Next, PK was hired as counsel for the $6 million capital and endowment campaign. (March 2013)
The School District Hired DeLuca as Capital Campaign Director and Executive Director of the Mt. Lebanon Foundation for Education (MLFE) with a $82,000 a year salary. (August 2013)
The Mt. Lebanon School Board unanimously approved Alyssa DeLuca as the Director of the Mt. Lebanon School District Capital Campaign and Executive Director of the Mt. Lebanon Foundation for Education (MLFE). Ms. DeLuca will work with the Superintendent, MLFE Board Chair and campaign leadership to raise $6 million in capital and endowment funds. She will serve as the primary staff support for a volunteer campaign committee and the MLFE Board in the identification, cultivation, solicitation and stewardship of individual donors. Ms. DeLuca will lead campaign logistics and prospect management activities while establishing a long term development program for the District. She is expected to join the District on August 30.In addition, MTLSD has been buying fundraising software on more than one occasion. I would love to know how much has been spent so far toward fundraising efforts. If a reader could do that research for me, I would appreciate it.
The Trib's Matt Santoni has an article in today's paper announcing that the Mt. Lebanon School District is teaming up with the Pittsburgh Foundation.
Last I heard, we were in the "Quiet Phase," the longest quiet phase in the history of fundraising. In the article, I understand that our super Super Timmy would not disclose how much has been raised so far.
38 comments:
I'll be "excited" to hear a report from Larry on how much money the Capital Fundraiser has yielded... and how much it has cost!
I heard about this when I was on the "Key Communicators" committee. He introduced her, and the campaign.
All I could think was--do you really think foundations are going to give $6M to a community school district perceived as privileged as Mt. Lebanon -- so that you can keep your most precious but unnecessary programs? Won't happen.
Apparently, it hasn't.
- Jason M.
Not comparing a school district and universities but Harvard just received a $350 million dollar from the Morningside Foundation. It doesn't get any more privledged than Harvard. Revenues need to exceed expenses though. I'll grant you that. But I do know you'll get $0 if you don't ask. As we say on Wall Street, "When you get in, you should know when you're getting out."
Did I read here a while back that DeLuca was taking going on leave and an assistant was hired?
So it's been a year. How much have they raised? I'd like to know.
Something interesting although a little bit off topic.
Time and time again we heard that Corbett cut funding to schools.
But is it true?
According to the following link:
"Pennsylvania’s schools are certainly not starved for resources, yet there is a belief among some that doubling down with additional tax dollars will improve educational outcomes. A recent lawsuit joined by six school districts across the state alleges that top state officials have failed to uphold their constitutional obligation to provide an adequate education for all students.
How can it possibly be true that a $27 billion system provides inadequate resources for anyof its students? Poorly designed public policy is squarely to blame.
Look no further than Pennsylvania’s “hold harmless” provision, which is at the root of education funding inequity. Hold harmless—a relic of the early 1990s—mandates that each school district receive at least as much in state education dollars as it received the year before.
This approach may sound appealing in theory, but it is problematic in practice. Hold harmless funding levels are guaranteed to school districts regardless of changes in enrollment. This means that districts with sharply declining enrollment keep funding for students who have moved to other areas, and rapidly growing districts don’t get much additional funding."
If there is a mandate to guarantee funding at the previous year's amount, how did he cut funding? I don't believe he did.
The CAFR report seems to indicate there were no cuts from Harrisburg, so how does the school board explain their position that he did? There seems to a big disconnect with reality on Horsman Drive.
http://www.commonwealthfoundation.org/issues/detail/a-smarter-way-to-fund-students
The HS renovation isn't coming in anywhere near $100,000,000 as we were told. It won't be done on schedule and it doesn't look like the Capital Fundraiser is going to reach its $6,000,000 goal in five years.
Anything else we're about to be surprised with?
What is the reason that the district isn't working with the MLCE?
I wonder if the the initial group of 155 Lebo "Newcomers Tax" property owners will be early contributors ? Followed by over 200 more properties being appealed by Lebo for 2013/2014 to be followed by hundreds and hundreds more more for properties purchased during 2006-2010 ? I'm sure they would be happy to contribute even more than their mega school tax bites for the Taj Mahal.
From The Trib-
"The district will pay the foundation to manage the account.
The district is planning an initial investment of about $50,000 in the Century of Excellence fund after the school board approved the partnership at Monday's meeting. Grants to the district will be available after about a year, Uranker said."
A couple of questions.
#1. Where is the initial $50,000 investment coming from? A donation? From district coffers?
