001partnership with parents public schools to provide educational excellence that empower students to cultivate their individual efforts and positively impact Good evening. I apologize for a little bit of a late start. We were having some Wi-Fi issues. The um meeting will be recorded but may not be livereamed currently. Um Trusty Hokr, would you please read the mission and go board goals? Yes. Our mission is in partnership with parents in the community. Birmingham public schools will provide educational excellence that empower students to cultivate their individual brilliance and positively impact their world. And our core values are be respectful and reflective, be prepared, no surprises, ask questions, and seek to understand opinions, assume positive intent, understand and respect the role of a trustee. Thank you, Trusty Hook. Um, good evening. It is Tuesday, March 17th. This is the
002regular board of education meeting. Tracy, would you please call >> roll? >> Present. >> Thank you, Tracy. Um, we'll move into our next item. It is the superintendence report. As you can see, um Dr. Robersonson is not with us tonight, so Mr. Hush will be doing the superintendent's report in um her place. >> Uh thank you. I don't have much to share on her behalf, but I would um be remissed if I didn't share with March is reading month how excited we have been, not just Dr. Wilerson, but uh many on our administrative team of uh not just being invited, but being able to get into our classrooms and share books with some of our younger students and not just the thrill of uh enjoying books with kids, but the questions they ask us afterwards,
003especially when uh we try to explain what our jobs exactly are to them and the joy they have when they find out that we work closely with the building administrators um and and some of the questions that they ask of of us in in that situation. So, we've had great thrills um being in the buildings reading books and celebrating March's reading month. So, thank you. >> Great. Thank you. We'll now move into recognitions. >> Good evening. And this is a very exciting night. We have a lot of groups, uh teams, and individuals that we are recognizing. Uh the first team that we are recognizing, and I'll turn it over to Mr. uh Wicker here from Seome High School shortly is uh not only one of the best teams in the state two of the last
004three years uh but also one of the best overall athletic programs in the state of Michigan regardless of sport. So Mr. Wicker uh from Seome High School is going to come up and start telling us about our championship tennis team. >> Good evening. Why don't you girls join me up here in coaches? Uh I was I ran into the assistant coach last night at the store and he said it's a good time to be part of the SE home tennis program between the success of uh our girls these last couple years and our boys finally catching up uh last year. So we're gathered here today to celebrate the remarkable achievement and testament of hard work, resilience, and unwavering commitment to excellence. Today we honor our 2025 girls tennis state champions. So building a championship program
005doesn't happen overnight. It takes vision and incredible amount of grit. Just a short time ago in 2024, this team stood as state runnerup. While that is incredible accomplishment, we left us hungry and that just added to the fuel for last year. Last year we broke through. We captured the state championship in a dominant fashion, winning on four out of our eight flights. We made that victory even more extraordinary was the youth of our squad. There was just a lone senior last year, Captain Jordan Leky, who was hoping to be here tonight, but was unable to join unless she's actually here. And I just Okay, good. That's what I was told she wasn't coming, but that would have been fun. Um, she was hoping to be here tonight, but she could not make it. And to
006build upon it, and they did. Coming into 2025 season with a target on their back, they didn't flinch. They embraced the pressure, conquered the regional tournament, and once again broke through and brought us a state champion. A team success on the court is always a reflection of the leadership guiding them and we are incredibly fortunate to have a coaching staff that's quite literally bleeds maroon. Her head coach Casey Cullen is a 2007 graduate and knows exactly what it takes to reach the pinnacle of high school tennis because he himself did it as a former number one single state champion. Working right alongside is assistant co Nick assistant coach Nick Shaheen, a 2011 graduate. Nick already knows a thing or two about bringing home hardware for the school as he is the head coach of our
007boys state varsity champions as well. Casey and Nick, thank you for all your dedication to our student athletes and for continuing our proud tradition of excellence. You have cultivated not only a great tennis players but a true team. And to you girls, you have demonstrated what it means to be champions both in victory and to grind that it takes to get there. You have represented our school with class and you have made the entire community incredibly proud. I invite Casey up to the podium to introduce some of the team and say a few words. First of all, thank you for having us. Um, growing up in Birmingham, it was always a lifelong dream to to bring a state championship back to to Birmingham. Uh, was not able to do that as a team, but Nick
008got it done for us last year, bringing the first uh boys state championship to see home tennis. Um, I'm very proud and honored to be a part of this team, but all of the hard work goes to the girls. Um, they busted their butt. Um, total team effort. We won the two singles flight, which is one of the harder flights to win. Um, all the way down into the four doubles flights. Um, we worked extremely hard running miles on the track. Um, all those cold days in indoors. Um, just extremely proud of this team, extremely proud of Nick. He wins with the boys, now he's he wins with the girls as well. Um, he's really racking up the wins. We're really lucky to have him. Um, but thank you girls and thank you guys for
009having us. Really appreciate it. >> Parents, this is also an open invitation for you to get a great picture opportunity. So, don't be shy. You can come up and get your cameras out and take pictures of these wonderful athletes. >> Girls, we're so proud of you. Congratulations. Thank you. Best of luck, girls, and hopefully we'll see you back here in June after another successful season. And it should be noted that we said two out of three, the last three that they were state champs. The one year they didn't win the state championships. They were they were runners up. So, they have had just continued success and we look forward to another great season for the for the female athletes here. Um, I'm going to invite Principal Wicker back up as we recognize an MHSAA Scholar
