001I' like to call the Kenyon City Schools Special School Board meeting to order. It's Thursday, May 29th, 2025 at 4 p.m. Let's begin with the pledge. I pledge algiance 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. Roll call, please. Miss Mary. Mr. Auburn, here. Mr. Alexander. Miss Mary, here. Mr. Miley, here. Mrs. Ry, here. Next is approval of the agenda. Mr. Dr. Hartman, are there any changes this evening? There are there are agenda changes both under 2C3A appointments. There's an addition and then also under 2C3B terminations and leaves, there's an addition. Thank you. Thank you, Mr. Hartman. May I have a motion to approve the agenda as amended? I move we approve the agenda as
002amended. I'll second. I have a motion and a second. Is there further discussion? Hearing none. Roll call, please. Mr. Albright. I Miss Mary. I Mr. Miley. I Mrs. Reer. I We have no awards and kudos this evening. Is there a director that would like to pull an item off the consent agenda for further consideration? Hearing none. Motion to approve the consent agenda. I move that we approve the consent agenda. I'll second. Have a motion and a second. Further discussion hearing? None. Roll call, please. Mr. Aubry. I. Miss Mary. I Mr. Miley I Mrs. Reer I no information items this evening we do have a spectacular budget presentation presented by Miss Heidi Anderson. Thank you so much. I feel like I just did this. Yeah, you did. I did about three weeks ago. So at compass
003committee and um also did it for bargaining. Of course, this is a little bit more detailed, but I am going to go into some of the specifics that I gave before. I'm not sure if everybody heard that before, so I'll go ahead and um just kind of go over the gist of it, but I will try to keep it brief for everyone's sake. So, uh 2526 budget has been a fun and interesting one. Um because, uh the state of school finance was a bit in limbo for quite some time. We didn't actually receive our numbers and run from the state until May. Um, and it was quite late. So, it was about the first second week in May. So, second week of May. So, getting those numbers late um in order to put a large
004budget together can be challenging, but we made it work. So, um, House Bill 1448 is the adoption or is the new SC school finance act that they approved, uh, last year. So, it really is centered around um, at risk and ELLL factors, special education count, calculation of size, cost of living in local, so rural factors. It's great because that really helps us in a lot of ways. So, um, then they came out with House Bill 1320. So why House Bill 1320? Well, um the state was in um a deficit balance of about 1.2 billion which basically was because of the property tax rate. Um the state reset that which caused those revenue projections to fall resulting in that deficit. So and by state statute they cannot operate in a deficit. So they usually pass those
005um those losses or those the deficit on to other entities and K12 education has taken the brunt of that year after year from 2008 up until 2 years ago with the budget stabilization factor. So thankfully that didn't happen, but they were able to go ahead and put forth House Bill 1320 um which uh was changing the averaging. The governor originally wanted it to be just actual pupil count, which was going to hurt a lot of districts and um after quite some time and a lot of um of the right people advocating for K12 education, they came out with House Bill 1320 which passed and it is um on four-year averaging. So that is the compromise. So, it ended up being an increase of 250 million TK12 over 2425 and a per pupil revenue um rate
006increase of on average of $380. And there's a phase in through 203031, which is the transition period for us to actually receive like the the full amount of what we would receive under House Bill 1448. So the implementation of House Bill 1320 um the seven-year phase in so for next year we get a 15% implementation. So these are calculated above the old formula rate the 1994 um school finance act which we've had in place for how many years? 40 years. 40 years. Yeah, that's math. So and a four-year averaging of pupil count. and then in 2627 it'll jump to a 30% implementation and drop to three-year averaging. So that is coming down the pike. We always have to be aware of what's in future years. Um so averaging will move from four to three only
007if the formula is implemented at the full 30%. If it isn't then fouryear averaging will stay in place. 2728 uh 45% implementation of the new formula. Three-year averaging from for this year and every year thereafter. If the balance of the state education fund falls below $200 million with three-year averaging, then the formula moves to the smoothing factor. Smoothing factor is the same as kind of declining enrollment factor. So 28 29 60% 2930 75% 30 31 90% but the catch JBC joint uh budget committee can suspend the transition period for specified conditions and will not progress until satisfied. So in any economic downturn situation they could stop the progress of this implementation. So, we will still be on the new school finance formula, but um depending on where like what the economic state is in Colorado
008will then depend on the actual percentage of imple uh implementation that we'll receive plus um on top of that what the averaging will be whether we're looking at four or three years. So interesting. And I think every spring, Adam and I talked about this before. I think every spring we're always going to have to be fighting for more money for K12. So, so what does this mean for us? Um, it actually was good news. So, the new formula on the 4-year averaging 15% implementation meant new money of $556,322. Had they gone with the old formula, which was a consideration, we would have only had $90,894 to work with for 2526. So, since I've been here, this is the lowest amount that we've received in order to fund the following year by far. So, um, our
