AISD School Board Meeting 07-15-24

001all right good evening it is 5:00 pm it is July 15th 2024 this is a regularly scheduled meeting of the argal ISC Board of Trustees at this time we will determine if a quorum is present LNA McDade present Josh westr present lean artho present Matt Slayton present Craig Hawksworth present I Sam Slayton present we do have a quorum established the time is still 5:00 p.m. and we will adjourn to Executive session e e e all right good evening the time is 6:00 p.m. we have returned from executive session at this time we'll have the Pledge of Allegiance I pled ALG to the flag of the United States of America and to the Republic which it stands one nation under God no that was you did it goad where are the kids when we need now

002indivisible with liy and justice for all wow so was that me or you all you Mr H honor the Texas flag pled aliance to the Texas one State under God one and indivisible I want the sheets back I was going to say like that wasn't record us to be a sheet up here that wasn't record put these back I failed okay we need the children apparently yes oh it's if ever we didn't need the students more tonight a night okay Mr Hawksworth do you feel up to Leading us in our opening prayer I think I am okay let's pray dear Lord we come to tonight asking for peace for our country and your guidance for our community and our school district may we be your voice hands and feet in this community and make decisions

003that honor you and our students staff and Community we ask for your guidance in bringing this community together to do what is in the best interest of students and not ourselves please be with this Administration teachers parents and students as we draw closer to a new school year we love you God and are so grateful for all the blessings you continue to bestow upon this District in your name we pray amen amen amen I didn't all right go all right we are going to move to the public forum section of our meeting tonight we have one person signed up where's my script read my script hold on this we I got a little bit reading a few thanks he's got his printed out I do have mine printed out okay all right public forum we're

004now moving into the public forum portion of tonight's meeting please note that board policy require speakers to sign up in person before the meeting is called to order during this portion of the meeting board members will listen to comments but as the designated spokesperson only the president May respond to the speaker if needed and refer concerns to the appropriate administrat speakers can comment on agenda items but trustees will not be able to discuss the items until they are before board uh during the meeting board policy bed local provides the presiding officer the ability to adjust the time allotted per speaker for Effective meeting management pursuant to that policy and individuals comments to the board at tonight's meeting shall not exceed 5 minutes the presiding officer May reduce the allotted time for each individual to speak

005to no less than 1 minute for Effective meeting manager speakers are not allowed to receive time from other individuals tonight each speaker will receive 5 minutes specific complaints about individual District Personnel are to be processed through the district's grievance policies as set out in District policies DBA FNG and or GF speakers are not permitted to refer to individual students or employees by name during the public comment period additionally if you have a pending grievance that may come before the board in a level three hearing please refrain from addressing the topic of your grievance except through the grievance process all right Mrs Reed good evening good evening how are you guys good thank you um my name is Aaron Reed and as most of you know I have four daughters I stand before you tonight to

006express my support for the decision to vote down the recent Title 9 mandates this choice is crucial for safeguarding our daughter's rights and ensuring that our educational environment remains fair and Equitable Title 9 was established to protect students from discrimination and it is essential that we continue to recognize and uphold the biological distinctions that exist between male and female students our daughters deserve a safe space where their rights and opportunities are not overshadowed by policies that blur these important Lines by voting against these man Ates we are affirming our commitment to protect the Integrity of female sports privacy in our locker rooms and bathrooms and the unique experiences that shape our daughters educational Journeys we are ensuring that all students can thrive in an environment that respects their identity and fosters healthy competition so let's

007prioritize the voices of our daughters and recognize their rights let's continue to recognize students based on their biological sex while supporting those who choose to identify otherwise at the moment together we can create a scho school community that is inclusive while also respecting biological realities thank you for considering the best interests of our children as you make this important decision all present who are in agreement with me who stand in support of our board and represent the majority of our community please stand now thank you thank you thank you you all right that concludes public forum for the evening we'll move on to to the consent items donations can be pulled up please all right our July 2024 donations ABC donation number 39 $1,891 for outdoor standard Flags the Alex betold memorial fund $3,300 for

008girls basketball total July donations $ 5,1 $191.5 okay does anyone have any questions on any of the items listed right I'll entertain a motion to approve the consent items as presented so moveed Dr McDade motion to approve to have a second second Mrs lean artho with a second any further discussion all in favor say I I any opposed all right thank you okay we have construction is that right yes and Jerry construction yes we'll let them go first so uh Mr Cohen is actually with the Mover still at JRE so he is out on site and so Po's here and they're going to do the update there and then if he's not back Mr will take care of the next part so we'll do the JRE update Greg we can't live stream him in can

009you send the drone over there and tap in I was over there today yeah it's crazy it's amazing I love it love it it is beautiful school this be a really fun update too guys so there's a picture of our sign speaks really loudly you see it from quite a ways away yeah really good picture of our Landscaping um I think the important thing to mention is that we're uh we've passed all of our inspections we do have the ability to occupy the building currently look at that wall that a't that pretty lots of color there's a picture of library in the main entrance I think you'll see another picture of of another angle of it so there we are coming in in through the front door real good picture of the courtyard uh turned

010out really really well um a lot of variations in the brick that that they get shown off in this picture it's a beautiful design there's a picture that's a really good picture of our Courtyard as well so the important thing is we are done with all inspections uh I think teachers are coming in on Monday to occupy the building and that's what Jeffs over there working on currently so making sure the movers get their job done so we have an official Co we do yes man do we got we got a fire final certificate of occupancy we're we're done we are uh I would say probably 65% 70% done with any architectural punch items on the inside and we'll be uh working toward uh getting those items completed on the outside over the next two

011weeks as well so we're uh we're moving really well can you remind me when you started I've got contractual date Parker do you know permit date perit date until September but it was I believe July yeah July of 203 yes so year that's that's incredible that's good the GU the guys have have executed had a really really high level that we we had some challenges that needed to be overcome just a few months ago with some canopies and some other things and got creative and we're able to to execute those before B lines anyway so you'd prefer more than 12 months to build 13 at least he felt good when he changed the slide to Co in July so the grounds look beautiful but I mean just the whole building SS beautiful thank you come

012together really well I I I think uh getting through that architectural punch uh on the outside of it will be an important item but there's not much to be seen they come together really well Lots color each hallway there's our gym they had the lines on it when I was out there today it's yes yeah it's fitting for an art teacher lots of geometric shaping it's good for math lessons too is the the canopy finished outside so we are missing some the canopy is built we're missing some soft panels okay um they had a a particular material that was giving them challenges but we should have those soft panels installed before school starts and the structures built we just have uh some soft panels that are that are lagging okay some very minimal items there

013there's a really good picture of the cafeteria once again lots of color corgan's got a a lot of color in this thing here's a standard classroom um so this is this is a good representation of what most of them look like currently the furniture installed another picture of our hallway with our collaboration space there underneath the the stairs there you are completed July 12 2024 that's when we got our final inspections from both Fire Marshall and U the the town congrats thank you you thank you great job excited so this is probably one that Jeff did not want to miss because most of tonight on the construction is really good news um but I would like to thank PO on their hard work on getting uh JRE completed this is I want to say the

014earliest we've been in a campus uh before school starts and it's going to be great for the staff to be able to move in and have everything there in time so we're really really happy about that um some other items of that we wanted to bring to your attention we have the Adaptive swings that have been installed at Hilltop and at West Elementary there's a picture of each one of them there so that brings all of our campuses up to where they all have the Adaptive swings cuz South um were installed when they were constructed and these are very important to our students with special needs so they'll have the option to have the swings available now so I'm very happy um and you'll see on West there were some additional swings there in the

015center and that's because when we built that playground we didn't have any swings at all so now every campus has swings and adaptive swings all right some updates um on our timelines on our current construction projects just to give you an idea the next couple slides are basically around dates and um why it's taking us so long on some of these projects and getting them going so as you'll see we started November 28th on the new Middle School um we received um revised approval in March 18th on the site plan on the Great only plans and this is just for grading um as of um earlier this week or I guess as of last Friday after this was already printed we received our third round of comments back so we will be in a fourth

016round of comments on just grading on this so that will'll go much beyond the 111 days the engineering on the Civil is at 76 days that started at the end of April um and we have the final plat and the building plans um submitt is ready when we get to that point the new stadium and indoor Activity Center um um the site plan on that was 136 days that was approved July 1st um our engineering plans were just submitted on the 10th um the final plant plot has been approved and the building plans had an early submitt on June 14th um and then some other updates another project out of our 22 Bond was some furniture refresh at Hilltop um Elementary in argal Middle School uh we plan on U being on Pace to bring

017those to you for information in November and possible action in December we're starting we'll do walkthroughs and starting to look at what furniture needs there are and and getting together some bid information for that um the hbac units at Hilltop Elementary that were um done out of construction as well those were the last three units from the 05 construction were placed over the summer um I believe you actually approved that last summer um but we wanted to wait until there was no one in the building since it would bring all the air down at that point so those have been installed and are up and running and ready to go for the school year to start can I ask you a quick question on the Middle School Furniture refresh when we're looking at that and

018we're bringing that information in November action in December we'll be looking at that in terms of that converting back to high school correct yes ma'am it will be in terms of what furniture will be needed there in the future okay um a lot of the middle school and high school size desk and tables are the same size but we do need to look at some of the specialty areas as for what it'll be in the future and what furniture we don't want to buy something that would only be used there for a year or two it needs to be for an ongoing you know our furniture lasts 15 to 20 years so thank you anything in the future right do you have any questions thank you thank you than you thank you it's all good