010Athlete Award finalist. Caleb, if you could join me up at the podium. Sure. Caleb Garrett was selected as an MHSAA scholar athlete finalist. This prestigious award goes to the top scholar athletes in our state. Garrett selection was a as a finalist puts him in the top 24 male student athletes in class A for this year's senior class statewide. Caleb is the captain of the BU lacrosse team which he helped lead to an OA and regional championship in 2025. He's a three-year varsity player who has earned all league all state academic honors. Garrett is one of the National Merit commended students and a three-time OAA scholar athlete. Caleb is the winner of the Pythagorea Scholar Mathematician Award, an AP Scholar with distinction and our Mitch Fischer Memorial Scholarship Award. A DECA state qualifier, Garrett is a
011member of the National Honor Society and the Spanish National Honor Society. He volunteers with our club SOS and Habitat for Humanity. In his spare time, he runs a lawn company, the lawn care company that he founded, plays guitar, and officiates youth sports as a certified lacrosse referee. In the fall, Caleb will be following his brother Spencer uh at to attend the University of Michigan College of Engineering. And Spencer's father, Greg, is a 1993 Seome grad and also former varsity lacrosse player. So, Seome blood runs strong in this family as well. >> I I I said Caleb if he wanted to say a few things, but I don't believe he wants to. But he said he'd love to answer any questions if anyone had any. son with a resume like that. The world is in your
012homes. Sees the day. Good for you. So proud. Bravo. Get our picture. Congratulations. >> Right. At this time, I would invite uh Principal Oamian Peterson from Groves High School as we recognize a division 2 scholar athlete award winner and additional MHSAA scholar athlete award recipients. Thank you very much. Uh my name is Oami Peterson, proud principal of girls high school. Um today I would like to recognize some outstanding students. I'll first start with Carter Lackey. Carter, if you want to come up here. So, Groves High School continues to be recognized across the state of Michigan for excellence in academics, athletics, and service as demonstrated by several outstanding student achievements. This year, we are proud to celebrate Carter Lackey, class of 2026, who has been selected as recipient of the prestigious Division 2 Scholar Athlete Award
013by the Michigan High School Football Coaches Association. This distinguishable honor is awarded to only two student athletes per division statewide and recognizes individuals who exemplify the highest standards of academic achievement, athletic performance, and commitment to community. Carter's recognition is a reflection of his discipline, leadership, and well-winded excellence. Congratulations, Carter. Congratulations. The next individual I would like to recognize is Ari Blank. if Ari can come up here. So, we proudly recognize Ari Blank, who has been named a 2026 Michigan High School Athletic Association Scholar Athlete Award recipient for class A. Ari is just one of 14 students statewide in class A to receive this honor, placing him among the very best in Michigan. A dedicated and accomplished student athlete, Ari has competed in three years of varsity tennis, earning all state honors as a senior, and
014is entering his second year of varsity golf, earning league scholar athlete recognition in both sports across multiple seasons. He served as tennis team captain, is a two-year member of the National Honor Society, and has been deeply involved in the arts through both concert and symphony orchestra, earning top one ratings for the Michigan School Band and Orchestra Association. Beyond athletics and academics, Ari has demonstrated meaningful leadership and service as a cap a campus captain for his school's mental health awareness program, a mentor for Big Brothers Big Sister, and a three-year student ambassador to the district superintendent. He will attend the University of Michigan. Go Blue. Where he plans to continue his academic journey, reflecting his character, Ari shared in his essay, sportsmanship is not about following the rules when a coach is watching. It's the conscious
015decision to uphold the honor of a game even when it costs you greatly. It teaches us that true success success is measured by the character we show when only the refere when the ref the only referee is ourselves. Please congratulate Ari Blank. The next individual I'd like to call up is JC Roy. So, we are equally proud to recognize um an additional MHS uh Michigan High School Athletic Association Scholar Athlete Award finalists, JC Roy and Julia Yoder, who's not here this evening. Um alongside Ari as well was a finalist. Both JC and Julia are exceptional three-year three sport athletes who have balanced the demands of competing at a high level across multiple seasons while excelling in the classroom. In addition to her athletic and academic success, she has demonstrated a deep commitment to leadership, serving
016on multiple school leadership councils and contributing meaningful to meaningfully, excuse me, to the Grove's community. Out of the 95 screws across mission with at least one finalist, Grove stand ti stands tied for the most finalists in the entire state, which is an extraordinary accomplishment that speaks to the strength of our student body and the support systems around them. Together, JC and many of our students represent the very best of Gross High School, embodying our commitment to excellence in all areas and serving as role models for her peers and our community. Congratulations, JC Roy. Congratulations. And one more. Yep. Yep. So then it's going to be the Grove Show for a little bit. So we don't do this too often. So next I would like to call up Cara Mason and members of our Grove Student
017Congress. So representing the student congress tonight are San V. Gosser, Evelyn Kading, Nathan Shrie, uh Alli Guler, and uh Mia Rao. Mia Mia and Mia Rako, as well as Car Mrs. Mason. Cara Mason. So, I'm proud to recognize Cara Mason and the Grove Student Congress for receiving two prestigious honors at the 2026 Michigan Association of Student Councils and Honor Society's Michigan Student Leadership State Conference. During the statewide event, which brings together more than 1700 students, leaders, and adviserss from across the state of Michigan, WY Groves was recognized with both the exceptional service project award and the award of excellence, placing Groves amongst the top student leadership programs in the entire state. The exceptional service project award recognizes a student led initiative that demonstrate demonstrated meaningful community engagement, measurable impact, and outstanding leadership. This honors this
