2013
Transforming Communities
Annual Report
Transforming Lives
The Alliance Commitment... Ensure that all students receive a rigorous college-preparatory education. Provide small personalized learning environments where students develop quality relationships with teachers and principals. Offer more time for learning with extended school days and a longer school year than traditional public schools. Guarantee highly-effective educators for all students. Work with parents as partners in their children’s education. Embrace innovation to remain relevant to the needs of our students and the world in which they live. Operate using a financially sound and efficient business model.
Dear friends, As we enter our 10th year, I remain amazed and inspired by our hard working team of teachers,
administrators, staff, and families who prove day in and day out that exceptional truly can be the rule in public education. It’s hard to believe that in such a short time we have grown to 22 middle and high schools that educate more than 10,000 students across Los Angeles. If we were a freestanding district, we would be larger than 75% of school districts in the state of California. More importantly, Alliance schools continue to significantly outperform neighboring public schools and Los Angeles Unified School District overall. In 2013, U.S. News & World Report ranked six of our high schools in the top 5% nationwide, and Newsweek recognized four of those schools among the “25 Most Transformative High Schools” in the country. This past June, we graduated 1,200 seniors, bringing our total to more than 4,500 graduates since our founding. Almost all Alliance graduates are low-income, and 98% are Latino or African American. They are the students who have largely been failed by our public schools, yet Alliance sends 95% of them to college. Many are the first in their family to graduate from high school and most are the first to go to college. Their success is transformative, changing not only their lives, but also their communities and the possibilities for public education.
The Alliance success comes from a relentless focus on student achievement. It also comes from a deep commitment to constant improvement. Alliance embraces change to ensure we deliver an education that is relevant to the needs of the 21st century student. We welcome the new Common Core State Standards, which challenge students and teachers with far more rigorous and truly college-ready expectations. While there has been much public, and often heated, debate about the role of technology in schools, Alliance has quietly and successfully integrated digital learning tools into our classrooms over the past four years. We have seen amazing innovation bubble up from our teachers who use technology as a tool to create a more personalized, engaging, and dynamic learning environment for our students. The creativity and passion of Alliance teachers has been central to the accomplishments of our students. We are committed to supporting and developing teachers, and, as importantly, to fairly compensating them for their success.
The coming year promises to bring more change, and with it, opportunity. Nurturing and retaining effective teachers will remain a central focus of our work, especially in light of the coming transition to the Common Core. We will expand our commitment to blended learning, putting digital education tools in the hands of all our teachers and students. And, while we are proud of our high school graduation rate, we believe our promise to our students doesn’t stop there. We will strengthen our college counseling and alumni support, ensuring that our students continue to succeed after they leave us. In 2014, we will open four new schools, expanding the Alliance opportunity to many more students, and continuing to show that it is possible to operate a large, successful urban school district.
None of this would be possible without the diverse and committed Alliance community. First and foremost, I am grateful to our parents, teachers, and school leaders who surround our students with the day to day support they need to succeed. And to our Board of Directors, donors, and volunteers, thank you for sharing your time, talent, and resources to ensure all students receive a high quality education. Together we are transforming lives, communities, and the future of public education.
Sincerely, Judy Ivie Burton Alliance President and CEO 1
Transforming the lives of students who need us most... At Alliance schools, we strongly believe that all students can achieve if given the opportunity. We operate 22 high-performing high schools and middle schools in low-income, high-need communities in Los Angeles. Alliance schools offer students a small, safe learning environment, rigorous coursework with a relentless focus on college preparation, and access to the latest technology and online learning tools. In 2013 we sent more than 1,200 graduates to colleges and universities across the country. Most of them were the first in their family to attend college, and almost certainly would not have gone without an Alliance education.
90% Demographics
8% 2%
Latino
African American
Other
Of these students:
93% 8% 17% 2
Qualify for Free/Reduced Meal Program
Have Special Needs
Are English Language Learners
In 2013 we sent more than 1,200 graduates to colleges and universities across the country, most of whom were the first in their family to attend college.
The average student comes to an Alliance middle or high school... Performing below grade level in reading and math. Lacking courses required for them to apply for college.