009general fund revenues, um, local is right around 31%. um state um is close to 60% a very tiny chunk is federal revenue and then um transfer allocations it is shown as like a credit because that is the amount that we transfer to other funds in order to make them whole. our general fund expenditures by program. Um, of course, we are mostly instructional services 56% and then the another the other big guy after that is maintenance and operations. Scott and I were walking in together, he said that he is the big spender these days and he's right. And then by object, so we have 81% salaries and benefits. So, and that is it's always around 80 81%. So, and then the rest of it, um, you can see the breakdown there. So, declining enrollment, you can
010see I like to look at this sheet. I've I've always, um, thought this was pretty helpful because you could see where we were in 1718. Um, we had that pupil count was 3,577.5. That would be glorious today. Um and you can see from 2122 all the way to 25 26 of course dropping off a year of averaging which hurts us um and going down to a 5-year average funded pupil count of 3,18. So the change in those five years is uh 462.6 less pupils that we are funded. So, um, and then down below is the amount that the charter actually receives based on their estimated pupil count of 250. So, um, the incremental change and I mentioned it's like $556,000 in new money. We do have $123,000 of that going to the charter school. So,
011really what it means for the district is about 433,000 that we have to work with for next year. So, one other thing um that I've brought up before, but I'll just touch base on this. The prior period adjustment in 2324. Um so, the district auditors completed this to bring property tax acrruals from how they've been calculated historically to the industry standard. So for as far back as they go, um we've only received the July property tax payment and accured that back into the prior fiscal year. And that's really not accurate because how property taxes are dispersed from the county is not consistent with our fiscal year. And it's important to recognize the correct amount we receive for each fiscal year within that year. So um this isn't additional money. It's just a change in recognition
012which did result in an increase to beginning fund balance of $827,238 42324. So, what that really looks like here is um this is straight from the most recent um audit that we had from last December. And um we have basically uh an increase in the beginning fund balance which started then at 9.9 million and then an ending fund balance of 9.8 million. So, it's sitting at about 25.4% 4% and 91 days of um expenditures covered by that fund balance. Year-over-year change is a drop of 3.62%. So your fund balance is the percentage of your overall expenditures. That's what that is. So then um hold on. Okay. budget uh development assumptions. So the inflation rate with for this state 2.3%. And then the new funding formula 15% phase in four year averaging. Our uh October count
0133,38.5 was on the run. So that's an increase of 20 over the revised budget from 2425. And then four-year averaging funded pupil count 3,108.1. It's a decrease of 94.5 pupils but 11,501 um for the per pupil funding an increase of $493 and then that total program funding which is a mix of state and local 35,745 increase of 556,000 like I mentioned before. Um, the new part of this that wasn't I hadn't presented before because it was in the latest run is what they have for the net assess valuation which was an increase of $73 million over what it was before and I believe it was a reassessment year. So I hadn't really I hadn't seen that yet. It is. Um, so what that really means like it doesn't change our total program funding. It just
014changes the percentage of local to state. So, um the rest there is our property tax milly components. Of course, we've got general fund, abatement, bond, and our override. Um par didn't change. Medicare is not going to change. Minimum wage um is going up based on inflation. It's at 1515. So based on that new inet assessed valuation you can see that our g gross debt capacity increased to 82 million. Um right now our general obligation principal outstanding at year end is 47 million459. Additional um debt that we have are the parking lot um and Schneider Electric projects of 7.9. And so our remaining debt capacity 26,683 that's an increase of 16 million over 2425 based on that um assessed valuation alone. So we're not going to use it but it's there. Yeah, I know. So these
015are the budget requests for this year that we were facing. Um lot of increases. We did do a good job with the decreases though so that we could make it work. So um funding elementary counselors that were previously funded through the SEAL grant that actually ended um and so we had to bring three counselors over to general fund at approximately $300,000. That's salary benefits out the door. Um, a 16 and 12% increase in health insurance, but I forgot to change that number. We went with the PO9 plan, which ended up being just a 6% increase in um, health insurance. This PO7 plan is what we've given the past few years, but doing so and remaining on that level would have been the 16.5% to the tune of over $600,000 and that really wasn't affordable for
016us this year. So, um, we opted to go with the PP9 plan. There was a health insurance committee put together a recommendation and then the PO9 was actually passed in bargaining. Um, so that cost $228,000 funding two SRO positions previously 50% funded funded through ESSER. So I did have 50% in general fund in 2425. So it's just an increase of $135,000. Um 59,000 for SIDS SIP. That's our liability and property insurance. um $10,000 increase in workers compensation and then bargaining outcomes. Um what came from that were a change in salary schedules for counselors adding two rows Jamie for the um two for the well one row up to three more um of employees on the certified schedule that were maxed out. um game management. Um just paying our classified staff their hourly rate rather than
