FCPS School Board Action Meeting - June 22, 2026

001up the wall. of the world. world. The world Uhoh. Heat. Heat. Can you all hear me? Okay. >> Yes. >> Okay. It is 6 o'clock. I'm ready to get started. Is everyone ready on the call? And is everyone ready in the room? >> We are good in the room. >> Okay. Miss Jackson, are you ready? >> I am. >> Okay. Good evening everybody. I will now call this regular meeting of the County Board of Education to order. Miss Jackson, good evening to you. Will you please take the role? >> Good evening. Amanda Ferguson, >> present. >> Amy Green, >> present. >> Tyler Murphy, >> present. >> Penny Christian, >> present. >> Monica Mundy, >> present. >> Thank you. >> Uh, thank you, Miss Jackson. I'd like to welcome everyone joining us for tonight's meeting both

002in person and on our broadcast. First on our agenda, board member Monday will lead us through our act our observation of a moment of silence followed by the pledge of allegiance and a reading of our district mission statement. Board member Monday. >> Thank you and good evening everyone. First, we would like to acknowledge the tragic death of Allison Moulder, who had served as a preschool pareducator at Booker T. Washington since 2022. Our hearts remain with her family, friends, and all those touched by her passing. Please join me in a moment of silence. Thank you. Now, let's read the pledge of allegiance. I pledge allegiance to the flag of the United States of America and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all. Thank you. And

003the mission of Fyet County Public Schools is to create a collaborative community that ensures all students achieve at high levels and graduate prepared to excel in a global society. Thank you, board member Monday. Our first order of business is approval of our agenda. Um, I will accept a motion to adopt the agenda. First, I do want to let board members know. First of all, thank you board members um for turning in the RFP uh board attorney RFP scoring sheets. Um because those score sheets came in after the posting agenda, we have a placeholder for the board attorney RFP. And we have one of two options on how to handle this as we adopt the agenda. Um the winning uh RFP was for Sturgil Turner which is our current uh board attorney. Um so the way

004we can approach this is we can amend the consent agenda item um to reflect approval of the contract with Sturgil Turner to reflect those scores. Um or we can treat it as a separate action item for the action part of our agenda. There is a placeholder on the agenda. Now that we have received the uh board member scores and those have been compiled. Um based on those scores, we can can add to the agenda a motion to uh accept the terms of the Sturgil Turner proposal. So is there a preference for continuing with that on the consent agenda or moving it to the action section? I'll entertain a motion for either one. Then for me, >> yes, chair Murphy. Um I will entertain or I will move to approve the consent agenda with um I12

005listed as legal services with Sturgil Turner. >> Okay. So we have a motion to a uh approve the agenda with the amendment that item I12 will be to approve the uh proposal for board legal services with Sturgil Turner. Is there a second to approve the agenda with that amendment? >> Second. >> That's second by board member Mundy. Questions on adoption of the agenda as amended. Any discussion? All in favor please say I. >> I. Any opposed? Motion carries 50. Um, at this time, I'll turn the agenda over to uh Dr. Bradford for the superintendent's report. >> Thank you, Chair Murphy. I'd like to add my own welcome to all of us uh to all of you joining us for tonight's meeting. Your participation and engagement uh with Bay County Public Schools are truly appreciated. I

006wanted to share with the board tonight um some updates regarding summer learning and student experiences uh that are happening throughout the month of June which of course is coming to a very quick closure. Uh one of our mutual interests over the past week and one half has been stability and leadership and continuity of operations. So I have several examples that I would simply wanted to share with you tonight to let you know that we have a lot of high quality programming happening throughout the school system. um touching students that are in our current preK program all the way through um our seniors or rising seniors. So, one of the first activities that's taking place in our schools this summer are or is extended school year services. Um this is one of our academic programs happening

007throughout the months of June and July. Um it started last week on the 15th of June and it's running through the month of July. Um July the 23rd will be the final date of uh extended school year programming. This is happening on Mondays through 30 through Thursdays. Um Fridays are not a school day for students in this program. And we have two host sites in our district um which are two distinct areas of Faget County Public Schools. Ashland Elementary School is hosting our students in um at the elementary grade levels and Brian Station Middle School is hosting our students at the secondary level. Um, and so for this programming to take place, it took a lot of essential leadership from our office of special education. Um, but specifically, we have a we have a multitude

008of teachers serving our students in our ESY programming. That's what we refer to this programming as. So, I certainly just want to take a moment to say thank you to the teachers who are providing time during their summers uh to provide these services to our most um our most disadvantaged students with regards to academics and making sure that they are ready for the next academic school year. So, we're really excited for the work happening there. Something that is more co-curricular in nature is also vastly approaching this summer. Uh we are hosting our third annual district summer musical and this year there has been a selection of Susicle the musical. Um nearly 80 students from all of our high schools and high school special programs um have begun to have began to work on this project

009over the course of the last three weeks and it culminates this weekend. We have shows beginning or starting on Friday, which is the 26th of June at 7:00 p.m. Continuing with two opportunities on Saturday. There's a matinea at 2:00 p.m. and then a 700 p.m. show. And then the final performance will be on Sunday the 28th of June um at 3:00 p.m. We do offer tickets to anyone who would like to be a part um of joining the the program. You can go to the Faget County Public Schools website and look at some of our most recent news stories and there will be a specific story on um Susicle the Musical with the direct access link to tickets. So, I hope that you all will uh perhaps consider attending, but also we welcome our entire

010school community to come and be a part of that special program. I do want to thank um our department of fine arts and specifically our director of fine arts Katherine Lther um for the leadership that she's provided in making this uh an opportunity that was available for all of our students. We have another academic program happening as well this summer and this is specific to our students that are affiliated with our multilingual department. We are supporting students that are involved in our migrant and refugee programs specifically at the elementary school level. There are a variety of opportunities for students to be involved. Ashland Elementary School is hosting a camp. Um we also have students that we are sponsoring um in attending a 4 camp locally within central Kentucky. We are hosting a kindergarten readiness camp

011for students who are migrant refugee that are our current preK students that are rising into kindergarten. And then we're offering at-ome tutoring as well for targeted students within this particular population. At the middle school level, we are hosting a soccer camp which is of course very trendy right now with the world up happening um even in our own country. And we're also offering an academic and life skills camp as well for students of grades six through 8. I think that you will be um particularly impressed and satisfied with some of the offerings happening at the high school level because we're doing uh an a significant amount of college and career focus. Um and our students are actually having access to college dual credit courses through the local university specifically targeting um college mathematics. So, they

012are taking one of the MAT classes um to be and to be able to be fully prepared to metriculate into higher levels of mathematics coursework um when they do metriculate to college. Um and we're also giving very specific FAFSA support to these students and their families um so that they're ready for the next um step in their process of considering post-secary opportunities. Uh don't forget or don't be uh mistaken. We have students also involved in grades 9 through 12 in soccer camps as well. Um really taking advant advantage of that natural interest as well as the talent of our students. And really this has made uh been made possible by our multilingual department. So I do want to thank our director of that department, Rose Santiago, as well as her entire team for making these

013opportunities available. As you are further aware, we have a very special partnership um with Toyota. And one of the partnerships that we are most proud of and grateful for is Toyota Driving Possibilities. And we have six schools, as you know, four elementary, one middle, and one high that are involved in our Toto Driving Possibilities grant funding. So, we're offering several different summer learning experiences for students at all levels um here in our school system. The first is this is fun for grades four through five an academy explorer camp. So this is happening at Brian Station High School, which you will recognize is an academy school. We actually have students at um not actually only from Brian Station High School, but across our high schools that are co-leading this AC this academy explorer camp for students

014in grades four through five. We have teachers also contributing to the work as well, but it's a really great way for our students to be influenced by one another. So, we're excited about that. We also have a power scholars program that's happening in partnership with the YMCA. And of course, the YMCA is a vital partner, an integral partner with FA County Public Schools. So, with Toyota Driving Possibilities, we were able to support um students and our DP, we call them schools, our driving possibility schools to participate in this power scholars um camp with YMCA. And then lastly, the University of Kentucky um is obviously another valued partner and their college of education is offering a summer camp specific to our middle school students. It's a STEM focused camp. It's a one-week camp. Um so predominantly

