[00:00:04]
>> GOOD EVENING. I HEREBY CALL TO ORDER THE CALL MEETING OF
[1.0 Call to Order ]
THE CROWLEY ISD BOARD OF TRUSTEES AND CERTIFY THAT WE ARE IN COMPLIANCE WITH THE PROVISIONS OF SECTION 551.041 SUB-CHAPTER C, GOVERNMENT CODE AS AMENDED BY THE 73RD LEGISLATURE, PURSUANT TO PUBLIC NOTICE OF THIS MEETING AND A QUORUM IS PRESENT.I REQUEST THE OFFICIAL ROLL CALL, PLEASE, MR. KIRSHNER.
TRUSTEE PLACE 1, NEDRA ROBINSON.
>> TRUSTEE PLACE 2, DR. LA TONYA WOODSON-MAYFIELD.
TRUSTEE PLACE 3, DR. MIA HALL.
TRUSTEE PLACE 4, JUNE W. DAVIS?
>> TRUSTEE PLACE 5, DARRYL R. DAVIS II?
>> TRUSTEE PLACE 6, GARY GRASSIA?
>> TRUSTEE PLACE 7, KELICIA STEVENSON.
SUPERINTENDENT, DR. MICHAEL MCFARLAND.
>> THANK YOU, MR. KIRSHNER. I EXTEND A WARM WELCOME TO EVERYONE PRESENT FOR TONIGHT'S MEETING.
THE MONTHLY MEETINGS OF THE BOARD ARE OPEN TO THE PUBLIC AND WE ARE PLEASED THAT YOU HAVE JOINED US AS WE CELEBRATE ACHIEVEMENT, REVIEW INFORMATION, AND MAKE POLICY DECISIONS RELATED TO THE EFFECTIVE OPERATION OF CROWLEY PUBLIC SCHOOLS.
COMMENTS OR QUESTIONS FROM THE AUDIENCE WILL BE CONFINED TO THE TIME DESIGNATED FOR CITIZENS TO ADDRESS THE BOARD.
DECORUM AND COURTESY ARE IMPORTANT ELEMENTS IN EFFECTIVE PUBLIC MEETINGS.
PLEASE SILENCE YOUR CELL PHONES OR COMMUNICATION DEVICES BEFORE WE BEGIN OUR PROCEEDINGS.
THANK YOU, AGAIN, FOR ATTENDING AND FOR YOUR INTEREST IN CROWLEY ISD SCHOOLS.
THE BOARD WILL NOW ADJOURN TO EXECUTIVE SESSION PURSUANT TO TEXAS GOVERNMENT CODE
[2.0 Executive Session ]
551.071 FOR PRIVATE CONSULTATION WITH THE BOARD'S ATTORNEY, AND 551.074, PERSONNEL.THE BOARD WILL RETURN IMMEDIATELY FOLLOWING EXECUTIVE SESSION, AND WE ARE ADJOURNING TO EXECUTIVE SESSION AT 6:18 PM.
WE ARE BACK IN OPEN SESSION AT 6:34 PM.
[3.0 Celebrations / Board Points of Pride ]
WE WILL NOW MOVE TO AGENDA ITEM 3.0, CELEBRATIONS AND POINTS OF PRIDE.I WILL YIELD TO MY COLLEAGUES NOW TO OFFER UP THESE POINTS OF PRIDE AS WELL AS CELEBRATIONS.
DO WE HAVE A VOLUNTEER? TRUSTEE DAVIS.
>> THIS POINT OF PRIDE INVOLVES ENROLLMENT EVENT.
ON TUESDAY, JUNE 4TH, OVER 300 FAMILIES VISITED RICHARD J. ALLIE MIDDLE SCHOOL TO COMPLETE THE PROCESS OF JOINING THE CROWLEY FAMILY.
ENROLLMENT ENGAGEMENT EVENT WAS FOR ANYONE ENROLLING AS A NEW STUDENT OR A RETURNING STUDENT TO OUR DISTRICT.
ENROLLMENT DOCUMENTS WERE NOTARIZED ON-SITE, FREE OF CHARGE, AND FAMILIES WERE ABLE TO USE DISTRICT COMPUTERS AND GET QUESTIONS ANSWERED.
[INAUDIBLE] I HAVE ANOTHER REGARDING J.
A. HARGRAVE. THE JA HARGRAVE TALENT SHOW ON MAY 31ST ALLOWED STUDENTS AND STAFF TO SHINE BRIGHT LIKE STARS.
PARTICIPANTS PREPARED 2-3-MINUTE ACTS WHICH WERE ABSOLUTELY AMAZING.
THEY HAD 28 STUDENTS DISPLAYING TALENT, WHICH INCLUDED ARTISTS, DANCERS, SINGERS, A TRADITIONAL CHINESE DRAGON, AND THEY EVEN HAD A CONTORTIONIST.
IN CROWLEY ISD, DIVERSITY IS OUR SUPERPOWER, AND WE ARE PROUD OF THE MIGHTY GATORS.
>> CROWLEY ISD STRONGLY BELIEVES THAT ALL STUDENTS CAN LEARN AT HIGH LEVELS, AND THAT IS WHY WE ARE THRILLED TO LAUNCH THE ADVANCED MATH PROGRAM FOR EVERY INCOMING SIXTH-GRADE STUDENT.
STARTING IN THE 2024/'25 SCHOOL YEAR, THIS TWO-YEAR PROGRAM IS DESIGNED TO PREPARE STUDENTS TO ENROLL IN ALGEBRA 1 BY EIGHTH GRADE.
INCOMING SIXTH-GRADE STUDENTS IN CROWLEY ISD WILL BE AUTOMATICALLY ENROLLED IN ONE OF OUR ADVANCED MATH PATHWAYS WITH THE OPTION TO OPT-OUT.
[INAUDIBLE] FOR MY SIXTH-GRADE TEACHERS IN CREATING THAT. [LAUGHTER]
>> THANK YOU, MADAM SECRETARY. ANOTHER VOLUNTEER?
>> THE 21ST CENTURY GRANT AIMS TO IMPROVE ACADEMIC ACHIEVEMENT AT THE FORT OVERALL STUDENT DEVELOPMENT.
WE ARE SO PROUD THAT DURING THE MONTH OF JUNE, 21ST CENTURY STUDENTS WILL CONTINUE LEARNING [INAUDIBLE].
CROWLEY ISD WILL PROVIDE 25 DAYS OF FREE SUMMER LEARNING WHICH WILL INCLUDE [INAUDIBLE] FIELD TRIP, MEAL, AND AN OPPORTUNITY TO STAY SAFE AND COOL.
THANK YOU TO ALL THOSE WHO MAKE IT HAPPEN FOR THE KIDS EACH AND EVERY DAY.
>> THANK YOU, MADAM SECOND VICE PRESIDENT.
[00:05:02]
>> YES, SIR. FIRST, CHARLESTON STATE UNIVERSITY.
WE ARE THRILLED TO HAVE CHARLESTON STATE UNIVERSITY, FORT WORTH EXPANDING RIGHT HERE IN CROWLEY ISD'S BOUNDARIES.
WITH A MAJORITY OF THE STUDENTS, 65% COMING FROM TARRANT COUNTY, CHARLESTON IS CREATING OPPORTUNITIES FOR STUDENTS WHO WANT A FOUR-YEAR COLLEGE EXPERIENCE CLOSE TO HOME.
THIS AUGUST, THE SCHOOL WILL WELCOME ITS INAUGURAL FRESHMAN CLASS, AND WE CAN NOT BE PROUDER TO HAVE THIS INCREDIBLE HIGHER EDUCATION INSTITUTION HERE FOR OUR STUDENTS. THANK YOU, CHARLESTON.
>> WE HAVE MANY GREAT SUMMER OPPORTUNITIES HERE IN CROWLEY ISD FOR BOYS AND GIRLS.
COMING UP, STUDENTS WILL BE ABLE TO JOIN DALLAS COWBOY OFFENSIVE LINEMAN AND FORMER NORTH CROWLEY HIGH SCHOOL STANDOUT, TYLER SMITH, FOR HIS SECOND ANNUAL FREE YOUTH FOOTBALL CAMP AT THE CISD MULTI-PURPOSE STADIUM ON SATURDAY, JUNE 22ND.
REGISTRATION IS REQUIRED AND SPACE IS LIMITED, SO STUDENTS ARE ENCOURAGED TO SAVE A SPOT EARLY.
THANK YOU TO TYLER FOR DOING THIS.
THANK YOU, MR. FIRST VICE PRESIDENT.
I WILL CLOSE IT OUT BY RECOGNIZING MEADOW CREEK ELEMENTARY.
ON TUESDAY, JUNE 4TH, IT WAS CAREER DAY AT MEADOW CREEK ELEMENTARY, AND WE WOULD LIKE TO THANK OUR COMMUNITY MEMBERS FOR VISITING AND SPEAKING TO OUR STUDENTS ABOUT THE EXCELLENT CAREER OPPORTUNITIES IN THE FUTURE.
THANK YOU TO TARRANT COUNTY COLLEGE, THE FORT WORTH POLICE DEPARTMENT, THE CROWLEY ISD POLICE DEPARTMENT, AND TARLETON STATE UNIVERSITY FOR EXPOSING OUR STUDENTS TO A WORLD OF POSSIBILITIES.
WE WOULD ALSO LIKE TO GIVE A SPECIAL RECOGNITION TO MS. CHELSEA DAVIS, A FORMER MEADOW CREEK STUDENT AND CISD GRADUATE WHO ATTENDED REPRESENTING RONALD MCDONALD HOUSE FORT WORTH.
AGAIN, WE ARE GRATEFUL AND THANKFUL FOR ALL OF OUR COMMUNITY PARTNERS, AS WELL AS ALL OF THE ACTIVITY AND ACCOMPLISHMENTS THAT ARE TAKING PLACE IN CROWLEY ISD.
WE WILL NOW MOVE TO AGENDA ITEM 4.0, THE SUPERINTENDENT'S REPORT.
[4.0 Superintendent Report ]
DR. MCFARLAND, WE ARE IN YOUR HANDS.>> MR. PRESIDENT AND BOARD MEMBERS, WE ARE DEFINITELY EXCITED TO BRING THE SUPERINTENDENT'S REPORT.
WE KNOW THAT IT IS SUMMERTIME AND WE'RE IN THE MIDDLE OF PROFESSIONAL LEARNING AT THE CENTRAL OFFICE AND ALSO PRINCIPAL LEVEL.
HOWEVER, ON OUR CAMPUSES, OUR CAMPUSES ARE FULL OF STUDENTS, SEVERAL CAMPUS ARE FULL OF STUDENTS ENGAGED IN SUMMER LEARNING ACTIVITIES.
I'LL ASK MS. BATISTE TO COME FORWARD AND JUST GIVE US A HIGH-LEVEL OVERVIEW OF OUR ELEMENTARY PROGRAMMING, AND THEN DR. WRIGHT, IF YOU WILL FOLLOW HER WITH JUST A HIGH-LEVEL OVERVIEW OF THE SECONDARY PROGRAMMING THAT'S HAPPENED THIS WEEK OR THE LAST COUPLE OF WEEKS.
>> GOOD EVENING, BOARD PRESIDENT, MR. DAVIS, DR. MCFARLAND, AND BOARD OF TRUSTEES.
TODAY, I'M GOING TO GIVE YOU A BRIEF OVERVIEW OF WHAT'S BEEN HAPPENING WITH OUR SUMMER LEARNING.
BASICALLY, WE STARTED ON THE 28TH.
AT OUR ELEMENTARY LEVELS, WE HAVE SOME STUDENTS WHO ARE IN OUR 21ST CENTURY PROGRAM, AND THEY ARE DOING ALL TYPE OF FUN, STEM-RELATED ACTIVITIES, AS WELL AS COMMUNITY-RELATED ACTIVITIES.
THEN THIS WEEK STARTING ON THE THIRD, OUR PRE-K THROUGH SECOND-GRADE ESL AND BILINGUAL STUDENTS HAVE BEEN AT JUNE DAVIS ELEMENTARY SCHOOL, AND THEY ARE DEEP IN THEIR LEARNING PROCESS.
