001joining us this morning. You guys, I think [cough] we've got [clears throat] a couple things on our agenda for today. And it looks like we are going to start uh with discussion around the legislative bill and the opportunity for transfer of $1 million to the district from the district uh building construction fund to the general fund. I don't know. >> I see you want to Yeah. >> Thank you. I'm just sending I'm sending the documents right now to the board members that are joining virtually. [clears throat] So, you should have that in your inbox. And the first document that I'm going to go over is actually uh Can you guys hear me? Okay. Online. >> Yes. >> The first document that I want to start with is more of a budget update. Um last week
002I attended a session that was put on by MDE and we got an update on our compensatory revenue. So the first document is stapled or two pages. [clears throat] It's our fiscal year 26 revenue uh compensatory is projected you know to be about 5.9 million for 2526. The second page was what it was projected to be in January of last year. it was 4.9. So I just want to share that with you because last year or this year was when we were actually supposed to have a statutory change on the calculation of compensatory and by the end of the legislative session. There was a whole harmless calculation and so now or so then it was updated to 5.9 million. I'm just prefacing that we are projected to be down again this year, but we are
003going into a legislative session. So when the information came out last week, that's this document I highlighted in blue, we are projected to be about 4.6 million, which would be down 1.3. So we are projected to be down 1.3 million in compensatory. There is still the potential that with this legislative session, they may change that calculation, but it's not a for sure. So, we're going to put that in our budget assumptions. But just kind of give you the history of last year because it was supposed [clears throat] to happen and I'm working in three fiscal years, so I should just say the year 20 this year if that makes sense. Do you know Marcy how many >> are in going to be in the same situation? >> Um that's kind of why I wanted to
004preempt with the legislative change is because I think there's a number of districts in our same scenario where they're going to be down and it's based on um direct certifications rather than filling out the forms like it had been previously. >> Aren't they Aren't some of the legislators going to fight for the hold harmless again? >> I don't know. I mean I if I had a Thought I read something about that. I thought I read something that some of them are going to fight for that again. >> Yes. Yeah. So, I just I started with that because [clears throat] then that kind of leads into why we're thinking about doing this million. I mean, I shouldn't say why we're thinking about it. This adds to the reasoning why we want to try to do this,
005right? Because we keep getting these things thrown at us and the state legislature is unpredictable, right? So if we can somehow control that. Um this other document I have is just a summary of our construction funds over the last few years. And I highlighted that uh from left to right. So it's the most recent on the left going to the right is previous and our current balance in the school building bond is 2 almost 2.7 million. There is a $500,000 draw coming out this month. So it' be about 2.2. And then I highlighted the number of interest earnings. So if you [cough] know legislators were wondering, well are [clears throat] we using are you transferring taxpayer money? Uh it is some interest [snorts] earnings that we're asking that we move that million dollars. >> What's
006the 500 for? >> 500. What what are you referring to DJ? >> The draw down >> you said you're going to take out this month. Um, so last actually at the board meeting when you pointed out the expenses in the building fund, that's to cover that. >> So anytime that we spend something out of the construction fund, we then draw it out of the construction account. >> So did you say furniture was in the construction account? >> Yep. >> Is that what you told me tonight in the meeting? >> Yep. That was part of it. Um, and [snorts] then the details I sent to all of you after that night. And it had furniture. It was a kettle at Forest View. Um, risers. Trying to think what else was on there. >> Yeah. >> Curtain.
007Curtains on there. >> Curtains are coming on LTFM. >> That's right. That's right. That's right. >> So, it's the same 500. The same 500 that you had on the budget from last month is going into this month now. Great. >> So the 5 >> or you just mean on your email me the sheets you guys are looking at. So I don't know what you're talking about. >> You should have it in your inbox. >> I don't >> I never received the sheets either. Mercy >> doesn't matter if it's just two sheets. I I think I keep it up. We got seven. We're going to have two point. It's pretty easy. >> I see them in there. Marcy, it was that that you sent the the documents. >> Yeah, I received them also. >> 8:31 time
008stamp. >> Good morning. >> Oh, I sent it to Sarah instead of Stephanie. I apologize. I'll forward that to you, Stephanie. >> You did send it to me. >> Thank you. So, Madam Chair, >> yes, Director Ward. >> So, um I want to talk about the legislative session for just a minute and talk about the the construction transfer. After that, uh this session is is a bonding session. It's not a finance fiscal finance session. It's not a budget session. It's harder to move um budget bills, but you can get them moved. um this is money that's sitting um in a silo that we could use in our general fund. Obviously with the compensatory uh the new compensatory numbers um that puts us in uh more of a difficult situation. Um and so if there's resources
009available, if there's funding available, um uh I I don't see why we wouldn't do this. I I'm in full support of it. And I'm also want to say that when our legislative and Superintendent Grant, you can correct me if I'm wrong, but I understood that our legislative delegation um is willing to carry the bill and promote the bill and support the bill. Um it takes it takes >> What's that? >> Have you talked to legislators? >> No. Information from because I talked to two of them and they didn't sound very excited about it. >> Really? >> Yeah. >> Superintendent problems. I just >> who talked to them? >> I spoke with Josh Heinman um you know and I told him I said I understand this is kind of getting late going into the session and
010he agreed but he said he wouldn't do anything until he knew that the board was in support of this um potential fund transfer. um if we're going to do this, we have got to push now because as John indicated, this is not um you know, a session where they're looking at dealing out money. This is all about bonding. And if we can get this one bill in on time and if Josh will carry it, um it would be attached to the omnibus bill, whatever it's going to be at the end. Um but we're we're in a tight frame because you know they starting just today. It's going to be a short a shorter session than normal. Um so we're going to have to either tell Josh today go for it and we'll help have elers
011help us with this get it written up correctly or we have to tell them we're too late in the game and it's over. So having heard that uh madam chair I would like to move that we go ahead and uh I'm hoping that the whole board it's important that we it is very important that we as a board uh show our support for this as well. It's money that's there available and and uh as I said before with the new compensatory uh uh figures um we're we're going to need to look at every silo that we can and so I'm going to move that we uh um for this transfer of uh from the construction fund to the general fund of $1 million and that we let let our legislative um delegation know that uh
012we're we're in support of that. Well, are we going to talk about it because I'm not in support of it. >> Um, director, >> I don't understand what you're talking. >> Wait a minute, John. I let you talk. Now, let me talk. You've got a million dollars in your left pocket and you've got a million dollars in your right pocket. So, you want to move it from the right pocket to the left pocket. What difference does it make? Why don't we save our favorites for later when we really need it? We're going to have 14 million bucks in our reserves. We're going to lose three million this year. It looks like now maybe only two. So we'll be at 12. So what are we in a panic about? I don't understand. We may need it
013for the building fund. Like this was, you know, voted on by taxpayers who spent on buildings and now we're trying to move it like we're in this panic. We're not accomplishing anything. I mean, we could take it out of our other savings account just the same. It' be no different than having $100 in your checking account or your savings account. Who cares? It's the exact same thing. This is just I don't understand what the I don't understand why everyone's excited about this. And maybe I got it all wrong. Marcy, maybe you can straighten me out. I I just to me this is just like it's it's a million sitting over here. We're making money on it. Marcy's got it invested well and we got the million dollars sitting over here in our reserve account. It's
