Making an investment in a child”™s independent school education would seem to be one of life”™s “carved in stone” decisions.
Reality plays out more in clay than in granite.
“We have to resell ourselves every year,” said Tad Jacks, director of admissions at Wooster School in Danbury, Conn. The challenge of this resell has been further complicated by economic downturn.
Since 2009, local independent schools are juggling the task of maintaining small classes, top faculty, state-of-the-art facilities and technological advancements, while guiding choosy parents through the application process, and girding for the response as those same parents gasp at tuition increases.
Like many independent schools, Oakwood Friends School in Poughkeepsie has seen “a significant increase in applications for need-based financial aid, from current families and from new applicants,” according to Peter Baily, head of school. Oakwood and other schools also try to offer additional aid when families experience sudden loss of a job or home, something independent schools now must consider in their budgets.
Myra McGovern, director of public information for the National Association of Independent Schools, said, “On average, independent schools increased their financial aid budgets by 14.35 percent between 2008-09 and 2009-10.” She reported a 12.5 percent increase in recipients in the 2009-10 year over the previous year.
Headmaster Walter Johnson said the Hackley School in Tarrytown is able to award nearly $3.5 million in financial aid annually. Johnson said while “about 20 percent of our population is receiving financial support,” enrollment increased last year.
Schools have reconfigured budgets, reprioritized developments, and rethought replacing retiring faculty. Hackley, for instance, has about 840 students, a number it arrives at via juggling so-called “budgeted” students and “enrolled” students. The school is already experiencing pressures on those numbers, but Johnson stressed Hackley operates with a “very conservative” admissions appraisal.
One trend has been an influx of applicants from overseas, particularly from China. While this is attractive in terms of increasing enrollment, Baily said Oakwood, like others, aims to “maintain an appropriate balance of national and international diversity.”
Mary Schellhorn, associate head of school for enrollment and strategic planning at the Master”™s School in Dobbs Ferry, said while enrollment this fall will be at its highest, during the economic downturn Master”™s was “very careful” in budgeting, re-evaluating, for example, vendor services.
Schellhorn said Master”™s has kept average class sizes at 14 students, cut no courses, faculty or staff, will introduce a turf and track field this fall, and maintains special programs like the middle school”™s separate all-girls classes. However, Schellhorn admitted, “We did increase tuition but we looked very carefully at the percentage increase and were very considerate of the impact that this recession has had on our families.”
“Independent school tuitions were increasing at a pace of about 6 percent a year in earlier years,” said Johnson, foreseeing in the future the pace of increase would be much slower.
“It”™s a lot of money,” he said. “But people recognize that education is one of the best investments that people can make in the future of their children.”
The model for granting financial aid is changing too. It”™s traditionally based on family assets and income, but as families have fewer available assets, income is becoming more important, according to Jacks.
Faculty is another component that distinguishes independent schools”™ business model. They”™re typically offered lower compensation in exchange for better “quality of life.” Amongst others, Schellhorn said Master”™s retained staff by “providing modest increases in salary during that time to support our faculty because that is the heart and soul.”
To afford extra financial aid and salary raises, and to avoid program cuts and layoffs, schools are seeking funding from alternative sources. Wooster hosts summer camps and has considered offering online courses for a fee. Wooster also opened the Prospect School for students with language-based learning disabilities: “That is a business model decision; it”™s risky but it”™s innovative,” said Jacks.
With variables that include lower birth rates, “It”™s a very inefficient business,” said Jacks. If enrollment drops, tough decisions on class size and resources must follow.
Still, said Schellhorn, “The families who seek out independent schools put a high value on education. Once they”™ve made that commitment, it”™s not something that they want to go back on.”
Need-based financial aid 2009-10
Nationally: 20.6 percent student body
Oakwood Friends: 40 percent student body
Master”™s School: 25 percent student body
Hackley School: 20 percent student body
Wooster School: 27 percent student body