018honor reflects the Grove's student congress commitment to identifying real needs within our school and broader community and developing thoughtful strategic initiatives that create positive change. It is a testament to the dedication, creativity, and compassion of our student leaders who are sitting here today and many who are at home as well as well as to the strong guidance and member mentorship provided by their adviser Cara Mason. In addition, Groves received the received the award of excellence, which is the highest honor presented at the MSLSC conference. This award recognizes schools that exemplify best practices in student leadership programming through strong student engagement, intentional planning, inclusive leadership, and measurable impact. Under Mrs. Mason leadership. The GSSE continues to empower students to lead with integrity, service, and purpose, contributing greatly, immensely to the positive culture, and community that we
019enjoy at Groves High School. These recognitions highlight the exceptional leadership, development, happening at Groves and the lasting impact that our students are making within our school and across our community. Please give me uh please uh welcome uh this group and give them a round of applause and commendation. And then before we take pictures, and she hates recognition, but I would like to specifically and publicly thank Cara Mason um for well over 20 years. Uh Cara Mason has grown the Grove students the GSC into literally a cornerstone of the culture at Groves High School. It is one that truly embodies leadership, inclusion, service to others, school spirit, and everything that we stand for in our school's mission. GSC stands as a living, breathing example of our school's mission and action. And through her leadership, she has
020developed countless student leaders and helped orchestrate thousands of events that have touched and uplifted our school and our community around us. Care has truly left an indelible mark on Groves, our community, and beyond. And as this will be her final year leading GSC, it is only fitting that we recognize the depth of her impact. She is deeply deserving of this recognition and so much more. Please give me uh please join me in congratulating and giving a round of applause. And now we can go take a picture. >> You know, >> it's all the kids. They work so hard and put so much into everything we do and they are what make our program so wonderful. >> I'm going to go take a picture. Thank you. That concludes this evening's recognitions. >> Awesome. >> Thank you,
021Mr. H. Um, ladies and gentlemen, now is a great time for you to exit if you were here for recognitions and um we're going to move into the rest of our meeting. Thank you everyone for being here and congratulations to all the groups and students. We'll now move into board comments. Um Trusty Joseph, would you like to start or is there anyone who would like to start? >> Um well, first of all, just want to say even though it's just a traditional day, happy St. Patrick's Day. It's not an official like holiday or something. Um but coincidentally, you know, the color of So, uh, I also attended Mama Mia with my son. That was great. See, it's a good play. Was fun. A lot of good music, a lot of good acting. So, I think
022I've made all the all the plays throughout combined between my two kids about five years. I've made each one of them. This was one of the best ones I >> Great. Thank you, Trusty Joseph. Yeah. Um, February 25th, I attended the Friends of Different Learners meeting. They talked about their involvement or their involvement they'd like to have during inclusion week, which is coming up. And then they already do anformational session on the transition from elementary school to middle school and they would like to start doing anformational session on the transition from middle school to high school. So, we'll keep that on our radar, see if they can make that happen. Um, I was able to attend the GRC meeting on March 4th and Amy, Trusty Hokur sent out the relevant information. So, I just wanted
023to remind all of you trustees, they're going to be sending lots of information about the budget. Keep your eyes and ears tuned for that. And let's see, March 12th, I dragged my middle schooler to the showing of Screen Aers, the middle school version. It's fabulous. She liked it. She won't admit it. She liked it. Um, no. I I I'm so appreciative of all of the PTAs gathering together and putting these screenings on. They're doing two showings for the elementary version, one for the middle school, and what I'm hearing is that there was quite a lot of interest and that they may try and put together another screening in the fall. So, and I was able to swing by Battle of the Books this past Saturday. Couldn't quite stay until the end, but I think Horton,
024one of Horton's teams won. I wish I could have stayed, but it was fun to see. A lot of them wear costumes. They're having a great time and it's it's one of my favorite events. And then finally, I just want to give a huge shout out to Mr. Paul Shaver and Sean Smith. Um my own daughter was in it, so I was attending as a parent, but the MSBA orchestra festival. It was phenomenal. Um the eighth graders did great, the high schoolers did great. Tons of perfect scores, and I just think we have a real gem in those two leaders. Thank you. >> Um yes, Birmingham Youth Assistance, the youth and service award applications are out right now. Um and they're due fairly soon. So if there's particular youth that you're interested in nominating applications
025are on the website, hot off the press, uh the BEF bash will be February 6, 2027 back at the town. Um, and I just wanted to give a shout out to the fifth grade teachers, Stacy Guts and Scott Shuckle at Bingham Farms for inviting um the current juniors that they had in fifth grade back for Pi Day because they missed Pi Day right before CO. So, they were invited back to celebrate with this year's fifth grade class and I think a majority of their class was able to attend and it was the highlight of those juniors week. They were so excited to return and see the new build and all of the things. So, shout out to Bingham Farms for extending that invitation. >> Thank you, Trusty. >> Trusty OD. >> Great. Thank you, Trusty.
