001e e e Miss Paige are you on the phone yes thank you e e I assume so ready y good evening um I would like to bring our work study to order um we'll call it to order now and then we'll we just finished an executive session we will follow it with a brief board business meeting so call the work study order to um in session we'll move to 3.01 monthly financial report for month ended April 30th 2024 um Dr mcord thank you Madame President governing board members um tonight we have a reinforcements yeah there you go wow guess this is serious um two things for you from these wonderful folks here the monthly financial report like we do on a monthly basis as well as 3.02 the 2025 proposed budget presentation so I imagine
002Personnel won't change for both of them is that right okay all yours stuck with us so good evening um just a reminder normally we present the monthly Financial at the end of each month representing the end of the prior month uh due to graduations Etc the U May late meeting was canceled and so we are catching up on the monthly Financial so this one is uh the results the financial results effective year to date as of April 30th 2024 okay and yes I have um Jackie Matten with me to the left and uh umur to T Lauren T I almost said Holly torka that's why I Lauren to on my right um to be the color commentators for this evening and I understand we do have two individuals on one one R Ronda on okay
003okay yes okay okay great so um just normal District operating funds Federal grant funds state Grant funds bond fund that service fund all of these will be all these grids will be presented to you as you know that they don't represent all of the grids the the formal financial report showing all of our funds are available to you as part of this agenda item so we always start with the district operating funds the biggest thing I wanted to point out was the column highlighted in um oh shoot I'm not connected here sorry okay forgot to do that so the first um uh item I wanted to point out is the uh column highlighted in yellow this represents the revised budget number two which you all approved in early May uh and then you can see
004uh the changes that have occurred in maintenance operation a slight downturn again a reminder were funded on current year student counts and so that slight downturn is reflective of the loss in average daily membership throughout the year um and then note on undried Capital conversely we actually gained a little bit of budget capacity on revised number two and unrestricted Capital due to last year they always recalculate our final average daily membership in July and we captured that additional budget capacity in this final budget Revision in unrestricted Capital so still in a very positive Place regarding our available fund balance um we did anticipate that we would have a little bit more available balance on the budget on the proposed budget that we're sharing with you um this evening on m&o um but we'll we'll go
005through that a little bit more when we get to the proposed budget okay any questions on this is our main uh grid of all of our operating funds here in gilber public schools okay I'll move on um so the Federal grant funds again revised budget number two this revised budget number two reflects the awarded carryover of all of the Federal grant funds we did want to point out the sr3 and the S3 required 20% set aside so based on our last our final revision uh to the grants management department at the department of Ed we are um proposing that all of the S3 set aside be completely uh expended associated with the approval of the math curriculum adoption that you all approved last month as well um however just a note that uh that final
006Grant application has not yet been approved um and so things could could change but we'll bring that back to you of course monthly um finally the state Grant funds again uh revised budget number two reflective um of the final that you all approved and then uh we highlighted the fund 465 which is that Arch consumable Grant and so I'd really like to hand over the explanation of that to Jackie because there was a tremendous amount of effort and work expended over the last five weeks to get that money spent thank you Miss bets so just I want to talk about the story behind this grant a little bit um Cheryl poock nozer applied for the grant um it was a very complicated and laborious process the grant was approved by ad for Gilbert in early
007January so Lauren and her team set up the account code set up the budgets appropriately um on February 9th the state put these funds on hold there what's that I remember that uh in the meantime in between those uh dates there were there were a few purchase orders um that were initiated but not nearly um the amount of the Grant on April 5th we were notified by ad that these funds were no longer on hold however uh the window in which to spend was closing very quickly uh they didn't the spend and encumbrance process didn't follow the normal Grant cycle we asked questions about that um all reimbursement requests had to be processed and sent back to to ad by May 1st which is unusual um we should have had an encumbrance period so a
008process was developed to assist the schools in spending These funds we provided them with a list of inore um shopping options with vendors approved vendors and then also options to order from our main Warehouse so remarkably um in 6 days administrative assistance at the schools entered more than 600 purchase orders and 320 Warehouse requisitions um in about 14 days teachers went shopping for art supplies and provided proof of purchase to accounts payable so we could pay the bills uh over the following two weeks accounts payable paid 1,533 invoices from the Arts Grant so I really want to give a public shout out to the administrative assistants the teachers uh Lauren and her team did a great job of keeping the schools informed with process and deadline updates um Barbie Wells and her purchasing team did