017doing the averaging which makes it complex for um payroll and everybody and for them actually having more transparency on their hourly rate. And then just a small amount for lunches that was negotiated and classified giving all of all staff on their birthday get a lunch at the school. So $59,400 total and then an estimated Black Hills energy increase of 81,000. So total $872,400. Well, I told you we had 433,000 in new money to work with for the district. And then we're facing that. So uh I worked a lot with Jamie um and she I give her the credit of this. She did she did a great job not just what she has to do for the allocations every year but also just being in constant communication with me and putting a dollar amount to it.
018So that reduction of personnel um between central office and building 575,000 and then we cut about $300,000 from building and department discretionary budgets. Thanks guys. Appreciate your cooperation there. especially Zamaripa on the 11th hour there. Just Yeah. Um and then an rate increase reimbursement. This is just what we had used before and Dan actually got us a little more money than what we had anticipated even there. So um 98,000. So actually we ended ended up in the good of about $35,600. So what does this mean on the fund balance side? Well, I'm going to go through the 25 26, but just look in that change in fund balance. So, from 22 to 20 23 to fiscal year 24, a drop of one and a half to fiscal year 25, a drop of almost three. And
019then that's budgeted. It's not actual. We're not done yet. And then um the proposed I'm proposing another drop of about one and a half So, let me switch over to the actual budget. Try to get this all on one screen for you guys. So, this does not work to put in a presentation and it's pretty small. So, this is what general fund is looking like. Um, so with this is just the summary tab. you all have a copy of this and feel free to ask questions as we go along. But total revenue um 38,845,000 and then total expenses 39,661. Um and then expenditures per pupil 13,53. I do like to look at this because it's a difference of$,52 from per pupil funding. We're receiving $11,51 per pupil and our estimated cost per pupil is $13,53.
020So I am projecting deficit spending of 8:15 870 and I know in bargaining which is really early to be able to do the the budget projections because you don't have all the factors you don't have all the known I had met with half the departments and most of the buildings and uh hadn't had a run of numbers from CDE. I hadn't combed through every single account yet. Um, and so once I did and got the numbers as accurate as I could get them for the funding that's known, there will be unknowns that come along that could increase. and for building a budget that's tight but still has enough wiggle room for when things arise. Um it's an additional $155,000 over what we were anticipating uh deficit spending for 2425. It's putting our fund balance ending
021at $8 million $8139 and that is actually still about 21%. 20 and a half. So, I'm still comfortable with that. Of course, you know, the June run of the budget is kind of a worst case scenario, and I'm hoping that this is the worst case scenario. And once we reach midyear budget, there's a true up from uh student count and funding and we'll have um you know, revenues that we can go off of that are more accurate and a true number of what our FTE cost is when everybody's in positions and placed. and that's when we make those adjustments. But for now, this is where we're sitting. So, like as far as local revenues, you know, property taxes higher by 589,000. Um, and then as far as like overall local revenues, we have we had
022a good increase of 847,000. But the state is really where we get hit. And I always find this interesting because they kind of flip-flop at midyear budget at the true up um when we get the last run from the state in January. It seems like we're always receiving less in property taxes and more in state equalization. But um a big one that dropped off is that $569,000 that was our small small and large rural funding. So we are no longer receiving that. And the reason why is because it's baked into the formula. It's the localal factor. So, but it's definitely coming off and year-over-year that's what it's looking like. The other state revenue is a also a pretty big drop and I was just conservative there. I do budget the revenue and expense for the
023nonpara um employer that the auditors come up with. They come up with an algorithm from PAR on that that we actually have like a revenue and expense that offset. So I was just budgeting conservative because what how it came in last year. So that's really the chunk of change that's in there. Federal is always like minimal 160. Um I did change a little bit on charter school allocation. So before I was just allocating the net um amount that's due and as you guys know for charter schools we actually per the contract uh we we retain an amount for business services and IT and special education. So instead I put all of that in our other local revenues and then I'm budgeting the the full allocation the expense to them. So I think this is a
024truer recognition and the auditors appreciate that. So that's why you see that difference of 227,763 going to them, but it's actually only new money to them of 133 like I mentioned before. Um I'm not going to allocate anything over to capital reserve this year. I'm going to use the fund balance. And the reason why is um we do have a decent fund balance in capital reserve right now. And um it's just a way for us to be able to save to keep afloat this year. And I'm hoping that next year things change and then we'll be able to go ahead and allocate that over to capital reserve and build that fund balance back up a little bit. And then of course our activities fund which is um that one always takes a chunk of change.
