South Carolina Association of Public Charter Schools

1. South Carolina Association of Public Charter Schools Advancing Innovation and Excellence in Public Education info@scapcs.org www.scapcs.org 800-691-7133 Charter School Board Orientation For the video segments of the training: http://www.knowitall.org/EducatorPlus/content/program.cfm?SeriesIDpassed=116

2. Why am I here? Required to be. Section 59-40-155.    (A)    Within one year of taking office, all persons elected or appointed as members of a charter school board of trustees after July 1, 2006, shall complete successfully an orientation program in the powers, duties, and responsibilities of a board member including, but not limited to, topics on policy development, personnel, instructional programs, school finance, school law, ethics, and community relations. The orientation must be provided at no charge by the State Department of Education or an association approved by the department. Further Support the Mission of My Public Charter School Steward of public funds Want to stop wasting time at board meetings _______________________________ _______________________________

3. PURPOSE OF THE SC CHARTER SCHOOL ACT: SECTION 59‑40‑20. Purpose. This chapter is enacted to: (1) improve student learning; (2) increase learning opportunities for students; (3) encourage the use of a variety of productive teaching methods; (4) establish new forms of accountability for schools; (5) create new professional opportunities for teachers, including the opportunity to be responsible for the learning program at the school site; and (6) assist South Carolina in reaching academic excellence.

4. GOVERNING BOARD RESPONSIBILITIES: From Regulations: The governing board must assume the following responsibilities: (a) employing and contracting with teachers and nonteaching employees; (b) ensuring that teachers, whether certified or noncertified, undergo the background checks and other investigations required for certified teachers, as provided by law, before they may teach in the charter school; (c) contracting for other services; (d) developing pay scales, performance criteria, and discharging policies for its employees; (e) deciding all other matters related to the operation of the charter school, including budgeting, curriculum, and operating procedures; and (f) ensuring that the charter school will adhere to the same health, safety, civil rights, and disability rights requirements as are applied to all public schools operating in the same school district. Note - The board governs by policy and the administrator manages by implementing.

5. Federal Definition of a Charter School Charter schools are independent public schools designed and operated by parents, educators, community leaders, education entrepreneurs and others with a contract, or charter, from a public agency, such as a local or state education agency or an institution of higher education. Charter schools are operated free-of-charge to parents and are open to all students.

6. State Definition of A Charter School SECTION 59‑40‑40. Definitions. As used in this chapter: (1) A “charter school” means a public, nonreligious, nonhome‑based, nonprofit corporation forming a school that operates within a public school district or the South Carolina Public Charter School District, but is accountable to the school board of trustees of that district which grants its charter. Nothing in this chapter prohibits charter schools from offering virtual services pursuant to state law and subsequent regulations defining virtual schools. (2) A charter school: (a) is considered a public school and part of the South Carolina Public Charter School District or local school district in which it is located for the purposes of state law and the state constitution; (b) is subject to all federal and state laws and constitutional provisions prohibiting discrimination on the basis of disability, race, creed, color, gender, national origin, religion, ancestry, or need for special education services; (c) must be administered and governed by a governing body in a manner agreed to by the charter school applicant and the sponsor, the governing body to be selected, as provided in Section 59‑40‑50(B)(9); (d) may not charge tuition or other charges pursuant to Section 59‑19‑90(8) except as may be allowed by the sponsor and is comparable to the charges of the local school district in which the charter school is located.