015our students from Windburn are participating so that we can further ratify and give opportunities and access in STEM related fields um to our students in middle school level to hopefully inspire them um to consider opportunities that more are aligned to their individual learning plan for high school. And for that regard I do want to thank our our our esteemed partners at Toyota for this obviously very generous opportunity. And we have a strategic partnerships manager for Toyota here in the district, Carrie Rogers. And so she's been very essential to coordinating that work for us. And the last update for me for this particular um summer experiences and summer learning update is very exciting. Next Monday, which is uh June the 29th, we will be hosting the Fate County Public Schools summer graduation. This will include um

016summer graduates from all of our high schools and all of our high school programs. Um I certainly want to thank the Office of High School Leadership for bringing this opportunity uh to our families and to our students. It will occur at Ferdict Douglas High School um at 10:30 a.m. and it obviously allows us to continue to celebrate the successes and achievements of our class of 2026 high school graduates. So, a lot is happening just within 3 weeks of closing the academic school year uh related to summer learning and student experiences. And I'll certainly be really excited for either myself or a member of the team to share some updates in July as well for the continuation of learning. So, I'm happy to address any questions if you might have any about any of those activities

017or any others. Um, just let me know. >> Thank you, Dr. Bradford. Any questions, board members? >> Chair Murphy, >> board member Green, >> thank you. Um, just uh at a moment to say thank you for the update and for our team inside FCPS for uplifting the educational experiences through the summer for our students being very intentional it sounds like. And then also a huge thank you to our families for helping coordinate their kids getting to these events. Um and our external partners. So you said UK, YMCA, Toyota, we have the soccer camps, the dual credit. I mean you could go on and on. This sounds like a full school year here in in just a few weeks. So I just think it's important to take the moment to say thank you for everybody involved

018and it's very exciting that we have all these opportunities and they're growing for our students. >> Absolutely. Thank you for Green. Any other questions board members? >> Thank you, Dr. Bradford. >> Yeah. Well, please let me conclude by simply just saying thank you to you all for uh your support as we continue to move forward. Um we're obviously very focused on delivering a world-class education. And I personally want to say thank you for um your support and encouragement that you each have provided to me over the last week. And I'll turn this meeting back over to you, Chairman Murphy, at this time. >> Uh thank you, Dr. Bradford and we do appreciate those words and we also appreciate your leadership during this time as well. Our next agenda item is time for public comment. Fay

019County Board of Education policy 01.45 states members of the public may address the board during the period set aside by the board without submitting an agenda item. No action shall be taken during this portion of the meeting on issues raised by employees of the public unless deemed an emergency. At the beginning of the meeting, members of the public who have signed up prior to the meeting are invited to speak on items that are on the agenda. If guest or public speakers uh wish to share documents with the board, there is a receptacle for those items near the speaker signup station. Speakers are not allowed to make disparaging or critical remarks about individuals or employees of the district. Those should be processed the district's complaint procedures, which afford the individuals to whom comments or complaints that

020are directed the opportunity for response and due process. Furthermore, members of the public are encouraged to model civil and respectful discourse and conduct. This is not intended to be a time for debate or direct engagement with the board. However, the board will take the public's input into consideration when making final decisions this evening. At this time, we have seven individuals who have signed up to speak on matters that are on the agenda. I ask them to come to the podium and they will have three minutes to speak and the timer will appear on the screen in front of them. Our first speaker this evening is Larry Moore. Is this on? >> Yes, we can hear. Okay. I believe this board desires to make the correct decisions. Therefore, I'm asking or I'm reminding this board has

021a fiduciary duty under Kentucky law that requires that any decisions affecting the district's finances be based on independent, accurate, and complete financial analysis. I want to be clear, I'm not speaking for or against any either development. Both projects of the pilot program, Rose Tower or Midland Station may in fact be good projects, but they are development developers created marketing documents. They are not independent financial models. You have an obligation to seek independent verification of those numbers before you act. Given that you have the financial crisis, including two Moody's downgrade, a reliance on a short-term loan, internal control concerns, ongoing governance issues is critical that this board respond in the best interest of the district. Failure to provide proper analysis would yet add another mark of weak governance in several entities are watching tonight. Also, I'd

022like to speak about the Weaver Management Consulting increase. So there is now significant leadership changes at FCPS and therefore the board should take a prudent governance approach and ask in a public meeting for Weaver to provide a written status report from the firm a copy of deliverables completed to date a detailed justification of the additional $35,000 which you were awarded to them based on low price. an explanation of how that work differs from or complements the state auditor's examination and get advice from legal counsel regarding the pending implications of ongoing litigation. A recommendation from the current district leadership regarding whether they should continue with this project or not. Also on the planning committee or planning session, there was a placeholder for a new audit firm. Well, several weeks ago, we were told, well, there's another

023year remaining on the LBMC contract. But you know, so if you're asking for a new firm for 26 and restate 25 and the comment that multiple errors go back to 2008 potentially, a the multiplier impact of that audit is going to be huge because KDE is not going to change their timeline for submission date. So the public deserves to understand why LBMC is not the auditor of choice. Thank you. Thank you, Mr. Moore. Our next speaker this evening, let me pull this up. I'm sorry, it went away from me. Our next speaker this evening is Barbara Priest. Good evening board members and Dr. Bradford. My name is Barbara Priest and I'm the president of the Faget County Education Support Professional Association. The FCESPA board is against the FCPS policy change that was presented to the

024board on Monday the June the 8th 2026. We know this change is to be in compliance with state law passed in the general assembly in 2025. I'm just going on record that this policy is very unfair to 11month and 12-month employees, especially our classified employees. They already lost five vacation days and this policy does not allow employees to carry two personal days over to sick days. 11 month and 12-month employees receive a sick day for each month of employment plus three personal days. Once this policy is passed, they would have to take two of their personal days or lose them. Right now, the current policy allows all personal days that were not used to be converted to sick days. I understand why this policy has to be approved, but I'm here to continue to urge

025you not to forget classified staff, those who work with students, and especially those who work indirectly with students. Classified staff are essential for the success of Fyet County Public Schools. My hope is that as these decisions are made, everyone realizes that there will be lasting impact on the people who have dedicated themselves to Fyet County Public Schools. Thank you. >> Thank you, Miss Priest. Our next uh speaker is Matthew Ve and is uh Stacy Crest in the room >> and Alan Vetnik. because they have yielded time. If they are there, that would be a total of nine minutes. Miss Ferguson, thanks for being here uh in person. Important times. I'm glad you're here. Um, so I I don't have nine minutes worth of content um tonight. One, the thing that I would encourage the board

026to consider hopefully to consider today in close session um are are all of the reasons that exist to fire the superintendent with cause because >> I'll remind you that we cannot get into personnel matters. So, I'd ask you to keep your comments contained to items that are on the agenda. >> Respectfully, Mr. Murphy, the only thing that matters right now is the status of the superintendent. Um, and I'm not I'm not going to disparage the superintendent. I'm going to speak to the facts of the matter, which are that there are that there are there exist plenty of reasons to fire him with cause. Um your your own investigations we there your your very own investigations have already detailed significant matters of his derelction of duty with regards to the budget. Um a and a as

027we get to the end of the year, we're we're going to find out pretty soon I suspect that we're going to find out that what we have been told for the last 12 months about the budget has been false has been completely false. Um and he has been presenting a a um a what what he calls a balanced budget over and over and over again. and the the the but the facts of the contingency fund and how how much is there all of that is false and we're we're heading into a new fiscal year where we will have zero dollars of beginning of beginning balance and so ju just based on the the the last the news reports of the last couple days it it seems to me that we're heading towards uh litigation concerning

