001no good evening i'm going to call this meeting to order dr foley roll call please president kaler members of the board please let the record show that all members are present thank you so much we're going to have a moment of silence followed by the pledge of allegiance all right i move that we approve the agenda 2.1 second any comments or questions about the agenda all those in favor aye motion carries 5-0 michelle said yes all right next is superintendent's report dr foley president kaler members of the board we begin tonight with our favorite part which is the points of pride and tonight we have representatives from the district office groups that are going to be recognized tonight so we have several individuals who we are very thrilled to highlight and honor tonight and we
002have three presenters who will start off tonight i'm going to start with having mom martens begin by presenting good evening president kaler vice president anderson members of the board in our higley community can i ask miss elizabeth cruz to come on up please [Applause] so liz i'm going to give this to you so you could help me hold but here's your certificate and little thank you from us so liz is our hr specialist and she focuses primarily on information systems she joined our team back in july of 2019 as a transfer from bridges she had been working as their hr at pub not hr their admin clerk and she has just been a wonderful addition to the department so i'm just going to share collectively what some of her colleagues shared about her which brought
003her to us tonight she's a go-getter and from the beginning she has been respected and valued by everyone in our department and at the district office her work ethic and dedication are commendable she is never too busy and always enjoys helping others not only is she a team player she's always willing to lend a hand but she also has made very pardon me has made many individuals feel truly welcomed she's always responsive and thrives to make sure that she does her job and does it well we've been short staffed as many of you know as many of you are representative from the district office for well over a year and she always just makes sure she helps wherever she can and has done multiple roles for at least a year if not a little over
004the year and she's just been a true professional and we feel lucky to call her our colleague so thank you liz for everything [Applause] you get to take a picture you're not used to this you'll take a picture with the board but would you like to share individuals who are here to support you tonight well i just want to say thank you to the hr team i really appreciate and love working with you guys also the rest of the district office thank you guys all and thank you mom so much for everything [Applause] tyler would you please would you please recognize our next one i will hold all right i have the honor of recognizing the sharon rush camp if you can come up here [Applause] so sharon has asked me to keep this short
005and brief but i have a couple things to say so first i'll summarize what some of the individuals who recognize sharon said to quote sharon takes on a lot of responsibility as the director of director of finance but she's always has time and attention to help other people she's always making decisions with students first even in the finance department sharon will always treat you with kindness and respect and is a true representation of higgle unified school district a second sharon always has a smile on her face and is very kind to those around her no matter what is going on when a problem arises sharon finds a way to put a positive spin on the situation sharon continuously goes out of her way to help anyone that may need her assistance sharon's quick witted and
006has a funny sense of midwest humor that makes the finest apartment an enjoyable place to work and i'll also add sharon has provided an invaluable level of commitment to the district and especially in the finance department in her short time being here she has still yet to realize that we are close on saturdays and often has to be kicked off the network by it on holidays and weekends sharon also uh is a proud midwesterner and she has habitually reminds the finest department on how to correctly pronounce such things as calling soda pop and several other midwest sayings so thank you sharon for your outstanding contributions to higley unified school district [Applause] thank you so much [Applause] um i just wanted to thank everybody for coming my husband matt he has supported me for 38 years
007greatly appreciate that the finance team without you i would not be up here because you guys are a tremendous team always willing to help out and my dear friends dina and louis who dina took me in my very first day here at higley showed me the ropes and greatly appreciate it so [Applause] and sherry well is going to come up here and help us acknowledge our final points of pride tonight kaler members of the board cabinet community this is probably the best time of the year when we can focus on our unsung heroes there are several of them in this room there are three that we're going to acknowledge right now so if you ever wondered why the lights turn on the ac works the water runs ah and the toilets flush there's one individual
008in this room i want to acknowledge for making sure those things happen and that's mr tim mcdonald [Applause] mr mcdonald is a supervisor of facilities and maintenance this year he has stepped up led a team of skilled tradesmen that includes plumbers electricity electricians hvac individuals painters and the people that fix the random things that go out mr mcdonald leads that team who has been called when a pipe breaks and you have a fountain shooting off the roof of a building on the weekend of course mr mcdonald steps up who gets called when the lift stations overflow in the parking lot and we need crowd pleasers who knows what a crowd pleaser is it's a fancy latrine with music which we got to use for how long tim it was quite a while anyway he tried
009to make that as pleasant as pos possible so he's an inspirational leader the guys that work under him appreciate his leadership guidance and support so tonight we didn't get you flowers we got you a gift card to get a meal and then also leaders eat last because you're the kind of leader that everybody in this district wants to follow so thank you tim [Applause] stay stay for a picture and then if you want to acknowledge people we forgot to say that tonight he had the opportunity to work on the faucet across the hall that wouldn't quit running so i forgot to tell him we need your services this evening as well okay [Applause] is there anybody in the audience you want to acknowledge um just um it's been a tough couple years and uh i
010just think if we stay positive and work as a team everything will work out which it has and that's it and thank you thank you [Applause] all right when the rest of us are sleeping soundly in our beds who's on call for our students that are driving around in the middle of the night on a bus mr crosby come down please [Applause] so we have so many examples of how mr crosby steps up there can be a flat there can be a minor accident the bus break gets down and he's there in the middle of the night i have so many examples the past two years have been challenging for transportation across the nation many districts have had to cancel routes leave students stranded without an option to attend school mr crosby would not allow
011that to happen and had everyone in his department driving buses including himself i know that he's driven close to a hundred plus days himself this school year not every director would do that it's evident that he's created a positive culture where his drivers his bus aides his mechanics and office staff all want to come to work every day it's not unusual for josh to be flipping pancakes cooking burgers and serving his hundred plus staff members there's no way for us to tell you how much we appreciate you thank you josh [Applause] no flowers for you either that may be a burger and a book there you go yep we off center not too bad [Applause] thank you i'll echo what tim says it has been a rough couple years but we are we will get
012through it we have gotten through it and i just think we've come a long way um i'm 22 years at the higley school district we used to have three governing boards and meet in the library at higley traditional our only school when i started here we had 371 students and we had seven school buses and there are days i wish we were back to that because i knew which i could look at a student and tell them what bus to ride and what stuff they got off and everyone went to higley traditional so no students got lost we only had one school to take them too so we've come a long way but it's amazing to see what the cotton fields and corn fields have become and it's changed a lot there i i can
013remember seeing coronado elementary school being built from the hda campus because there was nothing else in between the two buildings so it was just open farmland so we've come a long way so thank you so much and thank you all for the award and i look forward to a few more years retirement thank you yeah i think he knows this district better than most of us for sure so if you have questions about anything ask josh all right so our last and individual has literally carried us through the past two years i can't even tell you the number of hours she sat in a conference room with us trying to create plans communicate plans sit on the phone with the department of health come back and counsel us and hold us together that individual is
014julian fulton please come down julian had numerous people nominate her for this award and i'll read a few of the things that they said about you you have supported advised and really provided all around customer service to our entire district your demeanor is always pleasant your work ethic is second to none and your professional perspective balances the need of our school community with the ever-changing public health expectations or we could say coven right many times we will find her serving in a health office on a campus or behind the scenes doing the work the real work so we respect julian for that the most important thing about julian is she's always smiling she treats everyone with respect and compassion and i've never had her say that's a dumb question right oh it goes without saying
015she's a class act and we wouldn't have made it through the past two years without you you are wise kind thoughtful and the hardest worker i've ever met thank you [Applause] do you want to talk real quick i bet you do i'm better i can't say what sharon said because i did look over at my husband and say you're not getting me to say that about the 38 years but i love you and my parents are here and my two of my daughters are here so thank you because kind of dawn made a comment earlier and we were first in here about thank you to them because sometimes i spent my own accord so much time the past couple years away from them doing everything but thank you guys too because it's kind of like
016a second family so everybody has to deal with me on both ends so it works thank you [Applause] thank you to our amazing points of pride winners you are more than welcome to stay for the rest of this evening but we also know you've some of you've been working a very very long day and if you would like to leave at this time please feel free to do so and thank you for coming okay president taylor vice president anderson members of the board the rest of the superintendent report shares some upcoming upcoming events this coming friday we have a superintendent's visit at centennial we have been warned the students want to lead us through a yoga activity so come dressed ready to stretch and enjoy yoga with students if you are able to join as
