PGUSD Board Meeting January 22, 2026

001order this special meeting of the Pacific Grove Unified District School District Board of Education on January 22nd, 2026. Um I'll read our landage. Actually, before we get started, we have a trustee participating remotely. Um under um AB2449, trustees may participate remotely without agendaizing their private location if the quorum of the board is physically present at our primary location, which we are at this time. And I'm going to read um the script to initiate the process so that you can participate remotely today. Trusty Wax, Trusty Wax is joining us remotely today under the provisions of AB2449. Trusty Wax, please state for the record if you are participating under the just cause provision or due to emergency circumstances. Please also provide a brief general description of your circumstances not exceeding 20 words without disclosing any confidential medical

002information. Did you capture all of that? Yeah, I I'm I don't want to use up my 20 words. Um I am very sneezy and gross. Um and I just don't want to infect you all if I'm sick. My daughter was sick. >> Thank you. >> 15 words. Well done. >> Hope you feel better. Um, Trusty Wax, please disclose whether any individuals 18 years of age or older are present in the room at your remote location and state the nature of your relationship with them. >> In the room or the location, sorry, >> it says present in the room at your remote location. >> Oh. Uh, no. >> Okay. Um, the next thing is board, may I have a motion to approve trustee wax remote participation due to these emergency circumstances? >> Second. >> Motion made

003by trustee Hazen, seconded by clerk Shamas. Um, we'll we'll all do a roll call vote because we now won't be having a trustee participate remotely. Roll call, please. Dr. Adamson. >> President McNair. >> Hi. >> Jamas. >> Hi. >> Trustee Dr. Hayen. >> Hi. and Trustee Lakes. >> I >> Okay, thank you everyone. Motion carries and trustee as a result we'll be doing all votes via roll >> roll call but we won't have any this evening because we don't have action items >> other than roll >> approving the agenda. >> Yes. Um, okay. Trusty Wax, I have to conclude by confirming that you are using both audio and visual technology and that the camera should remain on for the rem uh remainder of the meeting. If there's a technical disruption, we on our end have

004to pause um the meeting to uh restore the statutory rights of the public to access the meeting. Okay, just a note. Um, and with that, I will move on to our land acknowledgement this evening. Good evening. As we begin this meeting, it's important to pay respect to and acknowledge that we are on the traditional land of the Alone, Costaoan, and Eselin people, and additionally pay respect to elders both past and present. >> Roll call, please. Dr. Adamson. with you. >> President McNaryi here, Luke Shamalas here, >> trustee Dr. Hazen here, >> and trusty Wex >> Here I am. >> We have three trustees in person creating a quorum and one just to for the record that trustee Otmar is um not able to join us this evening. Um we will move on to the adoption

005of the agenda. Dr. Adamson, are there any changes to the agenda as presented? >> There are no changes. >> Okay. Um, we'll go out to public comment on the adoption of the agenda this evening. >> No. Okay. Um, board, any discussion on this item? If not, I'm willing to entertain a motion. >> I make a motion to >> I have I just have one question about Um, at the end of this meeting, did you want to talk a little bit about putting the facilities two by two uh together? You know, like the you you emailed us about setting up these meetings and um I don't know. I just thought but we don't have it listed on the agenda. So I you know, you don't have anything says future. >> Okay. Right. Yeah. That's normally not

006on our special agendas. Um it just came to my mind. >> Yeah. Yeah. Yeah. We'll probably schedule those offline. >> Okay. Awesome. Um and then as far as scheduling, we can have contact with one another under the Brown Act for the purposes of >> calendaring and then that type of thing. Um okay. Any other comments or questions regarding the adoption of the agenda? >> I'll make a motion to adopt the agenda. >> Motion made by Dr. Hazen to adopt the agenda. Is there a second? >> I'll second. >> And a second by tr clerk Shamas. Uh roll call vote, please. Please. >> I clerk Shamas. >> Hi. >> Trusty Dr. Hazen. >> Yes. >> Trusty Wex. >> I. >> Okay. Thank you. Motion carries. Um the last item before we adjourn the close session is

007to identify the topics we will be discussing. Um item A is negotiations collective bargaining session planning and prep with the PGTA for 2025 2026. Item B is negotiations, collective bargaining session planning and prep with the CEA for 2025 and 26. Item C is public employee discipline, dismissal, release, leave complaint under government code section 54957. Are there any public comments on these close session agenda topics? Okay, seeing none in the room and none online, we will adjourn to close session and be back at 6:30. >> Okay, it is 6:30 and we are reconvening in open session. Welcome to everyone who's joined us. Um, I'm going to first give a report out on the actions taken in close session. With regard to item A, negotiations, planning, and preparation with PGTA for 2025 2026, information was received. With

008regard to item B, negotiations, planning, and prep with the CEA for 2025 2026, information was received for item C, public employee discipline, dismissal, release, leave, complaint, government code section 54957, subdivision B. Information was received. And with that, Trusty Hazen, will you lead us in the pledge of allegiance this evening? Thank you. >> To the flag of the United States of America and to the republic for it stands, one nation under God, indivisible, for all. Thank you everyone for joining us. We only have one item on our um agenda this evening. Oh, and before that, just to note for the record, Trusty Wax is joining us remotely. He's not feeling well and trusty is not able to be here with us this evening. Um, our only agenda item is going to be our 2026-27 budget study

009session. And I believe for this item, we are going to shift over to the small tables um to do the study session process. And just as a reminder or to let those of who might be listening know um this is a board an open board meeting doing board business in public. Um we can take public comment on the item, but we can't respond to it. So, the way we're going to format it this evening is um there will be a presentation from staff. We will then take public comments and questions on the presentation from staff and then the board will discuss the item. Um it is an information item only. Recommendations can be made. No action will be taken. So with that we will just take a moment to shift to the small table. Okay.

010Um, for this item, I'm not sure who's presenting first, but I will turn it over to staff. Assistant Superintendent Jordan. >> Thank you, President McMary. And, uh, trustees and public are with us tonight. Uh, Lewis is getting the presentation queued up and so long as everyone can see it online, we'll go ahead and get started. So tonight we are uh bringing forward a budget study session for consideration and discussion by the board. Uh on the first slide here you can see some of the items that we will be discussing. Budget reductions including one-time reductions of around 1.3 million. Uh ongoing budget reductions of 1,ion56,740 and then some new anticipated expenditures in the 26 27 year that will also be considered the structure for tonight's meeting. I'll go through this uh so everybody understands kind of

011how we're tracking. We are going to review the sorry let me just pull it up here. We're going to review the multi-year budget projections uh which were included in annual reporting first interim but will be included in interim reporting second interum which closes January 31st this month and um the interim reporting will uh be reported out by stop in March but we plan to cover the multi-year projections that were included in pal reporting any changes travel and conference review the um clear this entire budget study session was predicated on the budget subcommittee that was developed by the board last uh we had three budgets uh budget subcommittee bills and through the process there was a variety of information that was brought forward by staff at the request of the budget subcommittee. One of those items

012was travel and conference review uh fully completing analysis of travel and conference attendance and of course focusing on cost-effective solutions to mitigate uh the travel uncomfort within the district. Also recommended by the budget subcommittee was a review of position control and FTE. We're going to hear me say that a lot tonight. FD stands for full-time equivalent analysis. So, the review of all full-time and part-time assignments with enrollment data. We'll be covering that tonight. Covering uh work plans to the staff, program, and operational costs for the uh with the full intent of bringing forward a balanced uh budget with ed educational uh equity and um mitigating budgetary constraints in our out in our multi-year projections. We'll be covering new ongoing expenditures. Um, and to be clear, those new ongoing expenditures that we're presenting tonight are at

013this place in time. There may be new expenditures that we have to discuss as we move through the budget development process, which follows the budget study session. I'll show an updated multi-year projection, and that updated multi-year projection will include um the uh the recommendations tonight if they were fully implemented, what that would like for the district in the uh out year and subsequent year. and then a budget process timeline. So, here's a snapshot of our multi-year projection for fund alone. Fund combined, that's our general fund, uh, combined restricted and unrestricted programs. Just a quick note at the top, the state requires a 3% reserve for economic uncertainty. And to note that this district has been in a structural deficit spending mode for the past six years with no leveling of reserves. Um I will note

014that if we continue down this path with a low singledigit reserve uh and by the fourth subsequent year the b the district may fall below the statutory requirement of the 3% reserve. Before I get into multi-year projections I'll just give a quick uh summary of what that looks like for a district. So in the law the school districts in the state of California are required to maintain a minimum 3% reserve. For the local control funding formula with districts, you tend to see a 3% to 5% reserve. But basically districts, you tend to see around a 17% to 21% reserve. Just to put it into context, if a district falls below a 3% reserve, the district falls into what's known as receiverhip or AB1200, which is an issue through state legislation back in the '90s. and

015the the fiscal crisis assistance management team comes into the school district and effectively takes over the fiscal control of the school district uh making all decisions with the state appointed trustee for the school district. Uh they effectively remove the ability to collectively bargain look at all of salary schedules. They're effectively take all revenue that is proposed by the district and they balance expenditures to revenue which is the worst case scenario. But I think it's important to note and that's why a 3% reserve or maintaining above that is very very important and that's why we're discussing um the statutory uh deficit spending this district's been having for some time now tonight. You'll see here in the first column that's a metric. I'll bring you to the slide. The metrics are our beginning balance, the revenue expense,

016a deficit or surplus, ending fund balance, and our reserve levels. In the second column, you'll see the 2627 projection for our district. This does include include a 2% increase to uh to salary schedule and a 5% increase to health and welfare, which is for all units in the district. The end balance uh projected is combined. That's restricted and unrestricted. You can see we we'll be starting in 2627 with just over a $51.7 million beginning balance revenue of 49.7 expenditures of around 51.5. We'll see how the deficit breaks down just below there of 1.7 million. That's a projected deficit of 978,654 on the unrestricted side and 722,719 on the restricted side. the district revenue fund balance of just over 3.1 million and a reserve level of 5.6. Before I mention the next year, which we're going

017to look at, which is in the multi-year projection 2728, to put it into context, uh the ending fund balance of 3.1 million isn't enough to sustain the district's one month worth of liabilities, which is salary and accounts payable payments for the district. Those range between around 3.6 and 4.2 too many depending on our accounts payable. Looking at 2728 projections at the top, I note that there is only step and column included in this uh projection. We've also included things like escalators such as the consumer pricing index increase to cost of goods and services as well as increase of utilities. But no negotiated settlement on the salary schedule, no increase to health and welfare is in that projection. uh because we are in we did settle with um our bargain units last year on a three-year

018deal which did not include 2728. So we'll be starting out the year with 3.1 million. You can see here revenue projections at just over um just around 51.4 million 51.5 expenditures at just around 51.8. You can see a projected deficit here of 695,697 primarily made up by the unrestricted deficit with very minimal deficit on the restricted side 10 million or sorry 10,955 and essentially why the restricted deficit is going down is restricted um revenue is tied to restricted expenditures and the district has an obligation to spend those uh restricted those restricted dollars and we have a timeline to spend those restricted dollars. So what you're going to see is the restricted side of the deficit is high in the years that we still have revenue received and it's low in the years where that revenue

019is expiring. You'll see here a projected end balance of 2,464243 with a projected district reserve of 4.6%. And I'll pause there and look into the board if there's any comments or questions. Just noting we will save public comment for the end of the presentation, but board members, any questions at this pause. >> Did I hear you say that the um increase to health and welfare was 5%. >> I'm sorry, half a percent. >> Okay. >> Yeah, I apologize. >> Go ahead. >> All right. So one of the first items that the subcommittee asked us to look at was the travel and conference for the district to provide a full expenditure analysis. Um looking at administrative conferences, professional development seminars, curriculum adoption reviews, mandatory compliance training and then again you know one thing to note when

020I talk about restricted and unrestricted a lot of our restricted revenue does have tied to it the component of professional development. So we have to spend some of those dollars on professional development whereby on the unrestricted side that's not necessarily the case. So we really wanted to look at this in a way that uh parsed out unrestricted travel and conference which is something we'd really like to limit or or or um reduce and the restricted side and what you'll see from the comparative data. Let's go ahead Lewis if you could open up um the two-year comparative data. open it up on my computer so I can read it. So what you see here on the top is the unrestricted. Next down below is the restricted. You're you're looking at a sideby-side comparison of fiscal year.

