May 04, 2026 Special Board Meetings

OKAY. THE MAY 4TH, 2026 SPECIAL BOARD MEETING IS NOW CALLED TO ORDER.

[A. CALL TO ORDER]

[00:00:07]

[B. FIRST ORDER OF BUSINESS]

THE NOTICE OF THE MEETING WAS POSTED IN ACCORDANCE WITH THE TEXAS OPEN MEETINGS ACT.

YES, WE DID POST AND ADVERTISE THE MEETING IN ACCORDANCE WITH THE LAW.

MR. KUNKEL. WE WILL NOW CONVENE INTO CLOSED SESSION AS AUTHORIZED BY TEXAS GOVERNMENT CODE 551,

[ C. CLOSED SESSION]

TIME IS 5:31.

THE TIME IS 6:22, AND WE'LL NOW RECONVENE INTO OPEN SESSION.

[D. RECONVENE INTO OPEN SESSION ]

[F. CONSIDER PERSONNEL ITEMS AS DISCUSSED IN CLOSED SESSION]

DO I HEAR A MOTION FOR PERSONNEL ITEMS? MR. PRESIDENT I MOVE THAT THE BOARD APPROVE AND ADOPT ALL PERSONAL ITEMS AS PRESENTED RECOMMENDED IS THERE A SECOND? I'LL SECOND. OKAY. MRS. SANDERS-WISE MADE THE MOTION.

MR. DREES SECONDED. ANY DISCUSSION? ALL IN FAVOR? INDICATE BY RAISED HAND. AND IT IS UNANIMOUS.

ITEM G, WE HAVE AN ACTION TO TERMINATE AN EMPLOYEE PROBATIONARY CONTRACT, EFFECTIVE WITH THE

[G. CONSIDER ACTION TO TERMINATE EMPLOYEE PROBATIONARY CONTRACT EFFECTIVE AT THE END OF THE 2025-26 SCHOOL YEAR]

FINDING SUCH SUCH ACTION TO BE IN THE BEST INTERESTS OF THE DISTRICT AND DIRECT THE SUPERINTENDENT TO PROVIDE WRITTEN NOTICE OF THIS ACTION TO THE EMPLOYEE.

THANK YOU, MR. DREES. SECOND. SECONDED BY MR. DAVIS. ANY DISCUSSION ON THIS? ALL IN FAVOR. INDICATE BY RAISED HAND.

AND IT IS UNANIMOUS. ITEM H IS OUR BUDGET WORKSHOP.

[H. BUDGET WORKSHOP]

AND SO I AM NOT GOING TO WASTE ANY TIME AND TURN THIS DIRECTLY OVER TO KATIE BOWMAN AND DOCTOR GLENN.

ALL RIGHT. THANK YOU SO MUCH. SO WE WANTED TO GO THROUGH SOME BUDGET ITEMS WITH YOU GUYS TONIGHT.

SO I'M JUST GOING TO DIVE RIGHT IN. SO WE'LL START OFF TALKING ABOUT OUR TAX VALUES TAX RATES AND SOME UPDATED STUDENT INFORMATION.

SO YOU CAN SEE OUR TAX RATES 24-25 WE'VE GOT OUR TAXABLE VALUE.

LAST YEAR WAS AT 15.3. CURRENTLY OUR VALUES FOR THIS YEAR AT 14.6.

THAT'S A COMBINATION OF THE OVER 65 EXEMPTION INCREASES ALONG WITH THE HOMESTEAD EXEMPTIONS.

IN ADDITION WHEN WE STARTED OUR YEAR OUT WE HAD A LITTLE BIT OF AN ISSUE WITH THE TARRANT APPRAISAL DISTRICT.

THEY NOTIFIED US IN DECEMBER THAT THEY HAD AN ERROR OR I GUESS A TAXPAYER HAD MADE AN ERROR IN SOME INFORMATION THAT THEY SUBMITTED.

SO WE DID HAVE A DROP OF $500 MILLION OF OUR VALUES.

SO REALLY, THE, THE, THE FULL PIECE OF ALMOST THAT 5% IS RELATED TO THE OVER 65 AND THE INCREASE IN EXEMPTIONS.

YOU CAN SEE OUR TAX RATES FOR THIS YEAR, THE BOARD WE HAD THE SAME TAX RATE, WHICH A REMINDER THAT THAT'S CALCULATED BY THE STATE OF TEXAS.

AND THEN THE INTEREST IN SINKING TAX RATE. THE BOARD DROPPED IT FROM LAST YEAR AT 41.1 $0.04 DOWN TO 39.96 $0.04. SO WE'VE HAD REDUCTIONS IN OUR TAX RATES OVERALL FOR THE LAST 2 YEARS.

SO IN LOOKING AT THIS NEXT YEAR FOR 26-27 WE ARE PROJECTING A CONSERVATIVE 3%.

WE DID GET VALUES ON THURSDAY LAST WEEK. THEY'RE VERY PRELIMINARY.

THEY ARE A LITTLE BIT HIGHER THAN WHAT WE'RE SEEING RIGHT HERE.

BUT THERE'S STILL A LOT OF WORK TO BE DONE. THERE'S 1.8 BILLION THAT IS IN THE ARB SEGMENT.

SO WE KNOW THOSE WILL BE GOING DOWN. SO IN JULY ON THE 25TH WE'LL BE GETTING OUR CERTIFIED VALUES AND WE'LL SEE BETTER WHERE WE ARE AT THAT TIME.

SO RIGHT NOW WITH OUR STATE FUNDING CALCULATIONS, WE'RE PROJECTING A 77 CENT TAX RATE THAT WON'T BE DECIDED UNTIL WE GET OUR VALUES IN JULY, WHEN WE GO THROUGH THE STATE OF TEXAS PROCESS, AND THE TEA WILL ACTUALLY CALCULATE WHAT THAT RATE NEEDS TO BE.

WE ARE HOLDING THAT I&S TAX RATE STEADY FOR THIS NEXT YEAR.

[00:05:03]

AND THEN THE ESTIMATES FOR 27-28 ARE JUST A LITTLE, A 4.5% OVER 4.5%.

SO, SO IT'S LIKE TO SHOW THIS SLIDE ABOUT HOW THE BOARD HAS DONE SO WELL OVER THE LAST FEW YEARS.

SO WE HAVE SEEN AN M&O TAX RATE DROP OF OVER $0.25 IN 2019.

AND AS I SHOWED YOU ON THE PREVIOUS SLIDE, WE HAVE THE BOARD HAS LOWERED THE I&S RATE THE LAST FEW YEARS AS WELL.

SO THIS IS OUR STUDENT ENROLLMENT SNAPSHOT. SINCE WE'VE HAD A LOT OF ACTIVITY OVER THE LAST 10 WELL, ACTUALLY I'VE GOT 13 YEARS UP THERE. I LIKE TO JUST REMIND YOU ABOUT WHAT OCCURRED IN OUR ENROLLMENT.

SO IN 2017, WE HAD THE ILT CHARTER SCHOOL OPEN.

WE HAD IDEA OPEN AND THERE WAS A LITTLE BIT OF CARRYOVER DOWN.

AND THEN WE HAD OUR COVID NUMBERS, WHICH WAS PRETTY STANDARD THROUGHOUT THE STATE OF TEXAS.

BUT I WANT YOU TO NOTICE THE ARROW AT THE BOTTOM.

