001Hey, hey, hey. Heat. Heat. Hey, hey, hey. Heat. Hey, Heat. Hey, hey. Down. Hey. Hey. down. And with defunding the schools, we're going to have to look for ways to Jamie, you may >> he's going to start calling that defund the schools instead defund the police. >> Absolutely. We're defunding. >> That's a new tagline. [laughter] >> Is that not what we're >> No, I think it's I just it just that you said defund the the schools. >> Got a whole Look, I got a whole list on the Snoopy side right here. I'm ready. >> Did you put defund the police? I mean, defund the schools, >> drain them, >> all kinds of >> Okay. Okay. I'm ready to hit the gavl. Seriously. >> Okay. >> I can't make this stuff up. >> I'd like to
002call our Wednesday, March 11th, 2026, Reno County School Board budget work session to order. Madam clerk, will you please call the role? >> Yes, ma'am. >> I think so. >> Yes, ma'am. Item 2.01, 01 2026 2027 budget work session number three, Miss Susan Peterson. >> Good afternoon, Madam Clerk, members of the board. Um, we've got Mr. Irby returning. Um, we're going to go ahead and let him start kind of like he did the last time. He's got some additional information in here on the spousal exclusion so that you can take a deeper dive into that um, recommendation from his team. >> All right. Well, thank you. I guess that thing can hear me. Okay. Uh, I appreciate it. Uh, we just went back and tried to rehash all of the claims numbers, relook at everything
003in more detail about special exclusion. So, we've got a couple of slides here. Well, you've got them in front of you. Actually, um, trying to kind of detail out what is there. You want to jump in there? Great. Um, this was just a couple of things that we wanted to remention to you. uh sp Susan had brought up something important to us in between the two meetings uh about special exclusion talking about well you know as spouses leave of course revenue goes down a little bit which is true uh but everything that we talked about about special exclusions I tal with Steve Boston several times we're still I feel quite certain that will save you some money if you decide to do that and it will that additional money can carry across year after here
004and help avoid some large claims, help keep renewals down, uh, and also allow you to restation that money to help your employees that are here in some way as you go forward. So, I think it can help overall to do this. We've had numerous schools do it. Uh, volunteer products, we're looking at that as maybe next year. You may want to consider that. You can uh change get usually get a voluntary product company and I know y'all did an RFP recently uh to pick up your FSA fees and HSA fees so you can avoid some of that that type of fee which I imagine y'all's fees are somewhere 50 to $100,000 there. Uh the RX analysis reporting we are still trying to get all of that repricing done. Steve had mentioned maybe doing that midyear
005this year, which would give plenty of time for y'all to study the results of the repricing and decide whether you want to head down that road or not. Um, the other thing that we keep looking back at and trying to make a determination on is cost of change mid year. The fact that y'all plans have deductibles and everybody's halfway through the year on their deductible and out of pocket makes it real difficult to switch it back to a plan year. But long term, if we can get it across there, it would be a good thing to do. I think with the increase you've had this year, I would definitely postpone that this year because y'all are trying to absorb as much of that increase as you can and to say, "Okay, well, let's u give
006everybody some additional money in July this year over and above what we had planned to budget to help offset the fact that we're going to reset the deductibles and the out of pocket limits in July, I think is probably more than you want to bite off this year would be my thought on that piece of it. Okay. Uh, and as last time, don't hesitate to interrupt me at any point. U, but the question's always good since >> you as Okay. >> RX analysis repricing. Why wouldn't we have started that day one? >> Well, we had to get all the information from Blue Cross across to us and then to the rep to the uh >> How many months that are repricing it? I'm sorry. >> How many months are we into this? >> Uh, mid
007December till mid December till now. Yeah. So, you know, over Christmas trying to get everything done and get get it going. It just took a little time to get going. I apologize. >> I just don't know why we wouldn't do that day one to try and save that money. >> Well, we were trying to get hold of the hold of that all that information that you talked about. >> Do we have it now? >> Yes. It's all in the hands of of uh Steve and out to one of the pharmacy benefit managers to get some repricing done, see what it looks like. We just don't have it back. >> Okay. So hopefully we'll have that soon. >> Well, and you brought up something I' I've brought this up several times over the last few years
008in terms of moving that deductible for plan year instead of waiting till July, you know, for it to reset. Is that something that we can slowly implement or or kind of go back a couple months each year or how would that look? I mean, are we ever going to get to a point to where we can actually do that without creating a massive hole, a deficit? >> Right. Right. Um, there's no real good way to do it. Uh, we've looked at it from both directions. Do you January one, [clears throat] sign an a 18-month contract to get you back to July and just increase your deductibles and out of pockets somewhat to the employees because you're giving them more time to meet their deductibles and out of pockets. So, you can look at it that
009way or you can chop it off this July or next July. just chop off in the middle of the year, which resets the deductibles. You could chop it off mid year and make the deductible less going forward for the next 12 months to get you back through the next June. Or you could chop it off. Since you got the HA and the HSA set up, you could make a one-time contribution there across the board to help people realizing that some of the people will have met the out of pocket limit while some of them will have not met it at all. But across the you you can't just say, well, we going to help these people that have and not these people that aren't. So you'd be doing an average across the board and we
010have not calculated exactly what that would cost but it we can get a little closer to that as we get on a little bit further in the year and start pulling claims again. >> Okay. I appreciate that. I think that would be very positive for the employee. >> Wow. Well, we'll look at it uh excuse me. You know, as I said, I think I would take this year plan on it and continue on doing it next either January or July. We'll look at going 18 months from January or or we better to leave it for that half a year. >> Thank you. >> We even looked at it depending on other with some other groups of January one. That's just usually zero deductible for six months. You know, maybe that's the way to do it.
