All right guys, good evening and uh it is 5:30 so we'll get this uh meeting started. Uh we do have a quorum. All members are present. We will stand for the pledge of allegiance. >> I pledge allegiance to the flag of the United States of America and to the republic for which it stands. One nation under God, indivisible, with liberty and justice for all. Do I have a motion to approve the agenda? >> Thank you, Katie. Do I have a second? >> I'll second. >> Any discussion? >> Hearing none. All those in favor approval of the agenda say I. >> I. At the same time, motion carries. Consent agenda. We have approve of the previous minutes from June 15th. I have a motion to approve those. Thank you, Kate. Second. >> Second. >> Thank you. Any discussion? >> All right. All those in favor say I sign. Motion carries on to 4.1. Uh discuss questions. Anybody have any questions or anything they wanted to discuss? I do appreciate all the questions that you have for uh superintendent geese, myself and it truly to me it means that this this board is truly engaged and uh takes all the decisions we make uh seriously and always uh decisions we make uh are always related in what's best for our students. So thank you Was there a question generated for the ballot? >> Um, what I did is and and we reached out to others and because your conversation was kind of a little bit between 400 and 500, we had them draft both um just to be safe. Um, we have a little bit of time. You can wait till the next board meeting to approve one of those. If you feel comfortable tonight, we can certainly do that as well. Um, but I did draft the 400 and 500. If there's something else that needs to be done, again, we have a couple weeks something, but those are so discussion this will be to >> correct. That's what the difference between. >> Yes, I guess. >> Do you want me to send you the thing? >> Oh, no. I won't. >> I have a computer. >> I pulled it up. I can tell you. Um, for the 400 and500. So for a $700,000 house, so the the most that we saw in our graph, uh the $400 option was $35.83 a month. The $500 option was $44.83. So a little under $10. >> What was the roughly right now? >> So are you talking of dollars that's generated? would be generated per year with that levy >> for 400 it's 858,000 for 500 it's 12 million since you said it was 35 for about $30 for the 400 >> for a $700,000 house I think the medium price range is close to 450,000. Do you want that number? >> Actually, they told us it was 350 if you combined building. >> Okay. So, for the three that makes sense why it's none at all. Okay. >> Um I was just going to the most, but for 350,000 it'd be this is the smallest by the way numbers. I've never seen anyone put on something. 1792 a month. And then the 500 um option is 22.42 a month. And that's based off the medium house. >> So it's just about $5 more. And that's in the average $350,000 home. Yeah. >> But that difference of 4500 would net us almost an extra 200,000 about it. >> Just yeah about two little,000 more a year each year for 10 years. looking at that then we had talked about if that was if the 400 was not enough we have to come back maybe a year or two later on to that so I think that should be a big part of our decision too >> even if we didn't pass anybody like you In about five years, we could be short up to 900 almost million dollars per year. Correct. >> Yeah. >> And that's not that's including right sizing making cuts. But even then, I mean, if we got to the point right cuts, that's not just cutting a director's position. That's not just cutting or two teachers to make up. I mean, that's a significant cut. >> And and it's based off enrollment. I mean, those are the projections we really look at. Right sizing makes sense when you have less and things like that. It's the enrollment that progressively in the whole state of Minnesota continues to go down. >> Are you able to talk about if like what kind of cuts would be made? Let's say we go for the 400 versus the 500. What I know that that's still not able to meet our budget exactly. So, what kind of cuts would we be looking at? >> You know, that's something we haven't really discussed. Um, you always look at things that least impact kids. Um, we have been really blessed with opportunities to add clubs and and things that maybe only 10 kids are part of or something like that. Um, usually start places like that. We want our kids to be involved. We want them to be active. We know that's good for kids. I would think you would start looking there first. Um, we always look at administration, but you know, we ran all those numbers. were very low in administration compared to other comparablesiz districts. um you know they they did a audit on our district office I think it was four years ago and they were you don't have a human resources director you don't have this you know um each of our buildings have 750 kids approximately one principal and a TLC that serves as an assistant principal we're not trying to fool anyone that's with that that's very very low for that number of kids so you try to look at administration if you can um you try to look at you know, programs that maybe have been added on but aren't well attended. Um, for some schools that might be CTE, what if you could only get five kids that wanted to build a house? Not the case here. You know, we have waiting lists. People want to do those kinds of things, but you would look at those programs that maybe just don't have a ton of interest. Um, a lot of transportation options get looked at. I've seen boards repeatedly look at lock zones, and we certainly have those here, but you know, Johnny needs a ride and you know he's in kindergarten. We tend to pick them up. Um things like that. We don't enforce every single corner of that. Um we put a few more kids on buses, you know, looking at those kinds of things. Um I've seen districts look at prolonging purchasing things, which for example in the area of transportation could be quite dangerous. Right now we're we haven't purchased a bus in years and that starts compounding. So, I can guarantee you none of those things have been talked about because it's your job to kind of decide where we're going to be at, but those are the things we gravitate to first. It's always things that impact students the least amount. >> Yeah, it's always not fun. Right sizing is just something that happens and