THIS YEAR, WE HAD PROJECTED ABOUT HALF OF WHAT THE DEMOGRAPHER HAD SAID, AND WITH ALL THE WORK FROM COMMUNICATIONS AND OTHER DEPARTMENTS AROUND OUR DISTRICT, AND JUST THE WONDERFUL WORK THAT THE SUPERINTENDENT HAS LED US IN, WE ARE VERY CLOSE TO OUR PROJECTED ENROLLMENT.

IF YOU CAN SEE, WE PROJECTED 22136, AND OUR FALL ENROLLMENT WAS 22123.

SO FOR THIS NEXT YEAR, WITH ALL OF THE ADDITIONAL WORK THAT'S BEEN DONE, WE ARE PROJECTING ONLY ONE THIRD AT A LOSS OF 83 STUDENTS FOR NEXT YEAR.

OUR STUDENT ATTENDANCE, THE BOARD, YOU GUYS HAVE ALLOWED US TO HAVE SOME ATTENDANCE INCENTIVES.

WE'VE ALSO HAD THE TRIBUNAL OVER THE LAST FEW YEARS.

AND YOU CAN SEE WE'VE REALLY IMPROVED. SO IN 25-26 YOU CAN SEE THE NUMBERS AS THEY'RE GOING DOWN.

AND OVERALL THIS YEAR, WE'RE PROJECTING TO BE ALMOST A HALF PERCENT HIGHER THAN WE WERE LAST YEAR.

SO SINCE COVID, WE'RE REALLY SEEING THOSE NUMBERS GO UP.

WE MIGHT ACTUALLY MAKE 95% ONCE WE GET THE FINAL 6 WEEKS TOTAL.

SO IT'S BEEN A VERY POSITIVE THING WITH THE INCENTIVES YOU'VE GIVEN US TO USE WITH THE CAMPUSES, AND ALSO THAT TRIBUNAL. OKAY, DEBT SERVICE FUNDS.

SO BACK IN 19, YOU UPDATED OUR BOARD POLICY TO INCLUDE SOME PROJECTION OPPORTUNITIES THAT WE CAN PRESENT THE, THE BOND TRADERS REALLY ENJOY THESE. SO BASICALLY WE HAVE SOME OBJECTIVES ON OUR DEBT MANAGEMENT PRACTICES.

YOU CAN SEE REALLY JUST MINIMIZING COST TO TAXPAYERS, MINIMIZING BORROWING COSTS.

AND THEY'RE ALL REPRESENTATIVE IN THE ACTIONS THAT YOU'VE TAKEN OVER THE YEARS.

SO WE HAVE GUIDELINES THAT GIVES ALLOWABLE PURPOSES OF ISSUANCE OF DEBT, HOW THAT DEBT PORTFOLIO IS TO BE STRUCTURED, REFUNDING THE METHODS OF SALES THAT WE MAY USE, CREDIT RATINGS, INVESTMENT, JUST A NUMBER OF THINGS THAT OUR FINANCIAL ADVISOR HAS ADVISED US TO GO THROUGH. SO HONESTLY, WE'VE GOT PROVIDE SUFFICIENT DEBT CAPACITY FOR CURRENT AND FUTURE CAPITAL NEEDS OF THE DISTRICT.

AND THEN THE OTHER ITEM IS TO CREATE A MULTI YEAR CAPITAL IMPROVEMENT PLAN.

AND PART OF THAT WAS PUT INTO PLACE THIS PAST FALL.

AND AS YOU KNOW, WE HAD A SUCCESSFUL BOND ELECTION.

CONGRATULATIONS BOARD ON THAT. VERY EXCITING THAT HAPPENED THIS YEAR.

SO WE'RE GOING TO BE LOOKING JUST BRIEFLY AT THAT.

AND THEN TALKING A LITTLE BIT ABOUT DEBT PROJECTIONS OVER THE NEXT FEW YEARS.

SO THAT LAST ONE I ALWAYS LIKE TO HIGHLIGHT ONE OF THE GOALS THAT THE BOARD HAS SET IS TO REPAY DEBT AS EXPEDITIOUSLY DEEMED PRUDENT, GIVEN THE APPLICABLE TAX RATE AND ANY PARAMETERS AROUND OUR OVERALL FINANCING OBJECTIVES.

AND SO THAT'S BEEN A SUCCESS. AND I'VE GOT A SLIDE THAT'LL REPRESENT THAT HERE IN JUST A SECOND.

SO THE FACILITIES MASTER PLAN. YOU'VE SEEN THIS BEFORE? YES, MA'AM. OH. I'M SORRY. ON THE PRIOR SLIDE.

YES, SIR. GIVEN THE NEW THE NEW RULES. I WONDER IF WE OUGHT TO REVISIT THAT LAST BULLET POINT GOING FORWARD BASIS. ARE WE GOING TO BE ABLE TO REPAY DEBT? WELL, IT'S GOING TO BE MORE DIFFICULT TO PREPAY DEBT.

YES, SIR. IT WILL BE A LOT MORE STEPS TO GO THROUGH.

AND IT WILL BE SOME THINGS THAT HAVE NOT REALLY BEEN WELCOMED IN OUR COMMUNITY IN REGARD TO WHERE WE ARE ON NO NEW REVENUE RATES AND THOSE KIND OF THINGS, WHICH I'VE GOT IN A FEW SLIDES COMING UP. BUT IT'S NOT THE STATE OF TEXAS.

OUR LEGISLATURE IS TRYING TO DISCOURAGE SCHOOL DISTRICTS AND OTHER ENTITIES FROM REPAYING DEBT PREPAYING DEBT.

YEAH. WE MAY WANT TO VISIT THAT SOMETIME. MR. PRESIDENT, ABOUT THAT BEING A A GOAL FOR OUR I MEAN, I'M NOT SAYING ONE WAY OR THE OTHER.

IT'S JUST MAYBE SOMETHING WE WANT TO REVISIT.

I MEAN, IT'S WORKED FOR US IN THE PAST, BUT YOU'RE SAYING THERE'S A LOT MORE HOOPS WE HAVE TO JUMP THROUGH? YES, SIR. IF WE DO IT IN THE FUTURE.

IT'S THAT IT'S IT'S IF YOU AND WE CAN TALK ABOUT IT OFFLINE.

[00:10:02]

I SEE WHAT YOU'RE SAYING. THERE'LL BE A LOT OF DISCUSSION COMING UP ON IT.

I AGREE. I DO THINK THOUGH AS REPAYING DEBT THAT CAN INCLUDE OUR REFINANCINGS AND THINGS LIKE THAT THAT WE DO WHEN WE ARE ABLE TO GET LOWER INTEREST RATES.

SO IT COULD BE PART OF THAT AS WELL BUT YOU'RE RIGHT, THE BIG, A BIG CHUNK OF WHAT YOU GUYS HAVE BEEN ABLE TO DO IS TO SAVE A LOT OF INTEREST FOR OUR TAXPAYERS. AND AUSTIN DOESN'T WANT US TO DO THAT ANYMORE.

NO. YOU'RE RIGHT. ABSOLUTELY.

AND THEY DON'T WANT US TO DO THAT. SO HERE'S THE MASTER PLAN.

YOU CAN SEE WE HAVE THE BOND PROGRAM THAT MAY 2026 THAT JUST OCCURRED.

SO THAT'S REALLY GOOD NEWS FOR OUR DISTRICT. SO THIS IS THE SLIDE.

