001All right. I'd like to call our September 17th board meeting to order. Um, madam treasure, please call the role. >> Mrs. Siguin >> here. >> Mr. Garfin, >> here. >> Mr. Gart, >> here. >> Mr. Hower >> here. >> Mr. Parker >> here. >> All right. Okay, can we all rise for our pledge of allegiance, please? I pledge of allegiance to the flag of the United States of America and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all. >> All right, our introductions. Um, we have Mr. Brett Parker and Mr. Mike Gart to my right, vice president, Miss Annie Karsten to my left, and Len Hower, board member. Um, An Lash is not able to be here tonight, our superintendent. And then we have our treasurer,
002Colleen Ald. And I am Elaine Seuin. All right. So, moving along. No. Oh, we do have a visitor. Okay. >> Um, we had somebody call in for 10 minutes, but I don't see her. So, >> okay. No. Uh, Alicia Arnold does not appear. So, okay. Then we'll move along. And we do have a very exciting presentation today. >> Thank you. >> Um our treasurer is gonna tell us >> he's gonna discuss our fiveyear forecast. >> Yes. Thank you. >> All right. So with the full audience, I appreciate it. Thank you very much. I will try to make this seamless. >> Um we're going to go over the budget and the three-year forecast for fall of 2025. So in one of the governor bills >> Oh, I said five. Okay. Thank you very much. All right.
003Budget and three-year forecast for fall of 2025. So, in one of the governor's proposals or bills or the things that passed through was it is no longer a 5-year forecast. It is actually a budget and a three-year forecast. So, hence the budget and three-year forecast. All right. Going over today is the purpose of the forecast. So, the name changed, but the purpose is still the same. The I changed it a little bit to keep it exciting. I'm going with the expenses first, then the revenues, um bottom line, and I took out the hot topic. My hot topic is my favorite thing to lighten it up, but I'm going with just recommendations um for moving forward. All right, the purpose of the forecasts are again the same. It's a high revised code. It's a managing tool,
004and it engages the local board and the community to have these conversations. I have a little caveat that I am probably going to say the five-year forecast and not the new name that they gave it because for 19 years I've been calling it for the five-year forecast and I will be presenting the five-year forecast because I think it's a best practice to have the five years out there but I will be submitting to OD or Odo the the correct format. >> Okay. So for expenses forecasted expenses are increasing. Nothing has changed since the May forecast. Our health insurance rates have increased about 18% but that was projected and anticipated. We are looking at our health insurance costs and in our health um committee meetings to see what we can do. Negotiating agreements we have one
005coming up um that we will be starting this year. Transportation inflation inflation is about 2.9% I believe the current inflation. So it is better. It's better than the 8 n% that we had in the past but it's still inflation. I have on the screen just an overview. You can see on the arrow for fiscal year 26, we are at 93.6 million. I do not want to discredit though how important it is that I'll direct you to the report that has line by line all the information on the expenses. So I I think this is very important that everybody has and sees, but I also don't want to make this presentation really dry. So if you have any questions, please don't hesitate to stop me. uh 76% of the expenses are personal personnel cost. 20% are
006purchase services and the remaining are other and that's very uh common for a school district. All right. Revenues on the other hand we have for over the past 5 years revenues have increased about 1.85% annually which is not bad. at least they're increasing. But also if you look at the expense costes itself just right now the 2.9% of inflation and our revenues only went up 1.85 our revenues are going up and our expenses are going up more. It's just not sustainable. It's not going to happen. A projected we have a decrease and we have a decrease for revenue going forward at point4%. is less than a percentage. But the fact that our expenses are increasing, that is those two together is not a it's a perfect storm. It's not good. Notably, the state funding is
007expected to decrease $2.2 million, less than comparable before. It's one of the biggest drivers for our revenue side of why our revenues are decreasing and not growing. There was a couple factors to that. We have the state formula, the state funding. They are not uh updating the base cost to current year. They're still using their 2022 numbers. So that doesn't help out because expenses at 2022 is different than they are currently. They are increasing the local capacity assumptions. So what does that mean? Is our local property taxes went up. That's great for us. But then they're taking away and rolling back our state funding because you said locally you got more. So you don't need as much estate money. They're reimburse They're reducing the reimbursement for the state cost savings. So I'm going to read
