Nottoway School Board - Work Session

001Nobody. Everyone, uh, this meeting is being recorded live uh, on YouTube. This is the Monday, March 2nd, 2026 joint board work session. Nawway County School Board, Nawway County Board of Supervisors. Uh, the school board calls the meeting to order. This will be the joint Nawway County Board Supervisor Nway County School Board meeting. Supervisors call this meeting to order. All right. We shall have a moment of silence followed by prayer if you so choose and then if you are able, please stand for our pledge of allegiance. Let us pray. Heavenly Father, we thank you tonight for our school board and our staff. We thank you tonight for our NY County Board of Supervisors and their staff for coming with us tonight and sharing with us as we work on this work session as we deal with

002the various issues that are facing our school division and our county. We thank you just for allowing us to make it through a busy day. Thank you for allowing us to get here safely. Pray that you will guide the speakers tonight. Guide the staff. Guide both boards. Guide Lord the media that are here tonight. Thank you for the media that is coming to cover this as well. We thank you just for your wisdom, for your mercy, and for the opportunity to be able to be here to make these decisions as we go forward. In the mighty name of Jesus, we pray. Amen. Amen. I aliance to the flag of the United States of America and the republic for which one nation under God indivisible with liberty and justice for all. >> All right. Uh do

003we have a motion to approve tonight's agenda? >> So move second. Any discussion? All in favor? I >> All right. We shall begin our work session with the 2627 budget. >> Mr. Chairman, members of the board. So tonight, um I have the pleasure to share with you our proposed budget and our capital improvement needs for this upcoming school year. So um our budget is kind of twofold. uh we'll have the data and we'll have the figures for you, but we'll also have the reasons why behind what we have in the budget to help give you some perspective and some understanding with that. Um so I'm going to I'm not normally on this side right here presenting. So I'm a little out of sorts over here. So Dr. Lewis is going to help me out with

004the why. So, as we begin tonight's work session regarding the NCPS fiscal year 27 budget, I want to pause before we talk about any numbers about charts about percentages or the required effort for this uh county because this is not first about a budget. It's about children. Over the past year, this division has made measurable undeniable progress. All six of our schools are fully accredited. Nawway High School is recognized as a distinguished high school and carries community school designation. Our primary and our intermediate schools as well as the middle school are showing significant gains. We are fully staffed with dedicated professionals. That progress does not happen by accident. It happened because a community chose to invest in the school division. But progress is not the finish line for us. It is the responsibility. Tonight, we're

005not presenting you with a wish list. We're not presenting an expansion. We are not presenting any luxuries. We are presenting a needs-based budget that has been examined line by line. A budget built around the required local effort and the required local match only. A budget designed to maximize every available state and federal dollar available to us. A budget that ensures we do not leave larger dollars on the table because we failed to provide the minimum required investment to the students of Nawway County. This budget funds prevention, not reaction. It funds you now. It funds a 4-year-old in prek who walks into kindergarten already knowing letters and sounds instead of already being behind. It funds a kindergartener who can blend words because a teacher took the time to kneel beside them. It funds a struggling third

006grader who receives reading intervention before frustration turns into disengagement. It funds the middle school student who enters algebra 1 prepared, not defeated. It funds the student with disabilities who require additional support beyond the minimum. It funds a firefighter student who recently passed firefighter 1, earning an industry credential while still in high school, preparing to serve this very community. It funds the athlete who wears not across their chest with pride. It funds the bus driver who greets students every day between 6:00 and 6:30 a.m. The custodian who ensures buildings are clean and safe. The maintenance team who keeps HVAC systems running so instruction is not disrupted. The cafeteria worker who knows every student by name. The instructional assistant who works quietly beside a child. The teacher who stays late. The administrator who carries the weight of

007difficult decisions. Our students deserve the best we can provide. Not because it's convenient, but because it's right. Public education is the single largest economic development engine in Ottawa County. When families consider moving here, they ask about schools. When businesses consider investing here, they ask about workforce readiness. When property values rise, it is tied to the strength of our schools. When students graduate with credentials, whether it's the firefighter certification, a dual enrollment credit, or any other industry certification, that strengthens the tax base in the future workforce. Failing to fund those required match dollars does not save us really any money. It forfeits the larger state and federal investments. It defers the cost into remediation down the road, dropout recovery, social services, and then long-term economic strain on the county. We have examined every single need that

008you will see before you this evening. We have tightened anything we possibly can where possible in our budget. We have aligned expenditures to what the priorities are of the school division. So we are asking for what's required from the county and really nothing more. This moment is really about the partnership between the county, the board of supervisors, the community, the school board. It's about recognizing that the success we are seeing is fragile unless we sustain it. And it's about choosing to protect the early literacy, the small class sizes, the intervention services, the competitive salaries, the safe facilities, and ultimately providing student opportunities. And I know y'all have all heard me say before, we are not away. And we are committed to excellence. So we're asking for that commitment to excellence because we're funding our schools

009and not just funding a system. We're actually funding the future of Nawway. So we'll start that then you flip to the next one. And I hit on this briefly but the progress of where our schools are. So as I said all six of our schools are fully accredited in the county. We are extremely proud of where they are and the work that they have made. Um the high school is a distinguished high school and also the designated community school status. CPS is on track with their accountability measures. EPS, NIS, and NMS have showed significant progress. And I am really proud to say that we are still fully staffed with dedicated staff to the school division. Just not people that show up, but people that truly want to be here each day. So then the state

010says this report comes out and I believe the board of supervisors has received this report um that says that in fiscal year 2025 it says that not was funded at 140.84%. Okay. Well, that's not exactly right. Um and so Heather and I kind of want to go into that. So yes, that is what it says we are funded at, but that's also including information from the annual school report. The annual school report is due prior to the audit. When it comes out, when the audit comes out, it tells us that there are certain things that must be acred back to the previous year. That report that you're seeing is 100% based off of the annual school report that we receive. It also includes any carryover funds that the school division has encumbered through expenditures. So,

011it's really important to note that that fund that you're seeing at 140% is really not 140%. It also does include the required local match. And I'm going to talk a little bit about that in uh more in a little bit. So, then ultimately anybody that looks at that report is going to come out and say, I'm confused. Then this report's coming out saying 140.84%. So, what's making up that other 40%. Um, so I'm going to let Heather talk about that part. >> Yeah. So, the annual school report, as she says, is due September 15th of every year. We haven't even come close to even finishing up audit reports with the county. Um, so anything that should have been acred back to a prior year was not because we haven't finalized that acrual list yet with

012the auditors. Um, so the annual school report while VDO VDOE uses it to ensure that counties have provided what they're required because they've got to provide this report to the general assembly I believe by the end of October and Jason Nudo with the auditor with um Robinson Farmer Cox and I've had this conversation multiple years and most of the state auditor auditors actually would love to have this report not due until December. That way it is much more accurate because it would then match the actual report that the auditors provide to the state. Um so it is off. It is not cut and dry. Um I will say within the annual school report they do not give us a very good way to account for carryover funds. Um this is actually something that the current

013superintendent of budget and finance is working on. Um, one of the things that they are striving to do is actually to go to a centralized accounting system for K12 schools so that every school division uses the same account codes, the same revenue codes. It's more standard across the board. Um, so that one they can also ensure that what information they are getting out of the annual school report is much more accurate. So it is definitely not as cut and dry as what it it says. Um, so I know it said that in there was like $9.6 million is what they started with. Um, 5.9 of that was the required local effort and required local match. We had almost $3 million in carryover which is technically factored into that $9 million. Um, but there again that

014was carryover in state funds and the annual school report does not give us a good way to actually code that as carryover state funds. it just throws all these carryover funds regardless of whether they're federal, state, local, whatever, into this pot. Um, and then there were also $586,000 in um, acrual funds that are part of that. So, it is not 100% cut and dry. Now, I will say we um, with the blessing of the auditors kind of changed some of the ways that we have doing our accounting on our side. So come July and August, we're operating out of two fiscal years um so that our approval process is much more accurate going into the annual school report and we can get more accurate numbers and I have worked with the auditors on that process.

015We actually did that this past summer. We will continue to do that next year. Um and it will give us a lot more accurate data to be able to put into the annual school report this month. Um, yes. >> Can I ask you a quick uh question just so I can clarify in my mind the uh you said technically that the 3 million in carryover is in that 9 million. Is that number excuse? Should it be is it is that going to push that number to 12 million or 6 million? >> It it's skew. So it's technically over inflated by three. Really and truly it should be it should be less. But I said because that annual school report doesn't give us a good way to account for carryover fund. The only thing that is

016accurate on caregiver funds is textbook. That's the only thing they actually give us hard codes for. Anything else, cafeteria, school construction, any other funds, we don't have good um accounting codes and that's on the state. Um it just gets all lumped into this pot of money um that has no rhyme or reason to it. So there are some inaccuracies, but I do know with the current assistant superintendent of budget and finance with the state, she's making a lot of strides. She was in my position for many years and many divisions. So she knows the hinge points that all all of us have when it comes to doing this annual school report. So, I'm hopeful that with the changes that she's going to be implementing and the changes that she's going to be fighting for that

017we'll start to get much more accurate reports that will closer match our audit reports as well. >> Heather, can I ask a question as well? >> Um, that 40.84% the 3 million that the county incurred and it was in December of 24 was actually paid in January of 25. Is that in that 40.8 84% probably throwing it off. It may be. Um I'd have to dive deeper into that. Um I pulled basically the annual school report and looked at the numbers that they put in the report that you all have cuz I wanted to see exactly what lines they were pulling that from. When I saw that number, the 140, I knew it was quirky because I had looked at the numbers and I I knew that that 3 million was in question because of

018the timing of the the expense and the incurred payment that we paid you. So, that might be part of that. I mean, it it I said it's possible, but I would need I would have to dive deeper into that just to But I do know that there's $3 million in carryover there that >> I said that annual school report just doesn't do a good way of >> 3 million in carryover. Did it have something to do at the beginning of the year with that 3 million too? It's odd that it's the same number, but that would be good to deep dive into. >> We can certainly do that. >> Thank you. >> Well, I've looked at the report from Virginia Department of Education and I've looked at all the counties counties around us and so

019forth. A couple of those counties are like 5% over. We're 140% over. Explain. to be honest, it could it could be a way that they're doing accounting. Um, I don't know. We all do accounting so much different within each school division. They may not have had as much carryover either as what we did. We had $3 million in carryover. >> I want to ask a question about that because I remember administrator Bowen came to us and said that um, Mr. Albbert said we owed y'all $3 million. Was that pro was that money turned back to the county and then reapportion reortioned back to y'all? Because that's what the code asked for. >> Give us $3 million back then and we are supposed to reassign it back to y'all. >> You all did vote to reappropriate

020it. >> We got it back from y'all. >> The money never changed hands, but you all did approve to reappropriate. You've done it the last two years. You've approved. >> Generally, those those funds are used for capital improvements. >> Not all of them. Some of them can be encumbered on other things. Um, but it's it's always, you know, the last two years I've made sure that you all have reappropriated any encumbered funds that needed to be reappropriated as well as any revenue that was not encumbered that was allowed to be um carried over. Those have come to you all for the last two years to be. But the reason why the $3 million that was re uh >> reissued to you guys, would that lessen the the requirement for the the next year? >> No.