AND I THINK IT'S REALLY IMPORTANT. YOU CAN SEE THROUGH REFUNDING AND PREPAYMENTS.

I MEAN YOU'VE BEEN ABLE TO GET 28 MILLION OF INTEREST SAVINGS ON BOTH.

AND SO THAT'S, YOU SHOULD BE APPLAUDED FOR THAT.

THE BOARD HAS DONE A GREAT JOB IN BEING AS ECONOMICAL AS THEY POSSIBLY CAN WITH THIS COMMUNITY.

SO THAT'S REALLY GOOD NEWS. $56 MILLION OF INTEREST SAVINGS.

BUT YOU'RE RIGHT, IT'S GOING TO BE MORE DIFFICULT. SO AS WE LOOK AT THE DEBT SERVICE FUND ASSUMPTIONS, WE HAVE OUR TAX GROWTH THAT WE LOOKED AT ON THE EARLIER SLIDE.

YOU CAN SEE THE STUDENT DEBT DECLINES THAT WE'RE PREDICTING FROM OUR DEMOGRAPHER.

AND THEN WE ALSO. 27-28 BECAUSE FOR THE DEBT SERVICE FUND, OUR POLICY THAT WE'VE LAID OUT THAT THE BOND RATERS LIKE GIVES US AT LEAST TWO YEARS OUT. SO THEY'LL BE ASKING FOR THAT WHEN WE DO OUR BOND RATINGS HERE COMING UP NEXT MONTH.

WE HAVE A CONSTANT TAX RATE FOR FUTURE YEARS.

AND THEN RIGHT NOW, OKAY, I WILL SAY THIS. WE DO HAVE IT LISTED AS A BOND PREPAYMENT, MAINLY BECAUSE WE HAVE NOT ISSUED BONDS YET.

YES, SIR.

IT'S THE YES SIR. YES SIR. OKAY. WOULD THAT BE MORE CLEAR TO HAVE TAX ROLL.

OKAY. OKAY. THAT'S A GOOD THAT'S A GOOD COMMENT.

SO HERE'S OUR PROJECTIONS. THE CURRENT YEAR, WE'RE PREDICTING TO BE AT 61 MILLION AT YEAR END.

NEXT YEAR, JUST A LITTLE OVER 61 AND THEN 64 IN 27-28.

EXPENDITURES. YOU CAN SEE WE FINISHED THE YEAR THIS YEAR AT 68.2.

THAT'S WHERE WE'RE PREDICTING WE WILL BE BY YEAR END.

PARDON ME, BUT WHICH PUTS US AT A $7.2 MILLION DEFICIT.

THE MAJORITY OF THAT IS FROM THAT HALF $1 BILLION LOSS OF REVENUE.

SO WHAT WE'RE GOING TO BE RECOMMENDING TO THE BOARD THIS MONTH WITH A PROPOSAL IS TO MOVE THAT ARBITRAGE PAYMENT, EXCUSE ME, TO THE GENERAL F UND SURPLUS. EXCUSE ME.

LET ME GET A DRINK OF WATER. WE'LL HAVE THAT AS A CONSIDERATION ON THE MAY BOND ELECTION. AND THEN ONCE WE ONCE WE DO THAT AND THEN I DON'T HAVE IT ON THIS SLIDE.

BUT AND WE GET PAST THE AUGUST PAYMENT. THE AUGUST DEBT PAYMENT WILL BE AT JUST AROUND JUST UNDER 30%.

OUR FUND BALANCE WILL BE OF NEXT YEAR'S EXPENDITURES.

SO IF WE MOVE THAT OUT, I THINK THAT WOULD BE A GOOD POSITIVE THING TO DO FOR THE DEBT SERVICE, SINCE THAT WAS AN UNEXPECTED EXPENSE THAT WE HAD.

SO FOR 26-27 AND 27-28, YOU CAN SEE WE'VE GOT THE THE BUDGET FAIRLY BALANCED THERE.

SO WE'RE LOOKING AT KEEPING A VERY HEALTHY FUND BALANCE, WHICH IS THE BOND RATERS LIKE AS WE GO THROUGH THOSE PROCESSES.

SO THAT'S WHERE WE'RE PROJECTING FOR THIS NEXT 2 YEARS.

SO THERE ARE UPDATES THIS YEAR FROM LAST SPRING'S LEGISLATIVE SESSION ON THE TAX RATE CALCULATIONS.

SO START OFF BY JUST REMINDING YOU OF THE 3 BOND DATABASE BILLS THAT WERE PASSED BY OUR LEGISLATURE FOR SOME REASON.

MANY TIMES WE GET MULTIPLE BILLS THAT DO A VERY SIMILAR JOB, BUT THEY GET ASSIGNED TO DIFFERENT ENTITIES WITHIN THE STATE GOVERNMENT.

SO HB 103, THE COMPTROLLER, AND WE'VE ALREADY COMPLETED THIS.

WE HAD TO PROVIDE 10 YEARS OF BOND ELECTION. AND VADER, THE VOTER APPROVED BOND TAX RATE ELECTIONS TO THEM.

[00:15:02]

AND SO WE HAVE ALREADY FILED THE PRE-ELECTION REPORT, AND WE'LL BE WORKING ON THAT HERE IN THE NEXT TWO WEEKS TO GET THE POST-ELECTION REPORT TO THEM. THERE'LL ALSO BE SOME ITEMS THAT WILL BE REPORTING IN SEPTEMBER YOU KNOW, I DON'T KNOW THAT OFF THE TOP OF MY HEAD, BUT I WILL LOOK THAT UP, SO.

SOMEONE WITH A PHONE. ANOTHER LAYER OF BUREAUCRACY.

YES, SIR. AND THEN THERE'S SB 843, WHICH IS ANOTHER PIECE OF INFORMATION THAT TEA IS SUPPOSED TO BE GATHERING. AND SO THEY'RE GOING TO IMPLEMENT THAT SOMETIME THIS NEXT FALL.

SB 1023 IS GOING TO NOW REQUIRE THAT WHEN WE FILE ONLINE OUR TRUTH AND TAXATION FORMS, THAT WE HAVE A HYPERLINK TO ALL OF THE BACKUP CALCULATIONS AND BACKUP DOCUMENTATION.

SO WE'RE STILL TRYING TO FIND OUT EXACTLY WHAT THAT'S GOING TO LOOK LIKE.

WE ALREADY DO WHEN I COMPLETE ALL OF THE TRUTH AND TAXATION FORMS, I DO A PDF OF ALL MY BACKUP.

I REFERENCE IT AND SEND IT OFF TO THE TAX ASSESSOR COLLECTOR BECAUSE THEY HAVE TO REVIEW THAT FOR ME.

SO I'VE ALREADY KIND OF GOT ALL THOSE PIECES IN PLACE, BUT NOW WE'RE GOING TO HAVE TO HAVE ANOTHER LOCATION FOR THOSE TO BE AVAILABLE.

THE DISTRICTS DOE, WHICH IS THE DESIGNATED OFFICER EMPLOYEE, WHICH EVERY JUNE.

I SUBMIT THAT TO YOU AS THE PERSON WHO ACTUALLY DOES THE TAX CALCULATION.

SO WHEN YOU SEE DOE IN ANY OF THESE SLIDES, THAT'S WHAT IT'S REFERRING TO.

SO SB 4 AND SB 23, AS I MENTIONED EARLIER WAS THE HOMESTEAD EXEMPTION INCREASES.