014the same. I mean, it doesn't make any difference. >> Madam Chair, we want to do this. >> Sorry, DJ. Madam Chair. >> Yes, director Ward. >> So DJ, I I'm sorry I interrupted you. I was waiting for a second. I was just waiting for the chair to ask for a second. I thought we agreed at a gentleman's agreement that we don't make motions and vote on things in these workshops. >> That is our kind of standing rule that we don't have any action items on the on the workshops, but we can bring >> I'm not sure we need to do this, but maybe we do. I don't know. >> Well, the Madam Chair, >> yes, Director Ward. >> So, I I think um I'll abide by that, I guess. Um, but the the the problem
015becomes as Superintendent Grant stated and I stated, there's a crunch in the legislative time right now and just excuse me and this is money this is money that uh is in a citle that we can use um you know for general fund purposes and so um I know that we made that agreement but I I think it's critical that we uh that we that we move on What do you think, Marcy? I mean, I know you want to do this, but what do you I mean, does does it make sense to you that I mean, what is the panic? >> We have the money. >> It's not a panic. It's >> we just have a different spot. Why are we Why are we doing this? We we we're going back on our word. You guys
016sold a a levy to the public and now we're going to steal the money like politicians and spend it on what we want to spend it on when we have other monies to do that. >> It's not like we're up against the wall. >> It's not going against what we said. This was interest earnings. So, we sold to the public that we would have 235 million in projects. We did that. We got more in interest earnings. So, we were able to do more. So, we're not going against what we said. We did what we did with the projects. what we were committed to. This was a bonus. This was on top of what we sold to the public. So, it's it's not stealing. It's not any of that. It is it is literally taking that
017that interest earnings and trying to help offset our deficit in the general fund. Um, >> so is it only going to be a one-year deficit offset? Is that what you're thinking? >> It's only a one-time transfer because once you move it, it's gone, right? We can't go back. in this >> we don't have it next year. The normal DJ the normal process is that >> um first of all legislators don't like to do these one-time transfers um because they you know that's how when their monies are in silos that's why they want to keep them food service community ed what what it may be this is just a looking at something to do creative because the money is sitting there and I thought well could we take one million on that would help us in
018our budgeting of either what the reduction is going to be or um it could stop from doing a million dollars of extra reductions. If if we don't do it, we don't do it. I I know what you're saying about 1 million in one pocket and put in the other. It was just an opportunity to use creativity, some money that we aren't really using. Um I mean, it's going to sit there, gain interest. I agree with you on that, but it just could be an opportunity. And that's what we were looking for. A way to find a million that we could that could help us get through the end of the budgeting process. We're, you know, working on. >> Let me just throw something out there. All right. Here's what I'm worried about. Let's say that
019we determine, I mean, Peter, you told me cost 10,000 bucks a month to heat Westby. Let's just say we're going to move out of Westby and let's say that we're going to close an elementary school and we're going to close the BLC, right? I'm just making things up. And all of a sudden now we got to make a place for the BLC. Well, that's going to cost us 750,000, right? That's going to cost a million bucks. We need to put a new whole office area in for Marcy where wherever this is going, right? And we're going to need this money because I think those changes are coming. And if it was like if our reserves were down to zippity duda and we had no money, I'd be all on board with this to take this
020money because we're going to need it. We have to have it. But this doesn't do us any good for next year. And from what I heard at the meeting the other night, we have 14 million and right now we're projected to be at about a $2 million loss. Like Marcy said, things eb and flow. Let's just say it's three million. At least it's not the 3.6 we assumed it was going to be original budget. Um, so we've got a lot of money. I'm just worried we're going to need to do building projects coming up here like closing schools and pickling this and doing that and fixing this up and putting, you know, and we're going to need that money >> and then it's going to come out of the general because we're not going to
021have it anymore because we moved it into the general to get us through this one-year band. >> It's like if we continued with the same losses we have right now, we've got about four years, five years worth of money. So, it's like we're not in this panic. I know it's tough and everything, but I just hate to take that out of there because we can't put it back. I'm pretty sure we can. Let's take it out of the general and we have to spend general fund money. So, that's what my concern is. It's not like we're it's not like it's like that four million bucks we got and then where we redid that uh those bonds, Marcy, where we, you know, saved ourselves a million bucks on that. Well, that's all makes perfect sense. You
022know, those kind of things are like that's like found money for us. But this isn't like found money. This is just Robin Peter to pay Paul. So that's what concerns me about it. If you guys were, you know, hellbent to do it, I guess we can do it. But I don't think it's fiscally very smart in my mind. >> And >> I wouldn't be doing it in my world. If we do have to close a building and move into it and remodel, I just want to remind you that LTFM, if we're taking existing buildings and like, you know, redoing it, we could use LTFM funding. If it's brand new, we can't use LTFM funding. But if we are redoing some of the spaces, we could use that funding. So, it wouldn't necessarily come out directly
023out of our general fund if we have to do that. Um, and I Peter can maybe speak more to this, but we're just asking if we could go there. Doesn't mean the bill would pass. I mean, it very well could be that it >> it's one of those things, DJ, if you don't ask, you won't find the answer. >> I mean, >> I know I does any what I said make sense? I just like to have that money sitting there. I I just don't see the purpose. We could do it next year. We could do it two years from now. Like, I don't think it's going to change. You know, it'll still be there if we don't spend it on something else. >> DJ, I see your point. And I'm wondering then um I don't
024want to put words in your mouth. So what I hear you saying is you'd prefer to spend out of the fund balance rather than uh move this money over. >> I I think it's a smarter move right now. If we had $3 million in our fund balance, well then it'd be like, well, we better do something, you know? But at this point right now, it's like, well, what's the panic? What's two years going to look like to us? what what new rule are they going to pass at the at you know and all of a sudden the LTF money's gone you know just it's just every day it's a new thing isn't it like this compensatory thing you know it's like holy cow um you know it's just I don't know I just don't see
025I don't see what the rush is with it you know >> madam chair >> yes director word >> so DJI I hear what you're saying as well um I just want to um let let u my colleagues know this um when you um introduce a legis legislation uh frequently I don't remember the percentage but frequently it does not pass in the first year um um but you now have a placeholder you now have something in place that you can use later um that you can prop propose later that you can so if we got towards sod um hopefully never hopefully not um but if we got towards that we would have a placeholder um at the legislature And hopefully it would pass this year because in my opinion we still need to have that. But
026if it doesn't now we have a placeholder rather than at that point at that point when we're critical when we're on life support to introduce legislation you know then you're going to it's it's going to prolong it down the road. So in my opinion from my standpoint from a legislative standpoint from an ask of a legislature legislative um delegation it makes sense to get to try it and if it passes great. If it doesn't, and I understand what you're saying, DJ, um but if it doesn't, now you've got a placeholder to use in in the future. >> And [clears throat] you know, one of my concerns is our future construction is kind of an unknown. Not I mean, there's going to be, but it's kind of an unknown. Our our deficit right now is an
