001[Music] Good evening. I call the June 12th, 2025 meeting of the Park Hill Board of Education to order. Uh Mrs. Barber is absent this evening. Uh please join me in the pledge of allegiance. I pledge allegiance to the flag of the United States of America and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all. All right. And thank you for uh silencing your phones tonight. Um I would like to remind the board of our norms. uh be respectful, uh be inclusive, uh be prepared, um and to be missiondriven. And our our district mission statement is through the expertise of an engaged staff, the Park Hill School District provides a relevant education in a safe, caring environment to to prepare each student for success in life. Um
002board members, any announcements this evening? Uh Miss Barnes? Good evening. Um just want to say to all the fathers, grandfathers, uncles, and those who um care for um anyone um happy father's day this Sunday. Um uh that and also my own father. So I appreciate that. Um also just um recently um the house has and senate have been working in their extra session down in Missouri. So, um, we might want to just pay attention to the fact that the Royals and Chiefs, um, stadium package passed. However, um, there's a clause in there with Plaque County and taxes that will affect, um, taxes for our revenue and as you know, our district is funded off of the property taxes. So, you might want to just read that clause and how it will affect funding for um,
003Park Hill School District going forward. Thank you, Miss Barnes. Uh, Mr. Todd, none tonight. Thank you. All right, Mrs. Woodley. I just wanted to say extend appreciation to all of our staff and um faculty, everybody who were at the graduation, especially Park Hill South with all that rain and uh tornado threats and everything. It was a It was rough, but everybody was there and they were beautiful ceremonies. So, thank you. Thank you, Mrs. Willie. Uh, Mr. Moses. None. Thank you, Miss Bolan. None. Thank you. Uh, Dr. Carol, do you have any additional announcements this evening? I do, just a couple. Uh, first of all, I wanted to let the board know that uh last week we had uh over 5,100 students in our summer school program enrolled that started and are completing their second week.
004So, that has gone successfully so far and we'll keep you posted. As you know, we have a report on the outcomes of summer school in early fall. I also want to introduce a new member to the Park Hill family. Uh we have Randy Stout here from uh he has he's going to be our new assistant principal at the lead innovation studio uh for this upcoming school year and he currently serves through Monday I heard just today uh yeah through Monday assistant principal and athletic director at Schlaggel High School in Kansas City Kansas uh school district and he's been in that role since 2022 and before that was an instructional coach and math teacher. He received his bachelor's degree from K State, master's pit state, and specialist degree Arkansas State. Welcome, Randy, to our family and
005to uh Park Hill. That's it. That's all I have. Uh 5,100 students in summer school. By my math, that is just under half of our students are participating in summer school. So, that's amazing. All right. We'll now move on to um item two, the adoption of the agenda. So I will need a uh motion and a second to adopt the uh June 12th, 2025 agenda as presented. So moved. Second. All right. I have a motion from Mr. Todd and a second by Miss Boland to adopt the agenda as presented. Uh Dr. Kimble, are there any modifications? None. Thank you. All right. And board, do you have any modifications? Seeing none. Um, all those in favor say I. I. I. Any oppose say nay. Any abstained? Motion carries 6. Right. Item three for tonight is public
006comments. Um, during this part of the agenda, we will receive public comments uh from patrons who pre-registered by the noon deadline today. And uh we had zero patrons pre-register. All right, moving on to item four, our consent agenda for this evening. Uh before I call for a motion and a second to approve the consent agenda, are there any items that need to be highlighted? Uh Dr. Kimrell, I have no additional information than what's in the packet, but be happy to answer any questions. Lord, any questions? Um, in in the consent agenda, there's the uh program evaluation for social workers. Um, and I just wanted to point out that, you know, the amazing work that our school-based therapist is doing. Um, but there is, you know, still a need there with some some students that are
007not that are on a wait list. Um I know with the the kind of a direct example of the children's services fund where it might have been able to help out with that. Um because you know we have a capacity issue. Multiple other organizations also have capacity issues. So I didn't know if there was any comments on that on on just how how that's going. Um I know that's this is did we just finish our first year or second year with the second? Okay. Uh yes you exactly right. And if you look at that program evaluation, you will see that there are students still on a waiting list and some unmet uh unmet needs and that's a capacity issue. Um if you remember back to the budget assumptions process in which later in the meeting
008we will be talking about uh the budget but in that time we have a strategic plan of putting a new uh person in place in the in the future and uh right now we have that scheduled for next uh school year and that's what we were looking at in terms of an assumption. um the the current capacity we are seeing kids uh we're doing uh what we can and um there's just a lot of need out there. Yeah. Okay. All right. Well, thank thank you for those comments on that. So, yeah, that's Thank you. All right. Uh board, any questions on any other items? Okay. Um then I'll need a motion and a second to approve the consent agenda items 4.2 through 4.20 as submitted. Some move. Second. All right. I have a motion for
009Mrs. Woodley and a second by Miss Barnes to approve the consent agenda as submitted. Any further discussion? All those in favor say I. I. Any oppose say nay. Any have abstained. All right. Motion carries. 6. All right. We'll now move on to our action items for this evening. Um 6.1 is approval of receipt of the April 2025 treasurers information report uh quarterly update to the board of education. Uh Dr. K. Yeah, just a reminder to the board that this is uh what we give each quarter. We will be talking about the budget preview here uh in the information section, but I have no additional information. I don't know Dr. Kelly if you have any additional information you'd like to provide. Not really. Th this is uh lagging information because we had the one meeting in
010May. This is actually the April report. You'll find much more accurate and up-to-date um figures in that later uh presentation that we'll do on financials. And that presentation is structured the reports there are structured very much like the treasures report. So uh it it's a better resource at this point in time on how we'll end the year. Okay. back forward. Any questions now or we'll wait for the uh information presentation later? Okay. Then I'll need a motion and a second to approve item 6.1, approval of receipt of the April 2025 treasurer's information report as presented. So moved. Seconded. I have a motion from Mrs. Woodley and a second by Mr. Todd to approve the receipt of the April 2025 treasures information report as presented. All those in favor say I. I. Any oppose say nay.
