Financial Outcomes
Financial Outcomes
The financial section of the framework evaluates both the near-term and long-term sustainability of schools. These measures assess the responsible use of public funds and provide insight into each school’s overall financial health.
See the performance framework for details. The performance framework details the standards of achievement for each measure.
Financial Measures
Meets Standard: The school has a current ratio of at least 1.1 (or between 1.0 and 1.1 with a 1-year positive trend).
Meets Standard: The school has 60 days cash OR between 30- and 60-days cash and one year trend is positive.
*Note: Schools in their first or second year of operation must have a minimum of 30 days cash.
Meets Standard: The school is not in default of any financial obligations and did not experience any instances of default during the fiscal year.
Meets Standard: The school’s debt to asset ratio is less than .9.
Meets Standard: Debt Service Coverage Ratio is between 1.1 and 1.49.
Meets Standard: Finances are managed in compliance with GAAP. The school’s internal controls are compliant. There were no audit findings in the most recent financial audit.