Parents’ Group Poised to Offer Plan to Save St. Margaret’s School This Week

Rocked by last week’s announcement that St. Margaret’s Episcopal Church would be closing its school for grades 1-8 at the end of this term, a determined group of parents isn’t taking the news sitting down.

Instead, they’re busy trying to take matters into their own hands.

“We took the baton as soon as we got the announcement,” said Roman Whittaker, a local attorney whose child is part of what could be the school final second grade class. “We’ve been negotiating with (St. Margaret’s officials) to explore what amounts to a takeover of the school.”

Whittaker fellow St. Margaret’s parents Barry and Kay Austin and Rod Vandenbos – who he said comprise the core of the group developing the plan – recognized they had to move quickly before too many parents made other plans for the 2011-12 school year.

“Over the past 10 days, we’ve been moving at light-speed,” he said. “And at this point, we’re close to having a business plan together and hope to be able to present a proposal to church officials by the end of (this) week.”

A key component of that plan is the creation of a 501(c)(3) non-profit, charitable corporation that would, among other things, take out a long-term lease of the existing school property for a nominal fee – something like one dollar per year – and assume all school operations.

Obviously, Whittaker noted, that wouldn’t be possible if the church wasn’t on board with the idea.

“Since we came to them, the church has been absolutely open to any possible plan to keep school operational,” he said. “It’s a big part of their ministry – and an integral part of what they do as a church.”

Although he made no mention of the proposal Whitaker’s group is currently working on, the parish’s rector, Father Lane Hensley, seems likely to lend a sympathetic ear when the group makes its pitch.

“The church still believes in the school – we have the finest students and the finest faculty,” he said. “Unfortunately, it is not an enterprise we can sustain.”

Hensley said the school had been behind financially from day one and its fortunes have deteriorated in a down economy.

“The school was launched 17 years without any sufficient endowment and we’ve lost a third of our students over the past four years,” he said.

During that period, Hensley added, the school has amassed more than $1 million in debt.

“The problem is, at this point we would need an endowment of several million dollars to sustain the school,” he said. “Without that, we don’t have capacity to borrow … and continuing to finance is not sustainable.”

Whittacker noted that by taking over the school the way his group will propose, the new entity would start out debt free – creating a scenario in which the school’s overhead is significantly lower. In addition, he said their business model will encompass strategies to increase enrollment, broaden the school’s donor base and stabilize tuition by raising endowment money.

One thing that will not change, he stressed, is the school’s identity.

“Although the plan we will propose envisions a school that is separate and independent, the parochial nature of the school and its name will still reflect a connection to and an affiliation with St. Margaret’s Episcopal Church,” he said. “Church officials have been very cooperative so far and we think we’ll be able to put a deal together very soon.”