008this so I don't say something wrong, but the legislative service commission estimated that by removing eliminating the roll back on new levies, the state would save over 1.3 billion annually. That's amazing for the state. But part of that savings is reducing the money that they reimburse to the schools. So that kind of hits us hits us bad. Increased delinquency in local property taxes. We collect property taxes. Delinquencies are normal, but this year we got a little bit more on in delinquents. We about $500,000 in delinquent taxes. My assumption is they're going to maybe late paid and they're going to pay in the spring, but I I don't know that for sure. All right. Okay. Okay. So when you put this together, the revenues are the blue, the gold is are the expenditures, and then the
009cash balance you could see all the way to 2030 is 39 million. I could see why they don't want to do a 5-year forecast because let's be honest, 5 years out is hard to forecast. You get every two years you get a new budget and the fifth year that's two more cycles of a budget. So, I can see why we're shortening it up because by that fifth year, that's a little ridiculous to have to forecast out when we have two more governor budgets to go through. But on the flip side, I think it's important because we also are familiar with our expenditures and what's going to happen and if we don't do something, what what the expenditures are going to look like. So, I don't want to scare anybody with that number, but I do
010think it is important to show that number that with we without new money coming in or without cuts coming in, we it's not sustainable. So the bottom line is for this fiscal year we are at a 29% cash balance. Um 30% is my recommendation. We're at 29. I think that that is fairly good. But when it goes to next year we drop down to 18% cash balance because we are deficit spending. We are bringing in 88 million and we are spending 93 million. So it's not sustainable going through. Uh what does that look like? Cash on hand. Last year is the first year fiscal year 2025 we were doing good. 2026 we're still currently doing good. Next year we are anticipated cash on hand as 80 I'm sorry 65 days. Last in May before the
011state funding came out we are at an 86 day benchmark for cash on hand. We are now estimating at a 65. What does that mean? 90 is a benchmark. The auditor state could potentially come in and flag our district for fiscal caution in 2026. So the recommendations would be on November 4th to put on the emergency levy, which we did. We passed two re resolutions. We're on the ballot. Issue is a 4.9 mil 10-year operating levy aimed to maintain the district's educational programs. We also have to do some budget cuts and streamlining. District needs to cut 3 million in expenses in addition to the levy by 2026 2027 school year. That is next school year. and district will need to aim to cut 9 million in expensive if the levy does not pass for next
012school year. Any questions? I threw a lot at you. I'm here for questions, concerns, comments. We I have been aware of this. We knew this was coming. State funding came a little bit 2.2 2 million under than expected, but we have been working on already cutting cost and looking through. We already saved some money on attrition and absorption when um retirees retire and we either we could absorb the position or we bring somebody in at a lower cost. >> So that has already been looking into always is looking into. It's just >> it's kind of based on status quo, not anything happening with the legislature regarding all the things they're talking about. the constitutional amendment, property taxes. Those are just question marks. >> Correct. Correct. Yes. >> Yeah. I mean, if they come down with
013a whole new property tax reform, that's it's >> that's a different world. >> Correct. >> Okay. >> Any anybody have questions? >> No. No. >> Nice job. >> Thank you. >> Yeah. Thank you. you you always uh present it, you know, easy to understand as you can. >> Thank you. >> All right, moving along. Um the meeting minutes have been posted for the September 3rd meeting. Do we have a motion to approve the board minutes? >> I'll make a motion. >> Do we have a second? >> Second. >> Madam Treasurer, please call the role. >> Mr. Gabart, >> I. >> Mr. Parker, >> I. >> Mr. Surfin, >> I. >> Mr. Hower, >> I. >> Mrs. Sewin >> I motion carries. Okay. Board of education items. I do not think we have any treasurer action
014items. Looks like we have a few. >> Mhm. Okay. To accept the financial report for the month of August 2025, which includes the bank reconciliation and investment reports, and to acknowledge and express the following donations. Thank you very much. We have Barb Deller. We have East Broad Street Church, First United Methodist Church, BFW, Burger King, Kids in Need Foundation, Friends of Mike Baker, Mr. John Metior, I mispronounced your name, I apologize, but thank you for all those donations. >> Okay. Do we have a motion to approve the treasure action items? >> So, move. >> Do we have a second? >> Second. >> Um, madam treasurer, if no questions, please call the role. >> Mr. Gart >> I >> Mr. Sarfin >> I >> Mr. Hower >> I >> Mr. Parker >> I >> Mrs. Suin
015>> I motion carries uh treasurer other >> to approve the permanent appropriations for fiscal year 26 to authorize the treasur to advance funds for the following funds to the general fund. So if you remember back at the end of the fiscal year we didn't get some money from title 2 and preschool yet. They didn't release the funds. So the general fund had to advance it out to cover them and now we we are replenishing that um the money transfer funds to approve to approve the transfer funds of $250,000 from the general fund to the permanent improvement fund for technology and facility needs and to approve and I'm sorry I wrote five-year forecast here. I probably should have used the official name with assumptions for the Lori City School District which covers fiscal year 26 through
