School overview
Prospect Hill Academy Charter School
How Prospect Hill Academy is funded, governed, and run across its four campuses
How is Prospect Hill Academy funded?
PHA is a tuition-free public charter school, but no single town pays for it directly. Massachusetts requires each student's home school district to send a per-pupil tuition payment to PHA, funded through the state's charter school formula. That means PHA's budget rises and falls with enrollment, and with which towns its students come from, since reimbursement rates differ by sending district. About 95% of PHA's operating revenue comes from these public tuition payments; the rest is fees, donations, and investment income.
Tuition follows the student
Cambridge and Somerville are PHA's largest sending communities, though their combined share of the student body has fallen from 56% in 2014-15 to about 37% in 2025-26 as PHA has drawn more students from towns such as Revere, Watertown, Woburn, and Waltham.
FY2025 ran a planned deficit
Tuition revenue of $22.4 million against $25.4 million in operating expenses left a net operating deficit of about $985,000, narrowed to roughly $327,000 after investment gains — smaller than the board had budgeted for.
No bank debt, funded by reserves
PHA held about $18.5 million in investments and $3.1 million in cash as of June 30, 2025, and is drawing down reserves for planned deficits rather than borrowing.
Governed by an appointed Board of Trustees
PHA's sitting board recruits, interviews, and votes to approve its own new members; there is no public election for trustee seats. As of April 2026 the board was in the middle of a recruitment cycle to replace about five outgoing members, targeting roughly 11 trustees total.
A planned deficit funded from investment reserves is a deliberate, board-approved strategy, not a sign of financial distress — PHA carries no debt and has consistently run smaller deficits than it budgeted for.
Where the school stands
As reported April 14, 2026, down from about 890 students at the start of the 2025-26 school year, tied in part to transportation-related withdrawals.
Narrows to about $327,000 after investment gains on the school's portfolio; smaller than the deficit the board had budgeted for.
Context: calculated by dividing FY2025 total operating expenses ($25.4 million) by roughly 875 students enrolled at year end. As a single-site charter, this figure already covers facilities, benefits, and administration, unlike a within-district per-school allocation, which typically excludes those costs.
Up from about 11% in 2018, roughly doubling over eight years, per a February 2026 presentation to the board. A state review of PHA's ESL programs gave largely positive initial feedback.
PHA cannot admit more students than this without a charter amendment; admission is by lottery, with preference for Somerville, Cambridge, Revere, Woburn, Watertown, and Waltham residents and siblings.
PHA's minutes archive follows a roughly bimonthly full-board meeting cadence (October, December, February, April); committee-level financial and academic updates occur more often between full-board meetings.
Major projects
Head of School succession search
in progressThe board hired a national search firm to identify PHA's next Head of School ahead of the current leader's planned transition.
- Board votes to hire search firm DSG | Storbeck
- Search committee forming; community listening sessions begin
Funding
Board-funded search firm engagement (DSG | Storbeck)
New graduation Competency Determination Policy
adopted, phasing inThe board adopted PHA's own graduation coursework and mastery requirements after MCAS stopped being the state's sole graduation test.
- Board adopts PHA's Competency Determination Policy, replacing MCAS as the graduation requirement
Funding
Not applicable (policy adoption, no direct cost)
Charter renewal compliance plan
in progressPHA's charter was renewed for five years with new state conditions on enrollment demographics that the school must formally address.
- Board reports a successful five-year charter renewal with new state conditions on enrollment demographics
Funding
Not applicable (state compliance requirement)
Administrative office space and facilities assessment
unfunded, under considerationThe district is exiting its administrative office lease and assessing building conditions across its four campuses, with no final plan yet.
- Board reports the 366 Somerville Ave administrative lease is secured only through June 2026 and not viable on a month-to-month basis
Funding
Operating budget
Built from Prospect Hill Academy's four most recent Board of Trustees meeting minutes (October 2025-April 2026), its FY2025 annual report, its 2025 MCAS report card family letter, and its currently posted policies, plans, and handbooks, all collected directly from the school's official website.
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