Asheville City Board of Education Regular Meeting 1/12/2026

001am going to ask Liza to open us with our equity statement. In Asheville City Schools, we are committed to equity and anti-racist policies for all student and students and staff to learn and thrive. We recognize that our positions come with power, responsibility, and public service for the entire ACS community. We will model our commitment to equity through our practices and decisions. During this meeting, we invite a pause if harm has taken place, a moment to name the harm, and space to practice repair. Thank you. Um, we are all present except board member Amy Ray, who is running late, but she will join us shortly, but we do have a quorum and so it is appropriate for us to begin. Um, and so we will start with the pledge of allegiance. Go. >> I pledge of

002allegiance 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. >> Thank you. Um board members, is there a motion to approve the agenda? >> So moved. >> Second. All in favor? >> I. Any opposed? The agenda is approved and so we will start with Kim Dean and good news. Good evening board and happy new year. Um, January is school board appreciation month and we want to take a moment to say a sincere thank you to our board of education. Your volunteer you volunteer countless hours to advocate for our public schools. Your leadership strengthens our community and inspires excellence. We know that every decision you make and every late late night meeting um you attend

003is rooted in one clear mission and that is ensuring that every single student has the opportunity to learn, grow, and thrive in Asheville City Schools. And for that, we are extremely thankful. If we could give our board a huge round of applause for everything that they do to support our students and staff. We proudly celebrate the extraordinary compassion and impact of our student services team. Before the Thanksgiving break, our school social workers and volunteers delivered 700 turkeys to Asheville City Schools families. Their service continued through December with the holiday dream project, which reached a new milestone of supporting more than 700 families across our school district. After long work days, our student services team and volunteers stayed late to handwrap presents and assemble personalized gift bags so that every child felt valued and celebrated during

004the holiday season. None of this would have been possible not only without the support of our staff, but our community's generosity. We extend a heartfelt thanks to the local businesses, our community partners and volunteers whose contributions made this vision possible. To the student services team, thank you for your dedication to our students and for upholding our district's promise to ensure that every single family feels seen, supported, and hopeful for the year ahead. If any of our student services team is here this evening, if you'll please just stand and be recognized, and let's give them a huge round of applause. Our alumni spotlight this evening is Melissa Henderson. She couldn't join us, but she is watching the live stream from her home. Uh we would like to recognize Melissa Henderson McDonald who is watching via our

005liveream. She is a 2005 Asheville High graduate whose path from Ira Jones to Asheville High School laid the foundation for a career in service and advocacy. After earning her master of social work from UNC Chapel Hill, Melissa advanced from child welfare and foster care management to her current role as director of services for the North Carolina Community Schools Coalition. She now leads statewide initiatives that transform schools into community hubs offering vital academic and health resources. She in she was inspired by her experiences in Asheville City Schools. From writing the Cougar Chronicle that's back in that's telling some time there to analyzing inequity in Mr. Kissling's AP US history class. Melissa has always met challenges and with vision and purpose, and we are honored to celebrate her as an Asheville City Schools alumni whose work continues

006to uplift students all across North Carolina. And don't you love to see that dollar amount on the screen? Asheville City Schools is proud to celebrate a phenomenal season of success and grant development, securing over 2.3 million in total funding to transform student opportunities across our district. In the current fiscal year alone, $875,695 will be injected into our schools, fueling innovative projects like the Epic paid internship program for our high schoolers, the addition of two new preschool classrooms, an expanded garden-to-table programming through our partnership with Feast, and nearly half a million dollars from the 21st Century Community Learning Centers Grant will continue to provide vital nocost afterchool and summer programs for our elementary students. While funding for steam and robotics initiatives at Hall Fletcher, Asheville Middle School and Lucia Lucy Herring will launch this semester. These

007awards represent a powerful investment in our students future made possible through the generous support of the Dogwood Health Trust, the Community Foundation of Western North Carolina, and the North Carolina Department of Public Instruction. Investing in public schools builds our community's future, and ensures that every child gets the opportunity they deserve. We owe a special debt of gratitude to Melissa Het and her team whose diligent work and tireless advocacy were instrumental in securing these resources. Let's give Melissa and I think Erica's here this evening and Shalisa okay are here this evening if they'll stand and be recognized for all their hard work. That's a lot of money. That's exciting. You can get it all in Asheville City Schools. We are officially welcoming new families to the Asheville City Schools. Open enrollment for the upcoming 2627 school

008year is in full swing. From our caring and devoted educators to our award-winning programs, there truly is no better place for your child to grow and succeed than in our school district. You can get it all in Asheville City Schools. And for more information about how to enroll, please go to our enrollment page. You'll see the events, you'll see the link to our um enrollment application, we have an enrollment team that's here to help you get enrolled. Great things are happening in our schools. And if you want to know more about what's happening in our schools, we encourage you to not only be a champion for public schools, but to also go and follow us on Asheville CE Schools on our Instagram and our Facebook page. Good news is just a tiny sampling of everything

009that's happening in our school district every single day. And our schools do an outstanding job of showcasing that on their social media. And we want you to stay connected. And that concludes good news for the month of January. And thank you to the board for all that you do. At this time, we have public comment. Do we have anyone signed up? Okay. Um, Miss Jones is bringing me um the list, but I will go ahead and read um that our guidelines can be found um in the link on the agenda and we greatly appreciate your interest in the Asheville City Schools and we welcome your comments to the board. Please be mindful of the following guidelines. Personnel and student matters are confidential and are not appropriate for public comment. If you have a concern about

010an employee or a student matter, please contact or see the superintendent after the meeting. And so I see that we have um four people signed up, two of whom are with a group. Y'all can help me out. Um if you are speaking individually, you have three minutes and if you're speaking on behalf of a group, you have five. Um, and so first up is Katie Williams on behalf of NCA and MCC >> or the balance between teacher voice and having a microphone. >> I have to find the right balance. Just because I think I wasn't clear, you are speaking on behalf of a group, right? Correct. >> Yes. And you have five minutes. Thanks. >> Try to find the magic angle here. >> Good evening, board members. My name is Katie Williams. I teach social

011studies and have been at Asheville High School since 2004. I'm a proud member of ACAE and I sit on the table team as the high school representative for our local MCC, our meet, confer, collaborate. I'm here tonight because MCC is going to have their fourth meeting on Wednesday the 14th at 4:30 here at central office. I would love to see board members in attendance. As you know, the MCC process was brought to the board last year as a way to address issues impacting our staff and our students. In our first three meetings, the MCC team has been able to create policies and procedures for inclement weather, hazard pay, and work from home options. We were already able to use the inclement weather policy to call a two-hour delay while waiting for weather conditions to clarify

012and we have been able to make use on the work for from home option on our most recent uh back from holiday. I can say speaking for the Asheville High Silsa campus, um we saw around 120 people make uh use of that work from home option and it was such a boost to morale to be treated as professionals who can be trusted to make professional decisions. Um, and I know at least my favorite comment listening to my peers as we came back was, "Oh, yeah. I still spent way too long grading, but I did it at home on my couch in my pajamas with my coffee. It's just like each one just got more exciting. The work we've done together has been groundbreaking and literally making history as the first MCC team in North Carolina.

013It has been so empowering as a teacher representative to sit at the table across from district uh from district leadership to work on issues that are impacting our staff, impacting our students. However, you as board are part of that administrative team, part of that district leadership. And it would mean so much to me personally and I'm sure others to see you in the audience to watch us and see how important and impactful the work is that we've been doing as we continue to move forward into our budget conversations. My request, will you as the board make a schedule amongst yourselves to make sure there are at least two members present for every meeting of MCC going forward this coming Wednesday, February 11th. They're all here at the board starting at 4:30, March 11th, April 15th,

014and May 13th. Thank for your time and your work and your support for your staff and the students. Appreciate all you do for us here at ACC. Thank you, Miss Williams. Next, we have Gwen Hartman, who I believe is speaking individually and will have three minutes. Okay. Good evening, board members. Uh, my name is Gwen Hartman, and I'm a sixth grade ELA and social studies teacher at Asheville Middle School. I also serve as the coach for our speech and debate team and am a leader for the student crew curriculum in our building. I'm also a proud member of ACAE, our public school staff union, and I'm very grateful to have the opportunity to speak to you all tonight. I've come here to speak to you about the incredible progress we've made as a district through

015the meet confer collaborate procedure in the past few months. In just three meetings, the admin team and the ACA team have already come to consensus on a telework procedure on optional work days and an inclement weather calltime procedure that protects our classified staff from driving in dangerous congestions on their way to work. These achievements showcase the months of preparation and effort by the board and the MCC team to have a platform to raise staff voice and speak to issues that directly impact our staff and students. This process is an amazing step towards more transparency from district leadership. As MCC continues to develop and conversations at the table move into more detailed visioning and planning for the future of our district, I hope to see even more collaboration between district leadership and staff. I know that

016the more we devote ourselves to this process of bringing staff expertise to the table, the more we can improve the learning conditions and outcomes of our students. Through this MCC process, district leadership has listened to issues that impact staff and students and begun to take steps to improve working and learning conditions in the district. As a fourth year teacher in ACS and a fourth year teacher in general, um this amazing experience is all I have known working as a teacher. So all I have known is the amazing work that public school staff and leadership can accomplish. Being part of this process as an audience member and ACAE member so early in my career gives me a stronger belief in the power of our public schools every day. It's very inspiring to me and very cool

017to me as a social studies teacher that the first district I've ever worked in is also the one leading this monumental change in North Carolina. It makes me excited for what the future holds if this is what we can achieve in a few short months. The board was instrumental in helping the meet, confer, collaborate process come to be. You all have made our district a leader in North Carolina. You have invested time and effort into this decision and I ask you to invest a small part of that time to come to these meetings and see this work in action. We are making history with this district and I ask you to come and witness the history with us this week. Thank you for your time and for your continuous commitment to our students and schools.

