001e recording in progress going to start the meeting the board Trustees of Crystal City independ School District full meeting special session at 5:00 p.m. Wednesday March 12 2025 administration building boardroom 613b W Street Crystal City uh Texas 839 could you call the role Mr here Mr s Houston is absent Mr Victor pres Mr Gabriel esposa here Mr Bru mat absent Mr V Martinez here Mrs here Corum reflection or audience the patrons no one sir number five the 24 2425 uh budget Workshop so we're going to going to go ahead and get started with our budget Workshop we have three items on uh for today's discussion Mrs sa is going to go over cashlow analysis and over budget adopted to actuals and Mr Kim is going to address the board regarding the district's deficit so at
002this point M if you would like to go ahead and get it started with the um cash flow analysis [Applause] a little plate thank you thank you very good evening Board of truste good evening Mee agenda today we're going to discuss or go over our statement of cash flows you can seeig okay just let me show you let me give you I know what's we're going to be a little bit bigger well what you have on your paper is reflected on the sheet so uh over here we have the by off that we can go we get lost and these are the numbers by the rows and we have the accounts here descriptions and the budget the current budget the amendment budget all of these in Black from September to February those are actual amounts
003whenever looking at whenever uh in case we get lost we going talk we going to talk about a uh say a talk about these C so that we can be looking at that character and only here we have projections and these are all the blue ones blance is projections and all of these is uh revenues and on the bottom we're going to see the expenditures as we move on so let's go over our revenues oh just to once again just Orient yourself into this uh sheet so everything on top is your fund revenues right in terms of all the money that you're coming into and she's done a great job of showing you on column j k l m n o is objections going out JK l m it's from March forward that's beyond those
004are all projections at the very top there okay but September October November December January February which is letters d through I are your actual revenues that you've already received from property taxes online's the linqu tax collection which is still coming in now and then right your current pni your delinquent pni so those are some some revenues are coming in you have some interest some Investments that are coming in line eight going across using your ruler if you want to you see athletic receipts that you see there m um and the other thing that you want to look at is this on the very first column column C that was what was adopted as a budget so for example District adopted a budget of $50,000 uh what athletic receipts thought it should be or I think
005was projection but there's a uh potential of another $2,461 you guys see that going all the way across to k p Transportation Bud $80,000 and if you go all the way across to column P your projection looks like you're projected to spend $555,000 everybody see that am I right on that so that's good that's good news so uh those are all good news in terms of uh your Revenue sources what you're going to get and then in the bottom portion starting in line 23 down to 131 is what the expenses are what the district is spending and payroll calls professional and contractor Services supplies and materials and on death service capital outlay and so forth so what your business manager will do is to kind of go over some of these details at this P
006so that's just want to make sure that you know you see you can kind of see how you read it I'm sure you're jumping around right now trying to figure things out on your own but I'm going to have her just kind of go through a couple of items can on Rose one I'm sorry two to five those are going to be the total tax revenues where is that there it is that's a ler report just our total tax revenu sir SE property taxes and Del and for the month of September on column D we have a we received 30 3,678 and8 and for the month of October the activity that we receive we receive a little bit more we received 2.1 in November letter column F we received two1 also in the this December
007one it went up to 1.4 in January the activity for January uh we got a little bit more 2.3 in February we got a little more to 3.5 the total from September to February gives us 11,589 296 uh and 41 and on the March and four in March we receive one deposit this week and it's for 3,52 and 46 cents that's why we have it in black but so far we have received that amount in March and for April as you can see it it's kind of bluish color because those arear Beyond February up to August we're estimating that's an estimation and we uh did some of the prior year trend on these numbers just to be a little bit conservative so uh for that line item we receive a little bit more on the
008on the tax is [Music] 100.1% a little bit more and for the Le uh local the 5700 which is uh I'm sorry let me number seven we have the interest on our general fund all of this is general fund so the interest for the general fund up to September through February we receive 93,7 which is good and also for the March and 4 of two August is also protection for the rest of the 5700s local Revenue Athletics which includes Athletics 5752 5738 transportation and we have a other other income coming to the general f which is uh royalties and donations for that from column uh row 7 8 through 10 September column D we receive for that month 56,000 304 and 8 and in October we receive 2.1 November uh 2.1 also in December for
009those uh objects we receive 1.4 in January we receive a little bit more and it's uh 2.3 and in February I'm sorry this is February or the column these 3.6 coming from the total taxes plus the other from uh column rows 8 through 11 that totals to the 3.6 the 3.5 plus the 4 uh the 42828 that total to 3.6 which is the total revenue for the 5700s for that col and uh March and forward is also those projections for the total for the 5700 local Revenue it's comes up to 11 m751 71 for that column that's only for the local revenue and now moving down to rows 12 through 15 that's going to be our state 58 ,000 it's going to be our local Revenue which is the 5811 or ASF 5812 upj 5812
010uh FS the foundation the regular foundation and then in this one we included at 5831 which is our state here as on behalf on [Music] September the activity for September for these three revenues State we have 2 .6 for October's activity 2.0 and November's activity 150,000 284 and 34 in December 27399 in January we have our trsm beh have only which is 83,84 57 the is still blue because uh this TRS has not been posted for the month of February still ending so for the for the 5,956 4867 and the rest are the for the rest of the TRS that's we divided into 1.0 million that's what budget we have for that so it's we did a breakdown for the rest of the remaining of the AUST for the next uh 17 through 19 our
011federal 59 hundreds our budget for that column is 105,000 we have only received which is in September a44 15 cents which is coming from the Mac it's a Mac deposit we haven't received any other deposits besides that one in September and we I included also this line item the 1529 which is in the r we had this coming from the prior year we had that activity from the audit so hopefully we get another deposit that's a prior year Trend hopefully we receive this same month so that's why it's included in the month of August 239 that's prior year Trend uh for Road 20 21 that's an operating transfers is you can see there's activity in February which is the 24707 coming from the construction fund that our Auditors requested to that money to the general
012fund plus we have two deposits that we did from the payroll account to the general fund uh this is coming from the TRS old uh prior t is from 2021 then we had credits there so we moved that money to the back to the general fund which is for November 25,7 75 cents that's for November and we had another one another credit for the ti credit um 15346 and 38 so we move back that money is that transfers into the general fund from payroll so this is all the total row 22 for general fund our budget revice budget for that revenues was is 177,000 833 I'm sorry 17 M 833957 that's the budget for the for the revenue our numbers does not show 17 million it shows 18 million some of the numbers as well
013Revis budget of I was on colum P okay yeah that's that's the the actual revice Budget on September the total for September's revenues 2.7 that's column d and e in October we receive uh 4.2 that's including all the 500 5 5,000 account objects and for November 2.2 December 1.6 January 2.4 and February we receive 3.7 the other ones are projections hopefully we receive that amount the beond February we're estimated like I said so hopeing we receive those amount this is a to PRI year but it's a conservative uh data that I'm presented here U now moving on to the expenditures let's stop right there for a minute okay so any questions on the general fund revenues the top portion from line two down to 22 so what so she is projecting is a revenue of