it works and people leave the district and then you don't replace. Those kinds of things happen. Cutting would be new to K, you know. It's hard. >> And then with the right sizing that you've done, uh, you've been proactive in the way that you've gone, uh, about it so that if we need to bring it back, we can bring people back. And I love that aspect that we're making uh, >> it's nice to see that because it it allows us to evidence what we need to do. And as this goes on, I'll have Bob come in and do a presentation on this district has been remarkable at watching pennies. He's got it down to like the L, for example. He knows exactly what has been spent for the last 10 years and where that money has been accounted for. It's it's pretty remarkable. Not every district really watches their pennies as closely as that. Um, you know, more recently with the decrease in enrollment, we started doing that more, but this district has a history of being very good with their funds. Hence why you're one of the only districts that has never gone up for levy. I think that's something to be proud of. We're just at that point where we have all these great things. We just have less kids. That's no one's fault. That isn't a school board making bad choices or things like that. Um, whatever you decide tonight, we will come back with a plan. So, your question is a good one. It's just probably a little premature if the board decided tonight, you know, we're not going to do anything. I would be coming back to you with a plan to react to your decision. That's my job. >> Hopefully that makes sense. >> Can I add a couple things? What about the school funding and how it hasn't accounted for in a big part of why we're going down this journey? >> Absolutely. >> So, it's not even individual, it's more broader than that, would you say? >> Oh, it's it's just thing we continue to do. I mean the latest one is family medical aid. Great. I mean great for families hard on schools. We need to get some um employment insurance. I mean I can start rapping things. >> So one of the other things too um and the next board meeting we'll vote on the LTFM fund for that but has been operating at a deficit for two years because of funing. So, it's just stuff to keep in mind looking at projections. It's harder and harder to be a school. I started with there was a 23% fun balance and now I think we're at eight, but don't quote me, but we're at a low number. We and we have been moving around admin we've been minimizing to the point that admin are nervous because it's hard to operate. But I think we have three that run the entire building now um while numbers are going up. So, it's just scary right now to be in public education. And I'm glad that we're being proactive and considering these things, but looking down the line, it's hard. >> The other big thing, and I've got a list all going for you because now I'm putting everything together, the amount of revenue that we've gotten from grants just this year and last year. I mean, it's it's significant and I'm really proud of that. We should probably do talking about that more. So, I'm going to bring all of that information back to you, too, because I liked how many of our I mean our taxpayers ask that question where are you are you getting money from anywhere else. Yeah maybe we should continue to talk about some of those grants that we are getting if Jessica goes here or Jessica and TLC's in general's always working on something. Yeah. And one more punch for Zen. We do save a bunch of money because of that conglomerate the way we um >> structure. >> Yes. Well, certain instruction that we use for or grants that cover like ELLL, we share different staff resources. So, it is so beneficial costwise effective to go through that too. But that's developed. It's good for us. Okay. I was just going to maybe kind of tag on what Kate was saying about the funding formula. You know, we have all these different little pots of money like revenue that helps provide security and the building. The last time that that formula was changed was back in 2013. Yeah. You stop and look at how much cameras and security pieces have increased the cost of the SRO. As our enrollment continues to decline, that pocket money is getting smaller as well because it's based off the number of kids cost for providing the security and the SR. So it just makes it that much more difficult to be able to keep safe. That's just one example. >> One other thing that worries me is the cost of insurance rising. I know there were people working on it, but I mean even this year some of our staff took a pay cut even with a raise because the cost of insurance went up which Mr. Loki came and talked a little bit about but that's an ongoing struggle too for schools is to provide affordable benefits. Um, so yeah, I think there's a lot of things to be worried about financially in terms of the valuation where everyone's feelings or thoughts and I go ahead start that off. I personally comfortable starting out at 500 hours and totally our resources of influence and information to campaign. I would agree I I want to go on top of that is the main factor that I want uh to go with the 500 and I think that's where we have to go is that I don't want to come back to our same uh community and district and people that expect us to to care of things in two years and say we need another I think it would be not productive of us to do that and so that you know I don't I don't personally I it would bomb his and and everything that we've done over because I didn't even want to do one but I've seen what we needed it's crucial it's very evident so but I feel like if we're going to do something I don't I want to do it all you know what we don't 100% so that we can make sure that the district in the future. >> I was going to say that I um I think that we should go for the 400. Um if I had my I would go for the five like 500. I'd go for the highest number if we could. Um, but I felt like after speaking with the consultant who we hired to help us make this decision, she made it very clear that she was comfortable with the $400 level and did not think that the 500 level would pass. Um, so I would ask if the 500 level fails, what's the backup plan? That's where I get stuck on. I can't make a decision based on what I hope community members will vote for when we've been given this data from somebody