001okay we will call this meeting of the Gilbert governing board to order it is Tuesday June 23rd this is a regularly scheduled board meeting before we begin our regular agenda there is a need for an executive session executive session is listed under item number one one point zero one the Governing Board may convene an executive session pursuant to ARS section 38 - four thirty one point zero three eight and one for discussion of superintendents evaluation and pay for performance board members what's your pleasure is there a motion dr. Santa Cruz I move that we move to executive session as outlined on the agenda Thank You mr. Carr is there a second second Thank You mr. Chetty is there any discussion if not then we will vote all those in favor of moving to executive session
002please signify by saying aye aye those opposed the same motion carries 5-0 we will move to executive session and convene thereafter okay there we go here we go folks all right we will call this governing board meeting together again this is the regular board meeting of June 23rd 2020 and we will begin our meeting with our called order which has just occurred and two point two is a moment of silence two point three mrs. humphreys will lead us in the Pledge I would ask that during our moan of silence that we consider Jake Ellingson student from Highland High School who recently passed away so we will take our moment of silence if you would just please rise if you'll join me in the pledge I pledge allegiance to the flag of the United States of
003America and to the Republic for which it stands one nation under God indivisible with liberty and justice for all thank you thank you mrs. humphreys we will now move to item 2.04 miss wilson will you please call the roll mr. Reid car here miss Laurie would hear dr. Charles Santa Cruz here miss you lay you teddy here miss Jill Humphreys here mr. president all board members are present you have a quorum thank you mrs. Wilson item 2.05 is a call for a public hearing pursuant to a rs.15 905 we will move to that portion I'm not sure that we need a motion for that so doctor go ahead dr. McCord 3.01 public hearing [Music] that this bets in her business Services Department have been working extremely hard on for the last several months and that
004is our 2021 budget proposal would like to present that to you cool go ahead in this bed sorry so based upon the proposed budget presentation that we made two weeks ago we made just some tiny little modifications to the adapted budget presentation and this has been posted since Friday in addition it's largely the same as the proposed budget presentation in addition to of course the actual budget the budget worksheets to the presentation thank you so so to begin we wanted to make sure that the public and budget the fiscal year 2021 other fund budgets that are notable finally [Music] is this better okay thank you and then of course the estimated tax rates going into fiscal year 2021 so the adopted budget introduction you've seen this slide numerous times the budget is fully aligned to
005the strategic plan as well as the commitments made during the override election which was passed in November of 2019 some of the details of some of these and the specific line item in the strategic operating plan class size reductions related to student success social emotional supports safe and supportive schools that also aligns with the commitment we made November 2019 election compensation increases employee excellent as well as Student Success special area coordinator Edition student success and then finally unrestricted capital the commitment that we are basing our budget on a zero based budgeting process the idea with an understated capital is that you spend it on one tiny needs and that that is related to financial and operational efficiency so the maintenance operations budget capacity you've seen all of this numerous times I'm not going to go
006through all of it the one notable thing I would like to share is that we did assume a four hundred student loss as we were building our budget and then the other notable item is the classroom psych fund you were expecting pursuant to the governor's proposal to see an increase in classroom site fund monies that would help offset the increase to teacher salaries however again due to the Cova and the loss of state sales tax remedies the decision was made to actually decrease the classroom sight fund funding by $9.00 per weighted student when we expected $40 per student increase so these are the comparison of the budget parameters so you can see the unweighted ATM with Aoi you can see our revised number 2 is just over 33,000 students and you can see that the
00721 adapted it is less than that at 30 2,800 the total weighted count then you can see is strictly related to that ADM the base level amount that is the increase that was approved by the state legislature the teacher experience index also was calculated originally we expected it to be the same but it actually dropped a little bit transportation revenue control limit is exactly the same as in the prior year and then finally that customer site $434 mrs. Betts just one question on our teacher experience index is that lower because we've had some retirees and so our maybe our teacher experience is not as high as a previous year I mean there is a rollover okay thank you Miss butts so tell me the the adopted unweighted ADM we adopted thirty two thousand eight hundred
008one with that and so is that consistent with the with the four hundred student loss okay okay and we're hoping that doesn't happen but we're just trying to be conservative in our in our budgets so that we could be prepared [Music] I miss best just to clarify the Miss woods question this is a result of the of the current year funding approach so we're adopting a conservative approach we know that we just as we have done this year we will adjust an adopting a revised budget based on the actual count at some future point capacity so you can see the 20 revised number to the total budget capacity is 200 and just over two hundred thirty nine million dollars and you can see that we're recommending adoption at a level of two hundred fifty eight
009point seven million so again keeping the nineteen point four million dollars increase we did expect the nineteen point four million dollars in the projection back in the April timeframe there have been moving parts in and out up and down for all from all of the parameters it just so happens that it stayed the same nineteen point four million dollar increase so the adapted mania separations budget spend increases so these are non-discretionary increases we have no control over whether these happen or not and we are obligated to budget for them Arizona State Retirement medical insurance premium minimum wage increase special education increases and then the special area coordinator and finally the decrease of FTE due to four hundred less students so we are anticipating a loss of about fifteen FTE I'd like to spend a little
010bit of time on that that's just the savings associated with the loss in FTE when you make a recommendation or a projection that you're gonna lose 400 students they don't come in nice nice little 25 student buckets and so we can't anticipate that we would see the same number of teachers to to fill in the gap so the 400 student was about $500,000 for a hundred so that's over a two million dollar loss in revenue if we academies I wanna make that clear any other questions on the matter she just always want to make it clear to you that that's the loss of FTE we wouldn't where that's just a normal those teachers who leave for different reasons it's not like we're gonna book - that's correct teachers the other mount the other dollars associated
