2014 ANNUAL REPORT

EDUCATION INNOVATIONPOWERED BY A NETWORK

Picture this. The formal sessions at the Network’s annual summit come to a close. Conversations explode across the meeting space as leaders linger with the person sitting near them. Two advocacy leaders from different states discover that the same challenge is keeping them both up at night. They trade cards, agreeing to talk again.

One advocate meets another colleague from a third state who’s facing similar challenges. She’s looped in. A call’s arranged. The three might be focused on advancing quality charter schools, defending new learning standards, or implementing recently-passed teacher evaluation laws. Whatever the case, the effect is similar: the call most often turns into an ad hoc team meeting as the three discuss options, and trade ideas and resources.

In the end, respective solutions for each state always vary. Yet through conversations such as these, ideas get sharper. Strategy grows smarter. Resources are leveraged across state lines, maximizing investments. And the pace of the hard, slow work of advancing policy quickens and the spirit of front-line advocates is restored. This is the PIE Network in action.

Our Network is powerful not only due to the efficiencies these opportunistic conversations create when ideas and resources are shared. As importantly, our value lies in the inspiration and innovation that’s inevitable when great minds connect with others, craving conversations about similar challenges.

The PIE Network formed around a profound idea: connecting state education reform activists with leading national policy thinkers would create a unique and much needed synergy to drive innovation. From the very beginning, we’ve seen just that. Network synergy has created a dynamic feedback loop between state advocates and leading influencers at the federal level. And in 2014, eight years later, the PIE Network is still at it, intentionally cultivating innovations in policy that shape America’s classrooms for the better.

For example, just as the Network was founded on the need for more regular engagement between leaders driving federal and state policy, many Network leaders are now recognizing that to sustain policy change, we also need to build stronger connections with local community leaders

responsible for implementation. Their support and commitment are essential to seeing those big ideas implemented well.

As a result, a guiding question this past year has been: How must education reform efforts engage communities most affected by proposed policy change? It led us to examine new habits of effective communication and thoughtful reexamination about how policy priorities are adopted and implemented.

In the months ahead we face challenges similar to those we faced as the Network began. Then and now, we’re in the run-up to a major presidential election. An era of federal influence will give way to new “big ideas.” The PIE Network will continue to be one of the “go to” places where leading thinkers and state level activators step into the loop. They’ll connect to trade resources and know-how, sharpen their strategy, and deepen their craft, all in the service of improving education for every student in every part of the country.

Thank you for being a part of that work now and as we all move forward.

ROBINSTEANSBoard of Directors Chair

SUZANNETACHENYKUBACHExecutiveDirector

Dear friends of the PIE Network,

02

We bring an urgent voice to the political process so that state policy supports great schools and reinforces excellence in the classroom. A network makes our impact exponential.

The PIE Network connects state advocates working to advance policy with the big thinkers working to advance new ideas. People who think, apply, and practice trade insights with front line activists who bring real-world experiences and lessons learned from legislative effort. In all, the Network brings together leading voices for better schools from 48 organizations working in 31 states. Partners from 19 leading national organizations join us, too.

We never gather to “admire the problems,” spinning big ideas disconnected from reality. Within the PIE Network, ideas meet action. Heads and hearts merge. Experiences collide and therefore things change. Because the PIE Network is comprised of both the big picture thinkers and the frontline activators. Nowhere else does this confluence happen with the same intention, frequency, or impact.

The Network’s unique exchanges inform new thought and theory. Reality challenges and shapes the ideal, and vice versa. It’s a feedback loop—sometimes uncomfortable, always candid—that helps everyone iterate in ways that accelerate the movement. That’s the true definition of innovation. And the real power of our Network.

Whenever and wherever the PIE Network meets, our individual and collective skills sharpen. Breakthrough ideas are leveraged to greater impact. And the pace of change and innovation quickens—critical at a time when kids and schools are in dire need of not just reform, but reinvention.

We are a network of innovators.

03

The PIE Network team cultivatesthe Network in three powerful ways:

CONNECT In 2014, we regularly convened the

Network, in groups large and small, to foster innovation, fuel smart work, and

maximize efficiency—supporting dynamic connections that ensure policy ideas

are workable and sustainable.

[ SEE PAGE 5 ]

STRENGTHEN As the Network grew, we helped build

management skill, strategic capabilities and leadership capacity through events,

resources, and one-to-one support.

[ SEE PAGE 8 ]

AMPLIFY We widely promoted promising and

proven efforts so that state policy initiatives might build on what already works.

