05 The Financial Case

The board faces a straightforward financial decision. Invest $30K–$100K now to fix the site on your own terms — or spend $50K–$300K+ later under a court order, with no control over timeline, vendor, or scope. Meanwhile, $15M+ in federal funding and 24 district contracts hang in the balance. The math isn’t close.

At a Glance The Math

The simplest way to see it: Every dollar Laradon spends proactively saves three to ten dollars in reactive costs. But the real number isn’t the remediation bill — it’s the $15M+ in annual federal funding that Section 504 puts at risk, the 24 district contracts that Title II threatens, and the $3.5M in annual donations that flow through an inaccessible giving pipeline. Fixing the site isn’t an expense. It’s insurance on Laradon’s entire revenue base.
$30K–$100K
Proactive Cost
$50K–$300K+
Reactive Cost
3–10×
Cost Multiplier
$15M+
Fed. Funding

Proactive investment of $30K–$100K protects $15M+/yr federal funding, 24 district contracts, and $3.5M/yr donation revenue — while avoiding $50K–$300K+ in reactive costs. This is one of the clearest risk-adjusted investments available to the board.

Findings → $ How Technical Failures Create Financial Risk

Each technical finding from What We Found has a direct financial consequence. These aren't theoretical — they're the line items in a lawsuit, an OCR investigation, or a lost contract.

Finding 43 WCAG Violations
↓ creates
$3,500 × 43 = $150,500 in CO HB21-1110 statutory damages — payable directly to plaintiff
↓ plus
$10K–$50K legal defense + $50K–$150K urgency-premium remediation if sued
→ All 43 findings · → Legal exposure
Finding Inaccessible Donation Flow
↓ creates
5 confusing paths, FastAction traps keyboard, counter shows "$16", countdown creates anxiety
↓ costs
$3.5M/yr in donations flowing through inaccessible pipeline. 26% of adults have a disability — every broken path is lost revenue.
→ Finding detail · → Vendor analysis
Finding No WCAG Compliance
↓ creates
Can't certify compliance to HHS OCR by May 11, 2026 deadline
↓ risks
~$15M+/yr in federal funding (CDE + Medicaid waivers) subject to suspension or termination
→ Section 504 analysis · → The Ask
Finding Hover-Only Navigation
↓ creates
Keyboard users can't reach sub-pages → can't certify WCAG to districts
↓ risks
24 district contracts at risk as Title II procurement updates require WCAG warranties from all vendors by April 2026
→ Finding detail · → Flow-down liability

Comparison Proactive vs. Reactive Costs

Estimates merged from UsableNet, Rivenburgh, and audit research — calibrated for Laradon's site complexity (~12 key pages, WordPress/Elementor, 5+ third-party integrations).

Proactive (Planned)
$30K–$100K
  • $8K–$20K — Professional WCAG 2.2 audit
  • $15K–$50K — Remediation sprints
  • $2K–$20K — PDF remediation (PDF/UA)
  • $5K–$15K — Verification / re-audit
  • $2K–$5K — Staff training
  • $2K–$10K/yr — Ongoing monitoring
Reactive (Post-Lawsuit)
$50K–$300K+
  • Court-mandated audit — no choice of firm
  • $50K–$150K — Urgency premium on remediation
  • Court-supervised PDFs — no timeline control
  • $10K–$50K — Court-appointed monitor
  • $10K–$295K — Legal fees + settlement (TestParty)
  • Up to $150,500 — HB21-1110 statutory ($3,500 × 43)
"The court shall award to a prevailing plaintiff damages of three thousand five hundred dollars for each violation."
C.R.S. § 24-85-104(4) — This is the line item that changes everything. Unlike federal ADA, Colorado pays the plaintiff directly.

Revenue What's at Stake

Federal Funding
May 11, 2026 — 84 days
~$18M annual budget, majority from CDE + HCPF/Medicaid waivers (Foundation page). Under Section 504, HHS OCR can terminate funding for non-compliance.
~$15M+/year at risk
School District Contracts
April 24, 2026 — 67 days
24 districts updating procurement under Title II to require WCAG warranties from vendors (DOJ First Steps). Can't certify = contracts at risk.
24 contracts at risk of termination
Donation Revenue
Conversion Loss — Ongoing
Foundation raised $3.5M in FY23-24. 26% of adults have a disability — accessibility is a fundraising conversion issue. Current barriers: 5 confusing donation paths, FastAction modals trap keyboard, counter shows "$16" instead of $2.14M, countdown timer creates anxiety.
$3.5M/yr flows through inaccessible pipeline
Colorado Gives Day
Peak Traffic Risk
Major annual fundraising event. Inaccessible donation flow during peak traffic = lost contributions from donors with disabilities. CO offers a 50% Child Care Contribution Tax Credit for donations ≥$500 — broken flow prevents people from using the incentive.

Insurance D&O and Nonprofit Risk

This audit constitutes formal notice. Insurance for Nonprofits reports that website accessibility lawsuits are increasingly targeting nonprofit organizations. D&O insurance may not cover statutory damages under state laws like HB21-1110 if the board was aware of the risk and failed to act. Receipt of this audit establishes that awareness.

Summary

The Math
Proactive investment of $30K–$100K protects: $15M+/yr federal funding, 24 district contracts, $3.5M/yr donation revenue, and avoids $50K–$300K+ in reactive costs. The ROI is not close — it's one of the clearest risk-adjusted investments available to the board.
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