THE IVY SCHOOL CONTRACT

THIS CONTRACT (“contract”), dated this ___ day of ______, 2009 is entered into by the State of Oregon acting by and through the Oregon State Board of Education (“Board”) and the THE IVY SCHOOL (“Ivy”), an Oregon nonprofit corporation.

RECITALS

WHEREAS the Oregon Legislature enacted ORS Chapter 338 which sets forth the laws under which charter schools are created and governed; and

WHEREAS the State Board of Education determined that the Application submitted to the Board for the formation of The Ivy School as a public charter school complied with the purposes and requirements of ORS chapter 338; and

WHEREAS by resolution adopted December 12, 2008, the Board determined the Application met the requirements of ORS chapter 338 and approved the Application and directed staff to begin the negotiation and drafting of a charter contract acceptable to the Board and The Ivy School; and

WHEREAS ORS chapter 338 contemplates and the parties agree that this contract, including the Exhibits (which include the Application), will constitute the agreement between the parties regarding the governance and operation of The Ivy School as a public charter school and the legal authorization for the establishment of the charter school under ORS 338.075(2); and

WHEREAS the Oregon Superintendent of Public Instruction (Superintendent) or designee (as defined in Section 24N of this contract) shall have authority and responsibility for the administration of this contract on behalf of the Board, consistent with the provisions of ORS Chapter 326 and ORS Chapter 338.

NOW, THEREFORE, in consideration of the foregoing Recitals and the mutual understandings, releases, covenants and payments herein described, the parties agree

as follows:

AGREEMENT

1. Grant of Charter. The Oregon State Board of Education is the sponsor of The Ivy School and grants a charter, in accordance with ORS Chapter 338 and the terms and conditions of this contract, to operate a single public charter school.

2. Establishment of The Ivy School Charter School. It is the intent of the parties that (1) ORS chapter 338, now or as amended, strictly apply to and are incorporated into this contract and shall supersede and control any conflicting language contained in this contract, including the Application (Exhibit 1) except for any waivers permitted and granted under ORS 338.025; (2) the provisions of this contract shall supersede and control any conflicting language contained in the Application; and (3) the provisions of ORS chapter 338, the Board Resolutions and this contract supersede and control any prior understandings written or oral with the Board regarding The Ivy School. Ivy represents that to its knowledge, this contract does not violate any existing contracts with third parties. Ivy represents that the articles and bylaws of Ivy (Exhibit 2) provide for the operation of the public charter school in a manner consistent with this contract. Ivy agrees to amend the articles and bylaws if necessary to comply with this contract or amendments to this contract. Ivy shall promptly notify the Superintendent or designee of any proposed or actual changes to the articles and bylaws of Ivy.

3. Corporate Status. During the term of this contract, Ivy agrees to maintain (a) its status as a nonprofit organization under Oregon law. Ivy has applied for and received its status as an exempt organization under Section 501(c)(3) of the Internal Revenue Code and shall maintain such status during the term of this contract.

A. Authority of the Ivy Board. The Ivy governing board shall serve as fiscal agent for Ivy and shall be responsible for the school’s compliance with applicable laws, rules, regulations, policies, procedures, and the terms and conditions of this contract, and the Application. The Ivy governing board may delegate its duties under this contract as provided in Section 24N of this contract.

4. Conditions Precedent to Operation of Charter School. In order for Ivy to operate as public charter school the following conditions shall be met in advance:

A. By August 31, 2009, or the date of opening whichever is earlier, Ivy shall provide proof to the Superintendent or designee that Ivy has entered into an agreement to purchase, lease, rent or otherwise secure a facility for the public charter school to operate within the Portland School District boundaries; and

B. Ivy shall secure the appropriate and necessary occupancy and safety permits for the facility and deliver proof of these permits to the Superintendent or designee prior to the first day of classes for students at the Ivy facility; and

C. Ivy shall secure insurance in accordance with the terms of this contract and deliver proof of insurance to the Superintendent or designee by August 31, 2009 or the date of opening whichever is earlier; and

D. Ivy shall prepare and deliver to the Superintendent or designee an operational budget which accounts for the costs associated with the facility and insurance limits required by August 31, 2009 or the date of opening whichever is earlier; and

E. Ivy shall enter into an agreement with Portland Public School District that may be facilitated by and satisfactory to the Superintendent as provided in Sections 17A of this contract, for funding pursuant to ORS 338.155(3) prior to August 31, 2009 or the date of the opening whichever is earlier.

F. Ivy shall enter into agreements with Portland Public School District and other districts as appropriate and needed which are facilitated by and satisfactory to the Superintendent as provided in Sections 14G of this contract, for special education services pursuant to ORS 338.165.

G. Ivy shall register with the Oregon Employment Department as a non-profit employing unit and shall comply with the provisions of ORS 657.505(7)(a) and provide proof of such compliance to the Superintendent or designee by August 31, 2009 or the date of opening whichever is earlier.

H. To the extent required by law Ivy shall participate in the Oregon Public Employees Retirement System and shall provide evidence to the Superintendent or designee of such application as an employer by August 31, 2009 or the date of opening whichever is earlier.

I. Ivy shall enter into discussions with the Portland Public School District regarding student transportation and shall notify the Superintendent or designee in writing regarding the provision of these services by August 31, 2009 or the date of opening whichever is earlier.

5. Effective Date; Term; Renewal. If all conditions precedent from Section 4.A. through H. are met then this contract shall legally authorize the operation of Ivy, commencing July 1, 2009 and expiring on June 30, 2012. Renewal shall be pursuant to ORS 338.065.

