Deferred Compensation Resolution
Rick noted that a late addition regarding the deferred compensation resolution was made after the agenda was initially published. The agenda was formally amended on Monday to reflect this change.

Jill provided a brief overview of the resolution and its purpose.

Federal Education Funding Discussion
Josh requested additional context regarding the reference to withheld federal education funding in the Principal’s Report. Matt Paolini gave a high-level overview of the current status of federal education funding and its impact.

The following payments as audited and certified by the auditing officer, as required by RCW 42.24.080, and those expense reimbursements claims certified, as required by RCW 42.24.090, are approved for payment. 

In addition, payroll payments in the amount of $150,213.15 are also approved. 

General Fund Accounts Payable:

Total electronic payments totaling $166,444.72 and Check number N/A through N/A totaling $0 

Non-AP Cash Disbursements:

Total electronic payments totaling $1,563.47 and Check number 3017 totaling $600.00 

Payroll: 

Total electronic payments totaling $150,213.15 and Payroll check numbers N/A totaling $0  

No request for public comment.

Principal Introduction
Gary Keeler, Pinnacles Prep’s newly hired principal, introduced himself to the Board, sharing his educational background, professional experience, leadership approach, and vision for the school.

Matt Paolini presented a draft budget for the 2025–26 school year, highlighting key revenue changes, staffing adjustments, and operational shifts.

Revenue Highlights:

Significant reductions due to:

• Conclusion of the Charter Schools Program startup grant (fully spent down)
• Lower projected enrollment
• Decrease in general apportionment funding
• Increase in State Special Education funding totaling $186,000

Staffing Changes:

• Principal role added; CEO/principal split into separate CEO role
• Office Assistant position removed
• Director of Operations position elevated to Chief of Operations
• One middle school teaching position eliminated; high school teacher count held flat
• Music and art staffed at 0.5 and 0.4 FTE, respectively
• One Special Education specialist added
• Overall salaries increased by 1% from 2024–25

Operations & Facilities Adjustments:

• Teton Science Schools (curriculum contractor) reduced by $11,000
• nXu (SEL contractor) services concluded ($14,000)
• Technology: $27,000 allocated for internet upgrade; 
• No major furniture or construction expenses budgeted
• Final payments on Cashmere Valley Bank loan completed in 2024–25, resulting in $75,000 savings

Overall Budget Snapshot:

• Net income: $199,000
• Cash effect: +$172,000
• Approximately $15,000 short of the 60-day cash-on-hand requirement
• Future Sustainability: ~$240,000 away from meeting 60-days cash in future years
• FY 2026–27 negative $131,000 net income; further review needed of what additional SPED funding could be spent on other than direct expenses

Additional Notes:

• Levy equalization payments:
  • FY 2024–25 payment expected in October 2025
  • FY 2025–26 payment expected in May 2026
• These timing issues will challenge the school’s ability to meet the 60-day cash requirement and will be communicated to the Charter School Commission
• If actual enrollment exceeds projections, the 60-day cash target may still be met

Rick inquired about a newly awarded Gates Foundation grant; Matt noted the grant will be included in the next draft as it was just received and not reflected in this version

Next Steps:

The final budget will be presented for Board approval at the August meeting

Sara Rolfes provided an update on student enrollment. As of the meeting date, 211 students are confirmed, with a projected total of 216 including applications currently in process.

Next steps include continued canvassing and community outreach events to support further enrollment growth.

Jill presented an overview and timeline for the Charter Contract Renewal process.

Public comment will be accepted through September 8th, and internal discussions are underway to develop strategies for encouraging community partners to submit comments in support of renewal.

The Charter School Commission is scheduled to vote on the renewal on September 18th in Spokane. The Board expressed interest in organizing a bus for students, parents, staff, and supporters to attend the meeting and demonstrate community backing.

Sara provided an overview of recent changes to Pinnacles Prep’s leadership structure, which now includes a Principal, Assistant Principal, Chief Operating Officer, and Chief Executive Officer.

Rick inquired about the transition of responsibilities currently within Sara’s scope, including project-based education (PBE). Sara outlined how key responsibilities will be delegated across staff moving forward.

Rick also asked who would be leading the development and fundraising strategy for the upcoming year. Jill will be taking the lead on this work.

Additionally, Rick recommended including Board recruitment and cultivation responsibilities in the CEO job description.

Blake suggested strengthening the Community Engagement section of the CEO job description by including language around the CEO’s engagement with the Washington State Charter Schools Association and state policymakers and agency officials. He will follow up with Jill to provide draft language.

Jill presented a review of the 2024–25 Schoolwide Goals, including a progress update on each. The Board spent significant time discussing disparities in math proficiency and strategies for improvement.

Jill also shared a draft of the 2025–26 Schoolwide Goals, developed in alignment with the Pinnacles Prep Strategic Plan. The draft goals include:

Goal #1: Equitable Vision

Goal #2: Cultivate a Safe and Inclusive Culture

Goal #3: Ensure Rigorous and Equitable Instruction

Goal #4: Forge School-Wide Coherence & Excellence

Goal #5: Create Long Term Financial Sustainability

Jill and Sara will continue refining and prioritizing the goals, consolidating them into three overarching priorities focused on growth, culture, and financial sustainability.

Josh provided a Finance Committee update, including a review of the current Financial Dashboard indicators: 

• Student Recruitment Count: Yellow
• Public Revenue Received (as a % of overall budget): Yellow 
• Private Revenue Received (as a % of overall budget): Green 
• Expenditures to Date (as a % of overall budget): Green 
• Cash on Hand: Yellow

The color-coded statuses reflect areas of strength and those requiring continued monitoring.

The discussion on the Board Year-End Assessment Survey was tabled. However, Rick requested that all Board members complete the digital survey prior to the next Board meeting.

Rick also provided an update on prospective Board member recruitment and expressed confidence that additional members will be successfully onboarded by the end of August.

Rick requested that the next Board meeting be moved from August 20th to August 19th. The Board agreed to the new date.