025So it's right around $900,000. So then in expenses um oh this actually didn't go through all the expenses but you guys have all of those in your um packet. So let me just go through them. You can I won't go through all of it because this is pretty big, but um this is going to go through instruction um special education, career and technical um co-curricular education and gate. Um and then student support services, instructional staff support services, general administration, school administration, business services, maintenance and operations, transportation, central services, and community services. So, it's all of those categories. These are all different tabs within the budget. So, it's broken down when I do it by our 4,000 codes that we have. It's broken down by um by the category as well as the program code to
026determine okay what is the true increase in salaries and benefits based on the people who are coded there. That's how we can get really accurate on knowing what the steps are, who actually takes insurance and we get that granular to figure out that total especially for salaries and benefits since that's 81% of our expenditures. So feel free to go through these on your own. I won't bore everybody with the details on this, but if you have questions on any of these, please let me know. So then on um fund 19 or I'll just stop. Do are there any questions on general fund? It's a beast and there's a lot there. I have a quick question. So part of the savings this year was because we didn't implement an an elementary math curriculum. Are we going
027to have the money to do that in the future? Well, we're hoping. Yeah. I mean, it's just a matter of like in the future we'll have to prioritize that and budget for it. So obviously we need to stop the bleeding a bit and hopefully if they do next year have a 30% implementation of the school finance formula that will significantly help. Um as well as if they if they maintain the four-year averaging that'd be great but I'm a little nervous about that three-year. We are leveling out though so I don't anticipate it being a big hit but it's still a hit. So my next question then is those reductions in fund balance they are year after year. So the only thing that'll stop the bleed is really the implementation 30% of the formula. So do
028we have sort of a backup plan if that doesn't happen? Cuts. Cuts. More cuts. Okay. Thank you. Yeah. I mean there's potential for cuts to programs. There's potential increase of class sizes that could result in a decrease in the total number of teachers that we could probably handle some of that through attrition and there's also the possibility of freezing. I mean these are the ways that schools have to react to that. What we seek is adequacy from the state level. You see the percentage of the balance or the budget that actually comes from the state and you've seen some of their struggles to actually launch 1448 in year one. So hopefully 1320 is honored. um that gets to adequacy and that 30% in the seven-year roll out and maintaining the four if we're so lucky
029that revenue increase will offset our expenses that have led to deficit spending now for a number of years. So those are good questions but even the question and forgive me Heidi because I'm jumping in to answer no one appreciate it those very much are conversations just like Heidi's educated us in the past about a budget being a living brea breathing and kind of everchanging thing that ever changing aspect of the springtime is that the approval of the school finance act absolutely impacts our ability to do things like that. So our greatest hope would certainly be yes and I'm actually rather optimistic. time. Um, I don't know. You'd think I'd learned my lesson after watching the fight every spring, but I'm going to hold out faith that they're going to honor this thing and that we're
030going to see a a nice increase next year. Well, if you keep going to the capital and testifying, we're going to be fine. I mentioned to you that I was asked to join for the signing on that one. I didn't go, but um, yeah, people need to be doing that. Yeah. Thank you. Okay. So, any other questions or do you guys want me to move on? Okay. Okay. So, um let me scroll down to where I just was. So, uh fun 19 is the old the Colorado preschool program. It's gone. Had the tiniest little fund balance in here. and I really wanted it gone this year, but um with Dorothy not really knowing, you know, our director there not knowing where all of her grant funds are coming from, which actually helps support that program
031quite a bit. Um having this little bit in reserve is really had has been nice for her for additional expenses. So we went ahead and kept that. It has to be spent in 2526. So this is the last year of this small fund and it will be gone. So unless they cancel UPK and then it's coming back. So then uh food service. Um this one I worked with Anna on and she did a nice job with it. It it got very detailed and so we're anticipating just a little bit less in revenue. um and being conservative though and then on expenses. So because the amount that we receive has not really kept up with the amount of uh pay increases that we have given over the past 3 years. um we do have a deficit