021>> And if not, why not? And why was it 3 million over to start with that we had to turn back? >> Because I mean that $3 million is encumbered funds. Those are things that define encumbered funds, >> purchase orders that were already approved to be spent, but maybe that stuff hadn't either come in. It could have been capital could have been capital projects that were going to be completed over the summer. Um, you know, they could have started and not been finished. That happened >> had not been >> it had not been invoiced out yet. That was the other reason why I said working with the auditors, we decided to operate out of two fiscal years during July and August so that as bills come in during those two months that really should be

022booked to the prior fiscal year that we can actually do that on the front end and we're not having to necessarily ask for as much carryover. >> Does the school uh absorb any type of interest paid on that $3 million while it's sitting at all? >> Very little. >> So >> I mean very little. >> Okay. We don't earn that much interest. >> I think y'all did y'all look at this report when it came out January the 5th. >> Yes. >> And you knew there was 140. Did y'all call the state and tell them what had happened? >> No, because I mean it's skewed every year because of that. >> Well, it's it's very >> some years it'll be more than that. >> It's confusing when you pull out the whole state report. I I

023pulled out the whole state report and looked at every county and I'm looking at it. I'm like, dag on not always is 140% over and here's uh other county is maybe 5% over. So, I mean, I can't explain to somebody who looks at that report and says, "Well, why is 140% over and this other county is only 5% over?" >> It's all in how counties operate. We just happened to that particular year we had quite a bit in carryover funds. We won't necessarily always have that and I hope we don't always have that amount in carryover funds. >> Well, how much were we over the minimum requirement for that year? >> You weren't. You gave to the penny what you were required to give us. >> We had the cash receipts that prove that you

024only gave us to the penny what you were required to give us. >> It says we're nine. It says right here nine. >> You all did not give us $9 million. >> 9 million. Just listen to what I'm reading. 9,648,645 for amount over the local required effort. >> That's not 3 million. That's 9 million. >> It takes into account the 3 million carryover though, right? >> Well, so that 9 million is the pot that they the state started with on that annual school report. >> I think that nine includes that three from the it it's it's it's well I don't know about if it in about the 3 million that you're referring to. Um my calculations for that 9 million, what is covered in that 9 million is your 5.9 that was your required local

025match and local effort together. There were $3 million in carryover and then another $586,000 in acrruals that were technically according to auditor should have been acrewed back to the prior year but they are actually factored into this fiscal year because that was done before audit was completed. Would would that have made us over the required minimum for the previous year? >> It would have made it seem like it, but that that is on paper because in a perfect world, if this report was not due until after the audit, all of that would have been factored in and that would not have been shown on the annual school report. But because it's done before that, it's in there. I said that's another reason why in talking to Jay we've kind of changed up some of our

026practices a little bit and making sure that over the summer we are actually operating in two fiscal years one to mitigate the amount of carryover that we actually have so that we are using like for instance this year any FY26 funds that we receive in July and August can be used to pay FY26 bills that come in in July and August. And that way we won't have the acruals. Um we won't have all the carryover. We'll be able to actually close out some of the stuff in the actual fiscal year that it should be closed out in >> the $586,000 Mr. Ingram that you're speaking about. Is that what you're talking about? The cruel. He asked a question as to from the previous year. If that was overage by the previous year, why did that

027get spent? Why was it put back to 586 acrruel? >> It wasn't. >> It had over a year to be spent, right? Or did it? that that would have been acrruels that would have gone from um FY26 back in or FY25 back into FY24. Um but because when we did the FY24 those acrruels were not taken into account and if I took those out then they would have never been reported on any on any annual school report. >> It is like a rollover. It sound like to me a couple year a roll. We know we know what we gave them and we gave them what was required. >> Mhm. >> So whatever they did with it is on them. Is that what you're saying? >> Just the way the accountants >> It's the accounting practice.

028>> The accounting practice timing the accounting. >> Well, for goodness sakes, next year look at this report so people don't look at this and go, "What in the world's going on?" >> We actually we actually don't get that report. >> It's printed. I printed it out from the >> Right. But I know Mr. Boeing education. >> They don't send it direct to us. So y'all don't look at it. >> We don't. When we got it from y'all, we dug deep because we knew what our annual school report said that we had given. >> Okay. How about the previous year? How much overs did it say? >> I don't know cuz as she says, we don't get those reports unless there's >> I don't think nobody send this to you, Miss Ingram. You want >> No,

029I went I went on the Department of Education website just to see what it said. And like I said, when I saw that, I'm like, "Holy mackerel." I mean, to be honest, once I submit that annual school report and it says that green law that we're good, that you all have met everything and that we've met everything and there's no fatal errors, we keep on trucking into the next budget cycle and season and all of that. Well, despite the acrruel or rollovers or uh we still I mean they could have rollovers of $20 million >> and we would still be required to pay the minimum requirement >> for that year funding year. >> And I mean and and we had the last several years at that very last month of the year lowered what you

030guys are required to pay based upon our actual ADM instead of budgeted ADM. Um, so we we have done that and I mean I don't foresee us changing that practice because we like to be, you know, honest and transparent about that. But we have lowered that for you all the last several years. >> I think some confusion comes um when you say the reason why the board votes for that $3 million to send it back to you is because you say it is state money. It's not local money. How can you show Can you show us why? So, you know, that local money is not mixed there. It's so confusing to anyone to say, "Well, the state requires the board to vote to give you that. You got we have to vote to give you

031that money back." But then you say, "We got to do it anyway, so why do we vote?" You know, that's confusing to the board. You You see what I'm saying? Why would the state say, "Well, this has to go back to you because it's all state money. The board, you got to do it. you got to vote for it. That doesn't that's hard to understand. >> I can answer that question for you is cuz you're the taxing authority. We we cannot tax. You're the taxing authority. >> So, we have the power to keep that money. >> Well, we voted. >> You have the power to keep some of it if you choose, which can be disastrous, but >> Well, that's not the way it's presented that we can keep that money. >> So, >> but

032it's true. >> It's true. Yeah, it's true. We can keep Okay. I don't have to. >> That's right. It's definitely true. There's some money that you can keep. >> Okay. >> Not that's not cut. >> If you kept that money, >> like I say, there's consequences to it, but yes, >> we would not necessarily the county would not have made their required local efforts. >> We gave it back you because it has to be appropriated back in the next year. >> Check for 6.1. There's the required location. And later in the year you said, "Well, I've got this money we didn't spend. You need to just allocate it back." State funds. We still raise a check for 6.1. You don't get to subtract the explain the requirement of spending local funds before >> spend local

033money in concert with state money. So, so requirement if if we voted not to give that money back and you've already obligated for the bills because you just didn't spend it yet. We said no, we're not giving it back. >> Then how do you how do you how do you pay your >> billion dollars worth of encumbered funds that we >> you had a deficit at that point? >> Yep. >> But it leads to the question where Steve said, why is there even need to vote for it? If if it if it's already been given to you once and you didn't use it, why would you have to turn it back? >> Wonderful Virginia gold. Sounds like the government to me. Oh, you good old government, >> right? >> Might be getting in the weeds

034with that. Uh >> yeah. >> How many um read in the fall? Maybe when school was starting and you guys were doing your ADM, some of your teachers brought students with them that don't live in this county. How many students do we have that aren't being taxed? >> We get ADM for all of those students, right? and every county is paying for their students required local me and we're not receiving taxes from their parents. >> I don't have those numbers right off hand with me tonight. >> Aren't they charged a fee though if they come outside the county? No. Some counties charge a fee, right? >> Some counties do. >> We get more if we don't charge a fee and we and we actually tag them into ADM cuz if you charge a fee then

035you cannot tag them into ADM. >> Oh, okay. I got you. The ADM is a bigger help from state and federal funds than it is local funds. Even though it is a difference in the local funds, but it's >> you're getting more helpful. >> Well, you're getting a bigger big number from the state. >> I think the biggest question is too aside from that, but as we move forward, why is there such a big increase this year? That's kind of where we are too is that there's an increase in the required local effort of the school of the county to the school division. Will you click it forward? So that's the local ability to pay or to contribute to the schools and that went up. That is the biggest thing in the last it gets

036redone every two years. Well, in the it went from 26 odd% to this year 28. I can tell you right now in two years it's going to go up again because it's based off of the true value of real property. So if there's a increase in taxes the there's an increase in the ability for the county to be able to pay their share of the fund. So those three things there true value of real property and it's weighted at 50%. The adjusted gross income is weighted at 40%, and then the taxable retail sales are weighted at 10%. So, as the state share decreases, the local has to go up. >> Explain that. Explain that true value of real property weighted at 50%. >> Based on our assessment, the assessment. So, so if a property assesses

037at uh five $100,000 then weighted at 50%. Are you saying that the school the taxes we collect the school would be uh eligible for half of the taxes we collect? >> Calculation. Those things are weighted in to figure out what makes up the local composite index. So, at the end of the day, it's supposed to be ideally 5545 is what the state versus the county is in their ability. And so then that changes based on the locality and their income and how much they can pay on different levels. Well, the local composite index says that Nawway County out of 100% of a school funds is able to pay in this upcoming fiscal year bienium 28 a little over 28% of the 100%. The rest of it comes from state funding, the other 72%. So when

038somebody hears about calculation right there that probably nobody in this room knows what it really is. >> The state does. >> That's the state's calculation. >> So, nobody in this room probably knows how to >> they they tell you exactly if you want to go figure out, but an easy process. >> I just want to be sure I want the only person that didn't know how to do that. >> So, Fairfax is a wealthier county. So, they may only have a 10% local match or excuse me, state match. >> They might be paying for 90% of their schools. We're not a wealthy county. >> What is the required local match this year for Nawway County for fiscal 26? >> We're going to we well it's there. Uh we'll get to it in a minute. But

039um with the budget based on an ADM of 1675, which has been lowered where we currently are, the local composite index has increased to the 28.2% for the next two years. The anticipated require local contribution is $7.3 million. That's an increase of 1.1 from fiscal year 26. >> That includes the local effort, the local match, >> correct? >> Yes. >> And we're going to break the effort and the match down as to what it pays for. >> Dr. Martin, so the more the board of supervisors raises taxes, the uh less the state is going to pay towards the school system. And just so you know, the LCI for FY 28 and 20 27 and 28 is based off of 2023 data >> and the next bianium cycle it'll be based off of 2025 data. >>

040So you're saying we're absolutely certain it will go up again in two more years >> until we raise taxes. >> But if the if you don't raise the taxes and the value of the real estate goes up, that's going to raise. >> It's not the it's not the tax rate. >> It's not the tax rate. It's the value of increase in the real estate. >> That's correct. >> Yeah. >> Otherwise, we'd have to equalize below to get it back down. >> Exactly. >> What we'd have to do. >> The only way they know is when they do the audits. >> So, just lower every assess value, not the actual taxes collected. >> Yeah. >> The value assessment. >> What? What value? >> Assess it. So we assess taxes at >> what property value do we

041do you assess the taxes at? >> It's the currently established property value. Right? >> Yes. >> So my property value will stay the same until when? >> Till it's reassessed. >> Until it's reassessed. Who decides if it's going to be reassessed? >> Vote supervisor. >> Supervisor. So that's when the state will know. >> So if all of our property values go up >> Mhm. >> that number will change. If all of our property values go down, that number should drop. >> Remember, that amount is for two years and it's off of the last. >> So, we're it's already primed. >> So, it's already going to go up >> and we we're reassessing every four years now instead of what was it before eight years? >> My proposal was five, but y'all didn't accept it. >>