WE ALSO HAVE OUR SPECIAL EDUCATION EXTENDED SCHOOL YEAR SERVICE AT JUNE DAVIS ELEMENTARY SCHOOL THIS WEEK.
IN ADDITION TO OUR, NOT 21ST CENTURY STEM, BUT OUR ACTUAL STEM ACADEMY AT THE BR JCTE WITH DR. VALENCIA, THEY HAVE QUITE A FEW ACTIVITIES GOING ON.
WE ALSO HAVE OUR FINE ARTS ACADEMY, WHICH IS THAT S. H. CROWLEY, AND THOSE ARE SOME OF OUR ELEMENTARY-AGE STUDENTS THERE TOO.
ALSO, BOARD MEMBERS, WE HAVE PROGRAMMING EVERY DAY 8:00 TO ABOUT 12:30 AT THESE CAMPS, SO ANYTIME YOU WANT TO STOP IN OR STOP BY JUNE DAVIS, CMS, BRJ, SH, THOSE ARE THE MAIN LOCATIONS.
WE'VE CENTRALIZED IT IN THOSE CAMPUSES.
SURELY, AT BRJ, YOU'LL SEE PROBABLY THE MOST SECONDARY STUDENTS.
JUNE DAVIS, YOU'LL SEE MOST OF OUR ELEMENTARY STUDENTS AND THEN AT CMS AS WELL.
THOSE ARE DEFINITELY KEY SPACES TO VISIT IF YOU GET A CHANCE DURING THIS SUMMER.
DR. WRIGHT, WHY DON'T YOU COME UP AND TALK TO US A LITTLE BIT ABOUT WHAT WE'RE DOING AT SECONDARY?
>> GOOD EVENING, MR. PRESIDENT AND DISTINGUISHED BOARD MEMBERS AND DR. MCFARLAND.
I'M PLEASED TO ANNOUNCE THAT OUR SUMMER PROGRAMMING FOR SECONDARY SCHOOLS HAS GOTTEN OFF TO A GREAT START.
WE HAVE LOTS OF NUMBERS AND THEY'RE INCREASING AS WE SPEAK.
[00:10:03]
TONIGHT, I DON'T HAVE ANY NUMBERS FOR YOU FOR END-OF-COURSE PROGRAMMING, BUT THOSE NUMBERS ARE GROWING EVERY DAY AND I EXPECT TO GET THOSE NUMBERS MONDAY, AND I CAN GET THOSE TO YOU AT A LATER TIME.BUT FOR CREDIT RECOVERY, WE HAVE MORE THAN 500 STUDENTS WHO ARE PARTICIPATING.
WE WANT TO MAKE SURE THOSE STUDENTS STAY ON TRACK AND WHEN YOU REACH HIGH SCHOOL, IT IS ABOUT STAYING ON TRACK FOR GRADUATION.
TEACHERS ARE SUPPORTIVE, WE'RE WORKING WITH OUR FAMILIES, AND SO EVERYTHING'S RUNNING VERY SMOOTHLY.
TSI, WE PLANNED FOR 80, AND SO FAR WE HAVE MORE THAN 50 WHO ARE ENROLLED, AND WE EXPECT TO HIT THAT 80 WHEN CAMP BEGINS MONDAY MORNING.
THAT'S WHAT I HAVE TO REPORT TONIGHT. THANK YOU. ANY QUESTIONS?
>> TRUSTEES, ARE THERE ANY QUESTIONS?
>> I'VE HEARD THAT THE STEM CAMP WAS PHENOMENAL.
>> DOES IT WORK? I HEARD THAT THE STEM CAMP WAS PHENOMENAL THIS WEEK AND THERE WERE THREE DIFFERENT FIELD TRIPS.
ONE WAS TO A PLACE THAT BUILDS CUSTOM CARS.
THEN ANOTHER STUDENT WENT TO UNT TO SEE VIRTUAL MEDICAL LABS, AND THE THIRD ONE WAS TO THE ARBORETUM, I'M ASSUMING IN DALLAS, TO SEE THE POLLINATION DEMONSTRATION.
VERY FANTASTIC, JUST EXPOSING OUR STUDENTS TO STEM THROUGHOUT NORTH TEXAS.
THEN AS A PARENT, CHEER CAMP WAS GOING ON THIS WEEK FOR MIDDLE AND HIGH SCHOOL AT RICHARD ALLEY, SO THEY WERE PARTICIPATING FROM MONDAY THROUGH TODAY.
A LOT OF ACTIVITY THIS WEEK FOR STUDENTS AND FAMILIES.
>> AWESOME. THANK YOU BOTH. DR. MCFARLAND?
>> THANK YOU. THANK YOU ALL FOR THE COMMENTS AND FOR THE REPORTS.
ALL THE GREAT THINGS THAT ARE HAPPENING IN CROWLEY ISD.
WE HAVE JUST A FEW ITEMS FOR CONSIDERATION AND POSSIBLE ACTION.
WE'RE GOING TO MOVE NOW TO AGENDA ITEM 6.1,
[6.0 Consideration and Possible Action Item(s) ]
WHICH IS THE EMPLOYMENT OF ADMINISTRATIVE PERSONNEL, JA HARGRAVE ELEMENTARY SCHOOL CAMPUS PRINCIPAL.>> I'LL DO IT, SIR, [INAUDIBLE]. THANK YOU. I RECOMMEND DAVIS JAMMER FOR THE POSITION OF PRINCIPAL AT JA HARGRAVE ELEMENTARY AS PRESENTED.
>> THANK YOU, TRUSTEE DAVIS. IS THERE A SECOND?
>>THANK YOU, SECOND VICE PRESIDENT HALL.
ANY UNREADINESS? HEARING NONE, MOVE TO VOTE, PLEASE.
LET'S MOVE TO VOTE BY A SHOW OF HANDS.
ALL IN FAVOR, PLEASE RAISE YOUR HAND.
THE MOTION PASSES UNANIMOUSLY. THANK YOU.
WE ARE GOING TO SKIP AGENDA ITEMS 6.2 AND 6.3 PER THE RECOMMENDATIONS OF ADMINISTRATIVE STAFF.
WE WILL MOVE TO AGENDA ITEM 6.4, EMPLOYMENT OF ADMINISTRATIVE PERSONNEL, MEADOW CREEK ELEMENTARY SCHOOL ASSISTANT PRINCIPAL.
I RECOMMEND [INAUDIBLE] FOR THE POSITION OF ASSISTANT PRINCIPAL AT MEADOW CREEK ELEMENTARY AS PRESENTED.
>> THANK YOU, FIRST VICE PRESIDENT. IS THERE A SECOND?
>> THANK YOU, SECOND VICE PRESIDENT.
ANY UNREADINESS? HEARING NONE, MOVE TO VOTE, PLEASE.
[00:15:04]
LET'S VOTE BY SHOW OF HANDS.ALL IN FAVOR, PLEASE RAISE YOUR HAND.
THE MOTION PASSES UNANIMOUSLY.
>> AGENDA ITEM 6.5, THE EMPLOYMENT OF ADMINISTRATIVE PERSONNEL, SYCAMORE ELEMENTARY SCHOOL ASSISTANT PRINCIPAL.
I RECOMMEND DR. [INAUDIBLE] FOR THE POSITION OF ASSISTANT PRINCIPAL AT SYCAMORE ELEMENTARY SCHOOL AS RECOMMENDED.
>> THANK YOU, MR. VICE PRESIDENT, IS THERE A SECOND?
>> THANK YOU, MADAM SECOND VICE PRESIDENT.
MOVE TO VOTE BY SHOW HANDS. ALL IN FAVOR? [LAUGHTER] THE MOTION PASSES UNANIMOUSLY. THANK YOU. THERE IT IS.
THANK YOU. AGENDA ITEM 6.6, EMPLOYMENT OF ADMINISTRATIVE PERSONNEL, SECONDARY COORDINATOR OF ENGLISH LANGUAGE ARTS, AND SOCIAL STUDIES.
>> I RECOMMEND LATONYA ROBINSON, FOR POSITION OF SECONDARY COORDINATOR OF ENGLISH LANGUAGE ARTS, AND SOCIAL STUDIES, AS RECOMMENDED.
>> THANK YOU, MADAM SECRETARY. IS THERE A SECOND?
>> THANK YOU, MADAM SECOND VICE PRESIDENT.
ANY UNREADINESS? HEARING NONE, MOVE TO VOTE, PLEASE.
THE MOTION PASSES UNANIMOUSLY.
CONGRATULATIONS TO MS LATONYA ROBINSON.
[7.0 Future Action Item(s) ]
SO WE WILL MOVE TO AGENDA ITEM 7.1 SPECIAL EDUCATION 2024/2025 PROGRAM SOFTWARE RENEWALS, AND CONTRACTED SERVICE PROVIDERS. DR. MCFARLAND.>> MR. PRESIDENT, BOARD MEMBERS, WE'D LIKE TO TAKE THESE NEXT TWO ITEMS TOGETHER IF THAT'S OKAY.
BOTH OF THESE ARE FUTURE ACTION ITEMS, AND SO MR. KIRSHNER WILL BE ABLE TO GIVE US AN OVERVIEW OF BOTH ITEMS, AND THEN WE'LL BE ABLE TO MOVE FORWARD.
>> MR. KIRSHNER. THANK YOU, MR. PRESIDENT, MEMBERS OF THE BOARD AND DR. MCFARLAND.
THE FIRST ITEM YOU'LL SEE THERE IN YOUR BOARD BOOK IS FOR OUR SPECIAL EDUCATION PROGRAM SOFTWARE RENEWALS AND OUR CONTRACTED SERVICE PROVIDERS.
THESE WILL BE FOR OUR 24/25 SCHOOL YEAR.
YOU'LL SEE THE INFORMATION THERE AND THE ALREADY BUDGETED AMOUNT.
THESE ARE NOT ADDITIONAL REQUESTS, THESE ARE ALREADY BUDGETED ITEMS THAT WILL BE COMING TO YOU AT A FUTURE BOARD MEETING.
MS. BATISTE WILL BE ABLE TO ANSWER ANY QUESTIONS YOU HAVE ABOUT THOSE, IF NECESSARY.
THEN THE NEXT FUTURE ACTION ITEM, WE HEARD RECENTLY WHEN OUR SPECIAL SERVICES TEAM WAS HERE PRESENTING ON THE ACCESSIBLE PLAYGROUNDS, A COMMITTEE OF STAFF AND PARENTS AND COMMUNITY MEMBERS MET TO DESIGN THOSE ACCESSIBLE PLAYGROUNDS.
AT A FUTURE MEETING, YOU'LL BE HEARING A RECOMMENDATION FOR THE GENERAL CONTRACTOR.
THAT'S SPLIT UP INTO TWO DIFFERENT BID PACKAGES, COVERING A TOTAL OF 12 DIFFERENT CAMPUSES.
THE SCOPE OF WORK WOULD START IN SEPTEMBER OF 2024 AND BE SCHEDULED TO BE COMPLETED IN MARCH OF 2016 SO WE'RE VERY EXCITED BECAUSE THIS WOULD BE CREATING ACCESSIBLE PLAYGROUNDS FOR ELEMENTARY STUDENTS AT EVERY ELEMENTARY SCHOOL IN CROWLEY ISD.
THAT WILL BE BROUGHT TO YOU AT A FUTURE MEETING.
ARE THERE ANY QUESTIONS ABOUT THOSE TONIGHT?
>> JUST HAVE ONE ADDITIONAL COMMENT. JUST ONE ADDITIONAL COMMENT.
I KNOW THERE WAS A QUESTION ABOUT OUR ACCESSIBLE PLAYGROUNDS.
WE HAVE REACHED THE FIRST POINT OF THE DESIGN, BUT THERE'S STILL OPPORTUNITIES FOR US TO ADD DIFFERENT ITEMS TO THAT DESIGN.
WHAT WE'LL DO IS WHEN WE BRING THE ITEM BACK, WE'LL SHARE WITH YOU THE GENERAL DESIGN THAT WE HAVE.
WE'LL BE LOOKING FOR ANY BOARD INPUT FOR ADDITIONAL ITEMS, AND SO WE STILL HAVE TIME TO DO THAT.