011And then when you change them July one, you're good to go. You see what I'm saying? You hadn't heard them that way. And one last thing on the spousal exclusion. Why is that so big? I mean, you don't have any range of thought. Maybe 30% would accept it or 50 or 70 or >> Yes. I can I can tell you from experience, and we'll look at this chart here in a second, but I can tell you from experience what we've noticed in the past with other accounts, you're probably going to lose somewhere 30 to 40% of dispenses. >> So, three to $400,000. So 30 to 40% of your spaces. No sir. No sir. That that's 30% of spaces will generate a probably a million dollars. >> Oh wow. Okay. >> Okay. Uh and we've got
012a well it's not an interactive chart right here that you're going to look at, but it's a chart and I can get it over to Susan and she can get it out to y'all and play with it if >> in case anybody just heard us. Let's make sure they understand. They have to have insurance eligible at their place of work. Not we're not saying eliminate spouses. >> No, we're not eliminating spouses. We're not talking about people that are on Medicare, >> spouses that are on Medicare. We're talking about actively at work spouses that are offered health insurance at their place of work, >> which if I'm not mistaken, I'm just throwing this out there again. I'm not saying I'm poor. Again, I just want to know. But they if if they have it available in
013another workplace, that workplace has to provide that for them for them, right? Not family, but >> yeah. They can't exclude them if that's what you're saying as an active employee working full-time. They eligible for the plan, >> right? >> They just have a choice. Do I go there or come here? >> And then what happens a lot of times, um, you know, everybody knows y'all got the best plan. hate that that's right >> is the thought process that's not necessarily true but that that is what and people get in the habit of getting some way and they don't change they just they don't look at it every year >> but in actuality and I'll make this statement for anybody's listening [clears throat] you need to look at your costing every year with your group health
014and plan where you work and where you spare and do you separate your kids or keep them together if you only have two children you probably need to be subscriber plus child subscriber plus child. But if you don't ever look at the cost at your place of work compared to the cost here at the school, you're just you're hurting yourself is what I'm trying to say. >> Okay. >> It's 27 I guess projected claims is 27 million. We're going to get to that here in a second. Right. >> Yes. Million. Next slide. >> I'm not saying a million dollars not a lot of money, right? >> But 27 million and a million. I mean, that's not a huge difference there, you know. The only thing I fear is hurting the employee, right? Like I never
015want to do anything to hurt the employee. >> Absolutely. >> I mean, we already know, and this obviously you sat in the last meeting and listened to all this, you know, our pay scales aren't where we want them to be. And then we turn around and hit the people that have family insurance even harder by taking their spouse off and potentially causing the spouse to pay a lot more than what they're paying here, >> right? >> Uh, and that's the thing that we got to keep in mind. And it is a hard line because a million dollars, that's not quite 1% raise. I think last time I can't remember correctly maybe Ken you maybe Susan you know but one point maybe one and a half million is about what it would take to give everybody
016a 1% raise >> you know so we just got to figure out where the line is >> right well and and Susan Steve and I Lauren we've discussed over and over again u you know one one of Susan's points I've got this much revenue going in the bucket and then all this money going out in claims well as spouses is if you use a special exclusion and I'm not trying to steal your thunder if you don't mind me talking about it. Uh if you do do the spousal exclusion, then every spouse that leaves planned, if I if I'm set up as family and my spouse has to leave, then at that point it cost me less money, which means there's less employee money going over in the bucket. And if my spouse never has a
017claim, you just lost money. >> And do we have a do we have a number, Susan, how many spouses we have? >> You do. It's in a list of >> He has that later on. Do you want me to Sorry to get ahead of you. That's >> I know it's no problem. >> I've got to leave early and I want to make sure we >> Yeah, but I'll also make a comment to you here too. >> The special exclusion is not just about this year and it's not about how much you save this year. It's about you having your funds available to support your employees. Not necessarily are you here to support their families as such under the health insurance program. It's it's two ways of looking at that. Uh you can do this and
018take that money and rewrite it towards increases in salaries. You mentioned salaries. Well, that's a way maybe to increase salaries. This one and a lot of other little things that y'all can do over the years as you work forward to uh to get there, so to speak. It's not all gonna happen overnight. And you you you may decide this year, let's leave it alone this year. Let us do some surveying and find out who it's going to affect. Let them send us their employee deduction sheet from their place of work and their benefit level. And we'll be happy to have somebody look at it and explain to them. And we'll do that at open enrollment as well. They'll bring their information in from their their place of work. We'll lay them side by side with
019the schools and say why they should be on the school or why they're better off at their place of work. >> Well, and anymore I feel like insurance is just as important as retirement because I think it's the number one thing that keeps a lot of people being able to retire. >> Oh, yeah. >> You know, so I don't want to see us get into a situation where that's the case, too. We have 30-year teachers and they can't afford to retire, >> right? [snorts] No day. If a spouse is excluded, um could they buy back in and could they remain on this policy and pay additional or if they are employed somewhere else, are they required to go somewhere else? >> Um our suggestion on that is usually don't set up to allow them to
020buy back in. >> Do not >> Okay. >> Uh prime example of that if uh I work here and my spouse has cancer, you're going to charge me $300 a month extra to have her here. She's on a $200,000 claim this year. And I paid you 3600 three times 12 $3,600 for the privilege of putting a $200,000 claim in your pocket. And I know that sounds harsh a little bit, but that's it's called adverse selection. And that's in the insurance industry. And that's what you would be allowing them to do is adversely select against your plan. This is not a very kind industry at this point. >> No, that's what I was that's what I was trying to say. I mean it's it's a business, right? And I mean we have to run a business.
021>> It's not a very kind industry the way it's working. >> I guess the only thing that bothers me is, you know, we have some of the most >> we have all these people that are doing an honorable job, right? One of the most honorable job [clears throat] in my mind, >> you know, alongside public safety that anybody could ever do. >> Sure. and they know going into it that they're not going to get paid a fortune to be rich, right? >> But that's why I have such a hard time with this. >> Oh, I agree with you. >> You know, is I don't look at it like a business and n >> I know we have to to a certain point that I just want to make sure that whatever we do, we're benefiting
022the majority of the employees and I know sometimes you hurt some employees by doing that, but >> y I agree with you. [clears throat] >> Especially when we know our raises aren't going to be great. >> What y'all do is more important than anything else out there. taking care of those kids. There's nothing more important than that. So anyway, this slide right here, um, this past year for 2025 during the calendar year, y'all [snorts] paid 25, well, the plan paid out $25 million, that top number. Uh, of that, your high cost claimants generated $17 million. And the net on the high cost claimments was 15,600 [clears throat] because of your stop loss insurance. So every claim over 250 comes off of your net claims. Your filing insurance claim basically for that excess amount. So if
023you had a million dollar claim this past year, you paid the first 250 and that reinsurance picked up the next 750 of it. And that's why that's the explanation for that stop loss, million555,000 that came back from Blue Cross. Uh for that, I don't have it on that slide, but your stop-loss insurance last year was $1.9 million. So they made 200 300 $250,300,000 out of that. little over 300 last year, which is not a big profit margin when they taken all the risk on this on the reinsurance because very very easily they could have spent $6 million in stop-loss insurance depending on what's going on any given year. So, I felt like they were pretty in line with what went on there. uh you are getting a 25% rate increase on the reinsurance this year
024which still leaves you within the normal benchmark of where your reinsurance should be based on number of employees that you have currently. So that number looks pretty fair where they are now. So right at $2.4 million for the coming year and we'll watch that this year and if they don't spend but a million of the two four then we'll have a discussion with them about fixing that next year. Um, so of the high cost claimments, the spouses generated $3 million worth of claims. Now, there are only the claims from 25,000 to a million or more. Y'all did not have a claim over a million this year. Okay? So, your largest claim was under a million, but this doesn't include all the spouses that had nothing to do with that $3 million number right there. This
025is only the large claims that we're looking at. Okay. >> Is there any way to know how many of those spouses would not have been on a policy and had to be on their own policy? >> It is not at this point. Now, we can put something into the system. We're still unsure what system we're using. We uh my been talking back and forth uh with the county, is it Darren? Derek >> Derek Derek. >> Yeah. Derek that uh runs the systems about whether we can set up something called employee navigator to feed into y'all system or whether we're going to need to use y'all system when we do the open enroll. Uh in our system we would put a questionnaire in there that say work through and enroll themselves how people are helping them
026enroll that would say are you eligible for insurance at your place of work? You know, it might start out by saying, "Are you employed and are you uh eligible for health insurance at your place of work?" And then in doing that, by end of July, we can put a report together and tell you exactly what we're looking at at that point as to how many people would be spaces that would lead your plan the following year when you put in the exclusion. So, as I was saying, you can do it this year and kind of let it go where it goes, or we can do some surveying and kind of get an idea of how many people on your plant that would be coming home, but that is not going to tie them to claims.