018Thank you, Miss Hartman. Um, April Wilson and you will have three minutes. Good evening. My name is April Wilson and I'm here on behalf of the Families of Asheville City Schools Advocacy Group. We call ourselves Fax. Our mission is to celebrate and defend public education. And tonight, we want to formally invite all of you and um to two upcoming community events that reflect our mission. First, we invite you to join us on Saturday, January 24th from 2:00 to 4:00 p.m. at the Hop on Marrammen to get the scoop on kindergarten. This will be a familyfriendly event focused on the transition to kindergarten, free ice cream for kids, and the enrollment process. Choosing a school can feel very overwhelming for families. I was just in that process two years ago. I helped out at the recent

019enrollment event and for several families, I wrote down a diagram of how to consider all the different options because it is so overwhelming in our area. So, we want this event to create a space for parents to talk with other parents who have been there, ask real questions, and learn why ACS and BCS public schools are the best choices for our families. There will be kid activities um and free kitty scoops of ice cream generously donated by the HOP. Second, we invite you to join us on February 12th from 6:00 p.m. to 7:30 p.m. at Land of Sky Church for a community advocacy event focused on the future of public education in ACS and BCS. Public education is at a critical crossroads. And this event will bring together teachers, staff, parents, schoolboard members, elected officials,

020and community members to advocate for fully funded, fully resourced public schools. We're going to focus on the needs of our EC, which is exceptional children, special education students, share real stories from our schools, and discuss concrete solutions to support students and the people who serve them every day. Making sure that the students with a little bit of extra needs are fully supported helps all of our students because education is not just a budget line. It's the heart of our community. We hope that you'll en you'll join us for both of these important events. Thanks a lot. >> Thank you. And April, if you have a chance to email us your remarks, that way we could get the dates, that would be great. Thank you. >> Um, and last we have Christina Shimrock, and you will

021have three minutes. Hello everyone. Um, we're very excited about those events. Um, I my name is Christina Shimrock. I am a parent of a fourth grader at Claxton and a rising kindergartener who's probably going to be very excited at that kindergarten event at that. Um, I'm also the community organizer for ACA and BCA. So, I hold a lot of different hats. I'm also a former teacher. So tonight I'm wanting to discuss before you get into your own discussion about the new funding model that was proposed. Um some of the advocacy that fax alongside ACE has done um is to ask questions about this newly proposed funding model. Um because there this is we're at a crossroads like you heard we are 50th in this in the country for for funding right like there's a lot

022happening and so these decisions uh if we want people to advocate and fight for public education they need to be a part of them especially when they were talking about funding them. So we emailed these questions already to you back in December. We're so thankful that Sarah and Rebecca, our our our chair and co-chair, sorry to be informal, um have met myself, the representative for facts, and with Carson Bridges, the president of ACA. We're very thankful for you taking time to do that. Um for listening to our questions and bringing them back to other decision makers. We really appreciate it. Also, we appreciate that this board is taking its time in this decision and allowing us to provide feedback and public comment tonight and to listen to discussion. So, we thank you for holding your

023vote until February. Some of our concerns I'll highlight um just so for those of you listening um the proposed rate or the proposed rate of funding of our schools does not return us to preheline funding. We'd like clarity on that because the commission states that it does and in fact we'd like to understand how they came to that conclusion. Um we know that we are in a crisis of funding and we're in a crisis of what's coming down the pipeline for special education funding on the federal level. We don't know what that's going to look like when that release of funds in July of 2026. And so does this percentage does is a big enough pie to to make sure that we are proactively thinking about what our funding looks like. Um again, is this

024percentage enough for Bunkome County schools? We know that you cannot advocate past what Bunkome County is advocating for, but Bunkham County serves 85% of our children here in Bunkham County. So again, is this percentage what you will vote on actually going to fully resource, fully fund our schools? Not at the bare minimum, not at status quo, but showing our advocacy and our fight for protecting public education. Um, does it limit limit or strengthen your ability to advocate for increased funding? We know there's an emergency clause. Do you feel empowered through this the the the contract language to advocate? Thank you so much. We look forward to listening to your discussion tonight. >> Thank you, Christina. I do not have anybody else on the list. So, thank you all for your public comment. We greatly appreciate

025it. At this time, next on our agenda is our consent um items, and these include student releases to Bunkham County, the draft minutes of a work session on December 4th, a closed session on excuse me, December 1st, a closed session on December 1st, a closed session on December 8th, and our regular meeting on December 8th. Also included is our next year's board calendar meeting with meetings of the school board. Um, also in the consent agenda is a slightly revised calendar for the entire district for 2627 to take into account the changes in the voting um locations. There are two contracts um for our approval and then there are a variety of policies on second read. So, is there a motion to approve the consent agenda? >> So, moved. >> Okay. >> Second. >> All those

026in favor? >> I. >> Any opposed? Thank you. That That was a lot of work last week, and I appreciate it seeming efficient this week. Um, at this time, we are going to move to what is probably our biggest item on our agenda, which is the funding formula. And um Heidi, our finance director, is going to lead us through this, but I wanted to just remind board members and anyone else of just the context of how we got here. Um you all know we've had meetings since last September and the three-page piece of paper that this board discussed in our December work session. We sat down there and discussed it. That had been the proposal written by the county. I don't know who over there, but it was their proposal and they sent it to

027us and we discussed it. Um, there was some back and forth and very late in the day before the holiday break, the county had come back with some revisions to that and then understandably people were off for the holidays, including attorneys. Um, and so it wasn't until we got back from the holiday break last week um that the attorneys for the different um the three different entities had gotten together and sent what I'm calling a clarified agreement. It was the same provisions but clarified and we're going to walk through it. Don't worry. I just this is just for context. Um the county as you all know voted the commissioners voted last week and they approved it in its form but I had um occasion to talk to chair Amanda Edwards and I it is my

028understanding that as revisions are made which the version you saw today does make some they will go back and vote again on an amended proposal. So just because they voted on doesn't mean it's sacred and can't we can't change it. And so in fact, what you received today showed some changes again from what the county voted on last week. And we'll talk through those. Um, and let's see. I'm sorry, just make sure I um I think Heidi will speak to you about this. She's was involved in the revisions that you see in red on yours. And it's my understanding from our attorney that this version that you all got today was shared with the county commissioners today also. So, they've seen these proposed changes as well. Um, and last, just for context, as we've made

029clear, we won't be voting until February. Um, but we wanted the opportunity for public comment tonight. We want the opportunity to discuss, um, and talk about what's in front of us. And so, Heidi, I will turn it over to you. Just board members, does everybody have the version that I forwarded to you right before the meeting start? Okay. So, I thought for just a moment if I could expand on some of that context you laid out just for the folks that may not know that much about this. So, it's been a couple of years now that the county has asked the school districts, can we come up with a better way to do this? Can we make this a better process that's less contentious? It's less drawn out. It's easier to, you know, provide feedback.

030Something that we can rely on, something that we can use moving forward for long range planning. So that's that's been discussed for some time now. So back in April, um the commissioners began the discussions to ask staff to actually research what some of these options might be. And not only that, um after the county manager met with the superintendents and the board chairs and had a little bit more discussion to make sure everybody was on board at actually looking into this, um they involved the LEA finance staff. So Tina Thorp at Bunkham really took a lead on this to do a lot of research from all the districts that either had or had not. Um some districts had had a local funding formula which was no longer being used and others were still using one.