014$8 it's all said and done by end of the year so ideally if you think about it from a big picture sense that's the number that you want to be thinking about next year's budget or you may want to think about being more conservative adopting a budget less than that because your enrollment might decline or there might be some changes to the rules or delinquent taxes could be more whatever the case might be so after a while you kind of know that hey that's all the money we got to work with and if you go above that that's where you have deficit right so that's kind of how you got to be thinking about this terms of y'all just PR the number of students that be that any questions though on the top portion right
015now projections I mean or or B what excuse me the projections we have like in March April April or they're based on what on past year for yesi both of your dollars uh Mr do comes in from your tax receipts and as you to see that's why everybody to gets your tax bills we all get them wh County we live in and then we pay and and so forth so your January February is typically your biggest you know dollars or and then you get some trickle in some other dollars here and there your uh line 12 and 13 those are your te funds that comes from the state they usually give you that up front you can see that now often times there's an issue they'll give it to you but then if you have
016the wrong data in they'll settle up in the following year they'll take they won't give you they'll give you less so and that's all because you put wrong numbers in the data what's known as the team's data so sometimes that happens so then that's called a settle up and the way TA or the state of Texas settled things up with the school district is not to say hey give us some money back they take it they just won't give you the amount that for the following year that you thought you got give you less does that make sense yeah that's that's how they it's called a settle up process that's what's happening this year right from my understand and that can all be projected right based off of our numbers or yeah Ada and we
017can project for they're going to take away this or not give this much your numbers your uh uh your uh Roman is 1654 16 35 1635 so if you want to be conservative and when you budget with taxpayers dollars you want to be conservative you want to be even conservative than conservative you want to say hey we may lose some students if that's been the trend and y'all may know better than I do you should that hey some families are moving out for jobs or different things so you're not going to get the amount of dollars remember the money travels to kids so if you have less kids next year let's say 1635 to 1600 that's a big number for you in terms of that that that you may not get right now I know
018uh M has already submitted the projection for the next for the next two years yes so it was the CH to right miss m did it with Mr Solomon 1435 I believe right 1435 it's almost 200 decrease in refined 88 in refined 88 correct not just enrollment the state of Texas pays you on the on the Ada rather than on your physical enrollment that's why having kids in school is very important yes the other main uh Revenue that's coming in is also from the interest our interest at lonar it's the yield is uh 4.49 64% compared to the yeah so that's that's why in February we got 28,000 on that getting a little bit of interest on there that's interest on payments yes let's stick with the Ada for a minute this is we I'm
019going to say um you know you really need to work with your campus principles and really miss prionas really needs to work with them to make sure I mean let's just be honest and I think I'm here to just kind of give you the direct comments and uh you have 1,600 some OD kids it's small enough where you should know every kid in my opinion that means if Johnny is out everybody should know everybody should be concerned where's Johnny today now if they're sick we understand that and you can get a note then you can get excuse on the P so that has to be documented these are all important things that your staff at the campuses and central office has to take care of because it's it's it's tied down to money don't get
020me wrong it's important for the kid to be in school to get educated but it has a bearing on financials so it's not like you have a 85,000 kids in the school district you have 1,600 kids your teachers administrators got to know what's going on with every every child in my opinion y'all have an opportunity here in Crystal City and the P School District to really know every child so the attendance really matter that's that's a big driver in terms of your Revenue because the interest on interest on investments sh was $28,000 is an important sht every dollar counts but your biggest driver is your attendance and the number of kids my the school district that I used to lead sometimes you think that gosh we're selling out all of our football stands maybe we
021we should be making a lot of money out of football Friday night receipts not that we were just charging like $3 $7 $3 and a lot of kids you know we gave free entry you know so that's not a big driver of your money I know there might be somebody listening in tonight saying well they need to go inead and all those where's all that money from the football you know games going it's not that much does it help sure it's really not that much I had constituent mentioned we should sell alcohol alcohol well I'm like H I don't know I don't know I don't know that's another whole trouble um okay so any other thoughts about this numbers on the on the top portion if not I think we're going to spend a little
022bit time on the expenses expens sure you me to pass out something Kim is going to be passing out our I'll destion on those you have question on those items and just to let you know the entire state of Texas use these codes you know so a lot of Finance people in Texas you just say 6200 and uh sometimes Finance people don't do a great job of teaching board members what that means I've been in this business 30 some OD years and I have to be constantly reminded what is 6100 uh and you can see that she's done a great job of showing you in this 6100 is payroll 6200 it says professional and contractor services that used to confuse four members that I used to work with they thought that we're hiring all these
023Consultants out there that's just a label professional contractor services are things are utilities [Applause] let's let's give each of the board members some time to look at look through these few pages there first page we have expense subjects series is all about payroll cost the 62 going to be professional and contracted Services 63 supplies and materials 64 other operating expenses 65 de service 6 Capal all which includes land buildings and Equipment oh so are the 61s 62 63 what percentage spend on the 61 the payroll what do we get we're going to get to that in a minute you're going to see that in the bottom of this uh uh spreadsheet that's been laid out for you but I think for this purposes we just want every board member to have the same understanding of
024what it is question okay is uh when she refers to these numbers now you have like a dictionary uh what that is all right start on our expenses on line 23 you can see we have say this percent change in monthly payroll rules we're going to go uh first on column C we have our budget for that which is 15, 844 that was was that was was aded is that these are the numbers that were adopted at the meeting about a month and a half ago right two months ago I think you with that number understand so you adopted this number in September I mean the uh this is the amendment the amendment that we thank you no it was in January very early February I think [Applause] here thank you that's the amendment number
025[Music] 251 big matches with one to column D for the month of September our payroll in that month was 1.4 all of these payroll amount include it's including all the French benefits all the TRS and employer contributions for that month of the payroll and it's only like I said it's only $1. 199 not the Grands or October we have 1.9 it went up 97% and why went up uh they were I think he issu an extra payroll because some of the accounts were not included in the first first run so he had missing some employees they were not had an error issue so we had to run those were out so you have to run another p uh in November we have 1.4 it went down to [Music] 4.22% why it go down [Applause] 4
026our total payroll for that month was 1.6 for the general fund was 1.4 we had some uh uh special payroll adjustments so for the month of December it went up to 1.6 which is 14.81% and this is because of the believe reduction enforce plus the Sens that were paid on that month for the month of January which is column h it's 1.2 it went down that's where we made yeah Cuts in December stab that was some teachers that were uncertified that we had to February went 88% down we had other Cuts also in February so it went down and for the month of March we still running that perel so we have a estimate at 1.2 we'll see for that month it's only a projection in April we have the same amount 1.2 and as