042We might go back to six. I mean, we we anticipated even before this came out that we were going to see an increase and we were at 26 and we felt about 28ish. We would anticipate 30, maybe a little bit more than 30 when it comes out, which means the state share goes down a little bit more because the the county can pay a little bit more. So, the state goes down. >> Dr. Martin, you you guys are right in a spot where I have several questions. um uh increasing ability to pay. So is the school asking for the full amount of the increase of the 1.1 and that okay >> that we're asking for the required local effort and the required local match. >> Okay. Now, straightforward and honest, the county is required to

043give the local effort, >> right? >> You are not required to give the local match, but we're going to talk about what that does. That eliminates 54 jobs in the school division and it has a huge detrimental impact on the students in Ottawa County, which we'll go through and tell you what each of those things breaks down and equals to within the school division. And when you think about that, can you go back one slide? Uh maybe one more before that. So just for example, in the fiscal year 25, the 1.9 that you gave us in required local match gave us 5.2 in state funding. So if we don't get the required local match of 1.9 and the 5.2, 2, that's how much has to be cut from the budget, which talks about operations, uh,

044maintenance, and we'll get into those things. PreK, all of those type of things are cut, at risk funding, K through three class size reduction, and we'll talk about those more specifically with the current funding and the numbers going up and how many positions would be cut. Right now that 1.1 county doesn't have it obviously, but so we're talking about just without a nine little 9 cent tax increase in order to get that 1.1 >> with it with the reassessed value and the up in taxes the county should have unless we spent more money. Did we spend any more? We spent a whole lot more. >> No, I'm saying they're looking an additional 1.1 million. We don't have >> No. What are you looking for? >> In addition to what they got, but they saying it's

045based off of the tax real estate taxes. The value went up in the taxes. So that should increase our coffins by way more than that. >> It's a loss from the state >> right supplement >> that we would have to pay. That's what I thought. >> Take this. >> Yeah. So break it out between required local effort and local match. So the required local effort is the county's required portion of the standards of quality programs. You'll also hear them referred to as SOQ programs with the exception of two. So for anybody who looks at the CAL tool off of BDOE's website, there are two SOQ programs that are not part of the required local effort. That is at risk and that is the special education add-on. So with taking those two programs out, the required

046local effort is $4.8 million. Now going into the required local match that includes preK at risk, K3 class size reduction, early reading interventions, SOQ algebra readiness, um compensation supplement, infrastructure, infrastructure and operations, um VSPA um technology funds and the special education add-on. So the state funding of all those programs is 6.4 almost $6.5 million. The local match is 2.4 almost $2.5 million. So all total those programs factor in to $8.9 million of our budget. So if you don't provide the local match, then we lose a whole lot of funding. And we'll further down in the presentation, we'll go through those programs a little bit more in depth. The other reason for such a large increase in the requirement this year, every two years, Virginia Department of Education has to go through what they call rebenchmarking.

047So they have to look at all the per pupil amounts that make up all of their and I'll say convoluted um formulas that they use and they have to re they have to adjust those. A lot of it's adjusted for cost of living. A lot of it's just adjusted for, you know, inflation, for whatever factors that they look into for that. So, I pulled some of the ones, not all of them, some of the ones that had the biggest increase in per pupil funding. Um, normally rebenchmarking is not fully funded in the budget. This year it was fully funded in the governor's budget. Um, normally there is this little supplemental line where the state gives us some money to cover what wasn't funded that doesn't have a match to it. Well, this year they're not

048doing that. Everything is 100% funded in the budget. U which affects your requirement and your match. So, I wanted to just bring that up just so that you understand that it is there's a whole lot of factors that go into that huge increase of $1.1 million over what you all are paying this year. >> Another question. You're talking about the rebenchmark and it was fully funded in the governor's budget this year. So, we go on with it because it was fully funded. Suppose it's not fully funded next year. Are we supposed to? So currently in both the House and the Senate budget, it is still fully funded. Um now next year when they do an amendment to the budget, that could change and you know we just never know year to year. Um a lot

049depends upon you know state revenues. They may have to make changes. As of right now it is fully funded in both the House and the Senate budget. But what I'm asking is if now that it's fully funded, say it is, and we go on with it and next year it's not, will the locality be expected to pick up expenses? >> No. The state would the state would pick up like they've done in the past and provide us a supplement to offset that. And that's those supplements. Um like there's a supplement because of the um the the lack of food and hygiene tax. We get a supplement to cover that because it's not factored into the sales tax anymore. Um but there's no there's no match or effort no local requirement is required for that. That

050is just extra funding that we get to offset that. Um, so they would do the same thing for rebenchmarking if they don't fully fund it. >> I asked because I didn't know if it would set a precedent and you'd have a program due to that and then we'd have to cut the program if no the state would come through with um a supplement like they have in the past. >> Well, Dr. Martin, Miss Maya, another question that I actually had here was basically um do you guys have any programs that were started with uh grant money that is now uh fully funded by taxpayer uh uh funds? >> Not no going back to uh Mr. Abbott's comment about we have the taxing authority. So, these programs, let's go back to the local match, which the

051match is what what it says, the wording match. Okay. Does um does the school board votes on these programs? Does that does it does this come in front of the the board of school say, "Hey, we get apply for this program." We don't we don't get into that. You do that, right? Okay. So, this board never voted on, hey, this program, we we support this. We just get the the the news that the local match you hey you going to get this the state's going to put this kind of money and then local money's got to come up with it >> right I mean they ask me these questions and they think it's another I don't want this board to think it's the previous board has done anything to cause the the board of supervisors

052>> the only thing we have to do is once you all vote once you all approve your budget which includes ours and it's appropriated, there is a state report that we have to go in and and say and certify that you provided the match for this program, this program, this program, this program, this program. Um, >> and you picked some of these programs. I'm asking so you could reach certification or whatever the terminology is. >> You could taking required local effort aside, >> take it off your side, right? So required local match if we didn't we would have to look at all of those programs and say oh if we didn't get all the required local match which one are we not going to go with >> but does some of these I guess my

053question is does some of these required local match help you get accredited? Oh yeah. We didn't have >> But now you're accredited, right? I'm asking. >> We have schools that are accredited. We have schools that are accountability track. But so let's say you don't fund the required local match. That's 54 positions in the county that >> support or teachers or custodians or maintenance people. If the schools aren't able to function and be operational and we don't have reading specialists or we don't have these individuals in class size rises rise to 25 26 kids in a class, >> we won't be fully accredited. >> Could you explain accountability track? >> Okay. So there's two different So we have the accountability system that just came out that's under a revamp again >> with new administration. We also

054have the accreditation system which is part of the code of Virginia that says about schools being fully accredited if you meet certain criteria our schools met and there's a it's a report that you have to certify or being fully accredited then the accountability system looks at your reading your math scores your um student progress your student growth your chronic absenteeism rate um your at the high school, secondary level, your dual enrollment who students that are getting advanced degrees, SC students that are taking industry certifications and credentials. Um, so all of that funding that you're talking about in required local match, there are things in those areas that we wouldn't be able to provide which then ultimately is going to impact whether or not our schools are making progress. that distinguished school that we have here

055at the high school. If we don't have certain CTE programs anymore, we're not going to be distinguished because we're not going to get the points that we need to show progress. And we'll talk I mean I really we'll go in depth for each of those programs so you understand what they do. >> Can I just ask um have y'all made any cuts? >> We don't have anything we can cut. We don't we don't have anything that's extraneous. >> Well, we we have made some recent cuts. >> We've had some >> we have made some recent cuts that hurt, >> right? >> Um but it was the best decision that could be made looking at the total impact. So the answer is yes. There have been some hard cuts that have been made >> mostly because

056of federal things >> but we also look at every single position and we have looked at every single position and we have in the last well since Dr. Martin started in July there was a vacant position that we didn't need. We didn't fill it. Um and that means if we didn't fill it it's not in this next budget. So, I mean, we have looked at all those all of those factors to make sure that we have exactly what we need and who we need to best support our students. >> We don't have any open vacant positions that are still in the budget. You've cut them all out. We've cut and moved because I will tell you one of the things within this budget that was the goal and the focus that we heard from the

057board to build in was that our teacher salaries were the next to the lowest in the region. And within our budget at the if if we get required local effort, required local match, we are able to move our starting salaries up to about mid-range so that people will want to come here. Now that also means that um in part of this funding source, the state does tell us approximately what our percent increase in raises should be for staff. So, right now there's really three different figures sitting out there as to what the raise should be for staff. I mean, we've heard 2%, we've heard 3%, we've heard 4%, at one time we heard 5%. We built our budget without asking you for anything else other than what was earmarked to the school division to be

058able to calculate in a 3% raise and to get our teaching salaries up. Well, God bless y'all for for for your patience. And you just hit right on another one of my questions. I'm going mark off here. Is how much of a percentage of your budget is the increase in salary for staff? Do y'all >> I don't know a percentage, but um it was roughly I think $778,000. Um >> you can calculate it of a $22 million budget. >> I'm sorry. $22 million budget. Well, so the the 778 that I'm referring to is is what it took to be able to increase teacher pay, >> right? Yeah, that that's the question. Yeah. What was that? >> Now, there's still you other staff got payraises, but to do the biggest chunk of the work that was

059our biggest focus that cost about $778,000 that we were able to find within the budget without having to ask for additional funding to make that happen. And I'd like to clarify because I'm looking at the report. Um, as far as salaries, we are 11th out of 12 for no experience. >> But the more tenure you have, then we move forward. >> We do. >> And if you could keep somebody up there at the 30 and 40 years, yeah, it's great. But we don't have any. We have a handful that are at the top of the scale now. >> Five and six. If you have 10 years, >> right? basically from step zero to step eight was where our biggest focus was and that's that was the steps that got that got the biggest adjustment. Um

060we did not do you know a 15% adjustment to every single you know step on the scale. We did concentrate in those first few steps because that's where we knew we were lagging because once you get past step 10, then we start to actually be even kill. And then when you start getting up in our higher steps were actually better than most divisions. It was those first like 0 to 8 was where we were really hurting the most, which is what we need in order to be able to attract, you know, those newer teachers into our school school division. >> So I I do want to share and we'll this later on. So there's the school budget and then there's the food service budget. So I want to be very clear that is a separate

061budget for the school division. Food service is a completely separate budget. And when you see that we had to make almost a $200,000 cut to our food service budget >> because as I shared with them last week, I can't build a budget on what if or maybe or could this happen. I have to present them with a balanced budget. And we had to cut almost $200,000 out of food service to make a balanced budget, which unfortunately results in staffing cuts because that budget is funded completely separate. >> Is that funded 100% exclusively through federal funds? >> There's federal and then there's some state that there's a minimum amount of state funding. >> It's how much? >> There's a So it's mostly federal funding. >> Mostly federal money. I mean, as we all know, the federal

062government has a whole lot of money. >> So, if we get anything, this should be cut. >> A whole lot of money, $39 trillion in debt. >> But they just keep printing it, Mr. Adelaw. >> If uh so, but my compassion is to local and state money. So, why would we want to cut any kind of departments that's fally funded versus something that's state and local funded? >> Cuz it >> because that's the only thing is is the food, right? >> The only thing in that budget is And the only thing that budget can be used for is food service. Mhm. >> So, did the federal funding go down on that? >> Mhm. >> No, the cost of expenses has gone up. >> So, there's inflation in the Y >> the and the USDA rate