009an amazing job of working with our vendors to ensure that we had sufficient credit limit we do have a credit limit like everybody else um so we had to increase that on an ongoing basis um they also helped facil facilitate a shopping day at one of our in store vendors uh which was really um a nice option for teachers not to mention processing over 600 additional purchase orders um Eli Melton and his Warehouse team worked non-stop to make sure that the shelves were stocked with all of these art supplies um and we he didn't know what to expect but he just kept ordering and ordering and the orders kept coming in it was uh really quite remarkable um so all in all 7,265 items were purchased for 430 teachers in a very very short period
010of time so shout out to everybody that was involved including Federal programs um my team Eli Barbie everybody it was uh accounts payable it was a it was a heavy lift for sure um so it's a reason to celebrate and we are uh receiving those reimbursements right now so was pretty great because we had been allocated almost $600,000 and we were able to get spent $430,000 that was really quite remarkable in a very very short period of time yeah and then one thing that that wasn't mentioned is that we had to submit the reimbursement requests by teacher with all of the backup information so it was a very complicated Grant so anyway it's a big success story I thought we'd share it with you guys so the rest of the grant does that have to
011go back to the state that will go back to the state so we were it was a reimbursement Grant so right so we weren't able to spend it funds but we don't we didn't receive them so we them okay got it thank you that that's what I was trying to understand thank you nice summary thank you well nice work thank you very much good I didn't do anything they did it well and did that that kind of coincided with our um having the art teachers teach more as well right I mean was that part of that they could use that oh absolutely our Elementary art teachers so that was that's really awesome that we we just didn't want to take we just didn't want to lose the the money POS fa getting it spent yeah
012that's awesome okay um so the bond fund uh we're sharing this with you to show you all of the transfers so we had allocations in security and Technology because of the equipment heavy purchases in security and Technology we thought it was probably made more sense to move those potential in uh expenditures in the future into unrestricted capital and so the decision was made to go ahead and move all of the available balance into facilities renewal where we have some significant projects and those make more sense to have significant projects paid for out of bond instead of equipment um so the only item we did leave uh in was Transportation they have been spending about $1.2 million for six to eight buses annually um and um Mr uh tolby has been very disciplined about replacing the
013fleet in a regular way so that all the buses are not old at the same time and need to be replaced at the same time so we're being very careful about how the fleet is being managed and so we did leave the $1.2 million into Transportation just wanted to make sure that you were all aware of that and you can see where the changes in the bond proceed you can see the bonds authorized and you can see the bond proceeds the dollars have changed reflecting the amounts for security and Technology any questions on that and that's legally we have that ability we do we are allowed a 10% fluctuation um so out of $100 million we are able to easily move around uh $10 million of that we're well within that limit by making these
014transfers and then finally Debt Service the only reason that we're sharing this this time is the final debt service payment for the year is due on July 1st and we always reflect that in the uh current year instead of applying it to next year uh so the money we are monitoring cash balances as we speak to ensure that we have adequate Cash In The Debt Service fund to meet Our obligation for The Debt Service payment on July 1st and that is all we have if there's any questions we're happy to answer any that you might have any anyone have any questions or comments about the monthly financial report appre I appreciate the hard work that is put into this it's very pretty um I think we've gotten a lot easier to understand over time in
015the last few years so there's no questions because you guys explain it so well good it's good okay thank you we'll move on to um item 3.02 excuse me fiscal year 2025 prop proposed budget presentation Dr McCord thank you madam president govern board members as you know it's that time of year where we're trying to figure out what's what coming from the state uh but Bonnie and her team have put together uh a budget that we think will definitely be sufficient as we move into the next year of course the budget at the state level is not complete yet so um we don't think we're shooting in the dark but at the same time I think it's a very educated guess but anything can happen when the final budget comes down from the state so
016there you go um as usual we feel that our planning is more on the conservative side than not uh it's been a really rough year though we've had very limited even less information coming from the legislature than we've had in the past so there's arguably probably more risk associated with budget proposal uh fortunately though we are in a pretty solid um solid Place financially to be able to mitigate any unforeseen additional uh reduction so uh we feel like this is a pretty good proposed budget we have to approve a budget by June 30th we have to propose ose and and then adopt a budget no later than July 15th July 15th okay okay thank you so to begin um we have some introduction information we're going to go through the 2025 proposed budget that's not
