You know? So, again, I I don't I think that's something that, you know, you have to kind of weigh out, but we're here for academics, right? So, we have to at least get our substitutes to get, you know, those lesson plans in there so our kids can kind of have learning every day. Uh but, the board and I have some strategies for that as well. So, we can't talk about right now, but I think they're pretty good strategies. Um special education tuition is an increase of 1.2 million dollars. And I got to tell you, I still think that's too low. I really do. I'm I was talking to Mr. LeBleu about it. Very nervous. I'm not that nervous though because we do have a surplus. Okay? And I'm going to spend a few seconds on that so cuz I think people need to hear this.
And then the other um significant estimate is the assumptions used in the actuarial valuations for the state retirement pension plan. So, every employee of the district um that qualifies participates in that plan and that plan provides estimates for the district that then ultimately end up in your financial statements as well. Um we are required to indicate whether or not there were any significant audit adjustments that were required to tell the board about. We had no such um no such audit adjustments that require disclosure to you this evening. We do also as external auditors um perform some non-audit services. Those involve the assistance with the preparation of the actual financial statements, the schedule of expenditures of federal awards, the related notes to those documents, and then also um assist with the preparation of what's called the data collection form, which that is related to your uniform guidance.
So, today I would like tonight I would like to highlight some of the found fantastic things that our teachers are doing within our classrooms. I would like to point out one specific strategy that has really made an impact in our schools this year that we just implemented, and that was the K-3 mentoring and coaching team. So, with this team, they focused on those teachers that are brand new in that career in our career of teaching. They also focused on on teachers that were maybe new to the primary grades. So, they really are focusing on providing targeted guidance around those foundational literacy components, and they're also working to really build some support with those um teachers around instructional procedures to really strengthen those early reading outcomes. So, as we look forward to the remaining year and looking at next year, we always look to see how we can improve our current practices.
Uh, Jean's comments are to keep them in. Uh, that's something the commission should discuss. >> If I may, sure. >> I just give my um rationale for it. So that exact language is included in conditions 83 and 84 which we did not strike. So that language and that requirement will be followed uh exactly as it's presented here. We're just simply asking that it not be also written on the deed because in past experience, it causes a lot of problems for uh lenders and attorneys as they start looking at the deed. This is going to show up as a title defect. Uh someone is going to say, "Well, wait a minute. Why is it why is this specifically called out here?" You know, it's these are institutions that are going to be reviewing these documents. It's a hundred million dollar project. So, uh, everyone will be aware that there's a recorded order of conditions.
Freshman attack. Couple freshman on this Norwood team, too. Couple looking here. I got uh 1 2 3 4 5 Five freshman. I don't know if they're all playing, but just called out two different ones, so it's good players. Maddie Doucette, attack and junior. Getting the ball there. 21, Emma Penza. Emma gives the ball back over to Ella Petrillo. Uh Norwood set with the ball being patient here, looking for the right time. Got Nice defense by Alyssa Brown there. Nice nice work. You got Sammy and Alyssa and Ashley all working together. Fortune and turnover. Kendall Kendall Westerling trying to get the ball to A- Is that a save? Do we call that a save, Kev? I don't know. >> we would call that one a save. Uh Norwood retains the ball. Going to work around here, see if they can settle some offense, set up a play.
I just want to be clear about that because you also accuse me of that. Just wanting warm bodies in the classroom. And I want you to be I want to be absolutely clear that we're not talking about that. We're talking about trying to find collaborative solutions so that we can fill our classrooms. Right? And when we talk about collaborative solutions, it is it's talking about not only programs, it's talking about policies, right? And and when we brought up the policies that are stying teacher prep education, you have a moratorum in place right now that you cannot allow new teacher prep programs and you would not commit to getting rid of that moratorum because you know you feel that you have to go through review. But I I told you if you feel like you need to speed up that review process, you have to come to the legislature and ask for resources.
Okay? How are we going to control these costs? How are we going to be fiscally responsible? Well, the first thing we're going to do is we're going to look at position control. We're going to look at where individuals are. We're looking at all teacher and staff member certifications. Okay? We're looking at where we can adjust some of those things. Uh again, I've been here a few years now, so I have a little bit more of a lay of the land. Um we're estimating about 60 60 less positions. That's all I'm saying right now. We've We've We've looked at 60 fewer positions, which is about a 7 million dollars savings in the salary and benefits appropriations. So, let's be really clear. The 5% increase is 5% plus 60 positions. That's how we balance the budget. Okay? That's how That's our That's where our fiscal um you know, responsibility lied.