6. Contracting. Ivy shall clearly indicate to vendors and other entities and individuals with which Ivy enters into any agreements for goods or services that the obligations of Ivy under such agreements or contracts are solely the responsibility of Ivy. The contractual obligations of Ivy are not the responsibility of the Board of Education.

7. Operational Powers. Subject to the conditions and provisions of this contract, Ivy shall be responsible for Ivy’s operations. Ivy shall have all powers of an Oregon nonprofit corporation and a public charter school. Specific operational powers include, subject to ORS 338.115 and such other provisions of Oregon law as may apply, making all personnel decisions, including hiring, firing and discipline of teachers, supervisors and staff; making decisions to increase number of classrooms per grade level; contracting for goods and services necessary for the operation of Ivy; preparing a budget; procuring insurance and necessary bonds; acquiring facilities for school purposes; purchasing, leasing or renting furniture, equipment or supplies; retaining fees collected from students in accordance with law; organizing and carrying out fund-raising efforts; and accepting and expending gifts, donations or grants of any kind in accordance with such conditions prescribed by the donor as are consistent with law and not contrary to any of the terms of this contract.

8. Use of Appropriate Policies. In order to facilitate the most efficient and collaborative educational services for students and to maintain an effective relationship with the Board, Ivy shall adopt policies, rules and procedures as required by this contract and law and as described in Exhibit 4.

9. Copies of Policies. Ivy will furnish to the Superintendent or designee copies of all written policies and procedures it may adopt with respect to any matter relating to its operations and educational program within thirty (30) days of adoption by the Ivy Board.

10. Waiver of Laws. Ivy may seek a waiver of laws pursuant to ORS 338.025(2).

11. Disclaimer. Ivy shall not in oral and written communications indicate that it speaks or acts on behalf of the Board, Superintendent or Department when it makes references to the Board, Superintendent or Department.

12. Requests and Reports. Ivy shall provide any reports, formal or informal, written or oral requested in good faith and for a reasonable purpose by the Board, Superintendent or designee. The Board, Superintendent and the designee shall grant Ivy at least seven (7) business days to comply with any requests for any formal reports and seven (7) business days to comply with informal reports. The Superintendent or designee shall respond to Ivy's requests for information connected to this charter within seven (7) business days of the request by either providing the requested information or an estimate of the amount of time required to respond to the request. Ivy shall at least monthly report attendance data to the Superintendent or designee in accordance with the requirements of the Superintendent

13. Ex Officio Participation. Ivy shall permit Department staff or designee to attend and participate ex officio at all regular charter board meetings except for executive sessions of the Ivy board as described in ORS 192.660 et seq. Ivy may invite Department staff or designee to attend executive sessions as appropriate or necessary.

14. Education Program, Pupil Performance Standards, and Curriculum. Ivy shall comply with all state laws and rules that apply to charter schools pertaining to educational programs, pupil performance standards and curriculum.

A. Curriculum. Ivy shall implement the instructional programs as outlined in its Application.

(i) Ivy shall have the authority and responsibility of ensuring that Ivy’s educational program, subject to the conditions of this contract, is designed and implemented in a manner that is consistent with ORS chapter 338, including, without limitation, requirements regarding content standards, pursuant to ORS 329.045(1).

(ii)  Ivy shall make reasonable progress towards meeting or exceeding the performance goals and implementing the improvement plan as described in their Application.

(iii) If Ivy fails to make adequate yearly progress pursuant to the No Child Left Behind Act in two consecutive years, a corrective action plan to increase student achievement will be submitted to the Superintendent or designee not later than October 1 of the third academic year.

B. Required Instructional Time. Ivy will ensure that it will annually adopt and implement a school calendar that establishes requirements for instructional time provided by a school during each day or during a year in accordance with ORS 338.115(1)(n) and OAR 581-022-1620 that requires a minimum number of instructional hours annually.

C. Records. Ivy shall comply with all applicable federal and state laws concerning the maintenance, retention, and disclosure of all operational records and of student records.

D. Nonreligious, Nondiscrimination Standards. The educational program of Ivy shall not violate ORS 659.850 and shall be nonreligious, nonsectarian and shall not discriminate against any student or staff on the basis of race, color, age, sex, national origin, marital status, religion, sexual orientation, or disability.

E.  Enrollment Requirements. Enrollment shall be open to any eligible child who resides within the Portland Public School District boundaries. Additionally, enrollment shall be open to children not residing within the District in accordance with ORS 338.125. Ivy must maintain an active enrollment of at least 25 students. Active enrollment for purposes of this contract shall mean “active roll” as that term is defined and used in OAR 581-023-0006 (generally the total number of eligible students enrolled in and regularly attending Ivy with less than ten (10) consecutive days of absences). The process of application, enrollment and admissions shall be governed by ORS 338.125. Enrollment shall be limited as follows:

(i) For the 2009-2010 school year, enrollment shall be limited to grades 1-3 with a maximum enrollment of 60 students.

(ii) For the 2010-2011 school year, enrollment shall be limited to grades 1-6 with a maximum enrollment of 120 students.

(iii) For the 2011-12 school year, enrollment shall be limited to grades 1-8 with a maximum enrollment of 150 students.

F. Student Registration. Ivy will ensure that it completes a Student Registration Form, beginning, according to the Ivy calendar, on the first day of school of each school year and ending on the last day of school of each school year, for each student upon admittance to Ivy and update the form according to OAR 581-023-0006 when a student withdraws. A student whose withdrawal status can be determined within ten days shall be marked as withdrawn from the active roll on the school day following that determination. A student must be withdrawn from the active roll on the day following the tenth consecutive day of absence. Student enrollment shall be reported to the Superintendent or designee not later than September 15 of any year.