011with this plan are the override commitments so the class size reduction allocation of two million dollars the social-emotional supports that included adding social workers can't everybody hear me okay terrific that's better terrific thank you so the then the retain and attract high-quality personnel so the total is 18 point almost 18 point 1 million dollars we are expected to receive about eleven point six million dollars from the going from a 10% override to a 15% override so obviously the six million dollars or so gap five and a half million dollars or so gap is coming out of the other budget parameters associated with our recommended adopted budget for 2021 so the strategic priority employee excellence just a couple of parameters regarding this that all functions in Gilmer public schools contribute to the achievement of our students
012all employees regardless of their role whether teachers paraprofessionals librarian social workers contribute to the achievement of the vision the strategic operating plan and play goal is to retain and attract high quality employees in all positions in government and so therefore compensation increases when possible shall be consistent across all employee groups so this is how we divvied up the extra monies across the various job classes so you can see the teachers at the top the five percent pay increase we did offer and how to prove through interspace bargaining team process the buyback of to medical days so we added $200 on the base of every teacher returning and then we put the five percent pay increase on top of that support staff increases the new grade minimum minimum again a reminder that we went through a
013significant compensation study with nine other school districts in the Phoenix area that resulted in some recommendations that we made regarding changing changing our grades to minimums to improve competitiveness in addition as you know we had compressions associated with the minimum wage increases and so we also adopted equity adjustments and then 4% on the base across the board for everybody overall salary increase would be a minimum of 5% across this group of employees and then finally administration other professionals increases to a new minimum that mostly impacted our social workers and then plus 4% on the base but again an overall salary increase of a minimum of 5% so we achieved our goal of having compensation be more equitable across all employee groups so balancing the budget so we have nineteen point four million dollars of new
014funds available to us you can see increases that are going against that nineteen point four million dollars leaving us fully balanced budget zero dollars before I move on are there any questions regarding that I did want to mention the hard work that was putting on the the new salary schedule and that moving people up from the main room wage increase and making sure that people were appropriately compensated for their responsibilities that was a lot of work so thank you very much and I really appreciate the hard work that was done on that yeah please know that otm staff played a huge significant role in that if they did and they had a great presentation that's right okay average teacher salary as you know since governor ducey proposed is 20% by 2020 we are required to
015put this table on the front page of our adapted budget so the average salary of all teachers employed in 2021 the budget year is a calculated figure based upon the 5% increase that we just spoke about the fifty two thousand four forty six which is in the current year the 22 to the twenty 20 year which is now the prior year was 52 446 I'd like to stop right there to indicate that the 52,000 446 is not what was adopted going into the fiscal year 2020 budget remember that we always calculate the average salary in the spring prior to the new year prior to separations and retirements that occurred during the summer so that 52,000 446 represents the actual average salary as of the spring of the current year so the percentage increase is 5%
016the average salary of all teachers employed in fiscal year 2018 is 46,000 761 just doing the calculation 54 88 4 minus 46 761 results in a calculated percentage increase in average teacher salary since 2018 of 17.4% the total present salary increase however with this governing body has been a total of eighteen point five percent each year always trying to compensate the teachers at a level commensurate with what the governor expected a couple of things there as you know the through the interest based bargaining team process the all the employee groups came together and teachers were very vocal about not taking the full five percent and every year and not taking the full ten percent and so spreading out the dollars in a in a more equitable way has always been paramount to their work so
017the 18.5% total was definitely approved and the recommendations recommendation came out of the interest based bargaining team in addition we have said this many times that our calculation for teacher or our definition of teacher is very different than that of the governor's the governor was looking at classroom teachers we have included our teacher our technology integration educators we've included our librarians our counselors as well as our academic coaches and our classroom teachers in our definition teacher any questions on that before I move to the next slide great just a comment and I'd like to ask mr. Carr if he would be so kind as to well he eloquently spoke to that issue as to why the 2020 issue is a front and center here at our work study session could you clarify that as you
018presented it to us it was related to the average teacher salary we're talking about the change of Ranger tier seniority right so just making sure we're calling exactly what you were looking for as we lose a senior teacher who is higher on the payer pay scale and their higher skill their higher pay gets removed from that average and they're typically replaced with the first year or relatively new teacher who's lower on the pay scale your average comes down so even though we are increasing the the salary commensurate with the governor's plan and as approved here just because of the experience levels you're going to see that number come down and other districts are seeing a similar type thing that's not unique to us but we want the public to understand that it's important that they
019they understand we are using those dollars as intended Thank You mr. Kern I appreciate that as Beth please continue so remember that the dollar the percent increase awarded for teachers so each year initially it was 9% going into the 1819 school year it was 4.5% going into the 1920 school year and going into the 2021 school year it's 5% so that represents the eighteen point five percent so what we did here is we looked at an elementary teacher elementary teacher a high school teacher a and junior high teacher a and we looked at their actual salary increases year-over-year and you can see and it's the difference the reason why in Knight you don't see the full nine percent is because of the fact that we put the nine percent on the maintenance operations portion not
