Common use of Fiscal Management Clause in Contracts

Fiscal Management. i. The Governing Board shall comply with the same financial audits, audit procedures and audit requirements of school districts. The program, financial, and compliance audits may be conducted by the chartering entity or the Legislative Auditors Office. The Governing Board shall maintain the financial records of the School pursuant of the governing authority and the State Auditor’s Office. ii. Generally accepted standards of fiscal management are those fiscal practices which result in a school’s continued ability to meet the measures, metrics, and targets found in the performance standards below, or more restrictive performance standards imposed in a trust agreement with external entities involved in facilities finance; provisions stated below will be considered binding in the absence of more restrictive covenants entered into by the school as a result of trust obligations. Generally accepted standards of fiscal management will include but are not limited to practices outlined in statutes pertaining to the management of school district budgets (U.C.A. §53A-19). Measure Metric Minimum Standard Audit findings or recommendations Number of material findings, financial condition findings, or repeated significant findings No unresolved material findings, financial condition findings, or significant findings Current ratio Current Assets ÷ Current Liabilities > 1.15 Debt ratio Total Liabilities ÷ Total Assets < 0.9 Occupancy costs Facility Costs ÷ Total Operating Revenues < 22% Maintain applicable bond covenants No Default Certification, Audited Financial Statements Yes Current assets to total annual operating expenses Current Assets ÷ (Total Annual Operating Expenses ÷ 365) > 30 - 60 days cash on hand or cash reserve as required by bond covenants, whichever is greater Adherence to Budget (Budgeted expenditure - Expenditure) / Budgeted expenditure Overall budget to actual expenditures within 10% of budget

Fiscal Management. i. The Governing Board shall comply with the same financial audits, audit procedures and audit requirements of school districts. The program, financial, and compliance audits may be conducted by the chartering entity or the Legislative Auditors Office. The Governing Board shall maintain the financial records of the School pursuant of the governing authority and the State Auditor’s Office. ii. Generally accepted standards of fiscal management are those fiscal practices which result in a school’s continued ability to meet the measures, metrics, and targets found in the performance standards below, or more restrictive performance standards imposed in a trust agreement with external entities involved in facilities finance; provisions stated below will be considered binding in the absence of more restrictive covenants entered into by the school as a result of trust obligations. Generally accepted standards of fiscal management will include but are not limited to practices outlined in statutes pertaining to the management of school district budgets (U.C.A. §53A-19). Measure Metric Minimum Standard Audit findings or recommendations Number of material findings, financial condition findings, or repeated significant findings No unresolved material findings0 Unrestricted cash on hand ((Cash + Investments) ÷ Total Annual Operating Expenses) ÷ 360 30 days unrestricted cash on hand or cash reserve as required by bond covenants, financial condition findings, or significant findings whichever is greater Measure Metric Board Goal Current ratio Current Assets ÷ Current Liabilities > 1.15 Debt ratio Total Liabilities ÷ Total Assets < 0.9 Occupancy costs Facility Costs ÷ Total Operating Revenues < 22% Maintain applicable bond covenants No Default Certification, Audited Financial Statements Yes Current assets to total annual operating expenses Current Assets ÷ (Total Annual Operating Expenses ÷ 365) > 30 - 60 days cash on hand or cash reserve as required by bond covenants, whichever is greater No default. School upholds contractual obligations Adherence to Budget (Budgeted expenditure - Expenditure) / ÷ Budgeted expenditure Overall budget Within 5% Enrollment capacity Percent enrolled compared to actual expenditures within 10% of budgetauthorized capacity