017you can see we have several important events coming up over the next month and this is just a snapshot of the many things happening but wanted to put those on your radar for this evening and that concludes the superintendent's report thank you dr foley no board comments tonight i mean i'm sorry board comments that's next oh did you want to speak oh thank you president taylor um i just wanted to um thank the community for we see we received a lot of emails regarding um the sauceman trip to disneyland and the fun that they had and the experience that they had and i just wanted to thank them for sharing that we don't get to see what the kids see we don't get to feel what you feel i wanted to give a great thank
018you to the chaperones i don't know if it was work for you guys but if it was thank you for going and thank you for the students wanting to become better through this experience and with the new policy change i want to thank you say thank you to all the staff that adjusted to it and did everything that they needed to do to make sure that everything was done right uh i just want to say i attended gilbert's historical museum event on saturday night and i just wanted to say our higley rotc program or higley high rt's program was there were exceptional they were so um nice and helpful and it was just amazing to see that they were so so yes i concur our rotc program is the best in the state so thank
019you and no request to speak all right we are moving on very quickly we are going to i make a motion to adjourn to executive session pursuant to ars 38-431-0385 discussions or consultations with designated represent representatives of the public body in order to consider its position and instruct its representatives regarding negotiations with employee organizations regarding the salary and benefit package for the 2022-2023 school year second all those in favor aye aye motion carries and we will come back after this executive session did you sleep all right welcome back we are going to move on to consent agenda item i move that we approve consent agenda item 7.1 to 7.14 second any comments questions or concerns all those in favor aye aye motion carries five zero i do want to notate curtis if you could pull
020up please the gifts and donations i know there were several i want to make sure that we give a thanks to maricopa county for those home tests that we are able to send home with our students in case that they need that our power ad company helped higley with their digital scoring table which is awesome and then santan pto also helped with offense extension at their kindergarten playground so again thank you to all those that gave us gifts and donations okay next on the agenda is 8.1 and we are going to have a presentation on our code of conduct process which will include mr walker and mr larsenheiser good evening president kaler vice president anderson members of the board tonight uh we're excited to come to you and present what the process and help explain
021to you what the work is going to be doing in looking at our code of conduct and looking at the process you're going to find some similarities between the course guide process and the code of conduct process because there's our goal to create something where we're going to look at it and look every year and on an annual basis review this and so mr walker and myself have been reviewing this process we're going to present it to you james is going to do most of the presentation here about what we're planning to do what we've already started the work we've started when it's going to come back to you as a board and what how we're going to launch it into the 22-23 school year curtis which way do i point it thank you okay
022sorry it doesn't work okay uh president kaler members of the board so the proposal that we have today for the code of conduct review process consists of some goals to create an annual process to be able to review the code of conduct with a committee and then bring it forward every year and keep a sustainable program that allows for the governing board to be informed of what changes are made to the code of conduct um brought this forth this year because did some research and we found the last time that the code of conduct was actually brought to the board was 2016. so there's been a lot of changes policy wise legislative wise school systems wise since 2016. so that's far too long to go without reviewing the process and so the goal is to
023update for the 2022-23 school year that will address the changes that have taken place since the last review and bring them forward for next year all right so the timeline of the process so we've decided that the fourth quarter would be the appropriate time to begin the process to review that would give us enough data and enough uh information to analyze trends that have taken place throughout the year so that we can be as fresh and as current as we can with the information through the committee and then that process will begin in the fourth quarter every year annually moving forward so the goal again is to have this review process that stays consistent and we've begun the process now just prior to the start of the fourth quarter to be able to bring back
024the completed code of conduct review to the governing board in june for approval so then it would go live essentially july 1st for the upcoming school year the goal then is after the code of conduct is is situated that we would go forward with training and development for the administrative teams and then ultimately work together to create a process that informs our parents and our student groups and then goes over the key points of the code of conduct and the changes that have taken place moving forward with our community there's also an acknowledgement process that we've instituted this year that allows the code of conduct to be digitally shared and then acknowledged by both students and parents through through synergy every single year through parent view and through student view so we've selected a committee
025to review the code of conduct process for this year it's comprised of representatives from various levels of schools in the district office i lead the committee our new our newly on incoming assistant director of counseling services will also be part of this committee once they come on board secondary deans of students and then select elementary school assistant principals from both the north and south sides of the school district as well as our student information manager as part of the process let me jump in i think one of the important things is when we when we got ready to look and say where are we at this hasn't been looked at since 2016 and brought forward so we need to have a clear understanding of what's happening internally with us to make sure we're looking at
026that so when we sat down james and i sat down and said how who do we need to have in the room right now we wanted to bring the people who are dealing with it currently right who are living this and so you know when you're dean of students a lot of times one of your roles is you get to be heavily involved in discipline and student behavior and so that's why we felt like they were really appropriate to come down and be a part of this process as well as we said select elementary if we got committee too big we didn't want it to be too big so we needed to be concise and so we've invited some different people from there so really the idea is we have the people who are working
027with it right now to be a part of this process and look at it to be able to bring it forward and look with you moving through that and so we're excited really excited for the assistant director of counseling services once they get to jump on board to join this under james's leadership and and lead through that and i know that he's already started that committee work and examining data and he'll talk a little bit more of that as we go forward [Applause] so the committee tasks what we're going to start doing is annually examine trends with data and where there is consistency and inconsistencies within the code of conduct so we began this process this year by pulling five-year data analysis looking at student discipline data for the last five school years this year
028aligns really well with 2019 school year because it's almost the same exact point in time where that school year essentially went virtual and pretty much discipline ceased at that point as the entire school was virtual and then last year's data is going to be too much inconsistent to focus on so we want to go back a couple years prior and then every year moving forward find that those those data points to be able to look for trends and have discussions about what's happening and how can the code of conduct be improved based on what type of data is currently presented we're going to be reviewing code of conducts from peer districts as a comparison for best practices and what's happening in our prayer school districts and then we're also working with the trust and our
029legal team to make sure the code of conduct aligns with um state laws and and policy in general so one of the parts of this process this year is our entire 2122 code of conduct has been submitted to the legal for review and they're actively reviewing our code of conduct right now to find any type of discrepancy and make sure it's in compliance legally and then they'll also there'll be representatives from our legal team that's going to actually sit in the process and be able to field questions and participate in the process as we review moving forward as well so the plan for the code of conduct review moving forward we have our members have been selected and an introduction meeting has occurred to begin with to outline the process and additional meetings will be
030planned throughout the fourth quarter um there'll be a presentation at the june 8th governing board meeting for the finalized 2022-23 code of conduct and then when we return back in in july either at the retreat or part of back to school there'll be some administrative training to then work to identify key elements that will be shared with students and parents to begin the school year so we're also working the committee is also working not only to review the process but also to be better equipped to have a site process to work with our students to go over what the expectations are so we want the code of conduct to really be a tool that's informative not a tool that's punitive and so to be able to have that process how to best share with our
031students so they understand what their expectations are to navigate the school year i'm working with with brian in student information management brian campbell to be able to ensure that the process in place is still continuing for acknowledgement and information and making sure that that's tweaked and that's that's up and ready to go once the conduct is live and then our parents are accepting acknowledging um online as well so the goal is to have uh intentional process in place that we're actually actively reviewing this process and it continues to cover all the needs to knows of the process so we can best inform our students our our families our parents our teachers and our admin teams on an annual basis real quick i think that communication piece is really important so as we go through it