017just about M and unrestricted Capital but some of our other funds to give you an idea of what's in our that big budget presentation package um average teacher salary of course we have been reporting every year since governor juicies uh 20 by 2020 and then uh estimated tax rates and then finally proposed budget risks and opportunities which are more than usual um and uh probably more important that we talk about them as we propose this budget so to begin this is the budget development timeline really wanted to bring your attention to the April and May time frame generally the legislative session uh should end by the end of May first week in June we are obviously on June 11th and there's not completed um but regardless of that we are required to as you just
018asked adopt our budget no later than July 15th we have historically hearing Gilbert ended our year um and did not have an early meeting in July so we will have to adopt our budget at the June 25th meeting and and of course on the agenda today you will have a request to approve the proposed budget as well as authorize us to um to advertise that proposed budget in preparation for the public hearing on June 25th okay so this is alignment to the Strategic operating plan it's very important that we always share with you the fact that we are making recommendations about spend increases that are directly related to our strategic operating plan we've been very disciplined about that over the last five or six years and so we're going to share that um the the
019uh main SE segments of our strategic operating plan are save and support of Schools employee Excellence financial and operational efficiency family and Community engagement all surrounding the main goal of Student Success so this again this proposed budget absolutely is fully aligned to the GI Public School strategic plan strategic priority employee Excellence this kind kind of goes to our recommendation regarding um employee uh increases for going into the 2425 school year it's it's very very important that we remain competitive and these are our strategic priorities related to employee Excellence just a reminder all functions of gilber public schools contribute to the achievement of inspiring excellence in every learner all employees regardless of their role contribute to the achievement of this Vision whether they're a transportation bus driver or a nutrition services worker or a custodian at
020our schools along with of course our direct um direct staff teaching our children every day a strategic operating plan employee goal is to always retain and attract high quality employees in all positions throughout this the district and then compensation increases when possible shall be consistent across all employee groups so I'm happy to say that that this recommend this recommended proposed budget does address all all of those um priorities so in addition we have a 15% M override and that we made commitments to that that override to the public to a um receive those additional taxpayer dollars so the proposed budget maintains salary competitiveness maintains our Safety and Security Personnel includes our social workers and our Behavioral Health Counselors and it still maintains the $2 million annual allocation to class size reduction associated with with the
021highest classroom needs in the school district so as you know the basis for our proposed budget and any budget is our student counts and so we always start with the conversation about our budget capacity with our student counts so this is our average daily membership comparison from 2020 to to the 2025 projection we have been using 2020 as our base year because that was prior to covid and represents what we would consider sort of a normal operating year for gilber public schools and so I always would like to compare our student uh enrollment to to that metric so you can see over time we we had a significant loss in uh fiscal year 2021 came back a bit in 2022 and since that time have lost um a little bit each year um going into
022the current year we did budget for a 600 student loss and our loss was about 580 students um we are now caught up with our cohorts so at as every year has started our kindergarten classrooms have been smaller so now as kindergarten goes into first grade and then those lower first graders are going into second and the lower second graders are going into third we are seeing a fairly significant decline in our overall um enrollment K12 due to that cohort movement however um Don an uh don McKay and her her team as well as maai as well as all of our schools have been working diligently to try to increase enrollment getting making sure that we are enrolling students as early as possible um to date even though we are projecting a 1,200 average daily
023membership loss to date we are tentatively feeling fairly positive that it may may only be a and a thousand a thousand student loss but we're watching it closely there's always that fear of what happens in July when we're we didn't hear from any families and then all of a sudden they're not showing up and we have to um withdraw them so that July to August early August time frame is really key to determine what our final student count will be I have a question and I know you don't have your little crystal ball there to make this kind of a prediction but just along those same lines about you saying that like every year now the the cohorts the kindergarten there's less kindergart gers the next year there's less which is is like a whole
024situation with a community I understand that that happens as they grow up um it's happened in some of the surrounding districts and I know we have a consultant that that does work on that particular like projections is there any have we have you had a discussion with him about about this and if so what can I well we always have ongoing discussions with Rick Brammer um you know I think he's told us we've outperformed his projections over the years and I think it's kind of catch-up time to be real honest with you um our goal is still to outperform his projections and I I I think we will but um we always have to prepare for the worst and hope for the best but this is not this is different than like losing kids to