011Any abstained. All right. Motion carries 6. Right. Item 6.2 is the approval of the 2025 2026 support staff salary schedules. And I'll turn it over to Dr. Kimble and Dr. Dylan. Yeah, we uh have presented here. Here you'll see a couple of attachments within your packet. This is all uh the work that we have done since the virtual meeting that we had on May 22nd in which you were presented the teachers negotiated agreement and the uh recommended salary schedule for the teachers in the upcoming year. As you remember the uh agreed upon salary schedule had a an average raise of 8.2% that then we start applying to all work groups. And so what you'll see here are salary schedules for other work groups that reflect uh the work that we've done since you've made that
012approval. Uh Dr. Dylan, anything to add to that? Any questions of the board about this item? Seeing no uh no questions, I'll need a motion and a second to approve item 6.3 com or I mean I will need a motion and a second to approve item 6.2 approval of the 2025 2026 support staff salary schedules as presented. So moved. Second. All right. I have a motion from Mr. Mr. Todd and a second by Miss Bolan to approve the 2025 2026 support staff salary schedules as presented. All those in favor say I. I. Any opposed say nay. Any abstained. All right. Motion carries. 6. All right. Now we'll move on to item 6.3. uh approval of Commerce Bank signature card and certificate of resolution of corporate board of directors and Dr. Kimber and Dr. Kell. Yeah,
013as a reminder to the board, this is a uh procedural type item in which we need your approval so that as we move to uh Mr. Todd becoming the uh treasurer that we have all the correct signature cards and certificates uh in place. So, be happy to answer any questions on this item. Any questions? Okay. Uh, I'll need a motion and a second to approve item 6.3, Commerce Bank signature card and certificate of resolutions of corporate board of directors as presented. So moved. Second. All right. I have a motion from Miss Bolan and a second by Mrs. Woodley to approve the Commerce Bank signature card and certificate of resolutions of corporate board of directors as presented. Um all those in favor say I. I. I. Any opposed say nay. Any abstained. All right. Motion carries
0146. Right now we'll move on to our information presentations tonight. Uh item 7.1 is our 2025 2026 budget review. Dr. Kimroll and Dr. Kelly. Yeah, I will give a high level uh introduction to this and then turn it over to Dr. Kelly for the uh more detailed presentation. I want to back up to remind the board that uh it was back in February that we presented our budget assumptions in which we started this process on what we were looking ahead to relative to the 2526 uh school year. uh since that uh time frame we had uh propositions uh G and O pass in the April 8th uh election. So that is now uh impacted how you see some of the different changes that have made since that uh budget assumptions presentation. In April we started
015previewing revenue. In May we previewed uh expenditures and then tonight we're putting that together. I will make note that uh there is no action required tonight. That is something that we will be seeking on June 2 uh 6th as uh the next board meeting. Remember that you have a statutory obligation to um approve a budget every year by June 30th. Um what you will see tonight uh is very similar to what you've seen in the past, but there are some modifications and some of those modifications are coming around the uh expected revenue. And that's based on uh some information that we received relative to our assessor's office and how that's being handled this year. Dr. Kelly is going to talk about that on the the slides there. And so we uh whenever you see some
016uh changes in color, and he'll point that out, those are some of the amendments that we've made to what you saw in April. And we needed to make sure that we were updating you before you approved that budget that that we made some changes based on what we pre or presented previously. Dr. Kelly, thank you. Um the first several slides are repeated from our April and May presentations. So I'll move through of course all of this uh budget is uh to assist and support our CEP. Um specifically the the um the strategy to uh create a sustainable budget is a specific action listed within the CSIP and so that is what we are on the process of doing. Uh this is an annual process and we're at the tail end of um of it and
017then we'll start again in in July. This will be as Dr. Kimble mentioned uh the last time that we'll be able to present preliminary data and we'll bring to you the full budget at uh June 26th. There should not be um hopefully a lot of changes in the values between now and June 26th. um and where there would be uh we will let you know that on June 26, but I'm not anticipating a lot. The one change on the fund balance targets I do want to bring up is uh specifically on fund 400, the capital projects fund um in our budget assumptions we uh discussed with the board the concept of changing that metric um that we utilize. it was that we were targeting trying to maintain a fund balance in the capital fund um
018anywhere between um 65% and 85% of um of an average of our capital expenditures in the prior years. And what was becoming difficult and really what was going to be more difficult as we began to spend a significant amount of capital dollars to help support the bond projects um was that that was not really a feasible target anymore. Just simply there was no reason to have that much cash uh in uh capital the capital fund balance. And so um the proposal there was as a part of budget assumptions moving forward that we would target a flat value and that's between 3 and 12 and 6 1.5 million. And so u when I show you the budget um next time um not just next year but future years will be um tested against that metric and
019no longer the 65 to 85% metric. Um, as I mentioned in the treasures report, um, you know, we're consistent throughout all of our reports so that, um, you would be able to pick one up and and and be able to translate it and and, um, align it with, uh, like the treasures report, the budget, and our other reports are in a very consistent format. That format is actually prescribed to us by Desi and um, is um, available in the Missouri Financial Accounting Manual. um on operating fund balance um in April. One thing that I did not show um was what the budget was expected to be. So the data that you see here is um the the bars represent the cash um that we would project to have. And so the purple bar is actually
020an estimated value. it's reasonably close because we really just have two more weeks of of um activity both on revenue and expenditures. And so that's a pretty reliable number there that you see on the purple bar. You can see that we're well outside of our 18 to 22% range. Um that is intentional and strategic. Uh we will have significant operating onetime operating costs associated with opening Angeline Washington. And so we have been preparing for this. And so that um will obviously uh be addressed in next year's budget. And and the blue bar is new. You have not seen that. It is uh currently at 18% which is the lower end of our target but still within the board's target. Um and so we've crafted a budget that would would drop our fund balance to 18%
021at the conclusion of next year. that that number has vacasillated based upon information that we received uh from the assessor. it was quite a bit higher. U and so we received information between April and now that the assessor does not intend to do a full reassessment as is typically done in odd number of years and that has a significant impact particularly when we just passed a our community just passed a tax increase um by which then Hancock would not have applied to us and so it's a particularly bad year for that to occur. Um, and it's curious obviously why it's even occurring at all. Every other odd number year um that I've been here and across the state is a standard reassessment year. Have you been given any reason why that anything been communicated as