032and we look and examine and say what has changed what's happened and and when james's team is putting this together so when you think about communication you think about with our administrators directly who it's going to affect and that's what's coming back at the at the beginning of the school year whether it's at the administrative retreat or it's a separate meeting but communicating prior to the start of school year here's what our expectations are and here's what the new changes and anything that's happened with the code of conduct but then when you switch gears you have to inform parents and you have to inform are the students as well and so that's the other task that james alluded to like how are we truly going to inform and get people informed and then have the
033acknowledgement that they have seen it that's what's really important to us and so i know in the past it could be more site-specific where we're going to do a video or perhaps we have teachers read within the classrooms or there's checkup sheets we want to streamline that process to allow more consistency so that the experience that's happening in one school is going to be very similar to the experience having at another school because this is very important things and it doesn't become important until it there's an issue and then it becomes affordable we've got to make sure that people are informed ahead of time as we go through it you know i i think when you take a look at examining that it's five years of data that they're already looking at this is going
034to allow us to see trends and consistency and allow us to ask those questions what needs to be changed what needs to be informed how can we make sure that we're doing the best things to help our students right because ultimately that's what this code of conduct is is these are the expectations for what's happening and then not necessarily consequences but this is what's going to happen should we need to address or issue concerns and remember when you look at a code of conduct it's not if this happens then specifically this happens we have ranges and we have we have uh oh ideas and overarching themes that we can do that had principles and leaders on campus have that ability then to impact and help our our school stay safe and secure throughout the time
035and so i you know when we take a look at this process once again we're trying to be intentional and and i i started by saying it got kind of coarse guy to me i see it as two balances i got coarse guy coming through in the fall and then we got code of conduct coming through in the spring and we just want to continue that cycle of having consistent oversight and review president caleb members of the board going back to one of your strategic initiatives this year was processes and procedures without a process and procedures these things as you heard and i mean legislation changes and that has implication for our practices and our policies this being an annual process at this time is going to be important so with the review of the
036legal team to make sure anything that changes our code of conduct is legal compliant and then any policies that need to be updated and changed or done all at the same time so there's there is a tedious task to this that is an essential component and should be an annual process which is what we're sharing with you is happening and hence there's been a few years of cleanup that need to occur and thus that's why the composition as it is but the key component is also looking at our own data to see um what where and if there are specific areas that we need to address in other ways thank you dr foley thank you gentlemen i do have a couple questions um first of all mr walker i know you've been busy getting us
037up to date and compliant so thank you for your hard work you've been a complete asset here at the district office so again thank you because i know you're working hard and there's not enough time in the day to do all that you're doing um do we have a guesstimate when our director of counseling may or may not join our are we getting closer to that position i i haven't heard anything so i'm vice president kayla members of the board um this search committee just finished at the end of last week so now it's a matter of analyzing um salary data et cetera and human resources to follow up with the call and determine when the availability for that individual will be okay okay that's good because the sooner that they get on board with
038this process the better i would um guess and then i'm with you mr bit mr watson heiser i'm sorry you should have never told me your other name it's so important that we read this document as parents and i know that many of us got into the habit of check mark right so however you do talk with mr brian over there in students how we can get the document to everybody so that they do have to read it it's i mean it's easy to just kind of check the mark and sign your name but maybe it's that you know you can't move to the next page till i don't know i i'm not the i'm not the technology guru but i agree with you whether it is videos in the classrooms on the first days
039of school however that goes out because i know right now it's kind of we'll use the word squishy because it gets signed but i'm not sure that it's being completely read so i'm i'm with you on that communication i appreciate that president kaler i am excited to actually see the technology portion of this and the dress code portion be updated i've heard from our community a lot that those places are a little i think i'll use mrs koehler's word squishy and so i'm excited to see what you guys come back with um i also agree with mrs kaler uh an easier way for parents to read it would be better because as a parent you know we get the little thing on parent view it's an easy check i'm assuming most of us are not
040going to the district website and searching for the code of conduct and actually going through and reading it so i do i'm excited to see how that will be pushed as well so thank you for all the work that you guys both do i'm impressed president kayla thank you i just have a question um are there any unique um experiences that uh will be added for the online school like do they get their own code of conduct or is there stuff incorporated in this code of conduct since it's it's a unique circumstance they don't quite have the same experience uh that's a great one because it is very unique right and looking at it and so when we take a look first of all because they're one of our students it's going to have to
041be consistent with everyone so it's not going to be something separate however i think that we have to be able to explain more expectations about what happens with our online so i don't know if that will be specific in the entire general one but i know that's something that i've worked and mr dolan is very heavily involved in that and how we can communicate what the expectations are more specifically about the online students so don't know yet if it's going to be combined but for sure they have to have everything whether they're in person or not but then additional things just i want to say behaviors and and common courtesies and different things like that for the online students and that's something we've worked with mr dolan on really good question mrs anderson and you
042know you don't listen to mom there's consequence right at home um at this at the same time that we get code of conduct we also get the bus transportation document usually and we also get the um if you want your picture or not picture are those being looked at at all at the same time or those just those are golden because i'm pretty sure we haven't revamped any of that wording either since 2016. so i don't know i'm not trying to add more work to you but it might be just a quick peek to make sure that those two documents that usually come with code of conduct are looked at just a suggestion president koehler i believe technology is also a separate page on that is it is there three pages and then code of
043conduct okay go so governing board uh those components have also been submitted to the attorney to review also technology use agreements um the opt-in opt-out of the picture taking the back components of that those forms have also been submitted for review as well president kaler um just a quick suggestion i know we've gotten the code of conduct and synergy and parents could electronically sign when that first happened i know like as soon as you signed it or clicked on it after you've signed in and everything it was gone like you couldn't go back and find it so um i heard from several parents and part of that with mrs kaler's comment on sometimes there's repercussions of not getting these turned in by a certain timeline and sometimes the kids are on the parents like you
044have to log into your into your parent view and you have to acknowledge the parent handbook and so i got to do that i got to do it it's due tomorrow stuff like that so the parent does it but then they do want to go back and look at it and it was just gone you couldn't you couldn't go back and and look at something or something popped into your mind and you want to see it so as you're going through this with our technology group um if we can keep that in mind i don't know if it still stays there if or if it still disappears but i know it disappeared i heard from several parents that that was kind of frustrating because even they would want to go back and look at something
045which is a good thing so we want to make sure it's available and like mrs wilson said they're not going to go to our website and try and find it especially when they electronically signed it in synergy so if we can just keep that in mind as as you're working with them what happens to it is there a way to keep it there for some type of library for parents thank you i'm well done any other comments or questions thank you gentlemen appreciate you both next up we have the tyler moore show 8.2 good evening president kaler members of the board tonight i have the second review of the mno budget this does have the updated information that our legislators gracious graciously passed uh this past month can we all just say thank you thank
046you [Laughter] so that passage of that aggregate expansion limit is reflected in um this presentation tonight there we go uh so first just a reminder of our school district budget timeline what i'll presenting tonight is is to look at two budgets we're revising our 20 to adopted budget again we did not do a december revision it was not necessary for our district so we are holding off for that may revision and so that will be reflected tonight and we're also looking at our 23 budget which is adopted in june so our 22 budget highlights we've gone over this in the first presentation but we anticipate no additional covert relief funding that is completely exhausted and any funding that we still have has been budgeted we will have to come back to the governing board as
047outlined in the sr-3 plan every six months to present an update on how that spending is coming and that lands us right in the april timeline so we will bring an updated spending plan regarding uh what we've expended on kovid and how that's looking for the entirety of that grant the good news the aggregate expenditure limit like like i mentioned earlier has uh was overridden uh by legislature uh the senate passed hcr 2039 on president's day 2 21 21 by 23 to 6 to 1. so that is exempted for the 22 fiscal year that was very clearly stated in the in the bill that it was just for the 22 fiscal year so that does have some benefit to us and i'll go over that in a second um some of the other highlights that
