Diocese of Allentown: A Success Story

Presenters

Philip J. Fromuth, Ph.D., Secretary for Catholic Education

James S. Friend, Jr., M.A., Secretary for Stewardship & Development

Gregory J. Geruson, Vice President, Healey Education Foundation

So much has changed in Catholic

education over the last 50 years

The Classroom has changed

The staff has changed

Enrollment Changes

U.S. CATHOLIC ELEMENTARY AND SECONDARY SCHOOLS

Number of Schools and Enrollment – 1920-2014

SCHOOLS ENROLLMENT

Year Elementary Secondary TOTAL Elementary Secondary TOTAL

1920 6,551 1,552 8,103 1,796,000 13,000 1,926,000

1930 7,923 2,123 10,046 2,223,000 242,000 2,465,000

1940 7,944 2,105 10,049 2,035,000 361,000 2,396,000

1950 8,589 2,189 10,778 2,561,000 506,000 3,067,000

1960 10,501 2,392 12,893 4,373,000 880,000 5,253,000

1970 9,366 1,986 11,352 3,359,000 1,008,000 4,367,000

1980 8,100 1,540 9,640 2,293,000 846,000 3,139,000

1990 7,395 1,324 8,719 1,983,000 604,000 2,589,000

2000 6,923 1,221 8,144 2,013,084 639,954 2,653,038

2010 5,889 1,205 7,094 1,507,618 611,723 2,119,341

2014 5,399 1,195 6,594 1,391,793 582,785 1,974,578

(Source: NCEA Annual Statistical Report on Schools, Enrollment and Staffing 2013-14)

Priorities of Parents

Why do parents choose Catholic schools for their children?

Faith Formation

High academic standards

Values-added education

Safe school environment

The role of the principal has

changed

Anything missing here???

What about Catholic

identity and quality

academics?

We believe that our schools do form our

students to be active members of our Church,

and that our schools are centers of the new

evangelization that call all to live fully the

message of Jesus Christ.

Further, that our schools are centers of

academic excellence that rigorously prepare

our students to be life-long learners and

contributing members of their local, regional

and global communities.

Challenges Facing Catholic Education

Enrollment

Changing Demographics

Growing Hispanic Population

Financial

Vocations

Catholic Identity

Priorities of Parents

Governance

Diocese of Allentown establishes the

Bishop’s Commission on Catholic School

In late 2010, Bishop John Barres, Fourth Bishop of the

Diocese of Allentown established the Bishop’s Commission

on Catholic Schools. The 13 member body was charged with helping to significantly strengthening our Catholic schools.

Their goals were to:

• To ensure a strong healthy diocesan school system.

• To make dramatic improvements in the enrollment management, advancement, finance, infrastructure and governance of

our schools.

The Bishop’s Commission on Catholic Schools was comprised of 13 individuals from across the diocese who

brought a variety of experiences to the table. These included two experienced pastors, one university dean

of enrollment, entrepreneurial engaged CEO’s and individuals who had assisted the diocese with a variety of

projects in the past.

While we believe strongly that our schools were centers of academic excellence where, in a faith-

filled environments, our students can both learn about and practice their faith, we recognize the

financial, enrollment and governance models needed to be addressed.

With the leadership of Bishop Barres and the Bishop’s Commission on Catholic Schools, along with the

efforts of diocesan personnel, pastors, principals, parents, parishioners and the Healey Education Foundation

significant progress has been made in the Diocese of Allentown in the last 3 ½ years in the key areas of:

• Enrollment

• Finance

• Marketing

• Governance

What was done and how did we do it?

The way that we were running our school system did not work. We were working our way out of business.

This is a business problem:ManagementEconomicsFinanceGovernanceMarketing

Key Assumptions

Catholic identity is at the core of our mission in Catholic EducationDisconnect: Catholic Identity is not the number one

reason families choose a School. Our product is superior

96% of all Catholic High School graduates enroll in a 2 or 4 year College or University in the Diocese of Allentown

71% of Public High School graduates enroll in a 2 or 4 year College or University in Pennsylvania

Key Assumptions

This is not a Development problem. Enrollment is the #1 income driver (70%)

Example: Tuition: $7,000Gain 5 more studentsNet Gain: $35,000 – Annually – year after year

This is not to discourage schools from raising money for scholarships. A scholarship program compliments a comprehensive enrollment plan. It cannot be the end all.

Key Assumptions

Diocesan LevelArch/BishopOffice of EducationPastorsPrincipals

Top down and bottom up Accountability: Everyone must make a commitment. Not a passive sport: Training Required! We still have a ways to go.

Change Requires Commitment

Enrollment Graphs were created for the entire school system Painful reality

DiocesePrincipalsPastorsDonors

Graphs were compiled into Enrollment Booklet and shared with all constituencies

Enrollment now tracked monthly at the Diocesan level

Decisions are data informed

Messaging is key!