WE'LL BE ABLE TO DO THAT AT THE NEXT BOARD MEETING.
>> SOUNDS GREAT. THANK YOU, DR. MCFARLAND. THANK YOU, MR. KIRSHNER.
>> ALL RIGHT. WE WILL MOVE TO AGENDA ITEM 8.1.
[8.0 Study Session ]
2023/2024, BUDGET STATUS, AND PROJECTIONS, AS WELL AS 2024/2025 PRELIMINARY BUDGET, DR. MCFARLAND.>> MR. PRESIDENT, BOARD MEMBERS, WE ARE EXCITED ABOUT BEING AT THIS BUDGET WORKSHOP.
WHAT WE KNOW IS THAT THIS HAS BEEN A VERY INTERESTING SEMESTER FOR LACK OF A BETTER WORD AS IT RELATES TO FINANCE.
WE ARE AT THE TIME PERIOD WHERE WE WILL ENTER DELIBERATION ABOUT THE BUDGET WITH THE IDEA THAT WE WILL BE PREPARED TO HOPEFULLY APPROVE A BUDGET BY THE END OF JUNE.
WHAT WE'D LIKE TO DO TONIGHT IS JUST TAKE OUR TIME AND JUST BUILD YOUR AWARENESS ABOUT THE INTRICACIES OF THE BUDGET, THE REVENUES AND EXPENSES,
[00:20:01]
AND ALL THOSE OTHER THINGS THAT IMPACT THAT AND REALLY WALK THROUGH THE PROCESS.THIS IS GOING TO BE A WORKSHOP. IF YOU STOP US TO ASK QUESTIONS, MAKE SURE THAT WE ALL HAVE A GOOD UNDERSTANDING OF WHERE WE ARE AND AS WE MOVE FORWARD, WE'LL DEFINITELY TAKE YOUR INPUT.
MR. FISCHER IS HERE PREPARED TO ADDRESS THIS ITEM. MR. FISCHER.
>> THANK YOU, SIR. GOOD EVENING.
MR. PRESIDENT, DISTINGUISHED MEMBERS OF THE BOARD.
TONIGHT, AS WE TAKE A JOURNEY THROUGH SCHOOL FINANCE AND OUR CURRENT SITUATION IF YOU WILL BOTH FOR FISCAL YEAR '23, '24 AND OUR PROPOSED BUDGET, IF YOU WILL WE'LL GIVE A FEW MINUTES TO THAT FOR '24, '25.
IT IS IRONIC DR. MCFARLAND ALWAYS WANTS US TO LEAD WITH THE FINANCIAL BIG 6.
THESE ARE OUR PRINCIPLES, AND THEY REALLY GUIDE WHAT WE DO IN TIMES OF BOTH GOOD TIMES IF YOU WILL AND TIMES OF FINANCIAL TURBULENCE.
WE BRING THESE FORWARD TONIGHT.
I'LL TAKE A FEW MINUTES TO JUST ARTICULATE THESE.
YOU'RE VERY FAMILIAR WITH THESE, BUT I THINK IT IS IMPORTANT FOR THE COMMUNITY AND THOSE PEOPLE THAT ARE PART OF THIS MEETING TO UNDERSTAND WHY WE START WITH THESE FINANCIAL BIG 6.
THE FIRST OF OUR FINANCIAL BIG 6 IS WE TAKE A REALLY CONSERVATIVE APPROACH TO THE REVENUE GENERATORS.
AS WE ESTIMATE REVENUE, WE ARE MORE CONSERVATIVE THAN IF YOU MOVE ON TO APPROACHING AND ADDRESSING, OR IDENTIFYING OUR EXPENSE DRIVERS.
WE TRY TO REALLY MAKE SURE THAT WE CAPTURE THE FULL COST OF EVERY POTENTIAL EXPENSE DRIVER AND ANTICIPATE COST ESCALATIONS WHERE NECESSARY.
BOARD, IS THERE ANY QUESTIONS OR CONVERSATIONS YOU'D LIKE TO HAVE ABOUT WHY WE DO THOSE TWO ITEMS, OR ANY CLARIFICATION NEEDED? WHEN WE SAY WE'VE TAKEN A CONSERVATIVE APPROACH, ANY CLARIFICATION NEEDED ABOUT THAT AND ABOUT THE IMPLICATIONS OF IT?
>> I ALWAYS SAY I APPRECIATE THAT.
I CONTINUE TO APPRECIATE THE CONSERVATIVE APPROACH TO THAT BUDGET.
>> ONE OF THE CHALLENGES THAT IT PRESENTS FOR ME QUITE FRANKLY IS THAT IT CREATES SOME ANXIETY BECAUSE WHAT YOU KNOW IS THAT IF YOU HAVE A CONSERVATIVE APPROACH TO YOUR REVENUE GENERATORS, THAT MEANS YOU HAVE A VERY LIMITED AMOUNT TO PLAN AND BUDGET WITH.
BUT YOU HAVE THE RECOGNITION OF KNOWING THAT YOU'RE GOING TO NEED THE FUNDS AND SO WHEN WE'RE PRESENTING THESE REPORTS, IT MAKES THE REPORTS LOOK NOT AS GOOD QUITE FRANKLY, AND SO YOU'RE TRYING TO FIGURE OUT HOW TO DO A LOT MORE WITH WHAT'S LESS.
BUT THAT IS APPROACH THAT WE'RE STICKING WITH, BUT IT DOES CREATE SOME CONVERSATIONS.
FISCHER, ARE YOU SURE, MAN? HE ALWAYS HAVE A WAY FOR FUNDING RIGHT. GO AHEAD.
>> THANK YOU, DR. MCFARLAND. THANK YOU FOR ACKNOWLEDGING THAT I'VE BEEN ON THE BACK END OF SOME OF THOSE TOUGH CONVERSATIONS AS WELL, SIR.
WE HAVE A STUDENT AND CLASSROOM CENTRIC BUDGET MODEL.
IN TIMES OF FINANCIAL GROWTH, WE WANT TO MAKE SURE THAT WE ARE INCREASING FUNDING RELATIVE TO STUDENTS AND INTO THE CLASSROOM.
IN TIMES OF FISCAL TURBULENCE, WE WANT TO MAKE SURE THAT WE ARE NOT REDUCING AS MUCH AS POSSIBLE THE CLASSROOM EXPENDITURES.
I'LL SPEAK TO THAT MORE LATER.
WE WANT TO MAKE SURE THAT WE ARE CONNECTING OUR EXPENSE DRIVERS TO OUR REVENUE GENERATORS.
WE WANT TO MAKE SURE THAT AS NEW STUDENTS COME IN, THOSE ARE REVENUE DRIVERS ACTUALLY.
WE WANT TO MAKE SURE THAT WE'RE TYING THE APPROPRIATE NUMBER OF TEACHERS TO EACH STUDENT.
THOSE WILL BE EXPENDITURES ASSOCIATED WITH NEW STUDENTS AND GROWTH IN OUR DISTRICT.
WE WANT TO MAKE SURE THAT WE PROTECT OUR FUND BALANCE FOR A RAINY DAY.
BUT THE FLIP SIDE IN THE BALANCING ACT IS WE WANT TO MAKE SURE THAT THE CURRENT STUDENTS AND TAXPAYERS RECEIVE THE BENEFITS AND INVESTMENTS OF THE FUNDS THAT WE'VE BEEN ENTRUSTED WITH IN THE CURRENT YEAR.
THERE'S A BALANCING ACT THERE.
DR. MCFARLAND, DO YOU WANT ME TO GO ANY DEEPER THAN ANY OF THESE?
>> I THINK IT'S GOOD. ONE THING I'D SAY IS THAT IN CASE YOU WERE WONDERING, IT IS RAINING IN THE SCHOOL SYSTEM.
THIS IS NOT ONE OF THOSE NATURAL STONES.
THESE THIS IS A MAN MADE POLITICALLY MADE STORM.
THAT'S JUST THE REALITY. YOU'RE GOING TO SEE IT IN A MINUTE.
I'M JUST TELLING YOU. IT'S A CONCERN.
>> AS WE MOVE ON BOARD, DR. MCFARLAND ALLUDED TO THE FACT THAT OUR OBJECTIVE HERE TONIGHT IS REALLY TO BUILD AWARENESS AROUND THE FINANCIAL STATUS OF THE DISTRICT, WHERE WE ARE TODAY, HOW DID WE GET HERE, WHERE DO WE GO FROM HERE? WHAT ARE OUR REAL KEY DECISION POINTS,
[00:25:02]
AND WHAT ARE OUR NEXT STEPS? THOSE ARE THE THINGS THAT WE REALLY WANT TO TALK ABOUT TONIGHT.BOARD, AS DR. MCFARLAND MENTIONED, IF YOU WANT TO STOP ME OR ASK QUESTIONS, OR ANYTHING LIKE THAT, FEEL FREE TO.
I WILL DEFINITELY ENGAGE OR ENTERTAIN THOSE QUESTIONS.
THE NEXT PAGE OF YOUR PRESENTATION BOARD, YOU'LL SEE THE BUDGET WORKSHOP OBJECTIVES.
AGAIN, WE WANT TO MAKE SURE THAT WE BUILD A SHARED AWARENESS OF THE REVENUE AND EXPENSE DRIVERS AND THEIR IMPACT ON BOTH THE '23, '24 CURRENT YEAR BUDGET AND THE '24, '25 ENSUING YEAR BUDGET.
WE WANT TO SHARE THE IMPLICATIONS OF THE RECENT TAX LEGISLATION.
WE WANT TO IDENTIFY THE KEY POINTS FOR THE TEAM IN RELATION TO THE '24, '25 PROPOSED BUDGET.
WE WANT TO RECEIVE BOARD INPUT ON THE FUND BALANCE PHILOSOPHY.
THAT IS GOING TO BE A REALLY IMPORTANT SALIENT POINT HERE AS WE MOVE FORWARD.
THEN RECEIVE BOARD QUESTIONS FOR ANY FURTHER INVESTIGATION OR INFORMATION THAT THE BOARD MAY NEED.
TONIGHT, WE'LL TALK A LITTLE BIT ABOUT REVENUE GENERATORS AND THEIR IMPACT SPECIFICALLY WITH REGARD TO OUR CURRENT STATUS AND EVEN MOVING FORWARD TO '24, '25.
YOU'LL HEAR SOME CONVERSATION ABOUT AVERAGE DAILY ATTENDANCE.
WHAT WE PLANNED OUR '23, '24 BUDGET ON WAS AVERAGE DAILY ATTENDANCE OF 15,565.
WHERE WE ARE RIGHT NOW IS A LITTLE BIT LOWER THAN THAT.
WE WERE TODAY AT APPROXIMATELY, DR. MCFARLAND, 15,138, I BELIEVE IT WAS.
THAT HAS A FINANCIAL IMPLICATION.
WE PLAN FOR THE REVENUE THAT WILL BE DRIVEN BY THOSE 15,565 STUDENTS AND WE ARE ADA FALLS A LITTLE BIT SHORT FROM THAT TO THE 15,138, I BELIEVE IT WAS.
THERE'S A COST DIFFERENTIAL THERE, A REVENUE DIFFERENTIAL THERE.
WE'LL TALK ABOUT BRIEFLY THE ASSESSED VALUATIONS AND OUR TAX COLLECTION RATE.
BOARD, YOU ARE AWARE THAT WE HISTORICALLY HAVE COLLECTED OUR TAXES ON OR AT APPROXIMATELY 98% ON AN ANNUAL BASIS.
WHAT WE KNOW IS THAT THE ASSESSED VALUATIONS IN OUR DISTRICT CONTINUE TO GROW AND THAT IS A GREAT THING.
BUT AS THE ASSESS VALUATIONS GROW, NOW WITH HOUSE BILL 3 AND THE TAX COMPRESSION, THE TAX RATE DECREASES.
BOARD, YOU'LL REMEMBER, AND I REMEMBER THERE BEING SPECIFIC QUESTIONS ABOUT THIS EARLIER, FISCHER, WHY DO WE PASS A BUDGET PRIOR TO THE TAX RATE? DOES ANYBODY REMEMBER THAT QUESTION EVER COMING UP? THAT IS STATE STATUTE, THAT IS WHAT WE'RE REQUIRED TO DO.