048all uh you'll see in our budget revision include a 2.2 increase in average rate of the membership again we budget flat typically as a contingency and so any growth that we realize is additional capacity towards the budget and then um as noted previously the 2021 bond failed to pass so we were reversing our plans to reduce the m o to capital transfer in terms of we started to phase it down and try to move more money back into them in a budget but unfortunately we're gonna have to go back to the full 4.4 million dollar transfer from mno to support the lease payment so this is an estimated emino budget revision that we'll bring back legally in may as noted we adopt a budget in june uh 2021 for the fiscal year that budget was
049106 million um that budget did include a carryover of 16.4 million we are looking at a revised uh budget we call it jbl general budget limit of an anticipated 110 million that revision takes into uh consideration the adm growth that i just mentioned and it also takes into consideration the exemption to the aggregate expenditure limit so we can fully budget without any cuts to our budget this year so that difference there the adopted versus the revised is roughly 3.3 million dollars and since we haven't utilized any of that increased capacity in this current year you'll see how that plays into effect and how we can utilize that in our 23 budget so looking at our 2023 budget highlights again we're anticipating no additional covered relief grant funding i will note we have previously budgeted a
050fiscal year 23 retention stipend in the amount of 1500 um that stipend has some restrictions on it in terms of qualification it will be probated on fte it is subject to taxes it is compensation it does have um an additional requirement to work all the way through august 31st in order for that to be paid out in september so more information on that will be will be coming to our employees but that is in the budget as i mentioned earlier the the aggregate expansion limit while it just went away it is also in our rear view mirror uh for 2023 the bill only exempted 2022 however early we i don't have the numbers on me but the early numbers indicate that we will again exceed the limit in 23. um so we've done a couple
051things we've held some additional contingency in this 2023 budget to potentially account for an ael reduction if we were to realize that and number two um again we are aware of it we we are aware this is a potential um and so we are being cognizant of how we are projecting and planning for fiscal 23. uh bullet point three there the asrs has reduced their contribution rates this is a benefit to our employees they'll realize a small increase in their take-home pay due to this reduction bullet point 4 again i mentioned this in the 22 revision but we are going back to funding the leases fully from our mno budget so we do that by a budget transfer we are legally allowed to do that it reduces our mno budget to allow for the increase
052through the capital budget because those leases legally have to be paid from the capital fund and then lastly higley medical insurance we're looking at moving to a self-insured plan some of the implications with that include budget savings to the operational budget we're estimating over 500 000 potentially up to a million dollars but then as we become self-insured those savings will then become contingencies if we realize a large loss so that is the plan for that we do also want to note that there will be while we're working to not make any changes um we do anticipate some changes to some of our voluntary coverages and potentially our plans but we do not anticipate any increases to those plans to be put on the employees um so two factors there no increase to the employee but
053there will be some changes that they'll have to accommodate so as we look at our 23 estimated mno budget projection we will look at the 22 budget estimated revised general budget limit as i mentioned earlier in the may revision is 110 million that takes into consideration the ael exemption as well as the adm increase in 2023 we are projecting a estimated jbl of 112 million this budget projection is largely based on the inflation that we were projecting to receive currently the projected inflation is 2 which is the maximum inflation in the funding formula even though the state has realized up to seven percent uh our state statute limits us to two percent um we have some contingencies planned in this 23 budget we are projecting no adm increase as we have in the past we
054do anticipate our district to continue to grow but at what levels we do not know and so on current year funding it is best practice to not account for those additional students um so we'll we will do that bullet point three assumes again the mno transfer so in this in this budget the 112 million we already are budgeting 4.4 million to be reduced from this and transferred to capital this also takes in consideration the small reduction in asrs it is a small increase to the budget and then bullet point five is very important that we we're estimating a budget balance carry forward of 22 million and we anticipate carrying that forward into 2023 as well um that again is to account for the potential of the aggregate expense limit to be enacted in 2023 and
055additional contingencies that we may be unforeseen for the district so we'll take the difference between the 2022 revised jbl and the 2023 projected jbl and that presents a difference of 2.7 million and if you recall the the may revision we will realize 3.3 million in budget capacity from the 22 revision so those together estimate a budget increase of over 6 million so how are we going to utilize that 6 million into 23 so we have some fixed increases that we've already identified that we're are going to incur in 23. one is property accountability insurance um our prepaid legal is paid from this and then you know hearing james and david tonight we might need to increase that they are having additional legal expenses by reviewing our code of conduct but the point is we continue
056to utilize our capacity with the trust to its fullest effect but there will be a small increase for utilizing those services we do have additional fte dealer growth being added a majority of those fte are at the school level and there's also some slight reclassifications to align to our organizational chart fc contingency 490 000 has been allocated to our budgeted excuse me to mom for for next year that is to address any increases in fte if we were to experience massive growth in any certain grade level we can hire knowing that we have a contingency set aside for that to address those growth we are starting to slowly address rising utility costs by setting aside a small budget contingency in this next year budget for those increases protected salary increases i'll review that on the
057next slide and then contracted landscaping we are having a extremely difficult time filling landscaping positions right now we have looked at potentially moving to a contracted service for the landscaping specifically those employees have been notified in terms of there is no reduction to employees but the restructuring of that department again there would be no employee there would be no employee loss we would not be riffing people to move to contracted we would simply be realigning our org chart to compensate for the vacancies that we've been filling for the lack of landscaping position so that cost represents the move from a salaried person to contracting so the total fixed cost increases total 1.2 million as i mentioned earlier the total estimated budget increase will estimate to realize is over 6 million that leaves a difference of
0584.7 million so looking at potential compensation increases for next year again all these compensation increases are based off the budget increases and not contingencies that i've already pre-budgeted in the in the 23 plan so taking the top line you'll see the remaining budget increases after the fixed cost that's the 4.7 million represented across the board that we'll see up top we're looking at both a three percent five percent and seven percent increase uh the potential increase cost for each one of those percentages is represented in that middle column and you can see the budget increase remaining balance so this is again this is not the the total budget this is just the budget remaining off of the increases that we're realizing over the two fiscal years is very that's what is represented in the remaining
059balance so as we look towards what we're proposing for 23 and total compensation increases will still yet to be determined what we'll present on the ninth um classroom site fund increases uh we have increased a total of three hundred dollars totaling seven thousand dollars for that package 3 500 will be moved to the teacher base and 3 500 will remain in performance pay we are as i mentioned earlier proposing a retention stipend for next year again that's 1500 prorated on fte if you signed your 2023 contract and worked through august 31st and then health insurance again no increase to the employee cost this will be the second year in the row in which we're the district was able to do that while metal cost increase are continuing across the board the district has been able
060to offset those increases with low claims and or strategic decisions with insurance as i mentioned earlier there will be we do anticipate some changes to voluntary coverage so i want to be clear and those will be anticipated to be communicated out at our next governing board meeting with kairos our our new administrator for insurance president kaler um so when you said this can be communicated at the next board meeting this is information that the staff would need to know as far as the changes that are coming is it can be broad is it going to be very specific all right we know yet miss martin's okay thank you president kayla vice president anderson so we'll give a very high level um communication kind of changes in what we anticipate at that march 9th meeting it
061would be great we're working with kairos on a weekly basis now to determine what those changes are going to be they're taking our certificates and our plan designs and comparing them to what they have to offer and so they're analyzing that they have not completed we'll give more communication as we have more of the details and make sure that we're very clear about what those changes are going to be so there aren't any surprises and we'll also look at i mean we've talked about with kairos doing road shows doing videos sending out emails trying to hit every possible way we can to communicate out across the district so then that way there isn't any confusion but it's likely that we'll still have high level components but if there's anything that's detailed we'll certainly provide it
062then to the board first and then to our employees as we move into open enrollment but certainly weeks before that so they know of all those changes as they make their own decisions thank you mrs martins i remember when you did your other road show and it was very popular so i think that that would be a fantastic addition and lastly this will be [Music] as i'm doing tonight this is the second review of the mno budget on march 9th if necessary we'll present a third review but if not we'll present an action item recommending a tentative approval for the mno budget which will allow us to also issue contracts to our teachers and administrators at that time um at the same march 9th meeting i will present a second review of the capital budget