021So starting with 23.4 actuals, moving to budget, then actuals adopted, and then a revised budget. So, um, last year when we brought budget reductions forward, it was it was, uh, the direction from the board to staff to make a 20% reduction over budget to our travel incompetence on both the unrestricted and the restricted side. Uh you can see here if you're scroll up to the top you can see here if we're looking at the revised budget of 2425 it's column D that's 74,338 and they're restricted side that the revised budget which uh during 2526 which is column G you can see around a 20 $20,000 reduction at the adopted budget which is column F. You can see that we adopted a budget with a with with a lower adopted budget but there were some increases

022to travel and conference and you can see how it breaks down uh by s side allocation tech uh professional development board superintendent's office business human resources avid and so forth and I'll get into the the um the way this breaks down by units in just a second. So that's on the unrestricted side. You can see that the district did make made the effort to make a sizable reduction on the unrestricted side. If you scroll down Lewis on the restricted side, uh we also attempt to make a reduction there. But again, as I mentioned, restricted programs and restricted dollars require us to spend money in a certain manner. So um any one of these categorical programs in the lefth hand column starting with special eda all the way down to small reimbursement, there are some requirements

023for travel and conference expenditures tied to that revenue source. But but again you'll note looking at column D compared to G there was a reduction of around 18,000 from 82,970 to 66,457 total fund one again if you'll move down column B and column G you'll see that 157,000 was budgeted in the outyear this year's budget's 121,75. So the district did its due diligence to make that 20% reduction as recommended by the board. And when we get into this further discussion tonight, we're continuing to make those reductions in the outyear. I will note that, you know, a 20,000 or $30,000 reduction doesn't seem like a lot in the grand scheme of things, but every bit helps and that's why uh we focused in on this and that was one of the the uh commitments of the

024subcommittee. Let's close that out, Louis, and go back to the Okay, so let's take a look at travel and conference by unit. It's kind of a big document, but let's just scroll to the bottom, Lewis, and I'll give you a summary. So, here's how it breaks down by unit, restricted, and unrestricted. Let's just bring you to um lines 85 86 at the bottom, and then I'll talk about the the table at the top. Really, it's kind of it's balanced as you can see. So on the restricted side around 27,000 and on the general funds or the unrestricted side around 28,000 you can see on the top we have site class uh the sites uh taking the travel and conference and then by unit classified certificated confidential management and other which is board uh that are

025associated with these requests to attend. Again the total 55,694 is broken down around 50% to general uh to unrestricted and 50% to restricted. And then looking at uh line 83, you can see how that breaks down by unit. So 7 uh $7,800 for classified, around $21,600 for certificated, 5,9 confidential, 11,599 for management, and then uh 8,739 for other, which is the board. So I think that the takeaway from this analysis uh as discussed at the subcommittee was the the district did a pretty good job at making reductions where that were recommended from the board last year and not going to go into the detail above. Um if you scroll up the way that we have um them designated. So anything in anything in green is restricted. It's not hitting the general fund. It's tied specifically

026to programmatic need. anything and white also is tied to programmatic need, but it's it's funded on the unrestricted side through the general through the general fund. The subcommittee really did go line item by line item and parse this out and there wasn't anything that jumped out as something that could be reduced. Everything here is to support the needs of our student population through the professional development of our staff. So ultimately that was the takeaway from the subcommittee. Let's uh close that out, Le, and go back to the presentation. Yes. So yeah, absolutely. And you said that the other was entirely >> sorry the very bottom sorry right there in gray. >> Oh yes yeah there was apologize special ed and board are lumped into others. So board of trustees at the top the 6641 and

027then special ed. Thank you for pointing that out. Yeah apologize. >> Okay. So before we move on I'll Okay. Seeing none. All right, take a look at the next slide. So, next up, we took a look at our position control and enrollment alignment. Uh, the district's position control analysis focused on three critical areas. We've been talking about this for some time now. Enrollment based alignment. So, matching our staff levels to our enrollment and our projected enrollment. Second, taking a look at funding source transition. And what that means essentially is if we have a funding source that we receive whether it's restricted or unrestricted what was the purpose of those dollars and uh if the purpose of those dollars was to fund positions if they were restricted position were those positions expired or were those positions

028absorbed into the general fund which when I get into further detail you'll see that oftent times in this district there was revenue generated through one-time funds where positions were assigned to those one-time funds and when the onetime funds expired the district rolled those positions into the general fund, increasing the deficit on the unrestricted side. And then contractual compliance, ensuring that all of our staffing decisions comply comply with our our collective bargaining agreements. And and in particular, as it relates to enrollment, our class size ratios is defined in the PGTA agreement. So this comes right out of our collective bargaining agreement with uh Pacific Teachers Association. And you can see here we have uh goal ratios and maximum ratios at the elementary level. That's up in the top. You'll see transitional kindergarten is 1 to 24

029studenttoteer ratio. Kindergartens through grades 2 is a 25 to1 student ratio. And then grades 3 through 5 is a 28 to1 ratio. And that's goal. We have in the contract maximum ratios for elementary schools. For TK it's 1 to 24 statutory. 1 to 12 uh adult to student ratio. It's 1 to 10 adult to student ratio if there are early enrollment students in those classes. So that lowers the ratio. You'll see on the maximum ratios there K through2 27 to1 maximum student toteer ratio in grades 3 through 5 29 to1 maximum studenttoteer ratio. Now you'll see our secondary school requirements for middle school uh base ratio one 1 to 26 and high school is 1 to 28. Now there is there is room within the contract for those ratios to be exceeded. You might see

030that at the um middle and high school levels. Um but I will be clear that when we're building our class sizes or sorry, we're building our staffing to enrollment uh projections in the fall every fall. We build those to goal. We never build those to max. And in fact, historically, this district hasn't hit maximum ratios. It did in I believe one class in our entire district this year. Um and I apologize if I'm misspeaking, but I believe it was one class. But uh again and the the consensus with with building out our staffing to um uh staffing to enrollment ratios is building to goals. So when I presented the uh the enrollment projections at our last board meeting last week uh we presented these items and we show that our projections note that all class

031rooms in our district will have a class size ratio less than goal. Some of those class size uh class sizes are far less than goal and some of those are close to goal but none of them are go to maximum ratios. and I'll pause. All right. Next up, we continued our assessment of our position control. This was our full-time equivalent to enrollment analysis. We wanted to be sure that, you know, sight by sight all the staffing allocations were met, not just for in in the classrooms or with our classified staff, uh, with all of our other support staff aside from our our, um, our teachers to meet the needs of our student population. We took a look at all five of our school sites. We looked at all 262.4 FTE in our district. And then

032just a note there that there is a 4% enrollment variance that we've been experiencing and that is basically enrollment to ADA, average daily attendance. So you do see a variance there. We have 1717 students that are uh projected to be enrolled in the fall. Uh but as we progress through uh seabeds uh check-ins with the state that enrollment does eb and flow. For example, we just received our seabeds numbers last month and we were down to 1699. Yet we had 1717 students enrolled. So that's the variance. Uh we do have a full data report that our wonderful fiscal officer put together for us, Carly Adams. If you could click on that for me, Lewis, we'll start out by having Carly kind of walk us through uh the top section which identifies uh assignments, site, CBS's

033enrollment, uh and the FT associated with those. Carly, >> so this spreadsheet here is something new that's been uh established. It's our FTE analysis. that's broken out by each job category. Um, you can see here in column B, we have our current Seabbeds enrollment broken out by site. And then we have our teachers, our nurses, our mental health all the way across the board. And then the different funding sources. So, this is something that we're going to utilize moving forward. Um, it helps us identify funding that's going to be running out. For example, we have our arts and music discretionary block grant which is currently funding positions that'll expire at the end of this year um and so forth. So, this is kind of our guide now, our tool um to make sure that we're

034aligning our staffing um to enrollment. >> Thanks, Karly. Um you can see on line 15 there you'll see COF. That's change in funding impacts. Carly just kind of alluded to that. So that's kind of how we're tracking what has happened with funding source alignment to position over the years. So in column D you'll see COF 1.0 FTE. So that's a change of funding that occurred for one FTE for our intervention teacher which was previously funded under resource 7435 and was shifted to 0000. What do those numbers mean? 0000 is unrestricted general fund. 7435 was a restricted revenue source that was specifically designed to support intervention of students uh primarily as a result of um of COVID. So ESSER dollars uh there's there's there's quite a few resources available at the time. I'm not going to

035go through and list them, but you're going to see as we kind of pan through uh line item 15 the change of funding uh that was initiated to maintain staffing uh when we were losing revenue to pay for that staffing. And then the end result of course is 16. And but let's walk through each item. I think it's important to note. So scroll to the right there, Lewis. Um the next over you'll see change of funding to 6770 and 2627. So um you're not what you're not seeing there is those zeros, the 0000, right? So there is another resource available for the district to move that position to that doesn't impact the general fund. So below it, you'll see that there's zero dollars associated with that. Right. 6770 is our music arts program. uh categorical

036funding funded through the state of California to support music arts uh vapa and uh we believe that to be an ongoing funding source as of right now it's been in the governor's budget the legislature has approve approved that as an ongoing resource so uh but again for us to track it that's why we have some of this information here it's not for the presentation tonight it's so that we know that we need to do a change of funding form which initiates a process for the 26 27 years for that FTE and above you'll see it's4 FTE scroll to the All right. Next up, we'll see in um 2425, we had uh two FTE for mental health therapists. They were previously funded out of ESSER. Esser was the um COVID relief dollars. Uh there was a

037change of funding in 2425 to shift that to resource 650. That's special education. And just to note with uh 650, you're not seeing a 000000, but that is effectively unrestricted because special education funding comes from a general fund unrestricted contribution to support it. Uh just to give you um uh an idea of what that looks like, uh we have around $1.3 million in revenue that comes in to support an $8 million program. The gap there is the general fund needs to pick that up. So it's around what? 7 7 million 7.1. But you can see so 321,000 once funded through Esser dollars to maintain program for our for our uh for our district was a $321,000 impact to the general fund. Uh next up, a need for change of funding for 2627. Again, just a

038note for us. You can see no impact below. Uh to the right there, you'll see change of funding from EOG, that was an was an older kind of local program to unrestricted 1.0. And what this was was an increase of uh half an FTE to each one of the elementary school counselors. So previously funded under EOG shifted to the general fund, $150,000 impact to the general fund. Scroll to the right list. There we go. Okay. Uh this is uh so now we're on to instructional assistance. You'll see there in column uh AI change of funding of eight instructional assistants. they were all of those uh IAS had their FTE increased eight of them by2 FTE for a total of 1.6 FTE and it was all shifted to the general fund previously funded out uh through

039CO dollars in ESSER. I'll note that related to this item um initially I wasn't with the district but initially the intent was to have a TOSA at the elementary schools and uh through the budget development process and through site discussion. Uh they believe that there was a need to increase the FTE for instructional assistance and not assign a TOSA to the elementary schools. Uh so we've maintained the district has maintained that increased FTE to eight positions that was previously funded uh through the esser dollars and again you can see below 86,464. Okay. Uh next up we have can you scroll up so I can see what that is. Louis sorry AK uh that okay so we have an expiring that's on universal prek. We have an expiring resource there for 2627 uh of uh 26

04020,285. you'll see no you see uh zero there below because uh it didn't impact us in 2526 but it will impact us in 2627 if we do decide to maintain uh that that FTE we we and at this point in time the board's going to discuss this but the recommendation from staff is to maintain that FTE to support our our um TK population but again the 20,792 is an impact to the unrestricted general fund previously funded through um the uh UPK grant And again, just some more data for the district to look at. This is a big one, AU. So, there is a change of funding by the district to move all four of the site techs into measure A uh fund 21. This is uh fund 21 supports our our tech that was our

041tech bond. Measure A is our tech bond. It's housed in fund 21. Uh we did this to mitigate the unrestricted general fund impact meaning that uh the district had been structurally spending for some time and the district made the concerted effort to shift those positions into a restricted resource effectively fund 21 measure a because the bond language would allow us to do it thereby relieving the general fund of the 347,470 obligation. Now we have it on here because we need to track this because measure A is only for a certain amount of time. Uh we do series releases on measure A. need to plan for that to shift back to the general fund at some point. And then you can see the final one, there's a change of funding uh back to fund 12. That's

042a note for Carly and I don't really need to discuss that. It's kind of an inner fun shift, but there's no impact. You can see there's a zero below. So, let me bring you over to column A and B really quick. Uh line items 16 and 17 just to point out. Um so the cumulative effect of change of funding from restricted programs to unrestricted in our current year in 2526 is 725,740. So those are uh expenditures that we have that were once funded through onetime resources of the general fund is now picked up. You could draw a distinction that it's in it's it's it's tied to our deficit. Um in the 26 27 year that's that is line 17. You'll see the increase right? So moving from 725, 740 to 746, 532 and then in

043perpetuity with step and column and so forth, there will be an increase every single year. I'll pause right there before I move on. Yeah. >> Apologize for anyone that couldn't hear me earlier. The first item, the costing, that does not imply that this transition is happening in this year, right? The the decision to move to the general fund could have happened years ago, but it's just >> okay. Okay. So there's an ongoing just general fund. >> Yes. >> Okay. That's important for me to understand. So thank you. The other you brought up a little bit with the step and column but just thinking other increases whether it's you know if you hire someone who has more experience when someone retired etc. I mean is that also an area that's able we're able to track to

044see because I I assume the goal is that revenue will increase to keep up with those regular operating costs. But I guess one of my concerns is, you know, if we had a year where we happened to hire a bunch of people that were more expensive because of their experience, that's also going to contribute to a deficit that we probably want to keep track of as well. >> Yeah, it's that's absolutely that's a great point. Um, we are keeping track of that. I would suggest that um a few years ago the district uh adopted the supplemental employer retirement program, SER, right? And uh the intent of the SER was effectively to do what you just mentioned, which is offer an incentive for folks to retire um for those for those employees that retired, they received

045like a 5-year annuity, right, which uh you know help support them in retirement to pay for things like medical benefits and so forth. Uh with the intent that the rehiring would be at a lower step and column. uh also with the intent that some of those positions uh those assignments that retired may have been uh ripped or a reduction in force uh based on the lack of need or staffing to enrollment. Uh what I would say related to your question is the rehiring of staff uh at a lower step and column more or less a code >> right >> um the district for or strictly staff grants 11 and there then folks are drawing on step 12 um there's there's other things associated with that as it relates to longevity of your base pay uh

046and then similarly on the classified side I would just suggest that the district has a um has a generous salary schedule And we we also have, let's be honest, we have a really great population of students and teachers that exist in our district already and staff for that matter. So, it's an attractive place to work. So, we tend to attract our more uh qualified um more seasoned teachers and our more seasoned classified staff uh which there's a cost associated with it. So uh the end result was that no it did not result the rift didn't help us in a reduction in um filling positions also related to the riff um filling or reduce a reduction in force for positions we felt that may not need to be refilled also uh did not result in the