who really has is an expert in this field. I think one of the things that I heard from our last meeting from the results was there's positive um support from our community and there's also a group that needs more education or more information before they can make their decision. So I think that's also our responsibility to make sure that we go out and we share the information um you know we have that knowledge you know and that information that was given to us but to really um share that with the community um back in 2014 I was part of that commitment to excellence um and when we did that it was the same situation there was a lot of questions from the community um and so there was information sharing um a lot of support came out and that was passed back in 2014 for this beautiful Um, and I think the same can be done with this is our community is very supportive, but they want us to be responsible and they need the information so they can make that decision. >> Community outreach team. >> So that was a group of um, community uh members that were support of it. Um we got together, we were given information on what would be um you know with that going through and then we just had you know spreadsheet and we reached out to people would you like to learn more? Can I share information and then just making sure that we had you know meetings set up kind of open meetings that people can come to and to learn more. So, it's a great community to be on a lot in 2015. >> I also feel like Elizabeth to address what you said also think that we're doing this so early. So, let's say do have something that we have in a year and then we can go maybe for that 400 at that if we need to. But I don't I don't think we'll have that issue. I think that we can address it with the committees and then also being in the alliance clubs going and visiting those people showing them what we've done and where we've been so far and what the need is. I think we can do that. I just it's going to take hard work, dedication and time, but I think I have two thoughts. I love how positive our group is though because even when she was on the screen, we were like, "What about this and what about this?" And I have significant like worries and fears about the finances, but it sounds which we were going through with her, she accounts for the percentage that would come up. So, I would rather have it pass than not pass. Um, and I also like am concerned because there are a lot of districts that then in a couple years go for more. But in the scheme of things, if we could pass order and then when we need to do it again, it is showing fiscal responsibility of like we're doing the best we can, but we need to come back for more. Uh it's hard because what it looks like now being on the school board and seeing how much it takes and how much um I remember when I came on and they were like oh okay financial experience that'll be helpful and I was like that was did not apply whatsoever. Are you kidding me? Like money comes in a year or two years later and you're projecting things but you don't always get reimbursed for things and it's very hard to maintain a district but if you don't have strong schools you also have declining enrollment. People come to communities for strong. So I do see the benefit of keeping everything we have and I don't want our community to lose things to then be reactive to it. I love that we're being proactive, but I think we're also being really positive in the way we were at the previous meeting of we could do this if we all just buckled down. If we all just share the message and I feel that too, but I also want to consider like what she said. I'd rather have something pass then go out and have a failed levy. Even though like when you ask to money the the most on our graph I mean there's not many houses over 700,000 but it's less than $10 more a month. I have mixed feelings. That's what that is. Any other questions or concerns or else they like to discuss? Do you have any thoughts on the difference between 400 and 500 and the difference it could make on our school district or the troubles it would cause and you know go from 400 years where you know you know we're at that point where we actually have still 200,000 deficit. >> Yeah. You know that's the difference between governance and management. I will do whatever you guys decide tonight. I think this is a very intelligent group of people and you're going to make a great decision and I will make that work. Um I come from districts that have been sod and you know you're kind of always trying to get out of that hole. I've been in districts that not just declining enrollment but people are enrolling out little different case here every day. I mean I think there were a couple more today that came in. They're enrolling into our district. We are definitely a district of people want to be here. Um, so with that positivity in my head, I feel like I can make anything work. If the board decides 400's where we want to go, I'll get that through. We'll work we'll work our tails off and make sure that that gets through and make sure our community knows what they're voting for. If the decision is 500, that's great, too. You know, that keeps us that one step ahead. Um, anything else that might come your way, any more unfunded mandates or decisions that we are out of our control of our hands, those kind of things. But you decided on 400. We can we can make that work. There will be some right sizing that goes along with that. That's not always fun, but got a list of things we did this year and we'll continue to look at things always as they come up. I know that's not really an answer. Um my answer is whatever you decide to do as a governing board, I will I will get it through. Even if that's nothing, I I will do that, too. >> Okay. The other thing this just popped in my head that was very eloquent of you by the way um is that the next board will have three new members. So it might be hard to learn and pull this through you know like looking forward and then I speak for Bob but having Bob as a to our benefit. He has so much information just things to consider because in January it'll be a different board and so if it doesn't go through what does that look like planning futuristically I don't want to make anything harder for our future groups but just considering how hard it was to just learn school board coming