028his employment um and so I would I would encourage the board to consider that instead of considering um any sort of proposal to end his end his tenure um with buyouts or financial payments, he needs to be fired with cause. There is plenty of reason to do so and it should have been done before now, but but it hasn't. So the the other thing I would say is um I I think you guys need to be paying very close attention to uh on the budget report um finding out h how much where where we are going to end the year um because what I'm very concerned about as I've been concerned about for months and months is that um you you were going to run out of money but now now it appears as if

029we're going to have less than zero in in the contingent in the in the ending balance. And so if that be if that is the case, you need to have a very you need to be presented a very clear plan for how the fiscal 27 budget is going to work if you have to use borrowed money to bring the be the the ending balance back to zero because essentially you will be using fiscal 27 revenues for fiscal 26 expenses which create a serious burden. on the fiscal 27 operating capital. Um and so if if that is the case, we need to have a very clear picture of how how we are going to make the budget work. Uh if the cuts that we have if the cuts that have uh been made so far are

030enough to cover both fiscal 27 expenses and also fiscal 26 expenses that we'll have to cover if we end the if we end the year in a negative balance. So that is all. Thank you for my time. I appreciate it. >> Thank you, Mr. Vid. Our next speaker uh is uh Dr. Mark Russell. Dr. Russell, >> I'm going to wait for my iPad. >> I won't get thrown out. I did want to say before I get started, I appreciate the fact that all of you are making eye contact with the speaker. I think that is extremely important today. My iPad is still waiting to turn on and uh I only have brief comments, but I will get to what I need to say. It's been two weeks since the last board meeting. The events that

031led up to the superintendent being placed on leave have shocked us. And now a new waiting game begins with lawyers on both ends and the threat of litigation. As a frequent speaker during public comment, I feel today a sense of vindication. In the past, when public speakers came forward, I felt only that two board members were listening to me while the other three were either mocking what the public had to say or dismissing it as noise. Dr. Bradford, I am all for giving you a chance as interim superintendent, and I do this in spite of what I read today about district payments made to Dr. Billy Snow. But you will not be able to hold the public trust if you continue to surround yourself with former defenders of Dr. Ligans. It is time to clean

032house. Finally, I want to address a comment made to the media by a board member. She implied that we were suffering a setback because our Texas born superintendent is leaving. I disagree. >> Again, Miss U. Dr. Russell, please avoid any type of personal vindictives. you you may comment on any matters at hand. >> I think I can speak for the Faget County teachers and staff here. Our teachers were doing their jobs long before the superintendent came and they will continue to do it long after he has left. Thank you. >> Thank you, Dr. Russell. Our next speaker is Tanzy Coats. Good evening board members, Dr. Bradford, members of our community. Happy birthday, Dr. Monday, by the way. [clears throat] Thank you for being here. Um, before this meeting, I joined several others in a moment

033of prayer for our district, a prayer for truth, forgiveness, and healing. And I wish I could say that I feel hopeful about the future, but recent events, including Dr. Ligan's paid administrative leave and then now a request to be reinstated. The announcement that the auditing firm now requires additional funds to complete its work and the most recent legislative interview with our CFO have left myself and many community members with serious questions and concerns. Tonight I want to speak about accountability. I have to make one thing clear. We are not here because we invested in our classified and certified staff. We are here because we did not have accountability measures in place with our finances and personnel. As an employee of this district in multiple schools over the years, I have watched confidence in our leadership

034diminish when accountability appears inconsistent depending on who you are or absent altogether for certain individuals. I don't know why this is so hard when our students depend on it. I recognize that personnel matters and legal requirements limit what district leaders and board members can publicly discuss. However, I am asking that those limit or that there is transparency during this process. For that reason, I do not support if it is ever up for discussion the reinstatement of Dr. Ligins as superintendent superintendent. I'm asking for transparency throughout this investigation. There are others here who I'm hoping are brave enough to step down and admit failure so we can build rebuild trust and begin a new. I'm also deeply concerned with any discussion in regard to allocating any additional monies to the auditing firm to complete the work

035outlined in their contract. I believe this district can recover, but it will require the board and our acting superintendent to put accountability at the forefront of our policies. Our students futures are too important for anything less. Thank you. >> Thank you. And our last speaker for this portion is uh Scott Shapiro. Mr. Shapiro. >> Good evening, Dr. Bradford and board members. Um thanks for having me here tonight. Um, Scott Shapiro here with the Midland Station Project. Uh, first I want to say thanks to board member Green for shaking my teenager's hand uh at RUP a couple weeks ago when he graduated from Henry Clay. Uh, it was a brilliant event. Um, I'm here because we are hoping that you approve the pilot for Midland Station tonight. There's four reasons for that. Um first is that

036we are part of a city program this application that uh FCPS helped develop uh to promote uh workforce and affordable housing in in Lexington. Um it was developed in conjunction with the the mayor's staff, the economic development staff and was passed unanimously by the the city council. Um the third reason is the the pilot. uh we have adjusted the pilot in a way that like the Rose project um makes uh FCPS whole according to the school's financial adviser, its independent adviser. And then lastly, this pilot represents new revenue uh for the district over a million dollars over 10 years that it would uh not otherwise have. So just a little more more detail. Middle station is exactly the kind of project that was envisioned by the city program that we're applying under. Um dense infill

037housing along transit routes complies with the letter and the spirit of the of the program. 258 homes um for folks in uh with workforce incomes. It's now a vacant lot, but we hope that uh families are living there soon and hope FCPS employees live there as well. Um and then our bit about our partnership with FCPS. So it began by negotiating the pilot. We were asked to add a discount program for early career teachers and we're happy to do that. Uh we we said we'd do that for five teachers. We love the idea. Um we spoke with the equity council. They asked for to increase that number and we didif to to 15. They asked that we add pared educators uh and we did. They asked that we explore a partnership with the hill and

038we said we would. Um so we're proud to get their recommendation. The finance committee appeared favorable. Asked that the pilot um make the city whole. I mean make the FCPS whole. So we did that as well. Again just like the the Rose project. And so that new pilot is what you're voting on tonight. Uh over a million in new revenue for the um the school system under the pilot. Um, and let me just end by saying uh we appreciate your partnership so far and we just can't wait to bring this new housing and uh to Lexington and this new revenue to FCPS. Thanks. >> Thank you, Mr. Shapiro. That concludes this uh public comment portion of the meeting. Next on our agenda is approval of routine matters. Uh at this time, I'll entertain a motion

039to appoint acting superintendent Dr. Bill Bradford to serve as acting secretary of the Fey County Board of Education. Do I have a motion to that effect? >> So moved. >> Oh, I'll second it. >> Motion by board member. Was that board member Christian? Second by board member Green. Question is on appointing acting superintendent Dr. Bill Bradford as acting secretary of the board. Any discussion? All in favor, please say I. >> I. >> Any opposed? Motion carries. 5-0. Next is approval of our minutes from our previous meetings. I'll entertain a motion to approve the minutes of the June 8th, 2026 planning meeting of the Faget County Board of Education and the June 10th, 2026 special call meeting of the Faget County Board of Education with the update of Dr. Bradford as acting board secretary. Is there

040a motion to that effect? >> So moved. >> Motion by Bormer Green. Is there a second? >> Second. Second by board Monday. Questions on approval of the minutes from June 8th and June 10th with the update of Dr. Bradford as acting board secretary. Any discussion? All in favor, please say I. >> I. >> Any opposed? Motion carries 5-0. I'll next entertain a motion to approve our consent items as presented with the amendments noted at the beginning of the meeting for the board attorney uh RFP going to Sturgil term. Is there a motion to adopt the consent agenda? >> So move. >> Motion by Bormer Christian. Is there a second? >> Second by Bormer Green. All in favor, please say I. >> I. >> Any opposed. Motion carries. 5-0. At this time, I'll turn the agenda

041over to uh acting superintendent Dr. Bradford to take us through the remainder of the agenda. >> Thank you, Chair for Chair Murphy. The first two action items for your consideration tonight are related to the proposed payment in lie of taxes agreements uh that we've discussed at several previous meetings. The first of the two items is an arrangement between the Lexington Fet urban county government LFUG and the Fyet County School District and related affordable for the funding of the redevelopment project at Rose Tower. The second item is between LFUG, the FA County School District, and UCD Midland LLC for the funding of the Midland Residential Development. Should you have any questions this evening about one or either um of these particular items, our chief of staff, Tracy Bruno, is available to answer. >> Dr. Bradford. >>