063one has not come out yet for what the federal reimbursement will be. That comes out much later. We don't know what it is. However, their rate of increase for federal reimbursement rates, which is how we get our money back, >> doesn't go up at the same rate that the cost of >> federal reimbursements are are lower than the >> So, to be more specific, I got a telephone call saying that it was federally funded, mostly federal funded, mostly all f in and not a ways had a uh actually had a surplus in the federal funds for school food services. >> That's not 100% >> correct. Is it any percent accurate? You said it's not 100% accurate. Is it any% accurate? >> It >> we had we saw maybe a $20,000 increase in federal funding for

064food service. >> The cost went up by how much? 180,000 cuz you said you cut it back. >> We had it broken down if you >> Okay, we get later. That way I'm not giving you that way. I'm not giving you figures off the top of my head. Um so we'll go kind of just through revenues just so you can kind of see. Um, and I did break this out so that you can actually see um the local share and the state share of each of these sections of the state budget. So you have our SOQ programs um which state share is$18,000 local share is 6 or 18 million. Thank you. Local share is 6 million. Now, that doesn't mean that that is required local effort cuz I said there's two SOQ programs that are

065actually under the required local match. Um, and those were the two newest programs that the state added. Um, >> stop you for one second. I am happy to share this presentation with you. >> Yeah. Normally we have little handouts. I can write notes and I didn't get that. But I guess you're trying I guess you're trying to cut back on the budget, right? >> Yes. I'm trying to save the paper to the back. You name it or you have to prick your finger to write with if I give you an important meeting Wednesday. So we try to get >> I will send it to you later this evening. >> Okay. All right. Thank you. >> You check your email and make sure that you receive. >> I'll look that good. >> Okay. Um so then

066we have our incentive programs. incentive programs are um the compensation supplement, BPSA, um the the money they give us in lie of the food tax and hygiene tax stuff. Um so that's about $889,000 $898,000. I can't read from this far apparently. Um and local share of that is 127,000. um categorical programs, that's homebound. There is no required local match or local effort. So, that is just money that we receive from the state. That's only about $16,000. Um our lottery funded programs, now that's a lot of the match programs. That's your K3 um class size reduction. That's your infrastructure and operations. Um that is a large chunk of your atrisisk funding as well. So, the local match for those programs is around $866,000. There's a few other programs like mentor teacher um and some other ones

067that don't require a match that are in part of that state share. Um and then they broke out early childhood and education programs because they used to be under incentive programs. Now they're under their own category. Um so for our prek um we get about 438,000 in state money. Um the local match part of that is $172,000. So all total revenue, state revenue is about 22.3 million. The local share there again um adds up to 7.3. You can go on um other revenues that we receive. Um so other local revenues and we will I don't want to give anybody a heart attack. We will go a little bit more in depth to other local revenues and why it's $4.7 million. Um cuz that that involves a couple of things. One that involves ENTC funding. Um

068and that involves some capital improvement funding, but I said I don't want to give anybody a heart attack. We will go more in depth on capital improvement and what we are asking for partnership on um a little bit later on in the presentation. But then we have other state programs um and grants um that adds up to about 664,000. Um federal programs and grants that's around 10 million. Um pass through revenues. This is new for this year. So one of the things the auditors and I talked about is pass through revenues because we are the fiscal agent for Mafeteria funds. We're the fiscal agent for ENTC. We are the fiscal agent for Pedmont Alternative. Well, those revenues hit the main school account before they go to their individual bank accounts. So, in order to make

069it seem like we're not overspending our budget, we actually needed to make sure we had actual revenue and expenditure lines and they were in our budget for these. So, those passive revenues literally they just come in and they go right back out the door. Um, they're not county public school money to to spend. Um, but we do have to have them technically as a revenue and expenditure line. So that's just new that we added this year just to make sure that we are accounting for every single scent that comes in and goes out. And then other revenues that's just rent, rebates, insurance comes out. So I do have a pie chart um just to show you kind of um now you will see that like the local revenue and the state revenue don't add up

070to that 28% and that other because we have the federal revenue that is in this conglomeration of funds. Um, so when you look at all of our revenue sources, that is kind of how it's broken out. You see the state share is the majority of the budget. The local revenue and the federal share actually not too far apart. Um, and then I said the miscellaneous other, which is just a little bit of interest we get. Any anytime anybody wants to, you know, rent the main auditorium, those type funds are kind of wrapped up into that other And then I wanted to provide you a general assembly update because we do have some information on the House and the Senate budget. Now what I don't have is how they affect required local effort or local match.

071Um they they don't break that down, but they do break down kind of what we could see an additional state fund. And they are very far apart. Um so you'll notice with the House budget, we could see an increase of almost $1.2 2 million in revenue. Um that adds money to the special education add-on compensation supplement. Um it the house has this one time flexible spending money. Um >> does not require a match >> that does not require a match. Um now the Senate budget that would only give us an extra 422,000 there. Again, there's increase in compensation supplement, an increase in um sales tax revenue productions, and um an increase in the special education add-on and compensation supplement. I know I said one of those twice, and I'm sorry. So, I just want to

072give you an idea because our budget is based off of what was presented in December by the outgoing governor. So until we know what the final budget is, that is the budget that will be presented is then is um based on the information from the outgoing governor. Um so there could be a budget amendment that comes down the road based upon whatever comes out in the house and senate. Um so I at least wanted to give you information since we now have um this information at our fingert and then we can go into expenditures. Um, and I wanted you just to kind of see the areas where our expenditures are broken down into. And you can see the bulk of our expenditures are in instruction. So that is teachers, that is librarians, that is school

073counselors, that is our principal. Um, that is the largest chunk of our budget. Then you see administration um at $2.2 million. that is central office administration, that is our school nurses, that is um our psychologist um that we use for special education. There's there those are some of the things that are wrapped up into administration. Then we have PE people transportation um 2.8 million in that operations and infrastructure or operations and maintenance. That's all of our custodial services, utilities, liability, insurance, all of that is part of operations, infrastructure, facilities, $4.5 million right there. We will go into what that actually details a little bit later when we get to capital improvement. And then, as I said, you heard me say a while ago, pass through. Um, the 67,000 line, that is the lines from the

074state that we have to use for pass through revenue. Um, so that is there as well. um technology and then I also just included in here all of our special programs and grants so that you can see that our total finishers match our total revenue that we have in our budget right now. >> Cafeteria and food wasn't included in >> we'll we'll get to that one. So just some budget highlights. Um there's an increase in state funding of about 2.2 increase in local required funding of 1.41 for one, a reduction in ENTC funding of $53,000. Um, I have been dedicated to making sure that that budget is as fiscally sound as possible. Um, so there is a reduction in funding on what we're asking for for ENTC funding. Um, budget initiatives, we spoke about that

075while ago. There is a 3% pay raise for all staff. Um and then we did work on the teachers pay pay scale in order to get it to where step zero starts at 52,795. Um other things as said new items and we'll go into this capital improvement funding um a little bit more in depth but we do have the crew primary HVAC replacement in here. It is crucial. We have some potential funding options for this project. Um, but there is going to have to be some type of partnership on some of this. Um, but not laying it all out on you all. We are trying to find the funding to be able to fund this project. >> I've seen two different numbers now on that one. Four count of four million and now it's 4

076and a2. >> So, we've >> we actually gone out with an RP or had contractors in. >> So, we we have had contractors in with engineering um looking at the project, looking at what it entails. Um we do not have a hardcore set number. Um but the last that we got from them was around 4.5. Is >> that just the the equipment deliver? >> That is the equipment. >> Is that the trunks and the lines and everything? >> That is everything. That is engineering, drawings, installation, equipment, um testing and balancing. That is everything. But they've not gi they've not given y'all a uh a written estimate or anything? >> No, because we got to get to the point where we can afford to pay for that part. >> What the estimate? >> Well, for them

077to actually finally process do the whole process cuz engineering isn't free. >> Um they've done some for us, but not all of it. They haven't gone through detailed everything. So everything right now is still estimates because we haven't quite got to the next step of >> that's the original when was the school built? Um, I know that the HVAC that's up there is I think about 36 years old. >> The school was a lot older than that. Like 1968, I think. >> Yeah. The original part of the school was built in ' 68. >> 36 year old. I don't remember. >> So, the the water source heat pumps that are in that building are way beyond. They've gotten their money's worth out of those. Okay. >> Um, and then I said the new items that

078are just in the budget is just the pass through revenue expenditure lines to make sure that we are accounting for those items that are hitting the books and going right back out. >> Can we back up one thing real quick? I thought a state the state's given 2% to everybody or how does this work with pay? >> So the governor's budget had 2%. Um, the other budgets are between two and three. There's language that's a little bit different because of how we did the teacher scale and so there wasn't as huge a discrepancy between teachers and all other staff. We were able to fit a 3% pay raise in with the funds that we had. >> Right. And and that don't that the local required >> all of that is >> is all built in.

079>> It's all built into receiving our >> it's not going to change that number. >> Correct. >> No. Just want to make sure. Thank you. >> Um, and so one of the things that I know that um, I know Mr. War, you've asked about this in the past about per pupil spending. Um, so I wanted to actually provide you all with that this year. Um, you see the FY24 actual and the FY25 actual. you see what is currently in the FY26 budget um which is you know an an estimate and then you see what the proposed is um for per people spend um between state funds, federal funds and local funds and then what the total amount of that is. you see an influx in FY25. That's also partially because of the fact that we

080had er funds that had to be spent out. Um so you saw some influx over there. We're starting to see a kind of a trend where we're leveling back out and there's just incremental increases every year. Um which you'll see for just inflation and and everything else of of all that type stuff. So I wanted to be able to actually provide that information to you all this evening. Okay. So, we're going to get into some of the local matches. So, these are the required local matches, not the required local effort anymore. So, I want you to take a moment and I just want you to think. Picture a 4year-old child in crew. They walk into their first prek classroom. They do not know their letters. They've never had a book at home. They've never been

081read to consistently. PreK is what changes that whole aspect for them. The teacher will kneel beside them. They teach them how to hold a pencil in their hand. They teach them how to count just to 10 even. They teach them how to say their name proudly and spell their name. They teach them how to sit in a circle and feel like they belong somewhere. So now imagine if we were to cut prek funding having to tell the family there's not a seat this year. The funding we don't have. That is not theoretical. Without a local match we don't have seats. >> How many children participate in that program? >> We're at max capacity at both schools. So we have 80 students. >> Does the family have to make so much money a year? >> So

082there's two um pieces in that. So prek the VPI match has about 10 11 different criteria that you could fall in. Um and so one is income driven. Uh one is if you are if your parent was a dropout if your parent >> Not every citizen can participate. And over the years prek funding in Ottawa County has gone down. At one point in time we had three prek classrooms at both ends of the county. Now we have two with 20 kids in each of those classrooms. Um >> uh just to clarify prek I know when my dad went to public school they didn't even have kindergarten. He started first grade and I'm all for you Mr. A. You going to tell your age he done told it already. >> I'm all for prek. I really