026>> All right. Um, I just have a few brief comments. I was able to attend the PTSA um council meeting last night along with Mr. Riley Kelly and Mr. Hush. Um to echo what Trustee Zamut just said, it sounds like there is enough interest that they will um be looking at trying to get screeners um back for some days in the fall. More information to follow on that. Um they were able to give us brief updates about um reflections and the national and state PTA conference. I also attended the next meeting this morning. The lease has been finalized um for the current building at 400 street. So, that is a new um thing. They are um that was approved by this Birmingham City Commission. Um plans for the approval for the um re redoing the
027uh first floor should be um finished by June with anticipated construction beginning September 1st. They do have an FAQ on the next website if you are looking for more information. And that's what I have. So, thank you Tracy, we have public comment. No public comment. Great. Um, seeing as there is none, we'll move next into our consent agenda, which includes our personnel report, board of education regular meeting um, information and our special um, meeting minutes from the 24th and of February and the 3rd of March. Trustees, can I get a motion to Move forward the acceptance of the consent agenda. >> I'd like to move forward with resolution 65, the acceptance of the consent agenda. >> Support moved by trustee Joseph, supported by trustee Zamut. Any questions, comments, discussion, trustees? All those in favor, please
028raise your hand and say I. >> I. >> Motion carries. 70. All right. Thank you. Next, we'll move into our business services report. Mr. Jen, I'll turn it over to you. >> As Mr. Jen is getting prepared for his presentation, I'll just share a little preview. Um, with what he's going to share with the board and the community this evening and and it's, you know, obviously going to focus on how revenue is tied directly to our enrollment and that Oakland County is not immune to the national trend of declining growth rates. Um and Birmingham is a district that is not an open enrollment district. So we are you know our our resident pool resides within our catchment and those that choose to enroll in our district. So the revenue that we receive from the state
029is directly tied to the school age students who live within our boundaries and who enroll in our schools. And with that I will turn to Mr. presentation, we were talking about um uh the FY2026 budget and getting that revised and updated. Uh our attention has now turned uh to the budget for the upcoming fiscal year. Um and we wanted to spend some time this evening talking about enrollment and revenue. uh you know on the um on that side of the budget uh as we work toward building a recommendation for you uh to adopt in June. Uh so we're going to talk about uh the the basics of the foundation allowance as a refresher. Uh talk about some historical perspective and projections on birth rates and enrollment. Talk about some historical data on our revenue um
030and what the outlook is on the state budget. Um, I'll then talk about what our financial goals are as we move forward. Uh, and there are there are some slides with some additional information in an appendix for your reference. So, the foundation allowance basics. Um, I'm I'm sure you've heard a version of this before, uh, but this slide attempts to kind of visualize all the components of the foundation allowance. The foundation allowance makes up about 65% of our general fund budget and and is really, you know, that core revenue that funds our core instructional and operational costs. Um, if you start with kind of the line above the bars, um, the math on the top line is pretty straightforward. For FY 2026, our total foundation allowance is $13,85 per pupil times our enrollment, which is,
031you know, based 90% on our fall count uh uh last fall and 10% on the spring count um uh earlier in 2025. But that gets us to a number of 7,258.01. full-time equated students and multiplying those two numbers equals $1.2 million. So that's uh you know that's our bottom line in terms of how much foundation allowance revenue we have in our budget. If we go back over to the left and look at the components, our foundation allowance is made up of two components. Uh so at the bottom is the state maximum foundation allowance of $10,000 of of $10,050. That's the foundation allowance that most school districts in the state uh receive at this point. Um and it's and it's uh it's determined through the annual state budget process. On top of that, uh because of
032the uh the the history of proposal A from the 1990s, um we are allowed to uh to ask our voters to to excuse me levy a um 4.6 mil holdarmless levy uh on our uh homestead property within the district. and that's calculated uh so that it generates $3,755 per student. That number uh with the exception of one adjustment that was made because of uh because of the mechanics of the state budget process about 15 years ago, that number has basically been constant since 1994. So it's not going up, it's not going down. Uh so that gets us to the total on the foundation allowance side. If you go over to the right side on foundation allowance revenue, uh the hold harmless millillage that I just talked about, uh that generates 27.3 million this year and
033funds the costs of that uh of that extra hold harmless amount on the left. And then the state maximum foundation allowance first is the levy of the 18 mills on our nonhomestead property which generates about $33 million. And then the state aid um you know consists of whatever the difference is. So for this year it's $40 million. But if that purple slice goes up next year as we expect it will as taxable values go up uh the state aid number goes down. So I think the key takeaway really is those two boxes that are in orange are really the two things that change from year to year. The first is you know what resources and what are the decisions that are made in lancing in terms of the state maximum foundation allowance. Uh and the
034second is our enrollment and that's going to be the focus of uh this next section here. I'll pause there to see if there's any questions on this slide. All right. So birth rates and enrollment. uh some slides here that you know that put things on a long-term historical perspective. This is the number of live bursts in the state of Michigan. Uh it's it's it's quite striking as you can see the decline uh over really the last 70 years. Uh the number of of of bursts in the state uh last year was the lowest since the 1940s. So that just drives home the point that you know this is not a Birmingham only issue. Uh this is happening uh across Michigan. This chart here is specific to Oakland County. Uh the bars are the number of
