Freedom Prep Charter School

Nonprofit profile at a glance

EIN
200683866
IRS 990 coverage
2009–2022
Forms available
Form 990 2022
Location
Florham Park, NJ, USA
Phone
9732967829
Rating
74
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Charter Schools

Reported finances

Revenue
$19,923,524
Expenses
$20,414,104
Assets
$11,273,151
Liabilities
$6,052,705

Source: IRS Form 990. Selected filing: tax year 2022. Amounts in USD.

Leadership & pay

11 people listed

Executive titles in this filing

  • KRYSTIE BIRDSALL (PRESIDENT)
  • MATTHEW DAVIDDOFF (VICE PRESIDENT)
  • WYOMIA SCOTT (EXECUTIVE DIRECTOR)

Highest reported compensation

  • WYOMIA SCOTT (EXECUTIVE DIRECTOR): $228,771 total reported compensation
  • PIA GARBUTT (PRINCIPAL): $154,768 total reported compensation
  • AMANDA TAYLOR (PRINCIPAL): $151,496 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2022. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

To educate responsible citizenscholars for success in the college of their choice and a life of active citizenship.

What it reported doing in 2022

Freedom prep charter school provided an exceptional alternative for students and families otherwise slated to attend schools that too often do not meet their needs. It embodied a refined no excuses approach. In addition to incorporating the traditional attributes that researchers have proven to be correlated with improved student learning outcomes - extended school days and years, rigorous college-prep academics, ongoing use of data to inform instructional decisions and resource allocation, consistent cultural and academic expectations, and exceptional talent at all levels, freedom prep charter school was unique in its commitment to three other key design elements: a commitment to educating all students, in all subjects in all grades; authentic civic leadership and engagement; and operating on public funds. The charter school was authorized to serve a maximum of 1,020 students during the 2022-2023 school year in grades k-12. However, it ended the 2022-2023 school year with an enrollment of 694 students. It should be noted that effective june 30, 2023, the school's charter was revoked by the New Jersey commissioner of education. Therefore, the charter school ceased operations effective june 30, 2023.

Operating model

Revenue model
Earned-program. 74% of the money available for current operations came from fees and other program revenue.
Distribution model
Direct operator. The filing allocates 100% of reported program-service expenses outside its grant, affiliate-payment, and member-benefit lines. This expense classification does not rule out separately announced grant awards.

The verdict

SUPPORTED - A large share of available resources goes toward mission work and the filed numbers largely add up. Expenses are high relative to revenue and total assets are small relative to annual expenses; liquid coverage is unknown.

Rating breakdown

  • Financial Efficiency: 61
  • Transparency & Controls: 77
  • Accountability: 100
  • Sustainability: 27
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 68.6%; rating input score 69
  • Program expense ratio: 67%; rating input score 67
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 63rd percentile among comparable filings
  • Pay-setting controls: 3 of 6 controls in place; rating input score 50
    • Compensation committee: Missing
    • Independent consultant: Missing
    • Other Form 990s reviewed: Pass
    • Written employment contract: Pass
    • Compensation survey or study: Missing
    • Board or committee approval: Pass
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 66th percentile among comparable filings
  • Governance controls: 9 of 9 controls in place; rating input score 100
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: Pass
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: -2.5%; rating input score 24; 24th percentile among comparable filings
  • Total-asset coverage ratio: 0.55; rating input score 18; 18th percentile among comparable filings
  • Liabilities to assets ratio: 0.54; rating input score 28; 28th percentile among comparable filings
  • Officer compensation ratio: 3.8%; rating input score 58; 58th percentile among comparable filings

Growth

  • Program expense growth: 6% per year; rating input score 100; 54th percentile among comparable filings
  • Revenue growth: 8.6% per year; rating input score 100; 69th percentile among comparable filings
  • Asset growth: 14.3% per year; rating input score 100; 78th percentile among comparable filings

Details

  • Where the money goes: 68.6% of revenue deployed · 67% of spending went to programs
  • Governance: 6 of 6 board members independent · 9 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $13.7M in reported program spending
  • Leadership: top reported pay $229K · 11 people listed · 3 of 6 pay-setting controls reported
  • Highest-paid contractors: 3 contractors listed · $1.8M reported
  • Consistency: 26 of 26 current checks pass
  • Schedules: 5 filed schedules · includes executive pay
  • Filing history: 10 filing years from 2009 to 2022
  • Contacts: How to reach this organization
  • Money network: 5 filed money-flow records
  • Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
  • People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • High — Sustainability: Operating margin scored 24/100.
  • High — Sustainability: Total-asset coverage ratio scored 18/100.
  • High — Sustainability: Liabilities to assets ratio scored 28/100.
  • Review — Sustainability: Officer compensation ratio scored 58/100.