042Yes, ma'am. You mentioned that um Compass had took a look at the proposals, correct? >> Yes, ma'am. >> Could u Mr. Bruno share a little bit about um what Compass had to say when they took a look at that? >> Sure. Uh Go ahead. >> No, please, sir. >> Board member Money, we have uh Michael George who did the analysis for us here tonight to kind of give a broad overview and answer any questions you have about that um about that analysis. >> Hey, good evening. Um, I'll start with the uh Midland Station uh pilot agreement. That's the one that we did a deep dive on in terms of uh kind of the mechanics of how the pilot worked and the revenue side. Uh and so um after we ran our analysis, we had discussions

043with the folks at Midland Station and they revised the pilot agreement upward. uh and the amounts shown on the pilot agreement um are now what we feel like uh make the school district whole on a net basis. And so if you look at the project and you look at the potential revenue that would come into the school district if you all did not participate and then you back out the impact to seek which impacts how much money you all get every year based on the assessment. So if you did not participate in the pilot and looked at the uh gross revenue that came in and then you back out seek that net amount of revenue is essentially what the pilot agreement now has in it. And so from a net basis, assuming your current tax

044rate, assuming current seek funding levels, uh our estimate is that the school district on a net basis uh breaks even on the pilot. Uh in terms of if the development goes forward, >> chair Murphy, >> thank you. Former Green. >> Thank you. Um Mr. George, so you had said that it would be about a break even over that 10-year abatement period. Looking afterwards, after that 10 years, what does the financial uh net gain look for without the pilot and with the pilot? >> Yes. So, um, either way, at the end of the 10-year period, once the pilot rolls off, you all will collect the full normal taxes on, uh, the property itself. And then you will have a net impact to seek. And so, the gross revenues are around, we estimate around 330,000 in year

04511, so after the pilot ends. Uh, but you'll lose uh roughly 170,000 in SEK. And so the net benefit in year 11 after the pilot goes away is 160,000 a year. Uh and that's just based on your existing tax rate uh and assuming a modest growth on the assessed value of the property. >> Thank you. >> Any other questions? Bo members, do you want Dr. Bradford, I know you uh these are listed separately. Are are you entertaining questions for both projects? >> Certainly. And the more you can make a decision as to whether you would like to separate these two considerations. That is completely acceptable if that's your interest. >> Okay. This this may not be a question uh you can answer Mr. George as related to your um fiscal analysis of the project. Maybe

046Mr. Bruno can answer this. for the Midland project. Can we discuss the extent to which uh the um the community, the neighborhood was involved? Is there a commitment um as it relates to um affordable housing for people in the in the area and in the neighborhood in addition to the commitment to FCPS staff? Well, they had to meet certain provisions in order to be able to apply for the industrial revenue bond. You know, the the um the gate the uh span of of rent had to meet certain criteria to make it affordable housing. Um I don't know if I mean Scott, is he still here? Um could come up and speak about interacting with the community. Are you talking about the neighborhood around the development? >> Yes. >> If the board is is comfortable with

047I'm fine with Mr. Shapiro answering that question. >> Hi, thanks for the the question. Um, so the city program was when it was developed uh mandated that uh any applicant provide 20% make sure that 20% of the units in the development are affordable for those in the workforce income category. So around just below or just above the uh area median income um in Midland Station. So the the minimum to go through the program to apply through the program is 20%. Uh we're going to dramatically exceed that. Um have we uh talked to uh um associations around the project? Absolutely. We've I think I've done three um William Wells Brown Neighborhood Association events. Um Bellcourt, Mentel. Um we also spoke with the um the businesses around National Avenue who are very excited about the program. Uh

048signed a letter of support. We spoke with the businesses um at the Met um DV8 and others. So, um, we spoke with sort of the the circumference, um, or the radius all the way around the, uh, >> Thank you. And when in those conversations, especially with the neighborhood associations, what has been the general feedback? And was there any information um that they provided that helped aid in maybe changes, adjustments, approaches to the project or the proposal? Yeah, they um so they were uh unanimously in favor of the the project. Um they wanted to make sure that there was a retail space on the bottom on the first floor. Um they wanted to make sure that it was something local uh which fits in with with our vision as well. We're in talks with a nonprofit

049um to have that that space. That's not um a done deal by any means, but that's who we're um talking with right now. Um to be honest, they were pretty excited that there was going to be something there. Um that those buildings would would be demolished. They were um some folks were were living in them. They were very um dangerous. I think um they were unanimously excited that something was going to go on this important piece of land that's sort of a gateway to the um to the community. To be honest, the the thing they were most upset about is uh the speed of traffic on Midland Avenue. And so we made those uh we heard that from all the neighborhood associations and we um set up a meeting with the city to bring that

050to light and to start thinking about uh solutions for slowing down traffic on Midlands. >> Thank you. Any further questions? Board members. >> Chair Murphy and Bo Christian. Um some of this is uh having a little ESP where we're concerned, but um as far as LFUG and recourse they have um in terms of following through with what they say they're going to follow through with, right? Not altering the project mid say midway because it's not working and they want to do something else. but also how do we guarantee that we are held harmless regardless of what the decisions are? Does that make sense? >> Yes. >> Um there's a uh there's a very serious way that um you all are held harmless is through the the contract that we'll have um both with the with

051FCPS and with the city. If we're not in compliance with the with the program, um the way the program works is the land is becomes owned by the city and that um takes away the property taxes and that's why you negotiate a a payment in le of taxes which we've which we've done. Um if we're not in compliance then the it's that simply goes away. Um the property goes back to uh UCD Midland which pays full taxes immediately. Thank you. >> Yes, board member Christian, that's part of the uh agreement with LFUCG is it's a leaseback agreement. So technically the city would own that property and lease it back to the developers for the life of the pilot agreement. >> Thank you. Any other questions? >> Dr. Bradford, do you have something to add? >>

052Yes, of course. I totally support the will of the board as it relates to one or either of these projects. I did want to simply make sure that the board had this piece of information, which is that you will be familiar with. We have a variety of committees that are charged by the board of education to consider a variety of our priorities. Um, two of which actually took into consideration these pilot agreements. So we charged the um budget finance and accountability committee which we've come to recognize as DEFAC as well as the equity council committee which we've come to realize as the ECC and both have come forward within the last two weeks um with their recommendation their advisement um to support both of the the pilot agreements. So I simply wanted to make sure

053that that was information that the board was familiar with um and knew tonight. >> Thank you Dr. Bradford. And I know one of the conversations we had um and the ECC brought this into the room and as Mr. Shapiro indicated, some of the recommendations uh for the adjustments made to the Midland pilot proposal in particular came from ECC. Um Mr. Bruno, maybe in your conversations as part of these groups, can you discuss how these projects can help advance the um uh a commitment to expanding access to affordable housing in Lexon and Fyet County and how, you know, when we engage with constituents and talk about uh the importance of us as community partners and making sure that we expand access um uh be it to individ individuals in the workforce or individuals who um are

054are facing challenges in finding affordable housing. How is it that these particular proposals can help us move closer towards that goal of expanding access and opportunity? Well, it's been stated previously that, you know, Lexington has a a serious affordable housing problem and the city has come forth and and then expanded this uh industrial revenue bond uh proposal or or opportunity for mixed use. Before it was just manufacturing and so now they've recognized LFUCG has recognized the fact that we do need more affordable housing and have worked and is you know gone above and beyond to work with developers but to also make sure that Lex Tran the library and fake county public schools [clears throat] approve any kind of agreement before it even goes to the city and the fact that um I think you

