good evening welcome to the January 11 2016 regular meeting of the edina school board like to call a meeting to order first on the agenda is the annual election of board chair any nominations for the office of board chair I'd like to nominate Lenny wall and Friedman for board chair Lenny Wong Freeman has been nominated and seconded any additional nominations seeing none all those in favor of Lenny as board chair please say never saying aye aye opposed motion carries congratulations Lenny would you like us to go in a particular order mr. chair I'd like to nominate Sarah for Vice Chair are there any other nominations hearing none all in favor aye next is treasurer do I have any nominations for treasurer are there any other nominations hearing none all in favor aye and next is secretary do I have any nominations any other nominations hearing none all in favor hi hi any opposed no Regina welcome next is the approval of the minutes we had a meeting on December 15th the regular reading look at assistant treasurer Oh assistant Claire I'm sorry we have nominations for assistant treasurer sorry I nominate Amir Garvey for assistant treasurer any other nominations hearing none all in favor hi welcome Amira in the mirror this is your first meeting welcome to school board thank you I have nominations for assistant clerk Claire I nominate Lisa Brian and we have to correct you yes and Randy Meyer any other nomination all in favor hi thank you everybody now we're under a minutes Randy yep we have minutes from the December 15th regular meeting and December 18th special meeting do I have a motion to approve the minutes so moved second any discussion any Corrections three none all in favor aye Sara do we have any members of the audience next is the consent agenda do I have a motion to bring that to the floor second certainly can we have again this since this is our organizational meeting we'll have the reaffirmation of policies all the district policies will stay in place the school board compensation this remains the same as it has been in previous years the appointments of the district architect which we old architect district auditors Margo remind me of all those names on the audit area MMK our mission and we have a variety of legal counsel that also represent the district that's an annual effort the approval of credit cards and the use of that the delegation of authority both for electronic fund transfers as well as pays pay claims a prior to the board approval we have our designations for depositories their data prior compliance of officials which is required by the state our official newspaper will be the son current we have some signatories that we have as well as the pay equity implementation reports it's the report that's required by the Minnesota Management and Budget Office it was formerly Department of employee relations we'd ask that for approval we have some field trips with the Model UN which is Highschool group both going to Chicago and Berkeley and that would conclude the consent agenda items for tonight are there any requests to remove anything from the consent agenda any discussion on that consent well there's no discussion all in favor next is reports and discussions the only discussion item is board committee appointments liaisons and representatives we discussed this at our past meeting special meeting on the 18th does anybody have any changes or requests in relation to that we just talking about the big five or are we talking about all the big actually at at the 25th we should be approving all of them yeah yeah okay I I don't have it on the agenda we certainly can by policy it's appointments by the board chair so people have questions I think we could refer them to the board chair prior to the action on the 25th what we have four committees we have a board Facilities Committee this would be David Randi and Regina the board Finance Committee would be a mirror David and Sarah the board Human Relations Committee is Randy Sarah and Lenny the board policy committee would be a mirror Regina Lisa the board teaching and learning committee would be Regina Sara and Lisa all of these committees are advisory only in function they work very closely with district administration to help shape recommendations that could be brought to the board either at a work session or for recommendation by the administration for action through the discussion process the board also has a variety of liaisons positions that again will be quite consistent we've had in the past but it's representation to various organizations and agencies where the district has been asked to be involved or that we need to be involved then each board member also has a school site that they will be kind of a liaison Segen between the school board and the school sites and working with their leadership councils there are some other representation board representations that are also involved again would be all finalized at the January 25th school board meeting the board can review review those and if you do have questions at ingrate should contact Lenny Sarah or me and then we would incorporate that into the action for the 25th there's one missing so mental health and wellness now meets and that's not okay that thank you any other questions or discussions at this time hearing none we'll move on to the action items the first action item is approval of a purchase agreement with Keene properties a motion so moved introduced Margo Bach and the team that has been involved with this agreement good evening superintendent dress and wear chair while I'm freedmen and school board I'm really excited to present this tonight this at particular agenda item because it's a culmination of many years of work that predate me be in the in the district it actually goes back into the I think 90s that on and off the school board has had discussions about potential properties for the bus or transportation facility team of people has worked on this over the LAT course the last four or five years I'll provide some history and background since much of our most recent discussions have been under closed session for land negotiations but want to acknowledge David white and Eric