019news Dr carp all right for the superintendent report so we have obviously our students have been on summer vacation hopefully having lots of fun and lots of places um but we have a few things I want to start off with celebrating we are excited our principls will all be back next Monday so we have our Leadership Retreat half a day next Monday end it all day Tuesday and we have have another day with them on the 30th so we're looking forward to that kicking off our new year with them and then we also have the teacher of the year Regional announcements coming uh August 6 so we will I will get to go over with the campus principes and the two teachers of the Years Kim Navaro and Caroline Edwards as they are Regional nominees

020and so we will go to region 11 on August 6th and hopefully come home with a couple of regional winners I know they are very deserving of that so looking forward to that opportunity just some things that have been going on over the summer that I want to make make sure everyone is aware of at the end of June we sent out an email regarding uh Elementary and secondary staff I'm sorry student handbook updates most specifically addressing dress code and looking at dress code and having uniform um uh handbooks across case prease at 5 and then 612 um in that email to parents I'm going to repeat one of the lines we had at argal ISD we hold high standards for academic and extracurricular opportunities for our student students alongside these standards these high standards

021we also believe in maintaining high expectations for how we present ourselves at school each day as representatives of the Argy ISD school Community to support this our campus administrators have diligently worked to align the standards and expectations across the district we have looked at all of the dress codes for the last five or six years nothing has changed except we added one item students may not wear costume attire or accessories including not limited to collars Wings horns Tails or ears and schoolwide themed days or dress up days may allow for exceptions as determined by the campus principal so all of our dress code nothing has changed we are just reiterating it the expectations and enforcing it so I wanted to be very clear that we have not changed the dress code we added one item

022and uh the principles will be supported in um enforcing that dress code on our campuses so that's that about dress code um update to new web pages I mentioned this a little bit in June but we have a couple of these up and running so our dictation of public comments from board meetings with District response if necessary that is up and running we have our Public Information Act data processing page which is a repository of all of our open records and responsive documents that should be online in the next couple of weeks and then we are still finishing up records retention process website tea required postings our bullying harassment discrimination website and our Safety and Security page so lots lot of parent resources coming with that um and time for school to start also under

023the leadership of Miss Stewart our CFO we will be kicking off our district finance and operations Middle School and High School transition team this week and we'll include our directors from Athletics and Fine Arts so we can start our planning stages of transition to our two middle schools and our two high schools um in the next two to three years so looking forward to getting that process kicked off under her leadership and this last item just as far as a update due to ongoing vandalism and to be able to monitor light controls more efficiently is that correct Miss Stuart we will have new operational cameras um installed at the football stadium and our outdoor tennis basketball and volleyball areas at the middle school so we're working on getting those installed um for safety reasons as

024far as Community engagement our Eagle Ambassador cohort 2 process will be coming out in August we have changed this process um in a few ways and we're modeling it similar to Capel ISD so be on the lookout for those that information in August and then we will also be utilizing um some of our graduates in the first cohort to kick off our legislative advocacy so we have a lot of opportunities for Community coming up and then backed by popular demand on August 3rd is the eagle bash and so Mr Haron and his team have been working to get that off and running we have a lot of people involved in the eagle bash and look forward to a big event on that Saturday for all of our Eagle families um then finally just some upcoming

025dates we welcome our new teacher teachers and staff at new Eagle Academy starting August 1st the first day of school for all students is August I'm sorry Wednesday August 14th I think there's been some confusion that maybe some grades start different times but we all start on the 14th um this year we'll be implementing my superintendence Council so I have one for teachers and one for some students and we'll be communicating that with our staff um as the year gets started this is an important one homecoming is early this year if you haven't seen the football schedule homecoming is the second game of the season so we will be having our parade on September 4th and the homecoming game is s is Friday September 6th so it is early this year and then uh rounding

026out September will be the Jane rusman Elementary dedication ceremony on September 25th so a lot of exciting things coming up um we've had a lot of great work going on this summer and looking forward to kicking off a new year thank you you're welcome okay we have our spring Dem demographer report pres SLT members of the board Dr Carpenter hello it is a pleasure to be here tonight it's been a minute since I've been at this stand and uh I've missed you guys so it's good to see you again uh tonight I'm going to go through the demographic report we're going to talk a little bit about the economy we're look at where you've been and we're going to talk about some of the housing that's going on and what that looks like for enrollment

027in the future so we'll just jump right spread in economy continues to do well say you threw us a curve Hudson not not being here so but we're we're glad you're back well it's uh I don't mind filling in this is a group that I've always enjoyed coming to see so um but uh so economically uh things look really what great in Texas especially if you're comparing us to the rest of the country uh we do expect unemployment to remain right at that 4% over the next few years uh job growth continues in the Metroplex uh after you know things are kind of moving towards a a more uh you know a little bit slower but still a tremendous amount of job growth coming in the DFW Market over the next several years uh with

028that you know remaining in that three and a half to 4% unemployment and uh you I mean it's again it's a great time to be in in the DFW area looking at State enrollment overall uh this is a a heat map showing you where the you where we've seen a tremendous amount of additions and uh some losses across the state all of those kind of uh you know light brown areas you see in in there that's zero to 500 students and then you get into the greens where you're starting to see 500 to uh or one to I'm sorry losing students 0 to 500 then uh going down to the red losing a thousand students and then the darkest green is where you've gained over a thousand students and so you can definitely see uh

029the continuation of what's happened in the DFW Market over the last multiple years that you're starting to see some of these urban areas that are starting to lose students they're basically what's happening is uh they've matured out and so they're graduating more seniors than they're bringing in uh kindergarteners and so and there's no more housing in those areas to overcome that deficit and so when you look at you know Dallas ISD Fort Worth ISD a lot of those are starting to lose kids a lot of that has to do with that very factor is that they're just matured out and there's no more place for enough homes to be added to overcome the deficit of their large graduating classes they're also facing a lot more competition in those areas with Charter Schools uh now homeschool

030and and as well as some private schools in those areas as well one of the things I did want to point out and this was very interesting to us this year out in region 18 you see that big green Mark out there in region 18 that is Fort Stockton and I don't know if you've ever driven through Fort Stockton but you would think how how did they gain over a th students well they added a virtual campus this year uh that was recognized by the state and so they actually gained about 6,000 students and so the reason I wanted to bring that up uh is because it just as a demographer is very interesting and so when you look at that the the bar graph on the uh right side of that page you can

031see where you know you see the loss that we had during covid and then you see the gains that we've had and then this year your gains are much lower that 12,000 uh Mark and thinking about them adding 6,000 students to their campus well that means that traditional schools uh in including Charter School only gained about 6,000 students and so where are those students coming from well they're being siphoned out of other areas as you know virtual campus is now gaining some traction again along with a lot of homeschool uh things that are happening and that's everywhere it's not just in Texas it's everywhere uh but it was interesting to see Fort Stockton out there uh who's probably never been in the green before to grow that much in one year and so I thought

032i' point that out so virtual they don't they're not bound by anybody can go there yes that's right that's right so uh then you look at the fiveyear heat map of uh enrollment growth across regions 11 uh regions 10 uh you can see we've highlighted you guys in the red but you can definitely see this is just another marker of what we saw on the previous map the all these kind of mustard colored uh districts are losing students and then the the Ring of growth around there and it's continuing to move out farther and farther out as things continue to grow and then you're going to have uh you know in the near future you're going to see a lot of growth on the North side with Dennison up there with ti coming in and

033that's going to be probably 3,500 jobs that are added up there with the ti plant and then so that whole 75 Corridor is going to start growing like crazy as well so a lot of those districts that are now in the very light green are going to be in that heavier greens moving forward as that continues to grow you've got the housing market that has come through and you can see where we're in a much healthier position than we have been uh for a long time with our starts and closes right there at almost equilibrium we actually had a few more starts in the first quarter than we did uh in closes in the first quarter and part of that is you know that fight of affordability versus interest rates uh all those things are

034com of coming into play so the the raising of the interest rates is doing its job it's putting uh it's slowing down the number of uh closes a little bit it's kind of hampering out it's keeping the the price point at a at a level a More Level place but we are starting to really see some affordability struggles because not only as the price points continue to rise and now it's not rising at the same rate but it still is going up but we're also seeing those High interest rates so that combination of both of those things is making it really hard uh for younger families to afford houses so what is that doing here in arga well you can see uh you had 20 222 starts in the first quarter of 2024 which is

035one of the it is the highest number of starts you've had in the last eight years um and so when you look at you know that that's probably the highest number of first quarter starts you've ever had uh in the district and so when you go back and look look at what that you're starting to see some I guess these Builders are now gaining some confidence where prior to this uh the interest rates were scaring people away we do have some confirmation that interest rates are going to remain high through the rest of this year but they're looking at possibly getting some breaks uh toward the middle of next year and so that that alone plus the idea that people are just having to get used to this there's still a lot of demand there's

036still jobs here people are moving here so the net migration is housing that where people are still needing homes the demand is still high even with the higher interest rates uh and so when you see you know this is definitely a good Trend we believe that the the start the closes are going to follow as well that the builders are now having a little more confidence that that's going to continue to happen and some of these larger builders that are building the you know they're able to utilize their size and their their pocketbook uh and buy down some of those interest rates and make it a little better for some of these families to move in as well and when you look specifically at your uh different Elementary zones which you've added a new one