031And then I helped her make some calls and we talked more in detail with those finance officers to find out what was good about those, what was bad about those. So the county has had us involved in this process from the very beginning which I think is important to understand. And so it was very proactive of them to actually kind of go out on this limb um in a place where a lot of um counties are not going um a lot of them still follow that same process kind of similar to what we've been doing year after year. So after multiple meetings with um county staff um Tina and I actually helped them go over data. We went back and forth like um our board chair said um with what is good, what is bad,

032what should be included, what shouldn't be included, what's going to make this work for Bunkham County. And so we worked cooperatively all together as staff to draft something and then of course the attorneys got a hold of it. It looks entirely different now, but it does say essentially the same thing. So, um, we understand, you know, there are concerns in the community and I have concerns as well. We all have concerns. I mean, because ultimately what we want to do is fully fund our schools and we know that there is no proposal out there that's going to do that. So, what would best do that in the best way to cooperatively work with our county in order to assure our funding moves forward in the way that we need for it to move? Well, what

033this proposal actually does, which hasn't been done before. In the past, what's happened is every year basically we're at ground zero. You know what is the budget going to be? We don't have a starting place. What what's very good about this is they have established a starting place. They wanted that starting place to be what last year's funding was, which of course the two finance officer school districts pushed back on pretty immediately and said, "Look, you know, we kind of already got a decrease for this current year. Can we increase that at all?" And you know, and honestly, in their defense, they're very hesitant post lean to make guarantees when they're not seeing that revenue growth like they did in the past. If we'll recall back in 232 24's budget when I first came in

034um to the district, we were encouraged to give everybody raises, increase pay somehow. We've given you more money, increase salaries. Well, what happened to that increase? That one time anomaly of an increase. The next year it went away before Helen it went back down where we had been getting about 35% of the budget. It went up to about 39 almost 40%. They bumped that back down to about 37% which is where they were starting here. So in 2425 we really only had just over 37% of the county's budget. Well, when they took some time and they went back and re-reviewed the numbers, they found out that there was actually some positive unrestricted revenue growth this year and they said, "We agree that's true. We should give you benefit of that just like this formula is

035going to do in the years moving forward." So they increased that base percent by almost 2%. And so that's the new starting place, the new base. And then what we would do each year is not have to go in and make our plea for what the budget's going to be. We're going to start at that percent of the total actual collections from the prior year. Now I want to draw a little bit of attention to that word actual. So, a lot of people have said, and I've seen some of the the the news articles and things, well, why wouldn't you want to have a cut of projected revenue since that might likely go up? Well, it could go up or it could go down. We don't know. and what a county has to do when

036they're laying the needs of all the agencies and departments and school districts out there. Just like we heard during the post Helain conversation was that we can't allocate out to all of the agencies we're responsible for more than we think that's going to come in. So what do they do when they make revenue projections? They make them very conservatively. So what doesn't happen after they make a conservative revenue, you know, estimate for your budget for the next year? They don't ever come back and adjust those. They might adjust some on their um books because it is their budget and they're certainly justified to do that, but the schools budgets never go back and get adjusted if there is growth. So what we're going to be able to get out of this formula, which to me

037is the very most important piece, is that we would have a base guarantee. We go in with some assurance of what our budget's going to be. Our budget will be based for the following year on the actual revenues from the prior year. And then next year, if a whole bunch more money comes in, guess what? Our next year's budget's based on that. So, we're going to have that constant share of good or bad. Sure. You know, do we have a little concern if that could go backwards again? Chances are it's been very rare that those revenue projections ever move backwards unless there's an extenduating circumstance like the hurricane. So what we're going to see is some automatic growth factor in the budget that we don't actually have to go try to fight for every year.

038And when you go in and fight for, I mean, they really do not take any issue with what we're asking for. If if those money trees out there were growing and we could pick them all and bring them in, I think they would fund everything we asked for. But we all know there's a limit to what funding is out there. And our taxpayers can only sustain so much taxation. So I think what this was was an attempt to stabilize the funding not just for us but for them. So then when they go into their budget process, this is what they are going to be able to make estimates based on as well. And hopefully long term just like the DPI um formula has gone to that arars formula so that we know this year what

039our budget will be for next year. Now we'll have a local piece and a state piece kind of on that same level playing field that we'll have a basic idea of what that money will be for the following year and in March. These projections in the agreement will come in in March. So we could actually make estimates and changes and adjustments that we might need to make for the next school year when normally we won't find those numbers out until May or June. So again, you know, is there some still concern in this that we won't have 100% of what we would need or want? Sure. But that's never going to happen. Um what is also been included in here after much um concern shared by the districts is there's a clause in there I

040think as one of the speakers already mentioned that we can go back and ask if there's an emergency situation if there's some new unfunded mandate that will prohibit us from meeting the needs of the students. We're going to be able to make that emergency request if that comes up. The county's concern was what if there's a sudden drop in students? you know, we shouldn't have to keep funding you at this level if you only have this many students. And you know what? It's a business model. I ag I I have to agree and understand that, too. But we also said, well, what if we actually have a surge? We're doing a lot of positive things here and we may have student growth. So, we said if you're going to include a potential decrease in funding

041for a drop in students, then we need a potential increase in funding included as well in case we do have a surge in students so we can meet those needs. So, um I think those are the most important pieces of the agreement um that I was going to touch on tonight, but I would certainly help facilitate whatever other conversation you might want to have. Thank you, Heidi. Um, board members, just trying to find a useful way to do this. Would it be helpful if we looked at the agreement and just kind of went through it in order and you all have a chance to ask questions. Um, or do I mean, I'm open to suggestions here. That's >> Oh, as far as the changes, I should mention those changes that came in just tonight. One

042of those was just reorganizing the part about not committing future boards or the inability to commit future boards to current board actions. Um the other one mainly the only one that had any kind of substantial impact was the one about the ADM um count every year. I think the attorneys misunderstood what that letter from DPI represented and um Tina and I have to work together every year to get a total ADM for us and the charter schools. So we asked if that joint verification could not be what we use as the student count from now on because that's the only complete student count that actually exists. So they did add that language back in. I mean board members if you all are comfortable with the I want us to have a discussion about this document.

043My question to you is do we want to take just a couple minutes. We won't labor bel labor it and go through it together to make sure we're all understanding it the same way before we discuss it. That's my question. Um okay. Well, let's just do it because nobody seems to have >> You want me to just sit down? >> Well, I don't I guess. Yes. And if we need you, we'll you, you know, we'll ask question. Um Okay. Everybody has in front of them the most recent version. Um I'm going to skip all the whereouses and the now therefors and we're all background about how we came to be in this position. Um the purpose we talked about this in December. Remember this is just that one local county allocation piece of our budget.

044That's what's in front of us. Um paragraph two. What has been done with the red words to remind you is before there was the term and it said but see also paragraph 7H at the end and now they just put them together in paragraph 2. And so every there's a three-year initial term every two years thereafter any party can give notice to um terminate or modify it. And in addition, on top of that, every time a new board is elected, excuse me, new board members on any of the three boards, there is also a chance to terminate the agreement. So, come January 15th of 2027, there will be an opportunity for any of the three boards to get out of that. So, I I realize it seems a little bit inconsistent, but there's the term

045of the contract, which of the agreement, which is what we're looking at in the black font, and then what goes on um statutoily. Are there any questions about paragraph 2? Again, just do we all understand it? >> Functionally, that that gives the a newly consisted board the December meetings and the January meetings to discuss whether to continue Correct. All right, we're good on paragraph two. Um, paragraph three was I think it's clearer now. This caused us some confusion when we looked at it before. Um, just to say this out loud, the 12 months that end on February 29th or 28th, you close the books, you get a number by March 15th. My understanding then is the county people have two weeks to do some math and we will be told a number that is 30.

046I'm so sorry. Where is the number? I guess apologies the numbers in paragraph 4. Sorry about that. So just to determine the baseline amount they look at advelum taxes which includes vehicle taxes. You see all that listed. I think we've been over this sufficiently. Again I'm just asking to make sure everybody understands it. The base amount upon which we get the percentage does not include the portions of 3940 and 42 that were already allocated to schools and capital. That's what's being explained here. So, are we all are you all clear on what is being said, >> Jesse? Yeah, >> this is this is not confidential, right? >> No, >> it's not. So, is there a way that we can put it on the screen so that everybody else can look at it and read it

047too so that they can see what we going through just in case? I mean, you know, just >> so that they know what we are talking about. Is it possible? >> I see people working on that. >> Oh, okay. >> I mean, so I think the answer is yes. >> Does somebody need to send an email? >> I think they got you. >> Maggie's got it. >> Yeah. >> Can you can one of y'all share that with me? And >> going to connect a screen beam. >> Okay. Merely have just to have said this because Jesse brought it up, but for the red font, this is the exact same document that you can find on the Bunkham County Commissioner's website, right? Because this was part of their agenda, so it's been widely circulated, Jesse. But

048these changes have just been circulated today. One thing um in paragraph three I'm curious every once in a while you'll see in law interal agreements whatever they are um a page of definitions and I think those of us who have been steeped in this in general understand what adalorum taxes are but I wonder if for clarity's sake there could be a definition, a true definition of what advalorum are. Um, and I I say that not only because it's, you know, text speak, um, and I assume Latin, but also, and I, this is not to I I understand it's going to come across as distrustful. I want to make sure that by by putting that definition in that we are being clear to all three parties of this interlocal possible interlocal agreement that um and again

049I apologize this this sounds somewhat conspiratorial. I want to make sure that money is not being hidden right um so that this truly represents true gross revenue. Um, I mean, we see in just our local budget how many different pots of money there are and where they're coming from. Um, and so to say gross revenue, I can conceptually understand that. I I would encourage if there were definitions and we'd have a better understanding of what truly gross revenue are. >> Thank you, George. What I'm doing is I'm just going to take notes about these comments and we'll see what we can do. Um related to that is the advorum taxes are going to include property taxes. >> The advalorum taxes will include property taxes. Okay. >> Just to say what you're both saying. I do