083am. But isn't it heartfelt to to to think that a child comes to school and not know how to hold a pencil at 4 years old and not being read to? Don't that tell you about some family backing on that child? And furthermore, >> doesn't it doesn't it say that uh that maybe a certain percentage of these children are using prek for a child care rather than a school. >> I would disagree with that. I would say that it helps our children become >> Oh, I think it certainly helps them. But you would disagree with it being used as a child care for a certain percentage because if a kid didn't know how to hold a pencil, it tells me about the parent a little bit. >> You can't make assumptions on why a child

084is going to school for. You're >> exactly right. That's why I said tell me >> make that assumption. >> It's hard to make an assumption, but I Well, I don't know if it is or not. I mean, I've had I've had parents come to me said without prek, they would not be able to afford child care. So, that told me they were using it for child care to a degree. I can't >> still had to meet a certain criteria, right? I just can't really say. >> So, it's not offered to all children. No, >> fabulous. If it was >> there's two different >> there is there's title. So, we fund uh the majority of our prek is funded through uh VPI which is through the local match Virginia preschool initiative. We have one classroom that's

085funded through federal funding which is title one. Um so that's strictly federal. So if we don't have BPI funding, I we could fund probably one. So that's the reason why you see positions funded six. That's an instructional assistant and a teacher. So right now we have four prek classrooms, a teacher and instructional assistant in each classroom. If we don't have the match on prek, that is six people that are cut because we would only be able to offer the one title one program. So, did the state funding was the reason you went from six to four classrooms? >> Well, we can't we actually are entitled to more prek funding than what we actually take, but there's a match with it. So, we only fill a certain number of slots. At one point in time, and

086now it has decreased because there was extra prek slots available and stuff. At one time, our VPI prek funding was like 70ome slots. We've only ever filled 57 to 56 of those slots because if we go over then that increases match. So we've kept it at that amount. >> We go back up to six. >> Let's keep moving back. I know they're asking a lot of questions. >> Yep. >> Um so early reading intervention. So if you think about the child, this is a first grade classroom now. Helping them read, helping them be prepared. So, if I think about a six-year-old boy at Blackstone Primary School who cannot say the word cat, cannot blend sounds right now because we have some and you can go on to the next one because reading intervention and class

087size go together. Um, class size reduction and reading intervention funding, a teacher is able to work with them. And let's go back over that. The strategies are in place to help them grow. They have the time to do it. But think about those same classrooms that you go from 15 16 students to now 24 students in a classroom for K through three class size funding. They cannot work one-on-one with those students. And if we don't have prek when they come in, we're talking about huge deficits as to where students are in being instructionally ready for school. And every report that comes out shows the significant impact that prek has on the development of a child K through three. by fifth grade they believe they're ultimately bad at school because now I cannot read at that

088point in time. Um if we don't have the matching funds that's the cost. It's not just the bigger class sizes it's the gaps. So with that about eight positions are lost K through three class size reduction. K through3 funds say that we can have I I don't have this year's budget or next year's budget off the top of my head, but right now it's at 21 students. In order for us to receive our $672,000 in state funds, we are not allowed to put more than 21 students in a K through three class at Blackstone and I think it's 22 in K through three at Crew. So, it's a different number for both. How long have these programs been here in Nonica? >> As long as I can ever possibly remember years. >> They've always been

089in They've always been >> always been part of the budget. >> They've always been in the tax in the in the budget. >> It's always been in the budget as far as I know going back. I've never heard of it not being included in our budget. >> Say I have budget binders back to 2010 and it's in every single one of those. >> Yeah. >> Um the match is what's protecting those smaller class sizes. I'm not sure about you, but um I've been in some of those classrooms, even prek at 20. A kindergarten teacher, let's talk about not having prek. They come in on the first day of school, they're four, they're not five, and having 24 25 kindergarteners in a classroom with no help with one teacher. >> When I was there, it was

090two teachers in kindergarten and two teachers in prek. You're talking about two, but I'm talking about like in the classroom with them. It's just one teacher >> when I was at >> So, it was a teacher and an assistant in the classroom and an aid in the classroom. There's none of that. It's just the teacher. >> No aid. >> Wow. >> Most of all the instructional assistants have been cut from our budget. >> We think we have one at Blackstone, one at Crew, and one at the middle school. That's not federally funded. You can forward. So the so algebra readiness, it's early math intervention. Students have to have algebra in order to graduate from high school. Um it targets interventions for them. It ensures that there's alignment to the new math standards that were are

091extremely rigorous for students. Um that is one position that is funded out of algebra readiness funding. Special education add-on. So this is the new one. this um and Heather can talk more about this. That is not part of the SOQ. Uh the state funding is 108,000 and the local funding is 42, but that's still going beyond minimum required ratios. It's providing specialized instructional needs, the behavioral supports that are needed, the intervention programs, and ultimately ensuring compliance and monitoring and evaluations are in place. So, I want to tell you a story. Bear with me. And this is my student. His name is Marcus. You can go back to Marcus. So, >> this is a random student. I was going to use R.J. for my story, but I decided I'd leave R.J. gets in a lot of

092stories when I tell them. >> It's really R.J. You can substitute it with R.J. or you can substitute it with any of you if you want. But let me tell you about Marcus. And this is how this funding impacts a student all the way through. Marcus is a seventh grader in Nawway County Public Schools. He lives with his grandmother, which we have a lot of students that live with their grandmothers or grandparents. Some mornings before the sun is fully up, he's the one to make sure that his little sister has her backpack and is ready for school. That is true of students in Ottawa County. There is no one at home with them in the morning. Marcus is bright, but life is not simple. In third grade, Marcus could not read on grade level. And

093we know that a true indicator of student progress is if they can read on grade level at third grade as to what their outcome is going to be. Words blurred together. He began to act out, not because he was defiant, but because it was easier to be the funny kid in the classroom than the one that cannot read. Then a specialist, a reading specialist, began pulling him into a small group every single day. She sat across from him. She practiced sounds with him. She practiced fluency. She celebrated his small wins. She did not let him disappear because that position exists. Marcus learned to read at that point in time. Now, fast forward to Marcus going to middle school. Now, Marcus is facing pre-alggebra skills that feel very overwhelming. Fractions. If you'all remember back to your

094middle school days, fractions, ratios, variables, the moment letters show up in math problems, his confidence starts to fall. But he's not alone in that because there's algebra readiness support for him. Marcus works in a small intervention group. A teacher breaks it down a little bit more. She uses models. She checks for understanding. She refuses to let him just shut down and become a dropout for Nawway County. She refuses to let him believe that he just isn't a kid that's good at math. Marcus also though receives specialized services because he struggles with attention and processing speed. The additional staffing funded through the special education add-on ensures that he's going to receive individualized instruction, not just paperwork for compliance, but actual support to help him grow further. So, here's the truth. If a position disappears, Marcus does

095not get less. He actually gets left in that process. Without atrisisk funding, reading interventionist are gone. There's nobody to support them in reading with those local matches. Without algebra readiness funding, math support becomes a crowded classroom where he's just lost in the numbers in the classroom. Without the special education add-on, that individualized attention becomes stretched really thin because you're serving more and more students with less and less staff in that building. And Marcus, who was once on the brink of falling through the cracks, can start edging back towards the cliff because he's got the support of those teachers and different staffing there. It's not because he lacks ability, but because the adults who held the net are no longer there to help support him. Funding is not considered an abstract thought and a process. It

096is the person sitting across from a child telling you every day that you can do this. And if you think back to your schooling, there's somebody along the way that said you can do this when you didn't think that you could. It is the time. It is the patience of the staff that we have. It is the prevention. So if Marcus passes algebra 1, he then walks into high school because that's our goal is to get as many students as we can through algebra 1 before they get into high school because that is a requirement in order for you to graduate is algebra 1. But if he can pass algebra 1 in the middle school, he can walk into the high school confident instead of already feeling defeated. as to what's going to happen to

097him. He stays on track for graduation and our graduation rate is in the 90%. He earns his credentials which are required. He could have been one of those in that firefighter class that we had that passed the credentiing test and then he ultimately contributes back to the community because he can get gainful employment whether it's in our community going out somewhere else and bringing it back here. those incomes back here. So if he succeeds, then ultimately Nawway County is going to succeed. So the question is not whether it matters. The question is whether we're going to protect the funding that ensures that he's not invisible in that process and we don't lose kids along the way and increase the dropout number and lower the graduation rate in the end. So that's my story, Marcus, for

098you to give you perspective as to why those funds are needed. Yes. >> So atrisisk funding at risk funding is actually the biggest impact we have. Um it funds currently 30 of our positions, assistant principles, teachers, behavior specialists, social worker. Um it it funds a lot of crucial positions, a lot of extra CTE positions um so that our students can get credentiing. It is a huge pot of money. Um the state funding in that alone is $4 million. And a lot of that, yes, is because of the fact that we are an economically disadvantaged area. We do have a high poverty level. All of that is factored into the amount of money that we get. Um the local match for that is 1.6. It is a it is a a large amount, but it funds

099the most amount of staff. Um where we're over and SOQ funding, this kind of picks up. So we can make sure we have a librarian at every school, a school counselor at every school, um a registered nurse at every school. Um it it it is very crucial funding to make sure that we have with the increase in at risk funding is why we've been able to have on staff now a social worker. Why we're able to have on staff a behavior specialist to be able to help support our teachers in the classroom with student behaviors. um you know why we're able to offer additional CTE courses at the middle and the high school cuz we have some additional funding to make sure that those kids are not falling through the crack and can either you

100know have a credential when they graduate and have a job that they can go to. Um so it is extremely crucial funding for us to be able to have um that atrisisk funding and have I left anything out on that. >> Um but it is important um the compensation supplement. So yes, pay raises are built into SOQ funding. However, they always give us a little bit extra to make sure that we can fund s, you know, pay raises for everything. Um, they don't want to just leave out, you know, all of our other staff that is on all these other different pots of money. Um, so they always fund us a little bit extra for the compensation supplement supplement to make sure that we can fund all of that because with the compensation comes an

101increase in retirement that we have to pay out, an increase in FICA. Um, and you know, we have health insurance increases. Um, so that compensation supplement helps with all those extra things that go along with giving a raise because all those other lines unfortunately go up as well. And then we have our infrastructure and operations. Um, this helps fund us six extra positions between maintenance and custodial staff. Um, you know, we have old and aging buildings. Our maintenance staff is constantly busy fixing and repairing and trying to make sure that our buildings are up and operational as much as possible. you know, we have maintenance that comes in on the weekends when we have a flood in the school to help make sure that we're up and running the next day so we can get

102our kids back in the building. Um, having that little bit of extra money to be able to give us those six positions means a lot. I would really hate to take away custodians out of our school buildings, especially knowing in a time like right now where we've got, you know, flu is a big impact in the community, stomach bugs, all this other thing. the extra work they're putting in to keep our schools clean um is a huge impact to our students and our teachers. So really there's this big illusion of what the savings is if you cut the funding. Um it just defers cost for things later on down the road. Um if we cut early literacy then at some point in time we've got to pay for remediation summer school tutoring for students as

103they get upper in the upper grades. If we cut any interventions, the same type of thing. We're going to pay in the retention and remediation services that we provide students. If we cut supports for at risk students, then we're going to pay in having an increased uh number of dropouts, a lost workforce readiness because they're not getting through high school. Um we also find that 9th grade is a true indicator of a dropout for high school. Um, and also PE is one of the if you do not pass PE, that is one of the biggest indicators of a high school dropout. Um, and long-term economic strain because you're not getting the same workforce. It's not the it's not what businesses want when they're coming here. Who are they going to employ if we're not graduating