SO 140,000. WE WENT FROM 100 TO 140,000 FOR INDIVIDUAL HOMES, AND THEN 10,000 TO 60,000 FOR THOSE WHO ARE OVER 65 OR DISABLED.

AND THEN WE DID GET HOLD HARMLESS FUNDING IN THOSE AREAS.

BUT IT'S KIND OF INTERESTING HOW THOSE CALCULATIONS ARE COMPLETED.

THOSE NUMBERS TEND TO GO DOWN A LOT LOWER AS YOUR VALUES GROW.

SB 1453 WAS EFFECTIVE THIS PAST JANUARY, AND THIS IS SOME OF THE NEW THINGS THAT WE HAVE TO DO.

THE FIRST ONE. THIS IS RELATED TO ADOPTING, CALCULATING AND ADOPTING THE DISTRICT'S I&S TAX RATE.

SO THIS IS THE PIECE MR. TOLBERT YOU WERE MENTIONING EARLIER, IT'S GOING TO BE VERY DIFFICULT TO DO BOND PREPAYMENTS BECAUSE OF THE EXERCISE.

WE HAVE TO GO THROUGH WITH SOME OF THESE NUMBERS.

IT CAN BE DONE, BUT THERE ARE A NUMBER OF STEPS THAT WE HAVE TO GO THROUGH.

SO IF THE BOARD DOESN'T PLAN TO ADOPT A PREPAYMENT, WHICH MORE THAN LIKELY WITH OUR NEW BONDS ISSUED THIS SUMMER, THAT WILL NOT EVEN BE THE CASE. THEN THE PROCESS FOR TAX RATE ADOPTION IS THE SAME AS IN THE PAST.

SO I WANT TO GO THROUGH JUST A SLIDE OR 2 OF THE EXPLANATION OF WHAT WOULD HAPPEN IF YOU WANTED TO DO IT, SO THAT YOU GUYS ARE A LITTLE MORE UP TO SPEED ON IT.

SO IF THE BOARD OF PLANS TO ADOPT A HIGHER I&S RATE THAN WHAT THE MINIMUM DEBT WOULD GENERATE.

SO EVERY YEAR WHEN WE DO OUR INS RATE, THE CALCULATIONS IS BASICALLY YOU TAKE WHAT YOUR BOND THAT YOU OWE, YOU TAKE OFF YOUR STATE FUNDING AND THEN YOU CALCULATE A RATE ON WHAT'S LEFT.

SO WE'RE REALLY NOT ALLOWED TO GENERATE ANY MORE REVENUE IN THE I&S FUND THAN WHAT WE ARE SUPPOSED TO BE PAYING IN.

SO THAT'S HOW THE DEBT RATE, IN A VERY SIMPLISTIC WAY IS IS HANDLED.

SO IF YOU WANT TO DO A HIGHER RATE BECAUSE YOU WANT TO DO A BOND PREPAYMENT WE HAVE TO PUBLISH THAT HIGHER RATE IN THE NEWSPAPER WITH OUR TRUTH AND TAXATION NOTICE, BUT IT'S GOING TO BE GENERATED IN THERE IN A WAY THAT MAKES IT LOOK LIKE WE HAVE TO HAVE A VOTER APPROVED TAX RATE ELECTION, EVEN THOUGH WE DON'T. SO IT HAS TO BE PUBLISHED HIGHER.

AND THAT'S 10 TO 30 DAYS BEFORE THE MEETING. THE VADER WILL BE CALCULATED.

THAT VOTER APPROVED TAX RATE WILL BE CALCULATED BASED ON THE MINIMUM DEBT THAT YOU HAVE.

SO WHATEVER THAT RATE IS. SO LET'S SAY THAT WE HAVE THE 39964, WHICH IS OUR TAX RATE, BUT IT ONLY TAKES $0.35 TO PAY OUR MINIMUM.

SO IF THE BOARD WANTED TO MAINTAIN THAT 39964.

WE WOULD HAVE TO POST THAT AS OUR THE RATE WE PROPOSED TO ADOPT.

BUT THEN THE RATE FOR A VOTER APPROVED ELECTION WOULD BE THAT $0.35.

SO WE HAVE TO POST THAT IN THE BOARD WHEN WE MEET TO CONSIDER THE TAX RATE, YOU WOULD HAVE TO ACTUALLY APPROVE THE HIGHER TAX RATE, BECAUSE I DON'T HAVE THE AUTHORITY TO PUT THAT HIGHER RATE IN THE PAPER.

WE WOULD APPROVE THE RATE, AND THEN YOU WOULD HAVE TO COME BACK AND ADOPT THE RATE LATER.

[00:20:02]

AND THERE'S A LOT OF ADDITIONAL RULES THAT YOU HAVE TO GIVE REASONS FOR IT.

WHY ARE WE DOING IT? AND IT ALL HAS TO BE SAID PUBLICLY IN THE MEETING.

SO OBVIOUSLY THE REASON WOULD BE TO PAY DEBT OFF EARLY AND, AND SAVE INTEREST FOR THE TAXPAYERS.

BUT ALL OF THAT WOULD HAVE TO BE PUBLICLY DISCLOSED.

AND THEN ALL OF THE WORKSHEETS AND ALL, OF COURSE, WOULD BE POSTED BEHIND THAT TNT FORM.

LIKE I MENTIONED EARLIER, THE TRUTH IN TAXATION FORM.

ARE WE UNIQUE OR DO YOU HAVE COLLEAGUES AROUND THE STATE THAT YOU KNOW ABOUT? ARE WE UNIQUE IN THAT WE'VE BEEN ABLE TO PREPAY A LOT OF STUFF.

A LOT OF OUR DISTRICTS, EVERYONE HAS BEEN DOING THE SAME THING AND SOME EVEN MORE THAN WE'VE BEEN ABLE TO DO.

IT'S NOT STANDARD OPERATING PROCEDURE. YES, SIR.

ALMOST ANY DISTRICT OUR SIZE. YES. YES, SIR. HOW CAN THAT BE SUCH A BAD DEAL? AND AND THERE ARE, YOU KNOW, GOVERNMENTAL ENTITIES THAT DO NOT WANT PUBLIC SCHOOL DISTRICTS TO HAVE THAT CAPACITY.

THEY WANT US TO HAVE TO VOTE TO INCREASE THE RATE INSTEAD OF STAYING STEADY AT THE RATE WE ARE.

SO THEY WANT TO FORCE THE RATE DOWN AND THEN WE HAVE TO VOTE TO INCREASE IT LATER.

THAT'S WHAT THEY'RE, IN ESSENCE, DOING WITH THIS 2 STEP PROCESS. THEY'RE MAKING THEY'RE FORCING US TO VOTE ON A TAX RATE INCREASE, EVEN THOUGH IT'S NOT. IT'S MORE THAN MY HOUSE PAYMENT IS.

I'M COLLECTING AND I'M JUST USING IT TO PAY DOWN MY WOULD THINK THAT'S A POSITIVE THING.

ALL RIGHT. SO WE WENT OVER THIS LAST SUMMER, IF YOU REMEMBER.

BUT I WANT TO KIND OF TELL YOU HOW THIS IS GOING TO CHANGE AS WELL.

SO THE NO NEW REVENUE TAX RATE. SO ALL, ALL ENTITIES HAVE TO CALCULATE THE NO NEW REVENUE TAX RATE.

AND SO FOR SCHOOL DISTRICTS, THE NO NEW REVENUE TAX RATE DOES NOT TAKE INTO ACCOUNT STATE FUNDING.