047savings we anticipated simply because of the shift in our population or demograph demographic of our population. So, um, you know, there may have been no intent to, uh, reduce a a class size at one of our lower grade levels and then, you know, our projections were off and we had more students at the time. We had more students at pre-registration and registration than we had anticipated. Uh, so we had to resend the layoff and we had to staff the staff accordingly. So, >> right, that answer your question. >> I guess what you're saying is like too like that's the background tide. These are the things that are always changing that we we know are changing but it's we need to be able to track that as well because you know fundamentally if those are increasing

048faster than our revenue streams that's just another opportunity for us to say we need to be more aggressive than we would like to be and that's what it feels like but I mean in your explanation gives us that background that that is actually what we're experiencing as well. So thanks. Yeah. And I'll just just because you brought up revenue, I'll just note that um the district did have a couple of anomalies in revenue um which were pretty much as a result of uh uh uh deferred tax revenue receipts for commercial properties during COVID, which was like we had a balloon year in revenue. Ultimately, this district sees an average of around 5%. It's been less than 5%. It's been more than 5%, but let's just call it an average of 5% year-over- revenue. And and

049by that I mean our property tax revenue because we're not LCFF driven uh is about 5% more than it was last year. We haven't seen any sort of a balloon at all since coming out of CO. We had about an 8.5% year and then we've settled back into the 5%. Um I can tell you this, myself and the CEO for Carmel are in constant communication with the county and looking at projections related to revenue uh because it's really tax collection that we're looking at. Um and they have been very consistent in their projections which is projecting you know we feel like it's been conservative at 5% but it has fallen around 5%. I mean last year actuals we were I want to say 5.15%. Just just over 5%. You know and prior actuals midyear we

050were tracking around 4.9%. Similarly this year we're tracking a little bit under. It's also really tough on the cash flow side for a district like this because um you know we don't receive regular revenue every single month like an LCF district. They get an aortionment. They get their revenue every month like clockwork. Um we don't we see our revenue coming in chunks. So I think it's important for the public and of course I know the board's aware of this but you know really comes in in chunks. We see a big property tax receipt chunk in December again in April and then we kind of have trickle in in between. That's why the district uses a TR which is a tax revenue anticipation note. basically bridge funding our revenue. Um Omar's times which we saw last

051year where our uh there was there was pretty significant lag in the property tax revenue even at December's tax receipts right it was millions lower than we anticipated. Now in January and February it caught up right but think of it this way when the when the last time the district received a sizable chunk of revenue was April and you're operating from April to January without any revenue or trickle in revenue. I'm talking tens of thousands, not millions. It's it's tough for a district to sustain to sustain um you know, >> right? So, one other just on the big thank you for the explanation um assistant superintendent and the other part though on the big side too looking at this table, right? There's a lot of red in funds. So, the other problem is that we're

052not getting access to restricted funds as we have in the past that we've been able to cover, you know, some of our not our shortfalls, but some of our ability to hang on to things. And that's been something that I've noticed on the board um that we just don't have access to those grants that we did in the past, whether it was CO funds or other grants that we were hopeful we would have more access to, frankly. >> Yeah, certainly. I mean, and you know, at the I want to say two budget adoptions ago, um I brought forward the fact that the district on the federal side had around a $2.6 $6 million. I called it a light switch just went off, right? That's why ultimately, you know, forward planning and not two-year multi-year projection,

053subsequent planning, but forward planning to plan for the drop off in revenue is crucial. And um I most of the forward planning was as well thought out as it needed to be at the time. Meaning that if you have restricted dollars in in in the realm of a couple of million dollars tied to tied to positions, what's the district's plan for either phasing out the positions, reducing a program, sourcing the revenue, right, to backfill that loss in revenue. And I can tell you that's what we are doing right now. We have been doing for the past, you know, few years. Um but it's very important that we really look at expiring revenues and develop a plan that is a phase in approach and not an all once all at once approach and um you know

054unfortunately we're kind of saddled with having this discussion right now. I know we had this discussion similarly last year but it is an ongoing problem. Um catabolical program revenue is drying up. There are new programs that exist the district will receive funding for. uh there's a couple of new ones on the horizon for us, but they're very targeted in how you can use those dollars and ultimately you're not using them to staff people. It's to it's to bolster program, right? So, um yeah. Anything you wanted to add, Carly? Okay. >> Trusty Wax. >> Oh, sorry. Yes. Would you like to ask any questions or add anything? I almost uh forgot you were there. >> I'm all good. Thank you. >> Okay. Thank you. Wanted to check in and please feel free to um unmute if

055if you do. Um feel free to continue. >> Thank you, President McNary. Okay, so now we're going to get into some of the recommendations that came out of our subcommittee. Uh the subcommittee was made up by CSEA, PGTA administration as well as administration to consider budget reductions for 2627. Uh really looking at how we can not balance the budget next year, but how in a multi-year uh position this district can get itself out of deficit spending, which to be honest with you, since I came in in 2122, I've just been seeing red. And every single time we bring it to the board, we see red. So we're kind of looking for the black, right? And ultimately, why is that important? because I showed on the previous slide and I'll show it again in comparison. A

0564.6% projected reserve is not something that uh we should take lightly. That's a really uh you know that's that's a very glaring issue that this district has. So some of the key principles the committee looked at for reductions were um number one you're going to hear hear me say this a lot is eliminate the encroachment of the restricted resources on the general fund. Eliminate the restricted resources encroachment. So the money comes in for the restricted program. We need to keep it in that program so that it doesn't encroach onto the general fund. Maintain contractual compliance. Clearly that's crucial when developing recommended reductions for a district. Prioritizing sustainable core curriculum programs that are student driven that drive student achievement. Adopt a balanced budget approach that may require reducing programs when supporting revenues are in decline. I

057just I just can't say that enough. Right? We've seen it happen over the course of the last few years. And yes, on the horizon, we do have other declining revenues. Not as substantial as we saw with ESSER uh and CARES Act and the COVID funds. I'll just lump it into one title. >> All right. For this slide, I'm going to pass it over to Dr. Adamson. >> All right. Thank you, Assistant S Jones. I'm going to go ahead and just go through the seven items that are listed on this slide under personnel reductions. Um and I think I just want to reiterate again what assistance join has just indicated. I think you know the fact that we are you know we we number one we know that we did go ahead and make quite a

058few reductions last year and while they helped uh we definitely are seeing that it was you know simply not enough and I think what that you know speaks to us right now is the fact that you know we can no longer look at these as incremental adjustments. you know, we can continue to try and you know, either way at, you know, professional development, but you can see already we've made significant significant cuts and really what you're seeing on there remains, you know, what's, you know, required uh for certification purposes. So really it comes down to whatever we're going to approve for next year really has to be uh significant and the rule that I keep coming back to that assistant Jordan has used repeatedly is whatever we look at, we need to ensure that programs

059and continued services are sustainable, right? And that has to be you know in the future out here. And I do just want to you know add and acknowledge the fact that every recommendation we're bringing before us it is with number one reluctance. Uh and you know also with an understanding that these are programs and services that you know have provided an incredibly important need. um that anything we talk about this evening and are presenting as proposals are by no means indicative uh of you know the the level and the the quality of that program or you know the individuals you know leading and and guiding and teaching those programs as well. So I think that's really important as we're talking. Um everything that that we've identified for this evening is really as assistant su John

060Jordan indicated is we're looking at that return to and reset to really identify what's necessary core instruction um and uh as opposed to you know programs that yes we we we know are are valuable uh but not necessarily necessarily mandated and required. All right. So I think the first I'm not necessarily going in order there. I'm going to go ahead and start with number two on the list and that is the elementary Spanish program. Here we are looking at essentially what that would be as a 1.0 full-time employee FTE uh with a a savings of annually $146,398. Um, essentially what we're looking at here, you know, we're looking when we go back four years, I believe it was, uh, when we added that elementary Spanish program, uh, it really was intended as an enrichment program

061for fourth and fifth graders. Uh, and our fourth and fifth graders have absolutely benefited from an incredibly rich program here during that time. this particular school year in an effort to uh decrease the amount of time that fourth and fifth graders will be being was being taken away from that for instruction uh both elementary sites decided to go ahead and extend uh and expand uh Spanish offerings to third through fifth graders. Uh so what that entailed was students were then you know I've only been receiving it once a week. Um and again that was as a as a need because what our what we were hearing from our staff was uh it was becoming incredibly difficult to find your big chunks of time to uh allow for instruction for those core uh the core subjects.

062Uh I do remind the board that you know when this program was offered that was at a time when we really had a lot of additional funding a lot of it coming as one-time funding coming out of co and so uh there really was the ability to uh pay for that you know program and cover it uh financially uh obviously that you know no longer is the case uh and so really the rational here is that uh you know Spanish currently is not a required program it's a program we've been very fortunate to be able to offer um and while we value world language age incredibly. We see that as something important for our students. Uh it's something that we, you know, have to consider uh because it's something we can, you know, honestly no

063longer afford given some of these difficult decisions that we have to make. The proposal here would be to eliminate elementary Spanish during the instructional day uh and really consider offering Spanish as an afterchool enrichment program, adding that to our after school enrichment uh program that we offer. The second uh position uh the second program you know on this list is uh number one that's the digital learning teacher position here too we're looking at the elimination of a of a equivalency of a 1.0 O FTE um you know this is and I the digital learning you know teaching position has provided high high quality uh certificated instruction and curricular support in STEM specifically and technology integration across all grades uh over the past goodness I think it's almost nine years maybe a little over um and

064so you again our students have been able to benefit I know as well that as a result of that position that was you know created uh that our um each of our school sites now has an incredibly rich STEM lab uh and a program that you know the teacher who's been leading that program has been able to develop with you know very rich lessons that have been able to be delivered in particular with a strong focus on our elementary uh students uh eliminating this role we understand we acknowledge the fact that this will reduce access to uh the certificated technology instruction that that position currently is able to provide um and you know definitely will shift technology use uh that particular time that currently happens at our elementary sites uh to more of the skills

065based uh use usage focused uh content uh and curricular model uh such as keyboarding and navigation. Um and again that would be something that would be continue to be pro provided by the site text of the elementary school sites. Um technology labs will obviously remain available. uh site techs will continue to support student access and teachers will continue embedding technology into classrooms instruction as appropriate and as you know they um have a need. Uh we anticipate that this may you know result in maybe less frequent visits you know to the the lab possibly you know that shifts to you know once every two weeks as an example. Um but once again that would then allow for more instructional time for teachers to you able to take back a little bit more you know of the

066control of their day to allow for those you know larger chunks of time that are needed for particularly ERA and math core instruction. We know that technology remains incredibly important uh and we're seeing that as we're you know developing our our revised edtech plan uh that balance also matters um and so again you know like Spanish this is definitely a program that we have to consider and that's the reason it is there on the list along with some of the others just as a reminder I think it's important to just point out what remains at the elementary level that we continue to offer you know programs uh we're not you know going back to only what's required failed. You know, we will continue to uh offer that intervention uh teacher support for our students of

067highest need at the elementary levels. We have one uh full-time employee at each of our elementary sites. Music, both coral and instrumental continues, physical education and that reminder that we offer that 5 days a week uh which you know is is definitely unique. Uh library across all of our sites and that's you know really across all of the levels. instructional aids at our lower elementary levels continues to provide additional learning um support for our students. Uh we continue to and will continue to offer one full-time counselor at each of our elementary sites. Uh and then in addition uh to that of course our technology our tech um uh technology our texts at each of our sites to you know assist with technology instruction. All right, let's see. The next one I will go ahead and

068cover is our high school library position. Uh the proposal here is to not do away with with a librarian or a media tech. It really is to switch that to a classified position. Uh this was actually, you know, again another proposal that came out through our discussions at the through the budget subcommittee. Um and really currently that position is a classified position at the middle and elementary school site level. Um and so the proposal is to really be able to you know maintain that position but you know really do away with a certificated um certification that's required that currently is in place. Um I think you know what's important here is you know it's not necessarily I know you know there too I think our our staff and and students and the school side has

069been able to benefit uh with having a certificated uh position particularly I think it's become it's it's incredibly valuable when you know a teacher is out or a class needs to be covered and that's been a definite benefit that the school site and students and staff have been able to um you know benefit from. Um but again this is not necessarily something that is required for the position. We would definitely still continue to have that that role. It would just be classified and then we would continue to maintain that position of clerk to support you know that position at the high school level. And the proposal there would really be to um you know it's maintaining supervision, student access and of course any research support for students who are coming you know to the library

070throughout throughout the day. Um, and ultimately, even though I know the position up there, you know, is amount, it would it would result in an approximately an $87,000 savings because we'd be switching that position to a classified. Once again, making it, you know, equitable across all of our sites having that same position in place. Uh, next and I'll address number six, that is the community high school staffing reduction that we are proposing. The community high school program currently offers and operates with approximately it's a 2.4 for um FTE uh serving you know currently I think we have uh eight to nine students in that program and the proposal for next year will be to reduce one uh full-time teacher uh maintain but while still maintaining the 4 FTE uh who currently you know serves in

071that position to offer special educational support um and really I think what you know this redesign what we're looking at for that for next year uh would you know give the key would maintain the key components of the program itself which includes individualized support the credit recovery component that's a really important one and obviously planning you know for uh things along the lines of field trips and career you know connected learning that I know takes a lot of time currently um the estimated savings there would be approximately $120,000 um we recognize of course the incredible value of this program uh and really we feel that you know through some you know sort of a redesign of the program uh we'd be able to, you know, just be able to uh realize some of those cost

072savings but while still uh you know maintaining the program because we know this serves currently some of our highest need students. So that would be important. Number four on the list uh is the reduction of one NHT itinerant position. I'll just kind of take us back a little bit through this year. recall when we were you know going through the budget development process this time last year uh we did go ahead and make the agreement to maintain you know that third position as a temporary position. Uh we have you know that currently that will expire at the end of this year. That's how the position was posted and we knew that yes those funds were onetime funds that you know end uh in in early June of 2026. Um what we are possible right now

