Did you know the average district with a cost recovery program in place recovers about $14 per student in annual income? Top performing clients can recover over $50 per student annually!
In part 4 of our 5-part blog series we’ll take a look at how some of our top facility usage clients developed their fee structure and how to set a proper invoicing process in place.
Step 7: Develop fee structure
Most successful districts establish a simple fee structure for the various types of community groups that use the school facilities. Groups are categorized to establish cost recovery fees based on the degree of connection with the students or the community.
How did your peers do it?
Coppell ISD in Texas formerly had an open door policy, allowing groups to use facilities for no charge, but the district now requires that certain groups pay for usage. While the district welcomes the public to use school facilities, the line is drawn at the expense of taking away educational dollars.
Tumwater School District in Washington organized bill rates by establishing four key groups, each with its own fee structure:
- Category 1: school groups – no charge
- Category 2: non-profit groups – cost recovery fee, no rental charge
- Category 3: community groups outside district boundaries – modified commercial rental fee, custodial fee, recovery fee
- Category 4: commercial groups – market rate charge
Implementing these fee tables and charge types brought the most notable efficiency gains. Such guidelines allow for faster quoting and invoicing, which enables the district to respond to usage requests more quickly. Check out a facility use fee schedule sample here.
Step 8: Improve invoice management
A billing experience that is accurate from start to finish improves service to the school’s customers and the community users, as well as increases the likelihood that the group will use those facilities in the future.
How did your peers do it?
Mountain View School District in Pennsylvania provides a quote to set proper expectations. Then insures that the invoice is consistent with the quote. In the most streamlined districts, the final approved quote becomes the contract and the invoice, paid before the event occurs. If paid after the event, be pleasantly persistent with past-due notices. An invoice not collected is funding taken away from the classroom.
Did you miss our previous blogs in our 5-part blog series? If so, catch up here: Part 1, Part 2, and Part 3.
Find out who's implemented a streamlined community use program in your area.
Coming up in our final cost recovery blog series: Establish presence at the event and Form a team.