Hamilton internally that have helped to work on this process our district architect of on Dirks jack rice with rice and companies Rob Lunds with Nicollet partners and Kathy Sela former school board member have all been actively involved and Barbara's our district attorney for the land negotiations and purchase from best-in Flanagan here will provide more detail on the purchase agreement so the history does date back quite a while and but I will only go back in the last five years because I we don't need to spend that much time going back to the 90s but in 2012 Kathy and I and Eric and David did review and take a look at some properties in partnership with the city none of them were large enough the ones that were available at the time were large large enough space that we needed and then in 2013 we continued to look at properties but didn't find anything 2014 you as a board approved the ria relocation agreement and kind of your expectations facility advisory task force included dollars and recommend in their recommendation for a bus garage facility and we developed internally the transportation facility requirements for our facility and then in May of 2015 the bond referendum passed so since that time we have been within the last 12 18 months more particularly since May 5th aggressively looking for property and are happy to report that we have found a piece of property that we believe will work meet the needs and expectations that were laid out in 2014 and started negotiations on that and work through facilities committee thank you for Facilities Committee work and then also our full board because we were working going back and forth on negotiations there we did tour the Eden Prairie facilities and that was helpful to us to see visually see what what is available and also confirm what our needs are just to give you some perspective our drivers drive 650 thousand miles a year and that's just not that's not including summer extra type of miles and we have over 65 buses right now one of our goals is to bring in our contracted services because we know we can operate more efficiently and if we have them in-house but we don't have the capacity to bring them in-house our special ed transportation and our outer district transportation so those are those are things we kept in mind as we were looking at what type of facility we needed what time a land that we needed and I think with that I'll turn it over to Barb to give the highlights of the purchase agreement and what we have a team of people here that can answer any questions that you have Thank You superintendent dressin chair Wallen Freeman and members of the board before you is a contract for sale and purchase for vacant parcel of land it's half or not half it's less than half of a 22 acre parcel that's located at 7600 Metro Boulevard in Edina and as Margo indicated staff had consultants have closely looked at this property and believe that it will work well for a transportation facility now the board had considered making an offer on the property for ten acres that was the understanding as to the size of the vacant parcel it's 22 acres and the film tech building is located on the property and the remainder of the property is vacant or excess land upon further investigation the brokers and determined that the vacant land is less than 10 acres so Walt architects took a look at the parcel a little smaller size and determined that nine point two five acres does work for the transportation facility for the building that's needed and possible additional facilities for gas and so we're comfortable that nine point two five acres will work so the Boyden closed session had discussed making an offer on the property because the property is smaller than the ten acres that was considered the purchase price and the contract before you is three million nine hundred nine thousand five hundred ten dollars that is in Section four of the purchase agreement if necessary the price will be adjusted we would assume would be a small amount or any have a survey to determine the exact of the parcel that's being purchased and if that price needs to be adjusted somewhat he'll be adjusted up or down by seven dollars a square foot so that's the size of the property the price for the property earnest money is ten percent of the purchase price there's a couple provisions in the agreement that I'll just draw to your attention initially when the board thought it was going to be purchasing ten acres for four platted parcels there was no need for any easements between the school district and the owner that's going to own the rest of the property after the school district purchased its portion now there'll be a shared fire lane between the parcel that the school district is buying and the existing building and so there's a provision for an access easement the fire lane will be located on the School District's property and the owners of the film tech building will have an easement over the fire lane the project will require government approvals subdivision approval and there is a provision for that in the purchase agreement we have been in contact with the city as to what those requirements are and we anticipate that that process should proceed fairly promptly with the city after the purchase agreement is signed there is a provision in the agreement which is an important provision for the school district to do its due diligence on the property the property is being purchased as is and there is a period of 70 days from the date that the purchase agreement is signed for the school district to do all of its investigation primarily what we're concerned with is any environmental the property owner is not aware of any environmental issues they have not done extensive environmental investigation they did a very bare bones report at the time that they purchased it and there were no issues that arose but nonetheless as part of the due diligence the school district will hire a consultant to do a phase one which is you know research on any potential environmental issues of this property or neighboring property and if necessary do a face to the next step more intensive investigation and that's all provided