025another school like a charter or whatever correct I mean I think you're seeing a a a collision of all kinds of things I think uh effects of Co I think Esa I think charter schools and I think birth rate right and I think prices of houses is I think it's all just a contributing factor I don't think you put your finger on one thing but we can definitely point at all of them yeah well and you should you should know from a conservative nature as well we took the 1,200 students from the ADM as it exists today so we did have we are in constant contact with um Rick Brammer and he did send an email oh gosh I think last week saying okay I'm just clarifying I'm seeing an enrollment loss so I want
026to make sure that we're talking about enrollment not average daily membership but your over your enrollment loss was over 900 enroles it didn't reflect a full 900 ADM M loss was closer to like I said 580 ADM but from that enrollment we are projecting that 1,200 loss so we're being very very conservative um and we've been very um we've been pretty good about beating the projection every time um so but you just never know for sure so any other questions about that the only other thing I wanted to point out is please uh note the Arizona online full-time and part-time are zeroed out for the projection for 2025 so that 145 and 98 students were actually moved into the inperson uh which could result in a higher budget capacity because we are no longer going
027to be subject to the 95% and the 85% penalty and that was due to all the work that we've done over the last couple of months regarding the instructional time model associated with our um Global Academy as a reminder of about that okay and then this is just the average daily membership comparison over time you can see the the pretty high um ADM in 2020 and then the decline in 2021 then recovered a little bit in 2022 and then just very slowly going down since that time due to those things that you pointed out um the fact that that it's not necessarily we're losing all these kids for another reason but there's so many things that are competing meting against us right now so so given all that information uh we wanted to share with
028you the M budget capacity projection and this is based on the governor's proposal as I indicated earlier we do not have the legislative decision yet or even any idea what might be approved um so this is the basis for this Pro uh proposed budget the base level amount increased by 2% we feel fairly confident about that 2% increase as it's in statute associated with um the prop 301 classroom site fund rules um the district additional assistance increased by 2% as you know charter schools have historically received an inflationary adjustment for their Charter additional assistance uh last year probably last year maybe the two years ago um school districts began to receive um the 2% uh increase to the district additional assistant assistance so we are looking at that and then our teacher experience index has
029dropped from 1.026 to 1.011 18 so that does result in a little bit less in budget capacity due to that okay so whenever we present the comparison of the M budget capacity we always want to share first with the budget balance carry forward so if you look at the attached budget document and you look on page seven of eight um you can see that the the total budget at the bottom matches about that $87.6 five million but note a couple of things you can see the the transfer here of the district additional assistance to M that's in the budget but that's a one-time money and then Additionally the budget balance carry forward we would also consider that one time recall that I shared that our budget balance carry forward on the monthly Financial we're anticipating
030is about $14 million right now but we are expecting to get at least another $2 million due to our all of our endof year processes and un encumbering purchase orders and stuff like that um but wanted to make sure that you knew that the budget on the budget document matched that 287.4 five million if we did the comparison with all of those one-time monies we would have a loss of 4.45 million a couple of years ago because the budget balance carry forward has been so much higher than we've seen in the past and under understanding that's largely onetime money we have opted to present to you the budget capacity without the budget balance carry forward and this also does not include that $2 million transfer and the reason why we're doing that we're trying to
031to share if we were stripped down in the current year to the projection for next year the the dollars really represent what we would consider ongoing dollars so we're trying to compare on ongoing to ongoing which is the strategy so you can see without the budget balance carry forward and without that District additional assistance transfer our budget decline year-over-year um primarily due to the loss of students projected is about $3.62 million okay are there any questions about that before I move on you good okay great so when we talk about doing it without the Balan budget carry forward this is based on the the number of students we have now taking out that extra money that it's more it's more pure with ongoing to ongoing yeah okay right okay thank you so our non-discretionary budget
032uh budgetary increases we have these every year note that you all approved a no medical insurance premium increase which was good news and then we all have over the last couple of years added inflationary increases we're hoping the $500,000 is enough um city of Mesa school resource officer increas as we were notified last fall that all of the school districts that are within the boundaries of the city of Mesa are now funding 100% of their school resources resource officers so we are will be absorbing the full cost and then an hourly increase due to minimum wage increase in January 2025 we have no information about what that could be at this point in time and you all did approve a 2% pay increase for all staff that is precautionary so another level of conservatism not