[ SEE PAGE 11 ]

04

1

CONNECT We regularly convened the Network, in groups large and small, to foster

innovation, fuel smart work and maximize efficiency. Here arethe highlights from meetings

held in 2014.

05

ANNUAL POLICY SHAPING EVENTSEvery year, two events help advocates anticipateand reflect on their legislative efforts.

Executives-Policy MeetingFEBRUARY 2014 - NEW ORLEANS, LA

2014 brought 27 Network leaders to New Orleans from 14 states to discuss shared challenges at play in the current legislative session. Louisiana Commissioner John White joined us for dinner, reflecting on Louisiana’s advances in recent years. A game-changing highlight: this was also the first opportunity for national leaders to learn more about the Vergara v. California court case, then a groundbreaking legal bet still being deliberated in the courts. Previewing how advocates might consider legal strategy, this discussion also introduced new possibilities for leveraging troves of courtroom testimony for legislative debates.

“Strategic, content rich and got my brain going about what I could do at home.” COMMENT FROM ANONYMOUS MEETING EVALUATION

“Candid, courageous and challenging conversations.”

“This is the one meeting every year where people aren’t there to defend turf, legacy, and policy. We’re there to learn and challenge and spread knowledge. We should always be guided by questions like, ‘what’s next?’ and ‘how do we prepare for it?’” COMMENT FROM ANONYMOUS MEETING EVALUATION

"The Black Alliance for Educational Options is a Black-led parent choice and education reform organization that amplifies the voices of low- income and working-class families as well as the policy makers and advocates who support their liberation. The authentic voices of BAEO members are listened to with respect at the PIE Summit and PIE members are working to expand empowerment,” JACQUELINE COOPER, INTERIM PRESIDENT, BLACK ALLIANCE FOR EDUCATIONAL OPTIONS.

Annual Members-Only Meeting & Policy SummitSEPTEMBER 2014 - CHICAGO, IL

The 2014 legislative sessions had ended across most of the country and 324 leaders representing 189 organizations convened at the Annual Meeting & Policy Summit, discussing lessons learned and looking around corners to 2015. Top policy developments like Common Core Standards, teacher evaluations, and advancing (and sometimes defending) quality charter schools were featured. A powerful cross-cutting theme resounded in many sessions as leaders asked how the movement can include more community-facing partners in the work of improving America’s schools.

1CONNECT

06

CONNECT

CONNECT

EMERGENT, ISSUE-SPECIFIC MEETINGS The Network grew substantially in 2013; thus, 2014 called for new forums tosustain connections across the many growing circles of influence. That meant we convened many smaller working meetings throughout the year.

Growing and Scaling OrganizationsMARCH 23-34 - LOS ANGELES

This new event addressed the challenges on the operational side of advocacy. Early social innovators led case-based discussion about growing their organizations and cultivating cultures of high performance. Reed Hastings, founder and CEO of Netflix and a leading education philanthropist, inspired with the evening’s keynote. Connected 19 national and state-based organizations.

Organizer’s RoundtableAPRIL 23-24 - NEW ORLEANS

For the first time last year, many of the Network’s leading community organizers met to deepen their craft. This meeting initiated a new feedback loop, one with the potential to bring voices of community leaders into the discussions of the policy that directly affects them. Connected 43 leaders from 24 organizations and 20 states.

“PIE serves as the convener role, letting other organizations avoid awkward power dynamics. PIE also has a broader eye on the space and can pull out specific needs and shining examples.” EVAN STONE, CO-EXECUTIVE DIRECTOR, E4E

Educators Raise Teachers’ Voices for Innovation MAY 4-5 - NEW YORK

Innovative educators raising their voices in support of excellent schools were also eager to collaborate with each other and with leaders across other organizations. They gathered in an exploratory conversation about deeper involvement in the Network and with each other, surfacing strategic insights and setting the stage for future collaboration. Connected 17 leading innovators representing 8 “teacher voice” organizations.

Mash-up with the National Alliance for Public Charter Schools (NAPCS)JUNE 30 - LAS VEGAS

Mash-ups strengthen our linkages with other powerful network organizations. In 2014, the PIE Network and the NAPCS co-hosted a pre-meeting of state-level charter advocates, providing a home-base for PIE Network colleagues to connect over state-specific policy within NAPCS’s much larger annual meeting. Connected 30 leaders from 19 state and national organizations.

1

07

2

STRENGTHEN As the Network grew, we helped build management skill, strategic

capabilities and leadership capacity through events, resources, and

one-to-one support.