027you can see for the month of May we have 1.3 and this is because for the month of May we're going to St is there for June it's going back to the regular 1.2 that's also a conservative amount for the month of July we have 1.4 she uh went up to 24 133% and this is because it's the summer uh for July we're going to be paying the summer school and in August we is coming down back to the regular 1.2 uh estimate conservative amount so any what yeah I just want to stop right there and just point out something for yall this is payroll which is bulk of your school district most school districts run about 85% of their budget is their payroll 85 87% is an average y'all's total projected right now is
028going to be about $16.3 million in the far right hand column and P you guys see that if you compare that to your total revenue of $18.8 million you did the math on that you're well above 87% on payroll call does that make sense now here's the thing if you only stop there and pay nothing else you have about about $2 million or so 2.3 let just say something of that nature being between your revenue and payroll but you haven't paid for anything else utilities I mean you're talking about everything so you can see already right here that this is a problem this is a challenge that you're going to have everybody everybody me on that now you know I'll come back to this later on but in the month of July I talked to
029your superintendent about that summer school that ticks up to 1. 1489 you know had to do something about re restructuring there somewh school doesn't cost you $289,000 when you can't really afford that much so there might be some room there to maybe maybe make some adjustments figure out a different way to address kids needs for their credit recovery and try to go and try to save that $200 million $200,000 there and if I were you as a board member you need to push on that wherever you can you need to save on that that's more than interest payments getting from Investments I mean little bit counts everything's going to count so um I would really look at that one right there at this particular point this is where you need to scrutinize the situation right
030here this is payroll cost across which is your bulk of your majority your cost in any school sorry Mr Kim but doesn't the summer school the p come from a different Source they come from different accounts but some of it comes from local so what we're trying to do right now is we're trying to push as much of it into Federal programs so we do have opportunity to restructure summer school make sure you don't forget to bring that back to make sure that number is adjusted down the road this is just projected num so hopefully you'll see a little hopefully that you know you can moderate that to bring it down to about two 1.2 you know so that right now is $289,000 more than the prior month of June or August okay we're going
031to go to line 25 across which is professional and contractor Services 62,000 for that uh line item we have 925 925 6200 these are Professional Services that actual budget for that one is 2,943 62169 for the month of September we have only these are all expenditures a30 we have 267,464 [Music] why we have several expenditures on oh of school year most like contractor Services we have a [Applause] electricity that's under contracted Services utilities and telephone bills and all that's under contracted 62 yes sir 6250 what happens Mr ESP is that school opens up and then you don't get the bill the following month and so it just hits your books that way and it's the way it's accounting goes uh she has a all the bills that's been paid on this long sheet there all
032actual those from September to February those have been paid for expenses why does in December I mean it goes way up and then kind of a levels down again 371,000 cuz it's winter were're [Music] using more or well I think if you saw the list there are other bills that are H in your books so it's not just utilities it's other but you're right you know you got the uh your your your hbac systems in the heat so that that may cause a is that right we have professional consultants and like item also I know but did the utilties yes did it go up though that month of December 52 other we have by campus then 47 another campus 23 another one 21 and 36 but did it go up from the year yes uh
033just out of curiosity excuse me ma'am uh the increase there with that also account uh what would account for it would be like uh maybe some of the contracted services that we have professional maybe are paid in lump sums in December yeah for October the electricity I have a 6 December was 41 January is 69 so going to see those numbers in here so that's it's a little bit of it's going up because of those in PL the telephone and water bills and all that what about like I mean when we have a problem with the an air condition or something or or we don't have a person in the district and we have to contract to come and fixations or we don't have a mechanic we have those would be there they under the
03460 yes sir so that's why like in November is 144 but in December there's a 371,000 was on this this one pager that you got a few minutes ago and go down to um where it says District operation line 51 plant maintenance and operations yall with me so far your adopted budget was $985,000 change so that's a is that an increase of 1.8 yeah so I'm going to put her on the spot and explain why that's a big jump because you know and I tell you a lot of districts probably spend a little bit more on your operation cost like this like utilities or to your appointment stress those hiring contractors to come in work on AC unit and you have to do that he you don't have anybody inside you're going to have to
035do it so I get it but that's a big jump and i' I've talked about with your superintendent about really watching that call that's a big jump there you know why you guys jump that much really because we we have a several contractors right we contract we don't have anybody to do the job I me we lost one of our AC certified people meic I mean we were taking our buses to somebody fix them and so if you're going to if you're going to scrutinize something adopted an amendment this is an area that you could have you could you could instead of raising it that much you could spend some money on actually hiring somebody internal be a little cheaper is my point now I understand it's hard to find people so but you know
036need to think about how how to really reduce that number right there for next year's budget that's a pretty big number for a um you know and I doubt the public here may not give you a thumbs up on us a maintenance school bond to use Bond Monies to keep up with upgrading your maintenance plants make it more efficient but sometimes what you do is you put that on the firm maintenance plan so you don't replace all at once CU every time you have to go and call somebody to fix something that just costs more rather than trying to fix it you know it's like just think about your own house you got an old AC unit that you're constantly calling the AC guy to fix it versus just spending the money replacing one time
037and fix for the fixing it finally now I have to call that person so this is the way you're if you're going to try to figure out where you're going to reduce the cost and save the District of money you got to look at that situation there I'm not saying that we're going to solve this tonight but as a board you don't need to be aware of that so that you can ask a questions really push and figure out we got to do something about that and operations we have the buses use Diesel and okay okay 6200 questions and 6200 all right let's go to the 6300 this is supplies and materials supplies and materials these are not just stap by the way pencils for that one nine item with budget 62321 the month of
038SE activity sorry go ahead I'm sorry you finish for the month of October the activity for the online item 43 and in the activity for November 62,3 4871 the activity for December 47,000 activity for January 30,000 and in February was 65,000 the total for that from September up to February that is 21,46 59 as you can see the blue numbers those are also jection we have incumbrances on that line item so that's why we included those we we had an incumbrance of so far sub today 213,000 46497 uh which brings us from the 623 which is budget we only have 188,50 27 cents for the rest of the year for that n item am I right that right now you're projected to spend the year [Applause] [Music] $434,550 23,000 but you spent about 434 4,000
039so that's good news you reduce some cost there I did ask when I came here about an hour ago why are we seeing a number of $457 on the month of March April May and June that we have kind of talked about not spending anym on these supplies so what's happened is the bills are coming in that they were bought months ago and so we still paying on some of those bill that was spent so there's not a new supplies and materials that's been you know spent right now these are all payments to already things have been bought does that make sense there now some of them are the Athletics uh you know there are various departments and what I've told your superintendent is next year you have to really not spend any money on