033sure of what that minimum wage increase might be in January okay so $1.3 million are what we consider non-discretionary then we have a projection of 1,200 student loss so there's going to be uh less of a need for teachers please know that there are no layoffs uh going on right now it's up roughly 60 FTE generally speaking we've had normal electrici of 80 to over 100 depending upon the year so we will easily be able to achieve um that $4 million in savings and then as has been uh John castalano's practice over the last five years he's always looking at how he can get greater value out of his technology staff so he presented to us a te technology uh services staff reorganization which resulted in about $300,000 of additional savings so we have $4.3
034million of savings to offset um the decline in the budget as well as those non discretionary increases so finally the recommended pay increases which um have not been fully already approved by you um because we've we have another uh increase that we're recommending but all staff to receive 2% pay increase you have already approved we are recommending an athletic coach sipen increase I think this was shared to you in shared with you um last week in the board in the board brief and then of course the hourly stat $600 stipended and the exempt staff $800 stipended um those dollars are there as well anticipating the successful passage of the override in November so that's a total of about 8.01 million in recommended pay increases so what is our total budgetary increase need trying to build
035the budget with each page right so we start with $3.62 million reduction year over here based upon the governor's proposed budget we add back the projected ongoing savings we decrease the total non-discretionary increases and then we consider the cost of the pay increase recommendation so our total budgetary deficit year-over-year ongoing to ongoing again is um 8.63 million so are there any questions on that okay great so balancing so okay how you're looking at all of us and saying okay you guys how the heck are you going to balance that budget right how we get to zero um so uh pay increases funded by other funds as you know we we look at the district globally and we look at all the cost increases based upon that 2% but we know nutrition services pays for their
036own increases Community Ed pays for their own increases CED pays for their own increases title one pays for their own increases so we've considered all of that and there's a savings or an offsetting cost of about $430,000 and then the classroom site fund if you recall three years ago I think the classroom site fund rules changed allowing us to include other instructional professionals such as psychologists social workers um orthopedic and physical therapists um and as well as instructional um support Personnel uh we are able to have classroom site fund fund $4.7 million of the pay increases for all of those employees that are eligible to receive classroom site funds and then there is where the district additional assistance transfer is coming in note that we have labeled it under onetime so it's onetime which is
037a onetime district additional assistance transfer of $2 million and then onetime budget balance carry forward from M remember we're budgeting for just under $16 million um and then allocating 1.6 million to balance the budget one time again as I shared we have we actually budgeted for a district additional transfer of $2 million a year ago for the 2024 budget and we were able to eliminate that transfer due to additional budget balance carry forward and additional students we actually achieved more students than we projected so chances are possible that we will be able to eliminate that $2 million transfer as well as we go into our first budget revision uh probably in December of 2024 so that leaves us with an 8.63 million um of pluses against a negative 8.63 million which balances our budget so
038are there any questions on that okay great that's that is a lot of hard work and I will be honest I had to have her explain it to me earlier today because I had looked at it and just needed more information well there's so many ways to present it and so it's just trying to build it to make it understandable is the most difficult thing so it takes a while to understand it so the reason why we're presenting the classroom site fund to all of you as its own fund is because of its contribution to balancing our M budget and you can see that this was an opportunity because our classroom site fund has continued on a per student basis to increase so whereas um a year ago uh the the uh total budget for
039uh classroom site fund a year ago in the current year the total budget was 48.67 million and we are projecting to have about $57 million available going into 2025 so you can see that the allocation increase note the 29.41 which was our allocation new revenue from from the state of Arizona and our new Revenue um going in uh to the 2025 school year is just about $700,000 more um so you can see that with the 4.7 million we are drawing down some of that classroom site fund fund balance in order to achieve that um but we feel very positive about doing that and then the other thing is note the nearly $500,000 of Interest earnings in classroom site fund just due to the economic environment out there where the interest rates have continued to increase
040ponnie I I have a question about um the kind of the overall budget in and in terms of Food Services um I know that you know in in a previous life um a lot of we had a number of schools that were title one so as a result of that there was there was times when we could utilize some of the nutritional Food Service money for district things that were needed because they it was a shared and it was you know completely okay to do that is that something we can do here um and I'm just off the top of my head I'm going to use the example of May cafeteria tables that's a very small one but um I know that that you're able to do it unless they've changed some things so that