050think there's an understanding that Heidi people and tax people have about what advalorum means, but it would be helpful for clarity to have a definition so that it is clearer that it includes real property taxes, vehicle taxes, the list that's included. Yeah. Okay. Um, other just questions about the meaning of paragraph 3. Again, we're going to come back and discuss more, but we're good on paragraph 3. >> Currently, there's nothing in here about adjusting what happens if the county adjusts revenue or tax rates to be revenue neutral or lowers revenue rates. >> I mean, I have an answer that goes through my head, but I'm going to let Heidi take that one. So when the the percentage was the option selected as the local funding formula that percentage will be it of actual revenues collected

051in the immediate prior 12 months. So it doesn't matter what the rate is. It takes the rate and all that which was originally discussed as a potential way to do this out of the scenario because it will be strictly a percent of the total actual dollars collected in those categories. And just to clarify because I heard Heidi say the word rate and I want to make sure you all know what she means. If the county increases the tax rate that's on them, they can lower it. They they're going to do what they're going to do, but our percentage is what stays constant. I just want to make sure when she said rate, you knew what she meant. >> But the um number of cents per dollar or fractions thereof could go up and down, but

052it's depends on whatever the county does for their total needs. >> Basically, the way I think of this, which makes sense to me, and it may not make sense to everybody that way, but there all the county revenue is in a big pie. our percent of that pie will stay the same every year. So whatever is collected of that immediate 12 months in those categories, we will get that percentage of that regardless of all the pieces that go into it >> regardless of whether they intentionally make the pie bigger or smaller. >> Correct. >> Okay. >> Um Pebbie, just for information, um this is a reappraisal year. we all know. So the the number we're going to get for February 29th, 2026 is based on last year, right? Not not taking the reappraisal into account,

053but when we sit here this time next year, if we're still under this funding model, then it would have taken that into account. And what the county commissioners choose to do with those reappraisal rates will be something we'll all be listening to. I think all of us have heard some commissioners say they're not necessarily seeking to be revenue neutral because the county needs more money also, but we don't know. We are not privy to how that's going to play out. But does that help answer your question? We're going to have to watch and see what they do. >> It does. It sounds like they're going to give us money for the year in July or in based on March 15th, whatever the data they've got. And the at the same time they may adjust the

054tax rate, the property tax rate, um the number of cents per $100 up or down. But and then they will collect the revenue and we will have essentially a year to plan for that for however they adjust the tax rate up and down. We will have a year to plan if the total revenue projections would be up or down for the following year because as a part of those budget discussions they will talk about projected revenues for the following year. So of course those are not known until the whole year happens but they will make some projections and we will have that information to try to plan to see what we think we'll get the next March. But we will have those firm numbers based on the prior year to do our own budget for

055that following school year. >> I appreciate not being blindsided and having that time. So I guess that is an advantage. >> Yes, sir. >> Any other questions about the mechanics of paragraph 3? >> Okay. Paragraph 4, just the mechanics of the paragraph, 37.76%. Thanks, Maggie. So, to be clear, we're just talking about mechanics. We're not debating that 30 We're not debating the 37% right now. You just want information about the wording. >> Correct. Okay. And I think we all know this. I'm just saying it out loud and Heidi will correct me if I get it wrong. But once the amount is determined on March 15th, X that will be for fiscal year starting July 1 through the following June 30th. X gets divided by 12 and we get 1112th of X each month on the

05615th of the month. That's what that's saying, right, Heidi? Just making sure I'm Doesn't it say the county will remit the base funding on or by the 15th day of each month, >> right? That's how we get our money now. Once >> once a month. >> So that's that's not a change. >> No, whatever amount they gave us before, they divided by 12 and gave it to us each month. Right. The only thing that and I don't want to get in the weeds on this but might be a little different is right now we get the the steady money the adalorum the property tax vehicle tax money one time a month and we get the sales tax money a different time a month because of the timing of those two receipts as I understand it

057now since they're fixing our budget at a certain amount we will get that fixed amount one time a month which is actually a benefit because part of that money did not come in until almost the end of the month in the fast. So, >> I got Pepe and Rebecca. Sorry. And then, >> uh, I'm seeing, uh, the text, uh, the baseline funding amount will be shared with the school system superintendents and finance officers for review and comment. Prior to the approval of these amounts by the county commissioners, when would the uh, school boards get advanced notice of the amounts? I don't know the answer. I mean, we've not done this before. Um, I'm assuming that around March 15th, we will get the number and there will be an opportunity for us to essentially say, "Hey,

058check your math. How did we get like that's the ability to look at that and would we do it? I mean, Pepe, I don't know. In our April meeting, I don't know. Do you have thoughts on this, Maggie?" It'll my the way I was reading this is that will then go through the normal budgeting cycle. So then as they are prepping their budget and getting theirs they do theirs in um at the end of May. >> Okay. >> Y >> okay >> calling that normal budget cycle. >> Okay. And so that would be something that the superintendent would share with the board. We discuss it in April. Okay. That makes a lot of sense. Thank you. >> Because even though the percent is being set, we'll still have to go through our annual budget process.

059Just to be clear, I don't know that that was Pepe's question. I mean, because I think we >> It is enough of my question. Yeah, >> that was your question. Oh, >> yeah. Okay, good. >> Sorry, I misunderstood. I think as we're going through I I just want to make sure that I understand in the very opening sentence of paragraph 4, following the calculation of the gross revenue for the upcoming year, which starts to sound like projections, the county manager together with the budget director shall determine the baseline funding amount to be distributed to the school systems. >> So upcoming might need to say previous. >> I don't know. But then it says the baseline funding amount will be I guess what I want to know is should we feel confident the baseline is 37.76

060not to be changed unless a new agreement is this preamble statement in any way saying the 37.7 is not set for the for >> I think what they're saying there because this is the sec the calculation of the actual baseline funding amount >> and it talks about sending it to us on the 15th of every month. So, what that would be is they have to get that gross revenue total times the percent to come up with the amount they're going to send us. I think this is just talking about them making that calculation of the actual dollar amount. I will say that it's inelegantly worded at the beginning of that paragraph because it the for the for the future whatever it is for the upcoming fiscal year could be read either as meaning the gross

061revenue for what what's coming as a projection as Rebecca said or it could mean the gross revenue from the previous year to be to will to be used for the for the upcoming year. So, and we know >> I will just say that the finance officers had a two-page document and thanks to the attorneys, it's as long as it is now. So, I would give that feedback to our attorneys. >> Yeah. No, I agree. >> I'm sure they would clarify that for you. >> Yeah. No, I I agree and I'm this is no shade really on anybody. I just I do think that uh it could be it could more be more precisely worded so that it's clearer. But, >> but Amy, you're understanding it then the way we want, which is they're saying following

062the calculation of the gross revenue that we got. Mhm. >> that >> we're going to be able to use next year. Yeah, that's good. >> I think that's what it means and I because it says it in the next Senate. >> I would add that the prior paragraph three the convention is once they've capitalized the G in gross and the R in revenue, you go back to paragraph 3, which is where that was defined. I mean, I I get it that it could be clearer, but I do think gross revenue was clearly defined to be your past year, right? All right, good. >> But I've written a note and we'll see if we might get some clarification on that. >> It It might be that striking the text for the upcoming fiscal year. Actually, >>

063I'm going to let the library. I'm not going to try to word submit that. Okay. Um Amy, you had a question. >> I I'm good. >> Okay. I'm going to move on from paragraph four, folks. Um, paragraph five looks, this is more red stuff here, but Heidi, is it correct that this is what you were referring to that you and Tina went to them and said, "We'd like for this was y'all's suggestion." >> Yes. >> Um, the letter I I can't remember if I said it or not. The letter that comes from DPI only certifies the LEA ADM. It does not include the charters. So we work very hard every fall collecting all that information from all the charter schools on both sides of the districts. So we make a joint verification every year that

064we already send to the county that they already use to prorrate the funding between the two districts. So we suggested we use that same tool now since it's already in place. And the intent here just to say is if it has gone up or down by 2% or more and that's across both school districts BCS and ACS then it triggers a change. >> Yes, Pepe. >> The term enrollment is something that I understand to be the number of students with unique names. the number of chairs we have to have available is the meaning in this case um a average daily membership or is it the number of bodies if everybody shows up who's enrolled >> it should say ADM because that's the count that's the only count anybody uses for funding >> right now that

065out that's let me Yeah. Did they take it out? >> Yeah. There's no mention of ADM in there that I And >> thank you, Pebb. I've written that down and I'll pass that along for >> um just for clarification. Are we saying that certified enrollment means we just want them to use ADM instead of certified enrollment or is that the >> Well, I think Pepe's point is certified enrollment. There are multiple counts of certified enrollment. So, we should specify that it is ADM and that could be another to George's point, one of those definitions that we put in there that people can understand better what that is. >> Thank you. Any other questions about the mechanics of what paragraph 5 is doing to this agreement? Um, paragraph six, this doesn't affect agreement. >> I do

066have a question. So if our enrollment goes up or down by 2% or more, >> us and BCS and the charter schools all put together. >> Yes. So we take all of those students in in public charter schools, public regular schools, put them all together, and if that total number goes up 2% or down 2%. What happens or do we go back to them? If it goes down 2.1%, goes up 1%, goes down 2%. I mean, what if we are below the threshold going in one direction and above the threshold going in the other direction? Or is it >> I don't understand. I'm sorry. >> Well, >> how could you be both? I think that's what I'm missing. >> You can be one in one year and another in another year. So, if we were

