From Projections to Payments: Mastering Charter School Funding

About the Webinar:

This practical session equipped charter school leaders with comprehensive knowledge about navigating Florida’s complex education funding system, from initial budgeting through final payments. Dr. Andy Binns, Board Chairman of Palm Beach Maritime Academy, and Matthew Durden, Associate Attorney at Arnold Law Firm, provided a detailed roadmap for understanding how charter schools receive funding, track revenue throughout the year, and manage the financial uncertainties inherent in enrollment-based funding models. The presenters explained the critical funding mechanisms including the Florida Education Finance Program (FEFP), categorical programs, capital outlay, federal pass-through funds, and local discretionary millage, emphasizing that charter schools must understand each funding stream’s calculation methodology, timing, and restrictions to effectively plan budgets and maintain financial health. They walked attendees through the annual funding cycle, highlighting key dates including survey periods, preliminary and final funding calculations, legislative sessions that can impact allocations, and the monthly payment schedule that determines cash flow throughout the school year.

Binns and Durden offered strategic guidance for making accurate enrollment projections—the foundation of sound financial planning—and managing the risks when actual enrollment differs from budgeted expectations. They discussed best practices for monitoring funding throughout the year, reconciling payments against projections, identifying discrepancies or underpayments, and maintaining sufficient cash reserves to weather enrollment fluctuations or delayed payments. The session addressed common funding challenges charter schools face, including understanding administrative fees retained by districts, navigating disputes over funding calculations, ensuring proper student coding to maximize categorical funding, and planning for the funding cliff that occurs when schools don’t receive final payments until months after the fiscal year ends. The presenters emphasized the importance of building strong relationships with district finance offices, maintaining meticulous enrollment and student data records, and engaging qualified financial advisors or consultants when needed. Attendees left with practical tools including budget templates, funding calculation worksheets, monthly monitoring checklists, and strategies for communicating financial information effectively to boards and stakeholders, empowering them to master the financial complexities that are essential to their schools’ sustainability and success.