032spend in this account or this fund and that's because um the cost of the salaries and benefits just increases um year after year without it being able to sustain with the revenues. So uh I do not have to do a transfer or allocation from general fund because we do have a healthy fund balance. Um we are spending that down a little bit more down to $715,000. uh this is something that uh if if you get too high in your fund balance, you have to have a spend down plan with the state. We do not have that. So, we need to start being a little more conservative in food service going forward because I don't want to see this fund balance drop much more. And healthy meals for all, who knows what's going to happen there,
033too. So, those funds might be changing. um grants. You know, I still don't have the the uh ESA allocations for next year. I have not received those June. And I heard this morning that one district received a 14% cut on title funding through the preliminary allocation. So, okayelves, usually I have that in May. So, we just didn't have it at all. So, I budgeted to be the same as I was last year. That's what I was advised to do. So grants are really our best guess. It's what we know, what we have, um, and what we anticipate having. So budgeting, you know, local revenues, um, and what we anticipate from state and then the federal just breaks it down into all of those. Um, of course, ESSER is gone now, but it's still on here
034because it has history and we have to show that three-year history. So, um, this one is just basically what comes in and what goes out of Harry's a zero fund balance and it's all estimated. I will highlight for the board just a little bit regarding the title funding. So, title is obviously federal dollars. It's one that we've discussed a lot as to whether or not the congressionally directed spending would actually go to the states and then go to the schools. It is coming. The comment that I just made is around whether or not we'd see a cut to our allocation year-over-year. We see some vacasillation in that. The most I've ever seen. One year I saw a 10% cut a drop in there, even though the school size and the needs of our kids were
035largely the same. That's just how much money is actually available at that federal level. So, in me mentioning that I heard about another district getting winded on the idea that there's a cut on that. Um, what that means isn't This gets into budget philosophy isn't so much that the programs that are funded through title because that's what you when I say title, you're thinking now about programs for needy young children. That's just the way that most people think about title because they're thinking about title one. It doesn't necessarily mean that the program goes away. It means that we'll have less money to actually keep up with the funding of that program in its totality from that funding source. And we've already been at a point where we've had rising compensation and either stable or declining
036amount of revenue through the federal dollars. We've already been tapping out all of the title dollars. Years ago, we were able to do more with parent engagement dollars. We were able to do more with classroom materials for our teachers. But no, it's people. So, we're really talking about people. And that's why this kind of paused and slowed down the presentation just a little bit because there's 20 some odd people. And I've already had Jeremy, our business manager, run all the salary and benefit for next year. So I can see the full kitten kaboodleoodle of what we're intending to pay out of 4010, which is title one. And now we're waiting for that midJune number to figure out what it actually shows up in 4010, which is title one. The other one that matters and would
037have implication is title two because that's the development of the professional. So again, if the dollars aren't there on the feds, then that conversation becomes, well then where are those dollars coming from, right? And so and we're queued up for staff for next year. So this is the way in which sometimes either federal or state and these sort of delays really put schools in an untenable position because we we're staffing up. We know what we're intending to do for our kids. Right now we got to wait to see how we're going to pay for some of it. So in the meantime, there's about 15 people in the room. Let's all cross our fingers and hope for no cuts to the title funding. Okay. Absolutely. Another thing is they um there are several grants that didn't
038allow carryovers. So the carryovers have been something that has helped us in the past. So without that um we we have to spend it this year or um if we don't we don't return the money but they reduce our funding amount next year by the amount that we have not spent. So, tomorrow all day I'm going to be doing grant billing because I really want to see exactly where we're at before the last month of the fiscal year. And on top of that, um if I get all all of it in before June 1st, then I'll receive those funds by the end of June and it's just less on our balance sheet for the next fiscal. Yeah. So, and then um the pupil activity fund. This is one that just does not self sustain, no
039local revenue. Um, it just sits around $160,000 and the allocation from the general fund is is really all that makes it survive. So, you can see the expenses there are a million and we receive about $167,000 in funding towards this program. So, um, this one keeps getting more expensive every year. I tried real hard to keep it as tight as I possibly could this year. Um, but there it just seems like there's always things that come up with this one. Um, and so then clubs and organizations, we are um just the custodian of these funds. These this money doesn't actually belong to us. Belongs to the clubs and organizations. it's really hard to budget for it. So, you just budget revenue coming in and expenses going out and we approve that appropriation um just so
