QZAB Presentation Dr Appu Kuttan Chairman National Education

QZAB Presentation Dr. Appu Kuttan – Chairman National Education Foundation (NEF) 2017 www. QZAB. org

NATIONAL EDUCATION FOUNDATION (NEF founded 1989) and STATE UNIVERSITY OF NEW YORK (SUNY) $100 MILLION QZAB MATCH GRANT& QZAB ACADEMY PROGRAM www. QZAB. org 2

NEF Founder and Chairman… DR. APPU KUTTAN ● Global STEM+ Education Leader ● National QZAB Expert ● Philanthropist ● Innovator, Author & Mentor ● Advisor to National & Global Leaders ● World Economic Forum Award (2016) www. QZAB. org 3

Our “A Team”… DR. ART STELLAR ● Superintendent & QZAB Expert ● 25 yrs Supt. in NY, MA, OK, NC ● 2015 AASA Distinguished Service Award DR. TONY BETRUS DR. TODD ULLAH ● NEF’s STEM+ Academy Nat’l Director ● VP of STEM Education ● Nat’l Instructional Tech Leader ● Nat’l STEM Education Leader ● SUNY Professor ● 2014 CSTA Administrator of the Year www. QZAB. org 4

NEF PARTNERS Banks & Bond Counsels Tech Companies CEFPI All 50 States QZAB Divisions Energy Companies Local Universities & Colleges National K-12 Global IT & Business www. QZAB. org 5

How Qualified Zone Academy Bonds (QZAB) Work 0% Interest Funds to Finance: School Renovation, Energy, Equipment, Technology, Teacher Training & STEM • Fed pays interest via tax credit to banks • Eligible Districts/Schools = 35% or more students on Free/Reduced cost meals • $400 Million/year to States. See State allocations at www. qzab. org • Can apply for all available state allocation • First-come, first-served • Extension Urgency: Congress wants most of $400 Million issued by September, 2017 www. QZAB. org 6

NEF & QZAB NEF has donated $200 M+ QZAB Match with top-rated online courses Goal: in 5 years, provide world class STEM+ education for 1 million US students Rationale: 1. US schools need $ for renovation, energy, tech, school security, STEM etc. 2. US students ranked 31/35 industrialized nations in math 3. Trump’s proposed $10. 6 B education budget cut NEF and SUNY provide the most cost-effective QZAB STEM+ Academy Guarantees: 1. Student performance -- advance a subject grade level in 25 -35 learning hours 2. HS students can earn SUNY college credits for $60 vs $680 Provide: Total Holistic STEM System Solution: • STEM Academics • STEM Application • STEM Hands-On • STEM Project-Based www. QZAB. org 7

Why Do QZAB? Net Savings + QZAB STEM Academy Savings for the School District for every $1 Million, 20 -year QZAB Interest (Fed pays interest for 20 yrs via tax credit) $500, 000 Energy & Maintenance Savings & Utility Incentives, using $500, 000 (20 yrs @ $75, 000/yr -conservatively 15%/yr savings) $1, 500, 000 Interest earned (on $1 million @ 1% for 1 yr) $10, 000 Savings on education software (5 yrs of NEF-SUNY academy @20, 000/ yr) $100, 000 TOTAL SAVINGS $2, 110, 000 COST for the District: Principal Payments ($50, 000/yr x 20 yrs, no interest) $1, 000 Payment for NEF/SUNY Academy Implementation Services, 5% of QZAB/yr for 5 yrs paid out of QZAB proceeds (thus effectively 2. 5% to District), NO out-of-pocket cost; 30% given back to District in cash and 70% in services) $250, 000 TOTAL COST $1, 250, 000 NET SAVINGS $860, 000 NEF Match Donation ($100, 000 per year for 5 years) $500, 000 TOTAL BENEFITS for a $1 million QZAB $1, 360, 000 www. QZAB. org 8

7 Ways to Save with QZAB 1. NO Interest for up to 25 years 2. Energy Savings pays for annual principal payments 3. Reimbursements from utility companies 4. Curriculum Software & Services as a result of NEF STEM+ Academy 5. Interest from the QZAB funds prior to deployment 6. NEF-subsidized 5% per year fee for the Academy implementation by SUNY (30% cash given back for Stipend, Incentives and Hands-on STEM, 40% for Personalized learning system and services for students, teachers and parents, 30% to SUNY for continuous monitoring, support and college credits) 7. 5% fee becomes 2. 5%, since the District can include the fee in the QZAB amount paid over 15 -25 years www. QZAB. org 9