020on the classroom site fund portion but we're looking at total salary when we did that calculation but you can see the four and a half percent in 2020 and the fiscal year 2021 five point four percent five five percent a little bit more because that represents both the accumulation of the pay increase on top of increased salary on a percentage basis as well as the additional two hundred dollars per teacher on the base so you can see the overall percent increase on each of these example teachers that were here back when we first started and are still here in 2021 that overall their average increased by eighteen point seven percent a little bit higher than the eighteen point five percent which you should expect okay we just thought it was important to give an example
021to confirm or illustrate mr. cars statements okay okay so to move forward the addition additionally on the front cover page it does give us a comment box and we have made the comments very clear talking about the turnover of teachers and how the average salary is calculated and why it's changed year over here so fiscal year 2021 adopted unrestricted capital budget so again this is the district additional assistance formula so the rise number two showed a total formula of fifteen point four million dollars a little bit under fifteen point four million dollars and then the 2021 projected a little bit more than fifteen point four million dollars and you can see that the adapt is very comparable to that the reason for the increase is because we had more students so the district additional assistance
022is based upon your prior year ADM different than the maintenance operations which is based upon your current year ADM so we saw an increase there and then the district additional assistance you can see the adjust meant and the projected as well as the adopted so that was one of the mitigation strategies that the that the Legislature passed in late April early May due to the covert pandemic initially the governor had proposed that that adjustment would go away altogether but you can see that we still have a reduction of two and a half million dollars and then there's the textbook allocations budget balance carry forward some other things so our budget capacity we are expecting to go over to be higher than 2020 by 2.8 million dollars and again as I indicated earlier that this the
023understood capital will be allocated out based upon a zero based budgeting process to make sure that each year we're funding the need and then any subsequent year a different need is funded appropriately so these are the non-discretionary and restricted capital expenditures remember that assessments as well as curriculum as well as all of our district-wide software solutions licensing etc all come out of this under strict of capital budget which formerly was a soft capital budget which would have included all those things you can see that you approved the assessment platform and the ongoing assessment cost of $30,000 increase you approve that this spring as well as the increase to global Academy in response to the expectation that we may need to go online more going into 2021 so we needed to expand the curriculum the online
024curriculum to our k5 students and then transportation note the decrease of 1.5 million dollars as you all know you approve to the new routing software to be implemented in transportation as well as the remodeling of transportation due to the combination of the power base facility into the Gilbert base so those obviously are one-time costs that will not need to be repeated so you can see the decrease there and then finally general instructional materials that are going across the school system so a total of eight point five million dollars that leaves us about six point six million dollars available for prioritization and we will share those details with you once we've had to have them determined we're holding off a little bit as we don't know how the school year is going to start I want
025to make sure that we have available resources to help mitigate any potential increased loss in students any questions on any of that on the understructure capital okay so other funds we talked about classroom site fund that length like to move to instructional improvement note that we have a budget of 3.1 million dollars which is an increase so we have done due to the cash reconciliation know how much cash we've carried over but we were very conservative in our new revenues going to going into 2021 the instructional improvement fund is totally funded by Native American Gaming revenues and knowing that all of those venues were shut down for a period of three to four months due to the pandemic we were expecting a decrease in the revenues a title one three point five million dollars again
026due to the cares Act we're able to fully carry over all of our title funds which we did not expect initially and then finally the bond fund you approved a resolution last board meeting to prepare for a bond sale to close in late July early August and that's also included in this budget so risks and opportunities again assumes a loss of 400 students we assumed a loss of 400 students going into 2020 but we actually gained over a hundred more so we actually gained 540 students which gave us a swing to the positive of 140 students we don't know how that's going to happen don't know how many of our students are gonna go online which could also result in decreases in ABM vacancy savings nor turnover savings are identified so vacancy savings is when
027you have a budgeted position and you can never fill it so those monies go into the bottom line as budget balance carry forward turnover savings are what mr. Carr described where you have a $65,000 a year teacher be replaced by a $45,000 a year teacher and then other than increased curriculum costs associate with the expansion of global academy increases in costs are being identified we haven't quite completed that that will be shared with you next week regarding the additional cleaning supplies and devices as well as the productive personal equipment the P P and E such as masks transparent screens and gloves and even throughout the school system and then finally based upon all of this our estimated fiscal year 2021 tax rate so remember that we set the tax rate in early August and we
028work on this with the county the school superintendent's office in early to mid July to establish that so this is an estimate again based upon the bond sale and any additional debt service needed in both January and in July and this is what we are estimating at this point so the fiscal year 2020 estimated tax rate was a total of 5.9 the November 2019 election pamphlet shared with the community a total potential of six point four six about 56 cents more per hundred dollars of assessed valuation based upon looking at our plan for the bond sale etc the S is that our tax rate will be six dollars and 25 cents about 21 cents less than anticipated in the bond override pamphlet in November of 2019 I did have that estimate confirmed by our financial