027absolute known. And I think in the situation um that we're looking for every dime and we're not taking advantage of this sends the wrong signal um that we're interested in looking for every dime but not that dime. And I think Marcy it's really smart um to propose using a million and not two million of that because we we do need to have something in that fund. I think DJ to your point um wiping all of that out would not be a smart move, but I I I can see in good faith um and towards the situation that we're in financially making this move make sense. >> And I think all the credit needs to be given to Superintendent Grant because he dreamt up this whole thing and I think it's very smart, too. >> What
028do you think, Stephanie? Okay. So, Marcy, how much interest are we making on the construction funds? I mean, we money if we have, you said we have 2.7. Well, we'll have 2.2. How much would we be making on interest per year? That's the only way we can make money that we don't get money from the state. Even if we make, let's just say we make 125,000 on interest a year, >> we've got to I mean, you don't think that's much, but 125 is better than nothing. And we don't do we make any money on a fund balance sitting in the bank. That's just a checking account, right? Y so the construction, you know, mid we're halfway through in December, we earned about 50,000 in interest, but I I want to remind you that that stays
029in the construction fund. Like I can't use that in the general fund. >> Um so if we were to remain consistent, you know, we'd earn about 100 grand this year. I can't make that prediction because the market could change and you know, who knows? [clears throat] But as of as of December, we've earned about 54,000 in interest. Steph, hold a sec. You're asking about the 12 million, right, Stephanie? >> No, what I was asking. >> Well, no, but you asked that 12 million is making money in interest, too. Right. Right. >> In the in the fund balance, it is too. >> Yes. >> Y >> Oh, I didn't know that. >> That's what I thought. >> Okay. >> Yeah. So, the million's going to make the same interest whether it's in the building fund or
030whether it's in the general fund. >> I just Yeah. >> Actually, good question. >> Yeah. So they are two separate accounts [clears throat] so they do earn different interest rates. >> Gotcha. >> Is it fair to ask like what what programs or what services we're going to preserve by doing this >> or is it more just a cushion? >> It this point it is us not dipping into fund balance then. >> Right. >> Or at least maybe not dipping in one million. >> Yeah. Exactly. >> As much. Next year we'll do it anyways. Michelle, don't worry. I gota I'll be right back. One second. >> When are we expected to dip into the [clears throat] fund balance? [snorts] >> So >> without this >> uh as of once I added the compensatory, we were back
031up to about three, but then I added the um 2.69% on the general and we were back down to about 1.9 again. So dipping 1.9 million we'd be dipping in. >> That's without transferring money. >> Correct. >> So it' only be 0.9 million if we transfer >> be 900,000. >> Right. 900,000. Yeah. >> Yep. >> That be the closest to a balanced [clears throat] budget in a very long time. >> I know >> it would. >> I know. >> I just don't like band-aid approaches. Honestly, Randy, I mean, this I feel like the compensatory is a I'm going to reiterate what Peter said. We can't depend on the state. >> Oh, I know that. >> And I think that's inconsistent with what we've done in the past, Randy. We have cut a lot of one-time
032funds last year out of the Marcy, I'm not going to be able to name the the line items, but I know we took a lot of one-time funds to make budget. We recoded staff to compensatory to capital. I mean, we we've done a lot of one-time things just to be creative because what else can we do? Got to keep programs running. >> If that ominous bill passes, we have to do then what we said we were going to do. We got to transfer. We don't have a choice of saying, "Well, it passed, but we don't want it." It's it's it I just want to make sure that >> you did that. Well, I just I don't you would ever get a ear of an legislator. >> Well, I understand it, but I mean it's [laughter]
033>> Right. Right. I mean, >> we don't have a choice. >> Yeah. If they give you the blessing, you're going to do it. Otherwise, they'll never listen to you again. Would that be right, John? [laughter] >> Well, I don't know if they listen anyway. >> Bingo. >> That's neither here nor there. I don't think they Whatever. I'm not going to [clears throat] I'm just going to be quiet. I don't want to get myself in trouble. So, what do you want to do? How do you want to handle this? I mean, there there John, you're right. It's it's it's what I said before, but then Peter and Sarah told me that there's the palms that I would even think this could happen is we could vote on this. We can vote on this in any one
034of our meetings. There's, you know, this is just a this is a workshop. We can we can we can do that. [clears throat] >> We're just changing policy. >> If you guys are in that, I mean, I'm I'm comfortable with that. Can we not just do a resolution instead of vote? >> This has to be a resolution. Correct. >> So, it is a vote then. It's a it's a resolution >> because what >> we're agreeing >> Representative Heindman is looking for is the board to approve it >> so that if he's going to carry the bill, he knows that he's doing it for the district. >> Can't we just kind of do a straw [clears throat] vote and say who's against it? We don't have to vote. It's just a straw vote. But I mean,
035if we're if we're in consensus that we want to send it forward, I I think he would prefer to have that in a motion. So, but I >> I don't want to set precedents that we do motions at work sessions, but this I know there's urgency to this. So, I would be able to concede that if if the group is in favor of that, >> but seems like I'm really the only one that's against it. So, If you guys want to do it, go ahead. I'm going to vote against it. I don't like it. I don't think it's necessary and I think it's knee-jerky and I don't want to be part of it, but I'm not going to be out there badmouthing it or anything. So, I'm [clears throat] quite certain that they're going to
036call >> 1.9 million versus million. >> I know >> just under a mill then. >> What's that? >> That's amazing. >> And I do want to emphasize That's not >> Oh, our debt contracts, >> right? So, >> right. >> Or our budget, balance in the budget, >> right? >> We take the one mill out. >> This will be for next year, Randy. >> I know that. >> Oh, well, we don't have a budget for next year. >> Well, we're just predicting. You You stepped away. Marcy, you wanted to repeat what you told us about the 1.9 million. So, you know, we have that several options document and if I added the 2.69% but then removed the compensatory, we'd still be at about 1.9. And so, if we transferred in 1 million, then essentially we'd be
037at a 900,000 deficit. >> That's for next year. >> Yes. >> Not to exc >> I don't want to put cold water on the 2.69%, but we're going to lose how many students next year? 20. >> Yep. >> Mhm. >> Right. So, it's [clears throat] still a loss for us, but it's a not as big of a loss. >> I mean, we're we're walking on a tight rope. There's no question about it. >> If we can figure out a way to keep our balance on the tight rope, I think we should try it. If we if we don't, we don't. I mean, I'm not going to lose sleep over it. is just a opportunity to look at something creativity, especially because um using those dollars in the construction fund has to be fairly narrow. You
038just can't go willy-nilly. >> Well, aren't we Aren't we going to be doing a bunch of stuff down at the stadium this year? >> That's all LTFM. >> That's all LFTM. Yeah. >> It's a remodel though, right? [clears throat] >> So, it could come out of the construction fund. It could, but I mean we would we want to use those LTFM dollars. >> That's a use it or lose it, right? Yeah. I get [clears throat] that. Yeah. >> Yeah. >> Madam Chair, >> we put a new roof on the on forestry. Yeah. >> And I'd like to use this money for students programming rather than building fund if >> I mean I know it all goes in the same >> sort of can go in the same pot, but >> director Ward. [clears throat] So,