035bursts. Uh the line is the number of bursts per thousand population. So focusing on the bars, you can see the drop since 2000 is from about 16,000 uh to about 12,000 uh you know, which is a drop of of 25%. This slide uh just came out in a report uh from a bureau at Wayne State University. The line here is the percentage of households that have school age children in them. And the three lines are the entire country at the top there in the uh the pink or the purple. Um the green is the state of Michigan and the yellow is Oakland County. So you can see it's the same trend everywhere. And in Oakland County uh the percentage of households with school age children has dropped from about 32% uh to about 26% since
0362012. Uh that's correct. In the county we are. Yep. >> So this is our enrollment over the last um 27 years. Uh so this is a long-term perspective. You can see growth uh in the early 2000s peaking at 8,376 uh full-time equated students uh in in uh and the decline that's happened since then uh to the 7,250 that we're at this year. uh I've added a trend line to show you know the decline that was happening precoid uh again based on birth rates uh that drop there uh and for for for 2021 is obviously the uh the large uh decline that occurred uh that year uh of of of COVID um uh you know which was certainly a large shock uh from a financial and an operational perspective uh But you can see that most
037of the drop since 2013 uh you know is really based on birth rates. This is an interesting set of data uh that our friends at plant man realpoint have access to uh based on some proprietary um data they have access to. So this shows the percentage of students reside residing in the school district who are attending either public or private school. So FY209 uh you know is precoid uh and then we have FY2025 numbers. The bars on the left are for prek. Uh you know, so we have a lower share of the market there, but it has increased uh from 2019 to 2025 from 38% to 41%. And then uh on the K12 side on the right, uh we're actually also up 75.4% to 76.9%. So, you know, our so-called capture rate uh is actually
038pretty steady or even up. um you know despite that shock that happened during co these are our projections uh as we go forward you can see the line there is is consistent with the trend uh you know that we've seen in recent years uh if you look at the table uh you know we start with the 7,250 uh that we have uh this year in the fall uh that was a drop of 101 from the prior year. Uh we're expecting smaller but but still still significant declines in future years uh starting with 43 next year. Um and then you know in the range of of 50 to 80 students per year uh in the out years on a percentage basis you know that's between 0.6 and 1.1% per year. So these are the starting point
039uh you know as as we project out our foundation allowance revenue um into FY 2027 and behind and beyond. Uh when we get to fiscal year 2031 if these projections hold up uh that loss of um you know of roughly 300 students would equate to about $4.3 million in annual revenue loss. I'll pause there and see if there are any questions on the enrollment side. So, you know, this is a history uh of our foundation allowance. Uh the dark blue bars are the state maximum. The gray bars are are that 3755 for the hold harmless. uh you know certainly that hold harmless amount uh is an advantage uh that we have compared to most districts in the state um but as you know as highlighted earlier it doesn't grow over time. So uh you know
040when there's an increase in the foundation allowance um it's a smaller percentage increase for us than it is for other districts. Um so since 2016 the state maximum foundation allowance has increased by 23%. uh our foundation allowance has increased uh by about 16%. Uh and inflation uh unfortunately has increased by approximately 37%. And you can see that on this slide more clearly. Uh so this is a 10-year history. The gray bars are the change in the US consumer price index. So um you know the annual inflation figure. The blue bars are the increase in our foundation allowance on a percentage basis. Uh you can see up until 2023 uh you know it was either flat or 1% per year. Uh the last four years and three of those four years um you know there have
041been healthier increases uh but but of course inflation's been higher since co as well. So um >> yes remain stagnant. >> Exactly. >> Yep. >> All right. So, this is if you uh if you look at a 10-year history of foundation allowance revenue. So, in 2017, we received a total of $97 million uh in foundation allowance revenue combined between local and state sources. This year, it's about $102.5. That's a little higher than that $und00 million figure I showed you because of those prior year adjustments we've talked about um uh in past meetings. So, that's actually slightly overstating it. So I mean I think two takeaways here is one um you know we're very close to flat over 10 years uh because any increases in the foundation allowance uh have been offset by declines in enrollment.
042And then two you can see the growth in local property taxes uh which reflects our strong local tax base uh but as that goes up uh the state component goes down. This then layers on the rest of our general fund sources. Um, you know, so those first two uh wide bars at the bottom are the same um you know, the same property tax and found and state aid uh from the last chart. And then I've layered on uh our various other sources. So there certainly has been growth in our general fund budget. Uh in 2017 we were at about $120 million. Uh now we're about $153 million, but you can see where the areas of growth are. Um and it's those two patterned slices uh which are basically all the other sources of revenue that
043we receive from the state. The uh crosshatch there um is the pass through revenue that we get for the retirement system where the dollars come in and they go right back to the state and the state uses it to pay down unfunded liabilities um in the overall system. And then the horizontal lines are all of our other state revenue sources. Uh so that's special education at risk gsrp uh the 31 doublea uh funds for mental health and other purposes. Uh you know so those are all good things um and and do good things uh for our students and for the district. Um but they're not necessarily flexible. You know they have restrictions around them uh and we can't normally use them to help balance our budget. All right. >> Question. Yes. >> Um, so the
044I always forget this. The So the Mipsers pass through revenue that's gone up. Is that because they are still projected to have that completely paid down at some point which would then eliminate this from our budget? That's right. I forget what the magic year is, but it's it's like 2038. >> Um, you know, where the unfunded liabilities would be paid off, uh, and this would go away and there would be additional school aid revenue, uh, you know, available for operating purposes, assuming, you know, that there's no action to extend that at some point. >> Okay. Yeah. 38. All right. So, speaking of the state budget, uh this is kind of a ones slide um outlook. Uh you know, based on my experience and analysis with the state budget, um it's still early in the process.