#2. After the PK charges of $40k and perhaps $800k after their service is done, DeLuca's salary/benefits, her assistant's salary/benefits, and numerous software purchases yet another entity- The Pittsburgh Foundation - is going to take a cut of the fundraising pie. Will we ever see any money actually going toward education?
Apparently there are to be two separate funds, one now identified as the "Century of Excellence" endowment fund, and "a second (unnamed) fund to help pay for capital improvements around the district". Both are to be endowment funds "that The Pittsburgh Foundation (TPF) will hold and invest". Endowment funds operate on the basis that income generated annually from such funds (i.e. interest, dividends, capital gains less TPF admin and investment management fees)are made available for release.
Less the fees the district will pay The Pgh Foundation to manage the two accounts, don't forget.
Not necessarily, 6:44 PM. This was sent to a resident today.
Elaine
"Dr. Steinhauer reviewed your request with our Capital Campaign leadership. Our consultants experienced in these types of campaigns have advised that it is premature to make public announcements as to fundraising results. Most of the past months have been devoted to planning the campaign, so it truly is just beginning. We are working very hard to make this a successful campaign to benefit our students and our taxpayers, and will begin making public reports on results in the near future.
Once funds are received, direct gifts will be deposited with the District, and endowment gifts will be deposited in a separate fund managed by the Pittsburgh Foundation.
Sincerely,
Jeanine
Jeanine Szalinski
Administrative Assistant/Open Records Officer/
Assistant Board Secretary
Superintendent's Office
Mt. Lebanon School District
7 Horsman Drive
Pittsburgh PA 15228
412.344.2077"
That contradict's the Trib article, Elaine.
It is possible that the paper got it wrong, of course.
It is possible that Timmy got it wrong too.
Elaine
Where did 6:44 get their information?
Taxpayers know nothing about any of this.
Are there two endowments? The "Century of Excellence" and another yet unnamed?
Then yet a third account for direct deposits to be held in district accounts?
Correction @7:19
Contradicts the Trib's article
I added a link to Santoni's article in the original post.
"The program will initially support sports and arts programs at the district, Uranker said."
Of course.
Elaine
What is not disclosed in the article is the fund goal of each fund that together will seek to be $6 million. That is, is it say $3 million for the Century fund and $3 million for the second unnamed capital improvements fund ? What specifically are the funds income to be used for by the District at this point in time that may differ from statements in early 2013 ?
Withdrawals of net income will require school board resolutions. Someone should also check to see if the Agreement with TPF includes what is called an "Invasion of Principal" provision that would permit the District to withdraw fund principle and/or terminate the fund accounts.
If both funds are to be classified as Agency Funds by TPF, not only will TPF hold and invest the fund money, TPF will be the legal owner of the funds, not MTLSD or MLFE !
What will be the role of the MLFE ? Will the MLFE receive, reinvest and disperse TPF annual net income from the two endowment fund accounts, or just what ? What happened to what was thought to be that donations were to go directly to, be held and invested and dispersed by the MLFE ? What then justifies Ms. DeLuca's $82,000/year salary plus benefits under this new TPF arrangement which also charges fees (even just 1% would amount to $60,000/year on $6 million)?
This needs a whole bunch more disclosure and transparency !
I think the Pittsburgh Foundation frittered away $100k on the black hole that is the Denis Theater. First, it helps to finance art house movies and lattes for Lebo. Now the Pittsburgh Foundation will help to finance trophy cases for rich kids.
Does anyone see a pattern here related to secret endowment funds? No one will ever know the donors, the balances, or the management details. The secrets in these town are tantamount to a crime. And that's why they won't reach their goal.
Just asked my neighbor and commissioner and was told that both are going to be used to support Mt Lebanon High School sports. With the new contract taxes are going to have to be raised and there will be calls to decrease funding for "our" sports programs. This will ensure that ALL Mt Lebanon sports remain intact and a few may be added. What Mt Lebanon needs a Equestrian team? Or maybe a Rodeo team?
Some of you are asking very good questions that are now premature. Others are frustrated or just complaining. Calm down, folks, giving is voluntary so you don't have to give. It is your choice.
My thoughts are the donors names will be credited but not shown with amounts. We don't want other districts soliciting our lead donors and those who make these gifts may not want to be solicited by other districts. So there are personal reasons that some of the information you are asking for may not be available.
Another reason to be patient is this is our first time soliciting funds so there is a lot of ground work that has to be done to reach just a fraction of our 40,000 alums.