for in the purchase agreement within that seventy days we anticipate that the subdivision approval would be completed but if it's not the purchase agreement provides that the property owner would give another thirty days to complete that process the timing is due diligence period assuming no extension would be done the week of March 23rd assuming the purchase agreement is approved tonight and signed within a couple days by both sides the closing would be towards the end of April this property is being purchased in lieu of condemnation so there is a provision and the purchase agreement that states that an important provision is that if the school district defaults which we don't anticipate any damages would be limited to the earnest money and if the owners default the school district has a choice of either cancelling the agreement or bringing in action to enforce the contract and get an order for them to follow through on the purchase because as Margo indicated this has been a long process and it's important to the school district they have this be completed so with that do any of you have any questions when will we know the exact size of the lot and then the exact final price I have spoken with the surveyor that was hired by the property owner asked that company to do an update and they've indicated they should have that done within about three weeks and at that point we'll know what the exact size of the property is we've done a lot of background work without actually doing the official survey Jack and some others have been working on that to narrow to the 9.25 acres so as barb said we're not anticipating that it would change materially and Wald's not concerned about the easement the what was it a fire easement emergency easement whatever it was in terms of building out what the facilities that we need to build no no I don't believe so a bond couldn't make it here right now for this part of the meeting he's at our work session later so we certainly could ask him directly there the the easement for the fire because of the way that we intend to layout the building it wouldn't be right up next to that part where the fire area would be and certainly when we at one point when we were looking at just under eight acres that would have really made the property extremely tight with what we need to do what 10 acres be ideal or that was you know certainly what we had looked at 9.25 is still workable to us and we have talked with Vaughn about that okay in the closing date is strictly driven by our due diligence assuming we get done earlier it could be closed earlier or what else is driving that timeline it is determined by the due diligence the closing is 35 days or less after the due diligence period expires so if the school district determines it's ready to move forward than the closing could be sooner than the end of April thank you we do have a screen shot so you can see the land at 78th South it's right off 100 the Doubletree Hilton Hotel is will be our neighbor to the south and give bearings to the audience in the community today that's that's the land we're looking at and we're very pleased with it obviously and again a big thanks goes to everybody for their work it's been an amazing journey and it's going to create some amazing opportunities for the district with this land availability this was all part of the planned project as related to the referendum so these are coming from referendum dollars and not the general fund dollars by any means either any other questions I do want to thank you for all the work it is a tremendous amount of work and it's very much appreciated any discussion hearing none all in favor thank you so moved are going is her team has been working to make the final adjustments to the budget this is a budget that we approved in June which was a projections and so it was based on enrollment projections and based on a variety of other revenue and expenditure projections we now are doubt in which tighter and I think Margo and her team for their work with this and turned over to Margo to give us an overview I'm excited to present this too but for just different reasons every six months I get to do this one it's not often you get to do a purchase agreement for land right so the preliminary or spring budget was approved in June and this is an update of the 1516 budget the major changes we updated for enrollment we always update for any results of the audit that we may learn from how we performed in the prior year how does that impact the upcoming year in the fall we know who the new hire is for retirees and if we had any other changeover and staff all those kinds of things it's another good time to take a look at the budget in detail much of the assumptions are the same as they were in this spring we don't change those so what the parameters that us board set in April of 2015 are still in play one of the major changes is that because of the audit and knowing the final results of the audit carryovers are now added into the final budget and that can most notably be seen in the capital area and also in the instructional supply or programming area and I'll talk about that a little bit more in a minute here so the update since June our revised enrollment projections we did the projections did go down just a little bit about 39 students from last June and so that is a couple hundred thousand worth of change in revenue again supply and equipment carryovers we do have on the supply area we do allow carryovers and so that we don't have a use it or lose it for some philosophy and overall in total between donations and supply carryovers it was about six hundred seven hundred and sixty thousand dollars and then on the equipment side typically we do not carry over unless it's a special exception now with construction we have in Finance Committee discussed that it is prudent for sites or program or department areas to carry over so that we're not putting equipment or making a modification in a particular area and then coming in and a year or two later ripping it out or if it's furniture where we've decided to do something completely different with the furniture so right now every I would have to say almost