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FLAMMA board explains contingency plans for lower‑than‑projected enrollment and fundraising
Summary
Applicants told TEA they modeled scenarios where initial enrollment is lower than projected, outlined expense cuts tied to headcount and said $18 million in foundation funds plus planned annual philanthropy would provide cushion.
TEA staff tested FLAMMA on enrollment risk and contingency planning during the capacity interview. The board presented modeling that reduces variable costs tied to student headcount and said facility footprint and related rent can be reduced if enrollment falls short.
When asked to model an opening with roughly 100 students instead of 198 projected for year 1, board members explained adjustments they would make: reduce homeroom and music faculty positions tied to headcount, cut one bus route, lower after‑school program cost, delay or zero out year‑one classroom furniture purchases, and reduce leased square footage to as low as 14,000 square feet. A board member estimated savings from these measures (personnel, transport, food service, materials and smaller leased area) would move the budget toward balance without cutting leadership or key specialists. “We would not have to cut a SPED teacher. We would not have to cut the ELA or the literacy specialist or any of the school leadership,” a board member said.
Applicants told TEA they modeled enrollment sensitivity and plan close financial oversight: monthly reporting from the superintendent and use of external back‑office support (ESC/charter support and local fiscal partners) for financial controls. The board described $18 million already committed from the Frank Lou Junior Foundation and projected annual philanthropic fundraising (board projected roughly $2.5 million annually in conservative scenarios). Board members said they would also delay phase‑two renovations if enrollment did not support them.
TEA asked whether lease payments would offset loans taken for renovations and how the foundation funds were split between cash to the charter and capital work; applicants said the charter entity would assume tenant improvement financing and that a portion of foundation funds would be provided as cash to the school and spent on renovations, but that some loan / lease mechanics were still being finalized and would be clarified if approved.
Board members emphasized active fundraising and financial expertise on the board. “We have $18,000,000 essentially in cash from the Frank Lou Foundation,” one board member said, adding the board planned conservative budgeting and regular trigger points to inform decisions.