045Obviously, uh we're coming off um you know, years of of strong uh state revenue growth um and and relatively uh large foundation increases. uh you know, still obviously not um uh as high as would be ideal, but higher than they were in previous years. Um but I think we're at a pivot point uh where there's a lot more uncertainty. Uh and we'll talk about why in just a moment. So the box on the left is a summary of the things in the governor's proposed budget that was released in early February. Uh it contains a proposed $250 $250 per people foundation increase. Uh that's 2 and a.5% for most districts in the state. For us, it's 1.8%. Um that would translate to an estimated $1.8 million increase in revenue uh for our district. However, based on
046those enrollment declines that we talked about, uh you know, we're currently projecting about a $700,000 reduction that would offset a portion of that 1.8. There is a proposed 61 6.1% increase in the weighted foundation allowance elements. Uh the largest being at risk funding. Uh for us that's an increase of about $84,000. There are a continuation of some uh so-called one-time funding items that we've received for multiple years. That's the 31A. uh a small amount of small amount of funding that we get to offset uh some of our transportation costs uh and then a smaller amount of funding uh that that the excuse me that corresponds to loss of enrollment to help stabilize our budget. You know, I would emphasize that even though these have been in the budget for multiple years, it seems unlikely they'll
047continue indefinitely. uh the transportation and the enrollment stabilization pieces in particular were funded out of out of out of kind of a one-time reserve fund uh that's being depleted uh this next year. Uh the governor has placed a lot of um you know emphasis on early literacy. Uh so there's almost $300 million and proposed investments there. Um you know those will have to get approval from the legislature as we go along. Um it uh the budget does fully fund uh the anticipated level of need uh for for for GSRP uh slots in classrooms across the state. Uh and then lastly, uh you know, this this slow, um uh the slow increase in the use of school aid funds for higher education purposes rather than K12 purposes has jumped by another 400 $400 million in this
048budget up to a total of $1.8 billion on the right. uh in terms of risks that I see um as we go through this budget process and beyond um you know the reason for that additional use of school aid fund and higher education is that there's a substantial shortfall on the general fund side of the state budget uh that mostly ties to the state road funding and tax cut package that was enacted by the legislature and governor last year. There are also pressures on the state budget from the federal law um that increases state costs for Medicaid and food assistance that was passed last year. Uh the governor's budget on the general fund side uh proposes about $800 million in proposed tax increases and $650 million in a withdrawal from the rainy day fund and
049other one-time sources. Uh those have a you know I think a very uncertain path in the legislature. Uh so I think there is a risk um that in the end uh potentially they look at increasing that use of school aid fund even further in higher education. That's that's that's that's purely my speculation but uh informed speculation. Uh you've probably read the house speaker uh has proposed a major tax reform package. So there's a lot of details to see on that uh in terms of how it affects uh the state budget and and schools in particular. Uh and then as we're all aware uh you know certainly a lot of uncertainty and volatility uh with the global economy and it's uh it's entirely possible that the estimated revenues will get uh downgraded in May um prior
050to adoption of the final state budget. So uh you know we'll be tracking action by the house and senate uh who could potentially release their versions of the budget in the next month here. uh obviously based on the experience last year there's no guarantees uh you know when we have certainty but we'll be monitoring closely. All right. So, to wrap up, uh, you know, our financial goals, um, you know, that I think are not new to you, but, uh, you know, we're we are working, uh, to present you a recommended FY2027 budget that maintains the district's fund balance at a level above 10% of annual expenditures and also taking a long-term look uh, and starting to build a plan out, you know, that gets us to structure a budget balance uh, and starts to rebuild
051fund balance uh, you know, up toward that 15% level. Um, that's in the board's policy. Um, I think the superintendent has mentioned uh, you know, that a budget advisory committee has been has been meeting on a weekly basis, um, and even more than weekly in some cases, um, and reviewing all options, uh, in terms of how do we deliver instructional and other services um, in a in as efficient a possible way while still meeting our strategic priorities. So, I will just quickly highlight uh these slides uh in the appendix for your review. Uh you know, this is kind of a one-page cheat sheet I've created uh partly for my own purposes as I've started here. uh in terms of uh of our our sources of revenue and how they get spent. Uh this is a
052little more detail on our millages including the excuse me, including the debt mill uh that we haven't talked about here since it's not a part of the general fund budget. Um and then some more details on our major state funding stream. So hopefully that's a useful resource for you as we go forward. and I'd be happy to answer any other questions uh that the board may have. >> I don't have questions, but I really like the additional pages. So, >> thank you veryle. >> Thank you. >> Yes, it's very informative and gives us a good picture overall of what the enrollment situation looks like moving forward. So, thank you. >> Certainly, >> if I could add again, thank you, Mr. Jen. Um, you know, one of the questions that we get directly asked, and I'm