067to lose 2% >> an annual review. >> Yeah, I think that's why the the def what's this this is defining is that the count happens once a year. So one this can only become a a factor one time per year, right? >> Correct. >> So in one year, say this year, you know, we we hear we find out that we're 2% lower, but the next year we've regained 1 and a half%. We don't then reclaim the amount >> that we've lost. >> Come back up to the full. >> Yeah. So, I'm just wondering about how we can adjust for multi-year trends looking at this because those multi- if we take two or three years, we may go down 5% and go up 5%. But we could lose, you know, 1% going down and regain nothing

068going back up. >> Well, you never say never, right? Right. But the original proposal based on the Enslow model was 1%. >> Okay? >> And we advocated to bump that to 2% because especially if you take the two ELEAs with all of the charter schools. >> Enrollment is either flat or increasing in most cases. It's rarely decreasing. So we thought as far as our perspective was that 2% was a much more reasonable number. Not to say it won't ever happen, but um and then again, we still have that provision that if that change prohibits us from adequately meeting our students needs, we could request an emergency reconsideration or this agreement is being reviewed every year and then after the three years can be renegotiated as well. Okay. So, I mean, because just just piggybacking on

069this, if we went up 1% for four years in a row, we would get no increase >> because it's only done annually, >> right? >> Except 3 years, >> right? So, at three years, we'd have to negotiate. Exactly. This doesn't actually do us any good unless we have a full 2% in one year, >> right? or and and it doesn't do us any harm unless we have a reduction of a full 2%. And so I I get the balance, but I do think it's worth at least noting >> that if we have one and a half in% increase in three years in a row, >> we're really going to need to renegotiate that percentage. >> Yes. >> Do we have a I'm sorry. >> Sorry. No, go ahead, George. >> Do we have a rough

070idea of what that is student numbers wise? Like if we take all the enrollment of Asheville City and Mon County >> 500 >> was it 500 right that's kind of what I >> I don't know where I heard that from but somebody in the county >> Bunkham County is around 22 right 22 or 23,000 we're a little under four and I don't know what the charter schools are >> I haven't I think we're around 25,000 altogether but I look that up >> yeah so can >> no that's that's helpful thank you >> I wanted to ask it's a math question that based on what Amy said because it's something I've assumed but I'm not sure. So if we Bunkham County Ash City Schools the number is X and a year later enrollment goes down 1%.

071population is declining, right? It's we stay at, you'd think I would know the number by now. Whatever the heck it is, 37 >> 76 the following year, we go down a percent. And you know, population is declining, we stay at 37.76 the next year. So if population is declining, but by less than 2% a year, I mean, we could look up 10 years from now and be much smaller, but still have the percentage. It does work out. both ways. I just I just needed to process that out loud. I I what I'd like to do, if it's okay, is I feel like we're getting into more um for lack of a better word, the merits of this paragraph. And I I just want to finish the mechanics first because I know there's more to talk

072about. Do we understand paragraph five? Okay. Six. Pretty neutral. Seven. They spelled Maggie's name wrong. I'm just noticing um that that was missing and it's legally required that you have these notice addresses. So that is expected to me to see those being added. Um I would tell you a bunch of legal terms that follow and then we I I wanted to bring us to paragraph G, but if I went too fast until we got to G, let me know folks. So then if you turn your attention to G, that is the emergency language. And Heidi could speak to this some more, but that's been pretty massaged back and forth by the parties to my understanding. So, do we understand paragraph G? I guess I would just say back to the conversation we just had about

073ADM. I mean, we can request an emergency request. We It's not guaranteed, but we were never guaranteed a funding amount any year we show up either. So, um, we'll just have to hope that if we really have a dire situation that the county would see a way to address that. And again, we could always decide to change. You have that annual then three-year opportunity to make a change. So, >> so is a uh elimination or unreasonable delay in funding at another level of government, foreseen or unforeseen event, would that be included? >> I'm going to suggest that that is something we'll never know until we get into the negotiations. I mean, we're going to assert what's an unforeseen event and we're going to um trust that everyone has a a common understanding, but there's no

074way to define that more specifically, I don't think, than just unforeseen or foreseen. So, I I feel like that's just something we'll advocate for at the moment that it when if and when it happens. >> Does that make sense? keep looking at it. I know it's easier for me to say, but I think the rest of this is pretty straightforward, but you all need to let me know. And then my suggestion is that we turn to sort of broader um concerns you have or things you like about it. I'd like to have a discussion about it. So, that's where I'm headed, but I want to I'm looking at you guys to make sure there's no like mechanical questions about the rest of the agreement. I >> ask a question about H, the dispute resolution and

075subheading two. >> If said superintendent and manager unable to successfully mediate said dispute, it sounds like it would just go to the chair of the county commissioners for resolution. Is that correct? Am I reading that correctly? >> I'm reading it, George. I'm sorry. If Maggie has an answer, she can chime in, but I'm reading it. >> Is that what that what I'm reading? Yeah, if I understood your question correctly, I mean, yeah, it's it's basically you have the representatives of the leadership, county manager on that one hand and the superintendent on the other on on in in terms of negotiating any disagreements. And then if that doesn't succeed, you're bringing in the elected officials to help the chair and the county commission chair, two chairs or the three chairs, >> right? >> Is that what

076is >> that is what I was asking? Yeah. >> Okay. Thanks. >> That's how I read it. >> Thank you. >> Sorry. >> Okay, folks. What concerns do you have? What What do you like about this? Just want to have a chance to discuss it. We are not voting tonight. This is a chance to have a discussion um simply to see if we need clarity in some places and just make sure everybody feels there's been a full discussion of this. I have two questions that come to mind immediately. Um one, um Heidi, when you were talking about it, I thought you said we started at like 37% but managed to get it up 2%. Well, we're at 37.6. six. So, did I I just misunderstood that. >> So, the um and maybe I said that

077wrong out loud. I'm sorry if I did. The um increase in the unrestricted growth rate was almost 2% 1.89%. So, they gave us benefit of that which raised the percent from 37.06 to 37.76. >> Okay. All right. And then the the bigger question or more important one to me is when we look at this 37.6% um you know we heard someone come up from um facts and say earlier that you know it it doesn't get us to preheline funding. Can you comment on I understand obviously that we never know exactly what the revenue is going to be at the county so we can't really predict what 37.6% 6% will be but can you comment on the percentage that we've been getting visav this percentage or I mean tell us how we're doing here if you

078can >> part part of >> I'm sorry 37.76% excuse me >> part of the presentation back to Sarah's point about the county having posted it on their agenda they had a they had the proposal but they had the a presentation as well and one of their slides ads actually shows from 2022 to now what that would mean and it's a really good illustration. Um so in FY22 we had 34.91% FY23 we had 35.01% and then came that I call it an anomaly year um in FY24 where they bumped us up to 39.47% 47% in response to everyone in an attempt to address their salary schedules and pay here. But then that was the year if you remember that their revenue projections didn't come out to the rates that they expected. So they had to draw

079back all department budgets and not just ours for that following year, which happened to be two months before Helen hit. So it it looks like we did not get restored back to preheline values, but they had already cut us for other reasons before Helen. So that rate was 37.18 because of the impact with the county commission funds and all back and forth that we've done. So, what they did is they've reestablished the money we should have gotten directly from them, not from the county commission. And that came out to the 37.06, which would have held us flat, which Tina was advocating for much, much more, I'll just say. And she did a great job, and she did get them to go back and look at it. And so, the unrestricted rate added to the 37.06

080is the 37.76. So yes, there was a slight drop from 2324, but there was not it was almost level to 2425 depending on how you look at the capital commission money in or out. Okay. So from from your perspective as our finance um person, this is this is as good as I don't know what you would how you would put it, but this is we're not sliding backward. >> No. And and not only with I think I said that with the the more >> assurance of what our funding level will be. >> The other thing this takes out of the mix is that that funding for that year will be based on actual sales tax collections. See in the in the past years that goes up and down. Even though they assured us of what

081the property tax piece would be, those collections that we received from sales tax were always volatile. And so this takes some of that volatility out of those revenues as well. >> And that brings me and I I promise I'm not going to dominate. I just want to kind of get my questions. That brings me to another question I had, which is when we look at the sales tax amounts, I am I right that it's specifically saying they will all go to capital funds or is that am I not right about that? >> That that part three or four different times to be perfectly honest with you. What they're trying to make clear is those pieces of those specific sales tax articles that are already either promised to the county or promised to the school districts

082in the form of our capital appropriations >> are untouched by this agreement. The only thing this agreement is addressing is the local current expense appropriation that we then share have to share with the charter schools. So the so when it says less than 50 less 50% that means the other 50% come to us as general. >> Okay. Got it. And so the uh but theif let's say less 60% that 60% goes to capital but the 40 comes to us. Right. >> Those articles all have a very specific percentage that has to be addressed to certain areas. >> Right. I'm want to clarify two things. >> I want to clarify that. So for article 42, 60% is already hardwired to some fund number that Heidi can tell you about for capital that we and Bunkham County