040that it can flow through um our funds, our accounts. And then uh bond redemption fund. So, uh you'll notice here, you know, local property taxes, we collect this, we have some interest income as well. Um, and then the total payment that we'll have is about just under three and a half million. Um, it is a surplus of about $475,000 from what we actually have to pay on this debt service. Um, and there's some strategy here because you need to be able to have enough in your um bank account balance really your and to pay for the bonds that are due, the interest and the principal payments. So I I paid that I paid the interest payment today. It's due June 1st. So and then that's just half the payment. So if we didn't receive funding
041for any reason or if there was a delay, I still have to make that principal and interest payment in December. And with the 2024, that's a big hefty amount to be able to pay. So having that bank account balance is is really important. So having that collection there, that over amount of 474,000 right now is a necessity for where we sit in the bond fund because in order for us to pass 2024, we did pay off a bond early that cost us about $600,000. So I'm trying to replenish that. So then uh building fund, I received these numbers actually from Whimber. So um we are proposing to have um 20 million really at the beginning fund balance from what was actually spent versus what was budgeted in 2425. I went with that actual because it
042made sense rather than what we anticipated the ending fund balance being of last year. That's why you see that mismatch at the very bottom of 2425 and then what it is at 2526. Um, and then local revenue that is I I cut that um just being conservative because I'm drawing down what we actually have in Cafe for um the bond in order to make payments and last week alone it was 3.8 million to none. So as that decreases so does our interest income. So I'm being conservative there. And then the state revenue is the best funds that we receive. That's their match. And then um most of that of course are is going to be that equipment. So 25 million next year. So spending down this by $14 million and with an estimated amount for
0432627 of 6 million. So it's going to be a big year for this fund. And Scott, he's going to spend all the money. So, and then capital reserve. So, you can see here our fund balance was just like 1.2 million. Um, and then what we have for um local revenue. So, I do have a really nice um bank account balance here. And I have underestimated the revenue in capital reserve for a while. So, I did put that at 575 based on what we're receiving this year. Um, and then as far as what we're spending out of here, there's a small amount for professional services that I put in there, but really it's um equipment, that is the housing project that we're anticipating. Oh, wait. Um, I do have the interest and then I also have
044proceeds from the sale of Steinmeire. hopefully in that local revenue which makes more sense to me. Sorry about that. So, um it I'm hoping that does sell in 2526 probably will. And so having those revenues then will help offset that expense for the employee housing project. And then the other objects and other uses, those are our principal and interest payments for Schneider Electric and the um parking lots. So it's less than last year by about $156,000. And the reason why is for um Schneider Electric, we had those funds held at Zion Bank in escrow and it accured interest over the life that would it was in escrow. And so that was about $156,000. And per the contract and agreement that we had with Pinnacle Public Finance on that, they actually take that amount and apply
045it towards future payments. So, it saved us $156,000 in payments, which is great. So, that's why there's that change. Spending down by about $438,000 and still having $762,000 in fund balance and capital reserve. And then scholarship fund. It's it's one of those we just budget revenue and expense. Um, we have the knowns and unknowns. With the knowns, it's about 25,000. And then we occasionally get some local donations that could change that. And then we have our component units. The, uh, Fremont schools facility core. Um, local revenue is really just interest earned. Um, and then we budget for, um, the necessary supplies and, um, services that go through this account. And since it has the Dolly Parton Imagination Library, it has more activity I think than it's ever seen or has for a while. And then
046uh the Kenyon City Educational Organization for Excellence. I put this in in 2425. So it's now a component unit going forward. And again, just budgeting what we anticipate income, our revenue, and expenditures to be. We do have the amount of money that we received as a donation from the dissolution of home by ed organization. So not sure what we're going to be doing with that next year, but I did budget to deficit spend or spend some of that to the tune of $95,000. So and then these super fund pages um are by state statute. You have to receive those. Those are the uniform budget summary. Um this is actually what our auditors use um for the audit. Um, and it just breaks it all down. Everything that I just went over with you is on