053sure you're not immune as a member of the board, and indirectly asked is why we seem to be continually um having ongoing conversations about revenue and funding um even as one of the higher funded districts in the state. And you know, a couple important factors that I think um we need to, you know, bring back to the forefront that were just part of that that presentation. you know, first that the state funding has not kept pace with inflation plays a a very important part of that. And second, because revenue is directly tied to enrollment, you know, districts really have limited avenues to increase or expand their student base. Right? We've we've seen districts around us go to the one option of schools of choice, which is a way to allow students from outside district boundaries
054to attend. Um, and that is a choice that some districts have made. Um, and Another way that across Michigan districts have responded to long-term enrollment trends um have been looking at facilities, right, and consolidating or closing buildings um and really around us, we have eight districts that touch our boundaries um with the way that our catchment uh envelopes, different municipalities, and over the past two to three decades, seven of those districts that touch our boundaries have closed at least one building. and most of those have closed multiple buildings. It's just ourselves and one other district that have been able to maintain uh the same footprint that they had upwards of 30 years ago. So, you know, I I share that context to reinforce that enrollment trends are are important consideration not only for our district
055but really across the state. Um and at the same time, our focus needs to remain on being thoughtful, proactive, and steady in how we do plan um and ensuring that we continue to provide a high quality experience for our students um while responsibly managing our our resources. >> Thank you, Mr. I also want to point out that we are districting, you know, That's a huge competition, private schools and the public schools. And that just shows us that we have to think of creative ways to just kind of bring our our community back to respecting and joining us in public schools. And that's going to be a I think a a challenge for us, but We're we're up for it. We can do it. >> Again, thank you, Mr. Jen. That was really well done. >>
056Thank you. Um, next we'll move into the BPS dashboard. >> Thank you. We have uh Mr. Goldman from Plant Marine Realpoint to give us the quarterly update uh on our bond program. >> Thank you. >> Yes. Thank you for having me. Good evening. Uh last time I was here was uh December uh late in the year. Uh and since then we we've made some good uh progress on the progress of the bond. Um I want to report that the the bond is almost wrapping up here. Um you'll see future uh slides and and what I'm going to talk about, but it's been a great process this thus far. As you'll remember, uh, the voters passed a $195 million bond up on the left that encapsulates, uh, not only construction, but FFN, which is furniture, fixtures,
057and equipment, uh, money for buses, technology upgrades, and design prime programs, which is not using an architect per se to, you know, we do it a lot for parking lots and, um, roofs, and we just use our our partners uh, in the industry to help us get through those projects. Uh if you look to the right of that uh pie chart, you'll see the budget is actually showing 199 million. Um you can see in the footnote, there are some additional funds that came in to help uh that budget uh become higher than the 195. Uh I don't need to read them all, but some were from the 2018 bond proceeds, PTA contributions, some from uh a high school fund, and uh miscellaneous revenues reported, and then some interest earned on the the capital that you
058guys have in the bank. So that is the current budget right now, 199. Uh last time we were here, uh our commitments went up by 8.8 million uh dollars. That's just because we approved work since then. Uh the actuals approved um went all up by 5.9 million and that's just money we've spent. Uh the actual cost to complete that's how much it will take to finish the work is about 14.5 million. And then uh the force forecasted commitments actually in in in went down 9.7 because obviously you're raising some up of committed costs and then the remaining goes down. So as you can see far right everything is on budget right now to to finish where we planned. Um and it it's really a healthy program. Uh the the doughnut charts below uh you can
059see construction is at 98%. Um so we're very close to the end. Uh just for reference last year when I came here at the end of the year that was at 95%. Uh FFN kind of remained the same since the last time I was here. Uh buses we uh did spend uh a little bit on those. So that went up from 82% last time I was here to the 89 shown today. uh technology security still kind of remained steadily and then design prime it went from 70% to 99% with the approval of the roof work that we're going to be doing this summer. Uh the bottom left upcoming projects well there really aren't any on the books right now. I'm here in the in the next presentation to go for the final uh planned uh
060approval for uh the 2020 bond. uh we did put that statement in there. You know, any any proceeds could be used for critical facility needs in 2026 or that could also be carried over to a future bond if if that was uh desired. So, just wanted to it's been a great bond program. I think I've been involved for two maybe two and a half years now. I know our company has been involved longer and it's it's it's a pleasure to work with this district. Um on the on the far our bottom right you'll see our project schedule. Uh I had the uh you know fortunate uh to be a part of the ribbon cutting at the Bingham Farms edition uh last month and uh we are just kind of wrapping that project up. Finishing up
061some punch list stuff. Waiting for the weather to break a little bit to do some of the exterior stuff that is needed to close out some of those permits. Grow some grass hopefully. Um, so yeah, you'll see that that kind of goes through the May month uh of closeout. Uh, bid pack 1.8 was previously uh awarded and approved by the board. Uh, those are the renovations at our elementary schools and those are set for this coming summer. Uh, as well as those design prime projects that I talked about a minute ago with the roof replacement um, at the four schools listed there. Those are also going to take place this summer. The big one being the Derby Middle School over the uh pool and gym, that whole barreled roof as we call it. Um so