Every graduate leaves Alliance... Having passed the courses required to apply to a University of California or Cal State University. Having been exposed to college-level coursework and advanced placement classes. Prepared to succeed in college and future careers.
3
Transforming the educational system... Great urban public schools don’t have to be “islands of excellence.” It is possible to achieve academic success on a large scale. Through strategic and systematic growth, we have been able to expand our reach while continuing to operate high-performing schools that educate many thousands of students at high levels. If the Alliance network was a standalone district, we would be larger than 75% of school districts in the state of California.
4
Alliance Success... 4 Alliance schools ranked
25 API scores higher
among the top “Most Transformative� high schools in the nation by Newsweek. 6 Alliance schools ranked
5%
in the top of high schools nationwide by U.S. News & World Report.
At Scale... Alliance added 3 new schools; we now serve more than
10,000 students
across 15 high schools and 7 middle schools.
All Alliance schools achieved Academic Performance Index
than their neighborhood average. Alliance-wide,
graduated from 94% high school in four years, 95% college. of incoming 9th graders
and of those graduates went on to
Every Alliance student received state-of-the-art digital learning tools to prepare them for
success in the global st century economy.
21 More than
1,200 seniors graduated from 12 Alliance high schools.
5
Transforming communities... A college education changes more than just the life of a student, it has the power to change an entire community. Those with a college degree are more likely to be active in their neighborhoods by volunteering and voting in local elections. Most importantly, college graduates serve as role models for their families, friends, and neighbors, inspiring them to follow in their footsteps and earn a college degree. Alliance alumni are living proof of the positive impact a college graduate can have on their community. Many of our alumni are creating social change through jobs in public policy and the nonprofit sector, or working for Alliance as teachers, tutors, or school support staff.
A college graduate is‌
2x more likely to vote Will earn 66% more income in their lifetime More than 2x as likely to volunteer
than a person without a college degree.
than a high school graduate, and pay 83% more in taxes.
in their community as a person without a college degree.
88% less likely to live in poverty 67%
less likely to require public assistance than a person without a college degree.
than a person without a college degree.
6
“
With everything Alliance has given me, how could I not want to come back and support our schools? I am proud to serve as an example for other students in my community of what you can accomplish with a great education.” —Denae Joseph
Alliance College-Ready Academy High School 5, Class of 2012 UCLA, Class of 2016
Transforming the 21 century classroom...
st
Alliance is a learning organization. We embrace innovation to provide our students with the tools they need for success in today’s society. While we stay true to our core values, the way in which those core values are realized constantly changes to reflect the needs of our students and the world in which they live. In 2013, students at every Alliance school received iPads and access to the latest online learning software. Additionally, we expanded our industry-leading BLAST model (Blended Learning for Alliance School Transformation) to 10 Alliance schools. These classrooms are fully digital, using technology to support teachers in making learning a highly personalized, relevant, and collaborative experience. In a year of academic growth across all Alliance schools, BLAST high schools saw the largest increase in academic performance with an average API increase of 52 points.
8
Transforming and elevating teachers... Alliance is a national leader in elevating and transforming the teaching profession. Our goal is to attract, nurture, and retain top talent in the classroom. Teachers are our greatest resource, and are most responsible for the success of our students. This past year, we expanded support systems for our teachers, giving them the tools, time, and coaching needed to perfect their craft. Every Alliance teacher received 10 days of instructional training before the school year began, and an additional six days of professional development throughout the year. Additionally, we provided personal coaching and mentoring for new teachers. Alliance has begun developing comprehensive career paths for highly-effective teachers, including opportunities as master teachers, mentor coaches, and administrators. While many educators are still trying to figure out how to tie pay to performance, Alliance has developed a system of providing teachers with performance-based bonuses. By providing training and support, as well as options for career development and salary growth, Alliance ensures that the best teachers stay where they are needed most – in front of students. 9
Transforming futures... Success means more than preparing our students to graduate from high school, it means preparing our graduates to succeed in college and future careers. Alliance not only helps students prepare for college, we also provide them with support for a successful transition once they graduate.