everybody across the board is kind of I mean they're purchasing what they need for equipment but then also being very planful to set aside dollars so that if there's something that's needed after construction that they have some of their own funds to go to and that that carryover was just under eight hundred thousand so between the two was just under 1.6 million in carryover and so keep in mind when you're looking at the budget total for 1516 we do assume that it'll all be spent we know it it won't a net sum well carryover again when we get through this year's audit but it's not an ongoing expense when we look at a multi-year projection I talked about the new higher salary updates we did have some updates and ëall and special ed staffing adjustments that are student based and depend on our student population that in the fall and their their needs and then we worked in finance committee and assigned dollars for next generation programming to start to prepare and financially prepare for the implementation of the next generation programming knowing that some of that will take place in 1718 prior to 1819 when we would have a referendum renewal and and possibly an increase or a request there so those are the major changes you have the budget document in your board packet and it is in four different sections I'm not going to go through the whole thing tonight but certainly answer any questions that you have and just highlight the different sections if you would like to know what has changed from the previous year I would lead you to the executive summary that that gives you a more of an an era t'v and graphic format where we've gone up where we've gone down and what has changed organizational section talks more about our policies and then the financial section gets in it a little bit more financial detail but not still in a summer summary format and provides us a five year or four years of history with the 1516 budget and that certainly is helpful to look at those trends I would point you to pages 14 and 15 both highlight very the revenues and expenditures and fund balance in two different ways and you can get a little bit more detail on just what is happening with the fund balance in the various funds and then the informational section goes takes a dive deeper into the various codes in the history in revenue and expenditures to show that history and also is it by program area is it what we call by object is it salaries as a benefits is it supplies so you can see a little bit more detail their revenue history you can see in this particular chart it shows up really well that we receive the bond funds in the building construction fund and you'll start to see that you'll corresponding increase in expenditures in the construction fund and the history and our other funds of expenditures and the general fund the primary source of revenue is the state aid you'll see later that's about seventy two percent and we have local levy and federal and other local expenditure history between salaries and wages and supplies and benefits here's our revenue by source for the current year again seventy two percent comes from the state our expenditures eighty four percent we are a service industry eighty four percent is on staff for providing that service and then the remaining is on purchase services supplies in capital of the salary area then we break that out even further to say license staff supports staff substitutes administration gives you a sense for of of the staff that we have how that breaks out then we also look at expenditures in another way and you all see this in the budget document in the historical areas to where we have two general fund worksheets one sorts it by object which is the salaries benefits and supplies and the other one sorts the expenditures by program so instruction instructional support buildings and grounds operations and maintenance administration that kind of thing this is a very draft chart and someone's favorite on the board so once I update a budget I usually get asked well what does this do for the upcoming years some of that depends on what we assume for revenues and expenditures moving forward we have started taking a look at that Finance Committee hasn't taken a look at this yet so we need to get Finance Committee in the process on this they did see the 1516 budget as a December 20th there was some minor modifications after the 20th so we we will work through a budget process in term for 1617 and a multi-year budget plan start bringing that forward to you the end of January working through Finance Committee here in January and our typical process its January through March maybe the first couple weeks in April that we work through the process but we really want to keep that two or three year picture in mind because of everything we have going on within next-generation programming we were fortunate to perform better in 1415 and that's certainly helping us we have the update for 1516 and moving forward but again this is just drafted this point in time next steps would be again January through March working on the 1617 budget plan and the only other thing I'll highlight I forgot to mention earlier is that on the page 14 in the budget 15 in the budget document you will be able to see where we set a assigned based on Finance Committee recommendation the next generation programming dollars to be used in 1718 and I was out and I would like to thank it it always takes a team of people to get this done and certainly visits office staff and certainly Pauline fo fanna the district's new controller had to jump in and figure it out real quick and so it takes a great team of people and so I'd like to think not just not only the business office either because it does take you as a board it takes all staff doing their part whether they manage $100 or it's you as a board managing over 100 million so open it up for questions there's something funny going on food service some additional commodities and capital expenditures is that's just a temporary it shift are you on a detailed sheet yeah I just saw it just that we're upside down there page 22 you can answer it later to it so with food service the one