027So, it's not going to tell you exactly who the claimments are. Does that make sense? >> Yeah. Well, there's no way to find that out. >> I would say you don't want to know. Uh, okay. >> Yeah. Anthem's got the information and if we fed them the names, I don't know that they would send us the information, but it's it's there. >> Yes. Okay. >> Um and then FY27 uh year they're projecting claims this time to be 22 27,220,000. Anthem is usually within two or 3% and they give you a number. They're pretty pretty good at their numbers. So it will be somewhere right around that neighborhood for the coming year. Okay. Uh so then looking a little bit further, your key 1000 plan, you had 25 claimments this past year, spouses that generated 1.8
028million in claims. The health was 2,000, had nine, had 910,000. the HDHP you had three claims over 25,000 that generated 316,000 [clears throat] and then last year 2000 which was discontinued last July that $51,000 just lagged into this year from last year. So it occurred most likely in May or June and did not get through the system. So it ended up in high cost claimments this year. >> Okay. So, if I understand this correctly, the spousal claims are about 18% somewhere 17%. >> That's close. Yes. >> Yeah. U So, then this chart right here is a chart that I use a lot of these types of charts in the office because it helps me understand what's going on. If you notice right up at the top there, you'll see departing spaces 10%. So, this is
029an interactive chart. back and send this over if y'all wanted to look at and kind of gauge what you think might be going on or might be happening. Uh we broke down the spouses who signed up with subscriber and spouse and it shows the numbers in each plan coming across. It does the same thing with their families to show the spouses that are covered currently and then shows total on right below that. But then where she's got the cursor right now, uh that that number assumed waving, assumed leaving, uh is based on the 10% up above. And you just go change the 10% and it'll if you put in 20, it's going to double those numbers. You put in 30, it's going to triple those numbers. And that will also triple all of the costing.
030Now, the monthly cost, uh right now, 296 is what it costs if you're a subscriber and you add your spaxs. y'all are charging uh paying y'all are paying $296 a month. And if they are adding their spouse to their employee child or children coverage, you're paying not children but child coverage, you're paying $370 a month. So then all this is doing is multiplying the number of employees times the amount of money times 12 to give you the potential annual savings. So right there you can see it says premium savings $185,000. Below that it's got annual employer HSA savings another $29,000. Those two numbers uh total 215,000. So at 20% that'd be $430,000. At 30% it'd be three times and so forth. Okay. Now then below that we just took uh your high cost claimments and
031just put in 15%. So assuming the spouses that leave if they take if that reduces your high cost claimments your spousal claims by 15%. Just on the high cost claimments you're talking about $460,000 more dollars. Now we have no way of knowing. It could just be the healthy ones that leave, but that's not normally what happens. Uh we look back at high cost claimants. Uh of the high cost claimments, those under 55 years old are about almost $2 million of the $3 million that we're looking at. The ones over 55 were more people but they were less dollar amounts which kind of surprised me a little bit. I wasn't expecting to see it that way. Uh Steve Parsons when I talked to him about that piece of it because you would think normally people under
03255 are still working and then over 55 a lot of them are getting on towards retirement and retire. Uh his comment was well you know men as they get older generate all the claims. So he said the 55 and older group if they are as special as they are they're probably still working and for them to move on to a different you know back at their place of work wouldn't be a bad thing for the school either. So you kind of stand to maybe gain in both directions there was kind of what he was getting at. U but we just don't know. There's no way to put a a pin to it to show you exactly what would happen. >> I had a question that might be hard to answer, maybe impossible to answer. >>
033How much is there a range on average, I guess, nationwide in terms of how much insurance costs for a single person, right? Like if you're working for XYZ company, I mean, I know it probably wildly varies. >> Um, >> yeah, we can certainly do that. We can tell you how much it cost in this area. Probably >> I would like to see that for that way we at least know, okay, you're paying this much for your spouse to be there on average. This is what it costs. So at least we kind of know the impact financially monthly. >> And I guess the only thing I would say too is like you mentioned earlier, this is what we perceive to be a very good policy. So when you know a spouse, god forbid, gets sick, they're
034covered pretty well. Where you force a spouse that's working for a private company that may not have that great insurance, then we put our people in a financial hardship. >> Could be >> because their insurance isn't great. And none of us can help if we have a heart attack or cancer or anything else. So >> that's just something >> everybody to keep in mind. >> Well, yeah. The people that had it this year most likely are not going to be your high cost claims next year. as a different group of us moving forward to run that, you know, to end up with that high claim. And it's unfortunate, but it is a fact of the way it all works. It's fact of life. >> I think that first part would give us an idea of,
035you know, the average family. What financial impact is that going to put on them? >> Yeah, we can try to get >> on that. >> I don't know where we're going to get it from yet, but I'll ask Steve. I appreciate it. >> I I've got some ideas, but he'll know better than >> I imagine it it wildly varies so much, right? >> It it does. Yeah. Yeah. Yeah. I I can tell you that the different uh school accounts that we have, the range of monthly total premium is anywhere from 7 $800 to $1,200 for the same benefit. You know, it's that much difference in some of all of it is driven by claims. So the one that has the worst rates this year may have the best rates in two years as another group
036over takes them because of their claims. >> I think the other thing we need to impress upon them when we have open enrollment and somebody said it today, maybe it was Dr. Sult, I can't remember, but somebody said, you know, a lot of times people get in a rut of they've got insurance and they just renew it. You know, that's just what I do. I'm going to renew it this year, next year, next year, next year, and they don't think about it. I think some of these spousal benefits or they may not, you know, where they're paying on this plan, it's paid for by the employer. There may be some benefit. There may not be many, but there's some of these people that would benefit, I think, to look at that. Just take a look
037at it. >> Oh, absolutely. Yeah. I, you know, I ask groups all the time, >> how long has it been since you got your auto insurance quot home insurance quot? You get happy with it and you just let it go. >> Go right along. Well, you'll be amazed at how much money you can save every now and then because the insurance company's going to get you in here and they do that to you. >> Absolutely. >> And long as you'll stay where you are, they're happy about it. I can tell you that. [laughter] >> Bad, you know, bad about that. >> Yeah. But I mean, we all you take your employees, they are running, they're busy, they're doing everything they can possibly physically and mentally do. >> That's right. And it's real hard to stop
038long enough to reook everything. You're exactly right. >> Other questions. >> Thank you. >> Thank y'all. Appreciate >> Appreciate you. >> So, let me pull up my PowerPoint real quick. I do have a little bit of There we go. Um, so I do want to take a repeat at the health insurance premiums. Um, I've got a updated slide in there in state revenue and then we'll just breeze through the priority list afterwards. Um, we did present a balanced request to you. Um, and so we'll just kind of flip through the the priorities then with the health insurance premium. What we did want to take a look at is if we implemented this program with a spousal exception, um we would want to look at offering an additional uh employee plus children rate. And so our
039recommendation if we did this would be to go with option B. So if the last presentation I gave you had two options. Option A for insurance rates in option B. Option A pushed the 22 and a half% premium down to both employee and employer. Option B pushed 10% increase to employee and the employer picked up the extra in addition to covering their own 22 and a half%. And so what I'm showing here is option B where the employee their premium would only go up uh 10% of what they're paying today. And then um we have added for each of the plans that like I said the employee plus children option and we have split it um between the employee portion and the uh employer portion in a a similar fashion that that kind of makes
