e e e Leisa is going to throw punches if we don't oh I have to have a motion to open the meeting yep so oh who who second Jim already said second motion made by Miss Schultz second by Mr burn all those in favor say I I I all oppose nay motion is approved and the truth and Taxation meeting is opened at 6:53 p.m. think God's taking a nap no public comments prior to this one any comments Mr Rondell you have anything to bring up all right I like that he chose to sit in the very back too um next up on the agenda is the 2024 Watertown mayor ISD 111 truth and Taxation meeting and uh Miss Raider the floor is now yours good evening welcome to the truth and Taxation meeting why have a truth and Taxation meeting it is required by law it was passed in 1989 there's two major requirements for the tech truth taxation meeting one is tax statements must be sent out to Property Owners by the counties and um you have to have a public hearing and there's three items that we need to talk about the 25 2025 budget the the levies that are payable in 25 and actually it's payable in 26 um and the public comment we're going to first talk about uh the budget 2425 budget was approved by the school board in in June of 24 in front of you is what the audited fund balance of each fund we have five funds their total revenues total expenditures and a projected fund balance as of June 30 of 25 um talk a little bit about our Revenue uh this chart shows the revenue divided by all five of our funds the general fund produces the most or has the most um Revenue followed by service then community service food service and then construction the next slide shows each fund and the revenue that's generated and where the revenue is coming from we have four main components of Revenue coming from the state the levy which we're certifying tonight Federal and local funds in the general fund the majority of our revenue does come from the state 77% Levy is 16% % and again that's what we're certifying tonight um Federal and then local are our remaining um amounts 5 and 3% for the Food Service the majority of their revenue is from the state 51% Federal and then the local this has changed in the past couple years because of the state funding free lunch and breakfast so it did not look like that a couple years ago the community service fund is um that is a feeb program so the majority of the revenue is come comes from the local and then they do get some state federal and Levy dollars construction is 100% um funded by the local which is mainly well it is all interest um income this year and then Debt Service is 91% Levy and a little bit of State anybody have any questions about Revenue we'll move on to expenditures again a look of all of our uh percentage of all of our expenditures by fund um the general fund has the majority of the expenses followed by construction and the reason the construction is so large is because we're spending down those abatement bonds Debt Service community service and then food service has our least amount of expenditures um the chart again is taking all of our expenditures and just showing what the main per um expense is within the fund um for the general fund um salary and benefits are the largest expenditure followed by purchase services and then supplies and then capital and we don't have any Debt Service in the general fund and then the other is a very small portion in Food Service the largest expenses um supplies which is our food and our milk and then it's um salary and benefits and our purchaser services and that's larger there because we do purchase our food service from taher so that is considered a purchase service and then we do have about 5% of capital expenditures and we're purchasing equipment to try to get the fund balance down because of um covid our fund balance and food service was up community service the expenditures um majority again like the general fund is salary and benefits followed by purchase service and then supplies for construction um it's mostly Capital um expenditures due to the abatement Bond there is 10% of debt service and that is the interest from the abatement bond for the first three years the um construction fund paid those until The Debt Service uh takes over the payments of that bond for Debt Service it's 100% Debt Service um um um something that makes sense um every year I am required to do a District budget publication report um this is basically the same slide in the beginning it just shows the um beginning fund actually the beginning fund balance in 24 the actual expenses after our audit of expended good night revenues and expenditures actuals and then our actual fund balance in 24 and then our anticipated revenues expenditures and our projected um fund balance the only difference between this and the first slide is the general fund the restricted and the other um expenses and revenues are outlined and this is in the paper and on our website as required by the state anybody have any questions about expenditures or the budget or the revenues we'll hop on to Levy who sets the school levy all uh the 36 39 page Levy document is set by the state it's all formula driven um there is components that is voter approved which is your operating referendum and your building bonds and we both we do have both operating Levy and bonds so that is part of our Levy how is property tax determined um first it starts at the county assessor who determines the market value of each parcel of property then the the legislation legislature sorry sets the formulas for the tax capacity and this is determined by the different types of property that you have then it goes to the cony auditor who calculates the tax capacity for each parcel based on the above items and then the county auditor divides the total Levy by the t total tax capacity of the district to determine the rate that's needed and then the rate is multiplied by the property tax capacity and you get your per parcel amount this is very simple it's not that simple um there's other things involved but this is sort of the general idea why would your Levy change the main reason for that is the value or classification of the individual property if your property tax or your value of your property inre increases your Levy more than likely will increase same as if it goes down it more than likely will go down um our enrollment does play a portion of the Le total Levy remember I said that it's all based on formula a pupil unit is one of those formula which is driven by enrollment um change in the value of a property in the district that's going to make an impact just want people to know that there is an equalization that the state does so there is a little bit of relief through that Equalization and also a possible reason for a change is something that we decide to do in our Levy that would change it and then of course the state legislation factors about this Levy what we're certifying today will be used in our 25 26 school year it's always a year behind and also all the formulas are based on estimated pupil and expenditure amounts there will be adjustments to the levy that we certifying this is a uh the next slide is the total Levy by fund there's three of our funds that receive Levy dollars it Compares what was um levied in 24 to 25 and shows the change the biggest um change is community service at 13.6 but in a total our Levy is going up a 65% so that's pretty darn consistent the next slide just shows all the components of the general fund Levy it Compares it to last year to this year um you can see the change in the far right um the majority of those change actually all of those changes are based on the prior your adjustments there's nothing new and exciting which is good um the next one is community service Levy changes again takes 24 to 25 tells you the change there's a small dip in the community service Levy which is based on the state's change in the percent that people could Levy um the biggest change is school age chair uh child School Age Care again this is a prior year adjustment this is taken to affect the co thing that happened because of Co I think this will be the last year I can say actual Co so this is a good thing um again these are the uh reasons I told you about the legislative change for the community ed and the school Age Care Debt Service is pretty darn straightforward um there is a decrease of 25,000 but that's really in the dead excess that dead excess is the 5% that we are able to actually the state tells you to that you can over Levy for the bond and the interest payments of our our debt um they monitor that quite closely and they will make reductions of that if it gets too large and that's what's happening here um it basically they 3 years ago we levied too much and now they're giving it back and every year that they do that so that's pretty consistent um I explained all that add to school bond credit this was enacted in law in 2017 it's been going up every year the percent this is a credit um and it's been going up and now it's at 70% and it's going to stay that way until the state changes it the AGA school bond credit is not a payment that is made to the district it's taken from the tax of the individual tax statements so if you ever wanted to find out if you have an A to school tax credit you would have to go to your parcel statement and it would show a credit on the actual statement uh the state does have two opportunities for property tax refunds um if you're interested you do need to consult your tax professional or visit the Department of Revenue to see if you qualify for a property tax refund public comments and questions [Laughter] okay hearing none I am asking the the board to approve the 24 payable 25 Levy um at 7,848 38654 move approval second I have a motion made by Mr Burns second abund is naton any further discussion on the levy certification hearing none all those in favor say I I I all oppose nay motion carries and with that is there a motion to adjourn the meet second I have a motion made by Miss Danielson second by miss naton all those in favor say I I I all oppose Nate motion carries truth and Taxation meeting is adjourned at 7:07 p.m. e e e e