037since last time I was here uh and so when you look at the different Elementary zones your new school there uh with 528 starts in it obviously the reason why that you need that is right there because the most activity is in those in the area of the new Zone and so you've got 528 annual starts in that area 363 annual closes so it's number one across the board in activity all the way out to Futures uh but you can see you know argal South down there is going to be uh still has 6,000 Futures in it uh which is all that part of uh what used to be first Ranch um and so you've got all of that coming into play in the near future so here's the overview map you got 32 active

038building subdivisions right now uh 11 future subdivisions so the green ones are your active the yellow is your uh Futures uh you've got uh ground work underway on the next 200 Lots in three different subdivisions uh and right now you had only 11 uh lots that were delivered in the first quarter but a lot of that is you had a high number of lots sitting there until the builders were starting to feel better about starting and that's why you got that really high rate of start in that first quarter they're utilizing the lots that are already on the ground so let's look at a few of these we got Canyon Falls 1,200 total homes there only 166 Futures left so we're getting much much closer to buildout on the argal side of the subdivision uh

039989 homes occupied so you can see only about you know 200 homes there still left that are unoccupied uh and you've got you know 829 uh students that reside in Canyon Falls so your total student yield at the moment is about 084 so that's 84 students for every hundred homes inside the subdivision and so still a very high rate uh of student yield I know that's come down a little bit actually uh last time I I was here that was almost one I think in Canyon Falls and so it is starting to come down which I believe and and Hudson I discussed this quite a bit that that's going to continue to be the trend you're you're not going to hold on to these high level of uh you know student yield in these subdivisions

040forever so uh eventually those are going to start coming down and and as this one gets closer and closer to buildout you're going to see that to start slow down a little bit uh it's not going to slow down tremendous amount but it is going to slow down a little bit so there's you got uh Eagle Ridge 38 total Lots there 37 vacant develop Lots so this is just getting started uh I'm sure there's probably some uh homes on starting to be built there already it had one home under construction there's probably more than that now uh and so that those homes are going to be in the mid 300 so it's going to be a little higher density there than you've seen in some of the other areas you've got Harvest uh with almost

0412400 total homes there 188 future Lots still remain and that's up in that up that northeast corner is where that those those Futures are I know it's kind of difficult to you you think it's almost when you drive through there it looks completely like they're got all the Lots going but that's that northeast corner that still has a few Lots up there uh and so you know those are anywhere from 3 to 800 depending on which part of the uh subdivision you're in uh you've got 1645 uh students residing in that right now so that's that's still at a very high level that one almost 1.1 students per household but uh you know again eventually that's going to slow down as some of those students start to graduate uh and and right now with the

042interest rates a lot of those families got in there that three level 3.5 or four interest rate they're going to stay there uh probably for a while until they see some better interest rates um then you go on to the ridge uh Ridge at North Lake you've got 950 8 total Lots there still got almost 300 Futures with 156 vacant develop Lots with 97 homes under construction so they're in full gear right now Building Homes there uh you can see their student yields a little bit lower at 7 and uh again still very high compared to other districts around you so the average across the state right now is right about 05 or maybe even slightly lower uh than 0.5 and so you're still you know as a destination District as we've told you many

043many times before you're getting families moving here specifically uh for your school system and so that's leading to those higher yields that you're seeing I got a question for you about Harvest and just the data it's not a test and you can get me the answer later okay but I'm looking back at other reports and I and and I'm going through um just conversations I've had over the years that when Harvest came online it was going to be a 2500 uh lot community and then I heard that um it was so successful and they got ended up with some more density it was going to grow to 3200 and I've actually seen in some demography reports where it was estimated 3,200 lots and as late as 23 and then this year it's all the way

044down to 2365 and I'm just wondering what what from 23 when I was told it was 3125 to 25 for now it's 2365 I mean that's almost a th000 lots so a lot of that because it's a mixed use place that also might have included some multif family uh or some higher density stuff that is now that they now have decided not to move forward on uh I'll have to dig up and get exactly what that why that has changed um but I'd be interested to know to look back at the historical data that's been presented because I mean that's a big variable when you talk about almost 900 to a th000 lot difference and it's also possible too that they've converted some of that into some commercial property sure uh and so but I'd

045have to again I'd have to look back on and see exactly how that okay well anything you could give me I I know you didn't probably come with that information but anything you get me what what's causing that variation from one year to the next sure and and yeah I I'd like to know that too what it started out as originally like you're talking it was always I it was 2500 it grew 3200 because it was was an immensely successful Community rooftops were selling like crazy and and then this is the first time I've ever seen less than 2500 so also part of that might have been as well is that that might have been the total of uh this the entire subdivision which also bleeds into Northwest no this is AISD 3125 total Lots

046in AISD I'm reading on a z report okay I'll try I'll see if I can find out what the difference has been we'll get you an answer on that and get that back to you guys all right let's see all right next slide we want to all right Vintage Village 118 total Lots there 104 vacant developed Lots with 14 homes under construction so this is all you know just getting started these are 50ft lots and priced at 440s to 540s uh so still decent Siz Lots in here but not you know uh still not enormous Lots there uh first Ranch obviously uh this has gone through multiple iterations over the last several years um and uh so now Flower Mountain Ranch uh you know it's mixed use master plan approximately uh you know 4,500 single

047family in the in the whole when you combine all of this we did add some things to this uh as the hindes portion of this has come more into Focus uh and so that's kind of added that has uh when when you go back so this is kind of one of those areas too where uh it got reported a couple of different ways and part of that is because of what the information we were given from uh you know really the first family when they were really pushing this at the very beginning uh we were getting almost all of our information through them uh now the hind uh portion of this is coming more into into uh into view and uh so we're you know back to a little bit higher uh number I'm trying

048to remember if I think you put me that for me in the notes here somewhere um but uh it's going to be closer to you know 4,500 total single family I believe uh when when it all gets said and done um and so that so that is uh combining all of the both of those sections together uh but still you know tremendous amount of development still left to be done uh and uh you know we're getting ever closer to those all the time so um all that's being taken into consideration and all the work that we're doing here uh so up there first Ranch on the hind side uh looks like developer anticipates breaking ground in June uh and uh deliv their first slots in late two uh 2025 uh and so you're not going

049to have houses on the ground till at least the summer of 2025 probably into the fall of 2025 all right uh wansa so that's uh almost 1,200 total future Lots there with 713 of those being uh single family and 477 of those being Town Homes uh and so that zoning was approved back in May uh look to start groundwork in 2025 uh and anticipated uh having you know late 2026 to early 2027 first homes on the ground there's also 300 multif family units included in that uh in that particular subdivision is that in addition to is that included in that 1190 uh or is it maybe no it is not it's not it is not the town homes are but the multif family is not that is all single family all right so uh one

050of the things that we we included this slide mainly because we wanted to show uh kind of what's been happening in the multif Family Market in the DFW area and so uh you know when when you get there's a lot of talk about first Ranch and the number of uh multif family units that are there uh and so what's happened over the last several years in this uh housing boom that we've had you can see that uh you know right now if you look down uh and see the overall uh let's see occupancy rate actually it's up at the top 87.2% where if you just go back into 2022 it was up over uh 9 uh 2% and so the big difference in that is not that there's fewer renters as much as that we've

051added almost 37,000 multif family units to the market in that time period and so that's dramatically changed the occupancy rate and so right now we're way overstocked uh in comparison to where we were just a year ago uh in the multif Family Market and so that's what's bring that you know that occupancy rate way down it's really just the infusion of uh 37,000 units uh in that in that time frame with only about 10,000 of those being absorbed and so that's a significant amount of change in the market right there so there's a couple of thing a couple of multif family units that we're tracking right now obviously one of those is part of harvest uh and you've got 191 units that are under construction uh in uh as it I'm going to if I

052is it roosterman or roosterman rustman rust okay sorry I'm from New Bron Falls and that's rman so rman uh but uh so rustman uh and uh so you've got some construction right there uh but it's only 191 units right now under construction um and uh so that's part of that Harvest U multif family there and you've got another 450 multif family that are in uh still in the planning stages U Down in the southern part that are still in argal West and so uh when you look look at that 191 it's not going to have a tremendous amount of effect on the district probably you know 20 to 25 students that's what I would expect all right so now looking at our forecast uh you had this year your largest class in the district was

053your fourth grade class at 441 your second largest classes were your fifth and sixth grade that came in at 434 again this is all at snapshot date um and so we're always comparing snapshot to snapshot and uh then you look at you know you grew 412 students uh this year and next year we're expecting to grow about 427 uh students so we're expecting you basically be at the same pretty much same number of houses same type of growth that you saw this year moving into next year uh and uh as that you know as some of those classes continue to to move through the district you're going to see you know they're going to kind of create some waves as that 434 uh leaves sixth grade and heads into seventh grade uh you know hitting

054uh little higher numbers as far especially that fifth grade class hitting in sixth grade uh hitting at 488 you seem to have uh one of the interesting things that we're seeing in recent years is that we always have a usually almost always have a positive cohort from kindgarten of first grade and we still do that we're starting to see where uh starting to have some back some fusion back into public schools in that fifth and sixth grade level and so those cohorts are also starting to become higher than they used to be traditionally um and so that's why you're seeing that pretty good jump in those grades as well so uh looking specifically at uh the campuses you've got a Hilltop that's uh at 662 is going to be 769 next year and then uh