040it fit in uh with all of the rest of our plans. One question I asked last time about this was, and you sent me a nice chart that had all that information, but we probably ought to share with everybody in terms of what it would take pay raise wise for someone not the lowest paid person on family insurance to not take a paid deduction. >> Right. I don't know if you have that chart you could pull up to show everybody, but I think one of them was like 11% or something. It was quite a bit. >> One of them was was quite a bit. I did um I didn't bring that with me, so I apologize for not bringing that with me. Um, but I did uh go through and we do um >> might
041look through your email and pull it up >> hoping to uh offer a three and a half% raise. And if we were able to offer three and a half% raise and we did this option B, we would have 15 employees that would be worse off if they did not change their insurance election next year from this year. and change your insurance in terms of going away from family insurance or going to the 2000 deductible. >> Um, all I can tell is that if they stayed on the exact same plan, >> right, >> at the same level, >> which I guess honestly $1,000, $1,000, you know, that's a lot of money for somebody who's already, like you say, gonna take a hit or even remain >> at zero flat, >> right? >> And so you say
042that So basically um and I know this is I don't even know how to ask this question because there's so many different pay rates, right? But our teachers are basically let's get let's say this real quick too. I just be the thing bat that says this or maybe I should wait till you tell everybody or [snorts] how are we going to do this to tell everybody about the Rena County they're going to >> we can wait until I go get into the >> Well, I think that's imperative to know now though while we're talking about So my question is you know we're going to lose $3 million from the county. The county is going to defund the schools off of the revenue sharing $3 million. So we're playing with a lot less funds. That's basically
0432% raises to our teachers. So my question is um when you give the raises our teachers are it's probably pretty much just going to cover the insurance. Is there going to be I mean are they essentially not getting raises because we're covering the insurance? You see what I'm saying? And I don't know how to ask that because there's so many different ranges. There are a lot of ranges and I really only focus on the bottom. Um the 15 people are IAS, bus drivers, nutrition leads and associates. Um so that the folks at the bottom of our pay scale are the ones that are going to be harmed by this because they get paid the least. >> Doesn't that doesn't that stink? It does. >> The lowest paid are going to be the ones that are
044going to get stuck the worst. >> Well, especially in those jobs are hard to fill. We've always had a hard time keeping our cafeteria fully staffed, our bus drivers. >> So, do you think they're trying to get us to do what the they're trying to get the city to do, reduce 150 employees or or do you think they're trying to get us to close the I know they've said close schools uh in some of the conversations that's been had is any of that. I mean, where I guess that's a bigger conversation for later, but um I just hate that we're we're not, you know, we're not even giving them a cost of living. We're just giving them enough to cover the the insurance. We haven't done that since I've been here. We have not only
045covered insurance, at least to my knowledge. Um so, it's a little frustrating. And we're at the already, as we recognized at the last budget work session, our middle group at least or the bottom tier of >> paid workers in the valley, >> right? Am I right? >> That is correct. >> Okay. >> Well, and you have to calculate an inflation off the top. Sure. So, you're even if you were to zero out, you're still taking a >> still going backwards. I mean, it's just >> Well, I think that proves the chart that you brought up last time where you start out at 47,000, 15 years later, you're at 59. And that's less than $1,000 a year for 15 years. Like that's that's disgusting. There's no just one word for it. That's it. >> But I
046I just want to make that as Grant said, I just want to make sure at the fair I mean this is not this is sad. This is sad that we're having this conversation, but that we're at least covering the health insurance. >> So I think this is actually a good time for me to say what what is going on with the county budget. So basically during the devel uh budget development process, Mr. Kwood reached out to myself and Dr. Nicely [clears throat] and basically said that after reviewing the available revenue and the broader fiscal needs of of the county along with reviewing the uh school division's available revenue including the LCI difference where we were getting more money from the state and they looked at the potential one-time me money that was in I can't
047remember if it was the House or Senate version of the budget. uh they were not going to be able to maintain the traditional status quo transfer of funds to us. So initially they were asking for $4.5 million. Um but we we worked with them. Matter of fact, Dr. Nicely was like that can't be right. Uh so he called and double checked and yes, that was right. >> So hold hold that thought for a second. So what did we have in carryover? >> 4.2. It would have included >> very close the [clears throat] >> something very so something very close to the number they're asking for. Do you think there's any like coincidence to that? Do you think that they're trying to pull the same thing the city's doing except do it this way so it
048doesn't look as bad? Like that's where my mind goes, right? And none of them have enough courage to call and say that to us. They have to send their county administrator to talk to our superintendent. They can't have two by twos or have a conversation. They just drop it on us 15 minutes before a meeting. I mean, and and I'm not throwing off on anybody. I'm just putting facts out here. Those are the things that happened. If any of them want to comment about it, please call me. Please go to the media. Do whatever you want to do because the things that I'm putting out right now are facts, right? They should have called us and said this. This is no different than what the city's doing. They're just doing it in a roundabout way,
049hoping that the media is not going to catch on and realize it. >> And we're not in a bad place like the city. >> Well, and I hate to say this, it seems it seems to me that the excuse that they gave you was that they wouldn't be able to give their employees raises if they didn't take this money from us. Am I right? So they were not going to be able to do what they wanted to do. Yes. >> Okay. So it seems to me that they didn't control their budget yet we did. And now they're coming to us robbing from us because they're interested in putting $10 million into a Holland's library, keeping the Green Ridge Center open. It cost over $500,000 a year of county taxpayer money. If you and I own
050that business, I believe it would have probably gone out of business by now because I think that thing's been open since 2007. So calculate up the millions of dollars there, right? So I think it's important. I'm not throwing off on anybody. I'm not being negative. I think it's important for the the media to get a hold of this and more importantly, we need the community to understand what's going on here. We need our teachers to understand what's going on right here because taking three, what was it? Three, what essentially 2%. I mean, if we're looking at three and a half, that'd be five and a half% if we wanted to take it up that high, right? Which would absorb some of these insurance, you know, issues. And my mind goes to where's the teachers union
051because they should be all over this, right? I mean, there's no representation here from them. I don't see the media here. So, I think it's up to us to get the message out that we're getting robbed here. And, you know, two months ago or a month and a half, something like that, we get called over and, hey, we want to show you how the revenue agreement works. We want to show you how good a deal you have, right? So, we go over, we listen, all the nicities, all the great things, and then two months later, hey, guess what? We're going to break the revenue agreement. That's my frustration, right? And I know it's nobody's fault in this room, but I think it's very important for people to understand that I'm not cowtailing to them. And
