Key Takeaways
 

• Cash remains stable but tighter than planned. Current DCOH is 53 days and is projected to end the fiscal year at 42 days—adequate but leaves limited cushion for unplanned expenses or enrollment volatility.
• Enrollment-driven revenue pressure continues. Lower QBE allocations remain the primary driver of the $1M total revenue shortfall vs the FY26 approved budget.
• Staffing reductions are controlling expenses. Expense cuts—particularly in salaries/benefits—are materially offsetting revenue losses and keeping the year close to break even.
• Forecast shows a minimal deficit. The updated FY26 net income forecast is approximately ($9K), demonstrating effective cost management despite reduced funding.
• Grant management remains a key priority. CSP, Title, and IDEA draw downs need to continue on schedule to support cash flow; CSP drawdown #6 is currently pending submission.
• Our budget is tight budget but based on enrollment it is trending in the right direction. 

Facilities: Waiting on quote 

The daycare is leaving in March/April

Looking for the certificate of occupancy. If they can't give us that we will have to do several things

FRC met with Rebecca (lender) and they said it depends on enrollment.  We need to look at other vendors so we aren't in the same position.

Daycare's lease is up in December. They want to extend until March/April.  We have submitted it to the SCSC.  The rent is the same, they are responsible for all things.  We are holding on sharing the new lease until we hear back to see how much time is needed. 

Big Expenditures: Most are related to CSP.  We have a few big ticket items for student recruitment. These would not impact our bottom line.

Those schools that are meeting their enrollment target are spending $750/student. We are currently spending $20/student.