SO WHEN THEY INCREASE, FOR INSTANCE A HOMESTEAD EXEMPTION WHICH REDUCES OUR REVENUE, WE HAVE TO HAVE STATE FUNDING TO BE MADE WHOLE WELL, IN THE NO NEW REVENUE TAX RATE, YOU CAN'T COUNT THE STATE FUNDING.

IT ONLY COUNTS THE TAX COLLECTION. SO AS VALUES ARE GOING UP, IT ACTUALLY IS THE NUMBER THAT SAYS, I'M NOT GOING TO COLLECT ONE MORE DOLLAR IN TAXES THAN I DID THE PRIOR YEAR.

IT DOESN'T CARE HOW MANY STUDENTS YOU HAVE. IT DOESN'T CARE WHAT YOUR DEBT PAYMENT HAS TO BE.

IT'S ONLY ABOUT HERE'S THE VALUES AND WHAT KEEPS US AT THE EXACT SAME LEVEL AS THE PRIOR YEAR.

SO ALL ENTITIES CALCULATE THIS. AND I'LL JUST READ SOME OF THESE, BECAUSE I THINK IT'S IMPORTANT.

THE RATE THAT WOULD GENERATE NO ADDITIONAL LOCAL TAX REVENUE.

AND IT DOESN'T CONSIDER STATE AID RECAPTURE ACTUAL DEBT REQUIREMENTS.

IT'S ON THE COMPTROLLER'S TAX WORKSHEETS. AND IT IT REALLY IS MEANINGLESS FOR SCHOOL DISTRICTS, BUT THIS IS NOT THE RATE THAT WE POST ON THE TARRANT APPRAISAL DISTRICT WEBSITE BEFORE YOU ADOPT YOUR TAX RATE.

WE DO HAVE TO HAVE THIS POSTED ON THE TAX ASSESSOR'S WEBSITE IN SEPTEMBER, BUT IT'S AFTER THE FACT.

SO WE'VE I THINK THE STATE HAS BEEN TRYING TO GET THEM TO CHANGE THIS, BUT WE ARE STILL REQUIRED TO CALCULATE THIS RATE.

SO 1 THING ON THIS 1. WELL NOT THAT IT MATTERS, BUT THERE IS SOME CALCULATIONS THAT WE HAVE TO DO BOTH THE MINIMUM DEBT RATE AND THE AND THE HIGHER. BUT, BUT LET ME MOVE ON TO THE NEXT SLIDE BECAUSE THIS IS THE THE IMPORTANT ONE FOR SCHOOL DISTRICTS.

SO THIS IS CONSIDERED THE SCHOOL DISTRICTS. NO NEW REVENUE BUT IT'S CALLED THE RATE TO MAINTAIN.

AND SO IT'S TRYING TO MAINTAIN THE SAME AMOUNT OF REVENUE PER STUDENT AS YOU HAD IN THE PRIOR YEAR.

SO IT DOES TAKE INTO ACCOUNT WHAT YOUR DEBT PAYMENTS ARE.

BUT IN THE PAST IT WAS WHATEVER YOUR DEBT PAYMENTS ARE.

SO IT COULD HAVE BEEN YOUR MINIMUM PLUS YOUR PREPAYMENTS.

NOW IT'S GOING TO BE CALCULATED WITH JUST THE MINIMUM AMOUNT OF DEBT.

SO THIS IS THE RATE THAT WE PUT ON THE TAX ASSESSOR COLLECTOR.

THE TARRANT APPRAISAL DISTRICT'S WEBSITE THAT WE LOOK AT BEFORE YOU ADOPT THE TAX RATE.

SO THAT'S THE THAT'S THE ONE THAT'S BEEN SO CRITICAL THE LAST FEW YEARS.

SO THIS IS PROBABLY THE ONE THAT'S GOING TO MAKE IT VERY DIFFICULT TO DO BOND PREPAYMENTS, BECAUSE THIS IS LOOKED AT BY OUR COMMUNITY VERY CLOSELY.

AND YOU GUYS HAVE STAYED UNDERNEATH THAT FOR THE LAST SEVERAL YEARS, WHICH HAS BEEN WONDERFUL.

BUT THIS IS THIS IS A BRAND NEW THING THAT WE'RE HAVING TO DO WITH THE MINIMUM DEBT RATE.

[00:25:03]

WE STILL HAVE TO LOOK AT THESE ARE OLD ITEMS. WE STILL HAVE TO LOOK AT WHETHER WE ARE GENERATING MORE TAXES THAN LAST YEAR.

SO THAT'S STILL A PIECE. AND I THINK THE LAST FEW YEARS WE'VE HAD TO PUT THAT IN OUR RESOLUTION LANGUAGE AND ON OUR WEBSITE, BUT THERE'S NOTHING PUBLIC THAT THAT HAS TO GO WITH THIS.

AND THEN ALSO THERE'S ADDITIONAL STATUTORY LANGUAGE.

IF WE EXCEED THE NNR, WHICH WOULD BE THE RATE TO MAINTAIN MAINTENANCE AND OPERATIONS TAX RATE.

SO THERE'S A LOT OF TAX RATES NOW THAT WE'RE HAVING TO CALCULATE AND WE'RE HAVING TO GO THROUGH ALL THE CALCULATIONS TWO DIFFERENT WAYS.

NOW IF IN FACT WE HAD TO DO A PREPAYMENT. BUT IT'S IT'S BECOMING A LITTLE MORE COMPLICATED.

ALL RIGHT. SO THE OPEN MEETINGS ACT YOU'RE FAMILIAR WITH BECAUSE WE'VE BEEN OPERATING UNDER THOSE THIS YEAR.

HAVING THE 3 DAYS PRIOR, THERE'S A COUPLE OF OTHER ITEMS HERE THAT HAVE BEEN ADDED FOR THIS NOW BUDGET SEASON.

SO A PHYSICAL COPY OF THE PROPOSED BUDGET MUST BE ACCESSIBLE ON THE FRONT PAGE OF THE WEBSITE.

SO WE HAVE THAT THERE TONIGHT BASED ON THE NUMBERS WE'VE BEEN LOOKING AT, WHEN WE FINALIZE EVERYTHING BASED ON HOW THE BOARD DECIDES TO GO WITH COMPENSATION AND DIFFERENT THINGS, WE'LL UPDATE THAT INFORMATION, BUT IT HAS TO.

ONCE THE PROPOSED BUDGET IS FINALIZED IN JUNE BEFORE YOU ADOPT IT.

IT WILL JUST SIT ON OUR WEBSITE UNTIL NEXT YEAR WHEN WE START TALKING ABOUT THE 27-28 BUDGET.

THE SECOND THING IS THE NEW THING, AND I THINK YOU HAVE A COPY OF THE AGENDA, BECAUSE WE'VE BEEN TRYING TO FIGURE OUT THE BEST WAY.

AND SOME ATTORNEYS GAVE US THIS RECOMMENDATION.

SO THIS IS THE TAXPAYER IMPACT STATEMENT. AND SO IT'S ACTUALLY IN YOUR AGENDA AS A LITTLE CHART.

I JUST WANTED YOU TO SEE WHERE IT WAS. SO EVERY TIME WE DISCUSS THE BUDGET, WE HAVE A BUDGET AMENDMENT OR WE PRESENT FINANCIAL STATEMENTS IN THE AGENDA. THIS TAXPAYER IMPACT STATEMENT HAS TO BE ON THE AGENDA PAGE.