052it's if somebody asks why we can't provide transportation for sports or we can't do certain things that we used to be able to do, we'll point the finger at the board of supervisors because that's where it's at. That's my piece. >> I love I love you, Brent. [laughter] >> Did you read my Snoopy card? No, but I mean, you know, I wasn't going to say anything today, but I feel like that it's important for the public to be at least educate, at least have some knowledge as to what's going on here. >> Absolutely. >> And it's fine if the public agrees with what they're doing, that's fine. Right. I just think that it's important for them to know. I mean, I'm nothing more than a representative of the Kataba district, and I feel like it
053they put me here for the best interest of the schools, right? And I understand the board of supervisors have more responsibilities than just the schools, but when you want to run over top of us and you don't have enough courage as a leader to come and speak with us and you want to do it in a cowardly fashion, well, I'm going to call you out on it. Sorry. I mean, it is what it is. And if anybody had any leadership skills over there, they would understand exactly what I'm saying because if you don't come to me and tell me why you're doing something, I'm going to make assumptions. And assumptions are never good. And I had that conversation with several of them. But it just goes on deaf ears and they're going to do whatever
054they want to do, right? There's political consequences to everything. Probably political consequences for me for bringing this up today and saying the things I'm saying, but it's the truth. And I would have this debate with anybody that these are the facts. So, at the end of the day, they wanted to start at 4 and a half million. We worked with Richard to get it down to and his staff to get it down to three, which was enabling us to still give a three and a half% raise. Yes, it's not what we were hoping for. uh and still be able to cover a a bigger portion of the health insurance increases versus pushing it all to the employee. >> So, but don't worry >> trying to minimize. >> Don't worry because come election time, they'll have
055all over their election material what they've done for the schools. >> Absolutely. And how they got the SRO's in the schools and how they increased funding. So, thank you for the lead in. I mean, that it's a breath of fresh air. Um yeah. So, so here's what I would ask is, and again, I don't know if I'm getting way off task, but you brought it up. You know, they've increased the size of government every year for the last decade, especially the last five or six years, right? They've increased real estate revenue the again this year, probably. I I'm guessing I haven't seen the sheet. Need to call over there and get the sheet. 10 12% again this year. They they've raised revenue by $50 million over the last five or six years. Where is that
056money at? Building an 11 million library as Brent brought up. Uh Green Ridge Center that loses some I don't know what it loses about a half million years I'm guessing. Um you know where I don't understand why they're cutting into the schools revenue when we are the only shining piece in the county right now. I mean, why would you go into a business and say, "Look, your sales team is the best the best in the valley." Well, let's let's do we're going to cut that sales team because we don't need all that sales. Why would you do that? Why would you hit the one thing that's making you profitable that's bringing people that they're saying, you know, that the schools, everybody wants to get to the county for the schools. We can compete in an
057environment where they give vouchers and private schools because we're that good. And I don't say that lightly. I don't It's certainly not because of me or and I love my board members, but not because of them. It's because of y'all. It's because of the people in this room. So, you know, it just makes no sense. And and as Brent said very well, where's the outrage from the public? I guess the city problems overshadow us. And I get that we've done an excellent job of, you know, the revenue they give us. We haven't asked anything extra. We're just asking for what the revenue sharing agreement has been to continue. Where is that money that they get? They get 59% of every dollar that comes in that's not shared, right? So over the 50 million, they add
058another 10 million this year. They're getting 60 million more every year than 2020. Where what are y'all doing with that? >> Well, they won't have they will not have a public meeting for you to ask those questions. And obviously, they won't even give us a call to explain what's going on, right? I mean, they haven't even they've talked to all of y'all at least and and told you what they wanted you to hear, but they haven't even called me to talk to me. Yes. And I appreciate it, David. You did say that Tammy said call. I'm not calling her. Did Did you call them to ask for this to know? They called you, asked you to come see it two by two so that we could have a lack of transparency. So that we didn't
059have to go before the public, so that we didn't have to go before the media. I mean, give me a break. Look, you can get mad at me for fighting for the schools, but I'm not elected to be on the county board. I'm elected to be on the school board, and that's who I'm fighting for. And and quite honestly, I probably wouldn't be fighting this hard if we weren't this good. We're the best. 11th in the state, first in the region. >> I revised that previous 10th. >> Now we're 10th. >> Yes, sir. >> Holy cow. So, I mean, let's go screw with that. Let's mess that up so that we can just be a, you know, a dumpster fire. I mean, I don't I don't get it. But we'll make it work, right? Our
060people still are gonna do the right thing. We're going to ask them to work just as hard as they did this year. Going to get behind and pay worse than we are now, but we're going to they'll make it work. I I firmly believe that. And uh it's not fair to ask them to work harder and and uh get the same we're getting the same results. That bubble chart just illustrates it so well. We're we're giving about six I forget, am I right? 16,000 a student and everybody above us up to the Northern Virginia and everywhere else about 22 23,000 a student. So, we're doing amazingly well. But, uh I'm glad Brent finally came came to the table. I appreciate it. and uh and I know privately we're trying to massage relationships and not hurt
061feelings and you know feelings have been hurt so maybe that's a part of what's happening here but you know what at the end of the day I'm here for my constituents and people and I wish they would be too I think it's best for us to uh think about down the road we become a retirement community um and you know what happens after you retire and I'm almost there so uh you know if we don't bring in jobs for our youth if we don't you know they put these silly statistics up about economic development that have no teeth in there's show me some jobs and last thing I'll say and I'll quit is you know we had a hotel come to Benton and we gave economic incentives to get them here right and I'm proud
062I'm happy that we did right we go to the city and they put the one down at Blue hotels and they gave economic incentives to get them there. And that's a good thing. We need more hotel space, right? We need more more uh spaces for people to stay when they come here, whether it be for the parkway or the explore park or whatever places they go in the county. You know, they they're building one down in Bat. And you know what they said they gave for to get there when when they asked for economic what incentives did you give? And I forget the guy. is a former television person, but he said we didn't give a dime. They wanted to come to Baton. They knew what businesses we were bringing here. They knew what thriving
063community we have. We used to be that community. Rono County was that community. And so, you know, we're going to still try and strive to keep the schools where they are. U but we're doing it with less. And as Brent said also, I don't understand where the community was that gets so outraged about, you know, lack of public funding. I don't get it. But we are where we are. And and that's my soap box for today. And I said I wasn't going to do this again. That's two. So next one will be the third strike. So >> I think it I think it's okay. I think it needs to be said. >> Go ahead. I I was going to chime in just just briefly because I do recognize that you still have more presentation for
064us to go through and at the end of the day we still will have to figure out how to make the numbers work. I I share the frustration and the uh feeling of unease about the fact that we're going to have to squeeze the budget to make sure that we're not harming our employees more. And at the end of the day, I I'll be on record saying I I think three and a half% is the wrong direction to go. I think we need to be aiming for 10 11% to be catching up because at the end of the day 6 and a half% is what it's going to take to keep even with where they are this year. That's by the sounds of it not going to be something we can do unless we're willing