063and then on april 20th i'll bring the same thing a tentative approval to allow us to get ahead of long lead items in terms of those capital projects and then in june we'll formally and legally adopt a proposal propose and adopt the 2023 budget so if there's any questions any questions for mr moore the fact that we're talking about three five and seven per cent raises pleases i'm sure this entire board good work district hr finance dr foley cabinet i know this has been a difficult several weeks not knowing what our state legislatures were going to do we could have been having a very different conversation tonight and so just presenting this 1500 stipend if you stay through october august 31st these and the 357 is really exciting for all of us i believe up
064here i speak for all of us that we're having this conversation so again thanks for the hard work and thank you for um playing putting this out very clearly for us so that we understand um all the all the things budget when it comes to education because it's a complicated piece and so i appreciate the time that you've put into this for us all right thank you we're gonna move on again to the mr tyler marshall bond proposal number three review yep good evening president keller members of the board again um this is the third and potentially final review of the of the 2022 proposed bond um as i've alluded to previously in these bond presentations a lot of the work we've already done in our 21 proposal um we've had just refined in our
0652022 proposal and i'll elaborate a little bit more on that as we proceed but this presentation will go into the proposed bond categories and the budget details we have four major categories technology safety security major maintenance and major projects we'll also discuss the tax impact of potentially a different scenarios in which we can address the middle school leases which was a board request so we have three scenarios that we would be talking to you about and those include scenario one which would be the bond proposal that we are presenting tonight scenario two would be a two question approach on the ballot which would be the bond proposal the 77 million plus half of um or one of the two middle school leases and then scenario three would be again the 77 million with a question
066two being both of the middle school leases being paid off we'll explain the tax impact with those scenarios and a district recommendation so the bond summary this is a graphic that i graciously um got from our pr department and worked through this is something that we anticipate being a staple for our website as well as potential handouts or social media blasts we've done a some work to try to highlight or capture the bond in its full capacity on a one-page sheet actually two pages i have another slide um so what this shows is the 77 million dollars broken down into the four categories uh i will note that the percentages change slightly from my second review we've all we've done is align the maintenance items to the true maintenance item so we've pulled major projects
067um that were not traditional major projects and put them in the major maintenance um category so that is if you see a discrepancy between what i present in the second review in this pie chart that is the difference so major projects would make up 50 percent of the total 77 million technology would be 25 percent major maintenance 22 and safety and security three percent i will note while safety and security was one of the highest um supported categories in the bond survey three percent it doesn't do it justice there's only so much you can spend on on safety and security in terms of addressing those needs and you'll see that later in the detailed presentation so graphic slide number two what essentially is our effort to share with our community our schools what each campus
068or which each community would be getting from this bond proposal on the left you will see a map of our district and our school boundaries and on the right is a graphic that represents um on top our proposed projects for each campus with a little icon um and that icon will be why is this keep going um that icon is um then placed under the school um if that school were to is potentially getting or has that projected project proposed in this bond um so you can see safety security technology major maintenance is going to be throughout our schools one note i will note on the middle schools you'll see major maintenance not included we fully anticipate tapping into the capital repairs fund that are we are currently paying into as part of our lease
069agreement and i'll have more information when we when we get to that point um but i am completely confident that we will be able to tap into that relatively soon and so therefore we will not need to utilize the bond for those purposes mr moore i do appreciate that the colors i know i we were talking about colors this past week and that this looks very good and it the eye you can see all the colors very well and the the gold really does stand out better than the prior yellow so yeah looks good now say all the kudos goes to our public relations department they do a great job and in taking my my visual or my my interpretation of what something should look like and putting it in a visual i'm not a
070visual guy i do more numbers so they do a great job of conceptually transition making that a graphic so diving into the details so um one category the technology category is very similar to the 2021 proposal this is slightly adjusted to anticipate for higher than what we realized increases in technology costs so we basically adjusted just slightly up to address for those costs that we are no we know we're going to realize in the preceding years in terms of technology costs the i do want to remind everybody that technology was the highest approved category in the bond survey which is another reason why we did not adjust this category from the 21 proposal um the details of this category um are ongoing investments into maintaining an increasing level of technology support within higgle unified reading
071across the top you can see the detailed categories and the preceding five fiscal years of this proposed bond the first detailed category is display panels and projectors which are devices used to project learning lessons and curriculum resources the total cost of 3.2 million would replace every classroom display panel over the next five fiscal years and again this is replacing on a scheduled replacement schedule for those panels again being pri this panel is being broken or not in use being prioritized first and then maintaining that level of replacement schedule for the next five years next is teacher laptops school office desktops and copiers totaling 2.8 million this category is greatly needed as teacher devices have been second or third priorities to student devices over the last couple years our goal as a district has been getting
072the devices in the hands of students due to everything we've been realizing in terms of virtual learning etc and so there are several items and sites that have extended have teacher devices well past their warranty and some of the old companies or some of the devices are no longer supported by the companies nor can we get repair parts for those the 2.8 million set aside over five years will ensure our teachers and school staff are equipped with technology that will enable them to utilize their resources to the fullest capacity as long as ensure all our schools and our teachers have the same resources available to them next network and wireless enhancements and servers represent a similar investment to the support the techno and technology usage within our schools and departments the 2.1 million represents only
073about 60 percent of the total cost needed for projected network enhancement projects uh the district still plans to utilize um we we get federal reimbursement for these projects via e-rate funding and so we anticipate fully uh funding that out of e rate um that additional 40 out of e rate so we're only proposing 60 of the total cost again another way we are trying to be conscious of what we're putting in here and only asking for truly what we need and then as a reminder if you don't remember what e-rate funds are for their funds provided discounts for telecommunication internet access and internal connections to eligible schools and libraries so and then lastly the one-to-one student device category provides a dedicated funding source to maintaining the one-to-one student device ratio that we've just recently achieved
074again you'll see student devices generally have a useful life of about five years and we replaced those even on the agenda tonight we had to both add devices due to student growth and devices that are aging and are broken so these devices turn over relatively quickly this funding source proposing this bond would then maintain that devices through the five year next five fiscal years next safety and security this is one area that was greatly increased in the proposal from 21 to 22. what we did was uh the reason this happened was one for the addition of the director of student service mr mr james walker which is not here to take kudos but um he he has been done over the last year has been a huge huge asset to the district in terms of
075completely re-evaluate re-evaluating the district's security and emergency plans as well as working closely with it and reviews revisiting this topic and proposing a a long-term plan that that is both enhanced and will provide us with the capacity to monitor both our safety and security of our campuses but also talk to our network our current cameras are are not compatible to do that and have longer storage and years of usable life it is an investment initially but those investments will pay off in terms of protecting our sites protecting our students and ensuring the safety and security of our staff and and students so that is the increase in safety in the security cameras portion intercoms this is typically a one-year cost and we have been um our intercom system are greatly in need of replacement these
076intercoms once replaced typically last 10 to 20 years and so this cost represents a complete replacement of all our schools intercom systems which would be an investment that would last 10 to 20 years next major maintenance this category again increased in costs due in part to us just realigning some of these categories that are true maintenance categories to the maintenance budget so you'll see the major maintenance categories highlighted all have large capital funding implications uh over the next five years these uh category these projects will need to be funded whether they are funded from the district or they're funded from the bond and so often times what is proposed in this is projects that have been neglected that we could not fund that we need to fund over the next five years in order to
077bring our systems either up to a level of maintenance that we currently are at and or provide preventative maintenance to those aging systems that are going to die out over the next five years so one category flooring hvac those are those are categories that com that often get wear and tear and it is more cost effective especially with hvac to replace that item on the front end rather than when it breaks and becomes an additional cost for the district going down the categories roofing and roofing and coding towards the later half of this bond proposal there are several schools that need some several roof replacements that is what is represented in that category grounds improvements this includes shade structures playgrounds and fields and tracks often times with shade structures we have asked our ptos to