022to why there's a change in process? Dr. Kimell and I met with the assessor and and his team to try to better understand that. Um and and Dr. Kim can share as well. I'm not sure I left there any with any clearer answer than I had going in. Um in terms of uh assess assessments, there was a discussion that the board of equalization process has undermined the assessor's work and that the board of equalization which is the process that occurs in July when we can protest um taxes or our assessments um that in recent years that process has become just a sort of an automatic and so it has is I guess it's proven the assessor's work to be um sort of null and void because the board of equalization is um decreasing. This is
023their words. I I don't have the data in front of me but it's decreasing assessed values at such a rate um that reassessing was was not going to provide any value to offset that. Yeah, there's more of like a Jackson County issue. I'd be curious to know what percentage of Plaque County has appealed to the board of equalization. Uh my understanding is that that that so we have about 45,000 properties in the Plaque count in all of Plaque County, not in Park Hill, but in all of Plaque County that are uh reassessed on a uh reassessment year on the odd years. Um it's a two-year process that that team goes through um as you know and uh the the issue that we learned about in Jackson County is I think a little bit different in
024terms of what's going on there being reported uh in the news from what I've learned. Um, however, our concern would be that if uh and the state tax commission as uh kind of the oversight uh group that would be um able to work with the assessor or our county clerk on what uh an intervention would be. Uh they have intervened with Jackson County and so that's you know what what you're seeing with that. But again, I don't think that that's exactly the same. uh our concern is is that there are targets in which the assessor is uh trying to hit in terms of how close to market value property assessments are and the data would suggest right now that that our property across plaque county is undervalued. Um that is something that uh we've got
025data on from the state tax commission and we have uh let them know of our concern. Um but right now it's going through the process relative to uh they don't have the data either on what our assessments are going to be. We simply are going based on what we've been told through that meeting and uh other information that we've had relative to the assessor's office. Uh the concern would be that if over time if that were to happen then in f in the future a future assessor or a future um state tax commission if they correction uh and this hasn't happened over time and a county like plaque county continues to grow have increase in uh property value and so on that then our citizens would be hit with a a very high uh correction
026at that time. And so what this has been done over past several decades to my understanding is to try to keep that as a incremental process over time so that it doesn't have that um you know huge impact that that something like what we're seeing I think in Jackson County has has happened and they can only reassess in odd years correct so this is existing for two years was it new construction and improvements right and improvements to the existing property But yeah, reassessment is a is a in across the state it's very consistent in odd number of years. How much work goes into their reassessment? So if if even if they are asked to reass to change their line of thinking, would they be able to reassess the entire county quickly or is that Yeah.
027our understanding of the way that yeah the intervention and it is actually not unprecedented in Plaque County for the state tax commission to take corrective action. So and Janice you might remember but it was actually 2007 um in which the um state tax commission actually did um intervene um and in that case then does a flat um market adjustment across all property. So it doesn't they're not my understanding is that they're not going back to the assessor's data at that point because it is all undervalued um the records would show. So um I guess only in the case that there was that multiple sets of data one that was the true market value versus what they had assessed and they're submitting what has been assessed and not the true market value. But I get the
028impression that they haven't there aren't two sets of numbers for them to rely on. So the state tax commission would use their own. So that would actually be could be detrimental to certain homes as well because they're just going to get an automatic percentage increase if the intervention is implemented. The justification I think is what Dr. Kimberell mentioned is that if the data is showing that we're severely undervalued across the county that they would not, you know, they would not maybe increase it by 20%. Um, but there would be some sort of action by which they're closer to market value than than what's what's in the books right now in the county. And in your forecast, you forecasted 5%. I think this goes back to the aggressive versus right and 5% is conservative and reassessment
029year. So I mean we felt pretty good about that. Um again we also have a the tax increase that the voters approved and all of that was going to generate the revenue for um the compensation increases and the budget assumptions as we were moving forward with um right so now I've moved it to 2%. uh and 2% is a fairly standard for that even number of years and is where you have uh just new construction and um improvements. So, um, that's what and that is the 2% is what's on the in the books now and I don't suspect we're going to get any better information between now and when you approve the budget, but there is a process that will take place. July is the board of equalization and then August is when I understand
030that the state tax commission could intervene. Did you hear in this conversation that this board of three people the board of equalization are they doing the entire county or are they just picking certain areas or did you Our understanding they only do those that appeal? Yeah, you have to appeal to back to Miss Bolan's question about some of the kind of how many our understanding is is of the 45,000 that it's not a lot of uh properties. you know, it people have the right to appeal their uh um assessed valuation um and bring that before the board of equalization and there's a process then that the board of equalization uh takes into account their appeal and is able to make adjustments on that. Our understand we don't know the numbers on that but our understanding
031is is that that's a very low number relative to 45,000. Um that that's a a very very small fraction of that. um how our Rick Shield affects us. It does, but but I uh we're seeing two different entities telling us a couple different things. And quite honestly, what we're concerned, our interest is that our property across Cla County, uh and this affects more than just school districts, right? This affects uh libraries. This affects fire districts. This affects MCC. This affects municipalities. Um unfortunately, none of us knew about this uh previous to, you know, late last month. And um it does uh it does affect us in a way that um what we have an interest in is making sure that our properties are assessed fairly uh at market as close to market value as possible.