039I'm just and and Superintendent Grant, thank you for coming up with the idea. As Marcy said, I think it's I think it's a great idea, but I also want my colleagues to know this is not uncommon, you know, um within the legislature to to for a school district, a city, a township, um um any kind of local government to ask for something like this. It's very very common to ask for um a specific cutout, a specific uh ask. Uh, and so it's not it's not unusual to to be asked and it's not uncommon practice within the state of Minnesota. And I think that um, as somebody said, I don't remember who said it, but um, you know, to use the money that's available, I think is critical for us at this point in time. So,
040I just wanted you to know that it's not uncommon practice. Michelle, [clears throat] you had made the comment that you'd like to see this money be used for programming and whatnot >> and students. >> Well, just keep in mind once that money comes out of this fund goes into the general fund, it's all fungeable at that point. It can be used for a lot of different things that we don't really want it to be either. I understand what you're saying. >> I get that. >> Yeah, I understand what you're saying. Uh I guess I don't really have a big problem if we do a resolution. >> Okay. Um, just to get the temperature of the room if we decide to do this in a motion today. Does anybody have issue with that? I know work
041sessions are generally not the place where we take action on anything. Michelle, are you comfortable with that? >> I'm comfortable with that. >> Randy, are you comfortable with that? >> I don't think we have to. We can just we can just agree to say we're going to do a resolution. >> Why do we have to vote on it? >> Is that um >> will that be good enough for Josh? >> Yeah, >> I think so. I mean, he just wants to know is the board supporting it or not. >> Okay. Um, so then this is a different question. Michelle, do you support this? Randy, would you support this? >> I I support the resolution. Yeah. >> John, you would support this? >> Yes. And it's critical for um, Representative Heindman to um be notified of
042that as soon as possible. >> Yeah. Stephanie, do you support this? >> Um, yes. I support it, but you got to remember, so we're gonna if we get it, we pass it and then we're going to have to close some schools down. People are going to say, "Well, the budget was almost you were only $900,000 short. Why are you going to have to close these schools down?" You got to remember, you kind of got to remember that. Do you know what I'm saying? >> Yeah. That's an excellent point. It's it's a communication. They're going to they're going to be really mad if they say that we almost have a balanced budget. We have to close some cut some stuff. >> We better spend some more money then. We don't want to have a balanced budget.
043That's the we have around this school. [laughter] >> And DJ, I think we we know where you're at, but you're comfortable if we move forward. >> Yeah. >> Okay. All right, then. Um, >> Peter, if you're good with that. >> Thanks everyone for the discussion. That was good discussion. Um, let's move on to we talked about compensatory to the Paul Bunan Education Cooperative. And this was something um that's been on the agenda for quite a while, but but the idea was to get some more information, be able to ask questions, and to better understand it as a board. So, this is our opportunity for that. And I'm not sure where the team would like to start. >> What are we talking about now? >> The Palunion Education Cooperative. >> Did we We talked about compensatory
044already. >> Okay. Just want to make sure. Okay. >> Is this something you want to introduce [clears throat] or Carrie? you want to give us kind of a synopsis of >> I think Superintendent Grant was going to but I'm happy to chip in if >> well you know um from a from a large you know 30,000 foot view um this isn't about something that is wrong has been wrong it it comes down to really is um our executive team we really feel that uh we could use the federal dollars that come to us better than channeling it through the Paul Bunan. Um, it's not that Paul Bun's done anything wrong, but it comes down to do we think we can be more efficient. Can we utilize our Fed dollars in a more efficient manner than
045going through an organization that is including other school districts? And in the big picture, I mean, I I get all this, but uh we're kind of carrying the the load anyway. And if we could be more efficient in serving our kids, I think we should explore that. Um I don't know how many millions of dollars we get out of the Fed, maybe it's four or something, but it's not it's not saying that Paul Bunny is doing anything wrong. is about can we do things better on our own and we can still provide the necessary services to our kids and I know it's been a discussion for some time and it's really never gotten off first base and really the point of us talking about it today is because if we don't make a decision by
046March 1st then we you're going to have to wait one more year I mean because it's an 18month process >> 15 so because that gives the the co-op time to make their adjustments planning. It gives us time to make our adjustments for planning because you just don't say yes, do it and then you cut the tie and it's it's over. It doesn't work that way. So the the important thing though is utilizing the dollars to the best of our understanding of how we want to do that. And um it's really I mean that's at the simplest it can be. Now, it can get more complicated when we try to figure out where is all the money going, how is it being used, um are the things we could do differently that we're not hooked into
047with the with the uh co-op. That's what we're really talking about is we wanted to we just be believe we can be more creative. Now, I don't care if you want to add more to that, but that's at the 30,000 foot level, you know, getting into the minutia. I mean that we could talk for 30 days and 30 nights, but the question is do we want to have the ability to manage our own finances better than with the co-op? You know, my whole thing is [clears throat] do we I mean I'd like to reform it, you know, and I'm not I shouldn't Well, I'm going to use the term I wouldn't like to see it blown up, but I mean [clears throat] has it ever got to this point where where Brainard finally has said,
048>> "Okay, we're pulling out." We might be talking about it where there where there can [clears throat] be a dis a discussion about you know I mean it seems to me like we're carrying quite a bit of load. >> Um director Heman this conversation has happened with the Paul Bunan board which includes all of the superintendent from all of the districts in the cooperative um many times. I mean, my first year here there I remember there being conversations. Um I don't know that we've gotten to this point, but um why it's why we're having those conversation now is our agreement is a joint powers act and we are bound by what's in that joint powers act. Um if we make modifications um we have to do that as a collective. Uh our executive team met
049with um um executive director Johnson yesterday and we talked about that um and we have talked with them about u what it is that we're hoping to do um in in or out whatever we're wherever we're going. The point I want to make is this does not disrupt student services. Nothing changes um in terms of students service students and families. This is internal efficiencies and system changes so that we have a clear line of support and a clear line of um um management of programs and systems um that are kind of blurry right now to be honest. Well, and and just the idea that, you know, I've gotten a couple emails from people. We're not um taking away services for kids. And that's one of the things that first people were saying, "No, you're going
050to take away things from our kids." No, we're not. We can't. Um we still have to serve our expected kids. We just think we can do it in a more efficient model. That's all. Um it's not about we don't like Paul Bunan or they don't like us or we've had skirmishes. It's got nothing to do with any of that at all. It's about how we want to handle our finances. Can we do it better? And uh the amount of dollars that we generate, I think we should have a greater impact on using those dollars on our own. Um there are school districts that are in co-ops all over the state and there school districts that aren't. Certainly those that aren't in co-ops certainly aren't doing something wrong. Otherwise, they'd be in front of the court
051serving students and their special needs. And then there's some co-ops. The last one I was in, um, the only reason Owatana was in it is because we needed a level four program. So, a bunch of schools got together and delivered a level four program because we couldn't do it on our own because there was such few kids involved. They didn't have any other services involved other than level four. Some districts do it that way. Um, it's it's just about a philosophy. Do we want to utilize our own finances to our own way that we think we can do better? That's really what it's about. >> And we can't do that within >> We can't do that within the structure of the co-op right now. >> No, because we have to share >> those finances revenues.