078cover either adding or repairing those and same with playgrounds and so this is a dedicated line item to address those aging playgrounds or the safety concerns on playgrounds as well as replace fields or tracks that are aging or wearing down fire panels are a big topic in terms of safety and security fire panels um in our district are still on the analog system and so while they work uh they're not efficient and they potentially leave areas where there can be deficiencies so replacing a fire panel is not cheap though um that is represented in in each one of those lines besides only one school is roughly 500 000 to replace a fire panel so it is an extensive cost but this allows us this proposal in this bond allows us to start to address those
079older file panels um to make sure our sites are safe and secure parking lot improvements and repairs this is an ongoing capital expense that we realize we still utilize our adjacent waste fund to our fullest capacity but oftentimes not all our parking lots are fire lane or adjacent waves eligible so that cost represents the cost for the general parking lot to be repaired or replaced exterior painting and weatherization this is one category that was moved from major projects to the major maintenance this is weatherization on our school campuses we have several buildings that are aging deteriorating paint this not only looks bad but it is the cost of the district because it makes the building inefficient so these this budget of 1.1 million set aside for five years will address some of those older schools
080and start that replacement plan district white lighting upgrade exterior and interior this was another one that was in the major projects but has been moved to major maintenance this is a initiative to move to led to both be energy efficient on the and save utility class and so this is we estimate this about one million a year over the course of five years to finish out finish out the led upgrade that we've already been in progress of starting all right lastly it's major project so again we we phased out some of those items that were um not exactly needs of the district um and do not want to district and rather we just prioritize the needs of the district in this major project proposal the first big one on the board is the new elementary
081school this takes the place of the proposed classroom editions that we were looking at in the northern part of our district this would then new elementary school would be in the northern part of our district and then potentially take the place of or re-prioritize some of the students who would go to those elementary schools who would need a classroom addition would now attend this school so still a lot to be discussed with this but it is being proposed in this bond and it'll be out into in which we would look to address that phase two of higley high school this would be an immediate need and um miss kaler and ms reese attended the second community meeting where we're discussing some of the master planning for the school in terms of the necessary needs for
082the for the high school and i'll go over that in the next slide the last two higley center performing arts uh 1.3 million has been set aside there's some general safety concerns with some of the rafting or the curtains and in the structural of the stage area and so this is a one-time upgrade and which would bring that facility back up to safety standards that we expect and then warehouse and transportation small allocations have been set aside for each of those buildings that also have some needs so transportation is in desperate need of a facility to test drug test their employees that essentially if there is an accident we are required to test them they only have one bathroom currently and so if that employee goes in there to be drug tested it takes up
083the whole bathroom and uh it's really a need for the district to have an established area that's set aside for testing and so we can do that in a process that doesn't interrupt the rest of the staff in 2026 the warehouse would would need a massive roof renovation as well as replacing all the hvac units that are at their useful life so so as i mentioned the master planning that's currently going on at higley high school we currently have two more meetings set aside for the community meetings where you know members of the staff students or community can provide input into the both phase one of the building edition and phase two of the master planning in terms of what we're going to do to address the both campus safety as well as other campus
084renovations for higley high school you'll see pretty much the whole map is circled and outlined because the whole whole school needs addressed and so yeah we also did an additional survey to capture both what the community has been saying in terms of these community meetings but those who were not attending the community meetings we then sent out an additional survey to capture both the voices of all the teachers and all the students so that is all being taken into consideration that's part of the process we are in right now and that is part of the reason why we're doing these community meetings to gather that input and not make a decision with just the district bias or what the district feels is a need and so i think it's very informative i have no i
085know some of the teachers have been appreciative of having a voice and having input into this process and again i'm there to ensure that we are under budget or at budget um and really addressing needs and not just wants so moving to tax impact so as i mentioned earlier we have three scenarios that the board wanted to look at so scenario one would be a one question bond which is everything what i went over in the detailed budget the 77.2 million which addresses the core needs of the district for the next five years those categories include technology safety and security major maintenance and major projects scenario two is a two question bond for 77 million and then a second question for 30 million which would address the payoff of one of the two lease middle
086schools that would be a total bond of 108 million and scenario three is a two question bond again again question 1 being the 77.2 million and then question 2 being 58 million which would pay off both of the lease middle schools for a total bond of 135 million and so i'm gonna have i invited mike lavelli um here tonight to uh talk a little bit about the tax impact that each one of those scenarios would have thank you for staying tonight appreciate it thank you that's better it's a pleasure to be back in front of you uh it's been it's been a little while but uh seems like at least once a year sometimes twice but yes as mr moore mentioned there are three bonding scenarios that are being contemplated the first scenario is the
08777.2 for all the projects that he just described i'm just going to go left to right your current bonding capacity i'm sorry it's not current what your bonding capacity will be in august when you're assessed values you just got a big 10.4 jump in your assessed value so uh that's your net full cash assessed value your bonding capacity is estimated here the third monday in august to be 160 million now that's your that's a snapshot in time your bonding capacity grows every year as your assessed value climbs and as you pay off principal as you pay off debt so over say a five to ten year period your bonding capacity can grow from this to considerably more so this is but thankfully you're a district that actually has enough capacity to cover any of these
088three uh bond questions um and so that's that first column the second column as mr moore mentioned are the three different scenarios uh the first one is your projects the second one is paying off one middle school and the last scenario is paying off both middle schools of that lease uh we then just show a total estimated debt service debt service is your mortgage payment that's principal plus interest uh and we estimate that over and these are 20-year bond issues um 77 million for instance may be broken up over two or three sales over a five-year period but these are 20-year repayments and so the estimated principal is 77 million plus interest equaling a total of 110 million and likewise with the other two scenarios there you can see uh the next column is your
089projected average tax rate impact so every bond election has a tax impact right and so we average the we take all the tax impacts for just this new bond the new 77 million or 108 million or 135 all the years of the tax impact and then average it each of those years and so the average tax impact to any property owner is 36 cents per 100 of assessed valuation that's for the 77 million it's 50 cents if you have the uh the second scenario and it's 63 cents for the the total scenario three for the whole 135 million dollar ask now as mr moore mentioned uh they com we're contemplating either one or two questions so the first scenario just one question asking the voters one question for just projects um and then scenario two
090or three would be if the board decides to to add one tech one on is do you want to have a second question to pay off half or pay off one middle school or a second question to pay off the full thing the last column tax rate increase we have no yes yes it's probably better to to answer that on the next slide but essentially what we're going with on that is taxpayers were expecting for for the bond tax rate for the district uh in next fiscal year we're estimating and that's not set yet but we're estimating your bond tax rate this is before the election to be a dollar 31. so that's based on a per 100 success value a buck 31 that's based on all your outstanding bonds okay not what's being asked
091for going forward and so we expect the bond tax rate to be roughly 1.31 could be dollar 30.32 could be somewhere around there that will be set here again third monday in august and we'll have our a good handle on that tax rate here in june july august when we worked with the county but we're estimating 1.31 well we can layer in the 77 million again they're being repaid over 20 years each sale right we can layer in this 36 36 tax impact over 20 years and basically for that first scenario keep your tax rates the the people in the district that that tax rate being a buck 31 next year next year which is before the election the very next year and it'll remain a dollar thirty one okay why don't we go to
092the next slide i don't know if i have that here here we go and i'll kind of hit this home here uh for the first scenario what we are showing here your average tax value home property in your district right now is about 250 000 worship for illustrative purposes we're showing you 500 000 because we know you have a lot of homes ranging from 250 000 for instance all the way on up now this is tax value this is not market value okay so tax value is usually considerably lower than market value okay so what you see when you get that tax bill right your home value a lot you're like well that's a lot less than what you can sell your house for right hopefully and so with that 500 000 we're talking so