040that area sort of do with that a little bit so it's going to be tight I know it's going to be terrible but that's a half a million dollars potential savings there not saying you go down to zero but there's an opportunity to save quite a bit of money on the supplies and materials now don't get me wrong changing out a battery in theator that's required campus is very expensive by the way the battery is outrageously expensive by law you had to spend money on doing that so that's going to be your supply material budget so there are things you're going to have to spend on but do you need new uniforms where do you really need new uniforms or do you want to save some money on that I'm not saying people are asking
041for it I'm just saying that's an example I have to say no this is where I've asked your superintendent to centralize the budget so that no one makes that decision other than right here at this level and that's one thing that we were talking about uh this morning about accountability on on on on things that we SP that we need documentation or or they turned in or whatever I mean for example I mean like when we purchase things for the band the uniforms probably less eight years sometimes I mean when we do it for the athletic program or something they don't turn in the uniforms or whatever and then we have to buy brand new so we're going to have to tell the ad that he's going to have to be accountable that those those
042uniforms that about but they all come back and if they're not back going to come out of his s well you know like by law I mean like by regulation like football how has to be Reser years or whatever so there's a cost to those things so you got have to do that you have to pay that so I get that but you have to really ask yourself your budget has to be controlled by the central office not by people they don't have a they're just they don't know what the amount is they're just spending and spend mhm just they're you just you're just giving them a credit card without any liit you can't do that so I think a strong inventory program would help absolutely absolutely be accountable for what you get and make
043sure and keep up with it um if you had a little Surplus budget which we're nowhere near talking about then I would suggest in future years set aside some money for eventual ban uniform Replacements every 5 years that's what I did we put money aside we call it an assign the fund balance and every year we P little bit in so three years four years later we use that to replace the band uniforms does that make sense there so it doesn't just hit your books all at once so you can start planning better you're not there to do that you're not in the surface surface budgeting process right you're in a deficit budgeting process but you need to be aware where your money is going out to that's what you're showing right here it's you
044know um that's an area that you you know you can't it's hard to control professional contractor Services as we talked about I wish you can tell the Utilities Company not to you know charge us but you know it's what it is it's hard to control that and that just goes up and up every year it seems to me but supplies materials you you can control that payroll you have some control over that in terms of who you are how many people position you are um so just be aware where your paying points are and where how much control you have to reduce and work on that and you got to ask you got to ask the questions and fly this airplane blind you got to you got to have instrument gauges to know where you're
045going you're just getting a little um understanding about that any questions is the 6300 on the expenses but why don't we jump to 6,400 other operating cost travel insurance I'm afraid there's not much you can do about this one I guess I want to but it has a budget of 999,000 1448 yes for the activity for the month of September we had a the reason it's a credit is because we have a received some cash receipts on that one so it's a money coming in for the month of October those are expenditures actual expenditures up to the month of February for the month of October we have 10 16,491 one cent for the month of November the activity it's and8 for the month of December column G 52144 15 why we go up so muchel
046no that's a that's a premium that's an insurance premium insurance so most of your dollars in here Insurance property insurance yes and by law you're required to insure your buildings so you can't do much about that and it goes up and up every year I I for forecast increase in that property insurance next year so how much of the is the 67,900 is that travel all of it is travel just about say all travel activities we pay for other annual insurances we should really look at how much of that is travel in included there now this is a very this issue of travel and you know what probably travel it is in the month of November that's your football teams and volleyball volleyball teams and so forth and marching band and by the way marching
047band has more buses than football team so I don't to bash on football only but anyway so um I mean you know you have pride you have pride in this area right you pride in your school sports teams and you got to go play uh somewhere to play so you gota you gota can't do nothing about that but you may have to make a decision as hard as this may sound but I'm going to say it you know but you may have to decide that we may to cut the cut some athletic programs to reduce travel costs you can control that or you may not have a team I mean I understand that you want to go and provide every student opportunity and I would too but you're facing some uh some issues here right
048we can control I mean how far they go like instead of going to San Antonio you can play here in the area Mr you're exactly right I used to one of my coaches I love him to death but uh he was always invited to play Odessa and different places and um you know we us to we used to had to get charter buses for those and I told him listen we can't travel that far cuz you know we just can't afford that much and you going send and if you don't send the B you got the B people up everybody gets upset play PRI but but here's the thing you going you're you got elected to be on the seat to make some tough decisions and you have a fiduciary responsibility to the taxpayers and
049you have a responsibility to deliver a quality educational program well i' I'd rather make payroll every month than worry about sending band and football once again I was want to be very thoughtful to say we're not having this Workshop to debate and discussion about this particular issue I'm just wanting to give you a thought that as you think about next year's budget this is what youall need to think about there are there are school districts in the state of Texas have cancelled football programs and different things baseball program because one that can field enough kids in them and they don't have enough money to have all the sports in the world you got understand the school district that I led we had lacrosse swimming uh but we were able to make sure we could afford
050that and if we didn't we just didn't try not to do it you have to make a decision there's no law in the Education Code that says You must provide football in the state of Texas it's an unwritten law I don't I don't I agree with you well when you get further over here I don't know where the even the money comes from well like I said I think it's not there there are districts right now that working with the boards are asking this question what is our utilization meaning how many kids are part of that program and if there's not a lot of kids involved in it then you may have to decide to cut that this is a this is a discussion you're going to need to have and in my opinion your
051taxpayers want you to have that discussion because you got to get this right they're going to make some tough decisions I mean and you know eliminating the let's just say the football team is not going to solve your problem that's the sad part of it a lot of people think that I will I will tell you there's probably someone watching this constituent out there who thinks that if you just get rid of football you won't have any more problems of finances that is not true either so this this is a Balancing Act of all of this stuff okay um so that's line 27 there I've talked to your superintendent about the outer projection starting in April May June and July I'm not really sure why you would need to have cost figures of $17,000 or
052so in summer months but especially if it's travel uh um if it's any employee travel or different things I would just make sure that there's no travel just can't afford it so you need to really watch that now 177,000 is is not much compared to what you're looking at the very bottom line but it's something got to do everything got to watch your watch all your pennies okay we're going to jump down to then that's your question sir um all you know uh truste these are required to uh get trainings so many hours or credits per per year uh some of it would I guess us to travel U uh it's not required you can do online training tasby provides an online you can do it online and all you need to do is get