08

STRENGTHEN

PIE Network Leadership InstituteIntentionally different from typical leadership trainings, the first cohort of the PIE Network’s Leadership Institute recognized twenty-two proven leaders ready to stretch their strategic capabilities. The curriculum reaches entirely outside of the education sector for experiential and case-based learning to sharpen the skills essential to leading change—from the arts of influence and negotiation to political strategy. This opportunity was by far the Network’s most highly rated investment, garnering a near perfect score on the final evaluation.

“ The closest I’ve ever come to a real paradigm shifting experience.”

“ Fabulous experience and really valuable. It definitely gave me a different perspective on negotiations and building relationships. It also helped me think about what it is to be a leader and manager. I can also say I will approach policy strategy in a much different way through all of our negotiation sessions and case studies.”

“ This has been some of the best professional development experiences I have ever had.”

" PIE's Leadership Institute is unlike any other leadership development I've been a part of. The training of this nature does not really exist anywhere else. Its unparalleled approach and design builds skills needed for transformational change. The deep connections I've made with peers through this program are immeasurably valuable." PRISCILLA AQUINO GARZA, EDUCATE TEXAS

2014 Annual Legislative & Policy SurveyPIE’s annual legislative and policy survey asked about the top issues state advocates anticipated working on in the coming year. This tool helps advocates find thought partners, know-how, and model legislation from leaders working on similar issues in other states. It also helps national policy partners focus their support and target resources. With near universal network completion, the tool has attracted over 2,000 unique website visits since it moved online in 2013.

2

PIE ChartsMaking the case for reform requires reliable and accurate data. Comparing states’ performances is a highly effective strategy, but gathering information is expensive and time consuming for advocates. A member-initiated innovation, PIE Charts offers a central web-based repository for data and comparative studies that supports easily customized state-to-state reports. It means every state doesn’t have to duplicate efforts and can focus on the front line.

09

STRENGTHEN

STRENGTHEN

“One to two times each month, I contact PIE staff with important questions that only they can answer. Some of the recent questions I asked (and got answers to within 24 hours) were:

• Have any other PIE Network organizations completed a report that will both explain the need for our policy agenda and include specific recommendations for our governor in advance of the gubernatorial election?

• Have any states/organizations shared information on what to do with newly provided student achievement data, and how to use the data to improve and/or incorporate into their strategic planning processes?

JIM O’CONNOR PROJECT DIRECTOR, ADVANCE ILLINOIS

One-to-One Support for Network Members The PIE Network staff is often a go-to resource when advocates need ideas about case-making resources or connections to other thought partners

2

10

3

AMPLIFY We widely promoted promising

and proven efforts so thatlocal policy ideas might build

on what already works.

11

AMPLIFY

Game Changers and @PIEnetworkPIE’s regular news sources cover leading policy developments to improve schools. When you follow the PIE Network, you follow the innovative work being done all across the country. Because we’re careful about what we send, we sustain an open rate for all Network communications that’s at least double the industry average.

“Closing the Deal: Implementationin the Education Advocacy Sector” case studyReleased at the 2014 Annual Meeting & Policy Summit, this study relays wisdom from Network leaders on effective ways to ensure good ideas and good policies get implemented well. This report features experiences from a dozen states and showcases six key strategies for influencing this key area of policymaking.

Eddies! AwardsThe now highly-anticipated Eddies! ceremony celebrates the hard work of advancing reform across the country. One part toast, one part roast, it’s a fun way to recognize progress, honor difficult work, and, through a night of hearty laughter, recharge spirits and commitment. Last years’ top honorees, selected by network members and partners, included the precedent-setting legal victory in Vergara v. California, defense of Common Core in the Bayou state, fiscal transparency in Colorado, CCSS implementation reports, and teacher evaluation support.

3

12

AMPLIFY

2013-2014 SPECIAL PROJECT:

THE ART OF INFLUENCE

As conversations heated up around many key issues—including changing assessment programs and defining strong innovative schools—the PIE Network staff anticipated that advocates could use some extra support to hone their communications habits. We showcased the best practices emerging across the Network. We also added expertise from outside the sector—professionals in consumer insight, persuasion, messaging and creative communications—then spread that expertise throughout the Network with ready-made tools and skill-building events.

As is the way with Network innovation, ideas mingled, suggestions surfaced, and new approaches emerged. Here’s a look back at our two-year effort to up the art of influence.

We flipped the model of “opinion research.” In several focus groups across the county, we listened for language regular people use, then spread those insights for testing in more traditional polling, which tends to only rank the phrasing insiders already use.

We highlighted best practices using workbooks and playbooks to spread those ideas across the network and helped advocates develop more strategic habits for building campaigns.