BUT WHAT I'LL TELL YOU IS THAT, DOCTOR MCFARLANE TALKED ABOUT THE STONE.
WELL, THREE DIFFERENT THINGS HAPPENED RELATED TO TAX RATES AND ASSESSED VALUES THIS YEAR.
I DON'T KNOW IF YOU GUYS REMEMBER.
THE FIRST THING WAS IN NOVEMBER AND WE PASSED THE BUDGET IN JUNE.
IN NOVEMBER, WELL, WE WERE PREPARED FOR THAT BECAUSE WE HAD TWO DIFFERENT ESTIMATES, $100,000 ESTIMATE AND THE $40,000 ESTIMATE.
THE HOMESTEAD EXEMPTION MOVED FROM $40,000 TO $100,000.
THERE WAS ALSO A COMPRESSED TAX RATE.
WE PLANNED ON 6-8 PENNIES OF REDUCTION LAST YEAR.
THERE WERE 18 PENNIES WORTH OF REDUCTION.
ALL OF THIS HAPPENED IN AUGUST.
I DON'T KNOW IF YOU REMEMBER THAT BOARD.
BUT THEN LASTLY, THE OVER 65 AND DISABLED FROZEN LEVY TAXES SENATE BILL 2.
THAT HAPPENED, AND WHAT THAT DID WAS OUR DISTRICT LOST $10 MILLION WORTH OF REVENUE.
THOSE ARE THE THINGS THAT HAVE IMPACTED IN AN ADVERSE WAY, SOME OF THE REVENUES AND THE REVENUE GENERATORS IN OUR DISTRICT FOR '23, '24.
[00:30:01]
ESSENTIALLY, THOSE OVER 65 AND DISABLED HOMEOWNERS, THEY RECEIVED ALMOST FIVE YEARS OF COMPRESSION IN ONE YEAR.FIVE YEARS OF COMPRESSION IN ONE YEAR AND DISTRICTS AROUND THE STATE ARE HAVING TO DEAL WITH THAT.
THEN THE LOCAL HOMESTEAD OPTION.
I JUST TALKED ABOUT IT A LITTLE BIT.
THE LOCAL HOMESTEAD OPTION, AS YOU KNOW THE DISTRICT CONTINUES TO MAINTAIN A 10% REDUCTION OR LOCAL HOMESTEAD OPTION FOR THE PEOPLE THAT LIVE WITHIN OUR DISTRICT BOUNDARIES.
THOSE ARE ALL CONSIDERATIONS THAT IMPACT THE REVENUE GENERATORS.
>> GOING BACK TO NUMBER 1, WHAT YOU SAID [INAUDIBLE]
>> YES, MA'AM. I THINK IT IS A LITTLE BIT CLOSER TO THREE.
>> WHAT IS THE COST PER STUDENT IN THAT SHORTAGE?
>> SO GREAT GREAT QUESTION, TRUSTEE ROBINSON. IT'S ABOUT $10,317.
AND THE WAY I GET THAT IS I TAKE THE STATE AND LOCAL REVENUE AND I DIVIDE IT BY OUR ACTUAL ADA.
IT'LL COME UP WITH A 10,317, AND THEN I MULTIPLY IT BY THE VARIANCE OF ABOUT 426 STUDENTS.
YOU'LL SEE, I DID THAT MATH PRETTY QUICKLY, BUT IT'S ABOUT 4.4 MILLION DOLLAR WORTH OF REVENUE LOSS.
>> AND MR. FISCHER, YOU SAID $4.4 MILLION REVENUE LOST ON TOP OF THE $10 MILLION OF REVENUE LOST.
AND THIS IS ALL IN THE FACE OF FUNDING LEVELS FROM 2019.
>> AND ALSO FUNDING ON ADA VERSUS FUNDING ON ENROLLMENT.
>> ABSOLUTELY. AND PRESIDENT DAVIS, I WANT TO BE VERY CLEAR.
IT WAS A $10,000,000 LOSS INITIALLY, AND THE STATE ATTEMPTS TO MAKE UP FOR SOME OF THAT IN THEIR FUNDING FORMULA.
IT'S NOT A DOLLAR FOR DOLLAR REIMBURSEMENT, IF YOU WILL.
AND ULTIMATELY, THE AMOUNT THAT THE DISTRICT WOULD BE RECEIVING BACK IS ONLY ABOUT 2.3 MILLION DOLLARS.
>> I READ AN ARTICLE TODAY ABOUT SCHOOL FINANCE.
WHEN WE TALK ABOUT THE 2019 NUMBER, IT WAS SAYING THAT WE'RE ACTUALLY GETTING LESS THAN IN 2014 BECAUSE IN 2014 THERE WAS 6,000 SOMETHING PER STUDENT.
WHEN YOU LOOK AT 2019, THAT NUMBER WAS LESS THAN IT WAS IN 2014, EVEN WITH HOUSE BILL 3.
AND THEN WE DIDN'T HAVE FUNDING LAST SESSION, SO WE GET FUNDED FOR BY ANYONE, RIGHT? SO IN ESSENCE, WE SHOULD IN SESSION GET FUNDING FOR '25 AND '26, NOT INCLUDING WHAT WE SHOULD HAVE HAD.
SO BASICALLY, WE'RE NOT GOING TO BE ABLE TO RECOUP WHAT WE SHOULD HAVE EARNED AND THEN FACTOR INFLATION.
SO IT WAS JUST SAYING THAT THIS LATEST GOVERNORSHIP, WE RECEIVED LESS FUNDING UNDER HIM THAN WE DID IN 2014.
>> YEAH, TREMENDOUS RESPONSIBILITY THAT SCHOOL DISTRICTS HAVE TO SURMOUNT SOME OF THE CHALLENGES THAT HAVE BEEN PRESENTED, FOR SURE.
>> MR. FISCHER, CAN YOU GO OVER THE 10% HOMESTEAD? WHAT DOES THAT GIVE THE TAXPAYERS? WHAT IS THAT NUMBER THAT THEY RECEIVED, BENEFIT THAT THEY RECEIVED AND THEN I GUESS AN OVERALL, WHAT DOES IT LOOK LIKE FOR THE DISTRICT?
>> SO I DON'T KNOW THE AGGREGATE VALUE OF THE 10%.
I REMEMBER, IF MY MEMORY SERVES ME CORRECTLY, IT MAY BE I CAN'T REMEMBER, I DON'T REMEMBER, I DON'T WANT TO GIVE YOU A FALSE NUMBER.
BUT LET ME TELL YOU HOW IT WORKS.
THE HOMEOWNER, THE MARKET VALUE OR THE APPRAISED VALUE OF THEIR HOME IS REDUCED FIRST BY THE $100,000 HOMESTEAD EXEMPTION, THEN BY THE LOCAL HOMESTEAD EXEMPTION OF 10%.
AND THEN WE APPLY THE SCHOOL DISTRICT TAX TO THAT HOMEOWNER'S PROPERTY.
[00:35:07]
>> ONE OF THE FEW. YES, MA'AM.
>> SO MR. GROSSI, CAN YOU GIVE ME YOUR QUESTION AGAIN? I WANT TO MAKE SURE WE CAN ANSWER THAT AT THE NEXT MEETING.
>> YES. WELL, I WANTED TO KNOW WHAT IS THE VALUE PER $100, WHAT IS IT SAYING TO THE TAXPAYERS?
>> SOMETIMES THEY GIVE YOU AN AVERAGE BASED ON THE AVERAGE VALUE, $200,000, $300,000 IS ONLY A NUMBER BUT THEY'LL JUST GIVE US A FLAT RATE SO THAT WE CAN APPRECIATE WHERE WE STAND AS WE WORK ON?
>> SO I WOULD LIKE THAT NUMBER AS WELL IF YOU COULD.
>> AND THEN I WOULD LIKE TO SEE, JUST TO SEE WHAT THE NUMBERS ARE.
OBVIOUSLY, IT'S EASY TO DIVIDE BY 50 OR TAKE 50%, BUT TO SEE WHAT A 5% VERSUS A 10% BECAUSE ISN'T THAT NUMBER, THAT CAN BE CHANGED AT ANY TIME, CORRECT?
>> YEAH. IT COULD HAVE BEEN, BUT I THINK AFTER THE LAST LEGISLATIVE SESSION, WE COULDN'T CHANGE IT AFTER THAT.
THEY PUT LEGISLATION FORWARD THAT SAID THAT WE CURRENTLY GIVE HOME STATE EXEMPTION, WE HAVE TO KEEP IT, BUT THEY WERE SUPPOSED TO MAKE SOME MODIFICATIONS TO OUR SELLER TO ACCOUNT FOR THAT.
BUT WE DON'T KNOW IF THAT'S HAPPENED OR NOT.
WHEN WE START TO ADVOCATE GOING FORWARD FOR THE NEXT SESSION, ONE OF THE THINGS IS WE WANT TO TRY TO GET LEGISLATION THAT WILL PROTECT DISTRICTS THAT'S GIVING THEIR TAXPAYERS BENEFIT.
WE'RE DOING WHAT THEY WERE SAYING THEY WANT TO DO SO.
THAT'S AN OPPORTUNITY FOR LEGISLATION FOR SURE.
>> DOCTOR MCFARLAND, I BELIEVE THE DATE ON THAT IS 2027.
>> WHEN YOU SAY THE DATE ON THAT, WE HAD TO LEAVE THE EXEMPTION IN PLACE UNTIL 2020?
>> AND AT THE SAME RATE OR ARE THERE EXCEPTION MODIFICATIONS MODIFIER OR ANYTHING?
>> I DON'T KNOW THAT SPECIFICALLY.
>> WELL, I THINK THE OTHER DISTRICT ONLY DOES LIKE TWO OR A FEW.
>> YOU CAN NEGOTIATE. WE CAN SAY.
>> IF WE CAN I GUESS JUST BRIEFLY, NOT NOW, BUT AT A LATER DATE IN TIME, DIVE INTO THAT?
>> AND SO BOARD, WHAT I WANTED TO DO IS TAKE YOU THROUGH BOTH THE ADOPTED BUDGET AND THE NEW PROJECTED YEAR END FOR OUR REVENUE, NEW MEANING MOST RECENTLY.
BOARD, ONE OF THE THINGS THAT I THINK NEEDS TO BE MENTIONED AND/OR EXPLAINED HERE IS WE TALK ABOUT LOCAL TAX REVENUES.
THE BULK OF OUR LOCAL TAX REVENUES ARE RECEIVED DECEMBER THROUGH MARCH.
DON'T KNOW IF EVERYBODY WAS AWARE OF THAT.
WE RECEIVE THOSE TAX REVENUES, THE BULK DECEMBER THROUGH MARCH.
AND SO WHAT WE NOTICED IN MARCH, THAT OUR REVENUES WERE SLIGHTLY LOWER THAN WHAT WE ANTICIPATED.
THEY COME IN INCREMENTALLY, SO THERE'S NO FORM OR FASHION.
YOU SEE A CERTAIN PERCENTAGE IN DECEMBER OR A CERTAIN PERCENTAGE IN MARCH.
IT'S JUST WHEN PEOPLE PAY THEIR BILLS.
BUT WHEN THEY COME IN IN MARCH, AND WE'RE LOOKING AT A MUCH LOWER RATE, I'M CONCERNED, OUR COLLECTED TAXES.
I'M CONCERNED, I'M STARTING TO DO RESEARCH, DUE DILIGENCE, I'M CALLING ALL AROUND TRYING TO FIND OUT, WHAT'S GOING ON HERE? I'M CALLING THE APPRAISAL DISTRICT, I'M CALLING THE TAX ASSESSORS, I'M CALLING THE TEA, EVERYBODY.
AND SO AS WE BEGIN TO DIG AND DO OUR DUE DILIGENCE, WHAT WE HAVE FOUND IS THAT, AGAIN, NOT ONLY IS IT THAT THE TAX COMPRESSION RATE, THIS FROZEN VALUE ISSUE, AND SEVERAL OF THE APPRAISAL DISTRICTS WERE REALLY LATE IN NOTIFYING, AND MAYBE NOT AS FORTHCOMING AS THEY PROBABLY SHOULD HAVE BEEN, ABOUT THESE CHANGE IN VALUES.