on things to consider. There's a lot of whatifs and if you you're going to end up doing that all night, you can do that. >> It's the governor's race. It's constitutional amendment. You know, there's there's going to be a lot of things on that ballot. I mean, you could do what if all night. I think you just have to maybe decide with your gut and just whatever, you know, wherever you feel. You're not that far off. You don't have a group that's saying we need 900 and you don't have a group that's saying how much is 100. You're talking a very, you know, four to5 difference per month. >> Yeah. >> So, and although that's a large amount to some people, I don't think you're as far off as you think you are. >> Yeah. I want some kind of confirmation that this is going to pass is what I'm trying to say. I just want >> And Bob used up our crystal ball. I told him not to. He looked into the crystal ball. Yeah. So, Just one last thought. My feeling is see, you know, the difference $100 seems to make a big buffer. You know, $200,000 is a big buffer because who knows what's going to happen in five years. You know, I mean, whatever, like you said, whether mandates are passed and, you know, the 400 just covers us, right? Just covers our deficit. I'm supposed to be rejected, you know, 200,000 gives us a little bit of buffer. And the way I understand it, right, it's for 10 years. that 10 years we need to roll that into another 10 years without a vote right community vote >> um that pass future for board I mean that's a >> board still can decide to always take it back to the voters a lot do >> but but I guess my point is that I mean that's if we get 500 pass you know we go out we do the hard work I mean that's a big chunk of money for the next ideally 20 years that we secure school district and secure you know for the future I would lean towards I mean going to the 500 and I hope we can get the community behind it. That's as far as >> and I think like I kind of I'm looking like I want to say like I want the 500 to it's not I'm not trying to be like a Debbie Downer about it. I just also when I have to make a hard decision I go back to what is the data that I have because I'm a very hopeful optimistic person. So if I make every decision based on that like nothing would come true. So, um that's where I I lean back on the 400. Um I hope the 500 would pass. I just I I note more on what the information she gave us. One more question with I know you worked with her before. Do you know if have you had experience with districts that went against her recommendation? Um, no. Um, there's a 4% margin of error. I've seen the survey be off up to 4%. So, that can make you a little nervous when, you know, we were at 53 or whatever it was. Um, surveys are they're just surveys, you know. Um, but no, I have not seen anyone that has gone against that. I have seen um districts can falls as an example where they didn't pass the next year they went for a higher amount and it passed. That's because they did make some reductions. >> No, that's the feeling the pain. >> We'll have to discuss strategy on you know do you want those ahead of time. Some people believe that having a list of things ahead of time is the way to go. I will follow your lead on that. Um if we just want to see how the the vote goes first, we can do that. There's lots of different But I guess I I can't think of the district that has gone against that. Um I I could certainly look into that for sure for you. >> Yeah. Just curious. >> Yeah, I am now too. >> I have another question. If we went for the 500 and it did not pass, um I know you can't say what would be the plan, but what would be the plan? Like I know a new board would decide that, but would you just go out the following year? What would that look like? Was it all another year? >> Yeah, you would always want to go the following year. That that I can say pretty confidently. >> You'd have to find that $258,000 difference. Think I'd write out my number on that. Um, and then rerun that next levy trying to figure that out. You want your projection. That's why looking at Bob's materials are so important. how big that gets over time. And so you never want to get away from that. You don't want to say, "Oh, okay. We won't do anything. We'll go for a lower amount next year because all that does is compound." And you know, we can we can have a a finance meeting on that. We can do whatever. And we can he can show you how it compounds. So we have to look at some things, but we're doing this at a time where we're trying to look ahead. We are not in frantic mode. We've got open enrollment coming in. Um, our kindergarten numbers are back to where, you know, we use the crystal ball. That's what it was for for the kindergarten numbers. Um, kids are, you know, they're just not registered for kindergarten right away. We need to be patient. Um, so I can't tell you what the plan would be, but I would certainly encourage you to go out the following year. This is a tough year because it's a high vote year. Um, it's a lot of states are in the same situation. It sounds like every district's going to have something on the ballot this year, next year. >> I'm not sure of any other than um there's districts that may have a data center or something like that, you know, bringing in funds, but everyone else is going. >> Exactly. We will not be alone. >> You're not a dead. I appreciate I really do know that. That's what we need. I'll be very clear. Is it okay if I make a motion? >> Um, yeah, you can. I just wanted to say something. It's like, you know, it's like I appreciate the survey. Um, the biggest thing is like said, it show a lot of support for the from the community. Um, but the survey is a survey. It's not it's not on the ballot and it's not talking to our fellow community members in the grocery store throughout church. And the experience I've had is overwhelmingly is in support of a levy. So make a motion 500. Okay, we have a motion to $500. Second, Mr. Further discussion hearing none. All those in favor say I. I post same sign. >> I motion carries. Thank you. 5.1 action items we have not. And the lastformational we have a regular school board meeting on July 20th in the screen here and a special school board meeting uh August 3rd. Same room. So I'll take a motion to adj. >> I'll second. Thank you. All those in favor say I. >> I. Same sign. Focus. Thank