Pricing the Public Good: Rethinking Rate Categories, Fairness, and the Nonprofit Myth
Session 8 of Facilitron University 5 dared to ask the question every district wrestles with — whether they admit it or not.
Who really gets access to school facilities, and at what cost?
Led by Grace Vote, this session brought together district leaders from across the country to unpack a problem that’s more common and more complex than many realize. Rate structures built decades ago haven’t kept pace with today’s reality. And for many districts, “nonprofit” has become a catch-all category that’s both too broad and too generous.
The results are outdated, unintentional subsidization, and rate structures that are difficult to explain or defend.
“We’re not charging more. We’re just finally charging consistently and explaining why.” — Paul Idsvoog, Fresno USD
The Problem with “Nonprofit”
From Little Leagues to national sports organizations, many groups using public school facilities operate under the “nonprofit” banner. But as Anaheim UHSD’s Van Chu pointed out, that term doesn’t tell the whole story.
Many of these groups generate revenue through ticket sales, merchandise, registration fees, even tryouts. Yet they often expect to pay little or nothing, simply because of their tax status.
“It’s not about your label. It’s about your impact on public resources and whether the district is subsidizing private enterprise.” — Van Chu, Anaheim UHSD
“We’ve Always Done It This Way” Isn’t a Policy
Every panelist shared some version of this struggle, including unpaid invoices, manual processes, and fee waivers based on history or relationships.
In Fort Bend ISD, the default rate was essentially one-size-fits-all, with inconsistent discounts thrown in. In Hillsborough County (FL), schools were left to collect fees and insurance on their own, with no central visibility.
At Fresno USD, things didn't change until the data did. Once usage and billing were tracked in one system, the financial gaps became clear and so did the opportunity to fix them.
Phased Change = Lasting Change
Norman Public Schools didn’t try to flip the whole system overnight. Instead, they started with small wins:
- Require proof of insurance.
- Then custodial fees.
- Then modest hourly rates.
The key wasn’t the technology. It was holding the line consistently across all sites and all users.
“The moment you make one exception, you’ve created a new policy. Consistency is how you protect fairness.” — Natalie Eckert, Norman Public Schools
What “Fair” Pricing Looks Like
The goal of pricing reform isn't to generate profit. It's to recover direct revenue costs, reduce risk, and ensure that schools aren't quietly underwriting organizations that can and should contribute their fair share.
Here’s what the panelists agreed good governance looks like:
- Define rates by activity, not just tax status.
Nonprofits hosting paid events, tournaments, or lessons? That’s commercial use — and should be priced accordingly. - Use objective criteria to determine “local benefit.”
Residency percentages, district affiliation, or program reach can help define which groups qualify for reduced rates. - Limit discretionary waivers.
Codify a small, transparent list of fee-free users — like PTAs, Scouts, or municipal partners — to avoid a waiver free-for-all. - Train staff on the “why.”
Empower principals and site leaders to say yes within boundaries — without having to be the bad guy. - Centralize everything.
Approvals, billing, insurance, audit trails — all in one place, all accessible to the right people.
“Pricing is policy. If you don’t define it clearly, the system becomes unmanageable and impossible to defend.” — Genyne Vinson, Fort Bend ISD
It’s Not About Charging More — It’s About Charging Fairly
This panel made one thing clear: Districts don’t have to choose between being community-friendly and being fiscally responsible. The right governance model makes both possible. Fair access doesn’t mean free access. And “nonprofit” shouldn’t be a blank check.
Instead, the panel encouraged districts to lean into clarity:
- Clear categories.
- Clear expectations.
- Clear communication.
Because when your pricing reflects your values and your systems reflect your policies, you don’t just protect your budget. You protect your mission.
“We’re not here to say no. We’re here to say yes, but in a way that protects schools, students, and the public good.” — Jackie Thoms, Hillsborough County PS
Final Word: Price Isn’t the Problem — It’s the Opportunity
Every dollar a district doesn’t recover is a dollar not going to students. That’s why it matters.
But pricing is more than math. It’s a governance challenge and a leadership opportunity.
Solutions include:
- Use data.
- Communicate clearly.
- Say yes — with policy.
- And make sure your pricing reflects your values.
Because the most community-serving districts are the ones that know how to protect what matters most.