SO RIGHT NOW WE ARE ESTIMATING THE 26-27 MEDIAN HOME VALUE AND TAX RATE.

WHEN WE GET THE VALUES FOR NEXT MONTH, WE'LL UPDATE THAT AT OUR NEXT MEETING.

AND THEN ONCE THE CERTIFIED VALUES COME IN IN JULY, WE WILL FINALIZE THAT MEDIAN VALUE AND IT WILL JUST STAY ON THE AGENDA FOR THE REST OF THE YEAR. SO EVERY AGENDA THAT WE HAVE FOR THE REST OF THE YEAR WILL HAVE THIS TAXPAYER IMPACT STATEMENT.

NOW, NEXT YEAR, WHEN WE START WORKING ON THE 27-28 BUDGET, WE WILL HAVE 2 TAXPAYER IMPACT STATEMENTS BECAUSE WE'VE GOT TO HAVE ONE THAT'S FOR THIS YEAR. AND THEN WE'LL HAVE TO HAVE THE PROPOSED ONE FOR NEXT YEAR ONCE WE HAVE A NUMBER.

SO I THINK WE'RE GOING TO HAVE TO BE REALLY CLEAR EVERY TIME WE HAVE A MEETING TO TALK ABOUT BUDGET, DO WE ACTUALLY HAVE A PROPOSED BUDGET TO FILE? BECAUSE IF WE'RE JUST TALKING ABOUT BUDGET, MAYBE GOING THROUGH REQUESTS, BUT WE DON'T HAVE AN ACTUAL BUDGET CREATED, THEN WE DON'T HAVE TO PUBLISH SOME OF THIS INFORMATION.

SO WE'RE GOING TO BE VERY STRATEGIC IN HOW WE'RE UNDERSTANDING WHAT IT IS WE'RE DOING WITH YOU, SO THAT WE MAKE SURE WE COMPLY WITH THE LAW. OKAY.

ALL RIGHT. SO AND THIS IS WHAT I JUST WENT OVER.

SO I JUST EXPLAINED ALL THAT I FORGOT I HAD A SLIDE ON IT.

SO. OKAY, I'M GOING TO TURN THIS OVER TO DOCTOR GLENN TO GO OVER A COUPLE OF OTHER FUNDS.

OKAY. WE'RE GOING TO START WITH OUR CHILD NUTRITION FUND.

AND OUR ASSUMPTIONS FOR THE CHILD NUTRITION FUND ARE BASED ON OUR FEDERAL REIMBURSEMENTS.

THIS IS THE SECOND YEAR IN FINAL YEAR, UNLESS IT'S REAUTHORIZED, THAT THE STATE OF TEXAS WILL REIMBURSE OUR REDUCED PAY STUDENTS AS FULL FREE PAY STUDENT STUDENTS. SO WE ARE RECEIVING A LITTLE BIT MORE REVENUE FOR THAT.

THE PRICE OF MEALS, WHICH WE DON'T PLAN ON CHANGING FOR 26-27.

AND WE HAVE NOT INCREASED OUR MEAL PRICE SINCE 1718 AS WELL AS THE NUMBER OF STUDENTS.

SO HERE'S A SIDE BY SIDE OF OUR 25, 26 AND 26-27 CHILD NUTRITION BUDGET.

YOU CAN SEE A FEW CHANGES, AN INCREASE IN OUR MEALS REIMBURSABLE.

AND THEN A LITTLE BIT OF INCREASE IN OUR REVENUE, JUST OVER 13 MILLION.

AND FOR OUR EXPENDITURES SIDE BY SIDE, OUR 25-26 EXPENDITURES DO INCLUDE IN THIS BOX RIGHT OVER HERE, CAPITAL PROJECTS THAT WERE APPROVED THAT INCLUDE THE REPLACEMENT FREEZER FOR THE DISTRICT, DISTRICT LEVEL HERE. THAT WAS JUST UNDER 900,000 AS WELL AS A SERVING LINE AT GREEN VALLEY.

SO THAT DOES MAKE UP THAT DEFICIT. THAT'S 1.3 MILLION THERE.

AND FOR 26-27 WE DO PRESENT A BALANCED BUDGET, JUST OVER 13 MILLION IN EXPENDITURES.

[00:30:06]

AND THEY EXPECT THAT TO BE BETWEEN 1 AND 3 MONTHS WORTH OF AVERAGE OPERATING EXPENSES AT THE END OF 25-26 HOURS WILL BE JUST OVER 1.6 MILLION, WHICH IS JUST UNDER ONE AND A HALF MONTHS.

ONE OPTION WE WOULD LIKE TO PRESENT TO YOU IN MAY IS TO RECODE THAT CHILD NUTRITION FREEZER TO THE GENERAL FUND, THUS INCREASING OUR FUND BALANCE. SO NOW WE GET TO THE GENERAL FUND.

THESE ASSUMPTIONS ARE VERY SIMILAR TO WHAT YOU SAW WITH THE DEBT SERVICE FUND.

WE ARE USING CURRENT STATE FUNDING FORMULAS AND WE HAVE DONE SOME REDUCTIONS.

WE CONTINUE TO WORK ON OUR PAYROLL BUDGET EACH YEAR.

SO THIS IS WHERE WE'RE SITTING RIGHT NOW AS FAR AS PROJECTED REVISED REVENUE $254.8 MILLION.

THE OPERATING TRANSFER IN YOU SEE RIGHT ABOVE THE TOTAL GENERAL FUND REVENUE WAS RELATED TO ROLLED OVER PURCHASE ORDERS AND PROJECTS FROM LAST SUMMER.

WE ALWAYS HAVE THOSE THAT WE BRING TO YOU AN ESTIMATE IN JUNE, AND THEN IN JULY WE SEE WHAT ACTUALLY NEEDED TO BE ROLLED OVER.

THE OTHER THING, WHICH IS NOT INCLUDED, WE WERE ABLE TO SECURE SOME CORRECTIONS TO OUR COMPTROLLER'S VALUES.

SO WE DID JUST RECENTLY RECEIVE AN ADDITIONAL $10.6 MILLION FOR LAST YEAR THAT WE DID NOT REPORT, BECAUSE WE'RE NOT ALLOWED UNDER ACCOUNTING TO REPORT THAT WE WEREN'T EVEN SURE IF WE WERE GOING TO BE ABLE TO GET THOSE CORRECTIONS COMPLETED.

SO WHEN WE FINALIZE OUR AMENDED BUDGET IN JUNE FOR YOU, IT WILL INCLUDE THAT $10.6 MILLION OF ADDITIONAL REVENUE AS WE LOOK TO NEXT YEAR. YOU CAN SEE WE'RE RIGHT AT $252.9 MILLION.

THE REVENUE REDUCTIONS ARE RELATED TO THE NEW INSTRUCTIONAL FACILITY ALLOTMENT, WHICH WE QUALIFIED FOR THIS YEAR RELATED TO THE OPENING OF THE 3 SCHOOLS. MULLENDORE, SMITH AND GRIGGS. AND THEN WE ALSO, IF YOU REMEMBER, PROJECTED A REDUCTION IN OUR STUDENT ENROLLMENT.

SO THAT IS WHAT'S REALLY MAKING UP MOST OF THE REVENUE REDUCTION.