055hitting 750 out in 2627 uh this year obviously rusman is going to open next year with 600 students there hdden about 800 in 26 and over 900 in 27 uh at argal South you've got uh 956 right now and so they're going to be dancing in the streets over there at 781 uh but they're going to be back up to 900 again in 26 27 and over a th in 2728 uh and then at West you're at 960 again they're going to be uh in in Bliss as well at 636 next year hting 682 the foll year and then getting back up to close to 900 in 28 29 at the middle school and again this speaks to us not building anything new yeah right correct correct correct uh and uh so then you're at

056the Intermediate School you're uh or the actually it's going to be uh I guess the Middle School um oh it's the Sixth Grade Center sixth Sixth Grade Center 434 hitting 488 uh the following year uh getting up to 7:30 way out in 29:30 so you got a little bit of time there and then at the middle school you're at 8:39 hitting 9:29 next year getting over 1,200 in 2728 and then getting over 1400 out there in 28 29 at the high school you're at 1527 hitting over 1600 next year hitting over 1900 out in 2627 and getting over 2100 the following year in okay and so overall uh you grew 412 students this last year we're expecting pretty close to the same growth a little bit more than you saw this year not much uh

057and uh but you did have one of the highest first quarters in housing that we've seen in quite a while um and uh new home closes have remained strong as they have been uh even through some of the other areas haven't uh the district's about got about aund uh or I'm sorry 1,00 lots currently available and so you've got plenty of lots to build on they put 200 more uh under development but right now you're in good shape as far as lot numbers and uh so we're expecting you to hit about 88,200 students when you hit 28 29 and over 11,000 students when you get out to 33 34 all right and that's my report tonight any questions other than the numbers on Harvest and we also are up to 118 120 on temporary transfers

058as of right now and we didn't have any of those last year at this time so yeah I I got a few questions um other than Harvest so this is my understanding this is the first year since Liz has been here that we didn't hit the projections the demographer projections from the prior year and based on what we budgeted based on what yall providing what's your um assessment I mean why do you think that occurred so there are a couple of things uh that have come about one is uh the overall District yield has dropped pretty significantly um and uh so that's one factor that you know and when you look at the you know obviously Harvest and you look at Canyon Falls with the so such extremely high yield numbers uh the other areas

059of the district are not seeing that that same type of yield and so that's one of the factors that's come into play uh one of the other factors is was the transfer rates that you saw this year uh you did have a net uh decrease of almost 100 students in transfers in and transfers out so he had a few more he had like 30 more transfers out and about 60 less transfers in this past school year so did you see you saw actually more people leaving the district last year than you historically had seen in previous years correct but only about 30 kids so was not a huge it's like I want to say it's over 200 uh have here yep it so uh this last year so for 2023 22 23 school year you

060had 237 students that transferred out of that lived in the district transferred to somewhere else in uh 23 24 you had 267 so that's that 30 that's the 30 kid swing there and then at the uh transfers in you went from 228 down to 165 so that's the 60 uh difference there and so some of that may have been the temporary transfers that you didn't get last year um you know didn't come into play uh this year the I mean what I see when I look back at the prior reports we were getting we were projecting a um 14% growth or 15% growth in this particular year that we're finishing out sure and it's coming in at 8.3% so that I mean that's the first year when I look that looks like you know Z

061was off right um in in many years and sure and is that a product of the economy because here's I'm having a hard time reconing just saying but we're we're seeing record housing starts at the same time so I'm going how did my how did the projections Miss by 6% for you know so you did we are seeing some record housing starts for the first quarter okay right so that's just one portion of uh what we're seeing um and then but when you look at where you've been you were hit at 2021 you're at 962 homes uh started and then 2022 went down to 575 and last year down I mean sorry 757 and then in 23 you're down to 718 and so when you look back to the previous years where we were you

062know that was also prior to the uh interest rate hikes I mean there's a lot of things that have developed in that time period that have changed that and uh and so that's one of the factors I'm not saying it's the factor that but it's significant when you look at where the trajectory you went from 2020 with 430 uh starts to 962 starts and it looked like at that point because of where interest rates were and because everything was BL it looked like we were going to continue on that trajectory and so uh with the changes in the economy and the changes in the interest rates that has dramatically changed the number of homes that are even able to be you know built at one time in the district and so that's the difference moving

063forward as well is that you're not going to see you know you're likely not going to see a thousand home starts um in anytime you've got Canyon Falls almost built out you got Harvest almost built out really in the in the grand scheme of things right those were your two biggest uh workhorses and so as those begin to get to the end of theirs and there's not really since first Ranch hasn't really gotten really going yet there's going to be a gap where you're not going to see uh those kind of housing starts for a little bit that gap's only going to be next this school year yeah it's not going to be long just a couple years yeah maybe a year maybe two I think like Josh said I mean the years that I've

064been here you guys have been really pretty accurate and I think this year like you said and Josh was alluding to the economy and transfers in transfers out just kind of all hit at once but that I mean that's the first time since I've been here that you guys have missed per se do do you feel like this is comparable to other fast growth districts that you work with so we have SE I will just be transparent it's been more and more difficult to be uh to predict enrollment and there's other factors involved in that as two um one of those is Fort Stockton uh you know and so there are some other factors there's also a tremendous amount of growth at The Homeschool level and so that's a factor that we can't even track

065um because our because state of Texas doesn't doesn't give us a way to keep track of it only track those that are in public or private yeah I mean public or Charter yeah so when you throw in and you guys have discussed some of this tonight uh when you throw in the factors that are keeping some families from feeling comfortable in public school settings you throw all of those the I mean this is the craziest political season of of my lifetime um and so when you look at all of those factors uh that's that's one of the factors that's given homeschool such a tremendous amount of traction uh also because people are now have a lot more um I would say you know work from anywhere jobs they can do all these things now they're

066bringing their kids home and they're uh you know they're homeschooling because they their home and they can they can manage it um and if they want to go to Colorado for a month they can go do that uh you know so I mean the Millennials have a tremendous amount of uh flexibility and experience type of uh that they're wanting to provide for their kids and that's kind of one of the things that's driving it's not the same Homeschool Group that we that was around when I was when I was young uh which tended to be religious or uh very Ultra conservative uh that that's still out there but there is a lot of attraction to that and then you throw in uh some of the things that are happening in public school and then you

067throw in what's happening in the state of Texas around with you know are we going to have vouchers are we you know there's a there's a lot of limbo uh in the public eye well Tren I I I mean listen I I think it's a ter it's a very difficult job y'all have in this prediction business and anytime you're in the prediction business you're right for being wrong yep that's right um and y'all been remarkably accurate it's just that when I look at these numbers you know when I and I think about the information you give us it's just so critical it's so vital to what we do on a year-to-year basis in terms of budgeting and then also from a long range planning standpoint and so you know it's for me it's important to

068not only you know look at what's in front of me but to also Look Backwards and go okay how is this ratting up and you know how much weight can I put on what you're what you're saying and and and and some of it is to me it's exactly what you said I mean there is a not only a there's a pol iCal appetite to to direct funding away from public school which is going to you know send more kids out and is that built in your numbers in any way that you're accounting for that so there may be vouchers and there may be we're I mean the whole idea the the whole voucher thing is is is a little bit of a wait and see now we have kind of pulled back and we're

069being a lot more conservative than we maybe we have in the past okay um because of that um but it's not I wouldn't say that it's it's a Target like we're not while we're doing we're not going to okay we got to adjust for this but it is in our mind about yeah this we got to really watch because there's a lot of different factors that are now coming into play that used to just not be there U and so for sure uh we are kind of pulling a little bit back because of the economy because of the interest rates and because of the political environment we are kind of pulling back uh and being a lot more conservative than we have in the past yeah um and I think as a public school one

070of your takeaways maybe need to be that you need to look at why maybe people are looking at Alternatives yep and and look at those Alternatives that are being offered and say how can I you know what can Public School do to replicate some of that to bring some of those kids back into public school and and and away from the home school or away from the charter school or the private school and I think it would be wise of a public school to start looking at what's working in those other models and not working at the public school and and try to replicate some of that I agree for me I would like to know about the Harvest stuff though because to me that's the biggest takeaway is you know last year I think

071it was last year y'all do this once or twice a year but is I the last time I remember having a conversation about Harvest we were sitting there saying oh it's only about 50% built out and then now I'm hearing it's almost built out it's a lot big big difference right so I'll definitely make sure we get that information back thank you put that anyone else any other questions thank you all right appreciate it thank you information thank you we taking action well she she's about to budget actually sorry all right um so this is just an update on our 24 25 budget process um I remember we've been talking about this since January so um you don't have the complete detail in all of these slides and all of this information but um it

072is just more of an update on where we're at uh versus uh where we were the last time we talked about this it's okay um we can go from here is that okay all right so there's just some uh history on here some things that we talked about in our workshops basically how we got here um take the chance against to say you know we're 42nd in um the country and per people state public education funding um reminder that the state had a record Surplus this year um everyone expected that there were going to be some changes to the school funding formula um that did not happen there's not been an increase since 2019 in the state funding formula uh despite that record inflation that we've all seen you know everything costs more now uh