065to do what other districts have done which is to cut programs and cut services which I don't think is the right way to do that either. Um, so it puts us in an awful predicament right now to to figure out how to make these numbers work. Um, but but I do think that at the end of the day, we're going to have to look at these numbers and figure out like the tier two and tier three wish list items may have to be postponed till next year, etc. And we're going to have to figure out how to make that work. But I I share the the frustration. >> Thank you. Thank you. >> Yeah, I do. I think it's disappointing that $3 million is a lot of money and and could help us with the
066budget, but then I'm also going to I don't want you to think I'm taking the the board of supervisors approach here, but we've got a lot of things to be thankful for, too. We're not $13 million in all like the city is. We're not taking they're not taking our revenue sharing from 40% down to 34%. We're not having to eliminate 150 positions like they are in the city. Over in Bedford County, they're talking about closing Stewartsville Elementary School because of budget cuts. Down to the south in Franklin County, they closed two elementary schools last year due to budget reasons. They're talking about a 4-day school week for budget reasons. To the west over in Montgomery County, they're going to raise taxes 5 cents to to help fund the schools. >> So, let me ask you
067a rhetorical question. Where are they at? When we're 10th in the state of Virginia out of 130, I didn't interrupt you when you were on your cell. Where are they at? >> You still want to interrupt? >> No, go ahead. >> Okay. I mean, Lowden County, 63 elementary schools, zero SRO's in those elementary schools, which the county has helped fund recently. So, I mean, you at some point you need to be slightly appreciative of what we do have. I agree. >> And the LCA, the 2.6 million in part, what we learned in that meeting last week was that 2.6 million is because they took on an extra $120 million in debt. So that helped increase what we get from the state in the LCI. And then they're responsible for a lot of that interest on
068that debt. Should we share a portion of that with them? It's hard to say. I'm not I mean, I'm not saying yes, we should. But there are some points at some point it's easy to sit up here and and criticize, but they do, as Brett mentioned, have a lot of things other than the schools that they need to help fund. So, if we can work on that relationship a little bit, maybe it wouldn't be 3 million. Are you fast? I am. >> Okay. I don't want to interrupt you. So, SRO's, let's go to that. They're paying for that. They're paying for some of it. >> Okay. Yes. So, we got the grant and and once we pushed that, they agreed to take it, right? Then they so eloquently said, "Look what we did. We got
069the SRO's in the school. So, they're happy with that. I assume they want to fund that, right?" Am I wrong? >> No. >> Call and ask. >> Yeah. Well, and and you see where one of the school districts you referenced, you know, what they think about police, too, right? So anyway, I mean, look, you're all you're flipping the other way. So I'm just making sure we're talking we're talking apples to apples. 2.6 million in debt. Do we not share in that? Do we not share in that piece of the debt? >> We do. >> Oh, we do. But we're not going to mention that that we pay our portion of that out of our revenue sharing piece. Right. >> So I just want to make sure. And then we talked about closing a school. Right.
070You're right. Before County is considering that. It's been brought up in several conversations in here about closing schools. And now keep in mind >> I I wasn't privy to the $2.6 million discussion. I wasn't privy to the closing schools, any of that stuff. Tell me which schools you're going to close first and one of them being bonsack. >> I'm saying even considering closing schools. >> Okay. >> Yeah. So we >> that discussion is brought up not by me. Listen, I'm not bringing it up. I'm hearing it in conversations y'all had with them. They don't they're not talking to me. >> They never mentioned to me closing the school. >> Okay. Never mentioned it to you, but they mentioned it to the others in the group. Okay? I'm just saying, folks, politics are dirty and you
071got to you got to pay attention to the subliminal messages or the messages behind uh they've said it to people in this room. So, and not me because they haven't talked to me, so they haven't said it to me. And I think you respect those people. So, I would assume it's true, but I'm not sure. So, being done, >> I'll be the last word on that for now. Um, I mean, I think that we're all very frustrated with the situation. Um, it is upsetting and your points, Dr. White, are well taken about where we really need to be going and this definely hinders us from being able to get there. Um I also think unfortunately is this going to be the trend going forward? Right? This we're talking about this year, but what's it going
072to look like next year and the year after that? So I think those are all concerns about how we're going to get that scale where we want it to be dealing with less money. Um it is frustrating. I think there's a couple of everybody has made really good points. Um, I would say that what you always say, Tim, is about us being the the shining star, right? I agree with that. I think that we are what is going really well for Renault County in general. Our schools are good. We have people that move to our areas because of the schools and we want we want people to continue to do that and like you said, we're going to continue to do what we're doing. We're going to do the best that we can. The bubble
073chart shows that. Um, but we don't want that to change. We don't want to become a retirement community. We want young people to continue to move to our area and bring their kids to our schools, and we have to make sure that we continue to do that. And we need some help to be able to do that. Um, so it is it is frustrating. I mean, there's there's really no way to get around that. We just and I'm frustrated that we did discuss the agreement very recently. Brent brought that up as well. I mean, we discussed the agreement. We talked about how we're thankful for the agreement and we want to continue with the agreement and then like you said a few months later we're in a whole different situation now we're talking about changing
074the agreement and that is how do they sit down with you and do that and then >> I mean I think that's a good question by the next meeting. >> I think that that's I think >> it is it's frustrating. I mean I think that we were all on the same page on that and now we're in a different position. So, um I mean obviously there's a level of frustration for everyone here and we are concerned about what we're going to do and we're all trying to do the right things for the employees and we're going to have to try to make that work >> and they and they can't be hurting for revenue. They're flush with cash. I mean, they've got money oozing. I I don't get it. but because I keep raising around
075the state. >> Um, so I guess we'll we'll leave it there because I know we still have the rest the rest of the presentation to go, but um I'm glad that everyone had a chance to speak their mind on it. >> Yeah, thank you. >> All right. Um, so the only last thing I wanted to mention on this is we do have 23 employees currently in the family plan that if we did offer the employee plus children could automatically convert up. Um, the >> either either way you're saying either whether we do the spouse or not, we could add that and that would that help. It could save >> it would it would reduce the premiums coming in by 200,000 and it wouldn't change the claims and so it would put us in a more
076negative position but it would help those employees. >> Okay. Would that hurt us from the reinsurance side? I guess I'm trying to balance with that. >> You you know what I mean from the self insurance? I said reinsurance. Self insurance. I think it could >> it just shifts the premium to a lower premium and so it would just be like about 200,000 of less premiums between the general fund and the employee that's going into the health insurance fund itself. >> But it could help our employees. >> But it could help your employees. >> But correct me if I'm wrong. It could potentially have us less money in the reserve account and if we had a bad >> That's she was saying like you're bringing less money in. Correct. But it does help the employee because
077if it's just I mean you can look at the difference there. The employee plus children versus the family plan. I mean that's a fairly significant difference. >> So >> yeah, >> it could help some people. >> That's great. >> If we can add that in. Well, I was I was mentioning to her, we may also have some of the people that signed a family today if they will stop and take a look at it like we said earlier that are going that spouse is going back to that place of employment voluntarily so they can go to subless children here and that may save another group that we can't identify right now. We can't tell you who that might be, but that may help another 20 or 30 or more people that are signed up. Right
