001pledge. >> I aliance to the flag of the United States of America and to the republic for which it stands. One nation under God, indivisible, with liberty and justice for all. All right, roll call. >> Wonder Jim >> here. >> Jennick >> here. >> Stephus Gardine here. Campbell >> here. Dan >> here. >> We have Corm. So, thank you all for being here. I appreciate it. Um, obviously these last minute things are tough and and obviously um I know Joe would have wanted to be here. I we have plans at times, right? So, these things happen. So, we really appreciate everyone be able to do this. Um, please note as a courtesy of the members of the audience, the board of education signs your cell phones to everybody in the audience. Public will only be
002able to speak during public comment. >> No public comment. All right. Fantastic. Can I get approval of the agenda? >> So moved. >> Support. >> All those in favor? >> Yes. >> Opposed? >> Motion passes. Discussions, reports. >> Okay. Thanks. And again, and I really appreciate uh you guys being here for this and and I'm going to be brief on it, but at the same time, if you need to be longer, uh we'll be longer. I've tried to provide you information. Um, you did give me uh you passed a resolution last time, you recall, to give me the ability that if this didn't go our way, to resend it. But I thought it was important to give you an update on where things are at and and give you more information uh so that you
003have that so you feel comfortable and confident with what what we're looking to do. um as well. Uh you know, as I said to you before, uh the um case, we lost the case. We being uh the schools and the intermediate school district that were uh suing uh the state of Michigan, the department of ed, and so on over 31A a funds. And um that was appealed. And then there was a hearing or meeting regarding the appeal and the timeline of that appeal in at the state level and uh it was determined that that wouldn't uh that appeal would not be heard. I mean, they they heard part of it, but they um said that there wouldn't be any true uh finality to hearing it until after the December 30th deadline, which we know is
004uh today. So, it put districts in a very uh tough position as far as, you know, what do we do from here? Uh yesterday, the attorney said um and Heather was sitting in on that as well. Um, I know. And, uh, I believe you were here, weren't you, Scott? Yeah. And Scott as well. And it sounded like February maybe. So, that's sometime um, from now. It was a chance for the attorney to talk talk us through things um, and to also answer any questions. uh you will see the summary that you have in your packet that has MASA at the top is really um there's a a toolkit there, but then this part with the navigating 31A really lays out what our meeting was and what the attorney said um about things. So um so
005really nothing has changed in my mind. Um there's there's hope in that, you know, it is a field and they'll continue to litigate this and see where it goes. Um but as far as any outcome, it really hasn't changed. Um and you know, as they look at it from a federal level, they're sitting back and waiting for the state to do all of their stuff and exhaust all the process and what takes place in the legal proceedings. And then they said they'll go from there um after that. Um >> so that also means they won't even really pick this up until after February. >> Right. Right. >> So they won't as well. So you know we've had conversation in the past and and I know I've told you this uh over and over and I
006really my feeling hasn't changed. I I do I cannot recommend that we we uh stay opted into this. I do believe that, you know, my recommendation, our recommendation, uh, would be to rescend it, but I also know there's some questions you'll have and there's some information that we think you need to have to know, you know, uh, I mean, the legal ramifications because of the the language, the the gray language that's used um that, you know, any legal person that we've talked do they they they just don't think it's a good idea. Um they really don't they they can't come out and say you shouldn't do it, but they really don't think it's a good idea um to do. And uh um and and I would have to agree with them because I, you know,
007if things were more defined, then we could weigh things better. But, you know, they can't even tell us if this ends with the fund, the grant funding, the current funding. >> It it I mean, this could go on for forever. It could go back if you opt in for a long period of time. So, there's a lot of things when we asked the attorney, he just said, "Yeah, I don't know." And he goes, "Could be." Or, you know, might be. get even sick. They're like, "What do you mean might be?" So, uh, that, you know, part was was obviously very frustrating as well to hear. Um, we have talked from a financial standpoint what it means for our district and we'll, you know, briefly go over Heather's and, you know, Heather spent some time on
008this and I appreciate it. Um, and a very conservative view. I can also tell you what other districts are doing and maybe I'll just say that right now. >> Um around us I know Wyoming, Byron Center, Jennison and Hudsonville are all rescending. Um in Kent County um my understanding there are five districts that are opting in and the rest um have said they're rescending. Um so that's where things stand here. Uh you'll see in here uh the attorney did couldn't give you exact numbers but said he everything he's heard a majority of people are rescending around the state that there are some still staying opted in but um for the most part that is happening. So um from a financial standpoint Heather you want to talk about that a little bit? Again, I I don't
009remember if it's in the the synopsis that Roger gave you, but there there is also doubt as to whether or not if the court whether the um court of appeals or at the federal level says you're wrong. School districts um don't need to um wave their rights. um whether or not if we opt out that we would get an equity amount back. So potentially there is that I think it's a real long shot though based on what we know um from yesterday's meeting. So >> um >> it's a long shot that we would get it or we would not. I think it's a it's a long shot that um the court will rule in the district's favor. >> Okay. >> Yeah. As they said, but but it is within the appeal. They have asked for
010that. >> Yes. Yeah. >> So, um I know we went over this a little bit before. Um, and as the December state aid has come out, I've been able to really dial in on some of those numbers from a revenue standpoint and um, also the our our salaries and our benefits and and it it is a very conservative approach. Um, if we were to take the money, um, we would look at about $120,000 deficit for the year, which would put us at a 8.24%. Um, as a reminder, too, the proposed budget I bought brought to you back in uh early June had a an $810,000 deficit. Um, and that had about a 7.55% fund balance. So, um, basically what I did here just to show you is I left all of our expenditures the same.
