Cost per pupil (C/P) Program total cost School enrollment Cost per pupil Outdoor programs $523,207 828 students $632 Cost per pupil per program (C/P/P) Program total cost Students using the program that year Cost per pupil per program Outdoor programs $523,207 395 students $1,325 Program cost breakdown Direct salaries and benefits Direct and indirect program budgets Allocated operating expenses (facilities, technology, etc.) Allocated administrative overhead (business, development, head’s office, etc.) Dartmouth College No allocated operating expenses (facilities, technology, etc.) No allocated administrative overhead (business, development, head’s office, etc.) Cost per pupil, IPEDS: $82,101 Cost per pupil, 990 method: $151,771 C/P for various school models Aspire CMO Dalton Dartmouth College Equity Project Global Online Academy Lakeside School Phillips Academy $86,379 $40,533 $2,214 $14,506 $151,771 $45,143 $7,782 Core academics $ 19,823 $ 19,823 Visual and fine arts $ 1,449 $ 1,610 Performing arts $ 2,021 $ 2,246 Physical education $ 1,302 $ 1,302 Outdoor programs $ 632 $ 1,325 Student/family support $ 2,030 $ 6,089 College counseling $ 840 $ 2,485 Global programs $ 1,673 $ 10,653 Athletics $ 2,630 $ 3,094 Cost per pupil (without financial aid) $ 32,400 N/A Financial aid $ 7,769 $ 26,043 Lakeside School C/P vs. C/P/P Program Cost per pupil Cost per pupil per program Albuquerque Academy Independent co-educational day school in Albuquerque, NM Grades: 6-12 Tuition: $22,375 Cost per pupil: $33,628 (using 990 method) $31,607 (using school’s operating budget) All Saints Episcopal Day School Church-based private co-educational day school in Phoenix, AZ Grades: K-8 Tuition: $14,475 Cost per pupil: $18,588 (using school’s operating budget) 990 not available because school is constituted as a church Duchesne Academy of the Sacred Heart Church-based college-prep school for girls in Houston, TX Grades: Pre-K -12 Tuition: $11,000 - $22,300 Cost per pupil: $21,442 (using school’s operating budget) 990 not available because school is constituted as a church The Lamplighter School Nonsectarian co-educational elementary day school in Dallas, TX Grades: Pre-K - 4 Tuition: $12,837 - $23,063 Cost per pupil: $21,039 (using 990 method) $22,413 (using school’s operating budget) Metairie Park Country Day School Nonsectarian co-educational college-prep day school in Metairie, LA Grades: Pre-K - 12 Tuition: $19,395 Cost per pupil: $19,303 (using 990 method) $20,992 (using school’s operating budget) Wichita Collegiate School Independent co-educational college-prep day school in Wichita, KS Grades: 2-yr-olds - Grade12 Tuition: $16,295 Cost per pupil: $14,989 (using 990 method) $15,185 (using school’s operating budget) Andover-Phillips Academy Independent co-educational boarding and day preparatory school in Andover, MA Grades 9-12 Tuition: $38,000 day; $48,850 boarding; $2,400 fees Cost per pupil: $87,435 Cost per pupil Albuquerque Academy $32,933 Catlin Gabel School $27,405 Cranbrook $38,132 Hawken School $28,252 Head Royce $31,325 Holy Names Academy $14,696+ Punahou $23,554 Pacific Collegiate (charter school) $8,649 Cost per pupil at additional schools Photo: Victor J. Blue, Bloomberg/Getty Images BASIS Schools CMO operating charter schools in Arizona, Texas, and Washington, D.C. Entered independent school sector in 2013. 23 charter schools in Arizona, Texas, and Washington, D.C.; three independent schools in Silicon Valley, CA; Brooklyn, NY; and Washington, D.C.; one international school in China. Grades: K-12 Tuition: $24,000 Cost per pupil: Less than the cost of tuition Cost savings at independent schools Centralized curriculum development Tuition covers only academics Different “product lines” One administrator Centralized administrative functions Good analytics about student needs A “charter school mentality” about spending The Equity Project Public charter school One in New York, NY Grades 5-8 Revenue: $13,316 per student in public school funding (2011-2012) Cost per pupil: $14,506 Cost savings Smaller, less expensive physical plant Larger class size Few administrators AltSchool Network of micro-schools, for-profit, with a beneficial purpose (B-Corp). Five schools in Bay Area; two more in San Francisco; one in New York. Grades pre K-8 Tuition: between $20,875 and $28,250 Cost per pupil: less than the cost of tuition (no 990; AltSchool is B-Corp) Cost savings Technology does administrative tasks Smaller, less expensive physical plant Few administrators Few or no extracurricular programs Blyth-Templeton Academy For-profit, college prep One in Washington, D.C.; 12 in Canada Grades 9-12 Tuition: $14,205-$15,615; additional fees for books, trips, labs, etc. Cost per pupil: less than the cost of tuition (no 990) Cost savings Smaller, less expensive physical plant Few administrators Few or no extracurricular programs Vertical integration of all school functions Flexible scheduling program Centralized curriculum development Bridge International Academies “Academy-in-a-box,” vertically integrated, for-profit model 359 schools in Kenya Nursery through primary school Tuition: average cost per student per year: $105 Cost per pupil: equals the cost of tuition (no 990) Cost savings Smaller, less expensive physical plant Few administrators Few or no