It's an online portal system to the federal government that kind of recaps how much federal dollars you spent by which individual federal program. Um in terms of other required communications, I'm happy to report that we had no disagreements with management over financial accounting, reporting, or other matters. Um management did in fact provide the required representations at the conclusion of our audit, which um it's about a nine-page letter that's included in um a written correspondence to you all, so you can see those as well. And then as your independent auditors, we are required to maintain our own um standards of ethics, meet our profession's requirements, and one of those things has us um we we do a a constant assessment to make sure that we don't have any violations of ethical or independence um issues that we would need to report to you this evening. So, no no issues to report there.
And with this coming up this the rest of the school year and next year, we're really going to look at that last bullet point. How can we strengthen tier one instruction within all of our grade levels, but really also focusing in on those primary grade levels. When we think about tier one instruction, we are looking at how do we prioritize clear, consistent, grade level expectations with rigorous content in all of those grade levels, no matter where you are on on track or at risk. That tier one instruction really prioritizing that grade level content. We also would like to align our current instructional practices around our Indiana academic standards. With that, we'll use data, especially prior to I read in our kindergarten, first grade, second grade. As you can see, we've made some of those shifts already as you've seen a 10-point growth growth point over the last two years.
This will be recorded in there. So, we're not trying to get away from the requirement. We just think it's more appropriately um put in the order of conditions. And also, uh, and and the O andM plan will also be recorded. So, uh, that that's our that's our concern with this. >> Do you agree with Mr. um Lopez's interpretation? to the commission. Uh you've had these deed recording statements required on every notice of intent since the early 2000s. There are hundreds, possibly more properties in Ashlin that have this recorded on their deeds or as a permanent agreement to run with the land. And this has never been a problem other than sometimes it needs to be recorded as an agreement to run with the land rather than directly on the deed. Um, however, properties that are actively in the process of being sold when they come to you, such as for subdivisions, um, and I believe this property as well, it's typically easy to get it put onto the deed during the sale process.
Once again into the same situation as in the second quarter where Ashland's had the ball a couple of times, but has lost it before they've been able to get up up the field and and get into the offensive zone. Norwood looking for a cutter here. Back right with the ball, Gabby Eng. Playing some defense. Over to Sammy Sciarappa playing some defense on 15. Solid player. Great shot. 15, Ellie O'Neill, sophomore midfielder from Norwood, buries the ball behind Alana Duffy. Yeah, she's had a couple of nice moves today, too. Couple of goals. They They >> [music] >> They've got four. She's got at least two of them, maybe three. Yeah. And yeah, you can see the confidence that she plays with. She is not afraid to dodge. Good good quick first step to get around the defender. And you know, not a I always find girls don't They don't know enough once they do get that first step just to let that ball rip when they have the opportunity.
But you would not commit to that. So that's very concerning to me that from also from a very much policy perspective, you guys are unwilling to look at policies. We're not even talking about programs. We're talking about policies that the board can look at to figure out how can we potentially for a short term look at ways to get pathways to get teachers licensed. And that is what is frustrating. And I want I want to ask you, have you thought about what are those policies that you can really try and implement over the next couple of you know years while your time on the board. >> So I'm glad you brought that up because with that moratorum again um to try to be proactive that moratorum is going to be up at the end of the year but right now we have two programs. So I I had talked to our specialists.
Okay? Pre-K special ed in-house, the savings there just by bringing our autistic students in is saving us almost $500,000. We need to continue to do that. This budget also talks about a 3.5 million dollar um payout to the 2006 2000 I'm sorry, 2026 2027 school year. A payout to the 2026 2027 school year. Okay? Board did this last year when I was here as well. I think I need everyone to understand it. I know the board does because I've mentioned it, okay? That means that we are taking 3 and 1/2 million dollars from this year and instead of spending it here, we're saying we need to help the tax levy out and we're putting it into next year. That's not good. It's allowed. You've been doing it here for a few years, but it's not good. Okay? Should be using all that money in that year.
Um you have three different reports that we issued, so those are listed for you on the screen. The largest being the annual comprehensive financial report, that's your financial statements. And then those other items. Um for you um if you're looking at a PDF version of any of the reports tonight, I've I've pulled out a few different page numbers for um what I think you might be interested in. Um I'm most interested in of course page 20, that is my letter to you. It is the independent auditor's report, which does in fact have an unmodified opinion. That's the best opinion that you can get. Um and then there's some other um page numbers that I highlight for you that will help um direct your attention. The um annual comprehensive financial report is over like 120 pages long, so it it can get a little uh it's a little wordy at times, a little bit like me.