SO AS WE LOOK TO THE END OF THE YEAR, RIGHT NOW, WE ARE PROJECTING A SURPLUS.

WE DO BELIEVE WE'VE STILL GOT SOME BUDGETS THAT PROBABLY WILL NOT BE SPENT BY YEAR END.

SO THAT NUMBER, THAT 1 MILLION WILL BE HIGHER, WHICH IS WHY WE WANTED TO MOVE THE FREEZER AND THE ARBITRAGE TO GENERAL FUND TO TAKE UP THOSE NUMBERS. IN ADDITION, WE'LL HAVE THAT 10.6 MILLION THAT WILL BE ADDED IN AS WELL.

BUT AT YEAR END, THE GASB 54 FUND BALANCE RESOLUTION THAT YOU GUYS PASSED 2 YEARS AGO ALLOWS US TO ADJUST THE YEAR END FUND BALANCE TO STAY BETWEEN 28% AND 33% OF OUR FOLLOWING YEAR'S EXPENDITURES.

SO WE'VE BEEN STAYING RIGHT AROUND 31, 32%. SO THAT'S PROBABLY WHERE WE'LL END UP AT YEAR END.

SO A GOOD FUND BALANCE THAT GIVES US GOOD PROTECTION AND ANYTHING ELSE WILL BE ROLLED INTO THE FUTURE NEEDS FUND.

AND THEN AS WE LOOK TO THIS NEXT YEAR, RIGHT NOW, WE DO HAVE A BALANCED BUDGET AT JUST UNDER $253 MILLION.

ANY QUESTIONS ON THAT? ALL RIGHT. COMPENSATION.

NORMALLY WHAT WE DO IS THIS. WE GIVE YOU AN ESTIMATE OF WHAT 1% EMPLOYEE INCREASE AT MIDPOINT WOULD BE 1% FOR A TEACHER AT YEAR 16 IS $725. AND I'LL REMIND YOU THAT NOT THE TIA, BUT THE TRA.

LAST YEAR, OUR TEACHERS THAT HAD AT LEAST 3 YEARS OR 4 YEARS EXPERIENCE RECEIVED $2,500, WHICH I BELIEVE WE GAVE $2,100 JUST IN THE BASE TEACHER PAY. SO $2,500.

AND THEN IF YOU WERE ENTERING INTO YOUR 5 AND UP, ALL OF THOSE TEACHERS RECEIVED $5,000.

SO IN A MEETING, WE WERE JUST IN WE ARE HAVE BEEN INSTRUCTED THAT TEA IS GOING TO BE AUDITING THAT TRA.

AND SO WE'RE GOING TO START PUBLISHING OUR SCALES SO THAT IT BACKS THE TRA OUT OF THE SCALES SO THAT THEY CAN CLEARLY SEE HOW WE'VE ADDED THOSE IN.

AND THEN EVERYTHING'S TRACKED STRANGELY FROM THE 24-25 SCHOOL YEAR.

SO AS WE'RE GOING THROUGH OUR SCALES, I BUILT THOSE YESTERDAY AND I'VE HAD TO A LOT, LOT LARGER SPREADSHEET THAN I WAS ANTICIPATING.

BUT I WANT TO MAKE SURE THAT WE'VE COVERED OURSELVES WITH ALL THE TEACHERS.

AND AS YOU ALL HAVE CONTINUED YOUR COMPENSATION INCREASES, THERE'LL BE A POINT WHERE WE WON'T HAVE TO WORRY SO MUCH ABOUT THE TRA,

[00:35:01]

SO DO YOU WANT TO HAVE SOME CONVERSATION ABOUT THIS, OR DO WE WANT TO JUST FINISH THE PRESENTATION.

OKAY. WE'LL FINISH THE PRESENTATION. ALL RIGHT. I'M GONNA LET DOCTOR GLENN, WE GOT SOME GREAT NEWS ON INSURANCE.

YES, I'LL LET HER GIVE YOU. THIS IS GREAT. I GET TO BRING GREAT NEWS.

SO WE WILL BE IN OUR SECOND YEAR OF GUARANTEED RATE WITH PROPERTY CASUALTY ALLIANCE OF TEXAS OR PCAT.

AND WE JUST GOT THESE NUMBERS. BUT OUR AGENT WILL BE AT THE MAY REGULAR BOARD MEETING TO PRESENT THE PROPOSAL TO YOU.

WE HAVE SEEN RATE DECREASES OVER THE PAST 2 YEARS OF 8.9% AND 15.4%, AND OUR 26-27 RATE DECREASE IS 19.3%, WITH A SAVINGS OF $620,000. DOES THAT DOES THAT? NO IT'S NOT. IT'S JUST THE MARKET. AND SO IS WHAT CARRIE TELLS US THAT THE MARKET IS SWINGING.

AND AND. HE'LL BE HERE AT THE MAY MEETING TO GO OVER THE FULL INFORMATION ON IT.

SO HE SAID, THEY'VE JUST OUTPRICED. THEY'VE PRICED THEMSELVES OUT, YOU KNOW, BECAUSE THEY KEPT GOING UP AND UP.

AND SO IT WAS GREAT NEWS FOR US. AND ONE THING I DIDN'T TELL YOU, BECAUSE I JUST GOT THAT NEWS LAST WEEK LATE AS WELL.

THE ROOF CLAIM AT THE WAREHOUSE IT LOOKS LIKE WE'RE GOING TO GET $174,000.

I KNOW IT'S, YOU KNOW, MAYBE NOT WHAT WE HAD TO PAY, BUT IT'S NICE TO HAVE THAT EXTRA PIECE IN.

SO THERE WAS ONLY 1OF OUR 6 BASE LEVEL PROVIDERS.

THEIR INSURANCE WAS A LITTLE TIGHTER AND THEY REFUSED TO TAKE THE CLAIM.

THE REST OF THEM SAID, WE WILL PAY YOU IF YOU WILL SIGN A RELEASE.

AND I THOUGHT, WELL, I DON'T OWN THE BUILDING, SO I'M MORE THAN HAPPY TO SIGN A RELEASE. SO.

DO YOU THINK PART OF THE SAVINGS IS WE HAVE LESS SQUARE FOOTAGE WE GOT, YOU KNOW, NOT LESS SQUARE FOOTAGE, BECAUSE SMITH IS PRETTY LARGE. BUT WHEN YOU GET RID OF A CAMPUS, YOUR PROPERTY AND SMITH IS PROBABLY AS MUCH AS THE TWO YEAH. YOU'RE RIGHT. I JUST GOT VERY NEW PRICING.

WELL, IT SEEMS TO ME THAT IT SEEMS TO ME THAT NEW ROOFS.

YOU GOT 2 STORIES, SO YOU GOT LESS ROOF. THAT SHOULD HELP, YOU KNOW.

I DON'T KNOW. HE'LL BE ABLE TO GIVE YOU ALL THAT INFORMATION WHEN HE COMES. WE JUST GOT THE INFORMATION, SO. YEAH. IT'S GREAT. IT'S GOOD. VERY GOOD NEWS.

WE'VE ALSO GOT A REALLY GOOD CLAIMS HISTORY. SO THAT'S ANOTHER PIECE OF IT.

THAT'S TRUE. AND THE NOT SO GREAT NEWS. WHILE WE WERE EXPECTING A 9% INCREASE IN HEALTH INSURANCE PREMIUMS, THAT IS SHOWING JUST OVER 10%. NOW THE 10% CAP BY STATE LAW IS THE STATE OF TEXAS.