047these three pages as well. So down here on the bottom where you see all the yeses, those mean that I'm spending beginning fund balance. The nos I'm not. So you can see there's there's a lot of yeses. So um, and there will be uh resolutions that will need to be passed. Um, but that won't be until June and that's to for the appropriation and the use of beginning fund balance. So, and if we have any other changes that come our way in June, then we'll address those then. So, all right, that's what I got. Any questions? Um, I did have one question helping to understand something. So, when our property values are reassessed and they go up, and the dollars go up, how do they how do they set up the per pupil funding cost
048as opposed to I mean so that we the state back feels less. So how does that how what's the determination factor on how much we get if I'm making sense in the question? The determination factor on what we get is actually not determined by that. Um the amount that they're going to give per pupil is is basically going to be based on the new school finance act. What the local property taxes do is they calculate what we're receiving in local property taxes and then the state backfills with the state equalization which is why they call it the equalization. So, and that total the local and state share equals the total program and that is our averaged funded pupil count times the per pupil funding equals that same number. So, those are what they determine. Um
049well, the the funded pupil count is based on averaging. It's also based on our student count. So, that's determined there. And then the amount that we receive is determined by the state. Okay. Yeah. And I I guess I was curious about that because I know that different school districts have different per pupil funding significantly. Oh yeah. So you've got some highs and some lows and some mids and just curious about that. So thank you. Well, and there's even districts in the state with so much property wealth the state doesn't have to backfill like Aspen. Aspen. Yeah. Street Creek's pretty close, too. Yeah. Wow. Yeah. Any other questions you guys? Well done, Heidi. Oh, thank you. Well done. Thank you for all your work on this. Any other questions? All righty. Next is the board members
050report. What have you all been up to? Um I can start. Um we've finished up teacher appreciation at Harrison and the grounds and transportation and the warehouse. Um, and I also wanted to thank Scott and his team for putting up all the signs all on all the buildings in a very busy time, but thank you for taking care of all that. Um, met with the new teachers and their support um, their mentors during their end of year celebration. That was always fun to see how their years went. That was exciting. Um, Molly and I got to judge this the bike parade at CES and that was a good time. and I'm not sure I knew what I was doing, but I had a good time. Um, also went to the Adventurers musical. They did the
051Gr the Granny Awards. Um, and it was really good. Christine Hartman, Crystal Saffold, and Nikki Lockach do a really good job putting on a musical. Um, I don't know how often they do that, but I know this isn't the first time, but I was very impressed. It was a good time. Um, of course, we all went to graduation. That was great. And um I went to um the substitute teacher breakfast. Several of us were at that to to see our substitute teachers and talk to them about their experience. And um we also had a meeting um like a committee meeting to talk about teacher appreciation this year and how it went and what we can do to see how to improve that. So that was really good to have that too. I think that's it.
052I'll probably remember more as you talk. I'll kick in a couple. Graduation was obviously one of them. The gateway graduation was another one. Also kind of a nice drive there with three board members and and Adam doing the driving duties. That was nice. And dinner afterwards. Thank you very much. Um that was kind of good to see. There was a a student I had one of my last years teaching 8th grade that was that was there that uh I I guess the best way to say it is never really kind of fit in. So it was good to see that she stuck with it. She found a way to to to get through and graduate. So that was it was kind of nice that I knew one of them from prior experience I guess I'd
053say. Um, also did something, not sure why I did it because I knew what to expect and that was I went to Harrison on the last day of school and just kind of walked around and again I was a teacher long enough to know the last day of school is is bedum with no intended consequences or outcomes or out the door type of thing. And and it hadn't changed. So, good to see I guess. Um, yeah, a lot of the same high school graduation, Gateway graduation. Um, and it was pretty neat to see, uh, our own Canyon City was the one who, um, got to lead the pledge of allegiance at the PCC Gateway, statewide gateway program. Um, and not only that, but she graduated with 60 plus high college credits. Um, which is just
054mind-blowing to me. So, huge kudos to them. Um, the things that Todd mentioned, the bike parade and and the uh substitute breakfast was really fun and I really appreciate you doing that, Jamie and and Miles because it really shows our appreciation for our subs. um been working on the exploring the schoolboard um presentation which has been fun and thank you Kristen for help with that. I also want to mention seeing online and I want to go up there but I don't want to get in the way the photos of what's going on at CES. Boom. It's it's like just like that just it's like the interior is gone. So, it's going to be really exciting to see how that comes together. Thank you everyone. All right. Re request to address the board of education. I