032That's that's what we feel like helps us with our budgeting process, helps us with uh predictability. We set uh you as a board uh see things that we are putting in place relative to staffing programs and so on. We need to make good on on those u plans that we were putting in place for our students. And um that's a change from what we've seen in the past and that's why we're having to adjust a little bit here. We believe that we have a plan in front of you that can uh withstand this if there was no growth added. Uh but over time, I think that that's going to be a significant issue for our district along with our uh other districts that are in Plaque County. the gap um just on the operating side
033between a 2% estimate and a 5% is about um three and a half to$4 million and so then that would be compounding every year uh that those assessments are not corrected. Um any larger assessment than CPI in the future would be subject to Hancock. So those would be limited. we couldn't get even if they did increase by 10% in the next reassessment year, a Hancock would apply and we would have to roll our tax levy back because we can't benefit from that. So yeah, this has detrimental effect for tens of years, not just two years. Yes, exactly. It's very frustrating. Yeah. on on this chart that three and a half to4 million um every $2 million basically on operating fund balance is about a percentage. So that blue bar if we were using the 5%
034um we would end next year at a 20% fund balance like right in the middle of our um estimate. Um of course this is bad news. I mean this is difficult but it does um it's kind of the latest um reminder of why we have fund balance um is to weather this kind of thing. So hopefully it is just a matter of months that we're weathering it and not um the the decade that you mentioned. Yeah, it's not really weathering a storm you see coming. It's like getting hit in the back of the head with a 2x4, isn't it? Sorry, that was kind of a violent imagery to I just I I'm I want to make sure I have the timeline on this right. So, the assessor comes out with the assessment. It goes to
035the board of equalization, but the assessor is presupposing uh something that the board of equalization has not done yet to say that he's not going to reassess. I think his argument would be um the past few years in Jackson County when they hiked their assessments so uh at a very steep rate a couple years ago and there was a huge um amount of people that appealed to the board of equalization and at some point they did start just kind of rubber stamping those and saying we'll take you back to your last assessment but again that's that was a unique circumstance in Jackson County and I don't think it reflects what's happening statewide in all the other counties. that the board of equalization is taking that same action. So I don't feel like that argument holds
036true for Plat County for justification to do this if that makes sense. Yeah. part of the justification and again I'm I'm the messenger here um it was also that um that not just was the board of equalization um agreeing to um the um the appeals but also then going well under and so the assessor kind of mentioned that keeping assessments at zero might very will actually yield a much better result than if a a set of um properties all were to drop beneath, you know, in and actually drop in value. Of course, that's not true because there's 45,000 or 4500 45,000 approximately, right? So, yeah. And the board of exation is only seeing a fraction, you know, so that that that logic makes zero sense whatsoever. But and this is maybe the final point again
037I'm just the messenger but that the assessor's job um according to their office is um during reassessment is to include values that were assigned during the latest set of board equalization processes. So that data has got to be included in consideration of the market value for the other 43,000 45,000 properties has to the board of equalization's work on similar properties um has got to be a factor. Um okay and they cited state law um as um is what's driving that. Okay. Okay. First of all, my frustration is nowhere near pointed at you. Neither was Brian. So, I apologize if I'm um you're bearing the brunt of it. But um but again, I don't I I I feel like even if it's state law to do that, I feel like they're uh not taking that at
038kind of face value. I think they're distorting that because if small percentage in Plaque County is appealing then I can't see how that would give justification to just not assess basically for the next two years and when the assessment is just based on home sales right like that's that's one piece of data that they do use is is in fact they they mentioned that that is uh the I don't know what it is, MLDDS or whatever the uh the database is of home sales that that is a piece of data that they use relative to uh making judgments relative to reassessment. So um we do not we have not seen that data. We don't know what process has happened at this time. uh we just uh know what we've been told and what to plan
039on and we needed to ensure that we are uh planning for that based on the information we have today and uh then we are also uh looking at what are our other avenues to be able to uh look at this and the state tax commission is the uh way to do that. Um so that has been the the process that we're following at this time. And there still has not been a press release from the assessor or like would we still not know about this if I don't know that's specul that's a speculation. Uh well no other entity that we've talked to since then has been notified. I've talked to Yeah. I've talked to several other taxing jurisdictions that had uh no knowledge of this. And the other four school districts in Clay County, the
040other four school districts had no knowledge of this either. At what time is the official reassessment due? When when do they have to provide? Dr. Kelly, can you talk about when we we typically get a letter from uh the county later this month? So, can you talk about that process that we would be expecting? Yeah. Then typically from our perspective, you know, what happens at Park Hill is that we wait for what's called the pre-board of equalization assess valuations, which um and that typically comes in the last week of June. So I suspect we're still going to get it. Um but for the fact that um Dr. Kimell learned of this, that might have been the first clue that reassessment did not happen. And what date was that? Sorry, end of June. Okay. Yeah, we
041have to approve our budget by June 30th. Yeah, that's right. Yeah. So, and that that that actually that process probably isn't really the county or the assessor's fault at all that it's not aligned with our our budget. Um, in the assessor is keenly aware of our timeline and when we because he's been on the board. So he is absolutely aware that we would be blindsided by a no like an absolute no increase of assessment. So I I understand that the timeline is not his fault, but notice is lack of notice is absolutely his fault. Yeah. I was talking about the mismatch between when when you as a board typically on any normal year have to set a tax rate, have to approve a budget and you're setting a tax rate two months later. I know