053hours now is there a benefit to going to Sumer SLI in San Antonio and there's one in Fort world that's every year to get your hours yeah I'm sure there's a benefit to hearing other people but you have to weigh that against what your situation is so that's a decision you have to make as a board I had a couple board members who never went to it because you could do your training online and watch it and soth some San Antonio was close by so we never got hotel rooms but they went in and drove back that afternoon but you're right you have to get certain hours and you have to you have to pronounce those hours for training in January to the public ready there Y Line [Applause] 28 we only have the for
054the month of August we have 85336 wishes time War this is the schedule where we all is on the time War yes only the time War because that's money is coming out from the general fund which one is this mine item thank you a Time War just to let you know generally speaking is a Al loan that you took out and a war is something less than a million dollars and some time ago I think it's on the sheet here that was just passed out to you back it looks like 2017 you borrow uh um you see that you total amount you borrow less than a million dollars at the very bottom do you see that the bank put an amortization schedule for you is since 2017 now when it's all said and done you're
055going to pay another $192,000 in interest cost to pay back this million dollars that you borrow back in this 85,000 did you see column oh it's coming from the next year's payment this is going to be the next year's payment which is uh payment for the month for the year of 2026 that one needs to be included because it's a payment the next year it's always good and bad I don't know why I don't know I don't know exactly remember the why this was money was borrowed but just say but straight you know you can see that good or bad um you know but you're paying this for a long periods of time so you got to ask yourself just you want to be very thoughtful about the fact that you can't do nothing about
056this one this is this is going to be an expense your chart every year so um the principle alone is 75,000 plus the interest right so you your last payment is going to be in looks like it's going to be 231 okay so that is 6,500 there let 6600 Capital [Applause] outline that's 9 29 and as you can see on the N L 28 there's no budget so that's why we need to budget the 85 for the next year what sorry what is the 6600 cuz this ends on 6,500 it's on the back the back okay the back thank you this which includes land buildings and Equipment item the budget is 475,000 one for the month of September October no activity but in November we have 39,6 194 for the month of December 172,000 86
057what was spent on 117,000 we have expenditures for Access Control Gates fast ball integration security stuff integration access controls safety safety do we have the actual numbers for those particular expenditures I know we're talking about automated uh gate opening things like that the last project the last project was 2 274 the board approved so those are we should get them done within this budget Year yes I believe we're we're we have the last um invoices that have already come in and that would be the last phase yes for security fencing it should be complete so that's something that we can uh uh look forward to in our next budget year corre that we're not going to have not to have that cost yes sir um because I'm assuming that also there uh might have been
058some uh some of the expenses under uh contracted services and Professional Services where we had to hire yes professionals uh to give us uh estimates opinions etc etc in January the for January we have 12,293 cents for the month of February we have [Applause] 27,000 if we have any comence on that line [Applause] item that's why it's included uh for the of February Beyond set listed there 209,000 5585 so that one up to from March up to August be making those payments so that's why we list them there our actual incumbrances what is that for it says helis payments some of it is fball integration also was Ines pending how much do we have left a after the payment 200,000 but it's encumbered already it's already in here it's already in are encumbered to the
059200s any questions on Capital outl like Mr Bon said just want to make sure that that we said was true I mean if you don't have any more of these things to spend on next year you should have zeros across the board on this so I would try to go ahead and create new projects well I mean those yeah you're correct on that point those projects I mean were're kind of something we have to do I know I mean you've been saying about maybe not having football or our our track field uh was stopped by U because of safety reasons our football field I mean they came and they look at it or parts of correct going chosen not to do it but it's uh but once we done we're done with a football field
060once we we're done with those those are monies that we don't have to just go spend some now that's something that we can start putting our fund balance or or even the fins and I think I just wanted just Echo Mr B's comment you're just got to be very careful about you just don't have the money to spend some of these projects so you know uh at the end of the day uh you have to make sure that kids graduate with the number of hours needed to get a diploma that's it so everything else is extra and unfortunately when the family's budget is tight you're going to have to tighten the belt a little bit and you're going to have to figure out where where you might have to go ahead and make the cuts
061I understand the needs but I understand the wants and the needs and I think the board's going to have to be have some debate and discussion about what's a want or a need there really understand how it affects your finances as a school distri okay the last one is line 30 which is 8900 so this going to be an interesting conversation here transfer out we have for there's no budg on that item oh we have ATIV that one for the month of December g z for the next month January we have activity of 385 that one is uh the February payment for the time warant the 76,2 for what it's the time warrant we transfer out from the general fund to that account which transfer the plus health insurance health insurance we did a loan
062for the month of January 117,000 9285 so that the 76 plus the insurance up to 194 and in the month of February we have another activity and that's also another loan to the health insurance for the month of February I want to make sure we get it right here it's not a long from a bank you're talking about a transfer yeah so it's not a loan yeah I got be really clear about these words so it's not a loan from anal entity Bic a transfer out is that you're moving from your general fund to make up a shortfall in another fund in this case it's healthc care costs but we post this alone no this a transfers out right um but is it just transfer as that's what out St to transfer app from your
063general fund to makeover the healthcare fund so at some point we prob have a disc separate discussion about the Health Care Health care costs and the district contribution so when you have to prop up your health care from your general fund that means that potentially uh you may not have enough money built in from the healthcare contribution that the employees make and what the district puts in to be solvent okay see if I got this straight here uh in our budget we make projections on how to cover our our part of the health cost am I correct so far you're correct and and then however because of what happened we didn't have the money so we now have to uh I guess encumber our general any Sur general fund to cover the differences that's right
064there wasn't but there wasn't anything budgeted for that right last year it's got to be uh we because when we commit ourselves to providing a a a yeah uh to pay some of the healthc care cost we have to budget for it in the in the in the bud on that was the budget there's no budget there's no budget item for that number and and the adjusted one or the original one so this is cly AIT putting money in so you typically want your health care cost to be self-funded that's the whole point but unfortunately a lot of it unfortunately doesn't happen that way now you can you can somebody's got to really monitor that to make sure it doesn't go above and above that but if it does obviously it has and you got
065bills to pay as a result of that and so you're moving a general fund towards that so that is a that is a cost figure they can really watch and try to control that a little bit I would just really ask to have a discussion the budget adoption comes over about healthare costs and what addition contribution is planning to have that discussion sooner than later on that I'm kind of curious just about one more question did you say that the time warrant was part of that yes you have at 85,000 here on yes it's the for that month that was the activity for that month 7 but why do you have an 85,000 then on August though from time that's for the four month the January and August there's two payments there's two payments January