7. Charter School Requirements: SECTION 59‑40‑50. Exemption; powers and duties; admission to charter school. (A) Except as otherwise provided in this chapter, a charter school is exempt from all provisions of law and regulations applicable to a public school, a school board, or a district, although a charter school may elect to comply with one or more of these provisions of law or regulations. (B) A charter school must: (1) adhere to the same health, safety, civil rights, and disability rights requirements as are applied to public schools operating in the same school district or, in the case of the South Carolina Public Charter School District, the local school district in which the charter school is located; (2) meet, but may exceed, the same minimum student attendance requirements as are applied to public schools; (3) adhere to the same financial audits, audit procedures, and audit requirements as are applied to public schools; (4) be considered a school district for purposes of tort liability under South Carolina law, except that the tort immunity does not include acts of intentional or wilful racial discrimination by the governing body or employees of the charter school. Employees of charter schools must be relieved of personal liability for any tort or contract related to their school to the same extent that employees of traditional public schools in their school district or, in the case of the South Carolina Public Charter School District, the local school district in which the charter school is located are relieved; (5) in its discretion hire noncertified teachers in a ratio of up to twenty‑five percent of its entire teacher staff; however, if it is a converted charter school, it shall hire in its discretion noncertified teachers in a ratio of up to ten percent of its entire teacher staff. However, in either a new or converted charter school, a teacher teaching in the core academic areas as defined by the federal No Child Left Behind law must be certified in those areas or possess a baccalaureate or graduate degree in the subject he or she is hired to teach. Part‑time noncertified teachers are considered pro rata in calculating this percentage based on the hours which they are expected to teach;

8. (6) hire in its discretion administrative staff to oversee the daily operation of the school. At least one of the administrative staff must be certified or experienced in the field of school administration; (7) admit all children eligible to attend public school to a charter school, subject to space limitations. However, it is required that the racial composition of the charter school enrollment reflect that of the local school district in which the charter school is located or that of the targeted student population of the local school district that the charter school proposes to serve, to be defined for the purposes of this chapter as differing by no more than twenty percent from that population. This requirement is also subject to the provisions of Section 59‑40‑70(D). If the number of applications exceeds the capacity of a program, class, grade level, or building, students must be accepted by lot, and there is no appeal to the sponsor; (8) not limit or deny admission or show preference in admission decisions to any individual or group of individuals; however, a charter school may give enrollment priority to a sibling of a pupil already enrolled or previously enrolled, children of a charter school employee, and children of the charter committee, if such priority enrollment does not constitute more than twenty percent of the enrollment of the charter school; (9) elect its board of directors annually. All employees of the charter school and all parents or guardians of students enrolled in the charter school are eligible to participate in the election. Parents or guardians of a student shall have one vote for each student enrolled in the charter school. A person who has been convicted of a felony must not be elected to a board of directors; (10) be subject to the Freedom of Information Act, including the charter school and its governing body.

9. Lottery/Admissions Changes: From Regulations: The policies and procedures must not limit or deny admission or show preference to any individual group; however, priority, which may not exceed twenty percent of the enrollment of the charter school, may be given to (a) a sibling of a pupil already enrolled or previously enrolled, (b) children of charter school employees, and (c) children of the charter school committee.

10. SC Freedom of Information Act and Opening Meeting Laws Open meeting laws apply to all public bodies A meeting takes place if a quorum is present Quorum is a simple majority Public vote of the school board must be taken to go into executive session Defines what action can be taken in executive session Chairs must announce why a board goes into executive session Requires advance public notice of meetings

11. A Word About Minutes Minutes shall include... date, time and place of meeting members present & absent substance of all matters proposed, discussed or decided record of votes taken Designate an official secretary Minutes are recording of actions ofthe board and not of an individual Minutes are permanent records Minutes must be approved Handling attachments Video and/or audio recordings are not official minutes Executive session minutes should be avoided or be very limited unless required by law Must be maintained at legal address

12. FOIA v. FERPA – more alphabet soupFOIA: http://www.scstatehouse.gov/code/t30c004.ht   From actual Email before school opened: ______________________________________________________ Hey Park, Let me know whether you need this in a formal FOIA request. I'd like to get a list of the Charleston Charter School for Math & Science minority students, their addresses and their phone numbers. Thanks in advance, DietteDietteCourregeThe Post and Courier134 Columbus St.Charleston, S.C. 29403dcourrege@postandcourier.com