029advisor and this this tax rate will be the worst case so if anything it could improve it will not go up and just to clarify we don't actually set the rate we set the levy and amount let's combine that with the Assessor who sets the net assessed value within our property that's correct that creates this rate we we look at that as we try to establish these numbers but we don't actually set the rate that's correct any other questions or comments on that okay great and then finally just some general questions and I am remiss because I did have MS Jackie matin enjoin me tonight and she's right behind me so she's here to help me answer any detailed questions that that I may not know so with that thank you Miss Betts and welcome
030miss madnes and I did see you out there so thank you very much board members any additional questions before we move any further I'd like to correct my error and even though we've gone through the public hearing item 2.05 does call for a motion to open the public hearing and just for the record I would like for a motion on the public hearing in a second so moved thank you mr. Chetty is there a second second thank you mr. Carr any discussion moving backwards here and I do apologize soldier so dr. Santa Cruz you're not gonna make me do that presentation again are you hang on since madam it's miss Mantin and just arrival I'll have you do it again no we will not I did I did have a few comments I I really
031appreciate the work that's gone into it school finance is very complicated we have all kinds of buckets where our money comes from and we have all kinds of statutes about how we can spend that money and is something we have to keep careful track of so that we can educate our students well and I really appreciate all the time and effort put into the presentation because I think you guys have tried to make it as clear as possible and after a few go-rounds it will get clearer to people but it is very complex and and you've made it as as clean and as careful and clarified things as well as she could so thank you very much thank you Miss Humphreys before any additional commentary let's take a vote all those in favor of the
032public hearing please signify by saying aye aye those opposed please say same motion carries additional commentary regarding questions on the presentation before we move to item 3.0 2 which is an open an opening for members of the public to speak if they wish and we do have one member of the public who is asked to speak so we are at item 3.0 two and we have comment from mr. Jordan ray okay so so it was not on the budget we will move to item 3.03 adjournment of the public hearing is there a motion so moved Thank You mr. jetty is there a second second thank you mrs. humphreys any discussion okay all those in favor of closing public hearing please signify by saying aye aye those opposed say same motion carries 5-0 and we reconvened
033the regular board meeting I have a motion to reconvene 4.01 I move that we reconvene the regular board meeting Thank You mr. Chetty is there a second second thank you miss Humphreys questions discussions none all those in favor of reconvening the board meeting please signify by saying aye aye those opposed the same motion carries 5 0 item point five five point zero one is the approval of this evenings agenda for the regular board meeting is there a motion so moved thank you Miss Humphreys is there a second second Thank You mr. jetty into discussion dr. sacra's may I suggest the since we do have members of the public here that maybe we move that request to speak and allow them to speak if they're not on specific items before the superintendence report in case they
034would like to leave so ordered thank you we will do that let's take a vote on approving the agenda as suggested by mr. Carr all those in favor please signify by saying aye those opposed the same we are into the agenda we have members of the public who are desiring to speak and then we will move to agenda items and the superintendent's report so we will begin with the recorded message with miss woods at mr. woods request the board may make an open call to the public during a public meeting subject to reasonable time place and manner restrictions to allow individuals to address the public body on an issue within the jurisdiction of the public body at the conclusion of the open call to the public individual board members may respond to criticism made by
035those who have addressed the board may ask the staff to review a matter or may ask a matter be to be put on a future agenda however members of the board shall not discuss or take legal action on matters raised during the open call to the public unless the matters are properly noticed for discussion and legal action during the open call the board requests that speakers refrain from voicing complaints against school personnel or any person connected with the district as it may impact due process rights policy ke ke b and ke d are provided by the board for disposition of legitimate complaints including those involving individuals forms required for use of these policies can be obtained from the Gilbert public schools website we have two requests to speak first will be mr. Joe gusik welcome
036mr. guzik good to see you board president fellow board members superintendent McCrory all DPS staff parents taxpayers and last but not least students as I always tell you I'm Joe goose icky and it's nice to be able to say once again I'm the lovable slightly annoying American citizen education law Rex I first wanted to say congratulations I finally had a chance to come to a board meeting this year congratulate mr. Santa Cruz for being our board president I thank the rest of the board members for honoring a long tradition before that of rotating the power from year to year I hope to never see a day where another board member has to or or anybody feels that they have to ever have to serve more than year I believe we should always have talent on
037our board and it should be representative all five and those five should share the power of being or the privilege of being the president and the clerk second I thank you for allowing us to speak this evening thank you for buying me chairs that are very comfy I appreciate that the reason I did come tonight is I know everybody doesn't really like to wear a mask my grandfather was a coal miner and he didn't really like to wear a bandana dunked in water but he did it because there wasn't anything else he did get black lung eventually but he didn't get it as badly as everybody else there's a story there that if we do just a little bit we can help each other now obviously you see the chairs that are all separated out
038here and we're taking great precautions to do the things the right way today we had our highest amount of Kovac cases recognized in the state of Arizona since this has occurred and I just want to say this I know you have a tough challenge ahead of you but you also have an opportunity to educate an entire community on self-governance and in that self-governance an absolute understanding that yes they have rights but they also have responsibilities not to themselves with us and not just to their fellow man and women but to their country to do the right thing so I know over the next year you're gonna have challenges and I've seen the news reports from all the different countries struggling with this with starting a school and stopping a school and doing all those things