055know that Mr. Shapi has mentioned um you know that they're going to go above and beyond what what the minimum requirement is for affordable housing in their complex. Um I think related as well um the Rose Tower um folks. Um now that's more that's more of a retirement community. You're talking about 62 and older, but you know affordable housing doesn't have an age limit. We know that we need it across the city. We need across age limits. And so I think these two uh developments really will help propel us forward and to make sure that we don't price price people out because that's one of the concerns is when we you know create new developments are people around going to be priced out of their you know houses if they're in leases or rent things

056like that. So, we'll definitely work with the developers going forward. And again, you know, um talking about taking the the number of housing houses or the apartments for um for Fet County Public Schools uh employees from 5 to 15 and including our classified staff members. That was a big, you know, a big point that the equity council made. They want to make sure that we expanded that and we did that. So, or you know, Midland did that as well. So it is just and one of the things you know our human resources when they're trying to recruit people into Faget County one of the biggest concerns that that people have moving here from other places is can I afford to live in in the city where I work and so we're trying to trying to

057bridge that gap >> thank you >> any further questions board members on either project >> Murphy board member M >> is the um review [clears throat] from compass on the agenda for the public to see. >> So, that's a great question. Uh, we actually asked that board member Monday, but um our our financial adviserss said that if we posted that publicly um that we might be giving away some negotiations for future developers and saying, "Okay, here's here's the here's what they will accept in County as opposed to being able to negotiate um better rates in for future development." So, um Miss George, you want to speak to that? No, I mean we're if if the will of the board is to share it, we're we're happy to do that. The discussions that we had was,

058you know, we don't necessarily want to give the playbook away for negotiating these pilots. We wanted to protect your all's interest in that regard. And so, uh, that was the thought process, but again, if if you all want to share it, we're we're happy to do that. Um but I will say that the the process that we went through and uh the development of the model and the thought process was what led to the increase in the pilot payment to make you guys whole. >> Thank you. Murphy >> Mundy >> other question moving forward if any of these pilot projects come up will we include going to board committees and also um consulting with compass first just as part of part of the general process um as well >> I think that this process has

059showed us a blueprint and a framework going forward to get input from obviously community also our committee um our our our board committees and also bringing and uh people like Compass to to give us their perspective on it. Certainly. >> And to that point, I think it's important for our community to understand too is that this is a uh process that we've uh approached with a lot of diligence. Um you know, I believe this is the maybe the fourth or fifth time it's been on a an agenda. Um you know, it that was discussed at two ECC meetings. It was discussed at a BAC meeting. Um we compiled questions from both the board from the ECC. Um and those questions I believe are linked on the agenda as well, those Q&As's. And we appreciate everyone

060involved in getting um those compiled. And then we also appreciate um the willingness of the teams for uh being responsive to feedback, right? when we asked for some changes and when we did the reviews and said, "Hey, um, can we work on the numbers to make the district whole?" Um, you were responsive to that and so we appreciate that. Um, and we appreciate everyone that had input in the process. >> I have a question first. Are the meetings where the the ECC meetings and the BFAC meetings where there was discussed are those linked on our website for the public to view that discussion? >> They are recorded. Um so I'm sure somebody could go back and and watch those. The BFAC meetings are the BAC meetings recorded for the website? I think that one was

061>> Well, I I guess since I'm uncertain, we all seem to be uncertain. I have a problem with that, too, that we we haven't really gotten public input and the public hasn't been able to to view that. [applause] >> Chair Murphy, >> more >> um the regular meetings for the ECC are recorded and um available online. you know that >> I mean they have it has been on the board this this board agenda um the past at least since May maybe before that as well. Well, it was discussed at the last meeting and I expressed concern that now was not the right time and perhaps in the future and I certainly wasn't expecting uh four weeks later, but um [snorts] and it was on the board agenda maybe two years ago and then strangely removed

062at the last minute. I think last month's the only time we ever discussed it. Are there any additional questions or is there a need for more information on a particular project? Okay, we can treat these or any other discussion. Okay, our first then uh consideration is on the Rose Tower project. So if there are no further questions, I'll entertain a motion to approve the school payment in lie of taxes agreement ar payment arrangement entered into between Lexon Fe urban county government, LFUCG, the Faget County School District, the district and related affordable related payments are to be made by related directly to the district for the benefit of the Faget County Public Schools beginning on or after the first January 1st assessment date following issuance of the industrial revenue bonds for the project. The payments to

063be made by related to the district are set at fixed amounts for each assessment year as set forth in the pilot agreement. Again, this is on the Rose Tower project. Is there a motion to that effect? >> So move. >> Motion by Bormer Green. Is there a second? I do not hear a second. >> I'm sorry I couldn't get off. >> Second. Sorry. >> Okay. There's a second for the Rose Tower pilot agreement. Uh any discussion? >> Chairman. >> Go ahead. >> Dr. or member Monday. >> Um, at the last meeting I did that we discussed this, I did mention that this is pretty tough timing and it gives me a lot of pause to make this vote with so many uncertainties still up in the air. Um, and even some of the items we're

064about to discuss after this also gives me pause and I still stick to it's not a for me um a never but a definitely not right now when we still just have so much regarding our budget. We just don't have answers to I mean we don't even have a firm understanding of where we're going to end our budget this year. Um we don't have that number yet. So, um, that's where us staying. >> Thank you. Um, I first want to say thank you to my fellow board members uh for your diligence and asking a lot of questions, listening to the community, um, engaging with our, uh, board uh, committees and listening to those. I think we've heard um and we've seen that the larger we had the more impact and participation we have the better

065the outcome is. Um I want to note that on the questions that were asked directly were from the board the impact on our current finance situation in the pilots and the answer back was that uh there is not one. Um and additionally once we look at all of this as a board or from my perspective our number one job is to center our decisions on what is best for students. And so fiscally uh the Rose pilot does that in both the short term and the long term. In the short term this pilot project makes us a whole at the end of it with a creativity and ensuring that we also are lifting our community partners and providing affordable housing. And then also in the long run, we're going to see an increase in the financial

066gains for the stu for our district, which is would then increase our ability to better serve our students. So I will be a yes for this. >> Thank you. Any other questions or comments, board members? And I will I will say that I appreciate the concern and it's one of the reasons why one of the questions that came up and um when we had this discussion both among the board and among the ECC was will the current financial reviews the current financial discussions um that we're having have any effect on the pilot proposals and the answer from Miss Co and it's included in this Q&A document is um no the results of the financial reviews will have no bearing on the pilot proposals. Um so um if there if there is additional information this board

067needs you know then that's certainly something we can gather on the Rose project and Mr. Bruno you can clarify this if needed. My understanding is that this is a project where um they are operating under a timeline and essentially it's what is it July 1 or July 30th um that they need to know something from the board. Is that correct Mr. Bruno? >> Yeah, they're applying for certain fate state and federal grants and so if they miss that window they would have to wait another year to apply again. So that's that's the timeline that Rose Tower is under. But >> and and so given that dynamic, that's one of the reasons why I'm I am comfortable moving forward with the the Rose project. Again, you know, we've gotten lengthy and uh contextualized responses from the

068developers on our questions. We've got endorsement from the ECC. And then we have our chief financial officer saying that this proposal, this pilot proposal doesn't have a bearing on the current reviews. Um, so that's my assessment and evaluation as well. Um, and what other our other public entities have said as well. So if there are no further comments, I will um the question there is a motion on the Rose Tower pilot agreement. All in favor, please say I. >> I. >> Any any opposed? >> No. >> The motion carries uh 32. And then the next question is on the pilot for the Midland Avenue project. I'll entertain a motion to approve the school payment in le of taxes agreement pilot arrangement entered into between Lexon Feet Urban County Government LFUCG and the Faget County School

069District and UCD Midland LLC UCD. Payments are to be made by UCD directly to the district for the benefit of the Faget County Public Schools beginning on or after the first January 1st assessment date following issuance of the industrial revenue bonds for the project. The payments to be made by UCD to the district are set at fixed amounts for each assessment year as set forth in the pilot agreement. Is there a motion? >> So moved. >> Motion by board green. Is there a second? There is no second on this item. Chair Murphy, board member Green. Um, >> if there are additional information that board members are seeking, I'm willing to change my motion. >> Do you withdraw your motion? >> Is that >> I can if there's additional information that other board members are seeking