[00:40:01]
AND SO THAT IS WHY WE'RE BEGINNING TO REALLY DIG IN AND RESEARCH AND FIGURE IT OUT LIKE IN APRIL AND MAY, SOMETHING IS AMISS.YOU'LL SEE THE IMPACT OF THE ADA.
TRUSTEE ROBINSON, WE TALKED ABOUT THE AGGREGATE DOLLAR AMOUNT, THE IMPACT OF THE TAX LAWS THERE.
THEN THE OTHER ISSUE THAT REALLY CAUSES TURBULENCE IS THE MEDICAID CLAIMING AND THE SCHOOL AND HEALTH RELATED SERVICES THAT THE REVENUE WAS $2.6 MILLION LOWER THIS YEAR.
NOW, THIS ALL STARTED WITH AN AUDIT OF DALLAS ISD AND AUSTIN ISD.
I DON'T KNOW IF Y'ALL ARE FAMILIAR WITH THIS PROGRAM, BUT THIS PROGRAM REALLY REIMBURSES SCHOOL DISTRICTS WHEN THEY SERVE KIDS THAT QUALIFY FOR MEDICAID FOR VARIOUS NEEDS THAT THEY MAY HAVE.
IN THIS PARTICULAR INSTANCE, I'M NOT SURE WHY THEY DECIDED TO CHALLENGE FISCAL YEAR 2011 COST REPORTING, BUT THEY BEGAN TO DISALLOW THE SAMPLING METHODOLOGY THAT WAS USED IN THIS PARTICULAR INSTANCE.
AGAIN, I SAY IT STARTED WITH DALLAS ISD AND AUSTIN ISD, BUT NOW HAS MATRICULATED DOWN THROUGH OUR DISTRICT FOR SURE.
I WON'T SAY EVERY DISTRICT BECAUSE I DON'T KNOW THEIR SITUATION.
BUT FOR OUR DISTRICT AS WELL, WHERE THEY ARE DISALLOWING SOME OF THE RANDOM MOMENT TIME STUDIES, WHICH BASICALLY SAYS THIS PARTICULAR PROVIDER WAS WORKING ON THIS WITH THIS STUDENT AT THIS PARTICULAR TIME, AND NOW WE'RE ABLE TO BE REIMBURSED FOR THAT PARTICULAR PROVIDER'S SALARY OR SERVICES.
>> SO YOU'RE SAYING THAT THEY WERE ABLE TO GO BACK AND AUDIT SOMETHING 13 YEARS AGO AND THEY RECAPTURED $2.6 MILLION?
>> MS.BATISTE, I'M NOT RIGHT ABOUT THAT. I HAVE IT HERE.
IT SAYS FISCAL 2011 COST REPORTING PERIOD.
>> IS THERE HOW FAR THAT THEY GO?
>> PART OF THAT IS NOT JUST THE AUDIT, IT'S SOME RECONFIGURATION DONE THE FEDERAL LEVEL ON HOW MUCH YOU'RE PAYING OUT FOR MAC AND SHARS AND STATE.
SO THERE IS ALMOST ANOTHER BOARD OR SESSION JUST ABOUT MAC AND SHARS CHANGES.
IT IS A HIGHLY REGULATED PROGRAM.
AND SO WHEN YOU DO THE REGULAR MOMENT TIMESHARE AUDITS, THINGS LIKE THAT ARE RED FLAGS WHEN YOU'RE ALREADY LOOKING FOR WAYS TO CUT FUNDING.
SO WE NEED MORE INFORMATION. BUT IN SEVERAL BUSINESS ACROSS THE STATE PRETTY MUCH, I WON'T SAY ALL, BUT IT FEELS LIKE ALL OF THEM ARE REVIEWING OUR NEW BIG CUTS TO THEIR MAC AND SHARS.
AND AS YOU ALL SEE, PROBABLY WE HAVE BEEN GOING PRETTY WELL AT 3.8 AND ALL THE WAY DOWN EARLIER.
I KNOW EARLIER THIS YEAR WHEN WE WERE LOOKING AT IT WE WERE THINKING WE WERE GOING TO BE PULLING OUT OF THE TOP.
AND MR. FISCHER HAS BEEN DOING THE DUE DILIGENCE OF CONTESTING? SO WE ARE CURRENTLY STILL CONTESTING AND WE'RE ON OUR SECOND APPEAL?
>> SO WE'RE FIGHTING TO GET BACK.
>> AND THERE WAS NO LEGISLATION CHANGED.
THERE WAS NO INDICATION PRIOR TO THAT SOMETHING WAS HAPPENING ON THE FEDERAL LEVEL.
>> THERE'S NO LEGISLATION CHANGE, BUT DR. MCFARLAND, I THINK AT THE LAST BOARD MEETING GAVE, OR THE BEFORE THAT, A PACKET OF PARTICULAR CONCERNS THAT THE LEGISLATORS ARE TAKING UP.
AND MAC AND SHARS BILLING SHAR IS IN THAT PACKET THAT YOU GOT WAS PRINT OUT.
SHARS IS ON THE TABLE AND OUR LEGISLATORS ARE SUPPOSED TO BE LOOKING AT SHARS REIMBURSEMENT.
SO IT'S A CONCERN AND IT AFFECTS ME MORE THAN JUST SCHOOL DISTRICT.
IT ALSO IMPACTS ON MEDICAL PROVIDERS TO DO SOMETHING.
>> COULD IT HAVE ANYTHING TO DO WITH AN INCREASE IN NUMBERS SINCE 2011 THAT WOULD CAUSE THEM TO QUESTION OR ANYTHING LIKE THAT? BECAUSE I KNOW WE HAVE CERTAINLY IMPROVED IN OUR IDENTIFICATION SYSTEM.
[00:45:03]
AND I KNOW BUT I JUST THINK OF WHY.>> WELL, TYPICALLY, YOU HAVE FLAGSHIPS LIKE THE DALLAS ISD, THAT IS LARGE OR AUSTIN ISD WHICH IS LARGE.
AND LET'S SEE YOU DO AN AUDIT AND SOME OF THESE IN HOUSTON IS OUR PROVIDER, IT'S CALLED HFCS.
AND SO THEY BASICALLY WILL DO A RANDOM AUDIT, AND SO THERE MUST HAVE BEEN SOMETHING IN THE AUDIT THAT MADE THEM SAY.
AND SO IT COULD BE THROUGH SOME OF THE PRACTICES AND TRAINING THAT ARE BEING DONE IN TEXAS.
BUT AGAIN, WE HAD AN AUDIT ABOUT FOUR YEARS AGO AND WE CAME OUT PRETTY GOOD.
BUT WE CONTINUED TO ASK OUR PERSONAL CARE IS WHERE YOU GET THE BULK OF THE MONEY.
SO THAT'S WHEN I'M GETTING SOME ONE-ON-ONE SERVICES IN THE CLASSROOM FOR A CHILD WHO HAS AN IEP BECAUSE YOU HAVE TO HAVE AN IEP2 OR A SECTION 504 PLAN.
AND THEY ALSO HAVE TO BE BILLABLE, WHICH MEANS THAT YOU HAVE TO HAVE CONSENT.
SO WE'RE NOT TOO SURE EXACTLY WHAT THE STATE IS LOOKING FOR OR WHAT THE FEDERAL GOVERNMENT IS LOOKING FOR, BUT IT IS UNDER VERY, I WOULD SAY, A VERY DIRECT MICROSCOPE ON HOW MUCH THEY RELEASE TO THE SCHOOL DISTRICTS AT THIS TIME.
>> AND SO BOARD, I WILL MOVE ON NOW IF THERE ARE NO QUESTIONS RELATIVE TO THE REVENUE DRIVERS.
I'LL MOVE ON NOW TO THE EXPENSE DRIVERS.
AND THIS IS WHAT WE TALKED ABOUT HERE BRIEFLY: THE AVERAGE DAILY ATTENDANCE, THE ASSESSED VALUES, TAX RATE COLLECTION RATE, AND THE LOCAL HOMESTEAD OPTION.
THOSE ARE THE THINGS THAT ARE DRIVING THE REVENUES THAT HELP TO SUPPORT AND PAY FOR THESE ITEMS HERE ON THE EXPENSE SIDE.
AND SO BOARD, THE FIRST SLIDE YOU'LL SEE IS WE GAVE OUR YEAR END PROJECTION, I BELIEVE IN FEBRUARY OR MARCH, AND WE PROJECTED TO THE BOARD APPROXIMATELY A $16,000,000 DEFICIT WITH $196,000,000 IN EXPENDITURES.
AND YOU'LL SEE THAT HERE, BOARD.
AND ON THE NEXT PAGE, WHAT YOU'LL SEE IS THE EVIDENCE OF THE BUDGET REDUCTIONS THAT DR. MCFARLAND AND THE ADMINISTRATIVE TEAM ACTUALLY IMPLEMENTED.
AND SO WHAT YOU'LL SEE IS A REDUCTION DOWN TO APPROXIMATELY A 188 MILLION, WHICH IS ABOUT $8,000,000 LESS THAN 196 THAT WAS ORIGINALLY IDENTIFIED AS A PROJECTED YEAR END.
SO SIGNIFICANT PROGRESS IN EXECUTING THE BUDGET REDUCTION STRATEGIES THAT DR. MCFARLAND PUT TOGETHER FOR OUR ADMINISTRATIVE TEAM TO EXECUTE.
ANY QUESTIONS THERE, BOARD? AND SO WE MOVE ON TO '24, '25, THE PROPOSED BUDGET.
AS IT STANDS VERY PRELIMINARY RIGHT NOW, THERE'S A LOT OF MOVING PIECES, OBVIOUSLY.
WE'VE PROJECTED THE REVENUES AT APPROXIMATELY 172 MILLION.
WE PROJECTED THE PLANNED EXPENDITURES AT APPROXIMATELY $100,000,000.
AND SO BOARD, ONE OF THE THINGS THAT WE ARE WANTING IS JUST INPUT FROM THE BOARD, THESE ARE DECISION POINTS.
AND WE WILL LOOK TO RECEIVE THAT INPUT FROM YOU AT YOUR CONVENIENCE.
>> I WAS JUST GOING SAY, IS THIS A 22 MILLION DOLLAR DEFICIT?
>> IT IS APPROXIMATELY. BUT TRUSTEE ROBINSON, THERE ARE SO MANY DIFFERENT THINGS THAT WE'VE DONE IN THERE.
WE'VE PLACED SOME OF THE POSITIONS THAT ARE PREVIOUSLY IN TITLE 1 UNTIL WE CAN AFFIRM AND CONFIRM, IF YOU WILL, THE TITLE 1 ALLOCATIONS, WE PLACED THOSE IN 199.
SO THERE ARE SEVERAL POSITIONS THAT ARE IN OUR GENERAL OPERATING BUDGET BECAUSE OUR STUDENT NEEDS DON'T DISSIPATE.
THEY HAVEN'T GONE AWAY WITH THE ESSA FUNDING OR ANYTHING LIKE THAT.
[00:50:03]
THE STUDENT NEEDS ARE STILL THERE.SO THESE ARE IMPORTANT ENOUGH THAT WE BELIEVE WE NEED TO INCLUDE THEM IN THE BUDGET TO MAKE SURE THAT THEY ARE ACCOMMODATED FOR.
BUT THERE ARE OPPORTUNITIES FOR GRANT FUNDING AND TO MOVE SOME OF THESE POSITIONS INTO THOSE GRANT FUNDS AT A LATER DATE.
>> FOR OUR FUNDING FUNDS, SOMETHING LIKE MILLION? WELL, I KNOW THE PERCENTAGE HAVE A HEALTHY FUND BALANCE, BUT WITH THIS AND I GET WHAT YOU'RE SAYING, YOU HAVE CHARGE A LOT TO 139 IN ANTICIPATION THAT WE CAN CHARGE?
>> BUT WORST CASE SCENARIO AT THIS POINT, TO LEAVE A BALANCE AROUND 14 MILLION, AND THAT IS WHAT YOU ARE SAYING? ENDING BALANCE OF 14 MILLION?
I THINK IT GOT CUT OFF OR SOMETHING LIKE THAT.