073is two options for the board to really be able to discuss and consider as we look ahead to next year understanding and knowing you know what the needs are. um is the first you know essentially is well before I even go through the the two proposals uh we have identified and you know I really want to give uh thanks and and appreciation to executive director C Anthony um you know something that she has really been incredibly diligent about since coming into the position uh has been uh she has you know really severely been ensuring that we go for and apply for medical science so there has been you know significant reimbursement that has been occurring uh while it was happening before she arrived, you know, she really, you know, put uh that priority, you know,

074on the funding. So, we have a good amount of medical funding currently as a result of that. And again, I say kudos to her because even with no additional staff, you know, we know that that's a department of of two people who leading the entire district, uh we've been able to realize some of those additional funds. Um so option one would really be you know utilizing those medical funds uh would be to uh extend that NHT position as a temporary medical dependent role. That's really important uh that we you focus on that option would allow the district to continue the position for you know at least one additional year into next year while maintaining that flexibility uh should medical funding decrease. uh currently we don't have enough I think you know assurance that that amount

075is going to continue uh you know for us to be able to realize you know those that funding for you know the outgoing years you know next year would really allow us to you know determine you know with certainty that that is something that we can rely on as a sustainable source of revenue um extending that position for one additional year would allow us to you know number one assess that stability uh but again it's that um not Again, that would only be a viable option as long as we would be able to post that position as a temporary position and link it directly to that um specific source of funding. So that is something we are exploring currently. The second option would be to utilize your those funds and you know put those towards

076uh contractual services with uh Montterrey County Behavioral Health. Um it's definitely this is the more cautious approach. Um uh but it will allow for uh us to contract to an outside source uh for you know individuals to come for mental health uh therapists to come in and provide services specifically for at the elementary level for our students with IEPs. I think the challenge with this particular option is that MCBH, you know, their uh contractors, their their their specialists only uh only do will only provide services to students with IEP. So would still leave our nonIP students students who are currently receiving some of those uh supports and services. Um and that would really shift that uh role and responsibility over to our coun counselors at the elementary level. that is you know what would have

077occurred before our mental health therapists came in but again that's definitely something that we have to consider as we make those decisions. So both options would keep cost neutral to the general fund uh and avoid uh creating a unfunded permanent obligation uh that we're really trying to avoid moving forward. Uh number three on that list is a 1.0 OFT elementary teacher and this is a reduction that is based solely on enrollment driven class size adjustments. uh based on projected enrollment sizes and numbers for next year, uh we are going to be seeing one grade level that would no longer support the need for three teachers at a particular grade level. And so really it would be the result of a reduction of one of those positions and all staffing as we you know stated and

078as we you know have have practiced in the past obviously continues to align with uh enrollment as we know that it must. And then the last uh position there is the adult transition program part of our ATP program and uh this is specific to PAR educator staffing. Uh we're looking at an estimated savings here of of $78,000. Uh and this again is p is based purely on staff enrollment. We are looking at uh a reduction in the number of students. We have several students graduating out of that program and not a lot transitioning into it just based on you know the the grade levels of you know upcoming students. In fact, we're looking at that for at least the next two years. It'll be a really small program. So, as a result, we have the,

079you know, ability to be able to reduce, we won't have that need for um all of the PAR professionals who are currently working in that program. Essentially, it's a reduction from five PAR educators to um to three. So, a reduction of two. So, that really is, you know, those are the personal reductions. Um I think just you know in closing before I hand it back over to assistant superintendent John um you know reminder that we are not alone in these difficult you know changes that that we and decisions and reductions we're having to make. you know, I am in close contact with particularly our two neighboring, you know, districts, NPUd and Carl. We meet regularly. Um, but just last week at NC during a public hearing that they had, MC staff actually shared, you know,

080an overview of all of our districts in Montter and there are significant deficits and we were talking, you know, multi-million dollar deficits the districts across the county and really across the state are facing. um you know I it's it's not these are not decisions we want to have to be making but at the same time when compared to you know what others are having to you know look at and consider um you know again it's we're not alone I think that's the important piece there um so with that I'm go ahead and turn that back to you Mr. Before we move on to operational reductions discussion, does the board help any >> or do you have any questions about the personnel reductions that were just presented? And again, there'll be time to discuss at the

081end of the meeting, but just any questions about the presentation. >> Um, I have a question about um the adult transition. Um it's not coming out of the adult school budget. >> No. >> Yeah. So yeah, probably >> it is funded by the special ed which the general fund does give a contribution to. So it would reduce the contribution from unrestricted. >> Okay. For now. Thank you. say operational reductions you'll see in the middle there. Uh we we took a look again at travel and conflence 20% reduction 23,271 and the district's going to maintain a 20% reduction. Now where it's tough to maintain a 20% reduction ongoing is with restrict tide restricted programs. I mentioned that before on a couple of the previous slides. Materials and supplies maintaining a 5% reduction which we already reduced

082last year 55,000. Item three, this is the school resource officer budget 100% reduction out of 2627 budget. Item four, the elementary summer school program. We did take a look through the subcommittee at the summer school program related to ELA and related to our uh reading uh intervention and um this was a recommended reduction to bring forward of 65,836. And Lewis, if you could just click on that really quick, kind of give you an idea of what we're looking at and then zoom in. So you can see where this is this is the total cost of operating the summer school uh ELA or sorry EL and um sorry and read intervention program. You can see the number of the basically four four staff teachers totaling around 44,000 for the summer. Uh you can see the breakdown

083by grade breakdown by student number of hours associated and then of course the hourly rate associated with each one of those instructors. Also the costs uh there was other costs to the program there. um non-sped administration, special education, IAS, a health clerk, and clerical staff. So, all in all, that's totaling uh 65,836 if the board uh gave the district direction to uh eliminate or press pause on the elementary summer school reading intervention EL. And I'll I'll stop there with questions or comments before we move on. >> So, yeah, I was I was confused about so that's the budget. You're saying basically this is a proposed just elimination of there would be no summer school this coming year. >> There would be ESY summer school for our extended school year for our special education population and

084then there would be credit recovery high school summer school. >> Right. But but my problem okay I wasn't clear from this if this was a reduction in the budget or a pause. So that's thank you for that clarification. >> And to be clear on on the last slide you don't have to go back to it. You saw like EOP really what those are. Are we still planning to operate the summer program with the city of uh Pacific Grove? Our ELLLP summer program, full day program. So those numbers, some of those students were ELOP summer program, summer camp students as well as reading intervention ELD students. So to be clear, we will maintain the ELOP program in the summer fund 14 transfer. So a little history there. Uh about four years ago, the board uh you

085know made a I know that at the time it was a great decision to begin transferring from the general fund uh unrestricted dollars to support fund 14 and fund 40 that is our deferred maintenance fund and our capital uh assets outlay reserve fund. And the optional for that was there was essentially no revenue source uh assigned from the state or on the general fund to support uh capital outlay or deferred maintenance. uh cap I want to save for maintenance at the time had less than $100,000 beginning balance with extensive amount of expenditures tied to it and fund 40 was essentially um balancing itself out with the revenue generated off of David Avenue school. Uh the board last year uh so within this year's budget uh froze the fund transfer of $200,000 from fund from fund

086A1. So it doesn't exist anymore and now we're proposing the freeze on fund 14 transfer. Uh that's not really a sustainable long-term solution, but it's certainly something we need to look at, you know, when we're considering sizable reductions across the district. Uh, measure D was essentially a deferred maintenance bond and we've exhausted measure D, but with the passage of measure B and a lot of the modernization that's being proposed, um, that entire program, we brought to the board on the 5th for discussion, uh, we feel like now is a good time as a recommendation to pause that unrestricted general fund transfer to fund 14, uh, eliminating the $200,000 obligation uh, in perpetuity or again, we need to work through the planning on this, but certainly for the next few years, it It certainly makes sense.

087You know, on the revenue or rent adjustment side, although these numbers are very small, but I think the important thing to note is item number one, which is increase athletics revenue, athletics revenue. So, the general fund supports uh high school athletics to the tune of around $150,000. Uh we've prior years where those those the supports been in the $250 to $280,000 range, and that's really being supplemented by one time restricted resources that were pulled back. But projected ongoing uh the athletics department is going to need $150,000 plus to sustain travel like buses, referees, league boos, right? There's all those things that are not generated through uh not generated through fundraising and coaching staff uh and through Breakers Club. So that 30,000 could be higher. And I will say that um we're kind of beta testing

088this spring uh the gate fees. So, one thing this district has not done as far as I know it for some time now is aside from around three or four fall sports and I think one winter sport collected gate fees for our spring sports and for many of the other sports in the fall and and in the winter. So, uh we'd like to implement gate fees. We'd like to implement potentially a um a four league uh uh card program. So, this is basically in development right now uh and we're trying to beta test it this spring. So that $30,000 in revenue I think is a low projection, but again that $30,000 in revenue is not going to help mitigate overall the general fund, but it could reduce the $150,000 contribution from the fund to $120,000

089or 100,000 or even less is what we're driving towards. So, uh, we've had a couple of meetings with the high school staff with, uh, with athletic director powers and he has some really great ideas as to how to approach a new revenue source to that's sustainable to provide support to our athletic programs. Um, so more to come on that, but right now we're proposing a $30,000 increase in revenue uh to offset that general fund contribution and then a shift of our gate contributions to site funds which the general fund had been contributing to as well. Um there was more substantive conversation around many of the other programs uh related to GATE and AVID that came through our budget subcommittee but they didn't flush out through the subcommittee's recommendation. So you're not seeing those tonight. These

090are the recommendations on the revenue side. So in summary at the bottom you'll see uh ongoing relief of 89,575. That's general fund relief in perpetuity. onetime deduction relief of 174,268 operational ongoing relief uh you can see is uh for on the operational side 169,168 ongoing and then measured relief that's at $200,000 on fund 14 I say measured because we're going to have to readress that at some point down the road to m maintain uh healthy balance in fund 14 to support deferred maintenance and then revenue program ongoing you can see right there 36,192 to uh will be the new revenue derived slide. There we go. Thanks, Liz. So, uh with reduction of expenditures, uh we needed to look at ongoing expenses as well. Uh and as I mentioned previously in the presentation and and I'll

091make a note right now, this is kind of what we know of at this point in time at this snapshot in time. uh we haven't began the process of budget development with our sites. Uh we're currently in the interim reporting part of our budget cycle right now whereby uh we have to uh do our second interim report which is expenditures through January 31st. Once we get through second interim reporting, you start our budget development process. But these are some these were some um some some needs of the district that we know at this point in time. Again, these needs might grow, which would overall reduce the projected savings through the through the proposals this evening, but uh we have two and one is an increased health clerk at the high school of 75 FT. That's

092an increase of 74 73,492. And as you'll see there, the district nurse has currently been filling that role for some time now. There's no vacancy. Um and really we you know there's there is certainly a need for our district nurse to serve in the role of district nurse and not necessarily a sight specific health clerk. So certainly a need there. Um so we're proposing an increase in expenditures there. And then um related to the reductions that Dr. Adamson spoke to the 75 FTE library of media technician uh to support the high school. That's an increased uh uh new a new expenditure of 78,155. And of course that position is supported by there's a library media tech 3 that's at the high school right now that's a 0.5 FTE. So all in all it would be

0931.25 FTE to support to support the high school. So here's the summary. Um and we've kind of talked through this as we go but I think it's important to rehlight. We're looking at sale reductions on the top operational reductions and revenue and program adjustments. It's all across the top. Uh new ongoing expenditures in the middle and then overall budgetary relief summary down below. You can see that we're we're proposing a total budget reduction including one time of just about 1.4 million. Some of the ongoing expenditures for a total ongoing unrestriction general fund relief of just over a million dollars. And and again I know you may be thinking about the math there. So the 1.4 4 million includes one time. That is if the district were to uh to um no longer retain the mental

094health therapists andor uh uh move that into a general uh general fund obligation. So, uh in total, new net multi-year EGF relief on the general on the unrestricted general fund side of just over a million dollars. Here's a really important slide for us to look at. So with the with the projections uh you can see they're 2627 and 2728. So if you're looking at this again the metrics are the same. I showed this before. This was our multi-year projection for 2627 and 2728 in its current state. If you look at the column in in uh green at the top metric being in green 2627 projections with the reductions and again the 2627 projections include 2% increase to salary schedule a percent increase to health and welfare. Uh you can see here that the change from

095the the u the column to the left there is is relatively substantial. It's basically it is halting the slide on deficit spending substantially. You can see you can see a beginning fund balance of again it's the same 5.1 million from this year to next. You can see the revenue there is the same as in the projections from this year to next. But you'll see on the expenditure side a reduction of expenditures from 51,47 to 50,438. You'll see there still is a deficit projected in the 2627 year of 831,600. You can see the breakdown below which is substantially different than the breakdown in the column to the left. On the unrestricted side, it's down around 660,000. Restricted side is down a little bit to 516. But overall, you'll see starting to see an ending an ending

096fund balance that's relatively healthy for our district of 4,339 612. And again, I'll re highlight the fact that our monthly liabilities in our district are around that amount. meaning if we were to experience economic uncertainty in our district, we at a minimum would have enough to maintain our monthly liabilities for one month. Uh it does bring the reserve level up to 8%. So that is good news as it relates to um implementing some of the all of the projections or the uh the uh projected reductions brought forward tonight. 2728 projections versus so current versus uh implementation of all of the uh reductions proposed tonight. This is the first time uh this since I've been here that I've seen a multi-year projection that shows the unrestricted general fund in the black. That's a surplus. So you'll