What You Pay & What You Get Pay NEF: 5% of QZAB/year for up to 5 years for the QZAB STEM+ Academy (2. 5%/year cost to District by including it in QZAB) Get from NEF: • 30% cash back for student incentives, teacher/director stipends, hands-on STEM • 40% for Personalized learning for students, teachers and parents, LMS, Mentoring • 30% for SUNY services -- continued monitoring, support, certificates and college credits Guarantees: 1. Student performance -- advance a subject grade level in 25 -35 learning hrs 2. HS students can earn SUNY college credits for $60 (90% subsidy) www. QZAB. org 10

4 Criteria 1. Composition of the student body (35%+ Free/Reduced Lunch) 2. Match contribution(s) 10%+ 3. Academy education plan (“to prepare students better for the rigors of college and workforce”) 4. Use of bond proceeds for Projects — projects plan Note: NEF helps you meet these. www. QZAB. org 11

NEF’s QZAB Match Donation (10 -50%) NEF donates top-rated personalized learning courses for all your K-12 programs 3, 000 Courses Donated as QZAB Match: NEF Match meets the 3 IRS mandates: ● Pearson Success. Maker & Grad. Point – Top-rated, K-12 personalized learning courses in STEM+ (STEM, ELA, Science, Social Studies, SAT/ACT prep) mapped to your state’s standards 1. Below fair market value (documented) 2. Relevant to the QZAB Academy 3. Total donation, NO discounting ● Skillsoft – 2, 500+ top-rated IT, business & professional development courses & live mentoring; includes 100+ IT, Career Tech and Business Certifications ● SUNY – Top-rated Digital Literacy, IT, Business See all the courses at www. stemgrant. org/catalog www. QZAB. org 12

QZAB Academy Total Holistic System Solution Services 1. Personalized learning for students, teachers, staff, and parents 2. Stipends/salary for Academy Director and teachers (key to academy success) 3. Learning Management System 4. Mentoring 5. Motivational Rewards for: • Students (Minecraft, i. Phones, i. Pods, STEM Design software, SUNY credits and certificates etc. ) • Teachers and Principals (Stipends & Professional Development Training) • Parents (Job Skills Training) • Fitness – Stipends and support for tracking school fitness and participating in competitions 6. Teacher training 7. Tech support 8. College credits ($60/credit from SUNY vs $680, a 90% subsidy) www. QZAB. org 13

Testimonials “Our NEF-SUNY QZAB STEM+ Academy, set up with NO out-of-of pocket QZAB funds, helped to take our students from the bottom 50% to the top 30% in Ohio state test scores, while improving the attendance rates and enthusiasm levels of our students. In addition, our students can now earn college credits inexpensively from SUNY. " -- Dr. Shana Wydra, Academy Director, Steubenville SD, OH “We’ve lost about 400 students in the last six years and QZAB NEF-SUNY STEM+ Academy has allowed us to bring those students and revenues back. ” -- Scott West, Academy Director, Gallia SD, OH “QZAB NEF-SUNY STEM+ Academy has provided a huge improvement to school morale and students wanting to be here. ” -- Joel Matuk, Academy Director, Minersville SD, PA “Since we implemented the QZAB STEM+ Academy last year, we noticed significant growth within each child’s abilities” --Lisa Franklin, Math Teacher, Warren County SD, PA "Your program is very impressive. . Thanks for all you do for students. ”… Dr. Mark Johnson, Supt. of Public Instruction, North Carolina “I just like to say thank you for all you do for the kids in all the academies. Dr. Kuttan, you truly are a giving person. ” Bruce Hotlosz, STEM director, Martins Ferry Schools See http: //academies. cyberlearning. org and www. qzab. org for additional Testimonials See ABC News video on NEF’s 2017 National STEM Academy of the Year Award to Martins Ferry: https: //youtu. be/ZWKDHkgrcb. A www. QZAB. org 14

WIN-WIN STUDENTS Parents/Teachers Schools & Communities NREA (2% + Mission) NEF, SUNY, USA www. QZAB. org 15

Testimonials Dr. Kuttan, age 75, won the Fitness (“push up running”) Challenge with Martins Ferry, Ohio Students, and Teachers in May, 2017, and decided to give “Funds for Fitness” to all NEF-SUNY academies to improve the alarming fitness condition of many of our students See video: https: //www. youtube. com/watch? v=BHKUMbtka 8 o www. QZAB. org 16

Dr. Kuttan performing cardio salsa to motivate students www. QZAB. org 17

ABC News video on NEF’s 2017 National STEM Academy of the Year Award https: //youtu. be/ZWKDHkgrcb. A www. QZAB. org 18

$100 Million in NEF QZAB Grants to help School Districts Secure $400 Million Contact Dr. Appu Kuttan 703 -823 -9999 akuttan@nefuniversity. org www. qzab. org (for QZAB Grants) www. stemgrant. org (for all STEM Grants) www. QZAB. org 19