Alliance provides students with the tools for success in college.
Academic preparation Every Alliance graduate has passed the courses required to apply to a public, four-year university in California. Alliance has increased focus on non-fiction reading and writing to better prepare students for college-level coursework. We also encourage students to take at least two college-level advanced placement classes, and offer free SAT preparation courses for all students.
College matching The combination of rising college costs and budget cuts has made attending even public universities far more challenging for our students. Alliance college counselors work with families to identify schools that can provide financial aid benefits and support programs for low-income, first generation college students.
Social support Alliance alumni are generally the first in their family to attend college. Transitioning to a large university is often a shock, leaving many students feeling socially isolated and unsure how to navigate the college system. This year, Alliance launched the Alumni Mentorship Program (AMP), which matches Alliance alumni already thriving in college with incoming Alliance college freshman to ensure their successful integration into college life.
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Transforming relationships... 12
Alliance schools are a community of concerned individuals working together to ensure our students’ success: HIGHLY-EFFECTIVE PRINCIPALS & TEACHERS
INVOLVED PARENTS & FAMILIES
STUDENT SUCCESS
PASSIONATE VOLUNTEERS & COMMUNITY PARTNERS
GENEROUS BOARD MEMBERS & DONORS 13
Alliance at a glance... Our Goals: Open 10 new schools in five years, expanding the Alliance opportunity to an additional 5,250 students each year. Expand digital learning tools to all Alliance students. Create a world-class educator talent management system to recruit, nurture, and retain highly-effective teachers and principals. Increase college completion rates by strengthening college preparatory curriculum and support for Alliance alumni. Strengthen college readiness and successfully transition to Common Core.
22 = 10,000 >75% schools
students
of CA school districts
Number of Students 15,000
12,000
9,000
6,000
3,000
0
2004-05
2005-06
2006-07
2007-08
2008-09
School Year
Alliance Enrollment 14
2009-10
2010-11
2011-12
2012-13
2013-14
2014-15
2015-16
2016-17
2018-19
100 800
67%
94%
760
79%
80 750
100
94%
79%
80
67%
735
60
60
693
700
40
40
653 650 20
600 0
20
Neighboring LAUSDSchools
LAUSD Schools California
California Alliance Schools
Alliance Schools
Academic Performance Index
100% 100% of Alliance graduates have passed the courses necessary to apply to a University of California or Cal State University.
0 LAUSD
California
Alliance
High School Graduation Rate
95% 95% of Alliance graduates go on to college.
15
Alliance financials...
Combined Statement of Financial Position 2013 Assets
CURRENT ASSETS Cash and cash equivalents Grants, contributions and pledges receivable, current portion Related party receivable, current portion Public funding receivables, portion current Asset limited as to use, current portion Prepaid expenses and other current assets
22,383,412 1,143,555 1,400,750 25,251,707 12,072,904 926,137
Total current assets 63,178,464 Grants, contributions and pledges receivable, net of current portion 956,126 Related party receivable, net of current portion 1,370,000 Note receivable, net of current portion 16,386,995 Deferred rent receivable 626,237 Assets limited as to use, net of current portion 7,016,189 Other long-term assets 170,936 Deferred financing costs 3,872,410 Property and equipment, net 140,355,587 Total assets 233,932,945 LIABILITIES Accounts payable and accrued expenses 4,382,087 Deferred revenue 8,342,162 Due to beneficiary 9,500 Related party loan payable, current portion 300,000 Long-term capital lease obligation, current portion 0 Long-term debt, current portion 10,083,270
Liabilities and Net Assets
Total current liabilities 23,117,019 Long-term capital lease obligation, net of current 0 Long-term debt, net of current 129,025,000 Liability for asset retirement obligation 267,976 Deferred rent liability 61,071 Total liabilities 152,471,065 Total net assets 81,461,879 Total liabilities and net assets 233,932,945
Historical Revenue and Expenses
$120,000,000 100,000,000 80,000,000 60,000,000 40,000,000 20,000,000
Total Revenue Total Expenses
16
$0
2006
2007
2008
2009
2010
2011
2012
2013
Fiscal 2013 Income & Expenses
Revenue & Support $99,574,990
73.6%
Public State & Local Funding $73,314,078
15.6%
Federal Funding $15,575,247
8.0% 2.7%
Expenses $86,793,603
Other Revenue $2,730,605
72.9%
Instruction (Program) $63,288,224
13.9%
Operations and Administration $12,069,610
0.5%
$6,000,000 $6,000,000
Private Contributions $7,955,060
Fundraising $442,981
5,000,000 5,000,000 4,000,000
12.7%
4,000,000
Facilities and Interest $10,992,788
3,000,000 3,000,000
Alliance School Budget Public vs. Private Funding
2,000,000
2,000,000
$6,000,000
150 Students 1,000,000
1,000,000
5,000,000
0 0
4,000,000
Development Year
Year 1
Private Investment
3,000,000
2,000,000
150 Students
300 Students
450 Students
600 Students
600 Students
Year 1
Year 2
Year 3
Year 4
Year 5
300 Students
150 Students 450 Students
Alliance schools are self-sustaining on public revenue after four years.