011And I did that intentionally because it's I a I don't know um about going about like midyear cuts, b I don't think we want to cut security. I think those are some internal conversations we need to have and then and bring you in on those. Um so I left all of the expenditures the same. And just so you know, what we've used this money for in the past has been to cover counselors, um a our high school attendance person, um and um security, which includes security cameras, not just people, but some of those upgrades as well. So um historically we've seen around 620,000 each year. This year on our December state aid, the uh total budget for us was 895,000. So if you look at the amended without basically that state aid line, which is
012the second down the 53 million, um it's 8.95 less from the previous column. So um I tried to break it down so you could see it based on like salaries and benefits. Um, I know it's a little different than what you see. Normally, it's broken out by basic programs and that, um, but I thought this would give you a little clearer view of where the funds are spent. >> Do you know how many counselors we hire with this? >> Yeah. So, we did um one at the middle school and two at the high school. >> Okay. And you can see obviously at the bottom fund balance difference between the two. Um, and with our best look today looks like it'd be 7.19% fund balance is what would remain if we chose you know to resend
013this. So, um, you know, if you're like I think there's probably some wiggle room in supplies and materials. We did cut building budgets to start the year by 5%. Um, I think we could cut them another five. Um, you know, we've talked about, I guess just to give you some ideas, we've talked about um looking at our PD in the next semester and subcosts and um how we run that. Maybe we do that differently. And what we'll do is um if if that is the case, what we'll do is we'll look at everything. We'll also get together with our our uh administrators and let them know the situation we're in and how, you know, we're we need to all work together to save as much as we can this second half of the year so
014that that deficit uh decreases. So that's what we'd be looking at. Is there any opportunity from the ISD for any additional funding coming from their fund balance? >> Yeah. And not sure, Bob. We haven't we haven't had really any talk yet about that. Um they you know and and as far as 31A, they rescended but they don't get that much >> really. understand that >> they they stepped up and were a part of the lawsuit. But yeah, we just we haven't talked about that yet with them. That would be a definitely a group discussion and what can we all do together to >> Exactly. I mean, okay, the new millage that just came through. Okay. We put our credibility on the line for them at some point. This is one of those times just like
015why we have fund balance. >> Mhm. why we have fund balance, >> right? >> They their fund balance affects us as well. >> Yeah. >> Can can I add to it just um um the that line item there that special ed tuition costs um historically when it center programs were um run um by GRPS um you know we would get invoiced twice a year. Um the last year in particular, the ISD has utilized their special ed uh millillage to help cover those costs for districts. >> So that number I know it's 300,000 is what I have estimated that number could change. >> Um it could go down. Um and when just as to a reminder on the enhancement mill that millillage the county gets nothing of that millillage they distribute that based on our student
016count for every district in the county >> and I understand that that wasn't my perspective is we used our credibility to get that pass on a countywide basis >> I didn't you know I understand where that was going >> thanks >> I think the bottom line with this and I don't you I know with this one. I've probably been a little more vocal and and maybe in the political realm of saying uh why governor, why attorney general, why legislators, all legislators, uh why department of ed, why is this okay? You know, and like I said the example when we did the resolution, why could a school shooter have attorney client privilege but the school district not have it? That that right there tells you it this whole idea is out of whack. And then when
017you look at some of the examples that are given within uh you know the that the judge gave uh during this >> I mean those aren't those aren't Oxford those are bus accidents those are bleachers collapsing those those are things that and and the more I read that the more confused I was really of what is this and that's the problem with this they didn't define it if it would have defined this better then I think it it would have had you know it would have had some ability for people to to get behind. I don't think anyone uh objects to them doing an investigation and and that transparency but you know our police department does that every time we have a legal situation. We have a school investigation they have their own investigation. we
018do parallel investigations. Um, and if they really wanted to do that to get information about how did this happen and what, you know, what can we do to prevent these kinds of things in the future, then, you know, they could do that without anybody losing their attorney client privilege cuz I I feel good about how we handle these things. And I think we're pretty transparent with it and we would be in a case like that cuz we'd want to know how to, you know, how can we do better if there was anything. But it's it's a reactive they've taken this funding and focused it on reactive stuff and not proactive stuff, which is where it began. And and uh I just I don't know. I I don't know. I don't know why and I don't