097see we'll begin fund balance of 4.3 million in the outear revenue of 4.1 again unchanged in the from the prior year projection but again a reduction in expenditures from 5187 down to 15918 you see a small deficit on the restricted side but on the unrestricted side we see a surplus an ending fund balance of 4.8 million and reserve level is ticking up to 9.1%. So, all in all, I mean, you can see the summary down below. Really, what we're looking at here with the recommendations tonight is is essentially stopping the slide that this district's been experiencing for over 6 years now, lifting a 5.6 5.6% reserve to an 8% reserve and a projected 4.6 reserve to a 9.1% reserve, which is pretty dramatic. I'll pause there for questions or comments from the board. board. Any

098questions or comments at this point? I >> think just one that it I know it's stated in bold there, but there are no increases in salary in the 2728 projection. >> That's correct. >> Yep. >> Okay. And then the other part I mean which the other part I'll just say you know you mentioned about this like I I think I agree with you and my memory could be 100% wrong here assistant superintendent that we haven't seen these the the black on the unrestricted for an out year but obviously like we've made decisions to try to get there but we keep hitting I don't want to say like long terms but we keep hitting these unexpected costs or unexpected um cancellations like of you were saying like the light which some of them were expected but

099I feel like we have seen black on unrestricted funds looking multiple years out with some of the decisions we've made but that's clearly not what we're experiencing if that makes sense because of again a number of factors we've already discussed >> yeah there's there's a lot that that kind of to unpack there uh that lends to this um you know there are certain there are certain constants that we build into our expenditure projections which are stepping column CPI increase utility cost increases. Uh the the uh those are those are our managed costs, right? Um well, negotiated settlements are also managed costs, but this district has had negotiated settlements. Every year we've been deficit spending as well. So that also can run into the deficit. It might some examples from my memory. So again, I could

100be completely wrong, but I'm thinking of there have been fees, you know, associated with instructional days of the high school that are not in any of your projections, right? Like years out, like, you know, we don't plan to have a a a chargeback. We we also, you know, thinking of other examples like that, which I think my brain just >> the MMA assessment was one. >> Exactly. The the financial uh payment we had to make due to the lack of fiscal solveny of our healthcare >> mix assessment. Yeah, that's that was a big one again. So these are the things that again that get really difficult for me to wrestle with because we don't project for them, right? We just that's not part of the process. But we need to be projecting for some of

101this fiscal uncertainty even if not on paper in planning so that we're when these additional fees come up, we're not like, hey, we made some good decisions. Oh no, we're back where we started again because of these additional things that come through. And that that's just I don't have a good answer to that, but that's the one that I'm kind of wrestling with a lot here because it's Yeah, it's it's hard to account for in the numbers. >> Yeah, I would say to add to that and ask Carly this, but I would say last year our budget to actuals was might have been the tightest this district's been in some time. We were less than a percent a percent off, which is I mean 3% is a relatively normal swing. So I guess from from

102projected expenditures to actual expenditures was really tight last year and it's it's kind of looking that way this year. Uh no we have the anomalies on the revenue side for us certainly right but it's really tough to project those anomalies right we're not certain if we're going to receive prior year tax receipts or delinquent tax receipts or there's a number of other items. So, you know, um it's really tough to kind of point the finger at the I mean, look, on the revenue side, if if uh with Prop 19, which was passed a few years ago, the impacts of Prop 19, um we have not seen in our district, which is effectively seeing a year over increase in property tax revenue uh through through home sales. Right? I think you look and I'm I'm not

103going to go down a kind of take a boardwalk here, but I think it's important to note that you know a neighboring district that's a basic a district uh over around I want to say around 30% of their property basically is uh not a Prop 13 capped property. Meaning that um you know the tax revenue levy off of 30% of their properties is relatively constant and steady because it's it's been in families for some time and so on and so forth, right? Um we're flip-flopped. We're the opposite. Over 60% of the properties in our district are basically a a 13 cap property, which means that um as an example, a home was bought for $150,000 in 1972, they're still paying property taxes on the home that was bought in 1972. So over 60% of our

104assessed valuation uh is is more or less locked in. So you're not seeing that influx of revenue. It's certainly something we've been talking about for the last 3 years. We just haven't realized it. So, I just want to be clear, this is not meant at all as a like you guys have made mistakes. You guys, the budgets you presented have been, like you said, spot on. It's just how do we prepare for that uncertainty in our long-term planning when our revenue to expenditure is so narrow. And that's that's again, I'm throwing that out there not to get you to answer it, but No, no, no, no, no. But but I'm saying that this is just an issue that we have that needs further addressing. You know that makes sense. >> Anything else from the board

105at this time? I know that's small. On the last on the last slide, I'm just going to cover very quickly the budget solicitation timeline. So um January 7th we did meet with our leadership team and go through um some of the discussion points that came out of our subcommittee and again the budget subcommittee which was represented by PGTA, CSEA and administration had three meetings uh where the information being presented tonight was um where it came from. So we had with our leadership tool January 7th to discuss. Um tonight we're having the um sorry January 13th we had our final budget subcommittee meeting. Uh since then we've met with PGTA and CSA. They also again I'm represented uh at the meetings that we had on at the subcommittee. Tonight is our board study session uh where

106we reviewed everything bulleted here. January 22nd um through February 5th we're going to continue with our site meetings talking with our sites gaining further input. first opening further discussion. Uh early to late February, we'll have a committee information session and that's kind of all based on the outcome of the um direction that staff receives from the board tonight. We do have a board meeting on February 5th where uh staff would like to bring forward an information item, non-action item related to reductions. February 26, we'll have a special board meeting which will require an action and that's the layoff resolution and and tiebreaking criteria presented by uh Chief Odman and in human resources. February 5th through March 14th. Again, I mentioned we're going through the budget development process as soon as we get through interim reporting.

107So, uh that starts in February and that will actually continue all the way through up through March 14th, but it's going to continue until annual budget adoption which is in June. on the March 5th board meeting uh which is an act forming layoffs associated with uh the direction given by the board. Um and then of May 21st we will have public hearings for our LCAP and budget adoption. June 4th we will have an action item for our budget adoption and our LCAP. That concludes my presentation for the evening but certainly we will begin further discussion. Thank you for the very uh thorough presentation. Um we will now move on to um public comment. Um public comment for this item is limited to three minutes per speaker, not to exceed 20 minutes on the entire item.

108Um just to note that the board cannot respond to public comment. can um direct something to staff um for to be addressed further um and this is a meeting of um the board board business under the Brown Act conducted in public and I'm sorry I'm kind of winging my public comment speech because it is not sitting right in front of me right now but I think those are the basics and um we can begin now we will al alternate between online and in person if if we have any um if anyone in person would like to approach the podium, you're welcome. >> Yes. >> Oh, yes, please. And there is a a microphone button. You'll see a green light button. >> There's no button. Excuse me. You'll see a green light to start for three

109minutes and then the yellow and red for warning and time. >> Okay. Um Alex Morrison, district librarian. I'm going to get as much as I can out because it's been a very difficult week. Um, on Friday I learned that my position was going to be removed. Um, and I think what's happening here is that there's a a lack of understanding of what a teacher librarian does inside of a library. So, I just want I had a whole speech, but I just want to walk you through one of my days today. Um so uh Friday I was told my position would be removed. Um today I was responsible for supervising over a 100 students. So 1/5if of our school population at the high school. Um 70 at lunch and then 30 you know in throughout the

110day and then handing out materials to them. materials that I curated and picked and arranged. Um I was also being the credential employee. We have a testing center in the library. So we will not be able to have a testing center in the library if there is not a credentialed employee in the room. And that is something that helps with um accommodations for students. Um I was checking out several books that I had carried for students, walking them through and giving them recommendations and uh helping them with that. I was proctoring the map testing that was going on today. So uh again that was another class of about 40 to 50 along with um helping out with troubleshooting throughout the entire school. So, I would go and help them out if they needed it. Um,

111I will also be teaching five classes in EPCO research next week and um digital literacy. So, I'll be teaching those. And then um our uh bearded dragon passed away this morning. So, which I've been working handinhand with um Audrey on working with her students who needed the uh support and that was a main support. So, we had to talk through with them and make sure they were all right. And it's been something so I've been working handinhand with her. I also wanted to say one more thing about um the idea of I heard that some of the technology teaching may go towards our uh classified librarians. Um, I thought that was mentioned as a possibility, but I just wanted to say something whether that's true or not, that our classified librarians are um work tirelessly,

112incredibly hard, and they are the greatest asset that we have at our elementary and middle school sites for uh mental health. and they work and they don't get paid nearly enough or taken care of. Thank you. >> Thank you for your comment. >> We'll go to the commenter online now. Zoe Schultz, you have the floor if you can unmute. >> There you go. Thanks very much. >> Um, thanks for the wonderful presentation. I thought this was very well thought out on behalf of the subcommittee and staff. Um, and I'm happy to see that the board and staff are looking at a multi-year approach. Um, because coming into tonight's presentation, I was thinking, why are we here again just after last year considering some of these similar reductions? Um, one program that I would like to

113advocate for its continuous continuence is the elementary Spanish school program that has been of great benefit. I advocated for uh Spanish language instruction uh at its onset. I think it was during the COVID years. I understand some of these things were funded through one-time funding. Um but I do think this is a a really great program that I understand is not mandatory, but it's a really great program. I actually think the Spanish language instruction throughout the curriculum of PGUSD is not sufficient u and should be bolstered rather than uh cut. Um, so cuts to this and suggesting that afterchool enrichment, which is a paid program, uh, I don't think is a a wise move on behalf of the district. I do appreciate all the extra education on top of on top of what our students

114get in their core subjects and I do feel that having a language is a requirement for um, a lot of college uh, graduations and success in career path and u being fluent in Spanish is uh, very important for the trajectory of our children. Um, I actually believe that we should probably flip the Spanish language instruction on its head and start getting Spanish immersion at very young grades. Um, rather than kind of chasing chasing that effort as children get older and uh, that was a comment I had uh, when the program was adopted. Um, but generally speaking, I think you know, unfortunately tough decisions are having to be made. U, I appreciate the uh, the thought that went into this and just would advocate for the continuence of that one program. Thank you very much. >>

115Thank you for your comment. Um, any other commenters in the room? Go ahead. Whoever would like to go first, >> you have the floor. Miss Cordova. >> Thank you. Hi, I'm Audrey Cordova, mental health therapist at um for the district. I'm at PG High, PG Community High, and I see people at ATP. Um, less than a month ago into my temporary assignment as a mental health therapist at PG High School and PG Community High School, this was 3 years ago, I received a call uh on a Sunday morning that one of our students died. In our grief, our community committed to prevent any more tragedies by offering our students more support. The proposed cuts to mental health and certificated staff at PG Community High and PG High School, our librarian, has me worried that we've

116forgotten. We have multiple years of data that students use more help for mental health and substance abuse intervention every year. The need keeps growing and it exceeds our resources every single year. Taking away certificated staff like the librarian, like a mental health therapist, like a a certificated teacher at Community High impacts hundreds of our students well-being and access to safe spaces um for prosperity, security, and belonging. To reduce anything at PG Community High means we undervalue the importance of students who have been marginalized and finally found a safe space for prosperity and belonging there. This these are students who used all of the traditional resources we've had on all our campus and despite all that needed and finally found a space in the words of one student that's better in all the ways. So, please,

117please, please, I know you're thinking about it. I know that it's not an easy decision, but I really, really, really, as a community member, as a provider of mental health services, as somebody who for the past almost four years, every single day, I'm confronted with all of the things. We read about them in the paper. We read about tragedy. every single day. We are so close to just being dangerously with the budget, right? Dangerously close to being in the red, but also dangerously close for being in the red for um risk to the safety and wellness of our community. Thank you. >> Thank you for your comments. >> Go ahead in the room. Uh, hi. I'm Charlie. Um, I would like to address the subject of my dad being uh laid off. Is that correct?