Airplane Model

What is the value of an empty seat?

Tuition Transfer Grant Program

15% of public school Catholic parents and students are unhappy

Strategies

College Matriculation Graphs

Key Markets: Transfers, Current Students, Pre-K

Parish Bulletins

Bill Boards

TV Commercials

Principals Need Help – Hire an Advancement Director

Creating Board of Directors

Healey Education Foundation

The Bishops’ White Paper

“Our vision is clear: our Catholic schools are a vital part of the teaching mission of the Church…We must respond to challenging times with faith, vision and the will to succeed because the Catholic school’s mission is vital to the future of our young people, our nation, and most especially our Church.”

(United States Conference of Catholic Bishops, Renewing Our Commitment to Catholic Elementary and Secondary Schools in the Third Millennium)

The Model – Helping Schools Help Themselves

Mission

DevelopmentEnrollment

Management

CommunicationsConstituent

Relations

Governance

Keys to Success

• Bottom up and top down - Ownership, leadership, and support• Local control – Advancement director• Empower the laity – Board of limited/specific jurisdiction• Hands on – the value of professional help• Best practices – Mission driven, data-informed, family centered

• Full-time• Professionalize• Trained• Initial Focus – allocation will shift over time

• Enrollment – 3 days a week• Board and development – a day a week• Communications – a day a week

• Mission driven, data informed, customer centered

Advancement and the Advancement Director

• Cause person – believe in the mission• People person – is a strong communicator• Sales background – gets customer service• Organized• Entrepreneurial – likes building some thing new; a start-up

Advancement and the Advancement Director

Advancement and the Advancement Director• Year 1

• Mission driven, data informed, customer centered• Brand – mission, logo, tagline, key messages• Enrollment – marketing for recruitment and retention that yields results• Board selection and training

• Year 2• “Do Differents”, annual goals, work plans• Annual fund – mission based fundraising• Board implementation• Enrollment – target marketing, enrollment management• Build on year 1 concepts; expand on brand and key messages

• Year 3• Boards decide, committees work, agendas rule• Enrollment – brand, data, target, volunteers• Targeted annual fund and major gifts – Prospects, case, education, volunteers• Ownership of advancement• Build on year 2 concepts

Advisory Board

• Provides advice

• Makes recommendations; advisory in nature

• Pastor driven decisions*

• Typically has less ownership and engagement

• Policy advising – provides perspective

• Official authority – OPs

• Decision making and policy making body; thinks strategically & acts with

urgency

• Board driven decisions

• The value of real lay ownership, greater engagement

• Hands on in helping school achieve its goals; think and do

• Focus – ensure school sustainability consistent with the school’s mission

• Financial accountability

Board of Specific Jurisdiction

Changes in the Pastor’s Role

ISSUEBEFORE BOARD OF LIMITED

JURISDICTIONAFTER BOARD OF LIMITED

JURISDICTION

BudgetPastor determined budget with those he

engaged for advice

Board is responsible for school budget. Board sign off and pastor(s)

sign off required

Set Tuition Pastor responsibility Board sets tuition

Board Member SelectionPastor selected and appointed all

members to advisory board

Board follows the selection process to choose new board members and

the pastor appoints

Principal Evaluation Pastor responsibilityJoint duty of Board, Pastor, Office of

Education

Principal Hire Pastor responsibilityPastor is part of the Search

Committee of the Board, Board approves candidate, Pastor hires

Promote the School Actively, in public, from pulpit Actively, in public, from pulpit

The “Best of” the Ten Essentials for Sustainability

DevelopmentEnrollment

Management

Constituent

Relations

Governance• Seize the power of “and”

• Brand yourself

• Behind every great company is a great CEO

• Welcome the pastor who supports the school from the “pulpit”

• Hire an Advancement Director

• Move beyond advisory boards

• Get your financial house in order

• Change the candy bar culture

• Act like you are prepared to receive that big gift

• Let your voice be heard

• James Friend – Jfriend@allentowndiocese.org• Phil Fromuth – Pfromuth@allentowndiocese.org• Greg Geruson – geruson@healeyeducationfoundation.org• www.allentowndiocese.org• www.healeyeducationfoundation.org• Don’t miss:

• The Art and Science of Major Gift Fundraising, April 22,1:00pm , Room 315 • Enrollment Strategies that Work, April 22, 1:00 p.m., Room 410 (Diocese of Allentown)• Desperate or Deliberate? The Board Membership Process, April 23, 8:30 am, Room 322 • Allentown – A Success Story, April 23, 10:15 am, Room 408• If You Build It – Donors Will Come, April 24, 11:00 am, Room 323• Improving Retention for Enrollment Success!, April 24, 11:00 am, Room 324

Thank you!