062that will be replaced. And then here in a few minutes, uh I'll present the FFN, which is furniture, fixtures, and equipment for the remaining elementary schools. Uh our last planned uh project of the bond program. Uh normally you guys uh see 12 pictures or so, maybe more on the on the presentation. Um but as you can see, we are down to the final pictures of Bingham Farms. Um on the left is all the completed projects since we started uh the bond program. I added it up. It it it as it stands right now, we did 35 projects across every basically building in the district. So I I if you count them, there's 17 here, but we have touched every single building. So it's just amazing to see the accomplishments we've done uh as a district
063and we thank you guys for everything. Uh and then project pictures. Uh if you haven't been out there, please go visit Bingham Farms. It's it's beautiful. Uh that main entrance is just redone. Uh took took that picture not too long ago. So that's all. And then there's a new addition on the top right. uh alongside the old uh the remaining build or the existing building. Um the middle picture on the left, that's that new corridor we built to the expansion space. So where that picture is taken from used to be a wall. Um and it's pretty cool to see that transformation. Um the classroom furniture turned out awesome in that space and across the building. We actually did that furniture procurement earlier on so it could coincide with the renovation. and they have that awesome
064collab space bottom left. I've seen all grades go in there and do work. Uh so it's very cool to see the students using that space as it was designed and and the furniture just fits so nicely. So again, thank you and I I'm here for any questions. >> Any questions? >> Thank you so much for the update. >> Thank you. >> Great. We now have We have um four resolutions that we'll move through. These have been brought to the bond committee. Um Mr. Jeff, I'll turn it back over to you. >> All right. So, we had a spoiler uh on this first one uh which is the resolution for furniture procurement at a number of our schools. Uh we did discuss this uh at the bond committee. Um and uh you know this has been
065a process working with the building principles uh at those schools uh which are Beverly, Greenfield, Harland, Pierce, Cordon, and West Maple uh to select the furniture that best meets their needs. Uh so we'd be happy to answer any other questions you may have. >> Trustees, oh question. >> I don't. >> Yeah, thank you. >> I move to move Resolution 66 furniture procurement for I'll mention all schools forward >> support moved by trustee or moved by trusty oay supported by trustee hokmer all those in favor please raise your hand and say I >> I motion carries 70. Next up we have resolution 67 food service equipment procurement. >> Thank you. Uh this resolution uh was discussed at the last meeting. Uh it's it authorizes purchases of approximately $700,000 in food service equipment at eight schools. Uh
066these needs uh for equipment that uh in most cases is is 30 plus years old were identified through the bond process. Uh but because we have excess funds uh that are in our food service fund that we either need to spend uh or eventually give back to give back to the federal government uh it made sense to move those purchases here uh and free up the funds on the bond side. >> Great trustees. Could I get a motion for resolution 67 food service equipment procurement? >> Yes. I move to consider food uh resolution 67 food service equipment procurement in the elementary schools of Beverly Greenfield, Harland, Pemrook, Corton, um Derby Middle School, uh Groves, and Seome. >> Um moved by Trustee Alooney, support by Trustee Joseph. All those in favor, please raise your hand and
067say, "I." >> Motion carries. 70 resolution 68 contract for fuel dispenser projects. >> Uh thank you again. This is a smaller uh but important project uh being funded out of bond proceeds uh to replace obsolete equipment and software uh for our fuel dispensers at both our transportation facility and our uh facilities and operations headquarters. Uh the total on this uh if I recall correctly is uh approximately $48,000. >> Great. Trustees, can I get a motion to move resolution 68, contract for fuel dispenser projects forward? >> I move that we consider resolution 68, contract for fuel dispenser projects. >> Support. >> Moved by trustee Hokr, supported by trustee Ras. All of those in favor, please raise your hand and say I. >> I. >> Motion carry 70. And finally, resolution 69, storm water management plan. Mr.
068Jen, back to you. One last time. >> Uh, this item was also discussed at the last meeting. Uh this is a requirement for the permitting process uh for areas we have uh you know within our facility footprint where there's storm water runoff uh for the board to affirm uh that that uh you know that we are planning to and will adhere to our storm water management program plan. Excuse me. >> Great trustees. Can I get a motion for resolution 69 storm water management plan? >> I move resolution 69 storm water management plan forward. support. Moved by trustee Wrath, supported by trustee Zamut. All of those in favor, please raise your hand and say I. >> I. >> Motion carries. 70 questions. Anything else? Awesome. Um, thank you everyone. Thank you for those who um came
069to the meeting. And um we will adjourn at 70 >> 809. We need a motion to >> we usually have a comment card that is to be filled out before do >> you can she you can email us if you want. You can email us and your >> Okay, that'd be great. That would be great. >> I'm afraid the window I mean you know this is a a business meeting and so that time slot has passed but you are so welcome to come to any meeting whether it's a study session or a general board meeting and then feel free also to put your comments in emails you know to write us and you'll get a response right away. Thank you for coming. >> Thank you. Yeah. So, generally as Trusty Auni was saying as well,
070there is a spot on the agenda where we have that um available for the public. All right. Thank you. We will adjourn at 8:10.