083Schools deal with, right? So 40% is left in the bucket and we will get 37.76% of it. I wanted to be clear, we're not getting the whole 40%. It's just part of the bucket. And I just want to say one other thing out loud because I do think it's important um about article 39. Um we all know about article 39. And just to say this, the um I Senate bill whatever said that there was a 2-year period during which county commissioners could at their discretion take the full 100% of article 39 to do to have in their general fund. And they we weren't guaranteed that we'd get the 50% in our capital commission. I know I always call it the wrong thing, but the thing that George sits on, and we know what that looked

084like last year. So, two things I want to make clear. When we sat there in the meetings last fall, everyone on the county commissioner side and the county manager said they will not be doing that again for the upcoming fiscal year. So, I want to make sure I'm clear about this and I'm g that it happened to us once, but it won't happen to us again. And then second, what the our attorney told me is the way this is worded now makes that clear that if this is this is hypothetically approved in February of 2026, it is making it super clear that from now on 50% of article 39 is our capital the school's capital money as it always was. Did I say that clearly? I just our attorney thought this actually was the clarification

085on that point was to our favor because now it's super clear. It's what they were saying and now it's in writing. >> It just puts it in it makes it a legally effective. >> Correct. >> What they had promised so >> comes to fruition. >> Just wanted to clarify that. >> Okay, that's great. So I think my questions have been answered. Thank you. >> Becca, go next. I wanted to piggyback a little bit because I also felt some discomfort at the language that was being thrown about when the commission voted about this return to preheline that you've walked me through this in a way even when I was looking at their chart I felt confused and it it didn't look like apples and apples and I was not understanding. So where you've walked us through

086those percentages cuz now we have the benefit of looking back. These are years that ended and we can know what percentage of that pi we actually got that the year where we fiscal year 24 where we got up to 39 we ended up taking 39% of the pie that year when the math mathed and then the following year before the hurricane it's and I don't I don't have a memory of this in quite the way I would have expected to and that's on me but that what they when they gave us our allotment our our money projecting when it when we go back and look before a clawback before anything was scooped out because we all remember that and it's kind of hard to think these happened in the same year and I think that's

087why it's confusing to me so if we just imagine that the hurricane never happened wouldn't that be great right so imagine the hurricane never happened that you called it 37.18%. Is that what we 37.18% of >> dropped us to that? Yes. So, I'm going to say it out loud just because I don't want to misunderstand it because I have conflated that the money that got taken back after the hurricane is somehow when they're saying we're we're we're being restored to preheline levels that they're kind of including that clawback. But you're saying they're not. They had already reduced us. They had reduced our 2425 appropriation down to that number before the hurricane ever happened, before there was a clawback. >> Do you remember the whiteboard? >> Sarah's whiteboard. >> I remember my whiteboard. >> I think

088that that's what I just want to make sure I understand. >> So, can I ask one? Does that mean that we never got the 39%. >> We got the 39% 23 24 >> 23 24. Okay. I think by >> and my layman's way of explaining it to people is basically we got funded for all those salary increases for one year. >> Yeah. >> Is what happened. >> And I just want to make something really clear for folks that are listening. It has to do with this apples and apples. We are looking at a funding formula that talks about 37.76% of a defined pot of money, right? It's called gross revenue or whatever we call it and it means certain things that is absolutely not comparable to these percentages that Heidi is throwing out because what

089the way we used to get funded is if the county's budget was I have no idea what it is 100 million I have no idea if we got 30 these numbers she's throwing out that is meaning we used to get 37% of their budget does that make sense that is not at all what we're talking about now. So, I don't want anybody that's listening to think, well, gosh, it used to be 39%. Why is it now 37.76? Does that make sense what I'm saying? It is. >> So, it's like it just so I mean, this is kind of flippant, but it just so happens >> Yes. that we're in the >> everything as as Rebecca said maths out, it came out to 39%. My recommend me memory of that um budget conversation preheline was they

090kept it um the same amount to the schools that they had the previous year. Um they they made no increase or decrease relatively it was pretty close might have been like $700,000 off. It was not much. Um and then and then once the revenues came in then we could see that that percentage had gone down. Yes. When in previous years whenever our board and welcome county board would go to county commissioners, we weren't asking for a percentage of the pi the pie. We were asking for a an amount. >> Y >> and county commissioners would then give an amount to both districts that due to ADM we would then have to split up among ourselves. But it seems like it is seems like it's apples to apples in so far as whatever we ended up

091getting that year was the same 39% of gross revenue. Um so it we didn't ask for 39%. They didn't give us 39% but it happens that the dollar figure that we got that year was 39%. >> Well and that's why they did this chart to show us where we are now compared to where we've been. Right. So I mean so but here's my question and I don't know the answer to this but this might be something we find out. We are just getting I just lost it. Gross revenue on advalorum taxes. The county has other sources of revenue. I don't actually know what they are. I don't know their budget but so 37 us saying we're going to this piece of paper is not saying we're going to get 37.76% of their budget. >> Well

092what did Okay. Thank you. So Heidi, when you say 39% or 37 or when they say it 37% on that chart, do they mean of their total budget or do they mean of the funds that would be included in our gross revenue figure? >> They've titled it local current expense of the 12 months prior property and sales tax acrruels. So they have done it to make it comparative to what we had been receiving to what we're going to receive in the new formula. Okay. So, I'm wrong. I just want to say that. So, that but you're just talking about their chart that that chart they went back and looked at those numbers. I apologize. >> No. You don't need to >> I didn't have the chart in front of me. I just >> wanted to

093make sure that it was Yep. I have to take that all back. >> I think what's helped me is, and this is part of what I like about it, I'm just going to name is that Yeah. We we in any given year can go back and look and calculate apples to apples of the revenue that's included what percentage did we end up getting and going forward we just are getting that percentage where to George's point one year they they gave us extra money and in hindsight we got 39% of the gross revenue. The following year they gave us what feels like my memory too like flat and it turned out to be 37% of their gross revenue. To Heidi's point when they have over collection we don't get anymore. We got a smaller piece of

094the pie that year where my memory as a board member was we got kind of level funded thinking okay it's we we needed more but we got leveled but we didn't take a we didn't claw back but when it all shook out we actually got less of the pie that year because they got more money and this prevents that from happening whenever they collect assuming and and back to this to your point what we see here all the advalorum um interest, penalties, miscellaneous fees, and three types of sales tax. They might have other revenue that they're not listing here. I hoping that's not some way of making this different than how it's been, but that's making more sense to me. The reason that we went down to 37% is because they level funded us and

095they overcolcted, right? Am I understanding that correctly? And this stops that from happening going forward. Thank you. Um, and just I'm happy for it to be Pepe next. There are some board members, Liza, who have not talked yet. So, and Jesse, so I would love to have other folks talk first before you. Sorry. But if I'm putting you on the spot and you don't actually have I mean, you're No, you're not putting me on the spot at all. I've I've just been over here looking back at um the budget presentations that we received over the past couple of years and comparing numbers. And I I appreciate, Pepe, how you asked about um the the tax rate changes because that was something that was looming for me that last year we asked for an increase to

09612 cents and we were the only district that didn't receive what we asked for and ended with 11 cents. Um, how I'm not sure how to word this. If they decided to drop it radically, how would that translate for us? And you don't have to answer me right now because that's that's a lot of math. >> Well, what we need to keep in mind is this agreement addresses only the local current expense appropriation. Okay. So, our supplemental taxes here are beyond that. This is only the agreement that funds from the county, US, BCS, and the charter schools, local current expense appropriation. >> So, in a reevaluation year, when they could make a decision to go revenue neutral with the tax rate, that could affect our other revenue streams. So, back to Dr. Maggie and Sarah's

097point earlier, that will be something we have to watch and continue to advocate for if they propose to decrease that rate because that would be less potentially. You know, revenue, again, one of those definitions we could put in there, revenue neutral technically means you'll bring in the same money no matter what the rate is, the same amount of money will come in that came in the prior year based on the new evaluations. So, you know, we could be at break even if they leave it at where we are now, but if they change it, it it could impact that. So, that will be something we do have to watch. That's completely separate from this agreement, though. >> Is there a limit to how much they can adjust it? >> They're the taxing authority. I don't

098know that there really is. >> They can do whatever they want. Okay. Okay. That's a that's just a something for the parking lot. Okay, I have listened to Heidi and the board and I know we got three years to make that change if we do decide to go this way. Um, I'm going to wait until I hear from ACA and MCC uh in a couple of days just in case we miss something. And I just want to hear what they got to say if they are for it, if they are against it, and why they are against it. Because it sounds like we should be for it. But I still would like to just wait until Wednesday and hear what they have to say and just in case we miss anything just so I can

099get a whole piece of pie of it. All right. Thanks. >> Okay, Pepe. Uh, a couple things. Um, so the I had a little aha thinking about well so what does it matter if it's the year in a rears that they're basing the number on? Um so uh I had um the experience of being an HOA treasurer during the year uh during one of the years where we had 7% uh increases in um construction inflation. Um the the inflation piece isn't necessarily addressed in this. Should we be adding taking last year's revenue number and adding 2% 3% for inflation or or a a CPI increase? Um how how do we account for that um inflation? which means that last year's money isn't worth um this year what it was worth last year. So that could