039what I ask you all to be is compassion understanding of each and every single individual educator child parent community member and be an education system within an education system the system that gives them total options is given here that are outside of the boundaries of what is normal bendin flex and have the community stay together that is the true in my opinion the opportunity because if you encourage people by example that you're all setting tonight the whole time this thing has been going on I've always gone into stores and even when governor Ducey said we could take our mask off and all that I still went into places so I encourage you to set an example and be flexible and be kind thank you thank you mister goosy next speaker is mr. jordan rain welcome
040mr. ray it's a privilege to be here and it's always good to follow Joe most takes I les I speak less than he does I served on the council for the last nine years I resigned a couple months ago to run for justice of the peace and as such I can't talk about politics and positions and policies and things like that but what I can do and what I'm here to do tonight is to just say thank you to each of you for what you guys do and I say each of you I mean board members I mean our superintendent staff administration etc this upcoming year I'll have to at Carol Wray ranch I'll have one at Highland jr. and I'll have two at Highland High School I've long said Carol ray is my favorite
041but now it's tied with Highland as I have the same amount of kids in both of those schools but as a parent and as a resident I can't imagine the decisions you guys will be making over the next few months but I say thank you and the community supports you and appreciates what you guys do as a board and as administration and as our teachers so thank you for what you do keep up the good work and we look forward to a another successful year with Gilmour Public Schools thank you mr. ray well now move back to item 6 superintendents report item 6.01 dr. McCord thank you doctor santa cruz governing board members welcome to our meeting this evening as mr. Rey and mr. guzik pointed out a little bit that we are doing our
042part social distancing in we are trying to be as safe and cautious as we can and we appreciate the fact that we have the opportunity to let our community talk to us from the if need be so again thank you for that I want to start off with talking about graduation the class of 2020 we've already had our virtual graduation I think I spoke to that at our last meeting but I'd also like to talk about there we also left the door open about having a face to face graduation and we are not going to have a face to face graduation for the class of 2020 for a lot of obvious reasons that's going on in our our state in our in our country it does pay me to say that but I believe the
043best decision is do that for all that are involved I would also like to say that there is a possibility for each school to gather their class of 2020 for a celebration at a later date when it's much safer we don't know when that will be and we don't want to push that aside we want to give the class of 2020 an opportunity to get together but I just wanted to make sure people in the community knew where we were at for graduation for this year and again to all of our seniors that did graduate very proud of you very proud of your resilience and how you made it through the last quarter of your senior year again very sorry that it didn't end up better for you but we do appreciate you and your
044families for making it through next I'd like to talk in the last thing I'd really like to talk about is just a task force update now this is information that we sent out to our staff and community but I'd also like to reiterate it here as we all know this is an ever-changing and evolving situation and it's essential that our plan moving forward has a range of options that are flexible in order to meet the needs of our students and families and to prepare for a range of scenarios and circumstances to achieve this there are a number of factors that are informing the work of the task force committee including but not limited to student success and well-being recommendations at the federal state and local levels from entities including the CDC in Arizona governor's office
045the Arizona Department of Education roadmap to reopening schools feedback from employee and parent surveys and resource limitations and funding parameters we've created a task force update page in our district website including communication updates presentations to the governing board an FAQ please visit this page for ongoing updates during the planning process at WWE Gilbert schools Net backslash task force the task force will present the final plan to the governing board on June 30th 2020 that's next Tuesday at 6:30 p.m. we will then communicate the plan with our employees and community including the launch of an online hub with key information and resources our task force will continue to explore all options to ensure that the final plan meets the needs of as many of our students and families as possible and promotes the health and safety
046of our community in that light we'd like to update you and our community on three learning options that will be a part of the proposed plan presented on the 30th option one is full time in person on campus learning with precautions in place to minimize the spread of Kovan 19 the next option is full time online learning with GPS global Academy utilizing GPS teachers and a fully accredited online platform and curriculum and the last option is a hybrid option at the elementary and secondary levels allowing students to learn both on campus part-time and online using the GPS global Academy again these three options will be presented to you next week and we hope that whatever our students and our staff what situation they're in come August if we believe that we will have three options
047that are readily available for everyone to be a part of Gilbert public schools because we want to make sure that we we maintain the integrity of what we do on a daily basis and we want to make sure all of our students are educated appropriately we want to make sure that we create environments for our staff to be able to to work in that is appropriate and that serves their needs again next week we'll be rolling this out and that concludes my report for this evening thank you thank you dr. McCord now move to item eight item eight point zero one be a monthly budget report and eight point zero two will be the 2020 revised budget number two presentation I will open that up to dr. McCord and Ms Betts dr. McCord Thank You
048dr. Santa Cruz governing board members what we have for you is our monthly budget report presented by Miss Betts good evening again we have actually combined the monthly financial report with the revised budget number two it's quite unusual that we would revise the final budget for the current year and the same night that we are adopting the new budget for the new year as you know this extension was provided by the Department of Education primarily due to wanting to realize the cares Act funding in the current year so we will start with the monthly financial report which of course informs the final revised budget we always take a look at this to determine what we're expecting in terms of budget balance carry forward etc so the May financials do reflect the revised budget number two