070for a different timeline. >> Um, we do know that Midland obviously doesn't have the constraints of the Rose Tower project. So, I know that there was some concern expressed about needing additional input and information. So, board members, I know that Mr. Shapiro has been very patient and has been willing to to provide us additional information and questions. Um, now as a a platform or if you want to send those to Dr. Rafford. Um, does anyone have a request for additional information or additional avenues of um, acquiring information that they would like to propose for the Midland Avenue pilot? I'm not sure what additional information I need, but I will I'm happy to reach out to uh Mr. Bruno and Shapiro uh to move forward rather than to continue to do this tonight. >> Okay. Thank

071you, Bo Christian. Any further comments or questions? What did you say? >> Okay, the motion has been withdrawn and I'll turn the agenda back over to Dr. Bradford. >> Thank you, Chair Murphy. Our next item on the agenda this evening is the monthly financial report. So, at this time, I will turn our agenda over to two esteemed teammates of ours, our interim chief financial officer, Kino, and our acting executive director of financial accounting and benefits, Amy Smith. They will be presenting our monthly financial report. >> Good evening. Um, can you hear me? >> Yes, we can. >> Okay. So, good evening, Chair Murphy, uh, members of the board, superintendent, and community. Uh, thank you again for the opportunity to present tonight as acting executive director of finance. I just want to continue to provide an

072update on our financials as of May 2026. Uh, next slide please. Um, actually the next two slides are just reminders that um the financial accounting and benefits services department falls within our organizational health and effectiveness uh strategic priority. Next slide please. Um, a quick update before I I cover this slide just to give you an update on the FY2025 restatement which is still underway. We have made a lot of progress in the last two weeks and I am um going to be uh hopeful and optimistic to um try to commit to having this completed within the next two to three weeks. Um next I uh on this slide you will see a couple of um takeaways that we have um updated for the month of um May since our last meeting. And one of the

073things that you will see on these financials um deals directly with the audited nickel. As I explained last month, uh we determined that the audit finding was unfounded and um the adjustment for FY25 was made uh prior to May, but the adjustment for 2026 was not made and reflected in the financials until May of 2026. So that you will see in these reports also since our last report um there was another 1 million uh $46,394,000 discovered to be reported in FY25 but it should have been reported in September of 2025 which is this current fiscal year. The adjustment was made to reduce 20 the June 2025 financials and added to the May of 2026 so that it is reflected in the proper physical year. And since we've already reported on 20 or September of 25,

074that's why the adjustment was made in 206. Next slide, please. So, in response to the board's request, I've updated the report with three new columns on the far right, and I've visually tried to separate them um just for clarity. These columns compare our current May totals against last year uh data. So, we have the prior year-to- date as of May 31st, 2025, the variance amount in addition to a percent change. So you'll see those numbers um highlighted there. Uh there is a couple of red items highlighted that I want to draw to your attention or to your attention. Um and um the first is the discrepancy between the original FY25 beginning balance and the draft figure that is shown here. So notice that the the discrepancy um is that $41 million and this is due

075to the restatement of the 2025 and this number will potentially change uh once we actually finalize the 2025 restatement. The second highlighted area is the interest line item which also requires an adjustment for the FY2025 restatement and we to correct FY26 reporting. Interest is required to be allocated to any construction fund where bonds were sold. Previously, this was improperly allocated based on established security amounts rather than the actual cash balances. Because the security amounts were lower than the true cash balances, we must adjust the allocation to reflect the full cash balance for each construction fund. Consequencely, consequently, this adjustment will decrease the amount of interest recorded in our general fund for both 25 and 26. Next slide, please. So, following the same format as above, I have updated the report with these same three columns

076on the far right. Again, visually separating them for clarity. They include um comparing our current May totals against last year's data prior year to date as of May 31st, 2025. The variance amount and the percent changed. Um we closed May of 2026 tracking only 45% ahead of last year's spending pace at the same time um for this year-to-ate period. And um again we I continue to separate those on behalf payments. So if you look at that that bottom line we're very close to um tracking with the expenditures. Next slide please. Um again per the board's request uh last our last meeting I have added detailed information regarding our fund transfers. Uh we use primarily two types of transfers into the general fund. A general transfer and an indirect cost transfer transfers in uh for the

077month of May. We had no general transfers. Uh but we processed $17,000 uh transfer into the general fund for indirect cost for or from federal grants um and possibly from our ASP uh programs and ASP is our afterchool programs transfer out um while the year-to- date balance remains positive the details for May shows a negative transfer amount. This is connected to the FY2025 restatement. In February of 2025, the board approved the revised BG23.124 for Harrison Preschool Edition. However, the transaction was not recorded in our system until January of 2026. it has retroactively been applied to to correctly align with the timing of its official uh approval. So by moving it back to 25, it had to be reversed in 26 which created that negative. Next slide please. This slide uh provides further details specifically regarding

078our salaries and fringes which make up a significant portion of our budget. We have completed 19 of the 24 payrolls which is uh 79.2% which is very much in line with our expenditures uh to date at 79.4. Keeping in mind there are a few 12-month staff that have already received 22 of their 24 paychecks. Next slide, please. Additional information pertinent to this month's report um on the employer pay benefits. They too overall are in line uh with our budget at 81.6 expended to date at the end of May. Next slide, please. Lastly, we have the safety tax summary through May of 2026. Taking the board's feedback from last month into account, I have expanded this to show our total safety cost, not just the nickel set aside. Uh you would when you would when you

079add the 4.2 2 million budgeted for law enforcement and mental health specialists. Our total safety budget in the general fund comes to 23,783,976. Uh we have finished May at a84.4 spend. Also note that we have approximately $200,000 that is being paid for safety from other grants um that is not accounted for in our general fund. And with that um go to the next slide and I will take any questions. Uh, thank you, Miss Smith, and thank you also for incorporating within a month or less than a month those changes um and recommendations the board suggested last time. Any questions, board members? >> Chair Murphy, >> board member Green. >> Um, Miss Smith, on the last statement that you talked about that there was around, did you say 200,000 that was covered by other grants? Can

080you point to where that is? I'm I'm not finding it on the I may just I might just be missing it. Is it on the safety summary slide? >> It is not. And the reason I didn't include it on the safety slide is because the safety slide is a summary of general fund. And so I just wanted to mention that the addition,000 is being spent for safety, but it is coming out of our our fund to our grant funding fund. So, it's not general fund money. >> Okay. Thank you. That helps clarify. I just was looking. I thought, wait, I didn't see that number where, you know, if I missed it. So, >> and and and I I I just strictly and and as you see, I tried to detail these are other general funds

081and then the safety of all general funds. I did not include that additional $200,000 that's in our that's in grants. But thank you for sharing that information with us and and as Chair Murphy said, I appreciate the detail and uh where you incorporated our feedback in such a quick turn around. So, thank you. >> Absolutely. >> Any other questions? Board members. >> Yes, I have a couple of questions. >> Back to the first spreadsheet, first numbers page, I guess. the general fund revenue. So, um, beginning balance is 1.3 million and I believe you said that may yet still change and and I know we've been told that. I guess at what point and I apologize if you've already told me that's either you, Miss Smith or Kina. Um, when can we expect to have a

082>> final? >> So, I am I being optimistic, but I'm hoping that within the next two to three weeks I have that finished. >> Okay. And then the So, the prior year-to- date beginning balance was 43.2 2 almost 43.3 or that's the restated >> well no the 43 million is the beginning balance for FY25 so that's what we ended on June 30th of 24 and so we're not restating 24 so that number will not change >> but so we're fairly certain that's correct that that was my question yes it would have been the end of June of 24th Okay. But are we fairly certain that's correct? Because I know we've said that the contingencies have not been what we thought they were. >> Well, the reality is is that there were some discrepancies in 24