118Okay. Um, I just um would like to say that he is uh in like the center of the school. He has always been there to um help out all the teachers and uh he substitutes and stands in for lots of classes and um he helps with tech and taking out the books. like just today um he we tons of students from my English class sent uh because of map testing and uh they sent him or they sent the students right to him and he helped him out and uh I would also like to address the issue that uh if he gets laid off uh I no longer get to attend the school uh and Um, I would also like to say, uh, adding on to Miss Cordova, uh, she had a really good point with

119the substance abuse and stuff for the kids. I see that a lot, uh, in the school bathrooms and tons of stuff. It is a really big issue and I think a lot of them do go to Miss Cordova and I think her position is also very important. Um, going back to my dad, uh, he really tries his best and, um, I think he definitely does more than he's asked to do and, uh, oh, it just, yeah, put that out there. Thank you. >> Thank you for your comments. Is there anyone else online or in the room who would like to make a comment? Go ahead. >> Hello, my name is Robin Peterson. I am a freshman at Pacific Grove High School and I would like to address the issue of our district librarian being laid

120off. Now our library is at the center of the school both figuratively and literally. Countless students every day come to research new topics and use the countless facilities, the countless tools available to them to pursue their academic efforts. Just today, I printed out the introductory paragraph to my essay on Homer's Odyssey using resources in the library that I would not have been able to access without sufficient leadership in our library section of our school. Additionally, any district's librarian, especially one as skilled as Mr. Morrison in the front row is essential to the growth of our schools and district's library programs. Our library programs or at least when I attended them were fine. They were good. But in order to pursue future growth, we need to have a district librarian who can keep our focus on

121the right track. so that kids can learn not just to read properly and analyze text but also to love reading. Thank you. >> Thank you for your comment. >> Hi, another Morrison here. I'm Shannon Morrison, wife of Alex Morrison, and I want to tell you a story. Uh, Alex Morrison was hired to be the digital media specialist aka library technician at Monterey High School back in 2011. And we re we relocated with our infant child. Uh we actually met uh the Peterson family at parents place at the adult school and we lived on Lighthouse Avenue and my husband used to ride his bicycle because we shared a car and we were living uh below the poverty line on the classified salary schedule at uh Monterey High School at uh in in NPUSD. Um several years

122later, I think it was five or six years later after working in this classified position, which by the way, he was hired as a media specialist. And then day one they stuck him in the library like oh you're also in charge of checking out these books too. It wasn't made clear that um that was part of the position that he was actually doing the role of a librarian but not being paid or recognized for that for that work. Um so fast forward five or six years uh and and the position um I am forgetting her name uh the former library >> yeah PG high >> Caroline um was retiring and uh Alex applied for the position and he was hired contingent on going back to school obtaining a master's degree and his credential uh of

123which we are we took out student he took out student loans to um and he got the certification. This is his second masters. He has an MFA in media uh already which is what made him drawn to this the other position. Uh and it was during the recession last time which it feels like we're coming back to another recession with all of this as we're saying uh the school districts all around us are are having these challenges. Uh but he has had the training uh which is really essential in this time when our.gov gov websites are no longer viable sources of information. Um, he is connected with the teacher librarian network to know what is up and coming, what is what is the things that our children need to know about as they're writing research

124papers. How is AI going to impact our students and our in our classrooms? We already see kids using AI in inappropriate ways, getting around actually writing essays. and he goes to the elementary school starting as early as fifth grade talking to the kids about what it is, what a what a good source is, what a viable sources having that digital lead uh literacy and knowledge. And I see that my time is close to expire, but I just I just really want to advocate because I just don't understand why we would eliminate this essential position who who supervises the other texts. There are he's the only credentialed librarian in the district and he provides support to all of the library techs and they meet monthly. This is not it's it's for a reason that there was

125a credentialed position. Please don't change this. >> Thank you for your comments. Good evening everyone. I'm Mark W. Clark. I'm the Spanish teacher at Pacific Grove Middle School. Uh people might know me as Seenor Clark. Um uh I love teaching Spanish because of a million different reasons. One of the new reasons I've been able to uh discover recently starting last year when we expanded to a sixth grade Spanish uh elective wheel is a new level of excitement of students who feel capable, who feel energized, who feel really um excited to explore the culture, the Spanish speaking culture using the Spanish language. and that's due wholly in part to the wonderful work done by our teacher at the elementary school level. Um and eliminating her position would be a dire mistake from the school district. Um

126additionally um I want to uh mention Mr. Morrison. Um the average uh adult in the United States reads at a sixth grade level right now. eliminating programs that promote literacy is a massive disservice to our community. I think that's something to consider. Additionally, um our our students need to learn how to uh assess viable sources and appropriate use of technology and AI. That's another thing that needs to be discussed as well. Uh I fully uh support the preser preservation of the Spanish program and of the uh library position at the high school. Thank you. >> Thank you for your comments. >> Yes. Go ahead and go up to the podium. >> Hi, good evening. My name is Randy Buckley. I am a parent of one of our speakers tonight. I'm a little jetlagged. Uh I

127was just I go to graduate school in England, uh low residency program, and I was at the Baldian Library earlier this week. It's a work of art. And getting the tour of the pod, as we call it, I get to call it that now as a student. We learn that the university is as good as its library. It's as prestigious, but it is as educational as its library. And that is the culture there. And I think about what I often read in your your newsletters. Thank you. The culture of we. And I think we have to ask the question, who do we want to be? Right now, without a Spanish program, without mental health, with decreasing library services, the district becomes less attractive. And I see that enrollment number that you've you've pointed out shrinking

128over time. And without crucial services, it becomes less attractive that enrollment will drop. And of course, I suspect you'll have similar conversations about challenging conversations about budget. But as an existentialist, that question comes back to me again and again. Not just where do I want my kids to be, but the culture of we that is so important. How do we make this work? How do we preserve the integrity of the school district? How do we preserve the high quality standards? And I think that starts with keeping an outstanding librarian of the highest level in these other incredible programs. And I just have to say whatever Senor Clark says, you got you should go with it. Big fan. So, thank you very much. I know this is very challenging, hard deliberations. And I also think we're

129incredibly creative and the culture of we needs to come together now. Thank you. Thank you for your comments. Um seeing no further public comment and also because we've reached um approximately the end of our 20 minute period um I will bring the discussion that back should we can we please take a five minute bio break and then we that is not because appreciative because I would I need a five minutes and then we will return for the board discussion on this item. >> Bless you. And on that note, >> one more time. >> Thank you for warning. Um, we will bring it back to the board now for discussion of the presentation and the information we received tonight. Just as a note, um, we're not taking any action as a board tonight, but the board

130can um, uh, give direction or recommendations to staff for uh, next steps or moving forward. So, with that, I will open it up to the trustees if there's anyone who would like to start us off. Um, you're welcome to Trusty Wax, you included. I don't want to forget you in Zoom land. >> I am not forgotten. Thanks. >> Thank you. >> I can start if no one else is chomping at the bit. I see you reaching for the mic as well. Um, clerk show us. I wanted to say, you know, one thing just given the discussion, you know, some of the stuff that was brought up, one of my preferences given the way you laid this out would for the medical funds opport option if we have to give some direction on that. That's one

131that I'm leaning towards over the the MCBH contract. I partially we moved away from the MCBH contract for a reason. And um even though it's going backwards um you know that I mean I don't want us to go backwards. Let's say it that way. Um, the other thing I was going to say just really quickly on on this too and then I'll I'll put together just some high level comments is that you know I'd like us to explore at least a board norm if not a board policy on one-time funds going towards only again contractual rather than like so the problem is as a board we come on blink on and off and we don't understand always until year one or two of serving. So, we need to have a way that as a board,

132we're providing that background to new board members to say when you put one-time fund, you know, positions on the general fund, the sustainability just simply is not there because it's a lot easier to say no at the beginning than to say no where we are now. And then just quickly on the high level, like I do I do want to say say thank you to the budget subcommittee in, you know, including the district staff here tonight and those that participated. been unusually I agreed and we don't normally say this but with all the comments made at microphone tonight as well. I honestly hope we would be in a better position by making some difficult decisions in the past few years. But it's clear that, you know, for a number of reasons, spending has continued to

133increase faster than revenue. And again, that's some of our issues. That's some issues from I don't I don't want to say, but I'll say higher powers um in a educational sense. Uh I'll also express my disappointment with the management team as a whole. And I'm being honest about that because really putting myself in the spotlight here. Like I was one of the ones here that has been supporting again the structural deficit spending and it's a problem that we can't keep kicking the can on. That 4.6% number is about as scary as it gets for a board member. That's something we're train we are trained from day one on. So, you know, I do think given our existing costs as a district, we need to continue pursuing one-time funds to offer some basic services for our

134district, which is really disappointing place to be. But I also recognize this is not a permanent solution. And frankly, while we all I think may wish things were better financially, I can't say enough how wholeheartedly I wish they were, I feel we simply are at a place we do not have alternatives for making some necessary decisions, even when painful. So please hope you know again everyone in the room everyone know these decisions we're making are not something we're that are going to help us sleep at night but we're stuck in the the world that we as a society and as a board and as a management team have created. So I will stop with my comments there. >> Okay I will take over. >> Okay. Um, okay. First about the librarian. That's definitely off the

135table for me. Okay. The librarian is integral to the comprehensiveness of a high school. It's got to be a certificated position. It should not be equated with what's going on at the elementary libraries. It's different. We've always had a certificated librarian. We will continue to have a certificated librarian because it will crumble what comprehensiveness we have managed to keep together at a high school that has shrunk and um you know that that has a lot of pride. So, number one, that's for me. Um, and then let's just stay on the high school for a minute because I I think okay, the idea of increasing gates at the athletics is and I would like to hear Dan P's suggestions on what he might want to do with this, but just increasing gate fees is counterproductive in

136my opinion because we don't have enough people coming to the games to begin with. We want more people to come to games and we certainly don't want to start charging the kids, the students fees to come into the games. No, it's important again for the comprehensiveness of a high school to have your sports program solid, dependable. Um, last board meeting, I asked the student up, what does she think about the size of the high school? What does she talk about? She knew four or five kids from middle school that decided not to go to our high school, to go to Stevenson, Carmeell, wherever. But she didn't say that those kids decided to go to those schools because they had better academics. No, they went to those schools because they wanted to get a sports scholarship.

137Somehow their sport programs were showing off better than ours. And that's a little fact, okay? It's part of the comprehensiveness again of the high school. It It's meaningful. It's so meaningful to the kids. We got to have at least a couple of teams that are winning. Okay. Got to So, we need to look at that. I'll be glad to get together with Dan and because I do think there's ways to um increase um financially support from the public for our sports programs. There'll always raise and um so I'm just putting that out there because I think trying to just it's already difficult for the older people to come to games because they don't know how to use their iPhone to use the the new system of how you pay for your your entry. you know,

138I've heard a lot of, you know, people that have complained they can't give you cash just to get in. So, that's that's something I'm kind of big on. Um the other the digital learning teacher again I think when we instituted that position do you know when that position was started >> he's n 10 year I'm looking back director I know nine years after it probably coincided with the Yeah. with our with our um um funding with our >> bonds. Yes. With the bond. >> Yeah. Right. >> Okay. >> Well, yeah. >> Yes. Um again, this position, I mean, in this day and age, I don't see how we get away from that. I mean, it's it's only going to become more necessary. And um I think what we really have to look at, and I

139know that I mean I I threw this out there one other time when we were talking about um the preschool position. Um when we start looking at how much staff we have and what the expectations are of this community because the community drives what we do. We are not staffed at the elementary levels to our contracts are we? Why? You know why? Because the parents don't like that. So we don't do that. We don't put 29 kids on second grade. Okay? We don't do that because we get a lot of flack for that. All right? So, I'm just saying that even though our contract with the teacher says we can, right? And but you know, and I have the experience of looking back for when I was on the board before and all those times

140we we could have done that too and we got a lot of flack for that. Well, you they don't want that. Okay. So when you're looking at personnel and you're you're looking at cutting really key personnel, we're not really talking about personnel that is fluff. Um then you have to start talking about a parcel tax because there is no other way we are going to get the kind of revenue We aren't. there's no subdivision going in. Okay? It's just not going to happen. Now, maybe we could look at, you know, a smaller type of parcel tax, nothing big, but but it has to be considered because this is where we are. And I don't see us getting beyond this other than every year trying to make sure that our reserve stays at least at 5%.

141Even 5% is, you know, that's that's nothing. But um so that's those are my comments. >> Trusty Wax. Um, and unfortunately I don't have much to uh I mean I have lots of thoughts in my head but I cannot verbalize them right now because I'm not thinking clearly. But um that is to say I don't really have anything right now. But this is a a continuence of a really unfortunate situation that we've found ourselves in. And I am sorry for anyone who is affected. That's students and staff. um even if nothing comes to pass, you know, the the worry is real. So, I apologize about that. Um but when looking at the presentation, um we to echo Dr. Hazen's comments. Um, we just have to we have to make some really unfortunate decisions um which

142pain us all and um yeah, I I don't I don't really have too much to add to that. Sorry. >> Thank you. Um, I'll go last. And I feel like it is kind of a somber moment because we do have before us decisions that are impacting people and students and our community. Um, and you know, we found ourselves last year in a similar predicament and we were ready as a board to um kind of change course and stop spending in a deficit and try to get back towards um a balanced budget. Um, we did make a few cuts last year, but it wasn't enough to change course, right? This is going to take us uh multiple years um to to turn ourselves in a different direction. Um I appreciate staff for providing us uh recommendations

143that are based on data and enrollment and being on the budget subcommittee. I know I can say that we looked there are no like rocks that we giant builders we haven't unturned where there's going to be a pot of money and we're all going to be able to you know be fiscally solvent. That just isn't the nature of education. Unfortunately, it's it it's not just us. Um but we'll continue to look for more opportunities for creating revenue. Athletics is a great idea. Um I think you know as we've gone through this process it's become uh collaborative in a way that we can reach out to our partners in the unions and hopefully we'll get more um recommendations or ideas from staff at the sites because it is going to take everybody looking at it through

144our own lenses and providing our perspectives for us to figure out um what to do next. um sitting on the budget subcommittee, I had the benefit of hearing perhaps and just kind of fleshing out some of these things a bit more in detail. Um I'll say for myself, just to tap on a few items that I had questions about with regard to like the digital learning teacher and the value of that, I absolutely think digital learning is going to be important moving forward. I think we are also seeing that that is more integrated into what teachers are coming on board with. New teachers are coming already have or have I don't want to say already have but have a skill set that they bring for being able to navigate and use the digital learning platforms.

145Um that's not to say there isn't value in the lessons and the work that's been done there. Um, but again, like we have to find places to make cuts. And so I tried to look at as a needs versus wants. And I know that's still difficult, but our needs are the things we set as goals in the LCAP, like ELA and intervention and our reading level scores for um certain groups. And it doesn't necessarily mean it's elementary Spanish. And that's not to say reading intervention is more important, but I think when we prioritize what we need and we need to have our students reading at grade level, Spanish becomes kind of a want, an important one, one I want for my kids. Love the idea of dual immorion. I know I brought that to Dr.