thing that did change from June budget til now is we noticed in the audit because of the change in the federal regulations we had some shift in where the revenues and expenditures were in terms of less revenue and ala carte more increase in the regular meals less food expenditures in certain areas so we did fix that it's just where 80,000 negative and I just wasn't aware of that so it's not a big deal I'm sure there's an explanation for it I would say at this point in the budget it would be conservative budgeting we do on the equipment side because we don't know if I mean you want to be you want to have some dollars set aside in case the piece of equipment breaks or it needs some repair we've been fortunate as you can see by the history that we have not had to spend significant dollars out of food service for that other questions no questions any discussion hearing none all in favor of proving the 2015 2016 final budget say aye any opposed hearing none thank you Thank You Margo the next item on the agenda is of course offering changes I get a motion I will introduce Randy Randy did present this at length at the December board meeting and I just can any other clean ups Randy or any other insights you want to share a prior to the board taking action just that we had one addition since our meeting on December 15th and that is at the very end of the course descriptions called graphic design and marketing - we have graphic design and marketing one it's been a very successful course so far our students have requested that we continue it with a second elective and they wanted to continue studying in that area students in that area look at design principles and marketing concepts they use software like Adobe Illustrator Photoshop InDesign they use that Adobe Creative Suite so we already have the existing software so it's just extending the learning through this additional elective they would continue using that same software so it'd be a minimal cost and they work on marketing selling and promoting at the south view school store so that was the only addition just a reminder that all of these course changes and additions are aligned to our educational mission and vision that was one of the criteria they're aligned to our educational competencies it's a total cost of about 35 to 50 thousand for these course changes that's within our teaching and learning budget so we'll say these are budget-friendly course changes and and we did present the details of these course changes that are December 15th meeting see Brandi I think you had mentioned maybe I had asked asked this after the meeting but the school I think it was regional foods and maybe school to garden are slightly shorter courses and would be combined to make one longer course is that still the plan or has that changed since then that's still the plan that they would be combined for a longer course on to informational items I do we will be likely having some informal committee meetings the board doesn't formally approve the committee's until the December 25th meeting but we may require some committee meetings and an informal setting again that they won't be bringing any recommendations forward but we do have some action items that we do need to study and we can talk about that more at the work session we did meet with our local legislators earlier or last week and just talk to them a little bit about what they see is evolving from the legislature and also have them listen to what our needs are we are scheduling a legislative meeting for early in February that will be an opportunity for us to get more input from parents staff and school board with our local legislators who always see a priority of Education they dine and that's a good thing a couple updates from the December school board meeting one the orchestra trip we do have an orchestra trip being planned over spring break at that trip is continuing to move forward as planned we've been working very closely with our travel agents as well as US embassies and other colleges and high schools that are taking international trips to make sure we have plans in place we have expanding our crisis as a response plan as well and just the whole administrative responsibilities around that boy feel very comfortable at the work we're doing the early childhood work that's continuing to move forward we had talked about getting more input from staff and the parents around our early childhood planning and programming that's gonna be occurring in January again that'll evolve and we'll report back to the board as well as the community education Advisory Committee about the work occurring with our early education program and how that aligns with next-gen we do have some of the work moving forward and then this will also be an opportunity to get more input as we continue with our planning efforts the pilot projects we continue to move forward with a variety of pilot projects I do want to clarify with the recessed pilot that we do have going on in both Normandale Concord we are going to continue to collect data on that from students from staff and parents we're digging deeper into the data looking what other data we need to collect we're also going to be relying as today is one of those days we're in indoor recess got played out for one of the first times and just again seeing how that can be supported in a new ways but we have no formal recommendation in December we won't have one at the end of this semester but those will all roll forward with recommendations for pilots in the spring and so I just wanted to clarify that Susan anything else around some of the follow-up items because I know you work closely with on the communication side that I just recess pilot we are engaged we have a plan to put together a more detailed report on the data that we have collected at an evaluation plan of what we might look at in the spring and then also looking at some additional opportunities to engage with our students and our families and our staff at the sites thank you that would conclude the leadership update any board members have information hearing none can I get a motion to adjourn so moved all in favor aye we are adjourned hey girl