049again operating budgets we've we always take a look at maintenance and operations and unrestricted capital we did allocate out money and understate the capital late this year so they're catching up in addition it's very common for schools to buy in the current year to be prepared for the new fiscal year so that accounts for the increases in both restricted capital and maintenance and operations or the decrease in available budget balance carry forward so to get into the detail you can see the maintenance operations budget we're still expecting about nine point six million dollars in budget balance care forward as you know that's not consistent with the recommendation for the adopted budget the adapted budget has a higher value remember that as we get into July in August we are unencumbered many of our purchase orders
050get giving us an opportunity to realize additional budget balance carry forward and then we always do journal entries to move particular expenditures into other funds to give us an opportunity to actually increase the budget balance carry forward into the 2021 school year in addition notice the unrestricted capital outlay we're in still anticipating at this point to have just under 1.1 million dollars but again we already know that it's not possible for all of that for all of the work and procurement to occur prior to July 1 so many of many of that will have to rollover as well also increasing the budget balance carry forward in unrestricted capital so before I go on I just wanted to make sure that there's any questions on that okay terrific this is our federal grants I just wanted
051to point this out you can see that the available balance in title and I DEA is fairly significant and so the good news is we'll be able to carry forward that as I mentioned earlier into fiscal year 2021 where normally we are limited to how much we're allowed to carry over in those funds state grants I wanted to point out instructional improvements you can see that we've revised the budget budget number two to be 3.1 million dollars but you're but we're still expecting to have carryover of 2.5 million dollars normally we get about 1.7 million dollars in revenues each year in instructional improvement but you can see that we've been conservative so that 2.5 million dollars in carryover plus about a million dollars in revenue we're expecting to go into the 2021 and enterprise funds
052these are reflective of the pandemic and the loss of revenues in community school the last three months of the school year and then these are other district funds so in terms of the monthly financial report that is all I have to share with you on that any additional questions miss butts dr. Santa Cruz going I is this typical the carry forward um you mentioned that in several and several categories that we have more carry forward than normal that we have you know a higher carry forward than we anticipated is that can you explain what that's due to you bet so so in title as an example we did not have in person title summer school it all went online so we didn't have the transportation expense associated with picking up students and taking them to
053school each day so that was a large contributor in addition we open up a blanket purchase order at the beginning of every year for our fuel and transportation so it's probable that we've over encumbered because we weren't operating our buses for the last three months of the school year so this is an unusual year in addition we're a little we're thankful for it because we don't know what's going to happen going into the 21 2021 school year having additional carryover gives us more flexibility to mitigate any additional loss of students etc thanks board members mr. Carr thank you dr. Santa Cruz and I would again think miss Betts and her staff for these presentations that have come so far over the last couple of years and the content and would just simply add not only
054do they mitigate the the risk future year but it also puts us in a better balanced situation so that when we go out for bonds and we get credit ratings that was one of the issues a couple of years ago last time our credit rating was was reviewed is we got a lower credit rating because we did not have and he carried forward so having those reserves we always want to use the funds we have for the kids that we have this is not a rainy day fund it's not an intentional set-aside per se but it is good practical management that serves the taxpayers both because we will have the funds available to mitigate and because it lowers what we would pay in those bonds in the future other questions comments for members no please
055continue miss Beth okay so I don't have the next presentation Michael can you I think this is the PDF can you put up the presentation for me there we go okay I'm gonna go through this really quick we've already shared all of this and then the revised budget number two so if you recall we did share this with you in early May because generally this is supposed to be approved by the 15th and we did don't want to take advantage of the delay though and so we're presenting this to you again for the final revised budget which you have as an action item later tonight so again this is the fiscal year 2020 a Manoa budget revision number two the understood capital budget and then other updates so again this should be consistent with what
056you've seen on the on the revised I mean on the adopted budget presentation you can see all the changes that have occurred and you can see the increases between revision number 2 versus adapted way to the right side so you can see as I indicated earlier that the average daily membership increased by 527 students when we were expecting to see a 400 student loss so that's a swing of 9 900 students which is quite remarkable and you can see the how the weighted student count responds to that increase in ADM the revenue control limit due to that increased by nearly 3.7 million dollars we shared already the transportation revenue control limit the error that had been made in reporting and we fixed that during this fiscal year budget balance carry forward was higher again that's
057an indicator of what happens when you're in the encumbrance period the encumbrance period is July and August we're paying off all the invoices and we run encumbering purchase orders so that results results in additional budget balance carry forth at 2.4 million dollars so you can see that the mo general budget limit increased by nearly four point six million dollars from the adopted for fiscal year 2020 and the unrestricted capital budget limit increased by 1.2 million dollars from the adopted fiscal year 2020 any questions on that okay again we've already talked about this revenue control limit budget balance carry forward the unrestricted capital increased due to updated student counts and final fiscal 2019 AFR the AFR as the annual financial report again that's when we put the actual spend against the budget and that's when we
058know for certain when our budget balance carry forward we'll be and know that that's not submitted to the Department of Ed until on or before the 15th of October and normally we do not receive the results of that until late November accounting for the budget revision either in December or in January okay any questions on that okay great other budget change detail again we talked about instructional improvement the fund 100 title 1 & 2 note that we have actually decreased we adapted six points eight million dollars in title going into the 2020 school year but only could realize four point six the reason for that change is we generally adopt what we had adapted the year prior but obviously we were not we did not have the opportunity to carry forward them that much money