146Adamson like in the first couple months she was here and she made a note for another day. um the mental health therapist. I'm in favor of the same proposal as you um as far as going the medical route for billing and thank you to director Cork Anthony for exploring that for us. Um understanding that we're staffing with the ML elementary teachers and the pars to enrollment. Um and can you talk a little bit more about community high like what we're proposing what that might look like if um if there is a cut I mean currently we have two certificated full-time teachers the idea would be reducing that to one lead full-time teacher uh in addition to that we also have a uh a teacher who is kind of shared between you know PG high school

147and community high school who comes over as a point forward or FTE to support students uh on IEPs, so students with disabilities. Um and so I think the idea for that for next year would be to utilize a component of that point for FTE uh to serve alongside the lead teacher to do a combination of co-eing. um there may be a need for us to bring in additional support for the special ed components of it but we'll really utilize you know see that as a possibility of in the mornings at least still being able to maintain you know two certificated teachers you know there while the students are there um and then the remaining part of that point 4 you know is uh there are other responsibilities that you know that particular teacher would then

148you know cover at at at PG high school um we would still maintain the support that's currently provided by uh by the MHT um and uh you know yeah additional you know resources along those lines but it would essentially be one full-time then a point for FT. >> Thank you. >> And that has not been fleshed out at this point. I mean that really would require right planning and and you know we we haven't gotten to that point yet because right now it is it's a proposal right but all of that about being you know maintaining the integrity of of that program and ensuring the support and needs are there >> um you know yeah student counts right yeah which >> I think it's I mean president's on the subcommittee so she knows that knows

149this but for the greater discussion um we currently have nine students there broken down by uh five and 11th and 12 and four and 12th. Um so I don't know right now if you've identified any additional students that might be moving over next year. I didn't build that into enrollment projections but the enrollment projections suggest five students there next year right moving up from from 11 to 12. Um so and right now with the staffing of 2.4 FTE for nine students I mean >> you know it's funny there's there's like a there's a there's a very soft spot in my heart for that program. mother went to community high school. I knew like like I want to say like 90 something percent of my friends went to community high school when it was right here

150right with the dome and you know that program is amazing. Um and I love um you know that I love the teaching staff that are there and um I visit the site quite a bit. Um but when we're looking at staffing to enrollment like that's why this came into consideration as a recommendation through the committee. >> Yeah. And that being said, staffing to enrollment, but knowing that these students pro have high needs or additional needs and still ensuring that we're not cutting anybody short. Okay. Um, that makes more sense to me. Um, the district librarian one is also kind of tricky because it's that one's tricky for me. Um, I think because when we talk about prioritizing mental health and safe spaces and not being able to necessarily afford more mental health providers, but those

151spaces on campus are just hugely important um, and the people that um, provide them for students. So that is something that I keep in mind is that you know having those places on campus whether it's the library or culinary or um somewhere where you can uh feel like it's a space where you can just go be is really important. Um at the same time um we are looking at budget cuts. Um I don't have an answer on that one right now but I'm happy to discuss it further with the board. Yeah, I mean just one comment I'll say that and this is it's going to come out as a little bit pointed and I don't mean it particularly that way, but like you know the point that librarian I can make the same argument about

152sp the elementary Spanish and I know I've been a proponent of that since day one but you know I was in Denmark over the holidays and you know these kids are learning English and Danish from day one. they're also taking another language like we are a country much less a state that has a population that whose language is basically au doesn't matter and I I think raising our kids with dual immersion would be one of my biggest priorities if we could do it fiscally but I you know this to me is like a I realize it's a band-aid on a wound but so again it's not to me I think we could do this with every position this is the difficult thing when we're in these budget situations there's always a good reason for every

153single one of these positions and I think it's really hard to say this one is more important than this one or this one is more important than this one based on the fact that we're trying to again meet the needs of the kids. So just to say that not again I don't mean it in a pointed way but I'm saying it because it's you know when you say that I agree with you this is critically important you know the same with this what you you know when I think about community high that also is really difficult for me to come to grips with frankly but it's you know all these things is I I I would I would challenge each and every one of us if we're going to say don't do this we need

154to come up with another solution because if we don't do it we're still heading towards the fiscal cliff that Josh presented and that's what I don't have a good answer on is what is the alternative that we could do that isn't one of the things that was proposed tonight. And that's that's really not a fun place to sit in. >> Well, the alternative is a parcel tax. And I'll say I will say that I could not be more supportive of the problem is that I'm going to solve the problem today. That'll solve the problem at best in two years from now. Right. And we can't pass it overnight. It would take us a while to get it on the >> challenge of the right. I mean, we've got to get that on on an agenda

155on a right to vote for. I mean that's you know probably what a two year away from now thing with no guarantee on that but definitely something for us to keep considering. >> Um just just in terms of the Spanish thing well Spanish and um even the mental health therapists were just added a district the high school librarian has been there since day one. So, so there is a difference in my mind in terms of again the comprehensiveness of a high school. um you know our graduates are going to Ivy League schools you know so yeah it they benefit from early interventions in in language Spanish you know not discounting that at all but um they are newer ads into our curriculum so um and there were they were ads when we didn't you know,

156the forethought of like, okay, how are you going to pay for it in another year? You know, it was so um that that makes a difference to me in how I look at, you know, a budget reduction. Um, but I'm just saying that I feel like the li the librarian has to be off of this list. Find a different way to make up that. I mean, even when the proposal, as I understand it, is you you take off a credentialed librarian, but you replace it with a classified. >> Yeah. So it it's not that much. I mean I it's not I mean it's just you know it's to be to me it's not a reasonable savings right and I don't say last year we did the same discussion and we ended up with less of

157a again not that I'm saying we need to accept this wholeheartedly without discussing it but this is the exact thing we did last year and we came up with a solution that we thought would get us in a better place and here we are again. Right. And that's I I really appreciated the comment from the shows online because that's exactly the way you know I felt good last year that hey we did what we needed to but we kept what we needed to and it's just I'm so worried I mean again I was going to say again like that 3% like our job is done we have failed as a board if we get there and we're not that far from that yeah position >> but part of what we did was 0% raise for

158one year. Okay, that was part of it. >> And so nobody's talking about that. We're not t I don't see any We're talking about We got negotiations coming up, but we're not that's not on the table here. >> Well, to be fair frank, 0% was in the outyear projection. So that's where we're starting right now is 0% frankly and anything we add on would go on top of that. just that just speaking you know to the the contract I mean you recall we did a three-year contract right 0% already you know that that helped us last year because if we had had not done the zero but we would have had to retroactively go back right to you know account for that that raise so I mean obviously this is all accounting for the fact

159when we have to go back to the negotiating table for raises with hopefully you know again a multi- you know year contract and I I don't want to go more into that because that's a negotiating you know component um but you know yeah what we are saying at this point is that we would have to be considering for that first year again you know probably another you know 0% at least start with that conversation and then you know small increases you know on the following two years beyond that but um I think I do want to call you know to attention to the fact that what we did last year as I said earlier it it definitely we would be in a much worse situation right now if not right for those savings I mean

160you know PD was it was one of them right I mean the savings that we've intentionally been about you know reducing in other areas you know legal fees you know is one component and you know I don't have the moral insight of me but you know that may be just something for us to you know even remind the board to bring that back to you know look what what we were able to do last year but it wasn't enough and we knew you know a component of that last year we we brought some of these positions forward initially right and there just wasn't you know um a way forward you know for any of those at that time so yeah I'd just like to speak to just a couple of things that you know each

161of you have raised you know just to kind of you add a little bit more information then I think you know assistant s John's you know had you had some information too but um just to speak a little to the athletics you know program I think you know everything that we're proposing with this to bring in it you know I think if I were to come up with a theme we're looking at ways to to come up with and produce additional revenue right I mean that that's the issue right so I think for the athletics program you know right now remind me what is the amount that we are pulling out to support the athletics you know it's about 150 $150,000 >> right so I think you know that was really just an idea how

162can we bring you know when you create maybe additional revenue to help to help support that amount and the 30,000 I think you know Josh proposed there's a potential for that to be even more right I think that is something we've learned from surrounding districts many of them do charge and I hear your point trust I mean we're wanting to encourage more attendance I mean one of the ideas I don't know if we discussed it was really to sort of have community members purchase sort of a a card, right? You know, sort of a membership for the whole year. So, you buy that at the beginning of the year, that would get you then into all games, right? So, that would do a way in there for people to, you know, constantly utilize on their

163phones or whether that, you know, form of payment um would maybe help that. But look, it would be, you know, and perhaps even through that we could even come up with sort of a donation component, people who could afford to, you know, communities, you know, even donate more, right, to really increase that amount. But the whole thinking behind that is really to allow us right now we're in a position where you know we've just had our high school principal come forward and you know um Mr. powers with a proposal for adding another sport and we are in a position we cannot afford that right now and so we have got interest from students and in a place where we're having to say no right so I think we're wanting to do exactly what you're saying

164is add and build more you know opportunities for our students because there's a need that is a desire um we have 30 students currently who want to go ahead and take on that new sport and you know we're going to unless we can find the revenue to cover that we're going to have to say no um and that's heartbreaking that's unacceptable to me as superintendent but we have to find as I'm hearing you know a way for to move forward with that and I do not see a way forward until we're able to actually really identify some significant you know reductions not here there and and pulling away and coming up with small ideas that's all going to help but sustainability you know in our 3 four years away you know down from today that's

165what we've got to be looking at and so yes I mean it's these are programs that have provided an unbelievable benefit to all of our students and Um, no one's denying that. Uh, but you know, we we've got to start with something. And I think to your point, you know, trusty Dr. Hazen, I mean, I think no matter what we propose, if it comes to a person and a program and a service, we're going to have this room sold with others, right? If we, you know, replace one with another, there's going to be an argument to not do away with that program either because, yes, every one of our positions are are essential and they they provide an unbelievable service for our students. So I think that's you know the one point I think the

166other you know the comment you made you know just about staffing and enrollment particularly at the elementary you know site level I think we have made significant movement towards ensuring that yes we are making those decisions to ens class size you can see it over the last three years has increased particularly at the elementary level um you know we made a redu significant reduction last year we're doing another one this year you know in the past yes I think from my experience and what I've seen is there were decisions made where it was just easier to add another teacher as opposed to you know reducing right and or or keep maybe three teachers with class sizes of 14 15. We really have been moving away from that. would say definitely in the last you know

167two years for sure we've made some hard decisions there um with the support you know of of our you know our association as well with that and you know there's still room there for sure trust mask but I feel at this point as we're looking at those numbers that we're you know in a good position but that is remaining at the forefront as we're looking at these if there was another position we could reduce at this point we would be doing so but the numbers don't really support that right now but um I appreciate you you know raising bring it up because that's something we've got to continue to look at and not lose sight of which here as we you know do hiring. Um I think that was it for me and you know

168I think you were going to you had something you wanted to add assistance of join or no was that >> there's a few things I could add or address. I I kind of yield to the board whether or not it's relevant at this point. I mean I was going to talk about parcel tax in the time frame associated with that. I think that >> that's a that's a that's something we should be working on in comment with reductions. You know, uh general election is often times and we'll see a parcel tax. Well, that's a few years away. And then the results of the parcel tax, you know, my concerns associated with the parcel tax are like we do have a revenue issue, but we do I think more than that we have an expenditure issue

169with this district. And to patch it with new revenue is crucial, but I don't know if to be honest, I don't know if we have the time. My concern is by the time that we were to realize the district were to realize a parcel tax which we should be pursuing also we could gain receiv that that we actually have talked to the city manager about this um and this is something we're going to have to bring back to the board to pursue. We did just pass, you know, a general obligation bond measure and increased our taxable liability to our our voter base already. And yes, it passed like by 74%, but there might be some fatigue there and that's something we have to, you know, we'd have to go out and survey our community first.

170So, there's time associated with that. But I I certainly think it's something we should be looking at because the revenue, the increase projected revenue tied to change in legislation to Prop 19, we're not realizing it yet. So, and we may not realize it before it's too late. So, I think that's very important that we should pursue that. You know, I bring this up almost every single interim any anytime I present you 85% 85%. When I started in this district, we were 87.1% of our total expenditures are tied to people. It makes it very difficult to make substantive reductions in expenditures to our district when you're only working within 15 to 13% remaining. It's very difficult. $51 million, right? within 13% of that is what we have left. So it's very very difficult and you know

171the unfortunate part of um the subcommittee's work is to evaluate um expenditures in our district and um I mean this was not done lightly. There was a lot of time thought put into this uh bringing this item forward and many hours spent in this room with that committee um with our unit members in the room with us. So, I think that's something to be noted that um I don't know if that's different than what other districts are doing or not, but certainly that collaborative effort, that partnership is crucial when we're bringing forward, you know, tough tough topics like this. Um, and finally, as it relates to um, athletics, you know, you got the varsity cross coach sitting here at the table and I fund raise for my equipment and I fund raise for um, uniforms.