Fiscal Management. i. The Governing Board shall comply with the same financial audits, audit procedures and audit requirements of school districts. The program, financial, and compliance audits may be conducted by the chartering entity or the Legislative Auditors Office. The Governing Board shall maintain the financial records of the School pursuant of the governing authority and the State Auditor’s Office. ii. Generally accepted standards of fiscal management are those fiscal practices which result in a school’s continued ability to meet the measures, metrics, and targets found in the performance standards below, or more restrictive performance standards imposed in a trust agreement with external entities involved in facilities finance; provisions stated below will be considered binding in the absence of more restrictive covenants entered into by the school as a result of trust obligations. Generally accepted standards of fiscal management will include but are not limited to practices outlined in statutes pertaining to the management of school district budgets (U.C.A. §53A-19). Measure Metric Minimum Standard Audit findings or recommendations Number of material findings, financial condition findings, or repeated significant findings findings. No unresolved material findings, financial condition findings, or significant findings findings. Current ratio assets to total annual operating expenses. Current Assets ÷ (Total Annual Operating Expenses ÷ 365) 30 days cash on hand or cash reserve as required by bond covenants, whichever is greater. Measure Metric Board Goal Current Ratio Current Assets + Current Liabilities > 1.15 Debt ratio Ratio Total Liabilities ÷ + Total Assets < 0.9 Occupancy costs Costs Facility Costs ÷ + Total Operating Revenues < <22% Maintain applicable bond covenants No Default Certification, Audited Financial Statements Yes No default. School upholds contractual obligations. Current assets to total annual operating expenses Current Assets ÷ (Total Annual Operating Expenses ÷ 365) > 30 - >30-60 days cash on hand or cash reserve as required by bond covenants, whichever is greater hand. Adherence to Budget (Budgeted expenditure - Expenditure – Expenditure) / Budgeted expenditure Expenditure Overall budget to actual expenditures within 105% of budget

Fiscal Management. i. The Governing Board shall comply with the same financial audits, audit procedures and audit requirements of school districts. The program, financial, and compliance audits may be conducted by the chartering entity or the Legislative Auditors Office. The Governing Board shall maintain the financial records of the School pursuant of the governing authority and the State Auditor’s Office. ii. Generally accepted standards of fiscal management are those fiscal practices which result in a school’s continued ability to meet the measures, metrics, and targets found in the performance standards below, or more restrictive performance standards imposed in a trust agreement with external entities involved in facilities finance; provisions stated below will be considered binding in the absence of more restrictive covenants entered into by the school as a result of trust obligations. Generally accepted standards of fiscal management will include but are not limited to practices outlined in statutes pertaining to the management of school district budgets (U.C.A. §53A-19). Measure Metric Minimum Standard Audit findings or recommendations Number of material findings, financial condition findings, or repeated significant findings No unresolved material findings, financial condition findings, or significant findings Current assets to total annual operating expenses Current Assets ÷ (Total Annual Operating Expenses ÷ 365) 30 days cash on hand or cash reserve as required by bond covenants, whichever is greater Measure Metric Board Goal Current ratio Current Assets ÷ Current Liabilities > >1.15 Debt ratio Total Liabilities ÷ Total Assets < <0.9 Occupancy costs Facility Costs ÷ Total Operating Revenues < <22% Maintain applicable bond covenants No Default Certification, Audited Financial Statements Yes No default. School will uphold contractual obligations Current assets to total annual operating expenses Current Assets ÷ (Total Annual Operating Expenses ÷ 365) > >30 - – 60 days cash on hand or cash reserve as required by bond covenants, whichever is greater Adherence to Budget (Budgeted expenditure - Expenditure) / Budgeted expenditure Overall budget to actual expenditures within 105% of budget

Fiscal Management. i. The Governing Board shall comply with the same financial audits, audit procedures and audit requirements of school districts. The program, financial, and compliance audits may be conducted by the chartering entity or the Legislative Auditors Office. The Governing Board shall maintain the financial records of the School pursuant of the governing authority and the State Auditor’s Office. ii. Generally accepted standards of fiscal management are those fiscal practices which result in a school’s continued ability to meet the measures, metrics, and targets found in the performance standards below, or more restrictive performance standards imposed in a trust agreement with external entities involved in facilities finance; provisions stated below will be considered binding in the absence of more restrictive covenants entered into by the school as a result of trust obligations. Generally accepted standards of fiscal management will include but are not limited to practices outlined in statutes pertaining to the management of school district budgets (U.C.A. §53A-19). Measure Metric Minimum Standard Audit findings or recommendations Number of material findings, financial condition findings, or repeated significant findings No unresolved material findings0 Unrestricted cash on hand ((Cash + Investments) ÷ Total Annual Operating Expenses) ÷ 360 30 days unrestricted cash on hand or cash reserve as required by bond covenants, financial condition findings, or significant findings whichever is greater Measure Metric Board Goal Current ratio Current Assets ÷ Current Liabilities > 1.15 1.25 Debt ratio Total Liabilities ÷ Total Assets < 0.9 Occupancy costs Facility Costs ÷ Total Operating Revenues < 22% Maintain applicable bond covenants No Default Certification, Audited Financial Statements Yes Current assets to total annual operating expenses Current Assets ÷ (Total Annual Operating Expenses ÷ 365) > 30 - 60 days cash on hand or cash reserve as required by bond covenants, whichever is greater No default. School upholds contractual obligations Adherence to Budget (Budgeted expenditure - Expenditure) / ÷ Budgeted expenditure Overall budget Within 5% Enrollment capacity Percent enrolled compared to actual expenditures within 10% of budgetauthorized capacity 95%