Development Year 1 Year Year 2 Year 3 Private Investment
300 Students 600 Students
Year 2
Year 4 Pub
Public Per-Pupil Funding
1,000,000
0 Development Year
Private Investment
Public Per-Pupil Funding
17
How to get involved... There are 3 easy ways to get involved:
1
2
Volunteer
Stay Informed
Help us grow the Alliance network
Share your time and experience with
Join Alliance’s online community to
and provide more students with a
Alliance students – We offer a number
receive regular Alliance updates and
high-quality public education.
of volunteer opportunities including
information about education reform
mentorship programs, career days,
efforts. Sign up for our mailing list by
Make a gift today – Donations can
library book drives, and school beau-
clicking the Stay Informed button at
be made by check, credit card,
tification projects. Learn more about
www.laalliance.org.
stock, or wire transfer. Contact
upcoming Alliance volunteer projects
Catherine Suitor at 213-943-4930,
and join our volunteer mailing list by
ext.1036 or csuitor@laalliance.org
clicking the Get Involved button at
to learn more, or make a gift online
www.laalliance.org.
Donate
3
by clicking the Donate Now button at www.laalliance.org.
Spread the word about Alliance schools – Host a “friend-raising” event
Make a deferred gift – Consider
to help Alliance grow its family of
making a deferred charitable gift as
supporters. For more details, contact
part of your estate planning. Often
Catherine Suitor at 213-943-4930,
planned gifts allow supporters to
ext. 1036 or csuitor@laalliance.org.
make a more significant contribution than they can make today. The most common legacy gift is a simple bequest which names Alliance as a beneficiary in your will. For more information about making a deferred gift, contact Catherine Suitor at 213-943-4930, ext. 1036 or csuitor@laalliance.org.
18
Visit
laalliance.org to sign up & stay informed.
19
Transforming Leadership... Board of Directors Alliance Senior Management
Meyer Luskin Scope Industries
Fred Simmons Freeman Spogli & Co
Alliance Board Of Directors
Richard Merkin, M.D. Heritage Provider Network
Eva Stern InsideOUT Writers
Frank Baxter, Co-Chair Jefferies & Company, Inc.
Neal Millard Musick, Peeler & Garrett LLP
Ronald D. Sugar Northrop Grumman Corporation
Tony Ressler, Co-Chair Ares Management, LLC
Gayle Miller Go Alongside Foundation
Marie Washington California Community Foundation
Harold Williams, Vice Chair The J. Paul Getty Trust
Theodore R. Mitchell NewSchools Venture Fund
C. Frederick Wehba BentleyForbes
Alan Arkatov Changing.edu
Dale Okuno Okuno Associates, Inc.