073but our funding per student is the same um I know I think we've gone over that multiple times so move on from that uh just a reminder of kind of why we wanted to start talking about this so early this past year uh we were looking at general fund Revenue being stagnant for next year and then if you um go down to the next one you'll see if we continued operating the way we were with um additional students opening new campus our expenses would have grown and we were going to have um a $4.6 million uh budget deficit and that's on the next slide thank you so that was 8% of our budget so we went through all of our workshops went through our um you know all the difficult conversations some hard looks of

074what we could do what we uh what what changes we could make and so um if you'll look at we worked through the spr will really it was a late um late winter and all the way through the fall and early summer and we work that down to $4.2 million reduction on that 4.6 so we were at uh brought us down to a $400,000 budget deficit um and again a lot of that involved some very very difficult conversations some changes of how we've had to do things in the past some um thinking outside of the box Bo on some Revenue ideas um but that's where we got to as of uh as of July as far as our projected savings um but then in addition to that we need to talk about our compensation plan

075for next year and through discussions with that the board approved um the compensation plann um in two parts for next year the first part was the one- time payment um paid in two payments we had the $50 a month increase to our health insurance contribution and our bus driver salary hourly adjustments and all of that was to be paid for out of our fund balance for 890,000 um and then a second uh set to that Compensation Plan the midyear pay Compensation Plan depended upon the passage of a Vader of 885,000 so if the board does um actually call a Vader and the Vader does pass then that pay plan goes into effect um and just one point to make on that the passage of Vader would fund would really fund both of those it would

076fund the one time and it would fund the the um 2% pay increase but the 2% pay increase would be a reoccurring cost so we just pay the first round back to fund balance yes all right so tax rate information again that brings up the Vader and the Vader is a discussion topic later on in this agenda so we'll go into more detail on that in at a a different point but just for some general um it requires approval of the voters um our M rates remain the same or declin since 2013 and our last here was in 2012 um the reasons would be access to additional funding and it would be estimated at two $2.5 million the timeline if you'll remember the board approved um an auditor for uh the efficiency audit audit that's

077required um and then the last date would be August 19th which is our next regular school board meeting to call the election um within 3 months of selecting the auditor the audit has to be complete and then we've got to hold an open meeting to discuss and post the audit results with them the website no later than 30 days before the Vader so we're still working on all of those tax will values you typically see this chart during the budget process each year in the blue you'll see preliminary values and that's what we receive from the appraisal district um in the end of April every year and of course as that settles before it gets to um certified values in July of course that always comes down some so the red is what you see

078as the final certified values I mean you'll notice a little bit bigger jump in the blue and the red and the 23 24 and in April we were um had different uh rules that we were dealing with when we got the red values in the certified so the certifi actually had $100,000 um exemption on there um and so you'll see a little bit bigger drop in that and then this year our blue is actually known that was in April but the um we change color a little bit that anything with the color change is estimated on there so that pink there is what we estimate that to come in at the end of July and some tax rate history here um the green is your ins rate the blue is the m rate and the

079red is the total tax rate and you'll notice that line is trending downward and has been um reminder that we did decrease a tax rate by over 18 cents um last year um and then that is the estimated tax rates potentially in 2425 should the board call a Vader that would be what the tax rate would be um M at 7869 Ins at 50 cents for a total tax rate of 1.28 69 another large um part of our budget and our estimating as y'all just heard from our demographic data is enrollment and attendance we rely heavily on that data to project our budget and our Revenue that comes in um we use the fall demographic report I did check the spring numbers to make sure they are still the same we didn't have to make

080a big adjustment or anything we uh estimate between 95 and 96 attendance rate and we're looking at it 5,52 Ada for next year and we used historical Trends on the special population data but estimated revenues are dependent on that estimated Ada which we derive from the demographers estimates of enrollment and I think it's also important just to plug this in here is that we staff on enrollment numbers but we're paid on student attendance rates that is correct yes and just one more plug on that we were the last uh states to actually pay on attendance I think we've talked about with that quite a bit but we are um not enough yep so where does this leave us um it's just kind of a an overall recap um comparing the amended budget the most recent

081amended budget from 2324 to the preliminary budget of 2425 this is just your big picture you see your student enrollment your estimated taxable property value again that number on 2425 is going to change as soon as we get our certifi um the M rate there and the ins rate you'll need notice that in rate staying at 50 c um the overall projected revenue and expenditures and we are at a 1.29 million deficit for next year and just like I said a few minutes ago we'd work that down to$ 400,000 but then we did have a staff Compensation Plan that we approved in there which was um much needed for our staff and so that brings us to 1.29 so that's where we sit today um and then also gave you a little bit of fund

082balance information um operating months where we're at this year versus where we might be at next year 2.8 versus 2.4 and that will change as we get our final numbers in we'll update that for you then you want to look at our interest in syncing fund um again we're using our estimated taxable property value Dr MC had a question sorry back on that last slide ra um the student enrollment you have 5805 but on the other one you had 5502 5502 would be our um Ada our average daily attendance and then this one is actually enrollment here got that was a good catch though two different slides with two different sets of information um okay our interest in syncing fund again we're estimating that that stay at 50 cents for next year um total revenue

083going from 24 million up to 29 A5 and total expenditures um being the same at 29 half for a balanced budget um that this is a good picture of a fund balance your months decreasing while your fund balance could remain the same so as your budget grows if your fun and balance is stagnant then your percentage of fun balance is decreasing that's just a little bit of a reminder there um and then we also take a look at our student nutrition fund um so that one we based off of sales and expend you know food cost and Personnel cost we had a deficit this year and that was for some um equipment purchases that was known ahead of time we all agreed on we're expecting a balanced budget uh moving forward on that and this

084just a recap of our timeline um where we started what all we've worked through and what we still have to go and our next um action will be at the August meeting um we'll have our um public hearing um and then we'll present our budget for approval and our tax rate for approval do you have any other questions on that all right thank you thank you thank you thank you yes sir okay as I mentioned that um the Vader information would be on this as information so here's what we'll go into the Vader a little bit um more in depth that's fine all right so this the same information we looked at just a minute ago um you know it does require approval by voters there's only one time uh during the year that that

085can happen and that's in November um I believe in law it does say that it could be at either general election which would be November or may but based on some other things that are required for a Vader it can only happen in November because of when you set your tax rate so we are restricted to November on that um and again a reason for doing that would be additional funding for the district um estimated at $2.5 million timeline we uh talked about um we have started working with our auditor on that efficiency audit and that will be moving through the process over the next few weeks and and couple of months um and then August 19th again is our last day to call the election that would be for any election for the November

0865th um general election so we've completed the section of auditor um we still have those timelines there so that means that September 17th because it was three months after selection not three months after calling the Vader but 3 months after selection um that report would need to be final post our results by October 5th and hold a public meeting to discuss the results before November 5th so um some different information because I know there's um you know when you're asking people to raise the tax rate a little bit there's always questions and there's information that needs to be provided um so in 2012 I mentioned that that was the last time that we asked for at that time was called a TR and not avater um the law has not changed since that point in

087time there's 17 pennies that districts have the local option to ask their voters for at in 2012 the district felt like 10 10 pennies was all that we needed to operate efficieny so we didn't ask for the full 17 at that time we have operated on those 10 pennies and in 2019 those 10 penni got compressed to 9.3 um but we've operated on that since then at this point in time is when we feel like is a right time to ask for those additional 7.7 pennies to move forward um we talked quite a bit in our budget workshops about we can't wait on the State anymore to take action you know if you had asked anybody in the school Finance world we would have told you this past spring we would have had you know

088action there in the last legislative session that there would have been a funding bill and and we I said last spring sorry two Springs ago and that we would have had um a school Finance fix for public schools in Texas and that didn't happen even though they had record uh record Surplus so we've talked over and over about the fact that we can't wait any longer we can't depend on the state for that to happen well in our timelines when we look at November being our only time to make take that action that action is nailed for us so if we choose not to do that this at this point in time then the next time that we would have the ability to discuss that would be the next summer moving into August to call

089that and possibly for that next November um so that's why we're looking at the time now um through this budget process I know y'all again I said difficult conversations we have cut down to the barebone in a lot of areas um we can sustain those cuts right now but moving forward as we grow there's some areas that really need attention and um you know the curriculum instruction in that needs attention we've really cut deep in there and in order to operate efficieny efficiently and effectively we need to look at regrowing that there are items that will be needed for this District to be excellent moving forward in many many areas so when we talk about that this is for the pay raise and pay plan we talked about it is for for our district moving

090forward as a whole um because again we we can operate like this for only so long before you're going to start to see the effects of our barebone um cuts down that we did um when we looked at some of the legislation that was proposed we'll go back to waiting on the state again for a minute here some of that was only $50 to the increase to the basic allotment a $50 increase to the basic allotment will not solve this District's financial problems okay when it's not going to solve any District out there when you look at what that would do for any District they need substantial increase and they got nowhere close I'm talking about a substantial increase I mean you're talking at $1,000 dollar for basic allotment increase become substantial to what has

091happened to our inflation and the lack of action since 2019 and again I want to bring all this into play of not waiting on the state and if you say you know hey we still want to wait on state we're going to give it one more year you know that has to be substantial so when they come back into session if they're not talking about a $1,000 increase in the basic allotment that's not substantial to our district or any other District in looking at this um inflation that we've had over the time and maintaining the cost that we have to have to run schools we're also looking you know hearing the philosophy that you haven't gone all the way you haven't you haven't exercised all of your pennies yet I mean that's the message we're

