Policy vs. Performance — What’s Really Holding Your Program Back?
Are Your Policies Enabling the Problem?
What if the biggest reason your facility rental program isn’t performing isn’t demand, but policy?
That’s the question Trent Allen posed at Facilitron University, where he walked attendees through a powerful presentation challenging assumptions about how schools manage facility rentals — and who they subsidize in the process.
View the full session:
Allen opened the session not with theory, but with data: Using a case study of four similarly-sized school districts, he showed how performance metrics tell a revealing story. While some districts generated more than $20,000 per site annually from community use, others made as little as $6,000 per location — and up to half of some district sites generated no revenue at all.
If only half your sites are producing, that’s a problem,” Allen said. “Even setting a modest goal like 60% or 75% is important. If you’re not tracking this, you can’t improve it.
Metrics like revenue per site, approval rates, and the number of active renter organizations are essential to understanding how effectively a district is managing its community use program — and where policies may be quietly undermining performance.
When Policy Makes the Problem Worse
But poor performance isn’t just about missed opportunities or low community demand. According to Allen, it’s often policy-enabled.
He shared how a vague phrase from Tennessee’s education code — “school buildings may not be used for private profit” — has been interpreted by districts to mean commercial organizations are banned, while nonprofit groups automatically qualify for access and subsidies.
It makes sense on the surface,” Allen explained. “But here’s the irony — it’s nonprofit groups that are actually running businesses in your schools. They’re charging participants, selling merchandise, and in many cases, doing very well financially.
This, he said, isn’t inherently wrong — but it does raise serious questions about whether districts should subsidize every nonprofit group without scrutiny.
What Do We Really Know About Nonprofits?
Allen challenged the assumption that nonprofit status is a reliable indicator of public benefit. In reality, becoming a nonprofit is relatively easy, especially for smaller organizations, and ongoing oversight is minimal.
A nonprofit isn’t a mission statement or a measure of impact. It’s a tax designation.
From local youth sports organizations with slick branding and merchandise, to billion-dollar nonprofits like Educational Testing Services (ETS) and ESS, many groups using school facilities under "nonprofit" rates operate more like commercial entities.
In fact, he noted, ACT — the well-known college preparatory testing company — was recently purchased by a private equity firm and converted into a for-profit business.
If Tennessee’s law says no private profit, does that mean ACT can’t rent space anymore? That’s the kind of outdated thinking we’re here to challenge.
The True Cost of Policy Loopholes
Allen illustrated just how costly unchecked fee waivers and special rates can be. In one example, a single youth sports reservation — spanning 200 hours of gym use — cost the district nearly $20,000 to host, yet generated just $750 in rental fees.
"It’s not illegal — it’s your policy,” Allen said. “And that’s exactly why it’s time to question these assumptions.”
Moving Forward: What Should the Standard Be?
Allen closed the session by offering a clear alternative to the outdated nonprofit rubber stamp:
- Base rates should start at cost recovery.
- Above-cost rates should be allowed for commercial and high-frequency users.
- Discounts should be deliberate and mission-aligned — not automatic.
When districts stop relying on outdated assumptions and start leading with clarity, transparency, and fair standards, they can strengthen community ties and protect their budgets.
Challenge outdated policy language… Educate leadership. Lead with transparency. When people know the rules, they stop asking for exemptions.
Final Takeaway: Your Rental Program Is a Strategic Asset
More than just a compliance exercise, Allen reminded attendees that facility use is a vital part of community engagement and district sustainability. When governed by thoughtful, fair, and transparent policies, rental programs can foster access, equity, and trust—without breaking the budget.
Make your rental program important,” he said. “It is an important part of your community relationship. Bringing people into the schools and showing them your beautiful facilities and how you operate—that matters.