Fiscal Management. i. The Governing Board shall comply with the same financial audits, audit procedures and audit requirements of school districts. The program, financial, and compliance audits may be conducted by the chartering entity or the Legislative Auditors Office. The Governing Board shall maintain the financial records of the School pursuant of the governing authority and the State Auditor’s Office. ii. Generally accepted standards of fiscal management are those fiscal practices which result in a school’s continued ability to meet the measures, metrics, and targets found in the performance standards below, or more restrictive performance standards imposed in a trust agreement with external entities involved in facilities finance; provisions stated below will be considered binding in the absence of more restrictive covenants entered into by the school as a result of trust obligations. Generally accepted standards of fiscal management will include but are not limited to practices outlined in statutes pertaining to the management of school district budgets (U.C.A. §53A-1953A- 19). Measure Metric Minimum Standard Audit findings or recommendations Number of material findings, financial condition findings, or repeated significant findings No unresolved material findings, financial condition findings, or significant findings Current ratio Current Assets ÷ Current Liabilities > 1.15 Debt ratio Total Liabilities ÷ Total Assets < 0.9 Occupancy costs Facility Costs ÷ Total Operating Revenues < 22% Maintain applicable bond covenants No Default Certification, Audited Financial Statements Yes Current assets to total annual operating expenses Current Assets ÷ (Total Annual Operating Expenses ÷ 365) > 30 - 60 days cash on hand or cash reserve as required by bond covenants, whichever is greater Adherence to Budget (Budgeted expenditure - Expenditure) / Budgeted expenditure Overall budget to actual expenditures within 10% of budget

Fiscal Management. i. The Governing Board shall comply with the same financial audits, audit procedures and audit requirements of school districts. The program, financial, and compliance audits may be conducted by the chartering entity or the Legislative Auditors Office. The Governing Board shall maintain the financial records of the School pursuant of the governing authority and the State Auditor’s Office. ii. Generally accepted standards of fiscal management are those fiscal practices which result in a school’s continued ability to meet the measures, metrics, and targets found in the performance standards below, or more restrictive performance standards imposed in a trust agreement with external entities involved in facilities finance; provisions stated below will be considered binding in the absence of more restrictive covenants entered into by the school as a result of trust obligations. Generally accepted standards of fiscal management will include but are not limited to practices outlined in statutes pertaining to the management of school district budgets (U.C.A. §53A-19). Measure Metric Minimum Standard Audit findings or recommendations Number of material findings, financial condition findings, or repeated significant findings No unresolved material findings0 Unrestricted cash on hand ((Cash + Investments) ÷ Total Annual Operating Expenses) ÷ 360 30 days unrestricted cash on hand or cash reserve as required by bond covenants, financial condition findings, or significant findings whichever is greater Measure Metric Board Goal Current ratio Current Assets ÷ Current Liabilities > 1.15 Debt ratio Total Liabilities ÷ Total Assets < 0.9 Occupancy costs Facility Costs ÷ Total Operating Revenues < 22% Maintain applicable bond covenants No Default Certification, Audited Financial Statements Yes Current assets to total annual operating expenses Current Assets ÷ (Total Annual Operating Expenses ÷ 365) > 30 - 60 days cash on hand or cash reserve as required by bond covenants, whichever is greater No default. School upholds contractual obligations Adherence to Budget (Budgeted expenditure - Expenditure) / ÷ Budgeted expenditure Overall budget Within 5% Enrollment capacity Percent enrolled compared to actual expenditures within 10% of budgetauthorized capacity 82%