Compass Platform Terms -- Schools and Districts

These terms apply to schools, school districts, and institutional partners that use the KOTY Compass platform under a service agreement with Kids on the Yard. These terms supplement the Compass Platform Terms of Service and constitute the data processing agreement between the institution ("School") and Limitless Virtue LLC, doing business as Kids on the Yard ("Company").

FERPA Compliance Framework

School Official Designation

Under the Family Educational Rights and Privacy Act (FERPA, 20 U.S.C. Section 1232g), Kids on the Yard acts as a "school official" with a "legitimate educational interest" when providing Compass services under a school or district contract. This designation is made pursuant to 34 CFR Section 99.31(a)(1)(i)(B) and is documented in the service agreement between the School and Kids on the Yard.

As a school official, Kids on the Yard:

• Is under the direct control of the School with respect to the use and maintenance of education records
• Uses education records only for the purposes for which the disclosure was made (providing educational services through Compass)
• Does not redisclose education records except as permitted by FERPA and the service agreement
• Complies with all FERPA requirements that apply to schools and educational agencies

Education Records in Compass

The following student data processed through Compass constitutes "education records" under FERPA when provided by or generated under a school or district contract:

• Student identification and demographic information
• Session attendance and participation records
• Academic progress data, assessment results, and grades
• IEP goals, progress monitoring data, and compliance documentation
• Educator observations, session notes, and behavioral records
• AI-generated summaries, progress reports, and analytics
• Communications between educators, students, and parents through the platform
• Documents stored in the digital vault

Parent and Student Rights Under FERPA

Parents and eligible students (age 18 or older) retain all FERPA rights including:

• Right to inspect and review education records within 45 days of request
• Right to request amendment of records believed to be inaccurate or misleading
• Right to consent before disclosure of personally identifiable information (except as permitted under FERPA exceptions)
• Right to file a complaint with the U.S. Department of Education (Family Policy Compliance Office)

Kids on the Yard facilitates the exercise of these rights through the Compass platform. Parents and eligible students may access, request correction of, or request deletion of Compass records by contacting [email protected] or the School's designated FERPA official.

For full details on FERPA rights, see FERPA Notice of Rights.

Data Processing Agreement

Scope of Processing

Kids on the Yard processes student education records provided by or generated through Compass solely for the purpose of delivering the educational services described in the service agreement. Processing activities include:

• Storage of student records in the Compass platform
• AI analysis of session data to generate progress reports, summaries, and recommendations
• Record retrieval and display to authorized users (educators, parents, school administrators)
• Report generation for IEP compliance, progress monitoring, and institutional reporting
• Data aggregation for anonymized analytics (no individual student identification)

Data Ownership

The School owns all education records provided to or generated through Compass under the school contract. Kids on the Yard does not acquire ownership of any education records through the provision of Compass services. Upon contract termination, all education records are returned to the School or deleted at the School's direction (see Contract Termination below).

AI Processing

Compass uses artificial intelligence to process student data as described in the AI Processing Disclosure. Specifically for schools and districts:

• No model training: Student data is NOT used to train any AI model. Kids on the Yard contractually prohibits its AI providers (including Anthropic and Google) from using Compass data for model training.
• AI outputs are education records: All AI-generated content (summaries, reports, recommendations) is treated as part of the student's education record and is subject to the same FERPA protections, retention rules, and access rights.
• Human oversight: AI outputs are advisory. Educational placement decisions, IEP determinations, eligibility decisions, and disciplinary actions remain the responsibility of the School's qualified personnel. Kids on the Yard does not make or recommend such decisions through AI.