>> I SEE BEGINNING FUND BALANCE AND IF I'M READING WRONG, AM I ON THE RIGHT PAGE?
>> AND THEN ENDING COMES OUT IS 14 MILLION?
>> YEAH. THAT IS WHAT IS ARTICULATING.
I THINK SOMEHOW THE NUMBERS MAY HAVE GOTTEN.
>> WELL, BECAUSE WHAT IS A HEALTHY FUND BALANCE RIGHT AROUND.
>> YEAH. FOR US, WE'RE REFUSING [OVERLAPPING].
>> AND THAT'S ONE OF THE QUESTIONS.
I MEAN THESE NUMBERS ARE [OVERLAPPING].
>> THAT'S WHY WE PUT THEM ON THE WORST CASE SCENARIO BECAUSE THE WORST CASE SCENARIO IS THAT WE WOULD BE AROUND 12% AND WHAT OUR TARGET'S LIKE 17-21%, WE STAYED AROUND 26, 27%.
BUT THE TARGET HAS BEEN 17-21 IN TOTAL.
>> WHAT'S THE TARGET NUMBER THOUGH? I MEAN, YOU KNOW HOW MUCH TIME YOU'RE IN NOW?
>> YEAH. IT'S WHAT YOU RECALL.
SO 37 MILLION IS RIGHT AT 27%. SO IT'S RIGHT IN THERE.
AND SO ONE OF THE THINGS IS, WHEN WE LOOK AT THIS, THERE ARE MULTIPLE, AGAIN, I KEEP SAYING THIS, BUT WHEN WE TALK ABOUT CONSERVATIVE, THIS IS A CONSERVATIVE NUMBER FOR REVENUE ESTIMATES OF 172 MILLION, WHICH YOU SEE IS SIGNIFICANTLY LOWER EXPENSE DRIVERS.
THINGS THAT ARE NOT CONSIDERED, NOT INCLUDED IN THIS CALCULATION IS, AS WE MENTIONED, THERE'S ABOUT 4 MILLION IN THE TITLE 1 STAFFING THAT WE HAVE THIS YEAR THAT WE MOVED OUT OF TITLE 1 INTO 199 UNTIL WE GOT ASSURED THAT WE'RE GOING TO GET THE TITLE.
BY THE TIME WE GET TO THE END OF JUNE, THEN WE'LL HAVE THAT AMOUNT FROM TITLE 1 BE INCLUDED.
THE OTHER THING IS WORKMAN'S COMP RIGHT NOW WE HAVE ABOUT 5 MILLION IN THE WORKMAN'S COMP ACCOUNT, AND WE'LL BE ABLE TO USE SOME OF THAT SOME OF THE FUNDS IN WORKMAN'S COMP TO ALSO GIVE US ADDITIONAL REVENUE TO WORK WITH.
BUT THE REALITY IS IT'S STILL GOING TO BE HARD FOR US TO GET TO THE 21%.
I THINK WE JUST WANT TO HEAR FROM THE BOARD, BUT I THINK THAT REALISTICALLY 12-17%, REALLY 17% IS PROBABLY AS CLOSE AS WE CAN GET TO THE RANGE.
AND THAT WILL US REDUCING THESE FEES SIGNIFICANTLY PROBABLY ABOUT $4-5 MILLION AND THEN ALSO GIVE ANOTHER 5 MILLION OR SO IN REVENUE.
WE'LL HAVE TO START A YEAR OFF TO START A OFF BUDGET REDUCTION MODE.
>> THE REAL CONCERN AS I SEE, IT IS THAT WE'RE GOING TO HAVE TO DIP INTO OUR FUND BALANCE.
AND WITHOUT ADEQUATE SCHOOL FUNDING, AND I KNOW WE'RE GOING TO BE CREATIVE AND COME UP WITH SECURED GRANTS AND ALL OF THAT.
BUT TO HAVE TO RELY ON GRANTS IS NOT A REAL WAY TO DO BUSINESS.
IN MY OPINION, IT CERTAINLY HELPS.
BUT THE CONCERN IS IF WE HAVE TO DIP INTO OUR FUND BALANCE NOW, AND THEN GOING FORWARD WITHOUT ADEQUATE SCHOOL FUNDING, WE HAVE TO KEEP DIPPING INTO FUND BALANCE.
WHERE DOES IT STOP IN THE PRECARIOUS POSITION THAT PUTS US IN AND NOT JUST US, OTHER SCHOOL DISTRICTS AS WELL.
>> SO THAT'S A REAL CONCERN WITHOUT ADEQUATE SCHOOL FUNDING.
AND I THINK IT'S GOING TO BE CRITICAL FOR NOT JUST US, BUT ALL DISTRICTS IN THE STATE FOR US TO BE REALLY INTENTIONAL ABOUT OUR ADVOCACY,
[00:55:04]
BECAUSE WHAT HAPPENS IN THE NEXT SESSION IS GOING TO DETERMINE WHETHER PUBLIC SCHOOLS IN MY OPINION, CONTINUE TO BE ABLE TO FUNCTION IN THE WAY THAT WE ARE.WE'RE FUNDING A LITTLE IN 2019, AND THAT'S THE REALITY.
WE HAVE TO HAVE SCHOOL, AND WE'RE GOING TO DO THAT.
BUT THE REALITY IS, THERE IS NO SUCH THING AS DOING MORE WITH LESS.
WE'RE JUST TRYING TO DO THE BEST WE CAN WITH WHAT WE HAVE.
AND I THINK OFTENTIMES PEOPLE THINK THAT YOU CAN CUT AND NOT HAVE AN IMPACT.
THE REALITY IS WHAT YOU'RE LOOKING AT IS WITH $8-10 MILLION REDUCTION THAT WE'VE ALREADY DONE THIS YEAR.
THAT'S WHAT WE'VE ALREADY DONE.
AND SO TO HAVE TO GO IN THAT PROCESS AND DO IT AGAIN AND AGAIN IS NOT GOING TO BE A SUSTAINABLE SITUATION.
BUT I FEEL LIKE WITH THE REVENUE GENERATION EFFORTS AND WITH SOME OTHER EFFORTS, WE'LL BE ABLE TO BRIDGE THE GAP, BUT THERE'S NOT A SUSTAINABLE MODEL.
>> AND I THINK I SAID BEFORE TOO, ALL OF THE GRIPES ABOUT PUBLIC EDUCATION AND PUBLIC SCHOOLS AND WHAT WE'RE NOT DOING.
AND THEN YOU TAKE MONEY OR WITHHOLD MONEY SO THAT WE COULD DO MORE.
BUT YOU WITHHOLD THE MONEY AND NOT LET US DO WHAT WE NEED TO DO TO EDUCATE STUDENTS IN THE PUBLIC SCHOOL BECAUSE YOU WANT TO GET PRIVATE SCHOOL.
>> MR. FISCHER, IF WE CAN TAKE JUST A STEP BACK, BECAUSE I'M JUST LOOKING FOR CLARITY ON WHERE WE ARE ENDING FISCAL YEAR 23/24.
BECAUSE WHEN I LOOK AT WHEN I GO BACK TO, I'M SORRY, THESE PAGES AREN'T NUMBERED, SO I MAY GET THEM WRONG.
WHEN WE LOOK AT OUR REVENUES, WE'RE PROJECTED TO BRING IN $172,934,591.
OUR ADJUSTED EXPENDITURES FOR THIS YEAR ARE 188 MILLION.
WE'RE TALKING ABOUT A $16,000,000 SHORTFALL THIS YEAR?
>> YES, SIR. ABOUT 15, WE'LL END UP AT ABOUT 22 MILLION TO ANSWER YOUR QUESTIONS.
>> WE'LL END UP AT ABOUT 22 MILLION SHORTFALL?
>> OUR ENDING FUND BALANCE. OKAY. I GOT YOU.
>> THIRTY SEVEN MILLION IS WHERE WE ARE NOW.
OUR CURRENT FUND BALANCE IS ABOUT $37,000,000, 37,000,000-15 PUTS YOU RIGHT OF ABOUT 22.
>> TWENTY THREE, TWENTY FOUR, I'M SAYING OUR NET REVENUE FOR 23/24 IS GOING TO BE A NEGATIVE $16,000,000 BASED ON THE FIGURES THAT YOU'RE SHOWING HERE.
OKAY. NOW, WE'RE GOING TO TAKE YOU'RE SAYING 15 MILLION FROM THE FUND BALANCE TO COVER THAT $16,000,000 DEFICIT, RIGHT?
>> I THINK WE'RE SAYING THE SAME THING.
>> I FOUGHT THAT I FELT LIKE YOU WERE GOING TO END FOR THE SURPLUS THIS YEAR.
AND WE'RE NOT TALKING ABOUT LIKE THE YEAR WE'RE SITTING IN?
>> WHEN YOU PROJECTED IT HERE, YOU HAD OUR ADOPTED BUDGET, PROJECTED BUDGET, AND THE VARIANCE WHICH I GUESS [INAUDIBLE] PROJECTION? [OVERLAPPING] BECAUSE IT LOOKS LIKE YOU YOU WERE ABLE TO RECRUIT TWO [INAUDIBLE].
>> NO, MA'AM. THAT'S JUST COMPARING THE DIFFERENCE, THE VARIANCE BETWEEN THE BUDGET NUMBER 190 MINUS THE PROJECTED YEAR END OF [OVERLAPPING].
>> FUND BALANCE, FACTORED INTO THOSE PROJECTIONS, RIGHT?
>> WELL, THE INITIAL PROJECTING, YES, THERE WAS A FUND BALANCE UTILIZATION OF ABOUT $8,000,000.
FOR 23/24, WE APPROVED A BUDGET THAT HAD [OVERLAPPING].
THAT'S WHAT I'M TRYING TO GET CLARITY ON.
RIGHT NOW, OUR PROJECTED REVENUE, THESE ARE ADJUSTED NUMBERS BASED ON THE REVENUE ADJUSTMENTS, RIGHT?
>> OUR PROJECTED REVENUE FOR 23 24 IS $172 MILLION.
>> WITH ALL OF THE BUDGET CUTS AND EVERYTHING THAT WE'VE DONE OR THE BUDGET REDUCTIONS AND WHATNOT?
>> OUR EXPENDITURES ARE $188 MILLION.
[01:00:02]
>> THAT'S A DIFFERENCE OF THAT $16,000,000 THAT WE ARE SHORT.
WE'RE BRINGING IN $16,000 LESS THAN WE NEED TO OPERATE THE DISTRICT.
>> THAT $16,000,000 SHORTFALL, YOU'RE SAYING WE'RE PULLING 15 MILLION OF IT OUT OF FUND BALANCE?
>> ESSENTIALLY, ALL OF IT WOULD BE OUT OF FUND BALANCE.
THAT'S WHY I MENTIONED THE 37 MILLION IN CURRENT FUND BALANCE, THE ENDING FUND BALANCE FROM 2022, 23 IS 37 MILLION APPROXIMATELY 37 MILLION.
OKAY. MINUS THE 15 OR 16, AS YOU SAY, WILL LEAVE US WITH 22 OR 21 MILLION IN FUND BALANCE.
OKAY. THAT'S WHAT I'M TRYING TO MAKE SURE. I UNDERSTAND.
>> WE ARE HAVING TO COVER THE $16,000,000 DEFICIT OR DIFFERENCE BETWEEN OUR REVENUES AND OUR EXPENDITURES OUT OF FUND BALANCE.
IT'S ALREADY GOING DOWN FROM $32,000,000.
I MEAN, $37 MILLION TO $22 MILLION.
WE ARE GOING INTO 24/25 WITH A $22,000,000 FUND BALANCE.
>> [INAUDIBLE] WHICH IS WHY I'M ASKING THE QUESTIONS BECAUSE I'M HAVING TO LOOK AT THERE'S SO WE DON'T HAVE ONE FULL BUDGET LOOKING AT REVENUE AND EXPENSES ON ONE SHEET.
SO I'M HAVING TO GO AND LOOK AT THE PROJECTED REVENUES FROM [OVERLAPPING] I'M TRYING TO FIGURE OUT WHERE ARE WE ENDING THIS YEAR?