13. Ethics Act Board members and employees of charter schools are subject to the requirement of the State Ethics Act Code of Conduct http://ethics.sc.gov/rulesofconduct/ RULES OF CONDUCT SECTION 8-13-700.   Use of official position or office for financial gain; disclosure of potential conflict of interest. (A) No public official, public member, or public employee may knowingly use his official office, membership, or employment to obtain an economic interest for himself, a member of his immediate family, an individual with whom he is associated, or a business with which he is associated. This prohibition does not extend to the incidental use of public materials, personnel, or equipment, subject to or available for a public official's, public member's, or public employee's use which does not result in additional public expense. (B) No public official, public member, or public employee may make, participate in making, or in any way attempt to use his office, membership, or employment to influence a governmental decision in which he, a member of his immediate family, an individual with whom he is associated, or a business with which he is associated has an economic interest. A public official, public member, or public employee who, in the discharge of his official responsibilities, is required to take an action or make a decision which affects an economic interest of himself, a member of his immediate family, an individual with whom he is associated, or a business with which he is associated shall:

14. The board must NOT forget… that someone is always watching!!

15. PART II GOVERNANCE Board Structure and Responsibilities “Productivity is never an accident. It is always the result of a commitment to excellence, intelligent planning, and focused effort.” Paul J. Meyer

16. Board Composition Must reflect your bylaws – if you want to change it, it must amend bylaws and get approval from your sponsor as it is a material change. You may be able to make some adjustments through board resolution. Sample board member agreements are available at: www.nps.gov/partnerships/model_board_member_agreement.htm or www.cde.state.co.us/cdechart/guidebook/gov/index.htm Board Development Committee – look at needed skills on the board Board Offices President Chairperson Vice-President Secretary Treasurer Committees

17. Developing Sound PolicyManagers think about today. Leaders think about tomorrow.”Dan McCrearyThere are four types of policies a charter school governing board should consider:• Policies required by law (e.g. nondiscrimination, sexual harassment)• Policies required by the charter (e.g. lottery/enrollment,)• Policies that give broader definition to the vision/mission (e.g. educational program philosophy, administrative structure,)• Policies that communicate board decisions (e.g. facility use, withholding diplomas/transcripts/grades)Sample Policies http://www.cde.state.co.us/cdechart/guidebook/gov/index.htm

20. Holding Productive Board Meetings“I’ve never seen anything good come out of a five hour board meeting.”B. Kowalski# 1 Rule for a Productive Meeting – Provide board information packs ahead of time.

21. Encourage orderly discussion Maintain order Speaker remarks must be germane Right to speak with no interruptions Majority rules - usually Views of the minority Two-thirds vote Avoid being overly dedicated to Robert’s Rules Basic Principles of Robert’s Rules of Order

22. Agenda The agenda is the map the board agrees to follow throughout the meeting • Developed by the superintendent & chair • Not final until the full board agrees to it or until a time certain is reached • After adoption, can only be changed by a 2/3 vote

23. Preparing the Agenda • Poor agenda = poor decisions • Agendas are meant to: • Inform members • Lock in business • Alert the public of issues to be discussed • Be specific • Action items should be listed • Consider a consent agenda • Public comment

24. Managing Public Input Sessions • Have sign-up procedure • Limit scope of comments to items on agenda • Time limit – stick to it • Do not allow comments to be directed at individuals (individual staff & board members) • Don’t allow response from board members • Establish who will follow-up with individuals who comment

25. Executive session:Contracts Personnel Legal .That is it.

26. Adopting a Motion There are six steps for adopting a motion. Step 1A member makes a motion Step 2A member seconds a motion Step 3The chair states the question Step 4The members debate Step 5The members vote Step 6The chair announces the vote

27. I move to amend the amendment by inserting the word bright in front of the word yellow. Secondary Amendment I move to amend the motion by replacing the word green with the word yellow. Primary Amendment I move the boardroom be painted green. Main Motion

28. The legal and ethical expectations of board members (already touched on in Part I) Board Member Conduct Code of conduct: Within the board member agreement, the code of conduct statement includes such topics as confidentiality, treatment of sensitive information, and placing the best interests of the school ahead of the best interests of any individual child. Conflict of interest: Board members who may benefit from an action of the board must recuse themselves from any vote regarding that action. Board member responsibilities: These responsibilities may include regular attendance at board meetings and special school events; taking training courses; engaging in respectful discourse during periods of conflict; or providing support for administration and faculty in the performance of their jobs. Board members may not abstain from a vote simply because they do not want to vote on a particular decision.

