The Aurora Public Schools Board of Education tonight will decide the fate of one of its charter schools that has just enough cash to operate until the end January.

The school board will decide whether to shutter the AXL Academy charter school at the end of the month, close it at the end of the school year, or extend its charter for 18 months so the school can possibly regain its financial footing.

At stake is what’s best for the 500 students of AXL —  about 90 percent of whom live inside the APS attendance boundaries — and the suburban school system’s own finances.

AXL officials, who met with the APS school board earlier this month, told board members that the financial shortfall was caused entirely by the school enrolling 100 fewer students than originally budgeted for.

According to the officials’ remarks at the APS school board meeting and in subsequent interviews with Chalkbeat Colorado, it appears most of the school’s staff, its board, and district officials were kept in the dark about the shortfall until after the state’s official count day in October.

Count day is one of the most important days of the school year. On this day, schools and districts report how many students are at their desks. Those numbers determine how much money school systems receive from the state for the entire school year. While AXL’s enrollment did increase this year, it still fell short of its growth projection of 600 students.

As a result of the enrollment shortfall. AXL received about $700,000 less than officials had projected.

AXL officials claim they have a plan to establish a solid fiscal foundation. They believe the kindergarten through eighth grade school should stay open because the school has growth potential. District-run expeditionary learning schools are popular in Aurora and have waiting lists.

AXL also meets or beats the district’s average student achievement results on state reading and writing tests, although those scores have slipped by double digit percentage points in the last three years and still lag behind the state’s average.

While the school, which has similar demographics to the district’s, has underperformed the district’s and state’s average in math, overall the school has earned the state’s highest rating a school can earn for the last three years.

Donny Wright, left, and his son, Trenton Wright, 12, were among the 200 AXL Academy charter school supporters who packed an Aurora Public Schools Board of Education meeting earlier this month. AXL Academy has enough money to operate through January. It's requesting an 18-month charter extension and loan from the APS.
PHOTO: Nicholas Garcia
Donny Wright, left, and his son, Trenton Wright, 12, were among the 200 AXL Academy charter school supporters who packed an Aurora Public Schools Board of Education meeting earlier this month. AXL Academy has enough money to operate through January. It’s requesting an 18-month charter extension and loan from the APS.

AXL officials hope an extension to the school’s charter will provide the campus a chance to move past its financial mistakes and refocus on teaching and learning.

“We don’t want to dwell on the past,”said Matt Wasserman, the school’s new board president, at the Dec. 2 APS board meeting. “We’ve made a clean break from the past. We want the ability to have a fresh star. This is a financial crisis. But it is not an academic crisis. … AXL is asking for what amounts to a second chance.”

Since late October, AXL’s school director, Audra Philippon has left. The school has restructured its administration team and board of directors, and also cut about $90,000 from its budget.

Philippon did not respond to a request for comment.

As part of its restructuring, the school has hired a charter school consulting firm for about $30,000.

“We’ve tried to keep the cuts as far away from the classroom as possible,” said Brent Reckman, AXL’s co-principal, at the APS board meeting. “Cutting the Spanish team was the most difficult.”

It’s still unclear how only a select few of the school’s administrators knew about under enrollment problems and what specific systems will be in place by the end of the school year to prevent a similar budgeting problem going forward.

AXL is asking the district to defer about $315,000 in fees for district services and establish a credit line for about the same amount.

Part of the conversation tonight between AXL and the APS board will be to discuss what the financial trade-offs are for either keeping the school open or closing it.

“I need to have a real good idea about what it would cost the district for the 2014-15 and 2015-16 school year,” said Mary Lewis, an APS board member.

If the board agrees to float AXL a lifeline there is no guarantee the district will see the hundreds of thousands of dollars again. The school could ultimately close if it can’t boost its enrollment. Some families have already left since news about the financial hardship spread.

If AXL does shut down, any assets such as computers the school purchased with state tax dollars would become the property of APS, according to a spokeswoman with the Colorado League of Charter Schools.

This isn’t the first time AXL has had money woes. In the fall of 2013, APS sent a letter to the school claiming AXL was not in compliance with its charter contract due to concerns about its financial status and governance structure. But the school corrected course, APS officials pointed out to their board this month.

“We were here last year, but for different reasons,” said Rico Munn, APS’s superintendent. “As of June, we all felt good.”

While there have been signs the Aurora school board is becoming more friendly to charters, over the years it has earned a reputation of being anti-charter. While neighboring school districts like Denver Public Schools and Douglas County have been steadily opening charter schools, APS hasn’t authorized another charter school since AXL opened in 2008.

The APS board’s decision tonight could signal a greater openness to working with charter school or a closing of the ranks.

Aurora officials and board members earlier this month said they were happy the district and charter school officials were communicating through the entire process. And many board members praised the school for rallying parent support. More than 200 parents, teachers, and students packed the modest APS board room earlier this month to show support for the school.

If the board decides to shut down the school at the end of the month, all AXL students — regardless of what school district they live in — would be able to choose an APS school to attend so long as a seat was available.

AXL’s parent Max Garcia’s  three students would likely finish the school year at their neighborhood school, Jewel Elementary. But he hopes it doesn’t come to that.

“I believe in the expeditionary learning model,” he said. “If they close the school, it’d break my heart. I volunteer there. I teach the cooking club. I know a lot of the kids on a first name basis.”

Correction: This article has been updated to reflect that 90 percent of AXL students live inside the Aurora Public Schools boundary.