066and August so why is that not coded up into the 6500 um it's right there I why is it coded into instead of the M de service this is for the current year interest remain huh it's the 56 that's the interest the remaining payment balance for the month of August and the one in the 65 de services for this year the principle and interest the5 so we have this we have this Debt Service so this tells us this tells us the payment dates so each month this number should be budgeted into the each month yeah that's why we included here that's but there's no budget also now so we need that's why I included here so we put the money in there so it wasn't budgeted in our budget that's why it was included in
067the but it should go in 65 right go there next year a they a budget so that's why see there's no budget okay okay so questions on the transfer out uh yeah I guess I have one for February I mean in January you gave us the amounts but in February what was transferred out and what for was that the Health Service as well both is the time warrant and the health insurance one payment for gener other payment for February for healthare yes sir when when is y'all's enrollment for healthcare is September you start it lines up with your fiscal year correct which means uh if it's September then when you adop sometime in August or July you got to look at the health care call Health Care issues to let the employees know what it
068could be what is the district contribution for employee 473 473 and is that amount budgeted in our in our yearly budget it should be yeah that's what I was talking about so uh that's part of your payroll calls it should be built into your payroll calls so it's not in the health insurance the huh it's not in the health insurance on that account so how do we treat our contribution how do we treat it in our budget well so if it's 473 you basically potentially could lower that I understand that but uh again I'm assuming that we're we're going to we're making our our budget and in it we have to include include our expenses our expenses our contribution to the health plan is an expense so where do we where do where do we
069account for it well you don't want to have an expense but this is why it's it's in to transfer out because I you know you can't predict how much you're going to go ahead and expense on that because you don't know what the claims are going to be potentially in any given year you could have a catastrophic Health concern about an employ no I'm just talking about the premium part well well you have to adopt that prior to your FIS schal year in September before your enrollment and so whoever is your third party administrator on Healthcare you may have to contact that person or that agency and come back with some data points and be configured what that means is that potentially you might have to go ahead and put that cost on your employees
070a little bit more to cover expenses that the fund is self-sufficient by itself so the district doesn't to put money into it which is you which is what you've done here and you've met with hick and Botham already right yes we met two weeks ago and they're much telling that that's yeah so what they're going to come back and they need to make a presentation to you sooner than later is potentially to go ahead and increase premiums on the employee side and then potentially the district can decide to maintain your 473 or decrease that down by $20 create a surplus that Surplus is used to guard against any expenses on the healthare based upon illness I understand that part and you want to constantly build that self healthare fund balance as much as possible just
071like you want to do in this budget so that it takes care of itself so that's a potential about you know $200,000 there looks like potentially that you could save the district the money instead of having to use it for healthare so that's not in the scheme of things not a lot I B is going to give you a little bit of slight increase cost projections that might be worth it for the district I know the employees going to be a little bit upset about that in some sense I get it but that's a decision you're going to to need to have and a discussion you need to have sooner than later and by the way you're not the only ones solving trying to figure this out by the way Healthcare is a major problem
072across the across districts everywhere okay so then we come down to the bottom line which is your line 31 across this is your this is what you're spending on total general fund expenses and it's projected out at 20367 million a little bit down down by couple hundred, from the revised Budget on column C so that's a good thing obviously the months going out further April May June July August we talked about some reductions like summer school and other things that you may want to watch out for at the bottom line on line 32 33 34 is where we need to look at those numbers soir you want to talk about those LS 932 32 9 [Applause] 32 line 32 is available Cash Line 33 is going to be net cash from operations which is going
073to be revenues minus expenditures and the line 34 is going to be the ending cash balance so let's start in September for the month of September our revenues was 2.7 and it's included there on line 32 and our expenditures were 1.4 it's in the yellow line 33 the difference between those two the revenues and expenditures is going to be 1.2 that 1.2 is going to carry over to column e for the month of October so the 1.2 carries over on line 32 in the yellow line we have revenues minus expenditures a 4.2 minus a 1.8 gives us 2 the total for those two is 3.5 we have that cash and inbalance for the month of October that 3.5 carries over for the month of November it's right there line 32 going down to line 33
074our revenues and expenditures at 2.2 minus the 1.7 gives us 523,000 for the month of November carry the 4.0 to the month of December which is column G our revenues minus expens expenditures for the line item for the month of December 1.6 our expenditures were greater 2.7 for the month of December it's given us a deficit of 1.2 the revenue the cash minus that deficit gives us a 2.9 we carry over the 2. to the month of January 32 I'm sorry 9:32 the difference for the month of January are expenditures and the revenues on line 33 we have 67,0 78047 our ending cash balance for the month of January is 3.5 we carry over that 3.5 5 and row 32 for the month of February there's the 3.5 the difference between revenues and expenditures is
0752.0 we have Revenue there our Revenue increased 2 5.6 our ending cash balance to line 34 for the month of February so long for the month of March we carry the .6 in our difference now in our projections for the month of March we have Revenue projected 147,50 but we have expenditures of 1.3 now it's getting our deficits there starting in the month of March 2 1.2 going down that brings us down to 4.3 our in cash balance on row 34 we carry over for the month of April that 4.3 another deficit revenues minus expenditures 1.2 our cash now is 3.0 we carry over the 3.0 all revenues going down our expenditures are still the same 1.5 our cash revenues is 20,7 and our expenditures for that month it's 1.5 now our cash 3.0 brings
076us down to 1.6 1.6 we carry it over for the month of June and we have another deficit of 5.2 between our revenues and expenditures going down to 362,552 and so on for the month of July we carry that over the 362,000 and we have another deficit revenues and expenditures to 1.5 the difference between those those two gives us two now a deficit of 1.2 the deficit of 1.2 is carry over for the our final month for the year it's 1.2 and we have another deficit revenues and expenditures as well is down in our cash available so that brings it down to 1.4 now our Revenue has exceeded the 18,000 that we have projected conservative data 18, 871 369 698 cents that's our cash our revenues minus our expenditures 20, 367,000 5337 that brings us
077down to our cash our Mar raes to a deficit of 1 m4963 39 our balances the projections we're managing our expenditures and revenues as we can so well we try to make a healthy statement there's good news and bad news which one you want first I'll start the good news first the good news is that the district done some work and You' done some work to reduce some of this you know what was a bigger problem two months back I guess in December and so forth there was a higher number so you've done some work to reduce that down quite a bit the bad news is that you still got a deficit of $1.49 6 million that that you're projecting here with everything else the expenses are going to be coming in now we talked
078about earlier about maybe the summer schools 280,000 not not $289,000 you can save out of that so it could be 2 $1.2 million um you could uh do some travel costs that could be a couple thousand dollar year and there um so you know it could potentially be down to $1.2 million when it's all said of um the the bad news is that you have to make payroll work for the month of July and August and as a result of that you may have to to borrow a short-term Loan in order to cover those costs because you know hope is not a strategy you can't hope about that somehow or another things are going to be okay now borrowing money is something that your financial advisor will work with you the problem about borrowing money