052[clears throat] >> Then they're shared proportionately. Correct. >> Not equally, but proportionately, >> Madam Chair. >> Yes, Director Ward. Um, so I've done extensive extensive many many hours of research here and I just first of all let me apologize for for my behavior at the last meeting when we talked about this. This is very very important to me both professionally and personally and I'm sorry that I went over the top um with my emotions and I'm also DJ sorry that I interrupted you when you wanted to speak. I was just trying to have the floor and speak at that point. I've done a lot of research. I've talked to former uh directors of of our co-op of the Paul Bunan co-op. I we've all gotten emails. [clears throat and laughter] We've all gotten emails from
053parents, from current co-op staff, from past co-op staff, from special ed staff. We've all gotten emails. Um um Superintendent Grant, you just made a great point. When you were in Owatana, you joined a you joined uh the cooperative so you could have a level four program because you couldn't do it on your own. If we pull out of the co-op, my friends, my colleagues, um, we have to we have to uh, and I sent you all information. I sent you the audit. I sent you some slides about what the co-op is about and their staff. And I I hope all of you really looked at that and mad mad uh, madam chair, I'm sorry I'm speaking so much, but I've got a ton of information. I'm going to try to cut it down as much
054as I can. I want my colleagues to understand and and and director Heidman, thank you for asking the questions that you asked because that's pertinent as well. If we pull out of the co-op, we've got to hire a special ed director. We've got to hire what's called low incidence people. Um we don't have enough special ed people now. We're down four or five speech language people right now. We there are there is a great need for special education persons out there. And as Superintendent Grant said, this is special ed is a federal law passed in 1975, signed by President Ford that you have to provide the services. And and a number of co-ops have done this. I mean, a number of districts have done this. And what they have found, I'm going to not name
055the districts, but there's two districts as I've done my research that found when they pulled out of the co-op thinking that they could do it more effectively and efficiently, two things for both those districts happened. Number one, they they could not find the staff they needed to fulfill IEP goals, which puts us in a litigation kind of situation as was already talked about. Number two, it actually costs them more money than um than staying in the co-op uh because we share services because we have uh availability. Our staff has availability to um um staff that know the rules and regulations and keep us out of litigation. There's also a thing called um which is which basically says you can't speend less dollars on special education the following year compared to what you spent the year
056before. So there's a lot of special ed services provided by the co-op that that we as a district as a single district and these districts that are doing that are finding exactly that this is accurate that they can't do it on their own that there's problems. There's a and also those districts have taken two to three years to plan not 5 days not a week not two weeks two to five two to three years to plan to do this with a new superintendent coming in I strongly believe that that person should have input into this whole plan as well as it is going to be um changing the district if we do this it it will absolutely change services in the district I'm not saying that we won't serve our kids um but my friends,
057my colleagues. I've done a lot of research on it. I've talked to a lot of people. The the former directors, uh, the four former Paul Bunan co-op directors that I've talked to said they don't believe, um, that that this is a good plan. Now, um, uh, director Heidman talked about, can we do some reform? Yes, absolutely. Can we do some um um some re I've always talked about the the reason I had it on the survey and Michelle and I voted maybe when when when we were asked about if we would if we would follow through with that cutting out the po co-op um the the reason I had it on there was because we I think we need to generate more revenue from the co-op and we can do that in two ways. We
058can raise the rent as long as they're renting building uh space office space from us and we can charge a charge a higher fiscal host fee. That's two ways that we can um and and then re raise more revenue for for the brainer. We have about 56% we get about 56% of the uh public and co-op operations right now. Um you know the the superintendent >> in that doesn't it say 45 in that thing you sent us John? >> Pardon me. >> I thought I thought we were 45% in that audit you sent me. I read that audit over a couple times. I thought it said we were 45% of all the volumes. What's the total sales, John? Do you know or Peter Carrie total? >> Well, I don't want to call it sales, but
059it shows that if Brainer pulls out the 45% like a million375. So, that would tell me that there's about $3 million in billings that go through Paul Bunion every year. Is that accurate, Peter, or am I in left field? Because we get 2% of that. So, 2% of 3 million is 60,000. So, even if you doubled it, you'd only be getting another 60,000. But I mean it would be something but it's not like it's huge. But is that is that right Peter or Marcy? Am I close on that? Is that >> respond to that? [clears throat and cough] >> Uh so the overall uh expenses for the co-op which typically their expenses match revenue is about 3.2 million. And I think there I think that 45% in the audit talked about just looking at the
060proportion of Brainer special ed students to the overall co-op percent of stu total of students which is different. >> Correct. It's different. And I would like to clarify this is Jen uh the executive director of the co-op. Brainard's dis uh federal total funds that they received per year last year was 1.5. It's not four or five million. So we're talking this is $1.5 million and we subawward the district back 400,000 plus for tuition and benefits. Last year Brainer the fiscal host fee was like 181 >> 153. This year it's projected to be about 181,000 or more. Um, you know, projections are hard. We still haven't gotten our um, federal allocations. We don't receive those till like the end of March. So, we budget a year that we don't even know what the money that we're
061getting till March. Um, special education funding is very tricky. But, we're it's 1.5 million that Brainard received last fiscal year. Um, and that's what we're talking about. >> Let me add, let me add that, please, Madam Chair. Madam Chair, >> that's just quick, John. This this 181,000 is that the 2%? >> Yes. >> Well, >> of the It's It's not of the operative spending, DJ. It's the >> what um the federal funds are that come in. It's not the total expenses. that% ever. >> Another thing that the co-op does for us um for all the districts, all all of the uh independent districts that are in the co-op is they do they they're in charge of what's called third party billing. So, you bill u medical services for some of your services with Brainard recovered
062I think it was I think it was 411,000 last year. Um correct me if I'm wrong on that, either Marcy or Jen or whoever. um if we had if we were on our own, we don't have a person trained for thirdparty billing at this point. There's a lot of specialty services that the co-op provides. all all the districts. And you know, when the when the executive committee met, the superintendent talked about this and the superintendent basically said, you know, Brainer has to do what Brainer has to do. And I want to I want to quote I want to give you a quote of a former uh superintendent in Brainard um that uh um uh that that uh felt and here's this quote. When this is about the co-op, this is about special ed co-op. when