078now, we know the 20ome she's talking about don't have a spouse on coverage with them and haven't paid family. But if people will take a look at what they're doing, a lot of them may separate as well. >> That way, even if you don't do the spousal exclusion, again, doesn't help you all, but it helps. >> It helps them, right? I mean, I think anytime you add the spouse on your plan, it's more expensive. >> So, I mean, I have my kids on my own plan, but my husband's not on there. So, it does save us money between the two of us, you know? So, I mean, I think it's it's definitely gives us another option, and that's what we were working towards last year when we were doing this, right? We were trying to
079offer new options to help, and I think this is a really good good one. >> And and so, let me to to expand upon that. So if we did the HMO 2000, if your spouse came off, you would go from a family to employee children. That's approximately $400 a month. >> I mean, that's a huge savings. >> Yes. And if that spouse goes to another plan, theirs is probably going to be paid for. Plus, they save that $400. I >> mean, it's a pretty pretty good chunk of change. >> We don't know what their plan would be. >> No, we don't. But that's going to be a savings. no cost difference or they might pay 200 at their place of work and end up with $200 extra dollars in the >> right >> that's a
080big deal >> I think it's good for sure >> are we moving to >> we can move on so I guess just um if y'all want to let uh Dr. Sulttus know or Dr. Nicely know uh as we get closer to needing to adopt if you want to adopt this or not um and along with the spousal coverage exception so that we can make sure we have the >> one thing >> information ready for you to adopt properly. >> I guess there's not a way to know how much would be going less would be going into the reserves. I guess there's no way to calculate that, right? >> For the 23 it would be 200,000 less. >> Okay. So you Okay. Yeah, I already calculated that. >> All right. So, something to think about as
081well because that's less money going in the pot essentially. So, >> okay. Um, I did want to quickly revisit the state revenue, the crossover numbers, the how the VDOE, um, I do believe the day after I presented to you, the VDOE published, uh, their own spreadsheets. Um, and the House bill spreadsheet was a little bit different from what, um, I received and was able to use from the actually House. Uh, so the two spreadsheets were a little little inongruous. Uh so the amount of revenue that we're getting from the house bill went down uh slightly by 334,956. Um so you can see the revenue that we would be looking at for operating under the general fund under house bill 30. Uh the increase is 8.4 million. Um the Senate bill came through uh and we
082got the spreadsheet in that from DOE and so the operating revenue for that will be 9.1 million and if you look at the total you know we we put this by fund instructional resources is our um like textbook fund and we have grant fund and nutrition fund um so the house bill the I'll just reiterate uh the 4.7 million in the house bill includes about 4.4 four million of the flexible funds that would be one-time spending. So, we're really not planning on using that at this point. Uh we just don't want to to put anything out there. You know, we've heard that uh the Senate and House are not very close and they may not even adopt a bill uh by the time they're the the session ends. And so uh due to the the
083politics involved, you know, we always go with the lower of the two. Even though the total lower for the Senate is 9.3, the total lower in the operating fund is the House, which is 8.4. And it would be my recommendation we build our budget based off the House bill and just hold the four million off to the side is uh we can help do some additional one-time items uh with that if we need uh going forward. So then we'll we'll jump through the priority list. Um this first page is is details of our revenues. So, you'll see I dropped in the state revenue number. Uh, what's in yellow did change. Um, and I did double check and and all the yellowies are the correct changes. I didn't miss anything this time. Uh, so if you
084picked up your PowerPoint from the last meeting and the PowerPoint from this meeting, uh, you'll clearly see uh what we added or or has been removed. So, the state revenue number was uh I guess massaged a little bit and based off of the new worksheet. The Renault County revenue sharing, they updated their number. They uh received the population number for Lord and Cooper and it went up a little bit. It went from uh 96550 up to 97260. So, that reduced our um revenue by 141628. Um, and so that's the regular revenue sharing agreement. [clears throat] Um, and then the other change is the 3 million being shown in here, which is the one-time um, ask by the county to uh, reduce the revenue outside of the revenue sharing that you have already spoken about. Um,
085so at the end of the day, that um, brings us down to 9.7 million. There are no changes in the other amounts uh, 9.8 8 million of new money uh for this next year. [snorts] So then I don't want to belleaguer all of the rest of them, but I'll I'll kind of pause as we get to them. Every single one of these are kind of set up the same way. We have the priority item. We have the tier level. Um we have whether the general fund is covering it, whether another fund or means is covering an item or whether that item is left unfunded um under the kind of recommendation that we have for you right now. Um and so we uh I've worked with with Dr. Sult and uh Dr. Nicely to uh kind
086of shift things around to uh where it seems to be best for the division. Um, so this is definitely subject to your scrutiny and if you choose to shift other items to do different item uh different um like a raise or something different uh by all means let us know and we can get that uh rearranged for the final adoption. Um under the HR uh slide we are putting in here the health insurance the 10% premium pushed to the employee. Uh this number didn't change [clears throat] from I had two different numbers in the last slide. It was an error on my behalf and I do apologize. The number on this slide was wrong, but the number that was presented earlier uh with the budget was correct, and that was the 3.7 million uh that
087would cost for the general fund to cover all but a 10% increase in the premiums uh for um our employees going forward, which is what we've already talked about. Um the next item is uh we built in a three and a half% uh raise for our employees. So that would be a a $2.4 million increase. Uh which is uh largely offset by the VRS savings uh for the teacher contribution. Um so our the VRS rates went from 14.21 down to 12.2 and that that ended up being a pretty significant reduction of almost 2.2 million. >> And that's why we can do a bigger raise than the typical been what 1.6 million for a step or for a 1% raise. I'm sorry. And so because that dropped, that's why that number looks better than it could
088have. >> Yes. If if that hadn't dropped, we would not be able to do a whole whole lot at all this year. Um so that was definitely good timing for our division. And the way just to remind everybody the way that the VRS contribution works, it is adopted on a bianual basis. And so the 12.2% 2% was what we paid in 2026 and 2025. The lower rate is what we will pay. I think I said that backwards. The 14.21 is the current rate. I apologize. And and last year's the 12.2 will be the 26 and the 27. So they adopt the the VRS rate in a benium, right? Um and so that'll help us going forward. The other change on here, uh, you'll see we added a $14,000, $763, uh, dollar line. And this was,
089um, it was asked if we could, uh, convert the one-time stipen for, uh, employees that are at or above the top of the scale to being a part of credable compensation. In order to do that, we um applied the VRS uh rates along with our the retired retirey health credit rate, the group life and disability rates uh to come up with a total cost and that was an additional 14763. So, the recommendation is that the 1,000 instead of being a onetime stipen that they would get, it would just be a part of their uh salary of credible compensation for the year and then that would be their base going forward. >> I understand that. >> Not exactly. Not >> well. So, previously because it's an extra stipen, this is people who above the scale they've
090been getting that longevity stipen. However, it doesn't count toward their VRS payout with when they retire. So, this actually this request came from an employee say, "Hey, would you consider that?" So, Susan costed it out. It cost about [clears throat] $14,000 to do it. I mean, I I would recommend it. I think it's fair. >> Are there long-term ramifications? Is it going to be an extra $14,000 every year? >> I The main thing to say out say out loud and we clarified that with the people who requested it is, you know, it's not like we're we're not creating new steps here. So, It's $1,000. That's that's what it is, right? Currently, right? So, we're not saying, "Okay, this year it's a thousand, next year it's more, more." So, they seem to understand that. So, you