01630. >> All right. Do we have a motion to approve the items recommended by the treasurer? So move. Do we have a second? >> Second. >> Have any any questions or discussion? >> Just what just what is what were some of the things involved in the technology and facility needs? Is that just a general what is that? >> Yeah. So what we do right now is um we don't have an an official uh capital plan, but we take the money from the general fund to the facility needs because we are going to need we need Chromebooks. We're going to need facility repairs and updates. we're going to need the kind of stuff that um that you normally need to do for the building. And so it it puts it aside where it is for the
017building. If something were to happen, we earmark it for that. Yes. Correct. >> Um one of them is the turf, too. We put money aside. So when we have to replace the turf, >> so that that that goes aside so we we have that. We're um in a bucket to be used when we have to replace a turf or when we have something that's going on in the building. >> Okay. Um, please call the role. >> Mr. Hower, no. Mrs. Miss Garcin, >> I. >> Mr. Hower, >> I. >> Mr. Ghart, >> I. >> Mr. Parker, >> I. >> Mrs. Seuin, >> I. Motion carries. All right. Are we moving on to superintendent action? >> We are to approve the contract with Phoenix Learning Center for fiscal year 26 school year to approve the following
018home instruction tutor at the tutor hourly rate and the afterchool program for this school year. And that's it for her recommendations. >> Okay. Do we have a motion for superintendent recommendations? >> So move. >> Second. >> Please call the role. >> Mr. Parker. >> I. >> Mr. Gart. >> I. >> Mr. Garfin. >> Hi. >> Mr. Hower. >> Hi. >> Mr. Suin. >> I. Motion carries. >> All right. >> And then personnel action items. >> Yes. To approve the appointment of the following certified staff as detailed below. To approve the supplemental contracts for the fiscal year 26 for the following district and non-dist employees. To approve the following athletic supplemental contracts for the following district certified, classified and/or non-district coaches for the school year. To approve the appointment of the classified staff as detailed below.
019To approve the unpaid leave of absence of the classified staff. To approve the resignation of the classified staff. and to approve the retirement of the following classified staff below. Congratulations. And that's it. >> Okay. Do we have a motion to approve the personal items recommended by the superintendent? >> Motion to approve. >> Do we have a second? >> Second. >> All right. Uh if no questions or comments, please call the role. >> Mr. Hower. >> I. >> Mr. Surf. I >> Mr. Gart >> I >> Mr. Parker >> I >> Mrs. Siguin >> I motion carries do you also have a super >> she actually does have a superintendent report and I she she said she is a works with a great treasurer and she values our partnership that was one thing that she said
020>> good one good one >> she also said though next Friday is the middle school unified sports and that they had a great turnout for the high school unified sports and that the Apple festival is coming up this weekend. >> Yep, that's it. Okay. >> Cookies. >> U moving along. Board of Education. >> Um >> Go ahead. >> I asked for that to be put on um for the board of education. Um we had a home game uh two weekends ago and uh the truck that we used for the marching band that has a lift gate. It locks into place. And we got to the field and we went to open the lift gate and nothing. So all the drums, all the tubas, everything was locked in the truck and you couldn't get the lift
021gate because power wouldn't get back to it. So we had uh Tim Bonetto, Randy Alhight, and Howard Duff. They came over, worked on the truck, got the lift gate up, tailgate down, got all our drums out about 4 minutes before pregame. >> So I wanted to make sure that they got recognized. So thank you. uh they saved pregame, they saved the marching band um from trying because there's no way to get them out if if the lift gate doesn't open. There's no way to get them out. So, I wanted to give a a >> shout out to them. And also, we have pray bands this weekend, Saturday. >> So, we'll be out there and it's our 53rd parade bands. >> Are you in it? >> I am marching the alumni drums. >> Okay. All right.
022Uh board policy. Oh, I have one other thing. Um, you guys or and our superintendent was going to get us the a copy of um the cell phone, whatever that they have at the high school, the policy. Can you I know she's been off, but could you get that to us? >> Okay. >> Anything else? >> No. email. >> She I assume it would have been email. >> Yeah, that's what she was going to do. >> I think the cell phone and the um absentee the two new policies. Yeah, the tardy that are up that are going on. >> Ironically, she was going to text us. >> Um All right. So, board policy um wave the first reading and adoption of the following policies. promoting parental involvement and student expulsion. Do we have uh a
023motion? >> I I'll move. >> Second. >> Do we have any comments or on on these? All right. >> So, yeah. All right. >> Sorry. Mr. Parker. >> I. >> Mr. Gart. >> Hi. >> Mr. Garfett. >> Hi, >> Mr. Hower. Hi, >> Mrs. Sewin. >> I Motion carries. >> We are not going to have executive session tonight. So we just need a motion to adjourn. So >> move second. >> We always have no problem with that one. >> All right. Mr. Ghart >> I. >> Mr. Surfin. >> Hi. >> Mr. Hower. >> Hi. >> Mr. Parker. >> Hi. >> Mr. Sein. >> I. Motion carries. Meeting adjourned at 5:49.