059in title again we have an opportunity to be able to realize all of that carry forward in title money in title funds going into the 2021 school year we do note that we have the s-sir dollars that's the cares act the two point three six four million dollars that is our allocation recall that we indicated we probably will spend about $500,000 in the current year out of the cares Act money leaving about 1.8 million dollars to be spent in the 2021 school year auxilary operations this is notable that 1.8 million dollar decline due to the fact that we did not have athletic and field trip activities during the spring and much of that money had to be refunded to all of our parents and their students so that accounts for the drop of the 1.8
060million and then indirect again this is due to the annual financial report and as well as the debt service we had additional carryover in the debt service fund that results resulted in that one point almost two million dollar increase in the debt service fund don't questions on any of that dr. Santa Cruz okay we had mister miss Betsey highlighted the refund of athletic fees in the auxilary operations there can you just clarify because I know we received a number of questions that represents only the student athletic fees not anything that was contributed to teams through the tax credits correct that's correct due because of the text the nature of the tax credit we are not at all able to refund tax credit dollars however we work very hard at moving that tax credit donation to
061a fund that the parent wishes it to be in for the subsequent year for their students so as an example if a student made a contribution in eighth grade for a junior high aesthetic we are able to move the tax credit monies into the high school that that child will be matriculating into the subsequent year thank you mr. Petts I just think that's important for our parents understand that one is a payment that they make the one is really even though they make it to us it's going through the state and the state restricts that not us so we have to comply with state guidelines and we know that that's a sacrifice from parents and a contribution to their students through those tax credits and we're grateful for it and in adhering to state law
062we can't refund it but we do want to want to use those funds to the best of our ability how they so designate that's correct and then again please please note the community school the decrease of 2.3 million dollars in community school again related to the pandemic and the shutdown of the VI K programs during the spring okay so other budget changes so again structural improvement due to accounting for current cash balance grant fund variances due to the final fiscal year 2019 AFR Medicaid increases again in the 1920 school year as well as the 1819 school year special education department has worked very very hard at making sure that we're getting all of the claimable claims to increase our Medicaid revenue which we have successfully done and then all those other things I commented on
063and then that's it for the revised number two and again that's in the action item later for you to approve board members additional questions we have gone through eight point zero one eight point zero two taking them together anything additional if not we will move on to item nine nine point two zero one is and you have had an opportunity to review all the items on the consent agenda so item nine point zero one is approval of the consent agenda and its associated items is there emotion some lift thank you mrs. Humphries is there a second second thank you miss you Judy any discussion dr. Sankar zipang just comment on one item there is an item on here that would normally qualify for adjacent ways just want to point out as we have in the
064past this board has stayed true to the commitment made to voters when they passed the bonds to pay for these items through bonds rather than had a property tax that would pay for these and we appreciate that the administration is also making efforts to do that thank you mr. Carr well said anything else dr. Santa Cruz gorgeous lit we looked and the second reads we have brought those for a first read I don't believe it was at the last meeting but I think it was the meeting previous I just wanted to make sure that but the public was aware and then besides that we've had it twice now at a policy meeting where we've all reviewed it and discussed it which is also public records so I just wanted to make sure that that was
065known very good thank you for that both of those items have gone through appropriate first reads this is on a consent agenda for a second read and so things are as they should be relative to those two items any additional commentary or question seeing none then we will vote on the consent agenda all those in favor of the consent agenda as printed please signify by saying aye hi those opposed the same motion carries 5-0 we move to item 10 action items items for consideration discussion direction impossible approval and we move to item 10.0 1 approval of performance-based compensation set forth in the employee contract between dr. Shane McCord and the governing board as approved by the governing board and pursuant to a RS 15-3 41:39 dr. McCord I would typically yield to you but we
066won't on this item is there a motion for 10.0 1 I would like to move that we approve this I'm not gonna read the whole thing since you just did dr. Santa Cruz thank you thank you you jetty is there a second second thank you mrs. Humphries any discussion or comment I just would like to comment that not just in this area but in everything that you've done dr. McCord over the last years but especially the last four months I would like to say that thank you thank you for showing up and thank you for not leaving Thank You mr. Chetty mrs. Humphries I do want to point out that this is part of statute that we give dr. McCord or at least consider giving performance-based compensation and I think I think this has been
067a very unusual time in education and unexpectedly closing our schools but continuing to teach our students online and all of the things have gone into that and all of the efforts that are going into planning and trying to figure out how to reopen our schools and be safe and take care of students and staff and so there has been a huge amount on his plate this last few months and this last year so thank you very much thank you mrs. Humphries anyone else mr. Carr dr. Santa Cruz thank you dr. McCord I would echo the sentiments expressed by my fellow board members and I think perhaps one of the best compliments that I can give about your leadership is the fact that over the last two or three months as this crisis has occurred I
068have received more calls from board members on nearby districts asking about the things that we're doing in an in with the intention of learning from what our district is done and that speaks very highly of your leadership that our neighboring districts are noticing and wanting to duplicate our success so thank you for your leadership and all you've done dr. Lucas yes just want to say thank you especially for caring and for your positive attitude and your the way that you lead with I just think with positivity and with listening to those around you and to listening to our families and teachers and trying trying to meet the needs of us that you can as we continue to go forward so thank you and dr. McCord I echo those sentiments your compassion and dedication leadership all
