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2018-076 Partial Scholarship ReinstatementDate: 6/15/2018 Report No. 2018-076 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Parks and Recreation Department (PARD) Partial Scholarship Program BACKGROUND: PARD offers two scholarship programs providing financial assistance to families and individuals. One scholarship is fully funded by a Community Development Block Grant (CDBG) and covers the full cost of summer camp. The second scholarship covers half of program fees, can be applied to any PARD youth program, and is partially funded by the Parks Foundation. Funding for partial scholarships is raised through various activities including donations, fund- raising, and allocation of proceeds from PARD hosted events, programs, and activities. The funds are held in a Parks Foundation account. Parks Foundation advises PARD on the amount available for scholarships each year. Eligibility for a partial scholarship is based on criteria used by the Denton Independent School District (DISD) for free and reduced lunches. Parents and guardians must provide a copy of the free or reduced lunch letter from the school district. Beginning in the current fiscal year, the maximum award to an individual is $150 per year. The time period is August 1 to July 31 to coincide with the DISD calendar. Prior to FY 2016 – 2017, scholarships were limited to $250 maximum per child and a $500 maximum per family. The scholarships were also limited to summer camps and childcare programs. Scholarships are awarded by PARD staff on a first come first serve basis. Requests are processed by PARD staff and recorded in Civic Rec, the Department’s registration software. As an individual registers for a youth program, a partial credit is applied. The registrant is responsible for the remaining balance. PARD requests reimbursement for the partial credit from the Parks Foundation on a quarterly basis. An accounting of the scholarships used is provided to the Parks Foundation as documentation. Below is a four year history of the number of scholarships awarded and the number of individuals served. Awards FY 2013 - 2014 FY 2014 - 2015 FY 2015 – 2016 FY 2016 - 2017 # of Scholarships 269 314 365 416 People Served 128 161 185 191 The Parks Foundation funded just over $19,000 last year in partial scholarships. This was up from an average of $12,000 a year. In October 2017, the City of Denton suspended all activities with the Parks Foundation while a review of the relationship was conducted. This included the partial scholarship program since all Date: 6/15/2018 Report No. 2018-076 funds raised by both the Foundation and PARD were held by the Parks Foundation. No partial scholarships have been awarded in the current fiscal year. With the conclusion of the review, the City is working with the Foundation to develop a formal agreement at Council’s direction. As part of the agreement, guidelines and procedures will be established for the administration of the scholarship program. A proposed agreement will be presented to Council for review by the end of June. In the interim, PARD will reinstate the partial scholarship program for the remaining fiscal year effective immediately. This will allow PARD to continue serving families during the summer months which has historically been the peak for requests and usage of scholarships. PARD will award a total of $12,000 in partial scholarship based on the Parks Foundation commitment to that amount. The Foundation’s commitment of $12,000 is comprised of $6,000 in previously raised funds and a $6,000 CoServ grant received by the Foundation. PARD will process and document awarded scholarships as previously performed with the intent of seeking reimbursement from the Parks Foundation upon approval of a final agreement. Absent a formal agreement, the City will cover the cost of the partial scholarships through PARD’s budget. Scholarships will be awarded in accordance with the attached policy. The scholarship policy establishes the eligibility requirements, distribution, award level, and guidelines that apply to all PARD programs for which a fee is charged. The policy and application also align with documentation requirements for grant funding. The scholarship program will continue to serve children, youth, adults, and seniors. It is the desire of the Denton City Council that scholarships exist to execute the mission of the PARD by assisting low-income families and subsidizing costs associated with PARD programs and events, in accordance of guidelines set forth by the City Council. ATTACHMENT(S): PARD Scholarship Policy STAFF CONTACT: Laura Behrens Interim Director of Parks and Recreation Laura.Behrens@cityofdenton.com