SO LET ME SHOW THE WORST CASE SCENARIO AT THE WORST CASE SCENARIO YEAR 2024 25.
>> THAT'S GOING TO COME FROM 37, RIGHT?
>> NO. WE WON'T HAVE 37 GOING INTO 24/25, WHICH IS-
>> IF I MAY ANSWER. IF YOU SEE HERE, THE UTILIZATION OF FUND BALANCE IS THE 22971.
THAT NUMBER REALLY SHOULD BE THE BEGINNING FUND BALANCE FOR 24/25.
>> THE 22 MILLION IS THE BEGINNING FUND BALANCE?
>> BECAUSE 15-16 MILLION OF THE FUND BALANCE IS GOING TO BE USED TO COVER 23/24.
WE'RE NOT STARTING 24/25 WITH 37 MILLION.
WE'RE STARTING WITH 22 MILLION, CORRECT.
BECAUSE WE'RE STARTING WITH 22 MILLION AND WE SEE A $22,000,000 DEFICIT, THIS ULTIMATELY COULD DRAIN THE FUND BALANCE, IF I'M UNDERSTANDING CORRECTLY BASED ON WHAT'S PRESENTED, RIGHT?
>> ANYTIME THAT THE REVENUES EXCEED THE EXPENDITURES, IT'S GOING TO HAVE AN IMPACT.
>> I THINK THE WAY THAT I SEE IT EXPLAIN THE WAY THAT WE'RE ACTUALLY WE'RE GOING TO TAKE OUT MORE THAN WE HAVE.
>> OR WE'RE GOING TO TAKE ALL THAT WE HAVE.
>> [OVERLAPPING] I'M HEARING KIM SAYING. THAT'S WHY I FEEL LIKE I'M CONFUSED, BUT IT'S COOL.
I FEEL LIKE I NEED A PAGE THAT LOOKS LIKE 24/25.
>> I FEEL LIKE THERE'S A GAP THAT WE'RE TRYING TO BRIDGE HERE BETWEEN THE TWO YEARS TO SEE LIKE I NEED MY FINAL CHECK AND BALANCE FOR 24/25, MEAN FOR 23/24, AND THEN I NEED YOU TO TALK ABOUT THE BUDGET FOR 24/25 SO I CAN SEE LIKE-
>> WHAT I HAVE TO PULL OUT OF MY SAVINGS?
>> YEAH. IT JUST SEEMS LIKE THERE'S SOMETHING [INAUDIBLE]
>> WHICH IS THE SPECIFICATION I WAS TRYING TO GET TO.
>> FISCHER, I KNOW YOU SENT AN E MAIL TO ME THAT HAD THAT DETAIL ON IT.
>> IF YOU GIVE US A SECOND, THEN WE'LL GET THAT ACTUAL EXCEL SPREADSHEET UP SO YOU CAN SEE IT WHERE WE PULLED ALL THE NUMBERS FROM.
BUT WHILE WE'RE DOING IT, JUST TO TRY TO MAYBE BRING SOME UNDERSTANDING TO IT.
THE PAGE THAT HAS THE 2023 ADOPTED BUDGET THE REVENUE.
[01:05:05]
AT THE BOTTOM OF THE PAGE, YOU SEE THERE IS A $9,000,000 VARIANCE. YOU SEE THAT? BASICALLY WHAT IN A NUTSHELL HAPPENED IS ALL THE THINGS THAT HAPPENED WITH REVENUE RESULTED IN US RECEIVING $9,000,000 LESS IN REVENUE THAN WHAT WE ACTUALLY BUDGETED FOR.>> THAT CREATED ONE PART OF THE CHALLENGE.
YOU HAD THE REVENUE SITUATION THAT OCCURRED WITH TAX AND ALL THAT STUFF, AND THEN THE EXPENSE PART IS ON THE OTHER SHEET, WHICH SHOW ALTHOUGH WE REDUCED BY EIGHT MILLION, WE STILL WE WERE NINE MILLION IN THE HOLE.
ANYWAY, IT'S KIND OF A IT WAS A DOUBLE WHAMMY AS IT RELATES TO THAT, BUT LET ME SEE-
>> I THINK WE'RE GETTING CAUGHT UP ON THE VARIANCE.
THE VARIANCE NUMBER IS THE DIFFERENCE BETWEEN BUDGETED AND WHERE WE ACTUALLY ARE GOING TO END.
>> THAT'S SAYING WE'RE BRINGING IN 9.2 MILLION DOLLAR LESS THAN WE HAD BUDGETED FOR.
THE ACTUAL NUMBER THAT WE'RE WORKING WITH [NOISE] OF MONEY THAT WE CAN SPEND IS 172 MILLION.
BUT WE ARE PROPOSED TO SPEND 188 MILLION.
WHICH MEANS THERE'S A $16,000,000 SHORTFALL THAT WE'RE HAVING TO TAKE OUT OF THE SAVINGS ACCOUNT THAT HAS $37 MILLION IN IT.
WE'RE HAVING TO FILL THE $16 MILLION FROM THE 37 MILLION.
>> I SEE THE PROJECTOR HERE AT 170, 000,000 [INAUDIBLE]
>> BUT I THINK FOR ME, I JUST NEED TO SEE BECAUSE WHEN WE ADOPT A BUDGET, WE ADOPT THE BUDGET GOING INTO THE FUND BALANCE.
WE KNOW THAT WE WERE GOING INTO THE FUND BALANCE.
>> FOR ME, WHAT I CAN'T CLEARLY SEE FOR MYSELF BECAUSE THIS IS NOT MY [INAUDIBLE] NECESSARILY, IS THAT I CAN'T SEE WHERE YOU SAVED MONEY BECAUSE YOU STARTED MAKING CUTS, YOU DID SOME DIFFERENT THINGS, YOU MADE SOME RE-ALLOCATIONS AND DIFFERENT BUDGET LINES.
I KNOW THERE WAS A REDUCTION, AND SO WE WERE ABLE TO SAY, EVEN THOUGH I KNOW THAT WE GOT 9 MILLION LESS, I JUST NEED TO KNOW, WE THOUGHT WE WERE GOING TO TAKE THIS MUCH MONEY FROM OUR FUND BALANCE IN 23/24, BUT WE ACTUALLY ARE TAKING THIS MUCH MONEY FROM OUR FUND BALANCE IN 23/24.
>> YOU'RE WANT TO KNOW THE VERY, I'M SORRY, TRUSTEE DAVIS?
>> I WANT TO KNOW PROJECTED BECAUSE WE DON'T KNOW. THIS YEAR IS NOT OVER.
>> BUT AT THE END OF THE DAY, WHAT WE PROJECT OUR FUND BALANCE TO BE AT THE END OF THIS CURRENT YEAR THAT WE'RE IN [INAUDIBLE].
>> TWENTY TWO MILLION, WHICH IS GOING TO BE 22 MILLION.
>> ON THIS PAGE THAT SAYS WHERE WE ARE TODAY, IS THAT THE INFORMATION YOU'RE NEEDING?
>> YEAH. IT HAS, THIS IS THE YEAR 2024, ADOPTED BUDGET AND THEN YEAR 10 BUDGET BASED ON SOME REDUCTIONS [INAUDIBLE].
>> I THINK THAT Y'ALL JUST CLEARED IT UP FOR ME, AND Y'ALL ARE SAYING THAT OUR FUND BALANCE AT THE END OF THIS YEAR THAT WE ARE SITTING IN RIGHT NOW, WE ENTERED, WILL BE 22.9 MILLION.
>> AND SO WHEN WE LOOK AT THE BUDGET, THE PROPOSED BUDGET FOR 24/25, WE SEE THE [OVERLAPPING].
>> [INAUDIBLE]. I MEAN, THEORETICALLY, IF YOU HAVE 172 IN AND 195 OUT, THAT'S 23 MILLION, AND ALL THAT WAS 23 MILLION.
>> MR. FISCHER, AND I'M CERTAINLY NOT TRYING TO BE CRITICAL, BUT I THINK WHERE THE CONFUSION IS COMING IN IS THE BEGINNING FUND BALANCE FIGURE THAT YOU HAVE HERE FOR FISCAL YEAR 24/25 IS ACTUALLY THE BEGINNING FUND BALANCE FOR FISCAL YEAR 23/24.
THAT'S WHERE WE STARTED AT 37 MILLION IN THIS YEAR.
>> I THINK THAT'S WHERE THE CONFUSION IS COMING IN, BECAUSE THIS $37 MILLION IS NOT WHAT WE'RE LOOKING AT IN 24/25.
WE'RE LOOKING AT A $22 MILLION FUND BALANCE.
>> THAT $22 MILLION FUND BALANCE THAT WE ARE GOING TO START 24/25 WITH, IS GOING TO BE USED UP BECAUSE THERE'S A 22.9 MILLION DOLLAR SHORTFALL.
BECAUSE IN LOOKING AT REVENUE FOR 24/25,
[01:10:01]
IT'S $172 MILLION IS WHAT YOU HAVE, 172, 235, 457.THAT'S WHAT WE'RE LOOKING TO BRING IN IN REVENUE.
BUT OUR BUDGETED EXPENSES FOR 24/25 IN THIS PROPOSAL IS 195,206,753.
WE SEE THERE'S A BUDGET SHORTFALL IN 24/25, OF $22.9 MILLION, AND WE'RE STARTING THAT SAME BUDGET YEAR WITH A $22 MILLION FUND BALANCE.
IT ALL WOULD BE USED UP BASED ON WHAT YOU ARE PROPOSING HERE.
THERE IS NO $14 MILLION SURPLUS. AM I CORRECT?
>> I THINK I CAN CLEAR ALL OF THIS UP BY JUST CORRECTING THE WORKSHEETS, IF NEED BE.
>> I DON'T KNOW. I GUESS I WAS JUST TRYING TO FIGURE OUT HOW IT TURNED OUT TO BE SO VASTLY DIFFERENT.
WHEN I LOOK AT THIS, WHERE WE ADOPTED AND WHERE WE THINK WE'RE GOING TO END, WE ACTUALLY SPENT LESS THAN WE ANTICIPATED.
>> [INAUDIBLE] THIS FIGHT WOULD HAPPEN.
>> WE SPENT $2 MILLION LESS, BUT WE BROUGHT IN A SIGNIFICANTLY LESS AMOUNT AS WELL.
>> IT'S THE REVENUE [OVERLAPPING].
>> WE DIDN'T MAKE AS MUCH MONEY.
>> THE 9 MILLION HERE NEEDS TO ALSO TAKE INTO CONSIDERATION.MY BAD. I GET IT.
>> IT'S THE REVENUE, DR. HALL, THAT IS [OVERLAPPING].
>> YES, MA'AM. WE KNEW COMING INTO THIS YEAR, THAT WE WERE GOING TO HAVE TO PULL OUT A FUND BALANCE.
WE KNEW THAT THIS WAS GOING TO BE A DEFICIT YEAR.
NOW WE'RE LOOKING AT THE ACTUAL NUMBERS THAT THE DEFICIT IS $16 MILLION THAT'S WHY WE HAVE TO PULL OUT OF FUND BALANCE JUST TO BALANCE THE BOOKS, TO CLOSE OUT THE 23/24 SCHOOL YEAR.
AS WE ARE LOOKING FORWARD IN THE 24/25, WE ARE STILL BRINGING IN ONLY 172 MILLION, AND THE PROPOSED EXPENDITURES ARE 195 MILLION.
THAT ADDITIONAL $22 MILLION HAS TO COME OUT OF THE FUND BALANCE THAT'S ONLY $22 MILLION.
>> YES. NOW, IF MY THINKING IS FAR, MS. FISCHER, PLEASE CORRECT ME.
BUT WHAT I'M SEEING HERE, THAT'S WHERE WE ARE.
>> THAT WAS WE PRESENTED THE NUMBERS AS THEY WERE.
BUT WHAT WE'RE ALSO COMMUNICATING, BOARD, IS THAT THERE ARE MULTIPLE OPPORTUNITIES IN THE 199 BUDGET FOR 24/25, TO MOVE TO OTHER GRANTS AND OTHER FUNDING SOURCES.
WE INCLUDED THOSE IN THE 199 BUDGET BECAUSE WE THOUGHT THAT THEY WERE IMPORTANT ENOUGH FOR 24/25.