Most fundraising campaigns do all the preliminary work before anyone knows anything at all about the campaign. We have a school system who has been open about having the campaign but may not be able to answer your questions until leadership gifts are made. In addition leadership gifts often come from folks who need to consult lawyers, CPA's and trustees before they make the pledges.
Hank in there, guys, many of the questions you are asking will be answered in time.
John Ewing
Hang in there
We have a district that has spent over $140,000 on a fundraising campaign over the past year and you want us to hang in there Mr. Ewing?
Asking good questions is premature?
You're right! Let's wait to see that the $100,000,000 high school renovation isn't going to be $100,000,000, that the $900,000 WCM turfing isn't going to be a $900,000 and the $3,000,000 community pool isn't going to be $3,000,000.
We won't ask why we're paying for two tracts of land for sports facilities that remain wooded lots.
Heaven forbid we ask too many questions too early!
Why don't we quit fooling ourselves and just not ask any questions at all.
Then in 10-20 years we can ask the big question, "how did we wind up in this financial mess!"
11:34, Sign your name and I will reply.
John Ewing
John, I believe 11:34 PM's questions were rhetorical. Your reply is not necessary.
Elaine
Funny how Mt Lebanon is stumbling over getting this setup. Within it's borders, a school already has a vibrant fund raising and Alumni network and has had it for years.
Seton-La Salle - Alumni
Maybe we need to hire someone who knows how to do a Google search instead of buying a bunch of software.
Part of the problem, Mr. Ewing, is that a respectable number of people have been frustrated by the district's response to even the most mundane and simple questions. For example, I recently received a PDF of the latest contingency fund accounting - through October, 2014 - that contained an $810 discrepancy with respect to the last report I received. I believe the reason has to do with a typographical error on a Farfield charge that occurred over a year ago - in July of 2013 - as that figure has been changed on the most recent report from $28,907 to $28,097. I've asked Ms. Klein for an explanation and am awaiting a reply. But to receive these contingency fund PDF's I have to file an RTK each time - for information that is available to the public at a school board meeting! Then if I have a question I may (or may not!) get a timely reply, but many times it will be a reply to a question that I did not ask! I have examples of exchanges with the administration in which I had to go back and forth three times to get a simple "yes or no" answer to a ridiculously simple question.
Then there is the exhaustion of the contingency fund itself. For months Mr. Berkebile has reassured both the public and the board that the high school project will clear the finish line on budget; until 10 November, that is, when during the construction update he stated quite clearly in response to a question about whether the fund would be depleted before the end of the project, "There's every good chance it will be." Indeed! (By my calculations the contingency fund will be exhausted on or before March, 2015.) In response to Mr. Berkebile's bleak assessment Mrs. Cappucci was quick to say the district has other resources, and that the board would tackle the problem at the appropriate time.
The hubris and arrogance of this school board is breathtaking. The members are quick to accept fawning praise, and quick to dismiss legitimate criticisms and concerns from the very people who are paying the costs. If the members of the administration and the school board would be transparent and "up front" with the residents of this village they would likely receive far less criticism and far more respect.
Forewarned is forearmed.
http://www.501c3.org/blog/misappropriating-nonprofit-funds/
Elaine is exactly right, Mr. Ewing, the post was rhetorical.
We know the high school project isn't going to meet its cap of $113.4 million. They were warned. They were advised. But no, they knew better. In fact they spent good money sending out a glossy FAQ telling the community that there was a good possibility the project could come in 17% under their estimates. They were thinking like 'maybe' $100,000,000.
At the birth of this "Capital Fundraising Campaign" the board-- like wide-eyed children in a candy shop-- thought there was $30 million in treats especially waiting for them. All they needed to do was ask.
They were warned that $30 million was unrealistic. They revised it to $15 million. Again, warned they were being gluttonous.
So they bring in PK to do a $40,000 study. What do the experts tell them? $6 million is a more realistic number. Surprise!
Just like the original high school plans put out to bid that came in far above the $113 million dollar cap... Surprise!
Oh, by the way no one mentioned that on the way to get that $6 million we'd add an $80,000/year employee with all the benies like healthcare, vacation time, pension obligations, etc., an assistant, expensive software, MLFE and now TPE fees on top of the contracted PK cut from the fundraiser.
By all means, Mr. Ewing, let's not be too hasty asking questions.
The above isn't a question, it is an observation of events to date and a personal opinion. It is never too early to ask questions in my mind.
Respond if you wish or not, I don't care.
Well said, Mr. Gideon!!!