042you're that's aware of that. This is not new to him, which is also exactly why uh it is an imperfect process because we're we're estimating typically on the odd years. If you go back in in all of our uh records, you'll see that Dr. Kelly on an even year has presented the board with an assumption of 2% increased AV and then on odd years has uh presented an assumption of 5% AV and then we adjust accordingly based on what that letter uh tells us uh and it depends on the year and and and so on. So we we've always worked on the imperfect system. I don't have a problem with that. But my point is it's already imperfect, which the assessor would be aware of. And to blindside taxing jurisdictions with an extreme measure like
043this with no notice of an extreme measure is um and the precedent on top of the decades of preceding. It's disturbing. So we would get the pre-board of equalization letter and that would give us a kind of an idea about where we stand. true. Most cases we've already approved or significantly moved forward with the budget. So, there's really not a lot we can react to at that point. Um, and then that's to give us and the whole that whole memo is from the clerk and the clerk and it's titled the pre-board of equalization letter. And so, two things can happen in July. The board of equalization will um will meet and and and hear the appeals. And there also can be adjustments made that have nothing to do with the board equalization, but just new
044information on properties that weren't included in the June letter. And then we wait really just every single day. it um we wait and wait in August to get um the post board of equalization letter and then that is what you set your tax rate on and that's an official document um that goes to the state and and and all of our information then whether the Hancock amendment applies what our tax rate ceilings are going to be adjusted to are all based upon the post board of equalization and then you uh this board needs to get a notice out to the public within 10 days of setting the tax rate. So there's a lot of activity in that first couple weeks of August. Can you remind me when our deadline is to set the tax rate?
045July uh September 1. Okay. Yeah. So we need to deliver it to them by September 1. Um so I know we've contacted the state commission. So what what is the timeline for them to like come back to the assessor and say yay or nay like you know this no you have to do something or no or yes we agree with how you're working and then to give us enough time to do whatever we need to do going forward. Yeah. Unfortun Unfortunately it's going to be a tight timeline. um what we've been uh notified of with a response from from our initial uh we we did send a letter that was uh all school districts from uh Plaque County proper um that includes West Platt, Plaque County R3, North Plat and then part of Smithville along
046with Park uh Park Hill. Um they responded uh from the state tax commission saying that they have ordered the county to uh leave their uh process open till August 23rd and they expect to get the data from the uh county by July 20th. And so that between July 20th and August 23rd would be that period of time I believe that they would be working to see if that's the case. We were also notified that we were not the only county that uh the board, excuse me, the state tax commission had uh ordered to keep it open until August 23rd. So, I don't know if that was in the works previously. Uh but we felt we being myself and my colleagues and other uh the other school districts felt like it was necessary to uh write
047a letter to the state tax commission to make them aware of uh that concern based on what we'd already presented in a public meeting and representing you as publicly elected officials. That's going to be a tight turnaround from August 23rd to them a approved. So, we're probably going to need to schedule a special meeting between agree 23rd and September 1st if they take action. Yeah. Well, yeah, maybe we wait. Um Yeah. Maybe we don't set a tax rate at all until we can Yeah. Yeah. Well, and again, I I really appreciate the work you've done on this and the work that has prepared us to have that this isn't devastating to our um financial position. the work that you've done over the many years that that 18% is still um in place. So, it's just
048frustrating. Yes, I didn't mention that. Saying it nicely. Um the other fund balance that we look at um specifically is the capital fund balance. Now, this doesn't include bond funds, but it is greatly influenced by bond projects. Um so particularly our what we're calling our bundle two or our uh aging facilities updates so that we the ones that we have scheduled for this summer um are going we're using bond funds as we uh shared with the vote and what the voters approved in in 2022 not this latest bond um and then we will use this gap right here and um to supplement uh and enhance the the work that's being done in each one of those buildings. Um again, this was um strategic and intentional to build it that way so that we would have
049the funds to do not just this year, but then we also have uh three additional schools next summer uh that we also need to enhance um what what was originally in the bond um program. So to do this uh in both cases I'm I moved backwards there about the operating but you know this these are significant dollars that were in fund balance or within the savings account of the district. And so one thing that I say throughout the budget document and and here is that be prepared for a significant deficit budget. Um the money is in fund balance. It's not spending what we don't have. It is spending what we've built and intentionally built so that we can do the things that support our sees. You can see though um the one thing I stopped
050utilizing this uh percentage. So this would be the final year in which that percentage is reflected. And so beginning with next year's budget, so June 30th of 2026, uh we'll go we'll move to that new target which is $3.5 million and that is exactly $3.5 million. So you have a full report um and when I mentioned in the treasures report that the data that you have on this item is far more accurate, that is very true. you have a a separate report for revenue that shows you the three prior years. So you can kind of get a baseline of what's typical on revenue. And then the purple column that would be on that report that's within this board item is our projections. And so again, we have a couple more weeks of activity. So those
051aren't perfect, but they're going to be pretty close. And then the blue column there is what we're projecting for um revenue for next year. So that the blue column on that report um is we ultimately will ask that you approve at our next meeting. Same kind of report here for expenditures. Um the one thing we have some overlapping projects and one of the the biggest themes um within um next year's budget when you look at year-over-year types of changes will be we're going to be spending significantly less on capital projects um despite the fact that we we're going to pass or we just passed and we're going to sale um $128 million of bonds to support our Park Hill 2034 projects. Um but this la the overall expenditures are going to drop. Um because this