104students with the skills that they need uh because they're not making it through because they've lost supports along the way. So really the bottom line is failing to fund the required match doesn't really save those dollars long term. Like I said, it really forfeits a significant larger state and federal dollars to us. So every local dollar withheld is really multiple dollars are lost at the state level for us. And then those impacts that we talked about, preK, economically disadvantaged students, our students with disabilities, struggling readers. Um, all of those things are really impacted when we've lost that local match of our funding. >> So, now we're going to get into that food service budget, which is revenues and expenditures, which is >> before we go, you mind if I So, the first two are real

105quick just kind of yes or no. M do y'all know if the real estate assessment um that we was talking about, you know, how it our ability to pay goes up with the state, does that affect anything with federal >> you're aware of? >> Not that I'm aware of. >> Okay. And then the ENTC job, the $53,000 cut, was that a was that did that affect a job or anything there? >> It was a position that wasn't filled. >> Right. >> Okay. All right. Then here's the other one. Please, please uh by no means is this next question or what I'm going to say here I don't want it to come across as abrasive. I just but you know if there is any reduction in funding the programs that y'all have presented here today this

106would be the programs that y'all choose to cut. I mean technically you could cut administrative staff instead of one of these programs. Is that correct? I mean, y'all would be choosing to cut these programs. >> No, these are the programs that are part of the required local match. >> Okay. >> Not necessarily the other programs. So, whatever that program specifically funds is where we would have to make that cut. So, there's only a certain number of programs that are under the required. >> So, the state the state says they're participating in prek. It requires a local match. So, we have to have it in our budget as part of that funding. And you show that it was received. >> Mhm. >> If it's not received, >> we don't have the program. We don't have the

107program. >> Does it does it like like let's say so the board does the board have they cut the at risk $50,000 or does it all come in one big package? >> It all comes in one big package >> and you either pay all of it or you don't you can't you can't cut it here, cut it there. So, you always will have 30 positions with the at risk. You can't say, "Hey, I'm gonna cut it in half and then you get rid of 15 positions." >> Correct. No. >> Okay. CP those expenses. >> CPMT. >> Oh, that's mostly state. Okay. >> All right. So, as we said, um, and a lot of people think that food service is in part of that budget we just talked about, but it's not. It's a separate budget

108that we have, separate accounts. Um, and so you can see um that what we've proposed is about 1.4 million um is what the balance budget looks like and that is a difference of 66,000 from what we have adopted for the current year. Heather, do you want to talk into some of those pieces? >> Yeah. So, you notice that the amount of state funds we get for food service compared to other funds is is minimal. Um, and there is only $556 between what was adopted in the budget this year and what is proposed for next year. Federal funds, there's actually an increase. Um, and when when we go through and do the budget for revenues, we always look at the prior fiscal year because that's the best picture that we have for what we know we're

109going to get in in revenue. Um, because this budget should be self-sufficient. Other funds, that's where you see the biggest drop. That other funds that is in allocart revenue, teacher meals that teachers pay for, the extra stuff that students pay for. We are a C school division, which means we are part of the community eligibility program. Um, that means students get a free breakfast and a free lunch. There's no free and reduced applications that have to be done and all that stuff. >> All students. However, students have the option of if they want to go buy extra snacks, they can go buy extra snacks or ice cream or >> An extra sandwich. um they they get their main meal free and then if they're so hungry afterward and they want to go get an extra

110hot dog, they can go buy an extra hot dog. Um and used to that is where cafeteria made its money. It's not anymore. It's not. That has tanked in the last several years. Um to the point based upon last year and where we're trending this year, I did I removed $80,000 out of that budget line because I don't foresee it. I'm sorry, Miss Marty. You and I think I I miss mis point out there. You're talking about the extra purchases is what was missing, >> correct? >> But didn't the school system also lose money when they became lost um the the extra revenue that they could get for selling lunches when y'all became freed all >> I don't know honestly I don't know what the offset was between going from free and reduced lunch to

111a C school division. I don't um but I know in looking because I mean I track their budget very heavily because one can't overspend that budget because they got to make the money to be able to pay their expenses. I mean it has traditionally over the years have just been losing money on that. >> That lead to my next question. FY25 what was that number in other funds? >> Was it 40 half of 80? Because 208 to 128 is a significant difference where it's $80,000. It is um that line has been coming down over the last several years. Um it this year we made the biggest incremental change just because of really honing in and tracking. They're not making what they need to make. >> The ADM was was up or down? >> Well, our

112ADM has been down for the last few years. But the other thing to keep in mind, >> did the funding go down for the for the for the food? >> I mean, it is >> looked like it did with the ADM going down. The federal funds didn't go down. They went up. Well, because the federal rate get changes every July. >> Um, now some years they it only goes up pennies. Other years it may go up, you know, 20 30 cents. It's never a huge increase. Um, and we won't know what the FY25 or FY27 rate is until July. >> Well, that's what I was wondering. If the if the ADM went down and the federal funds for food went up, you got less students would get more food to the school. The other thing

113that you need to keep in mind is food services had a surplus budget that they've been able to function off of carryover funds. We're under corrective action because our food service budget had too much in reserve. They want you to have three months in reserve. So back several months ago when the government shut down, there was a high likelihood that you weren't going to get reimbursements for quite some time. So, you had to operate off of any reserve funding that you had. Um, or the school division was going to have to find a way to move money over to cover the cost. When it opened back up, they would give the money. They would have to pay the school division back the money. Now, there is a provision in there in the food service budget

114because we are a C school division, community eligibility provision. We have to set aside funds in our local budget. If there was to be a shortfall, that memorandum of understanding for us being a C says that we will pay the difference of the shortfall at the end of the year. We don't pay the difference at the beginning to balance the budget because it should be a self- sustaining budget. but they no longer have their carryover that they had a significant amount of from all of these sales and things over the years and we've had to spend it down. So, they've had to get in, they've had to spend down to have a walk-in freezer, like those type of things. Food service funds can only be purchased for food service, used for food service purchases. And

115so they don't have this substantial amount of carryover that they had to support which we know carryover funds. They're not sustainable funds over time. >> The food service funds pay the labor cafeteria work. >> Yes. >> And this is everything. Pays everything >> in summertime. Uh you guys deliver lunches or >> so that is actually one of the cuts that we've made in the budget. So when we talk about this food service budget, if you go forward to the next, so that you know the food service budget operates, it has to fund all the staffing and the supply needs. The board looked at about four different options in order for us to salvage as much as we can in this budget. Now, one of the things that we do, it's a separate budget, but they're

116still Nawway County Schools employees at the end of the day. There is the factor in there too of the increase in minimum wage. So we have costs again that are going up that we have to pay whether it's increase in salaries um the the federal minimum wage to be just barely above it for our staff. Um and then of course the expenses that have continuously gone up in food. I mean you know what you pay when you go to the grocery store in food. >> Pedmont the jail was up like 400%. Mhm. Great. >> So, we have to if we were to leave everything alone, we need 1.6 million. That's with ensuring that they get the 3% that increases everything else that we need to do. We currently have one food service supervisor, four cafeteria

117managers, a cafeteria assistant manager, 12 full-time cafeteria staff, and eight part-time cafeteria staff. We had to look Can you go back? Oh, well, you can leave it there. We had to go back and look at every scenario as what was going to have the least impact on students. At the end of the day, we don't want to have to cut anybody. I mean, I don't know about you, but I don't really want to be the person that has to say you no longer have a have a job. >> Neither do I. That's we were so uh so much hung up on the teachers, which we need desperately, all the way to the janitors. And I would say these cafeteria workers are just as important. >> I would say that too. And one of the options

118was for us to cut eight. Well, here it is. Would one option this has what we actually decided to do to have the most minimal impact on students because we cannot operate with one lunch line in a cafeteria because of staffing. If we had to cut in order to make that up, I would have to cut eight part-time people along with some other things. Well, those are eight part-time people that are just making barely at minimum wage or part-time work. Um, so the recommendation was to reduce in order to get our bal our budget to balance and to get to what we needed and not have to have extra fundings or whatifs in it. um was to reduce staffing and we have to reduce by a food service supervisor and two part-time vacancies that are

119not filled right now. Those are open vacancies. So, we're not filling them. So, we're not cutting any bodies for those positions. I can tell you that we are restructuring to offer something else to people that are having to be cut um >> to to people having to be cut. So, if somebody had to be cut, they are going to be offered something different within the school division. >> But right now, you're only cutting >> one position because at two part-time vacancies, >> There's nobody in them. So, we're not going to fill them. >> That's counted in that we wouldn't need to fill them. So, right now, they're currently based in the current budget. We're able to operate without them. So, we're just not going to fill them at this point in time to save that

120money. We're going to remove the summer feeding program. That's what you talked about with the bookmobile going around. We don't have to do that. So that cuts funding. That does not cut the food service for summer school though because when summer school's in, we have to provide food for them being here. And then we're eliminating the banquet salary line for that. So with those things cut, which have the minimal impact to students and instruction and the routine school day, we are able to make up that difference of almost $200,000 that we have to save in this budget. That is different. Um, and as I told you, the school budget has to have a C, food service repayment line in it. >> Well, let let me ask you this. In the prison system, which is obviously

121state run, they've got a instead of >> I don't like you really categorizing over here. Okay. >> The food service supervisor is also a nutritionist. Does this supervisor right here is is he or she responsible for the nutritional stuff that goes into our students in Ottawa County? >> Part of their responsibility is ensuring that the menus are nutritionally aligned with the state and federal government. >> So, who would who would take care of that? Why not let a manager go? And they if they don't do that, >> the cafeteria managers technically and and honestly, they want to be able to have more autonomy over their menus. they would be held more responsible for putting those together, but ultimately a lot of the paperwork with the state would fall on myself and my staff. >> So

122a manager at Crew Primary School, just for instance, in Blackstone Primary, not having a head person say, "We want this same amount of food on each one of these trucks." They may be ordering pizzas for Mondays and Fridays, while Blackstone may only get pizza for Wednesday. >> Our primary schools have very similar menus. They would have to work together >> together waiting >> to make sure that they are >> there'll still be a manager >> um and and the manager also can work >> the managers will be there but they'll still have a supervisor >> sitting right there >> right okay >> well between myself >> so it would be her obligation to to take care of nutritional plant taking the position of >> cor correct um and the food the cashier managers are required

123to have so many hours of professional development every year so Part of that would be getting them additional training on menus and and nutritional values and all of that stuff to make sure that they are able to also, you know, help make some of those decisions. >> Well, I wish we was cutting more local funds rather than this federal fund though because >> I don't have any local funds to cut in this budget. >> I understand. But most of this is funded by federal fund. >> Correct. But it go Yeah, but it's only refunded. It's not funded. >> Yeah, it's reimbured. >> Refunded, not >> fun. Reimbured. They're paying for it, not not away taxpayers. We have to pay for it first, >> right? >> But they get it back. >> Well, at the end

124of the day, everybody pays for something in the process. >> Paying federal. >> Yeah, exactly. >> So, the big last area is capital improvements. And one of the things we were asked for was to really Where did the video go? I'll back out and put it back. asked to state where you've heard about capital improvement needs and what's needed and those uh different types of things. I don't know where the video disappeared. >> We wanted to to make sure you all understood what we have dealt with in this school over the past 12 months. >> So, as we talked about, the highest capital improvement need we have is the HVAC system at Crew Primary School. Um, as Heather has here, we've had eight floods within a 12-month time period due to ruptured HVAC pipes. And