100be essentially a a two three or even 7% loss just depending on what the economy is doing based if we're just looking at the previous year's revenue. Um, the other thing to think about is, you know, with this year, one of the issues was the county didn't do its property reappraisals. Um, uh, another and that that means that we're stuck in a in a prior valuation. Um and then another piece that's related to that, we have um large properties that are um uh discounted in property value in Bunkham County. Um uh the we have the reduced property valuation for um our large hospital and we have some other areas where the properties are much less than if you or I own the property. Um and how does that impact this? Um, and then my my

101last thing that I'm thinking about with this is um a conversation I had with um somebody who works at a group that does property tax mapping um nationwide who pointed out that we've got uh something close to 25% of the value of of um properties in Bunkham County are inside of the Asheville City Schools district and we get 16% of the share. We get a share that is reduced. So because the county doesn't split out the revenue that's generated inside of our school district versus the revenue elsewhere. And so these are all things I'm thinking about when looking at this. >> Thank you all. Um Oh, George. >> Yeah, if you don't mind. Yeah, just a a few thing a few things I've got in my head. Um, >> I'm curious since the county commissioners

102have already passed this, do you have a sense of what what it might mean if one of the school districts chooses not to enter into this interlocal agreement? Like are are hands effectively tied? >> No. Um if there if one or both school boards decide that they don't want to agree to this, then we would just go on and present our budget request like we have in the past. >> Yeah, I understand that conceptually. Do you have a sense of what that means? Should we then have to come to in front of the county commissioners as we have in years past? No. Okay. All right. Um, one thing that I'm listening to the public comment, um, was the question that Christina raised, does agreeing to this or entering into this interlocal agreement limit or strengthen

103our ability to advocate with Bumpton County Commissioners? Um, and it's something that I've been really thinking about as well. And this is not an this is not me posing an answer. It's just one thing to consider. Heidi mentioned that the year that we they the county commissioners really increased us to what ended up being 39%. Um was a year of strong advocacy from both ACAE and BCAE and other members of the community about funding for our schools. I'm just I'm putting that out there. It's something that's in my head around whether we would lose some kind of advocacy by going entering into this analytical agreement. Um, actually I think that's it. That was just one thing I wanted to put out there. I just wanted to let you have a data point so you have

104it when you're thinking about this. So we do have 29,183 students this fall across all entities. So 2% of that would be 583 students we would have to decrease. Thanks Heidi. Um I think all the board members have spoken so I'm just speaking as a board member um to share some thoughts and I think that with anything new there are risks and benefits and we don't know and if we thought it would be made perfect in some way that would be one thing but it's an interlocal agreement for funding and it will never it just won't ever be perfect. I mean, parts of the taxing authority are imperfect. They're not going to fix them and start taxing homes in Builtmore forest more because we asked them to for us to sign this agreement. Right? I

105I I'm trying to keep in perspective that issues we have about the way the county might collect taxes or some issues that we have are things we can continue to advocate for. But this is the proposal and we can seek some clarification. And what it comes down to me is does this get us more money? Is it more predictable and reliable? We heard from some um one comment we heard from ACA I think was if we know earlier what the budget is going to be, we're not waiting around to June 30th to make staffing decisions, right? We have more flexibility. Um, I think it could be that we find out this number and we say, "Hot damn, that was a great number." And we could find out the number and we're going to realize it

106was not a good deal, right? We're just not going to know. So, I I there's no way of knowing. And so, for me, what it comes down to is would we be in a better position if we didn't sign this? And to George's point, to go back to advocating the way we did. And we could do that. in one year it was wildly successful but the next year it wasn't. So there's always that um uncertainty and so I think it's really important and I know Fax and ACE have said this a lot, we've got to continue to advocate. Um, but for me it comes down to is this funding agreement better than what we have now? And if we don't go along with it, because I don't know how much like authority we have to

107go back and say, well, if you add X and Y, because they may say no, and then we'll have to decide as a board if we're going to sign it or not. And so I just wonder if we say no to this and we say we're just going to advocate it for our kids because they need more. We certainly can do this. I just don't know that we should expect we're gonna get any more and that's what worries me. I just wanted to offer that. Okay. >> Well, I wanted to ask when is this going to go into effect based on the post Holane revenue for the county? It's going to go into effect on revenue collected as of February 29th this year looking back for a year. >> So yes. >> Yeah, >> that's

108a that's a real concern. I mean, just, you know, hearing that everything is down and um that that, you know, has the potential to mean a loss in revenue for us when we're already struggling and knowing, you know, that that the following year would hopefully improve, but um having it based than this past year >> and for us it'll actually go up a little bit because last year our percent for this current budget year was 37.18 so we'll be getting 37.76 so it is an increase um >> right% but if the if the revenue from sales tax and ad bull and all the all the things is down for the county >> then >> but the county did calculate that unrestricted revenue growth rate as of um four or five months ago to be at

109least 1.89%. And I would assume the way counties tend to make calculations that was probably conservative and they've had the rest of these months to see what that is. Um we could ask them if they have a revised number because there was growth. >> Okay. >> So yeah, >> I I would be I would be curious to see that. I if there's any and obviously like I'm not trying to you know get the benefit of hindsight as well as asking for crystal balls so that we can because to Sarah I think your point is well made there's no such thing as a perfect agreement. What we've been doing has been imperfect. This would be another imperfect way to go about and we just have to think about what benefits we might get and and have

110our eyes open about potential drawbacks. But I you know it is my understanding that they don't wait with baited breath hoping and then and then on March 15th go okay this is the first time we've ever looked like that they are projecting that these this is what people do that they have the ability and so if there is more information about what those projections are that we'd love to know kind of best guess where this is going to put us. >> Yeah. Um, I appreciate that and I I think that's for this year at least worthy of consideration. I want to say two things. one, I really do appreciate the predictability of this and I have to say as a board member that this time period between like February and June is excruciating in what

111we don't know and the ask and you know frankly our ask was always tied to Bunkham County. If Bunkham Bunkham County gets 865% or whatever, you know, it didn't even matter what we asked for. I think I think at the end of the day it was Bunkham County driving the train on these on this portion of our funding because they get so much of it. Um I also will note that this doesn't mean we can't advocate. The advocacy just looks different. The advocacy isn't hey give us more of a percentage this year because we've agreed to that. But mind you, we get to re-evaluate that pretty regularly. But the advocacy is if we're not getting enough, hey, increase taxes, increase this, increase that, or whatever. So, there's still advocacy that we can do, it's just

112not advocacy around a number, this particular number. And I and I think we should be really clear that we still can and will advocate um for the funding that we need. If we see that this 37.76 isn't enough in one year, we can go to them and say for this year increase that to 12%. And give us that or you know whatever. So advocacy can still happen. It just looks a little different. And I do value and appreciate that. If the advocacy is okay, in two years or next year when we have new board members, we really need to bump that up to 38%. Then that's our advocacy then. Thank you. >> Thank you everyone for that um thoughtful conversation. Um there'll be more conversation prior to us voting. There'll be more public comment in

113February prior to the vote. Um so I appreciate everyone's um thoughtful conversation about this. It's a a new a new time. Um I am going to move along in the agenda to let Maggie do her superintendent report. >> Good evening everyone. Thank you for being here this evening. Um I just have a few comments um and things to report and update the board. Um I'm going to give a quick update on the superintendent goals um that we've set for this year and then just another update and keep you in the loop on where we are with strategic planning. So the board I set two goals um for to work on um this year and one is related to leadership development. Um and the more articles I read the more I'm really understanding the need for

114leadership development within not just our principles but all cabinet members and all of our staff in that training and support. Um so where I've started with the principal group is helping them understand some models for comp leading complex change. Um and the first model is it's called the lipidnoster model and it really helping our leaders understand and not just for the principles but all leaders understand when things aren't going well there's a reason why things aren't going well and to help them diagnose what is that. So as we put things in place and we're making changes could it be that we haven't clearly defined our vision statement? Could it be that we haven't provided all the skills um or given skills or the resources? So there's there's different ways that you can identify um why

115you're seeing the different symptoms that you are. So helping our principles and and cabinet member leaders understand that change process. And in layering that, we're also doing a book study um on leading adaptive change. Um when you're thinking about the change process, it's very difficult. Some people lean into change more equally than others, but there is a very um researchbased zone of kind of tolerance. When something is changing, you have the capacity to live in change for a certain moment at a certain intensity. But if it gets too intense, you just totally tap out or if it's not um you know enough, you would really not engage. So helping our leaders understand, you know, how do you push and pull but then also back down a little bit. So what does that kind of hit

116the gas, take the take your pedal off the gas for a little bit? What does that look like? So we've been going through a book study um on leadership on the line and progressing through that um with the principles. My second goal was related to fostering a culture of transparency at all levels. Um so a couple things that are happening um the educator advisories council. Um one of the things we realized as I've been speaking with that group is there wasn't an opportunity a consistent opportunity for the EAC members to report out at staff meetings. So, we've made sure that every EA every staff meeting um that our principles have that this is a standing agenda item for the educator advisory councils to do their report out because that's when they're sharing well here we