063our neighbors are doing better, we are doing better. And he was talking about special ed co-ops and special ed services. When our neighbors are doing better, we are doing better. And I that quote resonated with me because I, you know, instead of instead of our neighbors, our neighbor districts um having to decide what they're going to do now, um you know, I I just think it's imperative that we stay. No. Do [clears throat] as represent Director Heidman. I I I I just elected you, Representative Heidman. Um >> Oh, really? The [laughter] the uh as as as Randy said, the um can we look at can we look at some uh can we review what what's been going on? Can we look at um possible cuts from there? Can we look at whatever? Absolutely. And we
064need to do that, but and it's going to take time. And and and again, this is a time crunch thing. As Superintendent Grant or somebody said, March 1st is the deadline. So, I I I just think it's imperative that we don't pull out, that we stay where we are, that we look at um either through an ad hoc committee or whatever. Um look at um possible reform, possible revenue, possible whatever. Um so, I just wanted to throw that out as well. Thank you for listening to me so much. I I'm sorry, >> Madam Chair. >> Yeah, go ahead. Uh when I had made my comment after Peter opened up, I mean I had asked the question, I I I I get it that this has been talked about for a long period of time, not
065just since you've been here, uh Carrie, but I mean, it's been talked about. It's been talked about. It just seems to to me that what is taking place now is that we're thinking about getting out. It's kind of like a 2x4 alongside the forehead. Oo, finally we we might do something. Maybe we'll do some reforming. Uh it sounds like uh something needs to be done and maybe this is the impetus to get that moving forward finally where you know um I was unaware. I'll be honest with you. I usually do my homework and I didn't do my homework on what the Paul Bunning cooperative was all about and uh yeah, you know, we can save, you know, it went from 250,000 then it went to 600,000. I'm thinking who there's what's going on here and
066um I just think that we need to take a step back and uh I'm just going to say how I feel. I I I don't think at this point we should we should pull up. Uh that's where I'm leaning and but we got to continue moving forward with some reforms and making sure we get things [snorts] better for not only the Brainer School District but for all the districts in the cooperative. You know, you know the the question, you know, a lot of people will say, well, it's it's about it's about money. What's the question? you know, and and I know a lot of the emails we got, people were talking about, you know, if you're putting money before special ed kids and stuff like that. Um, you know, unfortunately, I I guess that's the
067game we're in with in education. We only have so much money. So, let's try to make it better. Let's try to reform it. Let's make it better. Uh, I mean, I've read in this report, what is there 14,000 square feet here in the building that, you know, Are we carrying the load on that? 100%. What about the office space? Computers, heat, electricity. I mean, I'm just throwing some things out. I mean, but I'm not in favor of blowing this up, reform it, but not blow it up is where I'm kind of sitting at. And also colleagues, um, as as, uh, Randy indicated, this has been looked at over and over again. Um, a former business manager from the Briner School District did a huge research study and, um, over a period of time. Um, looking
068at doing the same exact thing that we're talking about right now, pulling out a pubian co-op. at the end of his research um he came back and said you know what and it's almost a quote u we're get Brainard's getting a pretty good deal and we're helping our neighbors just as uh represent Heidman director heman indicated so um it has been looked at in the past it has been deeply researched in the past and has come up with a conclusion you know what we need to stay together and work on this together >> let's try and fix some of these things. So, Marcy, um we this payroll is our payroll, right? >> Correct. >> And are they on our insurance programs? >> Yes. >> Our benefits. >> Yep. >> So, are we getting 100% reimbured
069for that? >> So, the 153,000 that we get transferred over is for facilities and the two it's the 2% that's supposed to cover our services as a fiscal agent. is it? >> But it says that all those people are our employees in this audit. It shows that all the employees of the Paul Bunan deal are our employees. >> Correct. Correct. That is that is correct. And I >> So how are we getting reimbured? 150,000 is not going to cut it. So we know better. I know better than that. So how does this work? This is this is what I think we need to do with it is we need to dig into it. They're talking about a flexible two variable billing structure. We got maybe they should have to sub their payroll and HR out.
070Like we still keep our 155,000 but maybe they they just find a company that'll do their HR and their payroll for them and it costs them 25,000 bucks a year or 50,000 a year and between five school districts is 10 grand a piece. It isn't that big a deal, but it starts to help us. We can get rid of some people. You know, >> you know what I'm saying? I mean, I don't we can go through these one at a time, but do we get reimbured for their payroll or it's whatever we collect from the feds and then we kind of take it in the ear a little bit or what? How's it working? >> So, the co-op, you know, we pay for the employees and their benefits and then the co-op does a billing
071to each district with Brainer being a part of or connected. We just do a journal entry that or a journal entry is done that charges what is owed for us and then the other districts get a bill and that's paid. So they get reimbursed by other districts and by us and then we get sped reimbursement on um the the amount that's charged to us. The amount that's not charged to us is the federal portion. And Jen, correct me. >> So they have their own business manager. Fortunately, she's sick today. um she would be able to explain this a lot better than I but that's my my highle version. >> Yes, it's 100 I mean this year it's about 86% reimburseed and I included some of the financials um for the board to review to understand
072how that special education reimbursement goes. But yes, you are reimbured. >> So are we 14% for all those other districts? >> Can you repeat that DJ? Are we, you know, it's 86% reimbured, right? At least 14%. So, do do we eat the whole 14% or does that get shared between everybody that uses the Paul Bunion co? I have a funny feeling that the computers that the people are using at the Paul Bunion co-op, the Brainer School District lease those for Marco Business Products. >> No, we >> I think that the internet >> we purchase everything. >> We purchase all our own computers. We we purchase internet services from the district. We have a We pay for that. Pay for the phones. >> That value 156,000. >> Nope. >> No, that's separate. >> We That's invoiced
073monthly or it's paid at the end of the year, Marcy. I'm not quite sure. It's quarterly year, >> but we're paying for those services. >> What What's >> What's the current flat fee of 55 grand a year that is uh invoiced annually? that those fees are to to help with all the things part of the co-op. That is just like a flat fee that all member districts pay equally yearly. Okay? >> And that goes to a variety of things. There's a lot of things that you can't use federal dollars for >> such as purchasing computers, office space, all those things that go above and beyond. >> So that's what that 55 >> Yeah. could pay for professional learning. It pays for a variety of things. Does it pay for staff or services to students or
074equipment or >> Yeah, it it can pay for assist of technology like we've built up a huge assist of technology. Okay. >> Library. >> Okay. >> Um AAC library, you know, augmentative communication devices to trial throughout the co-op. >> Michelle, how are you guys feeling about where we're at? Well, I um I am not arguing with the fact that we've been talking that I've heard we've been talking about um taking a look at our participation with the co-op. Um I'm also not going to argue that maybe there are some things that we can change, but I I I was set sent the audit from John. I was not sent the audit from district leadership. and and then to be asked to make a major decision like this within a week's time or before March 1st.