055think I know the answer to this. Is there anyone? Miss Solano. Thank you, Mr. Hartman. Superintendence report. Thank you. Um, typically with this I just report out kind of what we've been doing, but I do want to spend a little bit of time having just watched this budget presentation just to thank you again, Heidi, for your work. You came into this work with a background obviously in accounting but not experienced with school finance and what you talked about tonight was very specific to the world of work that is around education and the precision that you do it just how fluently you spoke and I I'd really like to see a snapshot of each year of that to just see your own evolution in that because your competence and your confidence has grown every single year
056and this is part of why I'm very nervous about a change in the CFO and we'll talk about that. But first, what needs to be said is thank you. I feel like your collaborative work, the support of the departments, the way that you directors have actually supported a call that has come out of business services to be thinking about tightening the belt to be thinking about areas where we can spend less. There's been a really nice collab collaborative work here done on that financial side and you've been leading that and leading it really well. So, thank you very much. Um, we're happy that you're here right now and we recognize that you we wish you nothing but the best if you heard me say it before. Um, but thanks. Y um and that is part
057of my report too. Um, you'll know and the public is great and it's fine with everyone to hear. Um, we had posted originally the position to run through Friday of last week. Not feeling like we had the number of candidates that we'd like to see before moving forward into an actual interview phase, we've decided to keep that position open. Um, you should know and everyone should know. I mean, there's a lot that rides on the the financial health of the district that I have already begun looking at other possible what might be and what we may have to do should we not be able to find the next great Heidi Anderson type quality of person. But right now, um, we are still hoping that we will get to see that number of applicants come in
058and the quality of candidate go up too. But that's and I'll include this in your board report that you will get one be again this week and then I'll go into the every two week after that. And then the last thing that I really wanted to share is just some excitement around some work that is taking place um here in the district. It was wild to me that quite literally students were on campuses as of Thursday last week and we really don't skip a beat. there's not a lot of time to just breathe and and maybe I should say we've created a culture where people are just very invested in keeping going and we started this week with some executive support from the outside. This is support from the center for model schools that's now
059going by the name of the center. Um this is we are now receiving the type of support with the implementation of the strategic plan that I had hoped that we would have received all along and I feel really good about what transpired here as a leadership team with second year meaning year two building level implementation that is getting into the actual school level. So we were together as a large group and then Dr. Heather Davis Schmidt who's been here from Montana. She'll be returning again next week on dates of the 3rd and fourth and then again the following week the weeks of the 10th and 11th are helping our leadership teams in the schools really identify through root cause root cause analysis which some of you are familiar with that idea but if this then
060that or if not this then that happens to address what we think are our greatest hurdles for making the strat plant live and breathe even greater at the buildings and I'm pumped about her work with them I think that we've got a really just right fit just right now and My initial feedback that I'm getting from the first two buildings that did a half day a piece with her is that it was high value. So that's it for the superintendent's report. Um you won't have as many board meetings this summer. Um and I'm going to throttle back a little bit on the cadence with which I communicate through board notes for all of you. That'll go to every two weeks. So we'll feel a little bit in a little bit more of a dormant kind
061of period. But um that's it for as of today. Thank you, Mr. Hart. Yeah, my pleasure. Right. All right, we have a little bit of policy work this evening. File KF, Community Use of School Facilities, presented to the board for first reading and first vote. It's an update from Director of Operations Scott Morton, incorporating technical revisions and guidelines for prioritizing operational repairs. May I have a motion, please? I move we approve file KF, community use of school facilities. Second. I have a motion and a second. Is there further discussion? Hearing none. Roll call, please. Mr. Aubrey, I. Mr. Alexander, I. Miss Mary, I. Mr. Miley, I. Mrs. Rea. Hi. Next, we have file KF-R. Community use of school facilities presented to the board for first reading and first vote. Update from Director of Operation Scott
062Morton, incorporating technical revisions and guidelines for prioritizing operational repairs. May I have a motion, please? I move we approve file KFR, community use of school facilities. I'll second. I have a motion and a second. Further discussion hearing? None. Roll call, please. Mr. Aubrey, I. Mr. Alexander, I miss Mary. I. Mr. Miley. I We have no old, new, or miscellaneous. So, with no further business before the board, we're adjourned.