093that might be a 600 000 home six hundred twenty five thousand dollar market value the tax value would be right around five hundred thousand okay so how how the first the next column current annual cost that's that dollar thirty one tax rate for next year again before the election for just your outstanding bonds you're already paying off right that dollar 31 uh the cost for a 500 000 tax value home it equals 655 dollars so that and we and that's it's the same again pre-election the same cost for any of these scenarios right this is pre-election the next column is post-election if uh the 77 if you ask for the just one question and it's 77 million the estimated cost can will continue to be a dollar 31 total bond tax rate and then over
094several years it will go to start to go down but a dollar 31 max tax rate in total including your old debt and so the the the the homeowners can expect same tax rate if your 500 000 remains the same the same uh cost as 655 now you'll notice bond scenario number two and three again is a tax increase over the prior year right so there's your there's your increase um but not much but it's still you know your the taxpayers are again next year 655 dollars can expect them pay a year later 715 dollars annually divide that by 12 and there's your monthly column there of and again this is total tax impact for your outstanding debt that you're currently paying a previously voted and authorized debt again you already sold the bonds built
095projects with them bought buses built schools right and now the taxpayers are paying that plus the new bonds if the voters voted in november okay so this is the total tax bill estimate if you will for a 500 000 tax value home and so this is where you can see there's uh no tax rate increase over the the previous year for that first scenario okay we expected that tax rate to be leveled dollar 31.31 estimate and then therefore no tax increase over the previous year again tax increases yes for bronze scenario two and three and i believe that concludes my piece of the presentation but i'm happy to pause and see if you have any questions any questions i do go ahead mrs wilson if anyone in our community is watching this how could they
096ask you questions is there a way that we can like funnel them through mr moore mr moore how would you like someone in the community who may be questioning information on the slide because this is a lot to handle a lot of people get confused on the estimated tax value i know versus how much they would sell their house for because they say no that's not how much i would sell my house for and we try to explain maybe you guys could explain it in a different way than i personally could explain it so i didn't know how you would like people to ask questions mr moore yeah miss wilson i would have them generally either reach out to myself or through public relations in order to get the information so i can communicate with
097either stifle or and i can answer those questions as needed but great thank you president keller sorry i have a couple questions um and tyler i'm sorry i don't know if you have this information right offhand so on our sorry scenario two if we added a second question to pay off one of the middle leases do you know between the 30 million that we have on here what would we pay total if we paid out our lease not paid early but with interest do you happen to know that number i'm really sorry mr lovely can get us close i think i understand the question your question um if we carried our lease to term okay what would the total amount that we would pay for for the full boat of that last full boat here
098on out i might have that didn't we didn't we have that um you're asking for the lease amount for school yeah president keller board members we the total we've already made nine years of payments but the total lease deal was around 170 million so with interest including interest yes okay but again we've made nine years of payment so that is a little less but that is still a representation of what we would have to pay if we maintain our current payment schedule throughout the end of this lease to 2052. okay so we would have to pay a total of 107 million and i know we talked about it sorry 170. um and i know we've talked about how many times over that is the building cost had we paid for it so the amount of
099interest we would save at least if we paid off one is relatively a good chunk uh given where interest rates are right now uh yes um and you can because the call date is coming up on finally a 40-year deal but the call date was 10 years out but that 10-year period is coming up here shortly so because the call data is coming up and interest rates are relatively you know still doing pretty well you know i know you've probably all been watching rates have jumped up a little bit but so yes uh you know the the savings could be considerable so would it be a reasonable analogy that what would we what we would be asking to do for a bond with our middle school leases be relatively similar to what a homeowner would
100do with their home by refinancing that you still owe it we still have to pay a certain amount that money is still coming from our taxpayers whether it's over the next 30 years still or the next 20 at a lower rate would i mean is that similar what we're asking for if we were to ask for our bond to include uh paying off one or both leases would that be similar to a homeowner refinancing at a lower interest rate less payment sure i mean the district has taken advantage of low interest rate environments before every finance year bonds it be similar to that a little bit more complicated in a sense because you're refinancing a lease you know which is being paid for your budget with with a bond but yes but in terms of
101what you're asking your concept of replacing old debt with higher interest rates with new debt at lower rates yes and it frees up money in between and and everything i'm just because it is a very complicated process and and with lease versus not lease i mean there's a lot of legal stuff in there but with that portion of our lease to try and and help people perhaps understand from what they would do our community in their everyday lives i have an opportunity to refinance my mortgage get a lower rate pay off one bank take it to another i have a lower payment i free up cash things like that is essentially what we would be doing with asking for that it's just a different funding source again taking the legalities out of the lease versus
102at that point we would own it versus leasing it and everything else but from a finance standpoint we still have to pay this money we still owe it it's still coming from our taxpayers whether it comes from a bond or whether we move it from our capital funding it's still coming from our our taxpayers it's it's our debt and this would be an opportunity to have it at a lower rate than what we currently are that is generally true assuming you the rates stay you know of course of course but in the general sense of it yes okay i just wanted to again we talk about people not understanding it's very confusing school finance is very confusing you throw in a very strange scenario with a lease buyback all of that it does complicate it
103but overall it's relatively similar from a finance standpoint of a homeowner refinancing their home correct and it's simplistic form of course yes of course i mean if it was that simple but of course other questions this is mr schultz you had something questions personally when i look at those um i know we're not totally to the end do you want to finish tyler the presentation yeah if you don't mind i have one more slide yeah let's finish and then we can wrap up with final sure so ultimately board member we we hear you um we understand your concern and we feel it too which is why we brought this tonight too but the district truly feels that after reviewing our true capital needs of the virgin district we feel that's captured in that 77 million
104that will both address our students our staff need and the needs of our district as we continue to grow over the next five years we asked our community for feedback especially since we just went out and failed an election via survey that feedback was communicated via staff and community they provided input both into our capital categories that we projected and our priorities the district summarized those survey results and feedback and adjust it accordingly and then the recommendation is ultimately because of the fact this is so complex to leases just not the right time for our district to continue to push this into a bond we are still looking at other avenues with stifle in terms of refinancing those leases and bringing those under the district and eliminating maybe some of those excess fees and maybe
105lowering the interest rate which would reduce our annual payment so we're still research researching other options but ultimately we do not feel like the voters have an appetite to approve one or the other and and that is not um [Music] in the core either capital needs of our district as we as we look at the next five years and what we need um this proposal also aligns again like i mentioned to the stakeholder feedback it was clear that the stakeholders had a lack of understanding of how both bonds work and then on top of that the confusion with the leases it is not a subject in which our stakeholders completely understand and we do not feel as advantageous that it is included in this bond proposal so on the march too far ninth meeting we
106will bring we'll be bringing a resolution um that just includes the 77.2 million um and that will essentially this is a earlier call for an election um but we've done a lot of the groundwork that we basically just carried over from last year we've revised our plan with the community feedback we feel comfortable calling for this election early and letting both our voters know this is going to be on the ballot and letting our our constituents our political action committees to establish either pro or con campaigns if you lack a better word up until the november election so with that yeah if you have any questions i'll be happy to answer anybody have any questions go ahead mrs schultz i i just want to say to board member wilson's point on the estimated tax rate
107um is there something we can just make simple on the website or something that people can understand what you the what public relations did is amazing i think it's so perfect the way that people can just look at that and see exactly what they need and i love the qr code and everything i think it's great i think knowing that we are going to continue down scenario one we can go and elaborate on this a little more to include some some different values for residents um you know mr lavelli can help us with um gathering the what the with the those filling out this table essentially for all those different um residential property values and help to create a little graphic that would be informative to both our community and also our taxpayers so okay
108perfect thank you um can we add an extra to this slide right here can we add an extra column that says like how much your house would actually sell for and then like i'm not even like you know like what your house market value yeah that's a better word thank you market value and then what your assessed rate is is there a way to do that does it change is that why we don't do that that's a great question and the reason why i kind of just ballparked it between 600 and six and a quarter i mean typically uh tax value is roughly 85 percent 82 to 85 percent of market value right and but it's there is a range and oftentimes tax tax values lag market value not a bad thing right so it's