075I have I other than the audit, I really have no information. I we've had no discussion about it. I I need to understand the and maybe that's my fault that I wasn't as versed on special ed services but um I cannot in good conscience make a decision to withdraw from the co-op when I am not convinced [clears throat] that students will be able to get the same services that they're getting right now. So, I cannot support the decision to move out of the co-op. At some point, maybe, but I need a lot more information and a lot more time um to be able to talk this through. >> So, >> Stephanie, where are you at? >> Um I I agree with Michelle. I don't have enough information on the co-op and really right now with
076the way the state and area it is. It's getting a lot harder to hire the special people, special ed people that we need and everything. And I think we should do an audit, do a reform. I think just stay where we are for another year because I I I don't have enough information and I don't see how 600,000 we could save when we're going to have to rehire them all and then they're going to have to get benefits. It's just it was it was just too quick thrown at us that I need to do more research on it. >> Thank you. So, I'm not willing to leave yet either, but we do have to do a reform and see about the other districts. Maybe start charging them more. >> DJ, where where's your head at?
077>> Well, I'm with everybody else. I don't want to I I you know, unfortunately, I'm not trying to be, you know, you guys all think I'm a downer all the time. is that I just am not that confident that Brainard schools can do this cheaper than they're doing it because, you know, what are we going to do when someone's got 30 days off? Are we gonna hire another person to fill in for them for that six weeks? I mean, things are so um screwy that I don't feel real confident. I mean, I believe Marcy and Peter and Carrie, and I appreciate you're smart people, but this deal here just seems to me like maybe instead of tearing kicking over the sand castle, we should get our delegate John Ward start doing some work at these
078means instead of sitting around shooting the with his friends over there. I don't know [laughter] what is the deal. Why did they bill it out by a total number of students and why not services provided? Like I don't know if we need to do this today, but it is a workshop. Like if we want to understand this, I don't know why I wouldn't go through some of this stuff, but it doesn't make any sense to me because let's just say this school's like brainer has got 24% on IEPs and then this school over here is only at 12%. Why would they have to pay the same per student as we would pay or vice versa? You know what I'm saying? Does that make sense? I was reading there that you know and then they then
079they go on and say if there's this new flexible two variable billing structure where you build some I mean you know this is all above my head but um I'm just wondering if it's not time to look back at the deal maybe the Paul Bunan Education Co-op has got to get their own payroll and HR people and that saves us money you know we can get rid of a couple people and a little bit of this and a little bit of that and maybe there's not a way to kind of you here's another one that kind confuses me is in that in that audit you sent out, John, is uh sped coordinators. Okay, we got to have 7.8 FTEEs, but if Brainer leaves, we're going to go down to three. But it says right in
080the report that Brainer's only 45%. So, how could you go from eight to three? So, maybe we should only need six. So, maybe Paul Bunny should get rid of two. You know what I'm saying? It's like maybe this whole thing just needs to be, you know, instead of us trying to reinvent the wheel and starting our own special ed department with people teaching braille and all the other things that we've got to have. Um, kind of was definitely it's hard to find them and I Peter I'm sure you know what you're doing and I'm not trying to be deal I've heard about this from Heidi Han that this is going to have to happen someday but I don't know like I kind of with everybody else it's like boom make a decision and feel like
081I'm smart enough to do it at this point but I wouldn't mind getting involved meeting with Jen or whoever it is and maybe Marcy or something about or the business manager of Jen's and figuring out some ways to trim this baby up a little bit. There's no reason that a Brainer school district should flo the vote for this. And on top of it, we have to make all these cuts. You know, I guess maybe the pulpit didn't. >> It's >> Madam Chair. >> Yeah. Go ahead, John. >> Do you know how hard it was for me not to interrupt DJ when he uh [laughter] when he said something? >> Um Madam Chair, I do have a serious point. I'm sorry. Um, one of the co-op directors indicated that our, as DJ said, our we have
08224 to 25% of our kids on SPE in special ed. And this past director, special ed director said he can't believe he or she can't believe that there was 20 [clears throat] 24% um when the state average is about 20 I think or 19 or somewhere in there. And what is it? >> 16%. >> 14. Thank you. >> So what what why are we why why is that happening? And um he indicated he or she indicated that um and this go this isn't anything about necessarily about special ed but uh it seems like some some components of our curriculum may be driving um our special ed um numbers and you know so that's another part of the discussion. I mean, I know that's separate part of discussion, but I, you know, I want to just
083lay all of those things out and just like all of my colleagues have said, let's look at the total package. So, I just wanted to I wanted to make you aware of that, too. Our special ed numbers seem to be really quite high because of some reason. And what's that reason? So, Jen, I'm and maybe this is a a question or for another time, but I'm wondering as you reviewed the audit, were you able to see any cost savings to our district? >> Yep. Absolutely. And unfortunately, how all the events transpired the day of our last Paul Bunan Executive Board meeting, we [clears throat] did not get to talk about some of those things. For example, one of the when we're talking about how to build differently um instead of on the December one child
084count, which really just focuses on resident students, not actually students served. Um, and if you look at different ways to do that billing formula, for example, specifically for Brainer, it was if you look at fiscal year 24, if you build differently, it would have been about a $75,000 difference of savings. Uh, so I think there's ways absolutely to do that and we'll that will be on our next um March 12th board meeting [clears throat] discussion. You don't need that is not the billing that piece um does not need to be in the joint powers agreement. So that is something that we can just change as a board and we would we would talk about that and the superintendents would vote, but there's opportunities to save money. And I just want to say that the last
085time this was brought up to the Paul Bunan board was 2012. There's probably been internal discussions, but it's never been brought forward to our board since I've been there. and I've started in 2018 and it for me it's really important that all of our member districts are fiscally healthy specifically Brainard public schools my children go to school here so I'm not only invested professionally but personally to ensure that districts are getting the best services for their dollars that they're being provided. [clears throat] So going forward, I would like to see that maybe we do have a work session that is involved with us really taking a a deeper dive into the co-op, the services that they provide, the funding structure, that kind of thing. But I'm also wondering if maybe it would be beneficial for
086us to have quarterly or halfyear um presentations on on the co-op and what's happening and what's >> I used to do that. I used to present to the board twice a year. >> Okay. >> Um and that's I don't know I haven't present I've been asked to present since like 2021. >> Yeah. It was before my time. So, I would I would really like that to be a part of our plan as well. >> Yep. >> Um, do we give out IEPs too easily in the Brainer School District? >> I'm not saying that negatively. I'm not saying I mean, do we do we give them out too easily? So, >> I wouldn't use that term. I would say we overqualify. >> Thank you. See, I'm not I'm not a special ed person, so I don't