30. Pitfalls to Avoid Indecision Mishandling Conflict Nepotism Personal Agendas Too Much, Too Quick Micromanagement Overdependence on the Administrator Financial Mismanagement Overextending Administrators Lack of Policy Infrastructure Unqualified or Poorly Qualified Board Members Founders Hired as Employees Lack of Continuity and Institutional Memory Training can help boards overcome barriers and function more productively.

31. PART IIIFunding ResourcesMellanie Jinnette Funding Sources Participants will be able to articulate funding sources available to charter schools and estimate the funding available to a school • State • Federal • Local • Other

32. State FundingMellanie Jinnette • Base Funding • Categorical • EIA Education Improvement Act • Lottery • State Restricted

33. ExpendituresBill Moser Rules of Thumb Participants will be able to use rules of thumb to evaluate budget spending lines and find and evaluate key points in the annual budget & the monthly budget • Staffing • Facilities • Instructional • Administration

34. Fiduciary ResponsibilitiesBill Moser Budget Creation, Oversight, Adjustment Participants will be able to articulate the role of the Board and its fiduciary responsibilities • Board Role • Monthly Budget Report • Internal Controls

35. Fiduciary A person or institution who manages money or property for another and who must exercise a standard of care in such management activity imposed by law or by contract. (Black’s Law Dictionary, 5th Edition)

36. Fiduciary • A person or institution – a charter school, charter school board and/or charter school administrator • Manages money or property – taxpayer dollars and facilities • Exercise a standard of care – due diligence as a guardian of assets • Imposed by law or contract – State and Federal statutes apply as does the Charter Contract

37. Fiduciary Who among the school’s leadership assumes a fiduciary responsibility? The Board of Directors The Principal / Executive Director The Finance Officer The Faculty

38. Establish Sound Fiscal Policy • The Annual Operating Budget is in place and is the backbone for all financial decisions • A Purchasing System integrates with the budget • All transactions posted as they are executed • All Backup Documentation maintained in an orderly and logical manner (Audit Ready)

39. Annual Operating Budget • Who • What • When • Where • Why

40. Annual Operating Budget • Monthly Monitoring is a MUST • Require Reports with MTD, YTD and Budget Variance Figures (% or $) • Perform Quantitative Analysis • Always Ask Questions • Never Assume “Absolute Expertise”

41. Monthly Budget Report

42. Monthly Budget Report

43. Monthly Budget Report

44. Standards of Noncompliance • Failure to monitor & understand the budget • Failure to account for spending • Failure to ask important questions • Failure to make critical financial decisions • Deferral of fiduciary responsibility • Lack of a timely, annual audit

45. SC Charter Schools ActSection 59-40-110 (C) A charter school MUST be revoked or not renewed by the sponsor if it is determined that the charter school: Committed a material violation of the conditions… Failed to meet or make reasonable progress… Violated any provision of law… Failed to meet Generally Accepted Standards of Fiscal Management

46. Brian CarpenterCEO, National Charter Schools Institute Establish Internal Controls (through policies) Monitor Compliance with Fiscal Policies Develop Financial Interpretation Skills Develop Accurate Budgets Recognize Red Flags Minimize Risk Hire Independent Auditor

47. Establish Sound Fiscal Policy Internal Fiscal Controls A system of policies and procedures that protect the assets of an organization, create reliable financial reporting, promote compliance with laws and regulations, and achieve effective and efficient operations.

48. Establish Sound Fiscal Policy Policy Procedure Work Instruction Other Documents

49. Establish Sound Fiscal Policy Internal Fiscal Controls • Budgeting • Cash Receipts (Cash, Checks, Teachers, Fundraisers, Athletics) • Deposits • Petty Cash • Disbursements • Payroll • Fixed Assets • Electronic Data Processing

50. Facilities and FF&EBill Moser Participants will be able to understand the impact of facilities, furniture, fixtures, and equipment (FF&E) on the school budget • Acquisition • Indemnification