052summer if you kind of think of the amount of money I'm not not this summer but this last fiscal year that we're in uh now um we've spent a lot and um many of the projects are accelerated from where we thought they would be a year ago. And so we've done a lot of spending um and projects um are have moved ahead. So, so a lot of the spending that occurred here in this fiscal year included um Russell Jones and of course Angeline Washington almost uh full to completion and then the meat of the construction for Park Hill and Park Hill South all occurred in this current fiscal year. And while we'll have the funds and the projects, we're not going to spend that much next year. Um perhaps in the year following we will
053with those projects in Park Hill 2034 but next year we'll have we'll our expenditures will drop um simp solely because of the um a smaller set of capital projects and that is the turquoise um bar there. So here are some of the kind of big picture items um of how we'll end this year and and begin next. Um again these are all reflected in those graphs and reports that are provided um in addition to this um slide. Moving kind of to the next slide on the revenue assumptions. The places where you'll see the red Dr. Kimberell mentioned that the areas in red are the changes from um what we've presented to you in the past. So um two huge items. One is the 2% versus 5% on assessed valuation growth and we've discussed that. The
054other is when I presented revenue revenue to you last time I had forecasted that we would sell the $128 million in two packages. And just in current conversation with Piper Sandler, they believe that it may be to our advantage to do all of them in the fall and so to have one bond sale. And so I have adjusted um this budget. So that's going to be quite a bit more revenue um um almost $60 million more revenue than I shared with you um in April. I'm sorry. Um the once those bonds are sold, there's a time frame. Yeah. Three years to make substantial progress on those projects, which we would clearly be safe there. Okay. The one risk you have, although it would be either way, is what's called arbitrage. And there is actually going
055to be an expenditure in in next year's budget for the arbitrage that was assigned to our April 2022 bonds. And what arbitrage is is where the federal government looks at the money that you've made on interest and has said that you've earned too much of tax-free dollars. Um you've earned too much interest and so you have to return uh those dollars back to the federal government up to a cap. So we we generate a lot of interest as those dollars are sitting in the bank waiting for us to spend on capital projects. And so in one way an an arbitrage uh number is a good thing because you've maxed out what you could possibly um make on interest. And of course those dollars go right back into construction projects and so improvements for schools. Um,
056but the one thing I think where schools and other entities get into trouble is where they may have already spent those dollars and have not accounted for them. So, we have accounted for them. And so, we'll have a a little over a million dollar arbitrage payment in next year's budget that was actually generated from our last set of bonds. Thank you. Mhm. I've got the top 15 sort of items that have make a difference in our budget and this is the first slide here is on revenue. And so as I mentioned that very top one $51 million more in bonds. So that's the difference between in 2024 fall of 2024. So this fiscal year we sold the remaining 77 million um of the April 2022 uh bond program and then next year if we sell
057127 um in in the whole or 128 I'm sorry 128 uh that would be the difference here which is that we'll receive uh $51 million more next year than we did this year and and and that's just right in just those two different bond sales two different issues to the voters. Um the other items that even despite the 2% um our tax revenue will increase and then that is primarily because of a 2% um assumption. But the voters passing proposition G and O is going to generate more revenue. So um that is the impact of of what the voters approved in April is highlighted on the second line. And those other items are fairly typical. Uh none of those really uh stand out, but I'm glad to answer any questions if you I have a
058couple of questions. Um Dr. Kelly, um so is any of the stuff that's going on um with the federal government like cutting early childhood, um school lunch programs, Medicaid, any of those things. Is that why these things are in the red or like they're lower than what they've been in the past? Are we making those assumptions that those things will not be funded based on the budget bill that's coming out or are we just still going with what is and has been? That's a really good question and we don't have an answer on it. So, kind of going down the federal items there. So, title one, we're doing the best we can um in terms of what even that you know what we're allocation is going to be. in most years we would know by
059now and so it's just a big mystery. Okay. Um so this that is a plug number and so when we get that allocation Dr. Bridewell and her team will put the program together and we'll learn what the true uh budget will need to be for title one and it'll be based upon the actual allocation. Um Medicaid is actually that Medicaid is an increase. So that is reflecting an increase and that actually has to do with more of a timing of when we get the the um the revenue for Medicaid. We're showing that we're actually going to get a year and a half's worth of revenue next year because we were a little slow this year on on it. So uh that is actually going to be an increase also an increase in the school lunch
060program. we um with all the AMI days we had this year that took a pretty significant toll on our uh lunch program and just in terms of participation and so that's this is a fairly standard increase so that's not taking into account any cuts um the ARP SR3 um was going to go away anyway that was all the way back for COVID relief and that particular program was for tuition reimbursement for teachers that was going to be the last year of it regardless So it has nothing to do with the current um budget and more on um lunch. And so those would be oh the ECS also has to do with kind of a year overyear change and I think we're being pretty conservative in terms of what we think um we'll get. That's not
061really reflective that 193 is not reflective of a budgetary issue at the federal level. um that early childhood sped program is funded both by state and federal dollars. And that's more of an anomaly just about when when we're done with one fiscal year and then when we apply for the funds and when we receive them. So that's not really to dealing with the that. I think your question is good in that and there's a lot of other things that aren't on here that we still don't know about which like you know title two, title three, IDEIDA, those programs are all um did I miss any? Title four um and Mckin Vento all of which are essential programs in our academic services department and we just is a it's a great mystery right now about how