087I don't know the terminology. [laughter] >> There's state criteria that students have to meet in order to qualify for special education services. >> Okay? >> And it's a it's a team decision. There's GenEd is sitting on that team, special ed, >> school psychologists, sometimes OT's, PTS, low incident staff, >> but there is Minnesota state criteria. And right now the state of Minnesota is red designing how you qualify for special education services specifically under specific learning disabilities. So reading, writing, and math. Um and they are looking more at a whole which uh John Ward referenced of when you're looking at your tier one instruction that's what that criteria will focus on moving forward. um it's going to take several years because there has to be legislation action taken on that to change those criteria, but there
088will be that focus on those tier one interventions and tier 2. What Randy kind of tied to this um districts throughout the state have been getting ads grants for a long long time and the whole intent of the grant was to lower the number of students qualifying for spec education by giving them earlier interventions that would you know especially in the reading side of things. And um I was in districts that have collected hundreds of thousands of dollars in ads grants. None of them made a difference in lowering the um count of speckhead students. >> Wow. >> And I [clears throat] I say that knowing that I participated in that but could never understand why we couldn't lower our counts. Mhm. >> And it does go to instruction to some and ADS right now is
089probably going to come to an end because so many districts are um getting access to it that the state can't fund it probably anymore. I mean, for us, it's a it's a ton of money >> at CIS grant, and it buys us a lot of people >> that we normally wouldn't be able to get, >> but there's still the evidence is still not there that it has lowered the count of incidences of students needing special education services versus just needing better instructional practices to help them with specifically in the reading comprehension side of things. >> One more question. um you had [clears throat] brought up and I I think we we I learned that I didn't I didn't realize it u and it was brought up I can't remember what meeting but we get shorted
090usually by the state about 1.5 million for sped how does that play into the Paul Bunny co-op then >> it's just what it's we're spending more on those services because 24% >> okay and then we're only getting back x amount from the feds because long time ago was going to be I don't know 70% or something. What is it still 40? >> It's it's supposed to be 40% and they're only on average 10 to 15% the federal government and actually >> um >> I would say Brainard you're probably sitting at about 6 to 8% actually. So >> we eat everything that they don't give us. >> But but that money flows into the those funds flow into the Paul Bunnian co-op though. I mean >> federal funds. >> The federal funds. Yeah. Correct. >> Okay.
091>> and that's been since 19 that's been since 1975, my friends, that that promise was made of 40%. >> Yeah. >> Okay. Well, that money flows into the Paul Bunion and then what? You guys keep it or you give it to us? >> No, we it's spent on salary, benefits, student programming. Yeah. >> Right. and the the superintendent vote on our our budget just like you guys vote on Brainard's budget. >> Peter, is it is it true that a lot of um one of the reasons on John's question that one of the reasons that we're higher on special ed is because we have all the services that a lot of our surrounding smaller schools don't have. So, a lot of kids get brought like for example, if you had a kid with ASD in one
092of the smaller districts might be the only second grader they have, but here we've got more people that are trained better and so we kind of attract that. Um, or is that just a rumor? Well, I'm not quite sure what you asked, DJ, but really the >> I think people from other districts are bringing um uh sped kids in, which is making our numbers a little higher than the state average. >> Well, that I mean, just because we have better um opportunities to serve, but the LEC is a big piece of all of that. Um a lot of those kids do come from outside of the district boundaries, >> but we build those districts. But we bill. Yeah. >> But I mean that is that's why the LE is% >> that's why the LACE is
093successful. >> We have great we have great instruction and >> for those particular kids in that category that would qualify for the LAC. I don't know if I answered your question. >> I don't know either. I think I already I Heidi Han answered my question and I think you answered it once before too that you got a lot of kids coming from other districts because we have more services to offer. So, it's going to throw our numbers off a little bit. You know, it's going to make it look like I mean it's going to it's not a really a fair fight with us at 24% in the state at 15 14 and a half whatever it is. Um it makes our numbers go up a little bit. So, Gotcha. Well, it sounds like there's appetite
094to take some time and digest this CESO study and kind of work through, you know, what potential changes there could be in in the partnership before we make any other moves. And so taking some time to do that and in the meantime maybe putting um on the regular agenda some opportunities for information from the co-op andor from the district on how that partnership is going, what kind of services we're seeing. Um just some of the numbers around that. Sound fair? >> I think Yeah, I think we need to make sure that we don't drop the ball here, Jen. um like if you you think there's some changes that you can make, you need to get on it and get back in front of us because I I am I have heard from our previous um
095superintendent that this is going to have to happen. And obviously Peter thinks this needs to happen and I I agree that it wasn't much time for us to digest this, but if this is still a thing next year, I'd have to say I'm going to vote a different different way. So don't just put this in your back pocket and think, well, okay, we got through that deal. March 1st is gone. and start worrying about this next February. And I'd like to see back in the next month or two with the plan how this is going to get a little more financially stable and for us or they're going to have to make a plan, try, you know, make a run for it, I guess. Right. I mean, what do you think, John? >> I think
096that's a great idea. Great idea. >> How often do you guys meet, John? as a board as a board as a executive board. >> Uh four times this year we've already met like seven though. >> Okay. >> And if John if you you know if you have any if you you know you're leazison correct? >> Yep. [clears throat] >> Correct. >> At next meeting for the board of delegates which they vote on our joint powers agreements that is the in the last week of April. >> Okay. And that's two separate boards. the executive board and the board of delegates. Do I'm not on the I'm not on the executive board. I'm only on the board of delegates. >> All right. Is everybody comfortable with moving forward in that direction? Randy? >> Yes. >> Stephanie? Yes.
097>> Excuse me? Yes. >> Yes. Yes. >> DJ, you're good with that? >> Yep. >> Okay. >> Yep. >> Michelle, >> yes. >> Okay. All right. I think we're at a good spot. And Jen, did you provide the links in this agenda um for some information under the Paul Bunion co-op like how special ed is all of that? Thank you for doing that. >> Yes, thank you for all this information. This is helpful. >> And also I want I want to thank our staff. I mean you guys spend a lot of time talking to people too. Uh Terry and Marcy and Peter uh and Jen. So >> I think the work that's been done I think is very valuable and it might make it easier for maybe some reforms to be made going forward. So
098that work was not in vain. I think it's