172I fund raise for field equipment and, you know, it's it's tough for us to continue to shoulder that effort. Don't get me wrong, I'm going to continue and so is every other coach in this district try to fund raise for for our programs, but at the very same time, we have to get to away games. You know, we have to pay the gloom dues. We have to pay for referees lacrosse. We have three referees at every single game where we can end up with issues with students. It's a an aggressive sport. Um, and those are the things that the district picks up the costs for. And you know, there's growing cost associated with that. There's growing costs associated with experiencing a program. I mean, I love one varsity team, right? 9 through 12. Uh, if

173we hit several more students, we're going to be split with two. Um, so there's all of that that has to be considered. And, you know, I mentioned this earlier, beta testing the revenue uh side of things for spring um late fees. We're going to we're going to see what the appetite looks like. And Dr. Adamson mentioned this um and I know the district used to have a pass at one point years ago where it was I'm just going to throw this out. $100, you know, a parent pays for and it gets them into every sport with one sport. I think you'd see an appetite for that. You really would, right? I mean, families that have students that are three sport athletes, right? Exactly. So, it eliminates the need for like, but it does drive up

174revenue. Um, so those are all the things I kind of wanted to address and I appreciate this is not a not an easy discussion. Uh, but I do want to, you know, reinforce the fact that a lot of thought and effort went into this aromatively with our partners. Two quick things on that. I mean, I would love to see that 100 go up to 200 where 100 of it goes to the people that can't afford. So, you have an option to say you have the option to pay more, pay for someone else to have free access because I think again there's creativity that we can do there. That, but again, that's what's the number 30,000, right? Was the number I think you gave for that. That's not going to solve the the fundamental bottom line

175issues. The other one again you know coming up with a point of longevity like sadly in my day-to-day job I have to make similar decisions a lot with budget and you know there may be a need for AI digital literacy and that's a position we have to hire and if we hire it today that doesn't mean it's less important than the position we've had 30 years ago that was teaching us table manners. Sorry if there's a class that comes too close. But you you know what I mean? Like our curriculum has to evolve. And again, this is I'm not saying that the the librarian is in any way like that. I agree the criticality of that especially in the world we live in. But again, this is the reality of the budgets difficulties we have

176to face. And so, you know, this is where I come back to that idea of the onetime funds is are there things we could do to look for what those rising needs are? And we've been bringing up AI um you know, in digital literacy. Are there funds we can bring in that again won't allow us to keep a position forever on one time funds, but they could allow us to keep making sure we're offering those needs um with the fiscal reality that we're living in. >> And I'll just make that point again about the idea of the board policy and norms. Maybe just direct that at you. Is that something we could do? I know that's that with the parcel tax. I'll also sorry, let me add to that too. I will say right now

177I am putting my finger on the scale. This is not the first time I've mentioned my support for the partial tax. I would like to see if as the board we could say let's make that a reality that we explore it to the soonest date that we can. Doesn't mean we have to move ahead with it, but I think we need to start not putting that one on the future agenda items and start moving the parcel tax for sure. And then the norm you said basically yeah we're not as a board we agree not to spend >> one time funds on recurring costs because if we do again that way we know what the norm is and if we >> go across it as a new board we know the difficulty it's placing us in

178>> I think we'll bring that forward for you know a board discussion at a future meeting and yeah we >> solve our problems today but they're at least hopefully getting us back on a track that is more where we want to be and that's the again the difficulty of this right now. So, >> I'm writing future agenda items. We want to do parcel tax, right? And we want to do um what you said board norms, but you maybe it's more just policy, right? On how we, you know, spend, right? Policy, but I just again I don't know always what's >> allowable. The policy you know just as far as I know this is informational in nature you know we are we've got two weeks as we've you know looking going to need to turn around

179to prepare for our February 5 meeting where we bring forward again it will be anformational item but um you know I think what I'm we're seeking from the board this evening is any additional direction I mean I you know at this point the idea would be to really yes you know look more and and come back with a little bit more detail in you know how some of these how this Good luck, you know, with moving forward with these positions. Um, is there any other direction unless I hear distantly from the board, right? You know, I think that's what we're seeking from all of you tonight as far as direction for that February 5 meeting. >> Um, the one thing that wasn't in here, and we talked about doing this last time, was um was

180the the legal fees. So I mean it's not like we're back to >> oh we'll just call we'll zon whenever we want. >> So but I think that needs to again be front and center. >> Yep. We'll keep absolutely we'll keep that and I think yeah that's you know definitely as we bring forward and I think we brought that forward in October to kind of show and we can bring that forward again even to kind of see where we are mad but there's significant savings and I think that is just a diet results and you know number one it's a couple of things right I think we haven't had you know and I have to touch word as I say this but you know um okay I won't say it out loud to jinx ourselves

181but there have been significant you know savings in one particular area where normally those are expenses we would have seen way more by this at this time of year and we have not you know and those are unavoidable right when you know I will say even with we've had quite an increase in you know CPAs you know so I think that that's been a challenge um yes tinsel and in fact that was something that was spoken about at our recent superintendence you know council meeting last week at MCE and that was called attention to that every district are being inundated with you know basically um you know uniform complaints right you know just not uniform complaint sorry. UN calls requests, right? You know, and so and that really is we, you know, some districts are

182fortunate they have an entire one individual at the district office who's dedicated towards just addressing and responding to because it's an enormous amount of time. It's it's the gathering of documents that are involved in some of these some of these requests are 10 to 12 different, you know, individual separate, you know, items we've got to spend time gathering within, you know, the time frame. So definitely we've been having to rely on legal. We don't have you know one person at the district office whose you know you know sole role is that but I think we've had people who are now 2 three years into their role and so you know yeah I think everyone is the experience has come we've been leaning a lot more on MCE and support services they've been able to provide.

183So we've you know that has not been you know sort of a regular practice right just picking up the phone and unless it's absolutely essential. Yeah. Yeah. So, we've definitely seen a significant savings there. Yeah. >> Um U apologize in advance uh for being a bad board member and that sort of thing. Uh but the legal fees, those are unforeseen. You know, we can't we can't plan for those. Um, as Josh was mentioning, the the costs, well, as everyone mentioned, it's it is detrimental to the experience and the education of of doing any cuts because if a program expands and a kid finds their way, their their niche in that particular program, that's great. It's it's great to offer a a breath of programs. So, you know, we are trying to do things for the

184the greater good. Um, and I'm very aware that someone might find their niche in digital learning and we are possibly deciding to take that away. Um but the thing that we can control and again I haven't spoken to anyone and uh I'm sure my house will get tepeeed but I don't see how like we can do this without or I I personally don't see how we can't look at the salary schedules to for some sort of um reformation because I would give someone $5 back taking a small reduction than having uh a wall taken down in my house, you know, like I that's a horrible analogy and it's the head cold, but like um that is the thing that we could control for to an a certain extent. ent and we want to provide a

185good education. We want to pay pay our teachers well. I think we we do. Um and there are just some very uh tough challenges both on the funding side um and the education side. And so that just seems like um something that I can't not think about in terms of addressing the long-term budget. And again, I would love to look at a partial tax. As mentioned, it'll take years if it passes. Um but I think um the salary schedule is always or is of interest to me and holistically um just making our community as a whole more resilient and independent from the whims of state budgets, that sort of thing. uh you know we we need more affordability to get more taxpayers to get more families enrolled. Um it is a multi-entacled problem I realize.

186Um, but I just think we um I don't know, my my brain uh fogged up with with everything, but um I just wanted to throw that out there as somehow something to look at. Um if if uh our amazing staff are able to I'm in agreement. I'm I think this um is kind of like phase one or maybe last year was phase one and this is I don't know, forget the phase analogy. Um, but what I'm looking for is uh like a fiscal stabilization plan or something of that nature that can give us kind of the bigger picture and maybe the longer term picture of uh what we're trying to start with these reductions. Um, yeah, just I guess I'll leave it to I would leave it to staff as what that looks like in

187future years, but if we are to make cuts and continue on the trajectory and the board direction that we want our deficit reduced, we want to be revenue neutral. um having a plan that we can um draw from and work from um as a board and a district um would be helpful. Um that way when we're not in necessarily in budget discussion years, we can still know where we're because our priorities are fiscal stabilization or something of that nature. Um and again, that doesn't do anything uh for tonight. So board um I am going to ask if there are any uh further comments on the item. I think we've talked about it at length and it still is a difficult discussion. Um we have the reductions that were proposed um and created by staff based

188on their research and data. The reductions came before the budget committee. Um the recommendations were made at the budget committee and are now coming before us in the study session. Um we can give direction to uh proceed with the recommendations as presented or alternative. So um as it's a going to be an info item at the next meeting, I would ask that we um direct staff to further I don't know investigate what are what would be the next step Dr. I think we would be bringing forward you know what we have presented right to the the February 5th meeting with maybe a little bit more information right about you know how that and that that would allow us a little bit of time to sort of dig into a little bit more about you know

189what in the absence of some of these programs you know what we'd be looking at and then maybe give us a bit more time for the MHT component with those two options um any additional information assistance we've drawn yeah >> I think you laid it out perfectly um I mean I kind of envisioned it at the budget or at the information item, you know, there's there's a there was there was three two plus two and a half hour meetings that occurred with the budget subcommittee and this is the result of those meetings. I was thinking that the FB the FB five meeting we'd kind of go into a little bit more detail on maybe some of the other items that were looked at maybe right that didn't make it forward other restricted program encroachment things

190like that um that were not that did not make it to this level because it wasn't a recommendation to subcommittee I mean I think because we did explore we did explore a lot um um so I think that would be folded into the presentation that we bring on >> yeah and I think keep in mind last year we did significant you know we we gathered a lot of input from the community at large. I will say as well you know both CSCA and PGTA they submitted exhaustive lists last year we had asked them to return with anything additional and you know from their point of view they had really again that word you know exhausted you know all of the ideas and options and some of the ideas that were on the list last year

191you didn't even make it we've added you know one or two of those this year so um you know I feel like we're acting on you know information and you know ideas that have been brought forward already um you know based on the work that that we've And so but I like the idea of also bringing forward some of you know the rationale behind why you know some why did some of these some of those ideas not make it on and and why we can't consider some of them right so >> I think that's really to see and I'll I'll kick the can a little bit on the difficult decision and just say I do also think the long-term planning though I mean the other thing that I remember was presented to me I think

192by Chief Bergman on my first day on the board was the reconfiguration discussion again if we're talking about long-term declining enrollment. I still do not like that idea, but we need to look at it relative to the other options if we're looking at long-term fiscal solveny. And I don't know how I don't know how again maybe giving a present to a future board member that we are have some of these long-term plans so that they're not making these kind of meetings every year. Uh hopefully um is something that I would feel strongly I would like to do. Um, as for the Yeah, I mean, as for the the presentations and I I again like I agree with everything mentioned like none of these programs I don't want to cut any one of them, but I

193don't see that as being an option. So, I I think it is important for us to at least have more information from the subcommittee decision before we make a deviation from the recommendations presented. >> I have a question. Um, are we looking at asking the charter school to increase the rent that could maybe possibly pay for a couple of positions? >> We bring forward the lease agreement with the charter school. Um, I can tell you that I have conversations with them all the time. They're looking to enter into a longer term lease with us uh with the one-year renewals. They're looking at expanding space and use of additional square footage. Um, but you know, I will caution that that that that's not unrestricted revenue. It's just not. It's um, >> but if we need something

194to tide us over to a parcel tax, >> I hate to say imagine if they then break the lease, right, then we've now lost another source of revenue. >> Yeah. And not only that, right? So I think there's a bigger picture. Number one, we lose that. But now look, we there's just been a submission to MCE for a a county charter school, right? So the moment you as a district have an open space, that immediately becomes a possibility for, you know, charter option, which is not something we would negate when the last I mean, okay, it's fair. We just put in money to David Avenue to upgrade. >> Yeah. All right. So >> it's not unreasonable to increase their fees. I mean it should be looked at. >> We we will bring we will bring

195them any more information you know on that to that February 5th meeting just so that way they can you know everyone sharing the same information for it. We will absolutely look into that a bit more and bring what we can. Yep. Yeah, and I think even looking at would be really helpful there I think for the board just looking at you know the last couple of years what those fees have been what you know what increase there there has been um and let's see what the potential is there as well that but we can absolutely bring that forward a lot of good ideas for future planning um or do we have a consensus on direction for staff. Um the recommendations are presented in the packet presentation >> and I'll look to you. Do you want

196a presentation with certain things left out? Like do you want that as one of the alternatives that come up in our presentation next week? >> Yeah, I would like the librarian and the digital learning specialists out. >> Okay. So if we could see that as one of the scenarios >> understanding that. Yep. >> I think >> option. >> Yeah, one of the options recognizing um that I think I think well I don't know trusty wax we should hear from you what your opinion is but it sounds like you earlier comments that we're on the same overall realization of what we need to do. that we can keep it in. >> So you can see what the projections look like and >> and so what I'm hearing is we would have you know this is with

197all everything that we've included and then we'd have another option with those two positions and if we if we just went with some and not all and what that would look like to bring forward for the board to make a decision on right is what I'm hearing. Is that correct right? >> Is that what you're saying? Yeah. I mean I I would like to if it's possible and I'm I'm staring at your uh cold brain here trusty wax but about like your view as to would you how you feel about the alternative versus the proposal as presented by the budget subcommittee like just do I mean do we want to say our direction is a but we'd like to see option B or do we say our direction is we want to see option A

198and B I know that's like parsing words a bit but I think it's important for us as a board if that's too much that's fine we can just I mean, I like options. Uh, uh, yeah, to see proposals with A and B would would be helpful. Uh, and I know things are kind of getting conflated with like longer term planning. Uh, but I'll add my voice to also support a a reasonable increase in rent to the I don't want to run them out, but I do think it's especially with our investments in that campus, I don't think it's uh uh unrealistic or bad to consider more than the bare minimum raise. I would also personally again like to look at um expanding the Pebble Beach territory or like what would be involved with that to

199get more of those partial taxes or those those taxes. Um again to really build out a a number of options for long-term >> quick question on or quick answer to what boundary changes would involve. I mean that seems like a very long process but >> it is a long process that would involve two other school districts and then two other boards >> and they'd have to everyone would have to agree unanimously on it. >> Oh yeah. >> Yeah. >> We draw new lines and everyone have to and car >> willing to Yeah. >> I think that's something a longterm plan. I think it I'd love to see some strategies on how to sell route because that's hard but I agree with you. It's something we should be looking I mean I I'm a fan of

200looking at everything we can moving forward. Okay board. Um I think we've got option A andor option B but to an alternative to be explored um at our February 5th meeting. Um with that our discussion is concluded. I want to thank everybody for their participation and um their patience and for being extremely respectful during the discussion today. Um and we will now adjourn. Our next regular board meeting is February 5th, 2026.