083as well, and we have corrected those in 25. >> That that's part of the restatement of 25 or some of the things that we found um in in 24. Um particularly um I would say um Miss Smith correct me if I'm wrong, but um in fund two we had multi-year grants that that were in 24 and 25. So we made the corrections in 25. >> Correct. >> Okay. So So we can trust that 43.2. I'm sorry I didn't. >> So we can trust that uh beginning balance for >> I am going to say that number is not going to change. >> Okay. Thank you. I mean and I I know >> unless an auditor directs us to go back beyond 25, >> right? And I and I know you all have been working through a

084lot and uh we appreciate that. So I just want to know if that's a we're fairly comfortable with that number. Thank you. >> I'm not expecting that number to change. Yes. >> Thank you. Any other questions? Board members, can we go back to the safety slide, please? On the seal instruction, do we know two questions? One, do we know what caused that overage? And then two is that reflected in other so that that is that is kept separately from like instruction in the general fund. Is that correct? >> Correct. >> Okay. And so do we know what what caused that overage? Was it materials? Was it personnel? Was it a combination? >> I I would have to research that. I did I did not look up that specific amount, but I I can find out

085and let you know. Okay. And then at this point on uh risk management and security, um how much do we expect that to change between now and when we close out FY26? Is is it going to stick around that below budget or are we going to get close to the the budget amount because it does include incumbrances. So >> correct. Um I would have to reach out to that particular department and ask those questions. >> Okay. Okay. And again, we don't need an answer tonight, but it's just I'm I'd just be curious to know how much is outstanding on that. And same with, you know, um the money is being pulled from the general fund for the law enforcement officers and mental health professionals. if we're going to stick around that um 70 78% of

086budgeted of the budget amount or if we're just going to go up to the budgeted amount and then what might be some some of the reasons for that and if that's something that we're we have factored into the tenative budget for fiscal year 27. Yeah, I have not due to the to focusing on the restatements, I have not spent time looking at those detailed budgets and working with those budget managers to to be able to answer those questions. >> No, I understand. I understand. And I think it's important, we've had this conversation before, but it's important to see um that the priority the priorities laid out by the community when the safety tax was adopted are still being carried out. Uh but we've now reached a position a point where each year that's requiring um

087a larger share of the general fund to to kind of absorb. Um and as we and we talked about this last in the last meeting where once we get more confident in the data that we have uh doing long-term trends this the safety budget in particular is one of those areas where I'm interested to see that long-term trend to see how much we we're having to pull from general fund to shore up um the safety initiatives if that makes sense. Okay. Any other questions, board members? If there are no further questions for staff, I'll entertain a motion to accept the monthly uh financial report of revenues and expenditures as presented. Is there a motion? >> So move. >> Motion by board Christian. Is there a second? >> Second by board member Green. All in favor

088of accepting the monthly financial report, please say I. I >> any opposed? Motion carries 50. Dr. Bradford. >> Thank you, board members. The final item for your consideration this evening is an addendum. This is to the Weaver and Tidwell audit contract. I would like to ask the interim chief financial officer Kino provide details. >> Um thank you. As I uh as says on the um executive summary, um there have been a lot of changes since uh we entered into this agreement with Weaver and Tedwell. I am told that um this this additional 35,000 is an up to so of course they're billing on an hourly rate. So 35,000 is is the maximum. They expect to have a draft document to us in the next two weeks and um we will have an opportunity as staff

089to respond to that and then they intend to um attend your um August planning meeting to make a report of their findings. Chair Murphy or >> Mor I just want to ask for some clarification because the recommended motion on the portal the agenda on the portal talks about approving um a firm to be determined for the 2526 fiscal year and restatement of 2425. But my understanding is that what you're bringing before us is an addition of the work that they're currently doing based on what we approved back in the fall. >> Uh I'm sorry I I haven't seen the motion, but Weaver is not doing anything about the restatement of 25. >> I I mean they may they may >> um they may comment on it, but they're not going to actually be doing the

090restatement. The restatement will be done by the external audit firm that we hire. Is that am I because I don't have the motion in front of me. I'm sorry. I'm I'm Yep. >> No, your So, the agenda item is correct. It's the audit contract addendum and the executive summary is correct. Um, but it's the she's talking about the recommended motion that's showing up on the board portal, but the executive summary >> is it says emotions in order to approve addendum to the weaver table audit from contract to provide additional funding up to 35,000. So, this is separate from our standard annual auditor, right? >> Yes. >> Yeah. >> Thank you for that clarification. That's what I assume, but I wanted to make sure it was clarified. >> Thank you. Yes. Do we anticipate so when

091when we get this report um given the ask of Weaver Tidwell my understanding is it's not just going to be a it's not just a standard audit it's essentially going to be a uh a checklist a recommendations for improvements >> to structures to processes. Is that is that can can you kind of articulate a little bit on the deliverables essentially what what is the district getting for the expenditure of funds on this review? >> Okay. I I don't have in front of me the scope of work that they were given but but there was a scope of work de developed with um staff before I arrived here. Um there's a lot of focus there on the budget process itself. So, I'm expecting the um the report to to focus a lot on the budget process

092at the look of uh policies and procedures and and where we might have um done a better job in in the reporting of the budgets. There's also in that scope of work um a specific reference to looking at travel expenses and something else that I I I just can't recall right now. I just don't have that scope in front of me. >> I believe [clears throat] pec cards I believe we asked for pecard process. >> Yes, pecards. Yes sir. >> Um thank you. >> Yes. Go ahead. So what I am expecting is um a lot of findings and that um a lot of suggestions for improvement and we see all of these audits that are coming for us as opportunities for improvement. um we're making changes that that we see internally as we go, but

093an external look is always um always a help. And um we're we're actually looking forward to the their findings and begin to implement um the the whatever recommendations they make. they will give us an opportunity to respond to the doc to the draft document if there's anything in there that we disagree with or think they they misinterpreted or actually got it wrong. >> And once we receive this report um and you said the anticipated timeline is the board will hear from them in August. Um I'm assuming that it'll also help the board um establish goals and priorities and then is our practice or plan to have some type of continuous monitoring. >> Absolutely. >> So that it doesn't just become a set it a set it and forget it type of okay here's your report

094in August have a nice day. >> Um with them reporting in August we'll begin then to develop a corrective action plan. I don't know that we would have that ready for the September meeting. We will try, but that's also at the period of time that we're trying to close the fiscal year. So, there's going to be a lot of activity right then. But staff will develop a corrective action plan. Once that corrective action plan is developed, we will ask for approval of that plan from the board and then report on it monthly to you. Okay? The same thing we will do when we receive the report from the state auditor. It it will be the same process of a correction corrective action plan approved by the board and then reported to the board monthly. >>

095And did Weaver explain the need for potentially 100 additional hours? Is it is there a particular reason they gave or >> Well, the the complexity of it is much more than I I think they anticipated and and you need to understand that some of the some of the data that they gathered early on in the in our process of cleaning up things has changed some of the early data that they were given. So, we've been continually updating them as we as we work through our cleanup process, but it's kind of kept them uh um with the ball kind of moving for them too of where they started is not exactly where we actually were. And have we budgeted for this additional is there room in our what we've set aside for the external reviews for

096this potential additional cost? >> Um their additional work will be um completed in the month of July. So it will be on the our next year budget and we will have to find within our budget um $35,000 from someplace else that that we will reduce to um to take care of this. But it is a 27 expenditure. >> And are you confident that you will be able to find that? >> Um well, we have to um we need this audit. We need to f we need the findings and um they can't complete without without some additional hours. So, um, we we're going to have to find in the budget something that we can give up to get this because this is important for us to move forward. >> And I am confident find it. So,

097>> I'm sorry. Could you repeat that, Dr. Rafer? >> I am confident that Miss Co will be able to find it or she she will be given the opportunity to find it. [clears throat] >> Okay, we appreciate that. Any further questions for staff? Okay. If there are no further questions, I'll entertain a motion to approve the addendum to the Weaver Tidable Audit Firm Contract to provide additional funding up to $35,000 for completion of their audit. Is there a motion? >> Some move. >> Motion by Bormer Green. Is there a second? >> Second by Bmer Christian. Is there any discussion? All in favor of the additional funding for Weaver Tidwell to complete their audit, please say I. >> I. >> Any opposed? >> No. >> Motion board member Monday, were what was your vote? You were