Alliance Senior Advisors
Judge David Cunningham III L.A. Superior Court
William Ouchi Anderson School of Management, UCLA
Judy Ivie Burton, President & CEO Alliance College-Ready Public Schools
Joseph Drake Good Universe David Fisher Capital Group International, Inc. Stewart Kwoh Asian Pacific American Legal Center Harry Levitt Universal Operations Risk Management
Richard J. Riordan Former Los Angeles Mayor Virgil Roberts Bobbitt & Roberts Darline P. Robles, Ph.D. Rossier School of Education, USC Araceli Ruano Center for American Progress
Robert Erburu Times Mirror Company (retired) Luis de la Fuente The Broad Foundation Antonia Hernández California Community Foundation Paul C. Hudson Broadway Federal Dan Katzir The Broad Foundation Robert E. Wycoff ARCO (retired)
Young Professionals Board Erik Kronstadt, Board Chair Consultant Rebecca Agonafir Munchkin, Inc. Kamala Avila-Salmon Universal Pictures Todd Beiley Kayne Anderson Rudnick Nicole Bennett Boston Consulting Group Eric Bright Bel Air Investment Advisors, LLC Monica R. Briseño Cox, Castle & Nicholson, LLP Will Craig Capital Group Companies
Grayce Frink Skadden, Arps, Slate, Meagher & Flom LLP & Affiliates Ingrid Garces Skycrown, Inc. Cynthia Gonzalez Loyola Marymount University Casey Harmon Toyota Financial Services Andrea John Goldman Sachs & Co. Shilpa Kumar KPMG Jonathan Lischke The GPI Companies
Sinthuja Nagalingam Cornerstone Research Krystal O’Leary Flores CollegeSpring Sarah Ouchi Tsai Stacy Blackman Consulting Kristin Salaya PricewaterhouseCoopers Almuhtada Smith Abaco Partners, LLC Brent Tjarks City National Bank Chris Weber Anderson School of Management, UCLA
Alliance Donors... Giving from July 2012 - November 2013 $1,000,000+ Bill and Melinda Gates Foundation Bloomfield Family Foundation Carol and James Collins $500,000+ The Ahmanson Foundation Kathy and Ambassador Frank Baxter The Broad Foundation Mariana and David Fisher The Walton Family Foundation $250,000+ Anonymous The Green Foundation Dr. Richard Merkin The Riordan Foundation United Way, Inc. W.M. Keck Foundation $100,000+ Anonymous Frank McHugh-O’Donovan Foundation, Inc. John W. Carson Foundation Renee and Meyer Luskin Michael and Susan Dell Foundation The Paul E. Singer Foundation Resnick Family Foundation, Inc. $50,000+ Joseph Drown Foundation K & F Baxter Family Foundation Kissick Family Foundation Patti and Peter Neuwirth Ayako and Dale Okuno The Skirball Foundation Susan and Eric Smidt Eva and Marc Stern $25,000+ Edison International Farah and Steve Gozini EJ and Gregory Milken NewSchools Venture Fund Carol and Dr. Bill Ouchi Dr. Olga Mohan and Fred Simmons Superior Grocers Whittier Trust Company $10,000+ Apple, Inc. California Community Foundation
The Carol and James Collins Foundation Priscilla and James Halper The James Irvine Foundation Gayle Miller Brenda and Virgil Roberts Sempra Energy Valerie and Ronald Sugar Cindy and Richard Troop Susan and C. Frederick Wehba Harold Williams $5,000+ AECOM Fox Entertainment Group Robert Landes Royal Dining Catering, Inc. Marie Washington $1,000+ Bank of America Charitable Foundation, Inc. Bank of the West Leah and Gregory Bergman Judy Ivie Burton Confidence Foundation Lynne and James DeWitt Mrs. William H. Doheny, Sr. The Education Trust Joan and David Hill Richard Hilton Holly Du-Hyun and David Hyun Patricia and Michael Klowden Liberty Hill Foundation Julie and Patrick McCormick Marianne and Lance Miller Kevin Mohan Robert Pambello Nancy and Barry Sanders Marilyn and Eugene Stein Catherine Suitor and Jorge Ramirez Teri and Larry Walker Wendy and Jay Wintrob $500+ Nelson Cheng Finect Joanne Freed and Richard Mendelson Ada Geraghty Thomas Giovine Marta and Casey Harmon
“When we found out there was an Alliance high school in Huntington Park, the neighborhood where Jim grew up, we knew we wanted to support the school. We are honored to provide Alliance students with the same opportunities for success that we had.”