We invested in creative collateral that modeled best practices in “emotional messaging” and built an online resource center for downloading and customizing those assets.

We developed robust messaging guides that went beyond typical talking points to provide insights about nuance, context and how to differentiate messages for different audiences.

We jump-started social media campaigns through matching funds. Combined with expert coaching, this initiative incentivized 9 separate campaigns, resulting in 45,000 new page likes, 327,000 clicks, and 29.3 million views from an investment of $110,000.

We spread lessons learned, embedding this expertise into nearly every PIE Network convening. We were also invited to share this knowledge at other sector meetings, including presentations with partners from CCSSO, NGA, High Quality Assessment Project and America Succeeds. We were part of state discussions, too, such as the Minnesota Chamber of Commerce and the Illinois Education Coalition.

"When my team needed to develop messaging for our testing campaign, I shared PIE's Assessment Messaging Guides as an example of how to do effective messaging that resonates with the emotions of the moveable middle. Having this example made it much easier to prepare them for a new way of talking about the work." KATE DANDO DORAN STAND FOR CHILDREN COLORADO Chris Barron, Communication Director for Partnership for Learning, called the Facebook campaign a “beyond overwhelming success,” citing other Facebook campaigns he’s been involved with that never garnered more than 300-500 page likes.

Often the most powerful way to influence others is through using language that resonates with them. Too often advocates talk largely among themselves in wonky, insider jargon that’s simply mystifying to the broader public.

13

The Network is growing.

Policy PartnersCenter for American Progress

Data Quality Campaign

Advocacy Partners

America Succeeds

Educators 4 ExcellenceFamilies for Excellent Schools

StudentsFirst

The more we grow the more energy we create, attracting more innovators to our network and our cause.

Partner organizations often provide research, capacity, or constituency supports to many state advocacy organizations.

200712 Organizations

10 States

200812 Organizations

13 States

200918 Organizations

15 States

201023 Organizations

18 States

14

201134 Organizations23 States & D.C.

201239 Organizations25 States & D.C.

201345 Organizations28 States & D.C.

201449 Organizations31 States & D.C.

15

Cynthia G. BrownSenior FellowCenter for American Progress

Christine CampbellSenior Research Analyst, Policy DirectorCenter on Reinventing Public Education

Jonah EdelmanExecutive DirectorStand for Children

Kati HaycockPresidentThe Education Trust

Paul HerdmanPresident & CEORodel Foundation of Delaware

Alex Johnston PresidentImpact for Education LLC

Chris Korsmo (Board Secretary)CEOLeague of Education Voters

Suzanne Tacheny Kubach (Ex-officio)Executive DirectorPIE Network

Patricia LevesqueExecutive DirectorFoundation for Florida’s Future and Foundation for Excellence in Education

Deborah McGriff (Board Treasurer)Managing DirectorNewSchools Venture Fund

Michael PetrilliPresidentThomas B. Fordham Institute

Robin Steans (Board Chair)Executive DirectorAdvance Illinois

Tim Taylor (Board Vice Chair)Co-founder and Managing Director America Succeeds

Jamie WoodsonPresident & CEOTennessee SCORE

16

Board of Directors

17

The PIE Network is grateful for the generous support – and partnership – of our many supporters, shown here in proportional order for our resource needs for 2014.

Funders

Financials Sound Fiscal Stewardship and Sustainability

The Network received clean audit results for our 2014 financials. In supplement, we also elected to participate in a performance review through our auditor in an effort to better understand our organizational efficiency and financial health among other non-profits. The PIE Network received impressive scores indicating overall health and sustainability.

Fully audited documents available upon request

18

Total FY 2104Revenue 2,761,832Expenses 1,916,303Change in net assets 845,529Beginning net assets 1,608,703Ending net assets 2,454,232

FY Total ExpensesProgram* $1,739,339 91%Management + general $98,298 5%Fundraising $78,666 4%TOTAL $1,916,303

Sector ScorecardProgram efficiency .91 .70-.88 +3.41Program service expenses/Total expenses Current Ratio 40.77 5-7.5 +443.6%Total current assets/Total current liabilities

Days Cash on Hand 232.21 120-244 0%(Unrestricted cash/total expenses-depreciation & amortization)

Gross program margin 10.4% 11-32% -8.73Gross yield/total unrestricted revenue)

*Program Expense Detail Team $647,705 37%Events, Projects & Outreach $976,672 56%Operating $103,002 6%Depreciation/Amortization $11,960 1%TOTAL $1,739,339

91%

37%

56%

5%

6% 1%

4%

CURRENT PERIOD SECTOR RANGE COMPARES