But how can we really look at identifying students practices that are best aligned with the science of reading? We also want to focus our support where students need that the most to really accelerate their growth. The biggest influence on learning still continues to be the teacher in the classroom who believes that every student can be a reader because they know that today and tomorrow's success depends on becoming that lifelong reader. Can you imagine what your life would hold as an adult who couldn't read? So, the relationship between the teacher and the student is critical. And when students feel known and cared about, they engage more, they read more, they achieve more. Our principals and teachers care and some are still sitting with us tonight to hear this presentation as I gave them a shout-out earlier. And I appreciate and value all that they do. These test scores are only of the work that they do and are attribute to the hard work happening in our schools.
Yeah, I understand both sides of this argument um with um title search problems as well as people not paying attention to the conditions uh when the when the property transfers. No. >> Well, the the the requirement to put a notice on the deed that there's a wetland resource on the property or or buffer zone or whatever was we did that because I can't tell you how many times we had to issue enforcement orders on people who bought a property, maybe not the first owner, maybe the second or third owner from when the order was issued >> and they filled the wetland or did something egregious on the property with regard to the wetlands protection act and we get there and they go I didn't know I how would how was I supposed to know because the order has been you know uh the certificate of comp compliance has been issued years ago so there's no there's no uh nothing on the deed anymore that there's an order an order had been issued on that property so the only way and we said well you know It's your responsibility to figure this out, not ours to tell you.
And I've seen a little bit more of it this year with with uh some of the players on Ashland, but got to get that one step past the player and they shoot the ball. You know, what's the worst that can happen? It's a three-goal game here. So, this is This is anyone's game at this point. Ashland's going to have to try to get the offense going again after getting five in the first quarter. It's been a little quiet since. Payton jumped up to get that one, couldn't get it. Ashley tried to corral it. Neither could pull it in. 21, Emma Penza with the ball. They'll work the ball around here in the offensive zone for Norwood. Maddie Doucette, number number nine, Nora Kidd. Ball top middle. Good slide by Nice stop by Alana Duffy. She's seeing the ball well today. She is. Nor- Norwood's going to have to get more quality attempts than than that one.
We only have a staff of we only have six specialists and only one person does the ed prep programs to help to um guide the reviews. So with that, we already have two initial programs and it's not something that we can just uh turn around and just stamp approval. There's 15 standards that they have to go through to make sure that the program has everything in place. There's also Hawaii. there's certain things that are in our uh requirements that the prep programs need to make sure that are in place. So with that, we have two, we know that we have the um the early ed that needs a lot of positions. So people have been bringing programs up for that. Um we also have seven that are different stages. So what we did in the meantime because you were asking about certain uh colleges that might want to come in, we told them, okay, we already met with some and we explained the process of what they need to have in place so that um when they come in that we would be able to just go ahead and add them to that to that review, but right now we have we have nine going on right now.
All right? But think about it. If we didn't do that, we'd have to come up with another $3.5 million, which I think comes out to another 22 positions or something like that. Okay? We also have a projected surplus, a projected surplus of about $3 million in this budget. Okay? The board is not used to that. Okay? Also, with capital and maintenance reserve of a million dollars. When I first got here, the capital reserve was $1. Last year in August, I uh recommend to the board and they accepted that I put $750,000 into it. I think it's an audit finding, but that's okay cuz we needed it. Okay? You need to understand why these things are important. Okay? A surplus is important. This is actually less than what we're supposed to have. It's a best practice. Okay? Surplus isn't if I want to buy, I don't know, tickets to a game or whatever it is or or start No, that's not what it is.
So, those um those uh page numbers will help kind of zero zero in for you um some different places where you might um you know, pay a little bit of attention. Related to the single audit. So, I mentioned a uniform guidance audit. That is your essentially what's called your federal audit and um we on page 10 of that report, it's it's a much smaller report but equally wordy. Um there is what's called a schedule of findings and questioned costs and that recaps all of the findings that we had within the district if they were significant and also tells um the reader and the federal government what federal programs we tested. So, I'm happy to report that we had no deficiencies in that report, so you'll see no deficiencies. And um then it the two federal programs that we looked at this past audit cycle were the Title I grant and what's called the supporting effective instruction instruction grant and that's um it's it's a it's it used to be called improving teacher quality.