041ites does free up some of the of the money for the from the um overall budget so a couple of things strategically we've been doing so first of all um just due to the Advent of Esser and having all the federal funds we have been charging indirect to all of those Sr funds and nutrition services funding has been has benefited from that as well because of the universal free breakfast and lunch so we have taken the maximum indirect from the nutrition services fund since then that time so probably with cafeteria tables and stuff like that we would probably use indirect um but as an example we were able to um and we've also used indirect to actually make some improvements that are one time in nature so so we have been to sort of doing
042it indirectly by using indirect um more so that we want to make sure that nutrition services has enough money to be able to meet their Capital needs associated with oven Replacements and refrigerators and we've been very disciplined about making sure that they're paying for that which offsets underst restricted capital or Bond needs so that's how we've been managing that and plus they're going to pay for their own pay increases and their own benefit increases so that was reflected earlier as well I I do have a I just wanted to talk about classroom site fund because this was uh begun by prop 301 in I think 2000 or 2001 and it's the um increase in sales tax and previously it was we put it on in addition to the pay and now we can put it
043into pay and we can do more than just teachers correct so remember that we still cannot supplant so we can only use it to increase salaries for teachers and those that are eligible so we can't supplant we can't move anyone out of M and put them directly into classroom site fund um if they were funded by m in the prior year however we have been looking at if we're going to add particular positions that are new positions and they're eligible for classroom site fund we are considering having them fully funded by classroom site fund but to your point it was not that long ago that this value was only about $450 per student and we're up to nearly double at this point in time so that's the other scary thing about classroom site fund it
044fluctuates pretty significantly it hasn't in the last 3 years but it could again um which is the reason why we have such a a considerable beginning fund balance and why we're very careful about how much money we draw down in fund balance just like we do with M okay so the other question I have is previously before we moved it more into salary it has always it it has most often been into salaries but salary increases but they also got this performance pay and they still do and they okay that was my question they still will receive but it's like a certain amount $750 or something like that it's $750 and um we made that change it's three or four years ago two years ago I think it was two years ago um with the
045idea that let's go ahead and just put what we have to put into performance pay and put the rest onto your base that way it can grow with salary increases where the pay for performance your reement can grow on your Bas okay is that a 750 a one time or twice a year 750 one time it's okay paid out has it been paid out or it's going to be paid out the last pay in June or the first pay it's been paid okay good okay all right that I just wanted to clarify those pieces because it has changed over time it has definitely um but it is a a huge benefit to be able to I mean if we didn't have classrooms s fund our teachers would and our staff would be very underpaid this
046is that I think it's 1 cent I don't remember if it's 6 or 1 cent sales tax but it's very helpful to giving our staff a higher pay and there's a little bit of a a contribution from the state um the state land trust as well okay in there okay all right thank you okay any questions on any of that okay so the proposed underst capital budget capacity um I share that that does include a 2% to the district additional assistance could be at risk depending upon the situation with the legislature um but you can see on this grid you can see the $2 million coming out of the daa um to be placed into M the other thing I wanted to point out was remember that for the 2024 school year we receed that
0478 nearly $8.8 million of onetime undried capital funding and we are not uh projecting to receive that uh for the 2025 proposed you can see the budget balance carry forward again we started a little bit more conservatism regarding our unrestricted Capital spend in the current year so we are projecting an increase in budget balance carry forward also contributed by the 8.76 million of one money onetime money um and then note the $1 million of Interest earnings in unrestricted Capital which has been really great so it's a nice it's really difficult that we that we've we've earned arguably um quite a bit of interest in M as well we're not allowed to increase our budget capacity in M um but in unrestricted Capital we are able to do that so you can see that $1 million
048contribution okay so other fund budgets so this is Community Schools we like to share our Enterprise funds what has happened you can see nutrition services and Community Schools you can see that the proposed budget is less than the revised number two um but note that we're very conservative in projecting their budget regarding what the budget balance carry forward will be as well as revenues and expend expenditures but we do have an accounting analyst who works closely with Lauren to project appropriately both of those funds Amanda is working on both of those funds coming up with the strategy to best project and trying to consider what kind of Revenue will they receive in the summer because as you know vik is very busy in the summer which is one of our community schools programs and then
049nutrition services does continue to serve meals during the summer so all of those revenues are reflected as well but we do expect those to change when we do the first budget Revision in December January time frame and then you can see the instructional Improvement funds we are anticipating to receive that late instructional Improvement fund again as we did um last year and then um the state and federal grants you can see the drop of $10 million there as well but our strategy has been over the last five six years to not anticipate carryover with our grant funds until it's approved so we match our budget on those Grant funds to to match the gme the grants management website so that we're all consistent across the State of Arizona and then um other cash funds you