091the longevity stipen is what it is, but if we do that little conversion, they get at least, let's say they get that for five years, that's 5,000 more dollars they can get to their VRS, you know. >> So, >> um, and then, uh, And I don't know if y'all want me to point out everything that we put in the unfunded, but uh we did put everything funded except for the online academy siphons for the 62,000. So those were the changes in the HR list. Any questions? Uh moving to the administration list. Uh the only change on this one, we were able to find everything except for the trinity and intervention specialist. And uh this is a position that is sitting in the all MBA grant right now. It was added um as part of that
092grant and the individual that's in that position is not going to return to that position next year. And so we will lose the position, but we're not going to lose a person if that makes sense. >> Can I jump in here? This was money that we used COVID money for and the purpose of it was to help get kids back to school. and by the fact that, you know, we're however many years away from COVID now. Those were meant to be temporary, you know, interventions to get them back. And the fact that the individual's retiring, you know, we can do it without adversely cutting somebody. So then school counseling the um social and emotional learning program remains. Uh moving into special education and people personnel uh two of the we've got three IAS two in
093a new fax class and uh one in a prep fax class. So, it's it's three uh positions. They were able to uh work with HR to redirect existing positions. And so, we're not going to hire new new positions for them. We are just redirecting existing positions. And so we dropped that in the middle column so that it would look you would know you know we're direct redirecting three positions that could have been used elsewhere and were random being set aside for being used elsewhere but we are going to use them for these uh programs. So we didn't want you to think that these programs were not being um taken care of and and and being funded. Uh they're just being funded uh with reallocating existing resources. Um and then there is one and I think
094it uh one board certified behavior analyst in the unfunded column. Um and it is our understanding uh that Dr. Harmon uh would like to add that maybe in a future year, but for uh next year having the two additionals will provide an equity across the division that that they really need. >> I'm assuming if the revenue comes in high state, we would just drop these fund unfunded in the funding. Certainly, >> which which is what I was going to say at the end that, you know, whatever we adopt could change based off of whatever the final governor's budget is. >> Uh, moving into elementary instruction, uh, we were able to fund everything except for the grade level coordinators. That is left in the unfunded column. Moving into secondary instruction, the coral music resources and uh
095student advisory council was left in the unfunded column and assessment and research. The data aggregation software remained in the unfunded column. uh for career and technical education. Uh the CTE supervisor, the uniforms, and the program stipen for industry career switchers uh remained in the unfunded column for facilities and operations. um fire extinguisher replacements, door parts and building materials remain in unfunded and we partially funded HVAC parts and price increases. Um pretty much that was our plug and anything we had left we tried to give to them um just because we know HVAC prices are increasing and so whatever we had left over we dropping down. uh under finance, uh the entire OPED contribution moved to unfunded. Um and just to remind you, the OPED contribution, what we've done in the past is paid $92,000 a
096year uh towards the trust to keep our liability low on the books. uh we had a recommendation uh that if we kept down that path, even though it's cheap on an annual basis, we were going to s severely overfund that trust. And we didn't want to be in that position either. And so we received uh a schedule and it was in last the last work session and it's about four years or five years of planned contributions to get us to a 75% level and the first year would have been the 500 um 1885. Um but we're just going to I mean we don't have to do it. It would help our financial statements at the end of the day. it would help uh the county, you know, with their bonding uh levels at the end
097of the day. Uh but it's it's not a a >> requirement. It's not a requirement and the act is not going to fall if if we don't do >> um >> so then the other two things on uh my list that came off were the fleet replacement fund transfer uh so uh [clears throat] we will not be replacing any any buses any aging vehicles in our fleet next year. >> Didn't we skip last year? I was just going to say, isn't it this the second year in a row? >> This is the second year in a row. >> So, what does that look like? >> I'm going to be fixing some old stuff. >> Do you want to chime in? >> No, just >> so now our maintenance costs are going to go up. That's
098a given. >> Yeah. >> I'm sorry. I couldn't see you, but yeah. So, now the maintenance costs are a given to go up. you know, I mean, this is classic not understanding, but anyway, whatever. >> Um, and then the amount that we are trying to build back in, um, each year we're trying to add 250 to the capital maintenance program. Um, just to build that up each year because we just have aging facilities and HVAC is costing and >> it's costing a lot. Everything's costing more. HVAC especially. Yeah. >> I mean, I know that from residential. Move moving into tech I'm sorry moving into technology. Um Mr. Terry went through and worked some magic with his vendors and took a look. We are moving removing grades one and two from the replacement plan right now.
099Uh what is currently in the schools will remain in the schools. They're just going to be outside of their warranty. They're still on the on the carts and can be used. Uh but we will not be replacing them with uh new uh laptops. Um so that's the 245675 that was moved into the unfunded uh with the uh Prometheium boards instead of replacing uh the next batch because we're kind of on a uh replacement schedule for Prometheians. Instead of replacing the any now what we will do is uh replace the operating system card, the OBS card that's in each of the the Prometheians and that will help them all run better and run similar to each other. Uh and we will uh replace all of the Prometheians or not replace but buy new ones for RCCTC.
100And so that will that's the bigger cost um included. Uh the other items that will not be uh funded off of technology are the ricotta bus cameras uh associated with the forcet network uh the ITRT and then the middle school vape detection systems um and then the diligent community software was funded. So at the end of the day, uh what we've presented to you, uh with our state, county, and other miscellaneous local revenue coming in, uh we have balanced uh some of our tier one, tier 2 items, uh as shown on the previous slides. um the other funds or items that are being taken care of but in a different way either through the grant fund through current positions being reallocated uh or even some of it's in the nutrition fund. Um and then unfunded
101are uh the different tier items that we did not get built into uh the plan as it exists today. So that's all I have. Um, coming up is the scheduled adjournment. I already mentioned uh we're still not sure if we're going to get a final budget at that point in time. Um, I don't think that the um folks who work out the the the differences have even talked yet. uh and so I think it is not necessarily I think we're facing another year of um uncertainty when it comes to the the state uh budget. So I think we will do what we typically do and adopt what we think is our best estimate using the lowest uh state number in front of us and then we'll um have to come back and revisit it at
102a later date. Um, if we need, we can have a work session on the 30th. If you uh have specific items you need us to look into or change or switch around, we can have that work session. If you want to adopt everything as it is presented, um, we can just bring it to the meeting on the 31st. Um, so you will just have to let us know uh what you want from us and then we'll take it to the board of supervisors in April. And that's all I got. >> Thank you, >> Dr. Soldiers. They say if this is an actual change in the formula permanent or is this a one time? >> So, at this point, it's a one-time thing, but I I do think they are saying we're going to have to
103look at the revenue sharing agreement. >> I'd like to say thank you to Dr. Not doctor to uh Joe McNamera and Drew Barono for coming up with this revenue sharing agreement and never having to break it. I thought it was a a nice plan. Uh, everybody has thought it was a nice plan. Uh, you know, they could they've whittleled it down some over the years, but to my knowledge, those two did. What a what a good tool they came up with. >> Does anyone have anything else? >> Okay, meeting.