Data Security

Kids on the Yard implements and maintains security measures appropriate for the protection of student education records:

• Encryption: All data encrypted in transit (TLS 1.2+) and at rest (AES-256)
• Access controls: Role-based access limited to educators assigned to the student, authorized Kids on the Yard staff, and School-designated administrators
• Audit logging: All access to education records is logged with timestamp, user identity, and action performed
• Authentication: Multi-factor authentication available for all user accounts
• Infrastructure: Data stored in SOC 2-compliant data centers in the United States
• Personnel: All Kids on the Yard staff with access to education records undergo background screening and receive annual data protection training
• Vulnerability management: Regular security assessments and penetration testing

Data Breach Notification

In the event of a security breach involving education records:

• Kids on the Yard will notify the School within 72 hours of confirmed breach discovery
• Notification will include: nature of the breach, records affected, remediation steps taken, and recommended actions for the School
• Kids on the Yard will cooperate with the School's breach response and notification obligations
• All breach response procedures follow the Incident Response Policy

Sub-Processors

Kids on the Yard uses the following categories of sub-processors to deliver Compass services:

The School has the right to object to a new sub-processor within 30 days of notification. If the objection cannot be resolved, the School may terminate the Compass service without penalty.

A current list of sub-processors is available upon request from [email protected].

Data Retention

Education records processed through Compass are retained in accordance with the Data Retention Policy and the service agreement:

• Records are retained for the duration of the service agreement plus 3 years (for compliance and audit purposes) unless a shorter or longer period is specified in the contract
• The School may request earlier deletion of specific records at any time
• Upon contract termination, records are returned or deleted at the School's direction within 30 days (see Contract Termination)
• Anonymized aggregate data (no individual student identification) may be retained indefinitely for service improvement

Data Location

All education records processed through Compass are stored and processed in the United States. Kids on the Yard does not transfer education records outside the United States.

Contract Terms

Service Agreement

Compass services for schools and districts are governed by an individual service agreement that specifies:

• Scope of services (which Compass features are included)
• Number of students and educators covered
• Contract term and renewal provisions
• Pricing and payment schedule
• Minimum commitment period (if applicable)
• Service level expectations

Contract Termination

Upon termination or expiration of the service agreement:

1. Data return: Kids on the Yard will provide all education records to the School in a common machine-readable format (JSON, CSV, or PDF as appropriate) within 30 days of the termination date
2. Data deletion: After the School confirms receipt of returned data (or upon School instruction to delete without return), Kids on the Yard will delete all education records within 30 days and provide written certification of deletion
3. Survival: Data security obligations, breach notification obligations, and confidentiality obligations survive termination
4. Access during transition: The School retains read-only access to Compass for 30 days after the termination date to facilitate data migration

Annual Review

The School and Kids on the Yard will conduct an annual review of the data processing arrangement to:

• Verify compliance with FERPA and applicable state student privacy laws
• Review and update the list of sub-processors
• Assess data security measures and any incidents
• Confirm data retention and deletion practices
• Address any changes in applicable law

State Student Privacy Laws

In addition to FERPA, Kids on the Yard complies with applicable state student privacy laws. Schools and districts should review the State Privacy Laws section of the Privacy Statement for state-specific requirements. Kids on the Yard does not:

• Sell student data
• Use student data for targeted advertising
• Build profiles of students for non-educational purposes
• Share student data with third parties except as authorized by the School and permitted by law

Audit Rights

The School has the right to audit Kids on the Yard's compliance with these terms and the service agreement:

• The School may request a compliance audit with 30 days written notice
• Kids on the Yard will cooperate with the audit and provide access to relevant records, systems, and personnel
• Audits are conducted during normal business hours and at the School's expense
• Kids on the Yard may provide a recent SOC 2 report or equivalent third-party audit in lieu of a direct audit, subject to the School's acceptance

Contact

For schools and districts:

• Institutional partnerships: [email protected]
• Legal and contracts: [email protected]
• Privacy and FERPA compliance: [email protected]
• Technical support: [email protected]
• Phone: +1 786-382-2000
• Address: 9701 NE 2nd Ave, Suite #1069, Miami Shores, Florida 33138 U.S.A

Governing Law

These Compass Schools and Districts Terms are governed by the laws of the State of Florida, United States, without regard to conflict of law principles. Where these terms conflict with mandatory provisions of FERPA or applicable state student privacy law, the federal or state law prevails. Any legal action or proceeding arising under these terms shall be brought exclusively in the federal or state courts located in Miami-Dade County, Florida.