117talked about this at EAC here's the conversation we have with Dr. firm and here's her rationale. So kind of closing that communication circle. Um the another way we've been doing this is looking as we move forward with strategic plan. We created ana a stakeholder engagement matrix so that we have some clear communication with different groups whether it is consulting them um bringing in their opinions and trying to understand and what their requests are engaging them in decision-m processes um I'm also so that's another um area um the last three is I am working on scheduling a time to attend each of our PTO or FTO meetings just to get in front of all of our PTO's have a chance to listen um to any concerns they have and give them some communication. Also scheduling to

118um attend school staff meetings and department meetings. Um and then another one we're working on scheduling is different neighborhood meetings. Um so I think we've got the one coming up in a few weeks. So just some other communication opportunities out there for our staff or for our community. Um strategic planning. Um, you've seen we've kind of created our our theme here, which is you can get it all in Asheville City Schools. Um, and so as we are moving forward with strategic plan, you'll see some of the um marketing and advertisement, I guess, for lack of a better word around this and what does it mean when we say you can get it all in Asheville City School? What does that how does that touch on inclusivity for every member of our community? Just a refresher

119of our timeline and where we are in this process. We are the board is in phase three. You finished your core values and um we've updated the mission statement. Next up will be vision statement, but we'll be getting some input on students before we bring that to the board for review. Um phase four is what we are deep into right now with the action planning teams and all the work they're doing and getting ready to wrap this up um hopefully for approval in May or June. So phase four, let's dig a little bit deeper into that. Um we started in November. We did a lot of analysis, identified some focus areas, priority areas um and started forming different teams. Last um this in December, we had um we heard updates from all of the teams,

120started to identify what are our strategic themes and initiatives, drafting objectives, doing a gap analysis as well. January, we will be finalizing our strategy maps and starting to then lean in and identifying critical initiatives. March, they'll be digging even further into that. We're building what the actual action steps will look like for each of their individual um objectives that they're identifying. April is the plan when we will bring the overall draft to the board um for presentation and feedback and um if needed an updated presentation in May um with hopeful board action at the May um regular board meeting. Um so just a little dig deeping uh deep digging deeper into what we did in September or sorry December. Uh we looked uh we launched our stakeholder priority survey. So hopefully if you haven't had

121an opportunity to do that please do that. We're doing some final pushes. That survey will close December 16th. Um the teams have sorry January 16th. I'm all messed up on my dates today. Um the teams have drafted their strategic themes. um they've begun doing their gap analysis using that targeted universal framework that I've shared with the board um previously where they're identifying what's a universal goal for this area, assessing their overall performance in that area, but then also really identifying what groups, schools or places are we seeing performance different and then really digging in to understand what are anything that is structurally there that's preventing or impeding groups from achieving that goal or something that's there that is helping helping groups achieve the goal at a faster rate than another group. So, we want to

122identify what all those things are so that we can make sure every single student in our school system has access and the opportunity to meet the goals that we set and then they're working on drafting their objectives. So, a little sneak peek at what we are building. So, on the left side of the slide, we have our four focus areas and each of those has kind of this icon. So, as we build this map, you'll start seeing these icons attached to the different focus areas. And just a a very rough draft of what um one focus area objective would look like is we could say like one of this is a very just rough example is that our strategic theme under student outcomes would be that we are you know we want our students to

123be college and career ready cougars. Then we create a very uh much more specific objective which would possibly be every student graduates um is able to demonstrate all five aspects of our portrait of a scholar. So then underneath that, we will list what our initiatives will be to help make sure that we can achieve that objective. The other big piece that all groups are working on is mapping all of our current initiatives. We know we have lots and lots going on. Um, but we want to say we really want to take a close look to see of what we're doing, what is high impact but hard to implement. Those are things that are worth the effort that we're going to see a lot of change in our student outcomes that we want to continue doing.

124Even though they may be really hard, they're really, really worth it. Um, you also have high impact but easy to implement. Those are your win-wins where you're like, hey, if this one small thing that we can do is easy to do and we're also seeing a positive out of it, we want to keep doing those things. And then on the bottom, start to evaluate these are low impact things and possibly hard to implement. Those are things we're not getting results. They're really hard to do. Do we, you know, those are things we should say, nope, we're not doing this anymore. But then also low impact but easy to implement. Is it really worth the, you know, that capacity um in our teachers brains and our staff's brains to really do that even though it's easy

125or we getting results for it? Are we just wasting our energy? So that is um that's our our update for tonight. Any questions or comments? Just saying just saying thank you, Maggie. Like I this is this is really I mean it it to me strategic planning is really daunting and I know I say this every board meeting and like you came in knowing we had to do this. I appreciate the clarity. I appreciate the um simplicity is not the word, but there's something really kind of um digestible about the way the I'm seeing this. So, I really appreciate it. Thank you. >> Great. >> Thank you, Maggie. We really appreciate it. I also just wanted to say for that first part the the way that you dive in to say where can I where can

126I show improvement where how can I attend and the on goal two like naming the places the people the communication thank you and the neighborhood meetings sounds really great okay um I have very brief comments to share. I just view this as a time for you all to know what I'm doing on behalf of the board. Um, we have had meetings with representative from Fax and ACE, Rebecca and I met with them. Um, and I've talked with them on the phone. Um, I have talked frequently with both Rob Elliot, the chair of the Bunkome County School Board, and Amanda Edwards, the chair of the county commissioner. So, am having those conversations. Um, I've been saying this for a couple months now, but I have a meeting next week with the president of the Stevens Lee

127Alumni Association to talk more about the plaque at the middle school. And there's some exciting things going on about that, and I'll know more and have more to report back. Um, and then last is really just to say this, and we can email about it later, but we all know there's an MCC meeting this um, Wednesday at 4:30. Um, it would only be appropriate for three board members at a time to attend. We heard encouragement that maybe two of us could attend at a time. Um, I know Jesse's going to be there. Um, at the MCC meeting this week. Are you going? >> Yes. Um, so would you all just email me if you're wishing to go? I cannot go this week. I have another board meeting um for a different board. Um but just

128so that we can kind of keep a handle on who's attending and make sure and just to remind everybody you would be there just in an observational um capacity just to watch and see what goes on. Um but that is it um for my comments. I will you will note on the agenda um early dismissal day. Um it is Martin Luther King um observance weekend. There's lots of activities. is Ashel City Schools always a great participant in the prayer breakfast this Saturday and there's other activities. Um if you don't know about them go to the Martin Luther King Association website. Um our next work session is Monday, February 2nd. Um and then regular meeting on the 9th. >> Okay. Um, at the February 2nd work session, we'll be talking about the feasibility study and so

129more information will be sent, but please put time in your calendar to review ahead of February second because there'll be a lot of material coming soon. Um, and with that, is there a motion to adjourn? >> I have a question for you. We received a bunch of messages asking all of the schoolboard members to attend this specific MCC. Is there a can we get some clarity about whether there will be an MCC that the entire board is invited to which we'd have to notice or are we clear that um we never want to do that or is it somewhere in between? >> I'm going to tell you what goes through my head. I mean, we can talk more about this, but we create we voted. We didn't vote. Um, we helped create this process where

130a team from ACA and a team of administrators meets. Sometimes they make decisions without us. Sometimes it comes back to us as policy. I'm not sure at this stage that we're being asked to do anything other than just to come watch and see how it works. So, I'm not sure that it would I don't see us interacting with them because that's not our business. They need to do their thing. And I think they're trying to say, "Hey, come see. It's pretty cool to see what we do. Come watch." So, I mean, Mag >> and we have a limit of three just so that everybody knows. We have a limit of three or else it has to be um a public meeting with all of the notice requirements and all of the access to the public

131and sometimes this this meet confer collaborate group wants to talk about staff issues and so that's the reason for the privacy or no it's only policy. >> If if four people show up I would step out. >> Well, >> all right. I I mean ever I mean there's always at least three of us, one of us will always say, "Hey, let me step out." >> I I don't think there's a privacy concern. I think it's just a public meeting concern. I will say, as someone who's gotten a bunch of emails in the last week, it felt like the folks emailing me didn't appreciate that only three of us can go. So in terms of um ACAE or you know communicating it was like a lot of what appeared to be um boilerplate emails and it

132just it it always feels hard because I we don't respond individually to emails. I I also want to say that that our board norms don't allow us to respond individually and it also when we get a deluge of the same email from a lot of people it's hard not to respond when our response would be well only three of us can go and we will I do want to go I do I intend to go but I might not be there this week and it's not because I don't care about your point or your email or the MC CC process. So, I just want to say that maybe on behalf of everybody, but at least on behalf of me, um that if you don't get an email back, it's not because we didn't pay attention

133or because we don't want to be there. >> Great. I'll just chime in on that. I am the person who's supposed to respond to all them, but there's so many and they say the same thing and I haven't. So, please convey my apologies. Um I will I was going to pull it up, but I won't I don't want to protract things. Um, I will find the MCC procedure. Rebecca probably has it at her fingertips to share with everybody to remind everybody of the scope of the work. They don't talk about personnel matters. They have a scope that they talk about. Um, I wanted to recognize Pepe. I can't remember if there was actually a motion to adjurnn before. >> There was not and I will so move to adjurnn. >> Okay. Is there a second?

134>> Second. All in favor? Uh,