WE HAVE $4 MILLION WORTH OF EXPENSE IN 23/24 THAT'S FUNDED THROUGH TITLE 1, THAT'S IN 24/25, IS ACTUALLY IN THE EXPENSE NUMBER FOR 24/25
>> WHAT IS THAT TOTALING, ROUGHLY?
>> THIS IS THE WORST CASE, AND WHEN WE COME BACK, WHAT WE DO IS WE'LL HAVE THOSE PULLED OUT, AND WE'LL HAVE SOMETHING, IT'LL BE A LITTLE BIT BETTER, BUT IT WON'T BE JUST PERFECT, BUT IT'LL BE BETTER THAN [OVERLAPPING].
>> RIGHT. YOU HAVE THAT FOUR MILLION.
THEN WE HAVE ACTUALLY THE WORKMAN'S COMP.
THAT'S PROBABLY ABOUT FOUR MILLION AS WELL.
THEN WE ALSO HAVE REAL ESTATE THAT WE TALKED ABOUT '24, '25, SO WE DO HAVE A COUPLE OF REAL ESTATE ASSETS THAT WE'LL BE CAPITALIZING ON, WHICH WILL BE ANOTHER AMOUNT.
WE'LL WORK IT DOWN TO THE GOAL.
AGAIN, THE MAIN POINT IS, IT WILL BE DIFFICULT FOR US TO GET AT 20%.
OUR GOAL IS REALLY TO TRY TO HIT THE 13-17% IN FUND BALANCE WHEN WE BRING THE BUDGET BACK TO YOU.
BUT THERE'S NOT A LOT OF WIGGLE ROOM IN ORDER TO DO THAT, BUT WE'LL BE LOOKING AT HOW WE CAN REDUCE EXPENSES EVEN MORE AND REALLY LOOK AT CAPITALIZING ON MORE OF OUR REVENUE.
>> WHAT WE TRY TO KEEP IS THREE MONTHS INCOME IN FUND BALANCE.
[01:15:07]
I KNOW WE HAD THAT PERCENTAGE RANGE BUT IDEALLY WE SHOULD BE ABLE TO RUN THE DISTRICT FOR THREE MONTHS ON THE FUND BALANCE.>> RIGHT. THAT'S IN A SITUATION WHERE THE STATE GAVE US NO MONEY.
THAT PUTS US IN THE TWO-AND-A-HALF TO THREE MONTH PERIOD.
>> WE'RE LOOKING TO CONSIDER MAYBE A MONTH AND A HALF, TWO MONTHS, BASED ON THE ADJUSTMENT.
>> YEAH. AS CLOSE TO TWO MONTHS AS POSSIBLE.
>> I KNOW WE GET PAID FOR SOMETHINGS IN ARREARS.
DOES THAT HAVE ANYTHING TO DO WITH THIS BUDGET YOU PRESENTED TODAY AS COMPARED TO HOW IT MAY LOOK LATER?
>> YES. WHAT WE PRESENTED TODAY WAS, WE JUST RECEIVED THE TEMPLATE.
BASICALLY THE TEMPLATE IS, THEY TAKE ALL THE STATE FORM AND GIVE US WHAT WE SHOULD GET BASED ON TODAY.
THERE WILL BE SOME MORE MODIFICATIONS MADE WITHIN THE MONTH, WE BELIEVE, AND SO THAT REVENUE NUMBER WILL INCREASE A LITTLE.
THIS IS AS OF TODAY, BUT THIS IS NOT AS OF THE END OF THIS YEAR.
BECAUSE THERE WILL BE ADDITIONAL FUNDS THAT WILL BE COMING IN JUNE AND EVEN POSSIBLY IN JULY THAT WILL BE ACCOUNTED BACK FOR US.
>> [INAUDIBLE] JUST WANT TO NOT COMPLICATE THINGS.
THE ENROLLMENT THAT WE DON'T HAVE.
BUT WE'RE GIVEN ENROLLMENT. IT'S 88 [INAUDIBLE]
>> ENROLLMENT IS GOOD. WE DON'T HAVE TO WORRY ABOUT TITLE 1 RECAPTURE TWO YEARS FROM NOW OR ANYTHING LIKE THAT.
OUR MONEY SHOULD CONTINUE TO GO UP, RIGHT?
>> OKAY. [INAUDIBLE] THAT WE HAVE AN ISSUE WITH.
>> WHAT WAS THAT ATTENDANCE PERCENTAGE? I KNOW IT'S 17,000 PLUS STUDENTS, AND WE HAVE 15,000 COMING IN.
DO WE KNOW WHAT THAT ATTENDANCE RATE WAS?
>> I CAN GIVE YOU AN ESTIMATE.
AGAIN, BEFORE WE WERE AT 94, 95%, SO THAT'S A SIGNIFICANT DROP.
>> IS THERE ANY [INAUDIBLE] TO ACTUALLY ENROLL SOMEWHERE ELSE.
IS THERE ANY HOPE THAT THAT NUMBER IS GOING TO IMPROVE?
>> I THINK THE NUMBER DEFINITELY CAN IMPROVE.
IT WON'T GO DOWN, BUT IT SHOULD IMPROVE AS WE ARE REFINING AND AS THEY'RE LOCATING STUDENTS AND ALL THAT. IT'LL GO UP.
BUT WHETHER IT'LL GO UP FROM 91%-93%, NOT LIKELY, BUT 91-92 WE COULD MOVE IT BY A PERCENTAGE POINT, DEPENDING ON THE CALCULATION.
>> DR. MCFARLAND, OUR EXPENDITURES, IT'S HARD TO FIND NEW MONIES.
BUT WHAT DO WE HAVE TO REDUCE THIS DOWN TO EVEN MORE? IS THERE SOMETHING THAT WE CAN BE DOING TO GET THIS NUMBER DOWN? THIS 195?
>> WE'RE GOING TO HAVE TO REALLY SCRUTINIZE ALL THE ASSUMPTIONS THAT WE USE TO CREATE THESE PROJECTIONS, FIRST OF ALL.
WE'LL BE DOING THAT THROUGHOUT THE NEXT COUPLE OF WEEKS.
THE OTHER THING IS WE HAVE TO REALLY SCRUTINIZE ANY NEW POSITIONS.
EIGHTY PERCENT OF THE 196 IS IN PERSONNEL.
WHAT WE'LL BE DOING IS SCRUTINIZING EVERY NEW POSITION TO MAKE SURE THAT IT'S SOMETHING THAT WE ABSOLUTELY NEED.
THEN FROM THERE IT'S REALLY ABOUT REVENUE GENERATION.
THAT'S WHERE WE'RE NOW FOCUSING OUR ATTENTION IS, HOW DO WE GENERATE ADDITIONAL FUNDS?
>> THIS IS NOT TAKING INTO CONSIDERATION FEES THAT THE DISTRICT EARNS FROM EVENTS, RENTING OUT THE STADIUM, THE FEES THAT FAMILIES PAY FOR EXTRACURRICULAR ACTIVITIES BECAUSE I SEE THAT EXTRACURRICULAR ACTIVITIES ON THIS BUDGET IS ABOUT 5.2 MILLION THAT WE'LL BE PAYING OUT.
SOME OF THAT WILL BE COMING BACK IN THE FORM OF FEES THAT PARENTS PAY FOR THEIR STUDENTS TO PARTICIPATE.
BUT THAT'S NOT IN THE REVENUE?
>> IT IS IN THE REVENUE. OKAY.
>> YES, PRESIDENT DAVIS, AND THEY'VE EXCEEDED THEIR PROJECTIONS THIS YEAR.
[01:20:10]
>> ALL RIGHT. ANY OTHER QUESTIONS OR COMMENTS BOARD?
>> YEAH. YOU FIND THAT YOU CAN'T AFFORD THE HOUSE.
[LAUGHTER] FOR US TRUSTEES I THINK WE HAVE TO SEE THIS AND REALIZE THAT IT IS INCUMBENT UPON US TO ADVOCATE EVEN MORE AND CONSISTENTLY, AND WE HAVE TO CONTINUE TO LET THIS STORY BE TOLD BECAUSE WE DIDN'T GET OURSELVES IN THIS PREDICAMENT.
WE WERE ELECTED BY THE PUBLIC TO MAKE DECISIONS THAT WERE IN THE BEST INTEREST OF OUR STUDENTS IN THIS DISTRICT, AND WE ARE ATTEMPTING TO DO THAT CONSISTENTLY THROUGHOUT THE YEAR.
BUT THERE ARE SOME THINGS THAT ARE JUST ABSOLUTELY BEYOND OUR CONTROL, AND WE LOOK TO OUR ELECTED OFFICIALS ON THE STATE LEVEL, BOTH OUR LEGISLATURE AS WELL AS OUR GOVERNOR, TO ALSO DO WHAT IS IN THE BEST INTEREST OF OUR STUDENTS, AND TO NOT UTILIZE EFFECTIVELY EDUCATING OUR STUDENTS AS POLITICAL FOOTBALLS FOR POLITICAL GAINS.
UNFORTUNATELY, WE ARE FACED WITH THIS DIFFICULT REALITY THAT THE STATE OF EDUCATION IN TEXAS IS AFFECTED.
THAT IS UNDISPUTABLE. FOR US, AS WELL AS FOR THE GENERAL PUBLIC, I THINK WE NEED TO ADVOCATE FOR WHAT OUR STUDENTS DESERVE.
AS WE ALWAYS SAY, ELECTIONS HAVE CONSEQUENCES.
WE ARE IN THIS SITUATION BECAUSE WE HAVE PEOPLE, ON THE STATE LEVEL, WHO ARE NOT AS PASSIONATE ABOUT PUBLIC EDUCATION AS WE ARE.
THANK YOU, MR. FISCHER. ANYTHING ELSE?
>> I JUST WANT TO APOLOGIZE FOR ANY ERROR IN CALCULATION THAT I MAY HAVE MADE THAT CAUSED ANY CONFUSION.
I WILL RECTIFY THAT GOING FORWARD.
>> MR. DAVIS, YOU WERE BEING KIND IN SAYING POLITICAL FOOTBALL.
>> WHAT'S HAPPENING IS STUDENTS ARE BEING USED AS PAWNS.
>> BECAUSE AS A PARENT OF TWO PUBLIC SCHOOL STUDENTS, MY CHILDREN, I BELIEVE, DESERVE THE BEST.
I WANT EVERY STUDENT IN CROWLEY INDEPENDENT SCHOOL DISTRICT TO HAVE THE BEST POSSIBLE EDUCATION THEY CAN HAVE.
OUR DISTRICT ADMINISTRATIVE STAFF, MR. FISCHER, THANK YOU FOR TRYING TO MAKE ENDS MEET WHEN THEY REALLY DON'T EVEN LOOK LIKE THEY CAN SEE EACH OTHER.
WE APPRECIATE HOW YOU ALL ARE MAKING THE ADJUSTMENTS AND DOING ALL THAT YOU CAN TO ENSURE THAT OUR STUDENTS STILL RECEIVE THE BEST EDUCATION POSSIBLE.
THE TRUSTEES AND THE GENERAL PUBLIC, WE HAVE WORK TO DO.
WE'VE GOT TO MAKE SURE THAT WE RIGHT THIS SHIP.
I MEAN EDUCATION IN TEXAS, NOT CROWLEY ISD.
WE'RE DOING THE BEST THAT WE CAN.
>> NO, SIR. I APPRECIATE YOU-ALL'S TIME, AND AGAIN, WE'LL BRING YOU BACK.
WE WON'T HAVE A MEETING ON THE 13TH, BUT THE FOLLOWING WEEK ON THE 20TH WE'LL HAVE SOMETHING THAT I HOPE WE'LL BE ABLE TO DIGEST AND MOVE FORWARD WITH.
>> THANK YOU DR. MCFARLAND. TRUSTEES, ANYTHING ELSE? ALL RIGHT.
WITH NO FURTHER BUSINESS TO BRING BEFORE THE BOARD, WE ARE ADJOURNING AT 7:56 P.M. [NOISE] THANK YOU. HAVE A GOOD NIGHT.
* This transcript was compiled from uncorrected Closed Captioning.