125the estimated cost as we talked about earlier is about 4.5 million. So this is it raining primary uh back during the summerly tiles falling from the ceilings. >> That like occurred what a day or two before teachers were to come back. >> Yeah. I think we were I think we met that day was waiting for you to come to your office and y'all were down there cleaning. >> We were down there cleaning up. >> I remember that. >> Yeah. >> Um and then obviously that the pictures just of what actually has sheared off and that's something we've been dealing with. Every time that happens, I mean, you're talking about more expenses because we have to redo the floors. We don't know what's in the infrastructure underneath the walls where everything has seeped in and settled

126in those classrooms. >> Um and and talking about crew primary, we know it's a costly endeavor. Um and we're not asking you all just for $4.5 million off the top end. We are actively trying to find the funding to do the project. There is a school um construction assistance program within the state that'll fund 30% of that project, which means we would probably have to figure out how to fund the other $2.3 million of it. Um there's lease to own options where we can you basically pay uh a yearly payment for for that system until it's paid off. Um >> what's the interest on that? >> Um I can't remember. I should just something I've had it up >> in that school's getting ready to pay off some financing I guess from previous work. >>

127Yeah, July >> 2007 >> bond issue will be paid off I guess after next fiscal year. >> I was going to say I had it up. Um yeah, so it's about $166,000 for 20 years and and she was using a 3%. Um >> that's for the 2.3 >> for and that's with getting a BPSA bond which is basically what you all currently >> is that the whole four and a half or that >> that is getting the school construction assist 30%. So then that would be the the amount remaining. >> Mhm. >> Um so yes you could go we could go after another BPSA bond which is what you all are going to be not pay um the last payment for the current one that you all have ends in July of 2027. Um, so

128we could go after something like that. Again, we have a lease to own option that we could do which would be financed as well. Um, that might be a little bit of a higher interest rate because I mean we'd obviously have to go through a bank for that. Um, there's literary loans, but based upon my what I know about the literary loans right now, the state really is not giving any additional literary loans out. They're putting most of that money into the school construction assistance program. >> How many more years of life expectancy in that school? >> Oh, we're passed. >> All right. So, why would we spend $4.5 million in a building? We might have to replace it for a year. >> Well, so opposed to putting a spill unit in each room a

129couple thousand dollar. >> Crew Primary has a lot of issues. A lot of them we have been able to solve recently and some of them we're still having to keep track of. Crew primary has um foundation issues. It has drainage issues. We now know it has termites in the gym. >> So why in the world are we putting a new gate on the rotten post? >> Well, we've been able to >> build a new school boat. >> WE HAVE TO do build the school for the courthouse. >> Well, I will say so would I >> I WILL SAY in the last two years we have been able to mitigate the foundational issue. It was on one corner of the building. Um the fix that we put in has is working so far, but it is

130something we continuously keep an eye on. Um it is believed that that foundation issue was due to the the drainage. We have done a lot of work on site drainage. Um the playground has had a lot of work done to it to improve the drainage. Um, we need to improve the drainage around the the gym which will resolve while we're getting termites. Um, which we're getting ready to treat for the termites. >> I'm just wondering >> a lot of that will take care of a lot of the issues that we have. Um, >> I don't know about you, it I'm I'm cognizant of the fact that the county has a lot of other things going for it. I don't want to be asking you for 30 to $40 million to build a brand new school.

131>> They did it before. >> They may have done it before. >> It's coming again. >> There's a revenue source for that though that I will put out there. >> Only thing I'm saying is please look at a splitter unit. If you get to an engineer and he's going to get a big fee based on a percentage of what he writes up, he's not ever going to suggest you the cheaper, right? >> Well, so we had >> I know some schools that had splitter units in Meckllinburg, old school. They they had they they gave us some different options. Um one of the option was going back with the water source heat pumps and I'm going tell you right now it's not feasible. The attic space you cannot work in. Nobody should be up there in

132those conditions. It gets up to 150° up there. You cannot be up there working on these units. Not to mention we're really trying to get water >> out of the ceiling and roof area. Um >> that unit would eliminate that too. So the biggest thing that we were looking at is going with it's two intellipac two pieces of equipment that'll provide the hback for that entire school. Um it takes the water out of the equation. There's still some water in it, but it's completely different. Um you don't need the cooling tower anymore. We won't need a lot of this other stuff. It's a more simple unit with less problems. >> All right, Mr. Meyer. Thank you very Yeah, it's 9:00 question. >> Um, last year the schools got a 6.8, a little more than that,

133$6.8 million renewing America school federal grant >> and it comes I think in phases and it's a local match with each phase. >> So is that something you plan to use that 6.8 in the process >> that hasn't been approved. It's still sitting. >> Yeah. So, >> so just and part of that's on >> let me the grant application was approved as a whole for the phases. However, the continuation to the second phase is sitting >> on a desk. >> We've only got one phase. >> We've only been able to do one phase and we weren't sure if we were going to get all the reimbursements on that at that time. It is now just sitting. So, we cannot do anything funding >> state level. It it is sitting on the assistant secretary's desk waiting

134for approval. How many phases? >> So >> there's two. >> Three phases. They say >> so. Yes. And in a wonderful world, if we were to get the continuation application tomorrow, could we change some of the scope of what is in there to possibly help fund part of this? Absolutely. But that is a big what if. I mean, we have reached out to, you know, our our senators and our congress people to try to get information on why this is just sitting on a desk and why it's not moving. >> I wish we didn't know that when we visited because we probably could have helped reiterate that, right? >> Um, so it it is a big thing, but just so you know. So, what is actually still left in that Department of Energy grant is

135the roof replacement here at the high school and the flat roof section, the rest of the HVAC units here at the high school. Um, the gym HVAC units at both crew and Blackstone. There's VAV boxes which are part of the HVAC system. That's a variable airflow valve boxes. And then there's window replacements. Yes, if we were to get that continuation application tomorrow, we would absolutely look at the scope of what is in there to see what we could potentially change. So, if you got that grant though, have you gone as far to calculate the second phase is a 5% match, local match, and the third phase is I think a 25%. >> No, it's a 5% match across the board. We have the funds for that. Um, that's already encumbered. Um it's just a matter

136of getting the continuation application um to be able to move forward to budget per >> according to according to Mr. England's paperwork. Yeah, it's not 5% across the board. Uh phase two is 5%. Phase three is 25% cost match. >> We don't have there is no phase three for this. We only have budget period one and budget period 2. >> Good. >> So it's it's a lot better. is 5% for >> so I will also tell you and I know it's floated out there with capital improvements um and nobody wants to hear the word tax especially y'all I know but there is the conversation about the local referendums it's gone back and forth where it may be a state referendum it could be a local referendum on the >> you've already addressed that not to

137I've >> he's already working on that >> yeah what what I'd like to see us do tonight is come to some agreement where maybe board of supervisors and the school board could send out uh to our representatives, governor, whatever to get this 1% sales tax approved for local referendum. And if we were able to get that 1% sales tax, local referendum, then we would all have to work together to get the the people in this county to vote for it. But it's a big I've looked at what we get from sales tax every month. I look at my packet that we get and I see the local for the county usually well over $100,000. That's a month. Now included and not included in that is what the towns get. But if this thing went through,

138the towns wouldn't get any of it. it would all go to the county and that would be funds that we could use to help pay for a lot of this stuff. >> It is a huge win. And people don't like to hear the word tax, but it's pennies that you're paying at stores. And it's anybody that comes into a store is paying that. And there's a big difference between paying pennies here and there on something. >> Anybody that buys anything in the county >> county. Exactly. >> They don't have to be county. >> They don't have to be from here. Other people. >> Exactly. And but I have seen and I have heard from other school divisions that have it um when they've built their new school, it's paying their interest payment for them. >>

139Yeah. >> A retired law enforcement officer of Nawway told me that we should look into the uh the radar ticket by photo >> Wakefield got $1.2 million last year from that. >> Mhm. >> But it would have to come to record school. >> Let me ask another question that the countyy's got to do. I know and I think we talked about this before Marshia wanted our board meeting the lottery money that we get back is part of that supposed to go for school renovation or school construction. >> How much do y'all get from that? That was >> so that's that that operations and infrastructure money. Um it it does not have to go strictly to school construction. It it can go to anything that is part of maintenance and infrastructure. So it can go to

140maintenance positions, custodial supplies. It it it's not earmarked strictly for construction anymore. >> Construction anymore. >> But it can it can be though. >> You could use it if you did not need it for other things. >> I'm just going to ask one more question. The uh the how much of this is not mandated? In other words, the federal government, the state government says if y'all do this, this, and this, you'll be guaranteed to have your children uh competitive in um whether they go to college or go to workforce. So, that's basically what I consider to be the mandate. How much outside of this is not the mandate? I don't have that off of. >> And then while y'all are thinking about that, I just want to thank y'all. I want to thank all y'all,

141especially you, Miss M, and and Dr. Martin, simply because y'all been very gracious for my ignorance and I appreciate that cuz you know, last year this time, I don't want to say I was still fighting for my life, but I wasn't able to attend here. And it it means a lot to be sitting in this room with y'all right now. So, thank y'all. I will tell you and I don't know that off the top of my head. There's lots of unfunded mandates that come down that we have to do just like right now we have a indoor air quality that we have to do but there's no funding >> attached to that but we've got to do it because it's required. Um so there's lots of things like that that come down. Um, and I

142wish I could say I knew exactly what all of that was off the top of my head. That's that's calculated into that, but I I don't. Um, we've got a couple extra slides just so you know kind of what our other capital improvement needs are. Um, with some estimates are strictly estimates. I actually used um, Department of General Services to put together some of these. Um, so within the next couple of years, Blackstone has a flat roof that needs to be replaced. We have ADA upgrades that have to be done. Um, we are working on a transition plan now with the company that we had come out and do our ADA assessment, which there again that was an unfunded mandate. Um, so and I actually split the ADA upgrades into the 1 to twoyear category

143and the 3 to 5 year category because there's a lot of them. Um, security vestibules are still a big thing that we know we need in our schools. Um, milling and paving here at the complex, there's lots of potholes. Um, and this is the only we were able to do the other two schools a couple years ago. Interior painting. Um, I can't tell you how much just a fresh coat of paint does to raise just the morale of students and staff. It makes it feel clean. look clean. It gives them pride. We have been able to do some interior painting with funds that we had left over at year end. I'm hoping that, you know, if we have funds like that, we're able to continue. Um, bathroom remodels, we've been able to do some, but

144we have a lot more that need to be done them into compliance >> with ADA standards. Um, at the middle school >> that make you feel good. Um, we have a a chilled water pipe at the middle school that needs to be reinsulated cuz the insulation is shot and it's causing water to drip on our ceiling tiles. Um, the exterior doors at the middle school also need to be replaced. Um, they're kind of they're starting to rot within the next 3 to 5 years. Again, the continued ADA upgrades. Um, ceiling tile replacement. When I talk about ceiling tile replacement, it's not just the tiles. It is shoring up the grid. Um, at the intermediate school, we had some of the grid actually fall and collapse >> into a classroom, which thankfully there were no students