Andrea John Daniel Krauthammer Erik Kronstadt John Kronstadt Neal Millard Sarah Ouchi Tsai and Vince Tsai Silicon Valley Community Foundation Edward Simmons UP TO $499 Rebecca Agonafir Andrew Agzarian Kamala Avila-Salmon Todd Beiley Adam Bright Eric Bright Monica Briseño Katie Buchanan Kimberly Cockrell Connie Collingwood William Craig John Dale Kara Fox Ingrid Garces Jeffrey Garcia Julie Gerchik Cynthia Gonzalez Taylor Grigsby Krisen Inghram Mohsen Khan Law Offices of Stephen A. King Greg Koenig Jonathan Lischke Sinthuja Nagalingam Garret Neiman Kimberly O’Leary Krystal O’Leary Flores Kelly and David Pokress Araceli Ruano Katharine Simmons SingerLewak, LLP Almuhtada Smith Anne and David Suitor Chris Weber Sylvia Weber Chris Yontez
Acknowledgements German Oliva Photography & Cinema Mark Savage Photography Seed Agency Shaun Fenn Photography
— Carol and Jim Collins
School Naming Sponsors, Alliance Collins Family College-Ready High School 21
Alliance High Schools Alliance Cindy & Bill Simon Technology High School 10720 Wilmington Avenue Los Angeles, CA 90002 Alliance College-Ready Academy High School 5 4610 South Main Street Los Angeles, CA 90037
Alliance Tennenbaum Family Technology High School 2050 North San Fernando Road Los Angeles, CA 90065 Alliance William & Carol Ouchi High School 5356 South 5th Avenue Los Angeles, CA 90043
Alliance Middle Schools
Alliance College-Ready Academy High School 16 1575 West 2nd Street Los Angeles, CA 90026
Alliance Christine O’Donovan Middle Academy 5355 South 4th Avenue Los Angeles, CA 90043
Alliance Collins Family College-Ready High School 2071 Saturn Avenue Huntington Park, CA 90255
Alliance College-Ready Middle Academy 4 9719 South Main Street Los Angeles, CA 90003
Alliance Dr. Olga Mohan High School 644 West 17th Street Los Angeles, CA 90015
Alliance College-Ready Middle Academy 5 211 South Avenue 20 Los Angeles, CA 90031
Alliance Environmental Science and Technology High School 2930 Fletcher Drive Los Angeles, CA 90065
Alliance College-Ready Middle Academy 7 2941 West 70th Street Los Angeles, CA 90043
Alliance Gertz-Ressler High School 2023 South Union Avenue Los Angeles, CA 90007
Alliance College-Ready Middle Academy 12 100 East 49th Street Los Angeles, CA 90011
Alliance Health Services Academy High School 12226 South Western Avenue Los Angeles, CA 90047
Alliance Jack H. Skirball Middle School 603 East 115th Street Los Angeles, CA 90059
Alliance Judy Ivie Burton Technology High School 10101 South Broadway Los Angeles, CA 90003
Alliance Richard Merkin Middle School 2023 South Union Avenue Los Angeles, CA 90007
Alliance Marc & Eva Stern Math and Science School 5151 State University Drive Los Angeles, CA 90032 Alliance Media Arts and Entertainment Design High School 113 South Rowan Avenue Los Angeles, CA 90063 Alliance Renee & Meyer Luskin Academy High School 2941 West 70th Street Los Angeles, CA 90043 Alliance Susan & Eric Smidt Technology High School 211 South Avenue 20 Los Angeles, CA 90031
The mission of Alliance College-Ready Public Schools, a nonprofit charter management organization, is to open and operate a network of small, high performing high schools and middle schools in low-income communities in California with historically under-performing schools, that will annually demonstrate student academic achievement growth, and graduate students ready for success in college.
ALLIANCE COLLEGE-READY PUBLIC SCHOOLS 601 South Figueroa Street, 4th Floor Los Angeles, CA 90017 (213) 943-4930 www.LAAlliance.org