098muted. Did you? >> No. >> Okay. Uh, the motion passes 32. >> Thank you, >> Dr. Thank you, Miss Co. Thank you board members as well as Kina. That concludes our action agenda. Underformational items this evening are five written reports for your review. Those include the monthly construction report, the school activities fund report, personnel changes for the month of June, the budget transfer report, and lastly the running list of board approved contracts. So at this time I will be turning the meeting back over to Chairman Murphy. There is a need for the board to go into closed session this evening. >> Thank you, Dr. Brackford. The next portion of our agendas where members of the public may address the board on any topic of district concern that is not on the official agenda. I believe

099we have three individuals um who have signed up for this portion of the meeting and I will pull up our list here and I'll ask them to come to the podium um just as before and keep their remarks to 3 minutes or less with the timer appearing on the screen in front of them. Our first uh speaker this evening is uh Matthew V. And I believe is Allan Betnik in the room. So I believe that will be six minutes. Sorry guys, I'm I'm good. I I don't need my time today for this. Sorry about that. Thank you, Mr. Vid. Our next speaker then is uh Alan Marxberry. Thank you all for allowing me to speak tonight and thank you, Miss Ferguson, for being here in person. was kind of unaware that we were still doing

100virtual meetings. Little shock to me. Um, couple of things tonight. I don't have much. I won't use three minutes, I don't think, because I'm short spoken. I hope the board shows sincere leadership for our children, our teachers, our parents, and our community and all taxpayers in fact county to meet and dismiss Dr. Lian. that will become a huge liability if you do not. Okay, that action should have already been taken before now. >> Mr. Markberry, again we appreciate I want you to be careful. >> Talk about leadership. Personnel matters. >> I'll switch to leadership then. Leadership needs to change. Reclaim that time if I might because I may need it. >> You you may. Yes. >> For cause multiple causes. Okay. If you aren't all are not aware of those, you need to make sure

101that you wake up and do so. Miss Miss Christian, thank you for your service as PTO member and working with me when I worked with you. But we cannot afford to on another note, give away tax income away to whatever cause it is, the city or whoever when we're in a financial uh debt as as we are such. So, I hope that works. leadership also has a long range plan and I would have expected that leadership to have some kind of long range plan presentation here tonight for the future of the children, the taxpayers, the teachers, the parents and this community. It's let me down to be here this long tonight and speaking in that relations. I will close with leadership again. If you do not have sincere change in leadership, the same thing occurs

102at time and time again, which is the definition of insanity. If you do not lead in a positive way, placing children first and I appreciate you all what you do. It's a hard job. You all are not employees except for the superintendent of the board of the board. You all are servants of the people and it's not an easy job to do and I want to thank you for that effort and time. I will close with u what I've said a couple times already. Children, parents, teachers, and staff, community members, and taxpayers all deserve better than the leadership we're having here in this board meeting. >> Thank you, Mr. Marksberry. And our last speaker this evening, >> leadership that's not useful. >> Thank you, Mr. Marksberry. Our next speaker is Larry Moore. Well, I guess

103so much for transparency. Hey, um, didn't they get it tonight? I have a few questions. I think the board the public deserves an answer from the board. When did you first become aware of the misconduct complaint filed by represent Camille and what immediate actions did you take? Why did you call a special meeting based on a misinterpretation of an email from Superintendent Lian? Why did the board take no action on the prior B Antworp report that found governance failures? Why did the board not issue a corrective action plan after the Van Antworp investigation substantiated governance failures? Why did the board allows the superintendent to continue without restrictions after the findings of the prior investigation? Why did the board not revisit the Van Antworp findings when the financial instability emerged? Why did the board not act

104until the state legislature filed a misconduct complaint? Has a board notified KDE, OEA, and the SAO of the misconduct complaint involving a state legislature? Has the board preserved all communications, emails, and documents related to the superintendent's actions? Has the board been advised that ignoring the prior ban report may be viewed as a governance failure by oversight agencies? Why did the board not question the lack of audits on the URE funds? And by the way, as you look at the board minutes and you look at audit committee meet minutes, there was no documentation of any audits on the URE funds. Why did the board termination of the Dean Dorton contract or terminate the Dean Dorton contract and bring the internal services in house? And in 2014, as you may recall, there was a state audit requested

105by Superintendent Shelton and they had 48 recommendations. The audit committee came out of that those recommendations and in that in the Note to the board that was approved there it is states that there will be external services provided by internal audit services provided by an external audit firm. In 22 Dean Dorton contract was terminated. There is no minutes in the audit committee or the board that says there was board action taken on that transaction. So why why was it? And oh, by the way, Mr. Murphy, in October of 25, you said the Weaver Tidwell was a next step to a forensic audit, not a not a consulting and management, consulting engagement. So what happened? Now all of a sudden, you have a change of opinion. Thank you. >> Thank you, Mr. Moore. That concludes this

106portion of the meeting. As Dr. Dr. Bradford indicated we do have a need to enter close session and I'll entertain a motion to enter close session pursuant to KRS61.810 section 1 paragraph C for discussions concerning proposed or pending litigation involving the board and the district including matters involving a district employee and another matter including the district's superintendent. The board will reconvene an open session if necessary take any action required pursuant to discussions conducted in close session. I'll entertain a motion to interstate the close session for the stated reasons. >> So move >> motion by Bormer Green. Is there a second? >> Second by Bormer Christian. Miss Jackson, you're raising your hand. >> I'm so sorry. I hate to interrupt the motion to make the agenda dated. Thank you. >> Thank you. >> Um we have

107a live motion on the floor right now. Um, >> if we can go ahead and capture that. Could we circle back to the prior agenda item? >> Do it when we reconvene. And is it okay to do that? We can do that when we reconvene from close session. Does that work? >> Yes. Thank you. >> Okay. Thank you. Um, we have a motion and a second to enter close session for the stated reason. Present car 61.810 section 1 paragraph C. uh to discussions concerning proposed or pending litigation involving the board of the district. Is uh all in favor of entering close session for those reasons, please say I. >> I. >> Any opposed? Motion carries. 5-0. It is 7:42 p.m. The board is in close session. We'll reconvene in open session and take any action

108if needed. Board members, you will be placed into a room for this. Being Heat. Heat. >> [music] >> Heat. Heat. Up the wall. world. The world Uhoh. Heat. Heat. N. behind. Heat. Heat. up the wall. The whole world above the world of the whole world up the world. pap. Uh-huh. Everything. behind. Hello. Hey. Hey. up the wall. The the whole world. pap. Uhoh. Okay, there Heat. Heat. That's up. Up pap up Oh, the wall. Heat. Heat. Only a Heat. Heat. Up the wall. The world up above the world. Uhoh. for Monday and a second by board member Green and a vote of 40 at 9:13 p.m. For the record, I will also note that board member Christian did had to leave the meeting at the start of close session um to attend to a family

109matter. Um, so she h was absent uh from that time forward. At this time, I'll entertain a motion to make the agenda dated June 22nd, 2026, on which action has been taken this meeting a part of the minutes as if copied in the minutes verbatim. Is there a motion of that effect? >> So moved. >> Motion by Bormer Green. Is there a second? >> Second by Mundy. All in favor, please say I. >> I. >> Any any opposed? Motion carries 4 Z. Um the board left close session and all I will say this evening is that the board is not entertaining any motions to enter settlements. So with that I will entertain a motion to adjourn this meeting of the County Board of Education. Is there a motion? >> So moved >> motion by Bor

110Monday. Is there a second? >> Mr. Murphy, was there something you were supposed to do for um Miss Jackson? >> We we just did, sir. >> Okay. Thank you. >> Yes. >> Yep. We have a motion by War Monday, a second by Warner Ferguson to adjurnn. All in favor of German say I. >> I. I. >> Any opposed? Motion carries 40 zero. We stand adjourn. Thank you everybody. We will see you in July. >> Thank you all.