Example of good questions asked, but never answered.
https://docs.google.com/file/d/0B2Tqdso8AsFNOWQyYjk5ZTctYjE0My00ODYzLTg0NWMtNTgxNDNlM2Q5ZjRm/preview?pli=1&hl=en
What ever happened to the Act 34 cap?
The previous post about the Denis Theatre Foundation illustrates the need to ask questions BEFORE donating. I wish I had asked more questions before giving to the Denis. Does anybody know how much money has been paid to its fundraisers and paid staff?
The Denis financials are presented in required IRS Form 990 tax returns filed annually, and available to the public free on www.GuideStar.org. You have to sign in and register.
You may not be too happy with what you find.
Mr. Gideon,
You do fine work and I Thank You you for that.
As to a couple of comments on this blog, one unnamed poster said there will be two endowments, one for Fine Arts, the other for Athletics. Another said there would be two endowments for Athletics. Both statements can't be right.
Also, a quiet period is a usual practice in a fund raising campaign. Lead gifts are often negotiated with the charity. It may be naming rights that are important to a donor or they may wish to contribute to a specific use. Let's use an example of one project in a larger campaign. The lead donor gave an unspecified amount for a lead gift for a $10,000,000 Field House so the students could play inside during inclement weather. The school has a long history of giving and the Field House goal was completed in two to three weeks. That is just one example of giving that happened quickly. Another example is a $13,000,000 project that took years to receive the lead gift but was funded promptly after the lead gift was given.
The school I am talking about has been fund raising for at least 30 years and has been very successful. The fund raising was started with an annual fund of smaller gifts and last year it raised $2,650,000 from approximately 3,000 donors. The purpose of the fund is to pay needed expenses from September until June. The middle gift was $100. The average gift exceeded $1,300.
The $10,000,000 and $13,000,000 gifts were raised through other campaigns as were many other facility improvements as well as support for facility salaries, curriculum programming and other needs.
I think one problem we might be having in Mount Lebanon is we haven’t been through the process before and neither has the board, so we may have a lack of experience problem rather than a communications or attitude problem. However, we do have a very competent fund raising Counsel that we can rely on for a successful outcome. Those circumstances lead me to the conclusion that we need to dial down our comments until the board and the public becomes more familiar with the process.
John Ewing
It's been almost two years. We don't have to "dial down" anything.
Further, none of this Ponzi scheme would be necessary if we had competent people on the school board. This whole thing has been shady and sleazy from the beginning. Stop defending incompetence.
Mr. Ewing:
Thanks for yours of November 21, 2014 at 2:11 PM. Your points are well taken, but my post of November 21, 2014 at 7:41 AM was in response to a portion of your first post in this thread in which you wrote, "Some of you are asking very good questions that are now premature. Others are frustrated or just complaining." I felt that you opened a door for me to give my thoughts as to why, when it comes to dealing with our school district, some people in Mt. Lebanon feel frustrated.
With respect to the Capital Campaign, I completely agree with you that the MLSD is walking down a new path. I also accept that a certain "learning curve" is to be expected. Believe it or not, I hope the campaign is successful - assuming the funds raised are used to offset property tax increases. That some of the questions posted on this Blog, and addressed to the board directly, may be "premature" is likely true; however, the inquisitor is at a disadvantage when he or she is trying to "time the question," given the fact that the "silent phase" of this campaign seems to be an unknown variable.
Putting aside the question of the Capital Campaign, the district has a deserved reputation for dealing harshly, or not at all, with certain members of the community who raise, shall we say, "uncomfortable" questions. Earlier I wrote, "The hubris and arrogance of this school board is breathtaking." On further reflection I believe the following adjective phrase may be a better description of the attitude of the board: the "Jonathan Gruber effect."
For the record, I do not believe in public education - at least the Prussian model that is currently instituted in this country - and my support of it is strictly coerced, backed by the law and people with guns. I have made this statement to the school board and have written as much previously on this Blog. But as long as I am forced to pay for a product that I believe to be defective I have the right to "question authority" and to receive answers. Also for the record, any "beef" I may have with the members of the school board or the administration is purely profession and not personal.
Note to Blog readers: You may notice that Mr. Ewing and I have had a cordial exchange of views. This is the result of signing one's name to one's post.
PS: As if they were reading my mind, today the Reason Foundation has published an article by Neal McCluskey, the Associate Director of the Cato Institute's Center for Educational Freedom, entitled "The School Religious Holidays Problem is Really a Public Schooling Problem." The article is really about more than the "Religious Holiday Problem"; it highlights a major flaw with public education as we know it, and it's worth reading.
There is no honor in an undertaking characterized by secrecy.
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