079is that you got to you got to get that you got to get that decision and that process roll months ahead it's not an easy process process well we need to do it now before inflation goes up I'm not really sure how that's going to affect the interest rate we will see but you know the you know and whether or not A bank's going to Ling of money I'm I'm not really sure if they predict that recommend that or whatever the case might be they're going to want to see whether or not your AG you're actually uh your financial advisor will you know uh provide opinions on this but they're going to want to see whether or not you have actually capabilities of paying the money back well basically I mean uh when we started
080Ming with them I mean it was a hard deficit that we were looking I think was in November mean when we were looking at about I understand and I was one of the things that they wanted for us to do can we make cards to make sure that we were able to pay uh whatever loan uh we going to get to to to uh not have the deficit I don't know I mean I don't know have you make contact with them or we've submitted the cash flow model to them I've had preliminary conversations with Matt uh we' yet to schedule AAL meeting to go overun now now this 1.4 I mean def said it doesn't include AR we supposed to have two months worth of payroll in our you know available or how many days
081of cash flow are we supposed to you've already broken that uh policy you have zero so going into taking a loan would we have to take the loan to cover that basically covering your payroll to cover payroll plus being able to bills your basically your accounts payable or your bills but that loan we wouldn't have to take out a loan to cover the two months worth of payroll that we're requiring to have or well that no we don't fund balance you have no fund balance we have to build it up with with with the cut that we made uh December when we decided to uh uh lay off some uh per professionals cians and all that plus some uncertified teachers well that was half a year on next year I mean we're looking at some
082more cards so next year we're going to be getting not only have a year of savings on on the cards but it's going to be a whole year because we're not the cuts that we made in December I mean it's not like they're coming back to work with us I understand that so so that can start rolling the thing on the fun balance I'll tell you that my job always and a superintendent job is to always bear the bad news worst case scenario and this is not the worst case scenario I'm going to show you the worst case scenario in a minute but I just want you to be very aware that uh you may not have a bank entertaining you to borrow give you the money if you don't then that's a big problem
083so you're going to need to have a discussion about that um you know there are school dists who are borrowing some money but it takes it's not an easy thing no Bank just going to give you money they got to know they need to look at your ledger to see what not you're going be paying back if you can't pay it back they're not going to give you the money this is where you're going to need to talk about it and you're going to need to talk about that sooner than later uh with your financial advisor that's the ones that needed to work those things for you uh there will be an interest payments on that and so you know that's something to consider which means you got to make further CS to cover the
084interest payments but told say because the interest rates are not that low they used to be lower a year ago but if inflation comes we're going to be paying a lot more interest on the loan so is there any way we could look at it now and try to borrow it now unless the interest goes cuz inflation everything goes up interest rates and everything and the federal government well you know how it is one day they'll say something one day they'll say something else so I I know the loans were what at about 1% 2% what two or three years ago now they're about 6% so if we wait they might be loaning US money but at 10 11 or 12% like I said this is not an you're not going to go to the
085bank and just get an overnight loan here it's going to take months to to get it going so uh it's not a fast process so soon you guys have a discussion about it she she mentioned that she's already in we're already in communication with with Matt and Don they both received the as model but uh we have been uh talking about more cuts for for next year I mean there's still we still have about about 10 teachers that are not fully certified and I know but that's not helping you on this one right here well no but like you're saying they're going to be looking at what else I mean we can do and and and also on on on getting money into the fund I know I know what you're saying right now we
086have to this is this year's problem you're talking potential savings um I think he means bank will look at okay there's further C down so that more savings for the school but that would just get us flush we don't have any additional revenues coming in and we're probably going to lose people leaving you know town or whatever so I mean lose what we probably people will probably leave town I mean not leave town but you know our population probably is decreasing you know and everything like that so um when you lose student enrollment you you you have less money exactly and we're already projecting 200 students less so that's going to that's going to be another yeah you're constantly making up costs by reducing your cost to make up the the deficit eventual deficit to
087make sure it's not and then the interest payments you got to constantly make even further Cuts you're thinking about making one cut one position cut you going to make five cuts to cover the cost was that the worst case not yet yet I just want to make sure that you understand first of all that the board understands this right here so far and if they have any more questions under our cost where does the overtime for all of the hourly employees and everything go into payroll into the payroll cost one question reference to the projection for Mark I know March is not over yet but so far have they been holding true for theed already in revenues we receive a deposit for Tes 30,000 and the 57 on the local Revenue also we have 63,000
088that's it that's actual that's posted but as of April all of that just I'm assuming you so you said B I don't know anything about that when you bid for insurance uh and you're looking at different companies could we save a couple thousand was the same service my healthare not uh just having the same service but bidding and trying to see cuz they want to come and give you but maybe a little bit less or it they really don't care I mean you could go out in a procurement process just get some bids and see what that is I mean um I'm not sure if it's going to save you that much but you could yeah right now it's in Pap healthare property insurance typically goes up toay about your auto loans auto insurance tell
089me somewhere that's going to save let me know switch myself well State well it depends but overtime and uh substitute calls was very strict about not having anything with that so if somebody's kids are going to have to be combined and you can't afford substitute call in overtime now your over time is in your transportation looks like for travel the weekends and so got to need to figure that out um some school districts that I've done this where you you put your transportation drivers on a shift schedule or St schedule so they're not getting overtime I I like what you said we have some something broken don't come just and fix this and then fix this fix fix it all at one time so they won't have to come back and mess with it if
090you had the money to fix it all at one time but unfortunately in this case you probably don't down the road you could go out and ask for the community they might give you a thumbs up on a spond to fix it all at once but you're going to need to earn the there's trust in that I would think to get that you guys know local elections how that would go better than I do I think it would tell them that uh we're not going to have money for buses to keep our athletic programs going on they would pass the but I mean right now you know as you think about this Workshop the the outcome of this Workshop was one to to get you a better understanding about your cash flow position your budget
091position so hopefully that you feel like you good or bad that you understand that understand where you are that should then increase some level of urgency because you only have few more months left to get a bank loan or whatever it might be to cover payroll costs and start thinking about next SCH Year's budget so you got to think about that um so you got to think about where can we make the cuts what decisions we need to make said programmatically we need to cut a low enrolled CTE program we need to cut maybe a uh some fine arts program that the kids are involved in we just need to cut that we can't afford it anymore whatever it is there's got to be some discussion about those things for next year now you got