extracurricular programs Vertical integration of all school functions GEMS Academy Private, for-profit, varying cost structures from very low-cost to high-end premium schools 70+ schools in 19 countries on 4 continents; two in the U.S. in Chicago Grades: pre K-12 in U.S. Tuition: $28,000-$36,000 in US; extra cost for after-school enrichment and languages. Cost per pupil: less than the cost of tuition (no 990) Cost savings Schools in U.S. Vertical integration of all school functions Centralized curriculum development Schools outside of U.S. Plant administration, extracurricular programs, and costs vary with tier of school $0 $5,000 $10,000 $15,000 $20,000 New York Alaska D.C. New Jersey Connecticut Mississippi Oklahoma Arizona Idaho Utah Public school cost per pupil (2013) Highest Lowest $19,818 $18,175 $17,953 $17,572 $16,631 $8,130 $7,672 $7,205 $6,791 $6,555 College student spending Spending Yale $177,314 Princeton $87,518 Dartmouth $82,101 Harvard $74,360 Williams $61,881 Amherst $53,975 Brown $48,849 Tufts $44,916 Technology to do administrative tasks Smaller, less expensive physical plant Larger class size Few administrators Few or no extracurricular programs No lunch Vertical integration of all school functions Flexible scheduling and program Centralized curriculum development Cost-savings recap Photo: Reuters Who can afford our schools? Percentage of families who can afford tuition of: $12,000 $30,000 $40,000 Chicago 41% 21% 11% Boston 50% 29% 17% New York 34% 26% 15% Washington, D.C. 60% 37% 23% Seattle 46% 23% 12% The price break point For Lakeside: 10% of gross income Price break point (extrapolated from 2015 financial aid data) Family income Ability to pay (% of income) Ability to pay $$ Aid needed (% of tuition) Aid needed $$ < 50K 0% $0 100% $30K $50K - $100K 1 - 10% up to $10K 90% + $20K - $30K $100K - $150K 10% $10 - $15K 50% - 67% $15K - $20K $150K - $200K 10 - 15% $15 - $30K up to 50% $0 - $15 $200K - $300K 10 - 15% $20K + up to 33% $0 - $10K $300K + >10% $30K 0% $0 Changes in independent school and college tuitions compared to income Percentage of change, 1981-2013, adjusted for inflation TUITION INCOME 410% 487% 732% 3% 8% 12% 20% 49% 75% 0% 100% 200% 300% 400% 500% 600% 700% 800% NAIS Private college Public college First quintile Second quintile Third quintile Fourth quintile Top quintile Top 5 percent Solutions Open a microschool Join Global Online Academy or a similar program Do nothing and assume all is fine Raise more money to cover costs Mission-based budgeting Direct salaries and benefits Direct/indirect program budgets Allocated operating expenses Allocated administrative overhead Total cost per program Core Academics $ 9,926,159 $ 634,782 $ 2,596,187 $ 3,256,188 $ 16,413,316 Visual and Fine Arts $ 724,179 $ 81,536 $ 198,068 $ 196,068 $ 1,199,852 Performing Arts $ 1,029,372 $ 94,563 $ 276,296 $ 273,506 $ 1,673,737 Physical Education $ 672,141 $ 51,704 $ 177,942 $ 176,145 $ 1,077,933 Outdoor Programs $ 315,352 $ 35,987 $ 86,370 $ 85,497 $ 523,207 Student/Family Support $ 1,046,973 $ 81,482 $ 277,407 $ 274,606 $ 1,680,469 College Counseling $ 428,419 $ 38,883 $ 114,876 $ 113,716 $ 695,895 Global Programs $ 408,420 $ 521,541 $ 228,611 $ 226,303 $ 1,384,875 Athletics $ 1,105,169 $ 356,962 $ 359,434 $ 355,805 $ 2,177,370 Financial Aid $ 6,432,500 $ 6,432,500 Mission-based budgeting Global Online Academy Online courses, grades 9-12 Enrollment: 500 Class size: 18 students max. Teacher salary: $6,000 per semester course taught, no benefits Tuition: $500/semester course; member schools pay dues $10K-$30K Cost per pupil per course: $1,339 A Lakeside School Micro-school October 2015 Total revenue $2,250,000 200 students; $11,250 tuition per student Teacher pay $1,200,000 10 teachers Admin pay $50,000 0.5 FTE administrator (principal, curriculum) Staff pay $45,000 1.0 FTE part-time staff: bookkeeper, custodian, admin assistant Payroll taxes, Benefits $323,750 Estimate 25% of payroll Instructional expenses $140,000 Estimate $700 per student Professional Development $10,000 Estimate $1,000 per teacher Administrative overhead $75,000 Hiring, travel, legal, property/liability insurance, audit, office supplies, etc. Occupancy overhead $406,250 Rent, utilities, phone, internet, copiers, maintenance Total expense $2,250,000 Teachers perform all other duties: college counseling, scheduling, tech support, admin functions, student support etc. Fundraise for financial aid and start-up / facilities Revenue and expense statement Creative schedules Four 10-week semesters Two-hour classes Academic day ends at 1 p.m. Blended classroom Online classes at home Creative curricula Differentiated learning Project-based learning Internships The city as classroom Interdisciplinary classes Blended learning Enroll for part of the day Enroll for one or more of four semesters Home-school for part of the day Flexible attendance The more students you teach, the more you earn Bonuses All teachers are administrators One teacher, several schools Creative personnel policies Faculty pay: Academically talented Motivated Diverse Global citizens The students we will serve The Lakeside School micro-school governance structure South Lake Union Prep: A Lakeside School Lakeside School at South Lake Union
| Types | Organization |
| Start date | 2015 |