050can see tax credit auxiliary donations and those are all very designated to to schools or particular needs okay and then average teacher salary as we shared this uh average teacher salary of 68390 reflects um the final average teacher salary that represents the October time frame that's when we establish an average teacher salary and then we keep it that way for the rest of the year otherwise as you can imagine as teachers come and go there is some fluctuation in that as well but at least we know that when the school district employee report is submitted it matches more clearly with our teachers and so we've we've put that into place and then um and then the that I'm sorry the 60 it's the 67,000 that's in the current year and then the 68,000 is just
0512% higher because of the decision you all made and as you know because during the summer we lose teachers and we gain teachers so all the salaries are different by the time we get into October and so that's why we revise the average teacher salary so it will definitely change from that 2% going into next year so then what's expected on our estimated tax rates so you can see um from this that our tax rate is it it went down by nearly 12 cents going into the 2024 school year and this is a um pretty uh conservative projection in other words it's likely that our drop in the tax rate will be greater than the 24 cents reflected here um but the the contribution of this is you can see our all of it like
052in the primary you can see um from about 35 down to 33 so two cents contrib or yeah two cents contribution there three cents and then you can see the drop in the m&o override and then the drop in the class B bonds as well and those drops are largely associated with uh The Debt Service is declining a little bit our M override went down about $900,000 and then our SS value has continued to grow and so um we will realize a at least a 24 Cent uh tax rate decrease going into the 2025 school year okay risks and opportunities as I shared at the very beginning um a is still looming for fiscal year 2025 um right before the meeting Dr McCord shared that his information indicates the governor will sign the final budget
053with a wave of the aggregate expenditure limit for 2025 which is great news we don't have to play that game um in the spring of trying to figure out how we're going to come come up with $65 million um so uh the other thing is loss of more students in the 12200 we feel like that's a pretty good projection and it shouldn't be more than 1,200 could be we don't we don't know for sure until we see the whites of their eyes legislature decreases funding level below Governor's budget putting at risk over $4 million that 2% to the base level amount is worth about4 million and then students return but on the positive side we could receive more students to provide greater funding and then not likely the legislature approves greater funding than the base
054amount of 2% this budget choking you out yes I'm choking now yeah and that's the end of our presentation we're all here to answer any of your questions sorry that it shook you up so much I apologize you okay yes thank you we don't have to perform any CPR or anything no okay good all right um questions comments concerns I think it's important that we note that we are giving as much of a increase to our employees with the 2% let alone if the override passes when it passes that we will have that additional funds because that's again one of our top strategic priorities to have the best quality people um in front of our students with our students providing all the support every day that happens across the district and again when you talk
055about losses and different things we still are finding a way to prioritize that and I think that's important because that reflects how we feel about our employees so I appreciate that we do that and that we find ways to accomplish ways to um again contribute to our Student Success which is which is what we're all focused on so thank you um I just had a question um we can go ahead and pass our budget even if the legislature hasn't finalized their budget correct so the the biggest um risk is in in the uh the tax rate setting we can always adopt a budget and know that we have to come back in December or January to revise it down or to revise it up okay but if it we had that situation A couple of
056years ago where there was an infusion of a fair amount of dollars onto the base level amount requiring us to quickly turn around and do another adopted budget in early July if you remember that um so because the tax rate has to be set by July 18th and so when you have more funding it does impact your M override and and your transportation support level which will have an impact on your primary and your secondary tax rate so those are the big changes so but yes to answer your question yes um if if we find that something drastically changes regarding the tax rate then Dr McCord will contact you and we'll figure out what we have to do okay all right thank thank you there's been a lot of work put into this and I
057I really appreciate all the work that you've done you bet you know it's I mean we we have to do this we have to balance our budget and educate our kids to the best of our ability and so it takes a lot of it takes a lot of work to make sure that we do both of those well so thank you anything else thank you all three of you very much is always appreciate it you bet and so the last thing don't forget you have to sign the proposed budget and I think um Sheila you'll need to sign the Affidavit of the yeah summary okay provided we pass it yeah that's yes Excuse me yes yeah I thank you for that correction thank you thank you all very much thank you okay that's um an