092a this year problem of just covering costs right but I'm going to give you this just to kind of see where you know the other the other cost that you have issues [Applause] this is your current uh deficit position as a school district so we just been talking about the $1.49 million in the budget or the cash flow problem right anybody with me on that one but you also have to still reconcile because you you move $2.7 million from Debt Service into operational service m and that money of $2.7 million or thereabouts has to be put back to the ins side that money has not been reconciled it's not in this right here because all this was your m m a operation last year 23 24 you adopted a deficit budget last year that you
093have not reconciled $1.3 million on the books that you had to go ahead and make make up for your grand total right now that you're in the home for is almost $5.4 million $5.5 million now each one of these dollar amounts has a time when you have to get the money and pay for it and so forth and so on your $1.49 million is a disar PR that we need to inst to make payroll for July and August for people are not going to get to the paychecks your $2.7 million you got to do that ASAP that has that has additional consequences that we need to talk about at some other point but that's a big issue and your 1.3 you're carrying that on your books from last year does that make sense to that
094because last year you you adopted a deficit budget as well too 23 24 school year so that's on your that you that's not budgeted then you got to reconcile that now and you're thinking about adopting a deficit budget next year that's more money you're going to need to add on to this if you don't take care of this Runway so these are the these are your three big problems right now that you got we got to solve here sooner I'm nervous about one of one particular one I'm deadly nervous about it we got to solve the issue so there's got to be some discussion around that Deb service dollar amount I mean you're going to have to make that a prior I mean all these are priority but that's that's that's an immediate you got
095to you got to take care of and look on that it has the whole total has to be P can be paid no first of all it should never been borrowed not yeah so but you got to put that you got to put that dollar back now you know once again you know I always saw my job in the superintenden C is is always if I'll call you at 2 in the morning it's never never for good reasons but you better pick up the phone and I'm call I'm making that 2 amm phone call right now to you you know you can't you you're going to run out of you're going to run our time here how do we borrow buy when we owe that 2.7 million I think that's going to something have to
096have a discussion with your financial advisor here sooner than later on this all this issues remember we can't borrow your way out of problems though think that's how life works so at some point you're going to make some deep deeper Cuts than you want to to cover some of these costs it might be a combination of All Sorts remember getting a a bank loan is not an automatic thing you know you know you're not a charity case you're you you're supposed to operate this like a regular business and you have to provide Business Financial stability to a bank to give you some money that's a lot of money for that's well you know that's a five almost $5 million of your $18 million Revenue I want you to think about that what percentage of that
097is you're trying to borrow against so we're going to have to really do some work on that you know I think that we can sit here all night long and come up with Solutions or trying to figure this out but you know but you know I think the cash flow what I've asked your superintendent to do is really watch that cost right now to reduce it down just a tad bit possible maybe 122 uh if there's substitute cost long going really upset but uh we can't increase that any more than what it is so your Deb service that's it happened um and we have to put that money back to make sure that the carryover is something you can't turn the clock back that's last year and you got to reconcile that issue or else
098you're going to basically take that down to next year so if I were to prioritize this right here I would say that that death service is number one priority if I was in your seat I would lose SEO that number cash flow will be my second one and prior that carryover my third third one I understand you have some one time money's coming in you're going to have to probably in my opinion use that for your you know that that service as quickly as possible but you're going to need more to make up for that how much money will be coming out you know not sure 1.22 million we already got that right it's already in yes as long as there's no restrictions on that I'll check with your attorneys on that but that's the
099case you may want to put that I believe there was still going to be 1.5 you know that you still need to go ahead and uh think about but there's a time more warrants is that somewhere in here no time warrants are not in this three things they're they're just baked into your budget yes and what she's going to do from now on is budget that so it's reflected on the the right uh oh right 6500 questions for her question for not right now any question you know uh so y'all have spring break coming up next week so then it's in the March so that's timelines are really tough so you know you probably need to have a pretty early uh Workshop in April with your financial advisor on the mechanism by which you go
100about borrowing to take care of few these things uh I need to have your bond counsel in here soon to talk about your debt service issue uh so talk about that issue and in terms of where the money's is going to come with and so forth I mean that's something we're going to discuss but I would suggest that you have multiple meetings in April you can't wait on this until May going to have to probably each week once a week at least it's nothing else in April try to figure out how to solve this issue and then while you're doing that you're going to need to think about adopting next year's budget by looking at reduction in force so you got my assign to the board the superintendent will be [Applause] to set meetings up
101as quickly as possible that yall schedule will work and then you're going to need to get your uh Bond counsel in here as well as your uh Financial advis some of these issues and then you're going to need to start looking at additional further reduction in force potentially for next year to what your comments earlier about next year's bu adop that yeah you need to adopt in about July right no August a but we're going to do it probably for yeah but in terms of personnel you're going need to do that by mid April um so it's 40 days proact the last day of instruction so puts it around April 15th letting folks know what's going to happen next year you know it's tough but you're going to need to think about that um you
102know met with your superintendent about you know if you uh I think it's going to be proportional can't be all teachers or it can't be all one group it's got to be proportional to the needs of the kids you know where as the enrollment drops you're going to need to have less people it's say and if if people want to have uh an employment just got to figure out how to get more kids in here it's the name of the game but uh that's a budget AR process you're going to need to go through you got an immediate problem to solve these your budget you should start talking about these things your personal decision is going to be the first thing and you're going to be adopting that budget in August so you got some
103time there but your personal decision has to be made in April too so you you're going to be really busy the first two or three weeks of April so if you're not mean together in the first couple weeks of all the time then you're off track you can meet last week of March and start early if you like uh or even over spring break so you know y y'all need to get together and figure out your availability and dates and and move as if you want to move fast can't not want to me next week so that's that you're going have to commit to that we're meeting with u Madden on this week and then we can schedule I'm turn it back to you Mr President at this particular point I have anything else to
104you well you already give us information that we need to work on and I mean the UR we have to what we have to do to compl is outside of controlling substitutes and overtime it's being done to I mean all our costs so we've already reduced we did this in advance we reduced uh our local budget by pretty much 50% in terms of 62s 63s and 64 so the numbers that you're seeing there are have already been reduced by 50% so what we need to do for the rest of the year is to go cut them probably another 25 uh 30% but they've already been reduced we're also tracking overtime we're tracking substitute pay we're making sure principles no principles are working with us nobody is forign to this situation everybody is contributing to what
105we know our work is I'm time for right now question I should have listened to my mom [Applause] any other questions I mean uh number six adjournment I have a a motion to adjourn second I'll second you need in favor six time is 7:00