019know how they can think that this is okay. And once you give up your rights, your local control and your rights in this in these areas here, uh you're not getting them back. And that's why you're seeing so many people resend because if they're going to do this, what's next? What are they going to do next with funding, conditional funding? um instead of proactive and trying to support um our kids with our programming. So, it's it's very frustrating. >> Has there been any talk at the state level with all of these districts we're sending? What are they going to do with that money? >> I don't know. >> Likely it will go because the way it works with this funding structure is there's a pot of money and however many people opt in, right? It
020gets divided between >> they're just gonna get all so they real likely could get more. >> They could >> could or not. >> I I have a feeling that's not going to happen. I have a feeling I have a feeling that that pot of money is going to the people will get what they're getting. And I have a feeling that they're going to use it in some other way, shape, or form >> because it's a political cop. If they further enrich those that do not rescend politically, that could hurt everybody over there. They'll give it to somebody else. They'll find another purpose for it. >> I assume that our >> But normally that's how grants work. You're right. Normally that's how grants work. >> Normally people, but yeah. Uh I wonder with obviously the lobbyists
021and there are people that are working with state legislators so that they understand >> sort of the major implications and that this is causing for local local districts. >> Yeah. And I think I think the message that they'll get from the majority of districts rescending uh you know should say something uh as well. And I think as far as the local local legislators go, I got to believe they're listening to their local communities that, >> you know, it's it's a it's a tough thing. But considering that a majority of them didn't even know this was in the budget bill when it was passed. So, >> which brings a great question. I mean, who put it in? >> Uh, the people that got in the room. You know how we always say the people that, you
022know, they get they have a bipartisan group. group that gets in a room and figures it out. This came out of that. >> This was trying to figure it's never been there before, right? And then >> someone had to say, "Let's put this in." >> Yeah. >> There's got to be a way to track who put >> It's neither here nor there, but I mean, it would just be interesting, right? >> Whose idea was is this modeled after some other states that do something like this? It's just It's just bizarre. I mean, is this type of statement in any other piece of legislation that they have when it comes to funding for schools, >> you know? So, somebody came up with this idea. >> Yeah, it's a first >> of all the I try to
023stay up to date on all the unusual or non- mainstream >> media that follows schools from a state perspective. There's been nothing >> that particular question. >> It's just because >> I think they're embarrassed by it. >> I That's what it feels like. It feels like they're all running for cover and going I'm not going to own up to this. >> Yeah. >> No one's there's been very little coverage of it in general, which surprised me. >> Um >> I've seen I've seen on the news once, but I'm surprised with like all of them the schools rescending that >> it's not there more. >> I think you'll see it more now >> after tonight. reactionary when people find out that all this funding for school safety, mental health >> is gone. >> And that's been
024the battlecry. It's mental health. We need to help these kids before they get a gun and come to school. >> Right. >> Yeah. I mean, >> all right. Any other anything else? Or >> from the sound of it, it we aren't going to have to, for example, do layoffs in the middle of the year this year. We may look at restructuring some things that I don't think you would anyone Yeah. I mean maybe within buildings reorganiz reorganizing some things would notice but not like major layoffs >> like we're not cutting over counselors or Okay. >> Yeah. We're not looking at doing that that right now. Um I but I think you're you're talking about, you know, you got a 7.19 fund balance. You got a deficit there, a lot larger deficit that you're going to
025have to overcome. We're going to have to do some things >> and and those things will have to look different. So, I can't say we won't have any layoffs um because I think we will have some, but I I don't think there'll be huge direct impacts that classrooms. Um we'll try to do everything we can to stay away from those as much as possible. But a lot of it too will just be looking at how we spend every dollar and what can we do to save as much as we can so that deficit gets erased as much as it can so our fund balance hopefully goes up more than what you see there. >> Again, still above the seven which is good. Uh there are some districts that I have a feeling there are one
026in particular I'm thinking of that is taking this money probably because they can't afford not to. Mhm. >> Um, and that's a shame, but >> yeah. >> Anything else? >> Okay. Again, I know you gave me approval already to resend, but I wanted to make sure you understood, you know, had all the information that you needed. And then we did do an action item just to reconfirm what your thoughts are on it. So, good. Thank you. All right, on to the regular action items. 3A. It is recommended the board of education resend the decision to opt into receiving and using 31A funding for the 2025 2026 fiscal grant year. Can I get a motion? >> So moved. Support. >> Any further discussion? Move to a vote. All those in favor? >> Yes. >> Opposed? Motion
027passes. All right. Thank you everybody. Uh, no public comment. The next board next board meeting the Granville Board of Education will be our organizational meeting Monday, January 5th, 2026 at 6:30 at the Granville Administration building. We are adjourned.