062those are going to be funded if at all. So thank you. Mhm. [Applause] Uh so same kind of layout here for the um expenditures. The the red again are ads from last time. And so when we presented in May on expenditures, we had not yet approved the compensation. And so the items that you did of course on May 22nd and then again tonight um have solidified that. And so that is uh an updated and that's now included in these budgetary values. Um I mentioned this briefly last time but um this idea that um last time I presented we were going to do a a really large laptop replacement for all three um elementary, middle, and high school. And so I think I even mentioned then that we might strategically want to split that anyway. And
063so one way that I kept us within that 18% fund balance is basically shift some of those dollar some of that program to fiscal year 27. Uh in essence we would be buying half of them in June of 2026 and then the other half in July of 2026. They would all come in basically together. And so it's not really impacting the roll out. It's just when we pay we're just going to pay in two different fiscal years. And so, um, that's more of a on paper shift, but it did allow us then to stay within the 18% on our fund balance. Um, and then really the large expenditure and capital outlay, again, this is nonbond funds, but that's 24.5 million that we're putting into our buildings to address our aging facilities goal uh within our
064CES. Can we talk about some of those numbers in detail? What's that? Can we talk about some of those numbers in detail because I'm looking at the detail for the 6100 the salaries? Yeah. And it's going up by 12 million from 120 which is like a 10% gain in salaries but we're only increasing salaries by 8.2%. Is that correct? Yeah. We have additional staff and so opening Angeline Washington. Um we're talking about$2 million extra dollars. So, how much do we think that's going to cost for additional staff? Hawthorne, I don't I mean, or um in Washington, I I don't have that in front of me, but I can get it for you. Okay. I can't imagine that's $10 million. That seems like a Yeah. How broken down? That includes administrators, uh other uh work groups
065as well. Is it open cards also? Maybe. How many open positions do we have? Uh right now we have about 16. Okay. So, that's a big number. Okay. Yeah. I'm curious about that. And then the 6,200 employee benefits, it looks like it goes up $2 million every year. Is that worry about that? Yeah. Yeah. You see them making their money on that. And then on the purchase services, you mentioned in your slide there that it was uh the big thing was transportation and it looks like it does go up by 1.7 million, but then there's other professional services. 6319 goes up by 1.7 million. It goes from 2 million to 33,700,000. Mr. Montes, are you looking at uh one of the reports? Yes. Okay. The expenditure report. Yes. Okay. Thank you. other professional services. Yeah,
066that one um is an array across the district and I can get you more information specifically about how our different uh u projects have budgeted there. I don't have off the top of my head I don't have what is all accounted for in that increase but I can certainly get that to you. at all. And then repairs and cyclicals up 400,000, but it looks like I'm sorry, repairs and maintenance 6332. It was over $1.1 million in 2022 and it's up over close to that this year. Is there something cyclical in their repair schedule? What is that? Yeah, again, I I can It's a good question. I just I don't have the detail of what would all be included in that, but um and each one of our departments would line that out and so it
067may very well be um cyclical things like roofs or things like that. And then look down at the total purchase services subtotal. It went up by over 20% it looks like to me and it looks like mo that could be there's some that went way down. So I'm just curious of what's causing all these the uptick in purchase from the overall. Yeah, because it's up over 20%. We can get you more detail on that. The largest uh would be the combination of the 6341 and 6342 which would be transportation um which is always the largest purchase service that we have. So that other account is $1.7 million. I mean it's well you have you have two right above. Yeah. Yeah. I'm adding those together. They're the same as the other it looks like. Thereabouts. So,
068I'm curious of that extra $2 million in salaries and what's going on with purchase services. We'll get that for you. And then supplies and materials that looks like it fluctuates and the others are capital and debt. So, yeah, I don't have any concerns there. anything on supplies that you need. It looks like it's cyclical. Okay. If you look at those numbers, so I don't need anything there. Okay. Was the repairs and maintenance the other one that you were talking about being cyclical? It looks like it is. That's an assumption. So 6332. Yeah, if you could just answer. Yeah, that is. We'll look into it. All right. And then I I wrap up with this slide which is um and Mr. Monz just went through some of these but these are the big swings. The red
069would be increases in expenditures um and where the larger ones um are again associated with the capital projects. That equipment is um capital equipment. The largest piece of that um would be um items for um our um capital improvements this summer uh for the bundle 2 aging facilities um buildings. And so that would be um one of the larger uh items here um out of our fund four. And then you can see the other um teacher salaries um are account for 5.7% um that 611 Mr. Mons's teacher and so that um 5.7 million is an increase just for teachers and that would include the uh compensation increases. It also includes attrition that's in there, but then also additional positions as have been um called out in budget assumptions. But that shouldn't be more than 8.2%.
070It should be well, it depends on the number of additional FTE that we would have. So that's the okay piece of it. Yeah, that could account for um some of it. It's already a big number, so it should be Yeah, if your FTE stayed the same, you're right, but there's no way it could be higher than 8.2%. Any other questions on on this? I did make a note down here on the arbitrage number. Um, so you can see that as a $1 million expenditure for next year, but we're earning interest on it this year, right? Well, we can actually earn interest on it for uh uh it's not actually technically due until 2027. So, um yeah, if we waited until 2027, we would earn about $28,000 in interest. 28,000 is 28,000. Yeah, we may. We're
071earning interest on right now though, so it would be to our benefit to wait. That is all I have. There'll be an update next time. We have before you would approve or consider to approve the the budget, we'll do transfers that'll take some corrective action on this current year's budget so that we can make sure that our expenditures fall within um budget amounts that you've approved. And we'll also do a big transfer from fund one to two and perhaps from one to four although I don't know that we'll actually need to do one uh from one to four um this year and then uh then we would move forward with approving the 26 budget. Just one clarification because I haven't been in the district as long as other people have but this has never happened.