092getting as well from even our legislators in the state level is they're putting that back on the districts to exercise their pennies at the local level that is they're basically saying have you asked your local community to support your local school district you come to before you come to the state that is correct we've made a property tax decrease for you so therefore you can go to your community and ask them to increase your taxes like and I want to say I mean you glossed over this maybe but I mean really what you've said is is that back in 2012 or 13 you went and asked for the Community for 10 pennies and you under you know your financial leadership and stewardship you've managed this District by only asking this community to commit to 10

093pennies of the 17 that you were authorized that's correct we've done I mean that doesn't need to be just glossed over and now you're saying okay look I mean as cost of operations of salaries have gone up and utilities have gone up and the you know we need to go back to the community and ask for the seven pennies because the state funding has been flat well what was your budget in 2013 oh I'd have to go back and look that up but it was probably around 26 million something along those lines right so it's doubled and you've managed you doubled it on 10 pennies that is correct so I I just and and and what I I think you're kind of insinuating is that even if if some of those bills had passed in

094the last legislative session or special sessions we very likely could still be here asking for would definitively I think there might have been one bill that never even made it out of committee that might have prevented this but everything I saw that came that the Senate passed was $50 y it just wasn't it wasn't going to happen and right now the the request for seven pennies is kind of a a life-saving measure to get us to the next legislative session where we're still hoping that our legis ators do the right thing but they're but they're I mean I'm telling you when you look at nine out of the 10 bills it was insufficient right you know I mean so you I mean to sit there and say legisl they're going to pass some Bill that's

095going to really just give you to give us the $1,000 per student allotment that we really need it's just a pipe drink it's poor planning it is and as you pointed out they've passed the um mot tax compression that um has happened throughout throughout the state but then they turn around to us and say hey but you you haven't asked for all your pennies so why are you coming and talking to me so we're the ones having to ask for the tax increase um and not at the state level but just to go over a little bit more history on that since 2021 and I'm using that year because that was our five years on here on the chart we've decreased the total tax rate uh 13.18 uh Pennies on the M side of that

096we've decreased it 14.68% 18 and 12 pennies were decreased last year alone okay that that um is a significant decrease in the tax rate on the M side so um just to give you an idea and we'll put this information out there for the public um as we go through this if the board chooses to call the Vader in August then we'll get all the information out there of what it would do for an individual and every individual always wants to know you know what does that mean for me and for my personal you know property taxes so for $100,000 value because I'm giving you that number because you can take that and and put that in increments on anything that you have it's $77 a year and to give you an idea um on

097that $100,000 on our tax decrease last year was $185 decrease um in some change but just to kind of give you a comparison there of the two different years um and that's really all I had about the Vader for right now good you have more questions yeah sorry it's a good point to end on there you go all right thank you thank you thank you never mind I'm going to talk to you a little bit longer thought that was an intentional pause yeah just intentional um okay I believe the next one is the budget amendment so um we always have a final budget minute in August this one gives you a little bit of a sample of what that budget amendment may look like these numbers are going to change as we um as we

098really look at our estimates for year end um you can see here we're still bringing down our property taxes um one thing I want to note that the second if you look at the second line on there that prior year taxes we are in the negative on that this year and that has to do with um the over 65 when it went from the refunds that are now being given um and it's it's it's a good thing for for over 65 and for our Frozen taxpayers but it happened with all the tax reform um and when we came in and when we went from 100,000 from 40,000 to 100,000 on the exemption they went back and gave the um exemption from 25 to 40 on the over 65 because that was not written into law

099originally years ago when that happened so we're seeing a lot of refunds there um it's worked into the formula you know so that you don't lose that money overall is what we keep getting told it's hard to pinpoint that as a line item on the state funding formula but we're still looking at that and trying to make sure it's there but all in all that's why our prior year taxes are coming in and it'll actually be a little bit in the negative when we end the year um we are bringing up our state funding estimates a little bit there um but overall it's a $200,000 decrease to revenue and then on expenses the most that I have right now for you is that we can decrease our expenses in instruction by about 200,000 we're still

100working on our IND year payroll estimates for our acrs where we acrew our salaries for the days that everybody comes in and works this year but it's actually pay for next year so that that will change those numbers as we come back to you in August but at least wanted to give you an idea of the budget amendment to start with well it's great I mean they yeah it's great to have that exemption over 65 but it sure makes it hard from a budgeting standpoint when they when they CH it would be really nice if you could see the line on them or state funding that says dollar for dollar where you're getting that credit but um some of it's in the formula some of it may have a line item it's it they made

101it difficult to track yeah I mean you built a budget not knowing they were going to raiseed the homestead exemption from 40 to 100,000 is that I mean and then they raised it and then yes so if um if you went back to our original um if you looked at our reports from the um tax office every year our tax levy increases slightly throughout the year this is a first year and I can go back for however many years and find that it's decreased inreased and it's decreased over $3 million and I'm not saying that's a bad thing it's a great it was a great thing for our taxpayers um we just want to make sure that we are recouping that on the state side and that everything that we're owed is is uh in

102that funding formula somewhere but it has made it a little bit difficult this year on looking at Trends and and history and patterns um we've kind of broke those patterns this year a little bit um and so it's taking a little bit more to get those estimates together and to make sure that we're accurately reporting that any other question questions right thank you thank you thanks are you doing student nutrition oh yes I was looking for Tommy okay so the student nutrition um Mr leer talked to you about this last month um every year we have a template a tool that we use to that we have to come up with our prices to make sure that we're charging enough um at our campuses that are on the program which would be our elementary campuses

103and based on that tool we need to increase our prices by 15 cents for breakfast and 15 cents for lunch of Elementary we are also suggesting some um increases at our secondary campuses and that's to make sure that we're bringing enough Revenue to offset our cost you know food cost labor all of that's gone up um so it's at the Sixth Grade Center there's no increase for breakfast it's 25 for lunch at the high school um oh sorry that was sixth grade in Middle at the high school uh there's no increase for breakfast but your homegrown and Chef's Table is a 25c increase and the market made to order Del is a 50cent increase and those would be the recommended prices for the 2425 school year we didn't make any changes from last month right

104that's correct okay I'll entertain a motion to approve action 9 10A is presented Mr Hawksworth motion to approve to have a second second Mr westom second all in favor say I I I any oppos right okay and I really am on the end right now okay all right the next item uh you saw last month it's your board operating procedures so uh we have not made any changes based on any recommendation recommendations so those are up for your consideration and approval I'll a motion to approve action item 10B is presented so moved Mr Matthew Slayton motion to approve to have a second second Mr Russ second any further discussion all in favor say I I any opposed right thank you we'll get those updated on the website okay this is the student con um student

105code of conduct that you saw last month um it's the same as it was last month and last month was information only tonight it's for um action this does not include the um the dress code details those are included in the student handbooks which are um it's not board approved it's um regulations regulations that are follow that are followed up through by the um campus principles okay does anyone have any questions right I'll entertain a motion to approve action item 10 C is presented motion to approve Mr W from motion to approve to have a second second yeah Mr Matthews L with a second any further discussion all in favor say I I I any opposed thank you okay I will introduce this topic and then as it is a board resolution let yall discuss

106um and as far as adoption of that uh Title Nine has historically served as a Cornerstone in the protection of students from discrimination based on sex and educational programs and activities receiving federal financial assistance and has sought to eliminate discrimination against women in education and provide men and women with equal educational opportunities as you can see there um on the screen there's been some recent changes announced by the Biden Administration the Title Nine regs um set to take effect August 1st which is quickly approaching significantly altering the existing framework and potentially undermining the rights and protections of students as afforded by the statute we had some movement in Texas starting on April 29th with our governor um again with attorney general Paxton and then on June 11th attorney general Paxton SU sucessfully stopped the implementation

107of Rules by the Biden administration department of Ed that would have forced Texas schools to adopt the radical transgender policies in violation of state and federal law we have also had guidance from tea and Governor Abbott and so what this resolution does is allows us as a district and you as a board to make sure our students know that they will be safe and protected from any attempt attempted elimination of safe and private spaces for girls um and to the extreme government overreach that is not tolerated um in this District so this gives us an opportunity to have that discussion you as a board to consider adopting that resolution um just for note Texas has had law since 2021 and UIL enforces the law for athletes that must play on teams based on their sex

108at Birth on their birth certificate close to or at Birth so we have already had some of these things in place um and working through those uh at at the district level based on our state guidelines any comments seem straightforward very straight forward someone to read it yep uh Mr Matthew Slayton would you like to love to read our resolution we pull it up for you I was going say as you'll notice attached to the resolution are some other uh documents responsive documents and those are letters that our legislators that serve our district have been have had signatures on so um those are also attached for anyone would like to review those you don't have to read all 17 Pages no I would love to all right do I need to read the title up

109there okay argal Independent School District Board of Trustees resolution denouncing changes to Title Nine whereas on April 19th 2024 the United States Department of Education and executive branch agency announce unilateral and substantive excuse me substantive I can't even talk amendments to Title 9 without legislative Authority and whereas Title 9 enacted by Congress in 1972 provides that no person in the United States shall on the basis of sex be excluded from participation in be denied the benefits of or be subjected to discrimination under any education program or activity receiving federal financial assistance 20 USC 1681 a and whereas on the basis of sex in Title 9 is referring to biological sex which is an immutable characteristic that cannot be changed fluid or altered and whereas the proposed changes to Title 9 redefine sex to include gender