058adjournment of work study does anybody need a three minute break or you okay to keep going okay all right um we'll move to uh 5.01 call to order in 5.02 roll call Mrs Wilson would you do that for us please miss Lorie wood here Miss Sheila ug jetti here Miss Rhonda pige here miss Jill humph here Mr Chad Thompson is not present Madame President you have a quorum thank you very much Mrs Wilson um we'll move to uh uh consent agenda items and Dr McCord if I remember correctly um we're going to take off 6.16 from the uh consent agenda agenda purchasing exceeding $100,000 for fiscal year 2024 because it didn't get put into the packet in 24 hours correct correct and we will bring it back at the end of this month okay good
059so um do I hear motion to approve the consent agenda items as um as prepared here with the except exception of 6.10 six I'm Sor I wrote it down 6.16 I'm so moved thank you very much M humy second second thank you very much Mrs wood it's been moved and seconded and all those in favor please signify by saying I I I I so on a 4 Z vote we have we've passed that the consent agenda we'll now move to 7.01 superintendent performance Performance Based pay for school year 2024 do I hear a motion I move that we approve the superintendent's Performance Based pay for um FY 2023 2024 thank you Mrs humre second second thank you Mrs wood it's been moved and seconded that we approved the superintendent's performance base pay uh for our
060fiscal year 2023 24 and we will have some discussion among the board members right now get um everybody would like to make a comment we'll start with you miss Mr um well I just um during this time we get to review the many things that have been accomplished during the year and um I just really appreciate all that's been done to make us more fiscally responsible more um responsible academically moving students forward and um taking care of student safety all of all of the different issues that we work on and I just want to express my appreciation to Dr mord for the hard work he's done with him and his team because it's not this isn't a one person show but um good leadership makes a difference so thank you thank you Mrs wood yep
061I would agree and just say thank you Dr mcord for your leadership and for all those initiatives that have been put forward and the way that you guys work together collaborate and make sure that our students are at the center of everything and our uh staff and employees as well um I think I think we did some great things this year and it was great to RW them and appreciate all that you do thank you Mrs Paige yes thank you for giving me this opportunity Dr mcord words there are not words enough to express my thanks for all the work and the diligence that you give to the school district day in and day out so much appreciated thank you thank you and and I i' like to just reiterate everything that everybody else has
062said to you Dr McCord and um one of the things that I feel very strongly about is your leadership is absolutely outstanding but you have surrounded yourself with people that are equally as good as you are and I know you said something about you uh always hire for your weaknesses I think that's what you said and and I'm glad that you got those weaknesses because you certainly have gotten some good people but I wouldn't say that they are weaknesses I think that that you have you're you can tell the kind of people we need and your leadership allows them to do their job the way that they need to do it without worrying about it and because of that they make you look good and then you make us look good so thank you thank
063you I just want to reiterate the things you guys said we have people sitting in the audience tonight that make this District Go Round And I get to sit up here and and uh reap the benefits from their hard work but I I truly am blessed and um this District was built on relationships and uh I shared an email with you today about uh a person at one of our schools who told me her story about people who rallied around her had nothing to do with me had everything to do with the people that um took care of her and her time of need and um we can say a lot of thing about school districts but you can never say Gilbert Public Schools isn't about the people here and uh it starts with you
064guys and letting us do what we need to do every single day and trusting us so for that I truly thank you guys appreciate it and we know you're totally embarrassed that we just did this well we we we were able to to get them on that one right um all those in favor of approving the superintendent's performance pay please signif signify by saying I I I so on a 40 vote and I think it would have been five but that's just a projection uh 7.02 advertisement for fiscal year 2025 proposed budget summary and public hearing notice Dr McCord thank you madam president gring board member this approval will allow the district to advertise the fiscal year 2025 proposed budget summary and schedule a public hearing on June 25th at which time Administration will make
065a presentation of the governing board in public the advertisement will appear on the Arizona Department of Education website and for next year the or for next meeting the call to the public will be held on June 25th 2024 the beginning of the meeting at 6: PM do I hear a motion I move that we approve the advertisement for FY 2025 proposed budget summary and public hearing notice thank you on I'll second that is there any discussion among board members about anything on that okay hearing none I'll call for the vote all those in favor of the um advertisement for our 2025 proposed budget summary and public hearing notice please signify by saying I I oppose so on a 40 vote we approved it so Bonnie you're out of the woods okay uh adjournment um do
066I hear a motion to adjourn I move to adjourn thank you Mrs humre I'll second it and it's been moved in seconded all those in favor please signify by saying I I I thank you so on a 4 Zer vote thank you very much we'll see you soon all right