069of those qualities that one would seek in someone at the head of the pack are embodied in you we appreciate you thank you with that we'll take a vote on item 10.0 one all those in favor please signify by saying aye aye those opposed the same motion carries 5-0 can I just say something okay if you don't mind not that I really I this agenda item is about me and I wholeheartedly appreciate the vote of confidence and the wonderful worlds but I you also need to understand and I know that you do that I work with some extremely talented people that they need to be I need to recognize them for everything that they do on a daily basis and as you talk to it mr. Chetty for the last three months or so we've
070what we've gone through as a district my staff here especially my cabinet members have shown up every single day the efforts that have gone out by the principals and the teachers and our support staff is second to none and and I just compliment them for everything I know that at the end of the day I get recognized for this beep but I want everyone to note that it is not me it is them and that's what makes this school district special is that it's never just one person it's it's a collective it's all of you and and it's everybody else that we work with so because we get the most wonderful thing in the world met somebody else's kid and we value that we take pride in that and we understand what our responsibility is
071so to all of our families as well thank you for sharing your kids with us so we're looking forward to getting school year started next year where we can so thank you again thank you sir item 10.0 to FY 2021 proposed budget for adoption dr. McCord Thank You dr. Santa Cruz governing board members item 10.0 to is proposed budget 2021 asking for your approval moving forward miss bets in' gave a fantastic presentation so we hope your approval is sent thank you dr. McCourt and my compliments to miss Betts miss Matlin and your staff for your hard work in keeping our finance our finances steady and strong board members is there motion I move that we approve the proposed budget for adoption for the fiscal year 2021 21 Thank You mr. jetty is there a second
072I'll second thank you ms wood any discussion seeing none we will vote item 10 points your 110 point zero to is before you all those in favor please signify by saying aye aye all those opposed the same motion carries 5-0 item 10.0 3 FY 2020 revised budget number 2 dr. McCord any introduction just request your approval again based off of miss Betts presentation earlier we are fortunate we had an extension be able to bring this to you this evening which gave her more time to make sure that revised budget was tight and clean so thank you thank you sir motion item is before you a motion for item 10.0 3 so moved Thank You mr. jetty a second second thank you Miss Humphries any discussion seeing none all those in favor item 10.0 3 please
073signify by saying aye hi those opposed the same motion carries 5-0 we're at item 11 request for future agenda items 11.0 one any thing for the good of the order this evening if not I would then encourage you if there's an agenda item to please contact miss Wilson and let her know your desires and we'll move from there is there any item for this evening we'll move now to item 12 board committee reports item 12.01 Gilbert Education Foundation miss Humphreys so Gilbert Education Foundation we had our end-of-the-year recognition and scholarship thing the night after graduation had a special recognition virtual of course we are going to be doing a board retreat that will be virtual coming up in July and we're just looking at ways to help and support the district as we go through
074some very challenging times thank you Miss Humphreys item 12.0 to city of Mesa lays on miss wood I just wanted to report that I passed on our thanks to mr. Thompson and the city of Mesa for their donation of Chromebooks for our schools in the Mesa area of GPS to help to help us make sure that our students have access to that as we face whatever challenges come this this coming school year thank you ms wood item twelve point zero three and twelve point zero for the town of Gilbert Faison and the finance and Audit Committee mr. Carr thank you dr. Santa Cruz I did have a conversation with members of the town of Gilbert's Town Council they did just before this meeting bill Spence is the leis on here did communicate on behalf of
075the council their desire to assist us in any way as we start up the school year with whatever challenges and to please let them know if there are things that they can do and also the desire to coordinate with our neighboring sister our sister city even Mesa which it obviously is to them a sister city but to us as a integral part of our district in anything that that needs to be done so just an offer of help on their half regarding the finance audit committee because of the covin situation they we have not met thank you sir item 12.05 insurance trust we haven't met since since me so thank you is you jetty item twelve point zero six legislative issues those are only before you were waiting on some signatures and decisions from the
076governor and from the legislature ASB a I believe is working on our behalf our being our school district and many others as it relates to the financing of schools during this kovat period so that's really all I have to report in that arena we are at item 13 future dates doctor record thank you doctor Santa Cruz governing board members we have two meetings coming up a special board meeting next Tuesday June 30th at 6:30 again in this room with the appropriate measures taken and then take a bit of a hiatus in our next meeting after that will be Tuesday July 28th will be a regular board business meeting but with the caveat that you never know we may have to have some special board meeting depending on what's going on so if that happens we'll
077make sure the community is well aware and I thank you dr. Corvis would yes doctor Santa Cruz dr. McCord is that we're gonna begin at 6:00 p.m. right on July 28th did I say 6:00 or 6:30 or did we advertise it at 6:00 I don't know I don't remember I'm saying I'm talking about July 2 Oh Jill I shall I 20 July huh it would be our new time yes our new time would be 6:00 p.m. and we'll make sure that we hump that out there to our community to make sure that they know that there's a half-hour change based on previous conversations within this board meetings okay but next week is 6:30 next week is 6:30 and I presume even though it's a special meeting we'll be taking public comment we will be board
078members anything else for the good of the order if not I'd entertain a motion on 4.20 14.0 1 for adjournment so moved Thank You mr. jetty is there a second second second thank you mr. Carr all those in favor of a German please signify by saying aye hi hi those opposed the same motion carries 5-0 thank you to those watching livestream and thank you to dr. McCord and staff we are adjourned don't leave without your signatures