110identity which will cause immeasurable harm to women and girls by stripping them of their legal protections Title 9 was intended to afford them and whereas these changes will force schools to allow biological males to use their restrooms locker rooms and other sex specific spaces and schools that refuse will risk losing federal education funding and whereas there are physical differences between biological males and biological females these differences do not disappear because an individual wills it to be so and so allowing biological males into female specific spaces poses not only a safety risk to girls and women but sends a chilling message to Future generations of girls and undermines their efforts and achievements and whereas on April 19th 2024 Texas governor Greg Abbott sent a letter to the president of the United States stating the president has

111exceeded his constitutional Authority in rewriting certain aspects of Title 9 and instructed the Texas Education Agency to ignore these changes and whereas on April 29th 2024 Texas Attorney General can Paxton suit to stop an unlawful Federal rule issued by the Biden Administration that destroys protections for women in educational institutions by mandating compliance with radical gender ideology whereas on May 10th 2024 Texas state representatives ly Stucky HD 64 Konda timsh hd65 Richard Hayes HD 57 Ben Bumgarner HD 63 and Mitch little nominee for house District 65 signed a joint statement with 71 other Texas state representatives and 14 other nominees demanding the Biden Administration reconsider their rewrite of Title 9 and whereas on June 11th 2024 attorney general Paxton successfully stopped the implementation of Rules by the Biden administration's Department of Education that would have Force

112Texas schools to adopt radical transgender policies in violation of state and federal law whereas The argal Independent School District AISD is committed to providing a safe and secure learning environment for all students and whereas Title 9 of the education amendments Act of 1972 has historically served as a Cornerstone in the protection of students from discrimination based on sex in educational programs and activities receiving federal financial assistance and whereas recent changes announced by the Biden Administration to Title 9 regulations are set set to take effect on August 1st 2024 significantly altering the existing framework and potentially undermining the rights and protections of students and whereas these changes May introduce confusion and ambiguity regarding the implementation and enforcement of Title 9 potentially jeopardizing the safety and well-being of students in our district and whereas the AISD Board

113of Trustees is dedicated to upholding the principles of fairness equality and accountability in all aspects of Education now let it be hereby resolved that the AISD Board of Trustees denounces the recent changes to Title 9 regulations proposed by the Biden Administration expressing deep concern over the potential negative impact on our students and community and that the AISD Board of Trustees urges the Biden Administration to reconsider these changes and engage in meaningful dialogue with stakeholders in including Educators administrators parents and students to ensure that any modifications to Title 9 uphold the fundamental rights and protections of all students and that the AISD Board of Trustees reaffirms its commitment to maintaining a safe and secure learning environment for all students free from discrimination harassment and violence that copies of this resolution be transmitted to tea commissioner morath

114the Texas state board of education and other relevant stakeholders to underscore the importance of this matter to the AISD community and seek support for our efforts to ensure these changes are challenged at the highest levels thank you Mr slon Mr Heron will you roll up just a second I want to go back to two things right here so there's two places on there and I want to make sure everyone hears us very clear we have board policies ffi and ffh those are robust multi-step processes that our campuses have to protect any student from bullying harassment discrimination so we have processes in place that do that and so I wanted to make sure everybody heard that because that's what our campuses use in order to protect all of our students um and so I wanted to

115make sure I said that the other thing I want to make sure I share is that on the on the Doe's fact sheet their actual language um the final regulations if you haven't read these the way they've written them the final regulations clarify that a school must not separate or treat people differently based on sex in a manner that subjects them to more than Dom minimum harm except in limited circumstances permitted by Title 9 the final regulations further recognize that preventing someone for participating in school including in sex separate activities consistent with their gender identity causes that person more than to Minimus harm that's why this is extremely important to this District because that those regulations right there um do not protect our police I appreciate you adding that providing that cuz I can't say

116that I compared the regulations to that detail so that that is concerning language that's contained in there do you want Rick to scroll through any of the other letters or is that I think if you'll yeah if you don't mind just kind of make sure everyone sees the attachments we have the letters that the state legislatur sent to uh President Biden so you'll see that there it also has all of the signatures highlighted would be those those that serve our district as far as state representatives there's also a letter to Governor Abbott supporting him and his efforts um in in this endeavor and then there's also a copy of the actual advisory on the application of it from uh attorney general Paxton's lawsuit so there's several documents here that we've been using in our research

117um in preparing recommended resolutions and also preparing recommended policy okay all right I'll entertain a motion to approve action item 10 d as presented so Mrs Le and Arthur with a motion to approve to have a second second Mr Hawksworth with a second any further discussion all in favor say I I I any opposed all right thank you thank you this is um policy update 123 and other localized policy changes um talked a little bit about the updates in update 123 um last month there were two additions one was fa local can you pull up the presentation and the other was Co local um fa local addresses you just want the presentation don't you do you want the presentation or the policy sorry a second one there you go just go the keep going one

118more one more last page yeah these were the ones that were added these were not presented last month um fa local um is regarding parental rights and responsibilities it's um being updated to reflect our current practices in regard to pronouns um which we've had in place since 2002 um 12 but wasn't policy so we're putting it in policy then Co local Liz yes this is a change on polic to reflect what we want to put in practice uh for this upcoming year um from unlimited meal charging to um Li to up to 10 breakfast and 10 lunches um charging and that will help our student nutrition um better manage the in balances so again both of these are um were practices that were already in place and they're just being put into policy and if

119you don't if you don't mind me adding to to um talking about the fa fa actually talks about parental rights it talks about facilities and it talks about pronouns um one of the things that's in the application advisory on the application of the Ken Paxton lawsuit um that I think you know we all we all recognize and we want to be clear that we recognize our our relationship with our parents and we understand our parental rights in this District um and I think one of the things that really hit home in in when looking at the The Advisory of application our state's law is clear Texas parents have a fundamental right to make decisions concerning the care custody and control of their child Public Schools may not withhold critical information about a child from the

120child's parents and public schools must obtain parental written consent prior to exposing children to sexual topics Texas law does not provide for any confidentiality in a teacher or staff student relationship or provide any basis for educators to withhold information from parents under the guise of confidentiality so in other words secret relationships between Public School staff and students are not permitted in Texas law as Texas recognize that such relationships are recipe for abuse to the contrary we owe a duty of cander to our parents regarding the topics discussed with our children and children should not be exposed to members of the opposite sex in private spaces as the title nine revisions would require so I think that's very important because when you talk about this policy fa local it's under fa legal parent rights and responsibilities

121but it goes into describing how we will work with parents in their parental Authority the safeguards that we put in into place regarding um our restrooms and our locker spaces also our facilities and then as well as the pronouns and making sure that our parents are involved in those processes and so Mr Daniel will be working with the campuses um to provide the uh solution or the process if you will for obtaining written consent from any parent that wants to allow their student um to use a different name or different or gender pronoun Etc so those things will be allowed with parent consent um but it will be in policy so that um we have that to back up the expectations and what the law is stating so thank you for bringing that again the

122practice isn't changing correct practice in fact the practice has been in place since August of 22 and so it's just putting that into policy okay I a motion to approve action item 10e is presented so moved Mr Hawksworth motion to approve a second second Mrs lean artho with second any further discussion all in favor say I I I any opposed thank you thank you last item last item last item Julie with the good news have good news I'm here on a yeah I guess after some good market news as if I control it unfortunately I don't but if you did you wouldn't be here yeah yes if I did I would not be here this is true good evening uh Dr Carpenter and board members thank you for allowing me to join you again and

123um we are here to speak about um the order before the district regarding um uh you know an issue an order authorizing the issuance of unlimited tech school building bonds and um I'm back to give you a little bit of an update um regarding the market and right now what is the preliminary plan of Finance on that um series of bonds so um this is an update this presentation is an update from the July meeting the order that is really the action item that you all are approving is the same order nothing has changed in that order so this is just contextual information regarding the the market and um you know where the bonds are right now um compared to where we were a month ago so um we did have um some good news

124last week on CPI um and so right now um you know what uh and then some news from the FED I guess as well regarding their dual mandate you know I think inflation has been what has been the feds focus and the F the feds speak for several several months but um last week they did remind us all that they have a dual mandate around managing inflation and then managing you know employment and unemployment and so um again the FED speaks um in its own way and we are not PR you know we we do not have a prediction for them but all um indicators now um regarding where CPI um came out last week is that there is a 90% probability that the FED will make at least a single rate cut in September

125um of 25 basis points there is some speculation some you know Futures forecast that that could be a mega cut of 50 basis points but that probability is really probably on the low end right now it is likely you know very highly likely of a 25 basis point cut in September and then another 25 basis point cut in December so we believe our economists believe that the FED will move at a steady Pace on these rate cuts um they don't want to um cut rates so dramatically that it drives a whole different set of problems for them to manage so we think they will move steadily through these rate Cuts assuming you know at the economic news that they expect after the right Cuts is you know kind of stays in line with their you

126know uh uh inflation you know indicators and with what will happen with employment or unemployment as they track those numbers so so right now um we are expecting um you know a rate um cut you know in fed funds um what that means for our Market is that um well we saw some changes in MMD last week across the curve MMD was down about five basis points you know we we we work on a yield curve right so um we don't um track exactly to you know where the FED funds rate is or where the tax rates are but we kind of track in line with where they are um you know our Market is also influenced by Supply credit um a number of other factors um geopolitical issues and so uh though I I