145in >> were in there when it did it. >> Um, so we know in that school particular, we we've been very much on top of it um inspecting it and and trying to mitigate as much as we can, but that really needs to be looked at across all schools. Um, some of our playground equipment is going to need to be replaced. Um, we were able to add some new stuff with Esther money, but we still have a bunch of old stuff that is going to eventually need to be replaced. That is just for safety and security of our students. Um, elevator upgrades, they're old. Um, but thankfully they can be retrofitted. They don't have to be completely 100% replaced, which does lean to a lower cost. And then just within the next seven years, um

146HVAC and roof replacements at both intermediate middle school will need to be looked at. And then um the inter the flooring on the intermediate school really will need to be looked at replaced. If you walk in that building, you can tell that it ripples. Um >> I thought that was concrete. Oh, no. It's not not I think the middle school concrete >> concrete is the tile, but it it is it really does need to be painted concrete. >> Um at some point replaced. I did put that more in the seven-year category because there are other things that are a little bit more important than than that. >> But again, I go back to what you said, Mr. Ingram. If we could get people to understand this is not a huge tax increase on them at

147one time that you're paying you I mean I I know I did. I still needed eggs in my house when they were >> $6 a dozen. All right. >> $7 a dozen. It doesn't affect you as much when you're paying a penny or two here or there on things, but the amount that the school system could get for school construction, because that's solely what it's used for. When you look at that list there, school renovations and construction, um, it's the word tax that's associated with it that people see and they get, >> it's in the promotion. If we promote it, >> promote it the right way. >> People driving through here, it isn't just the residents. It's not just the residents in Ottawa County. It's the people that are out at Fast Sea that are

148coming into town, the soldiers that are out there that are shopping. >> If anything in that and I hate to tell people that if you go to Prince Edward right now and you buy something in Cineber County, you're helping fund their school construction and you don't even know it. >> Indirect for a joint resolution >> and I think they send it they favor that. >> Yes, sir. >> I think we send it to our the governor, our elected officials. uh chairman of finance committees with both parts of the uh general assembly so that they understand that we're a poor county and we need money anyway we can get it and this is a way that we can designate funds to go for school renovation or construction and like I said I've been looking at I

149look every month to see how much we've taken in sales tax >> and it's it's at least 100,000 so you multiply 100,000 times 12 $1.2 $2 million we could take in. >> I would suggest we put that who put that on that next >> next week's March agenda. >> It's my understanding that it has a lot of support going behind it. >> We'll put that on our March agenda. >> Everybody agrees to >> noformational counties of that. >> Well, I think sales tax >> I think when I was told it had passed the house, but it hadn't passed the senate. Senate right now, I think. >> Yeah. So, I think I think if it gets through the Senate, I think the governor will sign it. >> I think that's what my understanding is. >> I

150mean, 49 taxes she's got ready to come up. >> This is just a local referendum. 50 of >> local county sales tax or of the sales tax that is paid in Ottawa County. How much does the county get? >> What I've seen in our packet, again, I don't know exactly, Bill, what the, you know, percentage is. All I know is every month we get a print out not well in our packet that we get that shows how much money that we got from state sales tax how much each town got. >> Yeah. But we split that comes out of that. You have to do the math on. >> Yeah. But I mean what I'm saying is I can tell you how much of Blackstone gets on a pack of cigarettes that the county don't get

151that >> anyway. But so choose we can put that on our >> Yeah, I'll put that on cigarettes. I think that's a good idea. suggest you do it for the 19th. >> We can put that on my agenda's for March and we can work on that. >> We'll have a work session on work session on the 12th, Steve. >> Yeah, we got a work session on the 12th. >> We have a regular agenda for the 12th as well. We just vote in regular sessions. >> So, >> we don't vote on work sessions. >> We don't either. We can work on the with the work on the >> I'm going to close with this then just to wrap up everything for you. So, just picture this. I like to tell I'm a teacher at heart. Can

152you tell that? I'm a teacher. >> I had somebody just say I want to make a motion. >> Believe me for telling all the stories. >> So, as we close, I really want you to picture this. Picture a teacher who has given everything to the school division. Mr. Ingrams when he was here some of those >> 39 years >> um years of service mentoring students staying late at school showing up to ball games and being told now that their position is eliminated from the budget. And I'm not talking about one of them. I'm talking about 54 staff members in Nawway County. Picture losing staff who live in Nawway, shop in Nawway, raise their families here, volunteer in our churches, coach our youth leagues. The very stability that holds a small community together. Picture students walking

153into school in August to find their classrooms larger but the support much thinner that they're having. picture explaining to a family why intervention services are no longer available, why their struggling reader must have to wait now, and why their child needing mass support is going to do without. Picture walking a parent through a building where temperatures cannot be regulated, where mold and mildew appear because of HVAC systems have failed, where a roof leaks because it has reached the end of its life, and explaining that we chose not to protect the infrastructure funding that we have. picture sitting across from a business and industry leader explaining that the schools that once expanded their employability skills, their certification, their career readiness pathways are now scaling them back because we don't have the CTE support for our students.

154Picture telling them that we could not sustain the very programs that strengthen a workforce pipeline around Nawway County. And then years from now, picture explaining why we had the opportunity to protect the supports and we're choosing not to. And I tell you again, it's more than a budget, more than a pie, numbers on a piece of paper. It is really truly about whether we're going to keep progress moving forward and safeguard that investment as well as building what the future of our students here have in order to be successful. So, I know we appreciate the time and I'll give it back to the chairman. >> All right. Do we have anything else from anybody on the school board? >> Yes. One one little thing. >> Yes, sir. You talk about the uh people getting their

155certifications and things. Well, young lady got a certification at the ENTC. She actually works. She's a medical assistant. 18, 19 years old. Got a job right here at the uh Burkefield, whatever that is. >> Uh, right. Got actually a job. So, when we was when I was coming, I don't think there was no certification. you didn't get a certification. You had to leave, >> go get a certification. So, just that right there >> should make us say, "Okay, let's make sure we help our children." >> Mr. Wilson, I'll add one thing to that. So, we had nine students pass their firefighter one certification. Um, and I I had respect for our fire services and EMTs and stuff before, but I actually went into that burning building myself. I suited up in that gear and I

156experienced what our students were going to be experiencing in there. Um, not to say I was only at 400 some degrees, not 800 I think that they got to, but that provides a support uh from the school division to them to help continue their processes and to recruit people. Um, and those were some of the most excited students that I saw and tireless effort and the whole county came together to support them in that process when they were testing on Saturday. Um, but it gave me an even greater appreciation and respect for our fire and EMT services because I couldn't see anything in there. And it teaches you you better trust the person that's standing right there with you because at one point in time they said something about they had to pull a dummy

157off the steps. And when I went in, they said, "Watch out for the dummy on the steps." And I'm like, "Are you talking about me or are you talking ABOUT MY MILLIONAIRE THERE?" >> But going into something blind and those are the things that really give our students the opportunities here in Nawway County. I don't know if I'll ever go into a burning building again, but I have have experienced. >> We had a we had a matching grant last year to work on that that building. But that works hand in hand with our goal to our volunteerism is dying with our fire and rescue. And that program will allow fire. >> And our goal, what we would like to do is offer firefighter one in their junior year and offer EMT in their senior year.

158And that way they come out of here with two very >> employable skills. >> That's what we every county around here needs them. So that's a wonderful program. >> Does my Does my board have anything? I just want to add one thing if >> I may. I've been asking questions tonight, but I you count my 12 years in Nawway County Public Schools when I was a student. Count my 39 years teaching and coaching. That's 51 years of my life has been spent in the school division. And I support Nawway County Public Schools and I will do whatever I can to help. Don't think that I was asking questions to be nosy. I was just asking questions. And anything that I can do to help, I will do. >> And I think that's really important because

159school finance is a different beast of its own. Um, and it people from the outside looking in are like, "Oh, it's just one big pot of money and you can do whatever." No, there's lots of different strings and provisions and it's really difficult to understand school finance and spending a lot of time in it. So >> I have two I have two members that have one thing. Mr. Abbott and >> I briefly have just a reminder the school's budget does not have a reserve. We are obligated to meet that budget. If we fail to meet that budget, people lose their jobs. >> Miss Nugget reversed. >> So you know talking about y'all y'all know my heart for special education. A lot of that comes from my home because I do have special needs children. But

160um because of the extra funding that we've been able to do, it will directly impact the county. And here's how. Many of our special education students, they may end up on disability, right? which means they're not going to be individuals who are going to be out earning income, making living wages, and contributing back into really society. Because of the additional things that the division is currently doing, they have been able to send these students out into the community learning trades while they're a high school student to better enable them to be a member of society who can go and be employed. And I'll just share my personal story because it just touches me. So, y'all know my son Jr., you know, um, so he's one of these students. He returned after he graduated. He's going

161to continue his education and he has started working for an automotive repair company in town. I was able to take my truck there and my son, who did not graduate with a high school diploma because of his educational ability, actually was able to put steps on my truck. So this is the impact that these additional funds is having. You made a big impact in his life. And now when he gets up, he's like, "I need work clothes, Mom. You need to buy me some work clothes cuz I'm going to be working on vehicles today." So, you know, yes, it affects teachers. It affects all of these things, but it also affects years later because you change a child's perspective from I can't to I can't. >> That's good. >> Yes, indeed. >> Good. Anything else

162from our on our side? >> That's it. >> All right. The school board was Miss Norton. >> School board would entertain a motion to adjourn. >> Oh, Miss Oh, >> they always leave me. >> Leave you out there. We say same with delay. >> Since I'm on the finance committee and I'm a numbers person and y'all threw out a lot of numbers, I do hope y'all give us this presentation in an email. There are 5,611 households in Ottawa County. It's quite daunting when you see that you spent 57 47 million in our school budget. That comes out to $28,000 a student. But that's not all local money. It's state and it's federal. It's a conglomeration. But it does come out to $131 a month just about per household. And the way you presented this put

163a whole new spin on this. Marshall, I really appreciate you sitting there being engaged and not sitting behind your computer all time. You told us the true story, the facts, and you made it look like each one of us were there. I have grandchildren in the schools. I went to the school. My kids went to the school. It's not easy. But the hard truth is we've got to come up with $7.3 million. And I don't know how we're going to do it, but from that presentation, we have to. But two, I would like I sent an email while we were sitting here. We're going to help push along that $6.8 million grant. anytime you've got anything at that level, please let us know that we can all work collectively to hound our legislators to get

164it done. But this is going to be hard, very hard, considering what we've got to deal with. Just know we listened and I appreciate this banter back and forth and the calm. M >> M Mr. Chairman, she did not bring up the $80,000 they saving where we're spending at Blackstone Primary. >> Blackstone. >> I mean, Burkeville Elementary School. I WANT to tell you that $80,000. I didn't see that up there. Did y'all see it? >> That was a choice you all made. I just didn't see it. I thought it was >> That was a choice you all made. Don't lay that one on us. >> Pursuing smaller government. We had a meeting over there the other day. >> Wonderful. That smaller. >> Anywhere I go, everybody says cutting and I go meet people. said, "No,

165don't cut that." >> Of course, thank you from the bottom of our twisted. >> All right. The school board will entertain a motion to adjurnn. >> So move second. >> Any discussion? >> All in favor? Supervisor? Anybody? >> Mr. Chairman, my ankle monitor. Second favor.