072I'm still fuming about the whole assessor and everything else. This has never happened before in no during uh even our own data you know over the last 15 years let's say we did have a year in which assessments dropped um and that was during an economic um downturn and so there was you know this was a national sort of phenomenon so there wasn't you know a lot of mystery surrounding why this was happening and it wasn't certainly wasn't just local Um, but what you said would be true that just deciding to not do assessment was didn't didn't appear like that was even possible. So, we never accounted for it. Thank you. All right. Thank you. Appreciate your thorough Thank you, Dr. Kelly, for breaking it down so that we can all understand. So, thank you
073for all the effort and time you put into this. Thank you. Okay. All right, we'll move on to item eight, which is information uh written. Uh we have information items tonight. Um 8.1 through 8.16 are relative relative to bids, contracts, and agreements. Uh 8.17 is changes uh to al alternate methods of instruction provisions. And item 8.18 is the 2526 uh Park Hill School District assessment plan. Uh Dr. or are there any items you'd like to highlight? Uh the only one I would point out is 8.17 which is the change in AMI provisions. This is the exact calendar that you uh approved earlier in this uh school year for the 2526 school year, but we are able to use six AMI days in the future year. So we want to take advantage of that. And uh
074on the calendar you approved it said five. So, we're asking to just change that one number and we'll bring that back for approval next uh board meeting. I'd be happy to answer any questions on any other items or that one. I have a question just um 8.5 through 8.9 the nutrition like are those prices I was just looking are those prices a lot more with everything that's going on from last last year to this year with all the changes with grocery prices and you know just wanting to understand the the price comparison on those those items. Grenan is not here um this evening, but we can get more information for you in terms of um those uh they were not in the ballpark of what we encountered, you know, two years ago. So, in terms
075of increases, but she can there are some twists to that and so we could have her get you some additional information before you approve it. Now, in the AMI days, it was it was that the hours like we were almost counting too many hours and we could get six days out of the hours like 6 and 1/2 hours or 7 and 1/2 hours for a day counts as a right. We we've always been very uh regimented in how we do our AMI days to make sure to maximize instruction for our students and uh our expectations of with our teachers. Um what we uh learned through a previous Senate bill that was that uh we would be able to restructure those 36 hours to 6 hours of instruction. And so we can do that in a
076future year uh to be able to account for 6 AMI days if we were to have that many inclement weather or other reasons to use AMI. Okay. And we found that out real late in the game. Okay. after we had already uh spent our five and and our teachers had already put in that time and and then you made the adjustments in March on what we needed to do to meet the uh minimum 169 days and that's why we went past Memorial Day. Okay. All right. Great. It'll be nice to have six indeed. All right. Um All right. Well, the board will be asked to take action on these items at the June 26th, 2025 regular meeting. All right, next up is item nine, policies, procedures, and forms. Um, we have five policies and two
077procedures that have been submitted as information items tonight. Uh, Mr. Fulgren will provide a brief overview at this time. Thank you. Most of these this evening are continued statutory updates keeping up from last session. There is one that's not that I wanted to highlight for you. It's policy JCA, student enrollment. This is a proposed change uh and there's an accompanying administrative procedure with it that has more detail, but the big idea is that would allow the children of non-resident staff, so our employees who do not live in Park Hill to enroll their children in Park Hill under some certain conditions. So, we work with Dr. Dylan and Dr. Brutin and the rest of the team on this. Um, it's a new benefit that we'd kind of like to offer our staff and that we think
078is important for recruiting and retention. uh MSBA actually had language that we kind of started with and then we studied what other districts do and uh kind of did a blend of what we think works in Park Hill. So, uh the pol the board policy language change itself is pretty minimal. Most of the details are in the administrative procedure. Um but that is uh one notable item that I wanted to highlight. So, happy to answer questions you have about that or any other ones. Any questions for Mr. Holden? Okay. Uh, the board will be asked to take action on policies 9.1 through 9.5 at the June 26th uh, 2025 regular meeting. Uh, items 9.6 and 9.7 areformational. Thank you. Thank you. All right. We'll now move on to item 10, board member reports and request.
079Uh, board members, do you have any reports or requests? Uh, Miss Bolan? Not tonight. Thank you, Mr. Montas. No, thank you. Uh, Mrs. Woodley. No, thank you. Uh, Mr. John, no. Thank you. Uh, Miss Barnes. Yes. Um, so I do just um like to get um updates on um Line Creek and like our APR, what we're doing going to be doing for for August for the when the school year starts to make sure you know transportation, academics, all the things that we need to do to make sure that um we are improving based on Desi's suggestions and how those are going to be implemented. So, if we could get all that information back um so that we understand what's going to be happening in the fall. Can do that. Thank you. Thank you. Thank you,
080Miss Barnes. Um all right, we'll now um adjourn to close session. So, I'll need a motion and a second to adjourn to close session uh pursuant to chapter 610 section 021 of the revised Missouri statutes. uh for the purpose of discussing matters uh relevant to subsections one legal three and 13 personnel. So moved. Second. All right. Have a a motion from Miss Barnes and a second by Miss Boland uh to adjourn to close session to discuss legal and personnel matters. Uh Miss Freeman, can you call the role? Barnes, yes. Bolan, yes. Mones, yes. Twitter, yes. Todd, yes. Woodley, yes. All right.