127would say the rates were down last week you'll see that in the numbers um our Market has really already priced that September rate cut into yields like our investors expect a rate cut and so they know that's not a surprise to them right so our rate Market um it's odd it's they they expect that rate cut so it's in the news so the only way that rates will change dramatically is if that doesn't happen right in September so um because our investors are thinking forward about where their opportunities will be down the road as they look at what's available today in the market so um our supply is really strong we've actually had two of the highest weeks of Supply ever in the imunity market in the last four weeks we've been able to you

128know take that those bonds down um you know find investors for those so our Market is operating really well you'll see um the yellow um index there on the on the lower left is current MMD if you remember the last time that was really probably higher than um the 2023 read ever so slightly and of course we still remain above the 15year average but you know we are really where rates were a year ago today in our Market um this is really just more detail on MMD um the Geo Bond index is uh you know a weekly index of um Muni bonds tax exempt um uh tax back Muni bonds and again our the rate from last week was at 394 and we're at about 74.6% of historical rate since 1961 so the market does

129remain in a very attractive place um certainly not at the lowest of lows as we've been in the last five years but certainly at a very reasonable rate for issuing um tax exempt bonds uh I'm I'm back with the same information regarding your outstanding debt I did add in this um presentation a little bit about the call flexibility um that the district has and its outstanding Bond so when you all talk about you know um where this structure this series is compared to the history um the recent history of bonds and what call flexibility you might have if rates were to go down in six months or in a year um you know we like to look at um not one series as a series to try to kind of time the market and build

130in a lot of structural flexibility but to look at your total portfolio of bonds and to see what flexibility do you have what call features you know are in the existing bonds What's the timing of that call feature remember we unlike a home loan we can't refund bonds just at will we know we're the FED took away our ability to do Advanced refundings back in 2017 it's really based on a current you know within a 90-day window of that call feature but you'll see here the district has about $7 million of bonds that are callable right now if you ask why I haven't refunded them it's because they're got low rates out long or they're um It's really because they have low rates out out long that's really why we haven't refunded those bonds they're

131out at threes or fours out long and and we can't do better than that right now um you you have bonds that are coming callable here this um this uh August again it's a small amount about five million you have another a few series of bonds that will become callable in 26 and then you see really in 27 where you have a large amount about 57 million of principal that will become callable so there is some call flexibility that if rates were to go down we'd be able to look at these bonds and either refund them redeem them um you know just to see where that's attractive um I don't have I probably have back here on this you can see the rates of some of those callable the rate range of some of those

132callable bonds you know where they are if they're at fours or fives you have a lot of four callable bonds there in the the series that are up and coming and then you'll see out long you have some really low coupon bonds um a taxable refundings one of those the 20a or 20bs and so those bonds though they're callable it's unlikely we' see rates that would actually be lower than those bonds right so you have call flexibility they're not all at the five coupon which is going to be the most callable Bond you know it's at a higher coupon rate does that make sense Okay so um we've used the same assumptions for updating the series 2024 numbers all we've done is update um the current market rates on these bonds and you'll see um

133it's the same structure uh you know the order calls for us to have an ability to sell the remaining authorization from the 2022 bonds that's the 54.9 eight million and the uh technology authorization from the 20 2024 election and that's that 6 and A5 million right now we were looking we're looking at an all ntic of about 4367 when we ran the bonds in July the all Inc was about 4.65 I'm sure I have it here in front of me so we're down about 28 basis points that's about a 3.7 million Debt Service savings between the two scenarios um and so we're trending in a positive direction right now for for the district in terms of this Bond sale um you all asked me to look at you know what would it cost us to

134add in a shorter call feature to these bonds so that you know if you could get at um you know improvements in the market um you know we could do that so um you know our bonds are not typically callable you know at delivery so a zero call feature is really not a feature that's sellable in the municipal market right to be callable immediately so I spoke with our underwriter and if we were to do a seven-year call which moves it up but doesn't get you into if rates are down next year we can refund those bonds right um adds about 20 basis points to the yields from year eight out to year 30 it's about a $3.1 million cost on the transaction so you'd be prep Paving for that call feature if we were

135to move the call up further into the yield curve so up into the fiveyear range it's about a 40 basis point penalty on the yield curve and it costs us about $6 million to add that call feature so what you're doing is you're you're trying to prepay for that ability to access those bonds earlier in the amortization structure right at fiveyear Point rather than the 10-year point but you do have to prepay with investors to add that call flexibility and hopes that the market is and you're we're going into a declining interest rate environment so the investors know know what your expectations are they want they think rates are going to go down too so for them to give up the rates as they exist today they do put a penalty on you all and

136so rates really have to go much lower than say a 50 basis point recovery for you to get back that prepayment penalty and and um and save more than you would have if you had just done your standard 10 year standard standard 10-year call so th that's what I was going to ask so these seven and fiveyear move forward forwards are are versus a 10e these are 10 year yeah so our normal our standard optional call feature is a 10year call we can often get to like nine years without there being a change in the yields it does um affect the pricing of the bonds um because your our bonds are priced to the call date because investors expect you to refund them they kind of assume that if rates are down you're going to

137refund them right so our normal way of pricing a bond is that it's price to the call date so whenever you move the call date there is a little bit of a change in the pricing of bonds but when you move to when you move it out of the normal range there's a there's a penalty the investors charge you kind of a a kick in the yield a penalty and so it is expensive to do it and um it's not that you can't but it's expensive so you're trying to do something that investors are aware of um it's not people do it they they will sell into they'll sell short calls um sometimes you'll hit a market day and it's not that expensive what my under what our underwriter has projected to me but I

138ran those numbers based on his projections at his worst could be 10 could be 20 so but you're also saying that we have debt on the books already that if we did see a rate reduction we could take advantage of those lower rates by refinancing older debt we can't refinance this debt right but we could ref refinance some of other debt that's coming in there's opportunity there's opportunity take some now just we there some right now right there is some right now it's all about um it being in the right spot of the yield curve where the bonds are what their coupons are um some of that debt that is callable is non- psf so we can't we can't hook it to a psf structure so there's a variety of reasons why we haven't refunded

139some of those small bonds um right now that we we have a lot of districts that are um leaving some of those smaller buckets of bonds out so they can cash to fees them or redeem them if they have um fund balance in their ins fund and they're using those for tax rate management tools so if you were to grow really fast and we didn't have a bond sale on the books in order to maintain your 50 Cent tax rate we can pay off prepay some of those bonds and you guys maintain your 50 Cent tax rate because your annual Debt Service obligation will allow you to charge a 50 Cent tax rate on the ins side what I hear you saying and maybe not saying but what I'm interpreting what you're saying is that

140you're look if rates go down you have the opportunity to take advantage of that with prior debt there's no real sense in spending millions of dollars to buy flexibility on this $54 million bond package that's what we would we that we do not tend we don't tend to encourage this um unless people have a there's some other reasons if you guys thought you were going to grow 30% but you don't know it and you really want to be able to maintain that tax rate maybe there's a reason to pay to to to structure some of this transaction with the short call you don't have to do the whole thing you could do some of it but um you don't need the flexibility to be able to prepay $50 million in bonds so so if it's

141callable in 10 years mhm you choose not to do it because it's not the right time can you do it at 11 or 12 do it anytime after that first is is there's a first optional call date and then it becomes callable anytime after that first optional call date yes so when we or when we did the we did some refinancing back in what 21 22 we've done I think seven or we've done seven or eight refunding we've done refundings throughout the life okay of the portfolio of the districts and when we're doing those refundings you're you know basically you know refinance ing the Home Mortgage it's the same idea as we take one series of bonds we issue a new refunding series we pay off the old series and what you have left is

142that new refunding series we've done all of those refundings for Debt Service savings so to be able to keep us under that 50 Cent or have the room to bond well it in the long run it saves the overall cost of the bond gotcha right so we're when when you when you refund a bond at the call date let's say say um a a bond originally went out to 2040 and it was callable in 2025 and you refund it what you're doing is lowering that interest that's out there after the call date gotcha right so you're saving keep same term we keep the same term we go back with bonds that go out to 2040 but instead of having maybe a 4% coupon they have a three and a half% coupon so you're saving that

143interest out after the call date does that make sense okay so when we approve the order today um what it does is it gives the district um Liz and I Dr Carpenter the ability to move forward with you know working on the offering documents securing the rating we do have preliminary psf approval already um we can work with Liz on the timing of when those funds are needed right now we have a schedule that indicates that we would sell these Bonds in August and deliver them in September we've set that schedule really to work within um kind of the the school year time frame and when you all set your tax rate so that those bonds are part of your 2425 Debt Service obligation for setting the 50cent ins tax rate okay um but if

144after working with Doc with Liz and Dr Carpenter you know there's a determination that that fun funding is not needed we have up to a year to sell these bonds so we have flexibility in the schedule that's what the parameters order allows us to do any other questions for Julie all right thank you Julie thank you all right I'll entertain a motion to approve action item 10f as presented so moved Mr Matthew Slayton motion to approve to have a second second Mr West Second any further discussion all in favor say I I any opposed all right thank you the time is 7:56 6 p.m. and we are adjourned