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Epic Charter Schools Secures $30M Loan Amid Financial Crisis

UPDATE: In a critical move amidst escalating financial turmoil, Epic Charter Schools has secured a $30 million private loan to cover payroll for July, as confirmed during a board meeting on Monday in Oklahoma City. The Statewide Charter School Board (SCSB) has unanimously voted to initiate an audit of Epic’s finances to address urgent concerns regarding the school’s long-term stability.

The board’s decision follows alarming developments, including two rounds of mass layoffs, the closure of in-person campuses, and salary cuts for staff members over the past few months. The situation has escalated with the resignation of Superintendent Bart Banfield and a wave of teacher departures, raising serious questions about the future of Oklahoma’s largest charter school.

Skyler Lusnia, the SCSB’s Financial Compliance Officer, stated that Epic’s leadership approached the board back in May with significant financial concerns. “These concerns bring questions about the long-term financial stability of the school,” Lusnia remarked, highlighting the urgency of the situation.

During the meeting, SCSB Chairman Brian Shellem emphasized the need for transparency for Oklahoma taxpayers. “Our questions are, who knew what, when they knew it, and making sure they’re moving along,” he said. The board aims to ensure that taxpayer money is being used appropriately as the audit process is set to begin in the next one to two months.

Epic Charter Schools is heavily reliant on the newly acquired $30 million bridge loan, as there are no revenues coming in for the month of July due to lack of student enrollment during this period. Shellem pointed out, “Your kids aren’t enrolled. And so that’s not when they get paid.”

Interim Superintendent Justin Hunt has expressed Epic’s commitment to cooperating with the SCSB, stating, “Epic Charter Schools supports the Oklahoma Statewide Charter School Board action calling for an outside accounting firm to review the finances and organizational processes.” The school serves approximately 30,000 students across the state, and leadership is determined to secure its financial future to continue providing quality education.

In addition to the audit, the SCSB announced the creation of an interactive report card for parents and the public to monitor the progress of charter schools in Oklahoma. This new tool will be available on the board’s website, enhancing transparency and accountability.

The board anticipates that once auditors are selected, it could take an additional month or two to produce a full report. Following the report, the board will evaluate the next steps to address the ongoing financial challenges facing Epic Charter Schools.

As this situation continues to develop, many in the community are watching closely, anxious about the potential impacts on education for thousands of students. The urgency for resolution is palpable as Epic navigates through this financial storm. Stay tuned for the latest updates on this evolving story.

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