109very difficult to say that that's a six hundred thousand dollar home and put it in a column versus 620 or 588 or you know um it really is difficult to to put that number in unfortunately and have some certainty around it i do know that that held up a lot of our taxpayers last time that was a major question when i went to your road show that no house in our district was worth whatever number you had put in your slide mr moore um so that's why i was trying to maybe show people that that's not the that's not the value you would sell your house for it's the value that the assessed value that's right and when in the in the voter pamphlet we will show the value at a hundred thousand and i
110know that's a lot lower than the average value in the district of about 250 but if somebody has an 800 000 value on their tax bill they can multiply that hundred thousand dollar number by eight you know so that hundred thousand is really helpful and then we can show it some more range 250 500 750 or something like that to be helpful in this area well maybe from on our electronic pieces that we can have a link to the well no the maricopa county site that they can go in and put their address in and look at what their assessed value is unless you pay your own property taxes you get the little postcard and you look at what last year was what this year is and what they think next year is and you
111look at it and if you don't know what you're looking at you throw it away because it's just a little postcard and it talks about the assessed value the full cash value things like that but most people pay their taxes through their mortgages and just never even see a tax bill but it will give you your whole tax bill it will tell you what you're already paying for higley which you're paying for maricopa county community colleges what you're paying for the town of gilbert it will break out each of those so maybe on our electronic versions we have a link to that if somebody is is interested i mean it is small amounts and especially when we're talking about growth in our district the more people who have homes in our district the more it
112spreads it out and the lower each the each of us are are responsible for yeah your residential great point your residential value growth year over years not just on the existing homes right it's nice to see your home value go up but it's also in this area new new homes being hitting the tax rolls that's a big component of it and that's that's very helpful right that spreads the burden out people are moving in um they're going to be sending their kids potentially to your schools and they're going to be sharing in the burden of these projects well and with the growth we're projecting and with the request of including a new elementary school is because of all the building and growth on the north side and maybe on our graphic i know we don't
113have a site but somewhere indicate the northern part again i don't i i've heard many people say they've talked about a new school we don't need a new school look at all these schools we have but a lot of our families don't travel north of the 202 and don't realize that that's where all this building is going on and there is not an elementary school in that area and so we do need it and the two closest schools can't really handle the amount of growth it's going to take not to mention the build that's going across just on the north side of warner which is not our boundary but has the ability for us to be able to capture those kids that growth is huge right now but mr moore i just had sorry i
114just had a quick few questions um as far as our major maintenance we talked about weatherization and things like that i know sfp has changed their new process are we still exploring those options for funding i mean we we've been successful in the past of exploring those to try and help offset yep so much like i mentioned with technology with e-rate funding and then with same thing with major maintenance we are still submitting whether it's building renewable grants or sfb funding for projects and as i mentioned though um if you remember like sfb oftentimes and they've changed criteria over the years but it's either sometimes it's at a point where it's either failed and or failing in which they will approve an application for funding um and so a lot of what this bond has
115in it is preventative maintenance to both save us on the front end and on the back end with utility costs but we still um often submit applications for any sort of projects that are either failing and or failed and plus we we submit in general too just to try to get additional funding i will note too on you won't see any sort of major projects for high schools we we are eligible for sfb funding for the next where it would be classroom edition for high schools if our enrollment continues to grow in excess of about 16 million so the sfb formula if it currently stands would we would be eligible for sfb funding for any soda if additional high school renovation and that was information that was just shared with me today so we are
116still constantly trying to find other funding sources to support our capital needs and then the other things i've heard is we really don't need this money we really don't need to do this stuff so can we get by if our bond still doesn't pass can we get by with our regular capital budget we can certainly get back with the basic amenities we would have to drastically reduce our expectations for both our students staff and community in terms of what we're providing but we can provide a sink that turns on water what it looks like i couldn't tell you we can provide a toilet that flushes but as we approach and we're not at that point now but over the next couple of years we're going to essentially reach some of those points at some of
117our facilities if we don't start addressing them and we'll still prioritize our capital budget to the greatest need and address the safety and security and health of our students and staff but that capital funding is as you know 4.4 million is obligated towards a lease and is not an extensive amount of money that can be used to address student growth or major renovations it is typically utilized to prevent annual maintenance or support annual maintenance needs but not enhancements or additions as such so yeah so we essentially though with we need the bond money to be able to do preventative maintenance so we don't get into that situation and to do repairs and maintenance and any perhaps enhancements as our community and students and everything's come to expect because i can tell you you mentioned the
118higley meeting that mrs kaler and i um attended and there was a lot of students there because it was a it was part of a classroom or a class grade to attend a government meeting so that was one they they chose but there was a lot there and what was important to the kids that were there is less concrete more trees more greenery well that's not a need but this is what they would like and the bond would help us be able to do stuff like that for their campuses and you know there is research and and everything like you had mentioned before an environment makes a difference how they learn and if they're happy there but the way their school looked was very important to those students and that was a huge priority and
119i guess we were really fortunate because we got a lot of student perspective so um i think the important part of that is that where we could probably get by is not we wouldn't be able to meet the standards of what our students have asked for what they expect what our community has expected is that an accurate understanding yeah mysterious there's a fair statement and one of the other things the students brought up was bathrooms too and while we verified from a district perspective that they have all the amenities they need toilet paper doors running water soap it is not up to the standard of a of a bathroom in which students can feel comfortable in going to and that that i think is a a telling sign when they are prioritizing bathrooms over um
120general classroom conditions and so um that is one thing that has also come out through these community meetings that um just share some of the insights into what both our students and parents are going through or teachers are going through because they also had the same priorities so yes we can get by but our ability to maintain our current students our ability to attract teachers and educate students on a on a basis in which that we've grown to expect that higley unified would be drastically impacted if we did not have these additional capital funds thank you did you have one go ahead i just had when we talk about the performing arts center you talk about safety concerns and it's not until 2025 if i'm a parent listening to that i'm just wanting to verify
121the safety concerns aren't immediate safety concerns or you mentioned rafters yeah so a lot even with fire panels and all that we have um certain levels of i guess standards that we need to meet right we still pass all our inspections with the town of gilbert um but there over time deficiencies start to occur in which areas start to become less efficient and the the town does a great job of notifying us when deficiencies are available or deficiencies are showing on aging areas such as hcpa those aren't immediate emergency needs those are done as a courtesy to the district to say hey you need to start to address these and so nothing that we are proposing is an emergency and it is an immediate risk to our students and staff but they are upcoming needs
122and safety concerns our district is aging and i know as i get old things start to break so we need to keep in mind and the preventative is cost savings um i appreciate the fact that you went to the work to do the three scenarios but um i think they're very confusing and i appreciate the fact that you're coming to us with just one proposal much like what the surveys indicated from our community it is confusing um like you say mrs reese and i think the less confusion that we bring to the table this time around is best and as much clarity as you possibly can bring to this is going to be in our favor also i appreciate the fact that the tax rate increase is flat so again another another way to just
123make that positive spin on this for for everybody and i agree with the other comments um you know making it very clear for some reason taxes on houses people just don't always understand this concept and so we can be a lesson to our community on how to kind of navigate that but yeah i appreciate the the final proposal and what you're bringing to us very much any other questions or concerns with this presentation okay we look forward to our march 9th meeting when you bring this back to us for a vote all right next up we have 9.1 i move that the governing board approves the 2022-2023 contracts for certified teachers certified non-teaching psychologists occupational therapists speech therapist physical therapist administrator classified administrator certified classified exempt and claudius classified at will second any questions comments
124or concerns again this is not a financial recommendation at this time this is just the um contract itself all those in favor motion carries five zero and next up as you can see we have some exciting things coming our way still is there anything that my fantastic board would also like to see on a future meeting any kind of presentation that you'd like to see at a board meeting or an informational study of any sort spring is usually very busy anyhow so we have a lot coming our way besides what we already see here i know there's things in between so again thanks to all the presenters tonight and i move that we adjourn second all those in favor aye aye motion carries had a good evening you