AND WE ARE THE SECOND HIGHEST REGION IN TEXAS AS FAR AS OUR RATES.

AND SO THAT'S WHY WE'RE JUST OVER 10%. YOU HAVE A COUPLE OF HANDOUTS IN YOUR PACKET THAT GIVES A COMPARISON OF OUR CONTRIBUTION VERSUS OUR PEERS. WHEN YOU'RE LOOKING AT COMPENSATION, MOST OF OUR FOCAL AREA HERE OVER SEVERAL YEARS IS ON TRS.

COMPENSABLE COMPENSATION AND INSURANCE IS NOT.

BUT WE JUST WANTED YOU TO HAVE THIS INFORMATION TO MAKE YOU AWARE OF IT.

THIS IS A LITTLE BIT OF INFORMATION ON HOW MANY OF OUR EMPLOYEES PARTICIPATE IN THE HEALTH INSURANCE COVERAGE.

AND SO IT'S JUST OVER 1500 TOTAL. WE DO HAVE THAT DIFFERENTIAL FOR OUR LOWER PAY GRADES TO MAINTAIN COMPLIANCE WITH THE AFFORDABLE CARE ACT REQUIREMENTS. SPECIAL EDUCATION WILL SEE A CHANGE IN FUNDING SOON.

SO 26-27 WILL BE A TRANSITION YEAR. AND I JUST WANT TO DRAW YOUR ATTENTION TO THE GREEN BOX ON THE SLIDE.

AS YOU SEE, BOTH OF THESE STUDENTS ARE IN THE SAME INSTRUCTIONAL SETTING.

AND RIGHT NOW SPECIAL EDUCATION IS FUNDED ON INSTRUCTIONAL SETTING.

HOWEVER, STUDENT A HAS MORE SUPPORTS IN PLACE AND THUS HIS HER EDUCATION COSTS A LITTLE BIT MORE.

SHE HAS A ONE ON ONE SUPPORT THERE. AND MAYBE SOME OTHER SUPPORTS.

AND SO THEY ARE CHANGING THE MODEL FROM AN INSTRUCTIONAL SETTING MODEL TO AN INTENSITY OF SERVICE MODEL THAT INCLUDES 8 TIERS RANGING FROM WALK IN SPACE BEING THE LOWEST TIER TO A RESIDENTIAL PLACEMENT, BEING THE HIGHEST TIER, AND MULTIPLE SERVICE GROUPS.

THE TRICKY THING IS THAT WE HAVE TO REPORT ALL OF ALL OF OUR TIERS AND SERVICE GROUPS FOR EVERY SINGLE SPECIAL EDUCATION STUDENT BY THE DEADLINE OF OCTOBER 8TH IN THE FIRST 6 WEEKS. AND SO THIS SUMMER, TAMMY AND JENNIFER ARE HERE.

OUR SPECIAL EDUCATION DEPARTMENT IS BUSY, BUSY DUAL CODING THOSE STUDENTS.

AND THEN AT THE END OF THE YEAR AND INTO 2728, ACTUALLY THE STATE WILL DETERMINE THE FUNDING ALLOCATIONS

[00:40:06]

THERE'S A LOT OF UNCERTAINTY AND A LOT OF WORK THAT WILL BE NEEDED ON THIS.

HOW MANY STUDENTS WOULD THAT BE? 3800. 3000.

BY OCTOBER THE 8TH. YES. CAN I ASK THE DAY THEY WANTED IT IN AUGUST IF WE COULD GET IT SO AND SO THAT I'M ASSUMING, TAMMY, THAT'S ALSO GOING TO REQUIRE US TO BECAUSE OF THIS THIS NEW INTENSITY OF SERVICE MODEL, IT WILL REQUIRE US TO CONTRACT WITH PERSONNEL OVER THE SUMMER TO GET THAT DONE BY OCTOBER THE 8TH.

TO HAVE THE EXTRA PERSONNEL. YEAH. OKAY. HAVE WE EVER WENT AND LOOKED AT WHAT IT COST ALL THESE.

THAT'S AN UNFUNDED MANDATE. AGAIN, THIS EXTRA PERSONNEL.

ANYBODY EVER BEEN BRAVE ENOUGH TO START ADDING UP? THE TOTAL IS WHAT IT COSTS US EVERY YEAR. ACTUALLY, THERE'S A PUBLISHED DOCUMENT AND IT'S, YOU KNOW, IT'S MONTHS LATE, BUT THERE'S EACH YEAR THERE'S A PUBLISHED DOCUMENT OF UNFUNDED MANDATES STATEWIDE.

IT'S NOT, YOU KNOW, PARTICULAR TO US, BUT ALL THE, THE MANDATES, I'D SAY EACH YEAR, EVERY 2 YEARS WHEN THE LEGISLATURE MEETS, I MEAN, WE THE OBVIOUS ONE THAT WE ALL KNOW ABOUT IS WHAT IT COSTS FOR OUR POLICE OFFICERS AND STUFF.

THEY STARTED OUT, WHAT, 15,000 PER CAMPUS? THEN THEY DOUBLED IT TO 30.

RIGHT. YOU KNOW, THAT'S STILL A DROP IN THE BUCKET.

I WONDER WOULD BE SOME GOOD AMMUNITION WHEN THE LEGISLATIVE SESSION STARTS IF WE HAD SOME OF THAT TO SHOW SOMEONE.

HERE'S WHAT THIS COST US. THIS IS WHAT THIS COST US.

ALL THESE NEW RULES YOU PUT ON US AND YOU'RE NOT GIVING US THE MONEY TO DO IT.

THERE'S A PRIME EXAMPLE RIGHT THERE. THE AMOUNT OF MANPOWER AND WOMAN POWER THAT YOU'RE GOING TO DO IN THE SUMMER TO GET ALL THOSE STUDENTS CODED CORRECTLY AND THAT'S RIGHT. AND NOT JUST GETTING IT DONE, BUT FINDING THE THE TOOLS TO GET IT DONE.

I MEAN, DAVE'S DEPARTMENT IS BEING PULLED IN TO CREATE THE TOOL BECAUSE IT DOESN'T EXIST TO MOVE, TO MOVE INFORMATION, DATA FROM, FROM ONE PORTAL TO ANOTHER.

SO NOTHING EXISTS TO DO THAT. SO IT'S GOING TO HAVE TO BE HAND CODED LITERALLY UNTIL SOME SOMEONE BRILLIANT LIKE DAVE COMES UP WITH YOU KNOW HOW TO DO THAT. SO IT'S NOT JUST, IT'S NOT JUST THE FOLKS THAT ARE DOING THIS, BUT IT'S PULLING IN ALL DIFFERENT DEPARTMENTS AS WELL.

TAMMY, DO WE HAVE TO BRING THE KIDS IN DURING THE SUMMER? NO, NO, IT WILL BE OUT OF OUR SPECIALIZED SOFTWARE.

THE, THE ART PAPERWORK. IT'S JUST EACH ONE THOUGH.

AND WE DO IT AND THEN AND REVIEW EACH PAPER, EACH ART PAPERWORK AND REVIEW IT AND THEN TEAR THE KIDS BASED ON THAT SO IT WON'T BE THE KIDS COMING IN. YEAH. HOW LONG DO YOU THINK IT WOULD TAKE ON EACH PAPER? I GUESS IT'D BE VARIANCE BECAUSE SOME KIDS HAVE MORE.

YES. AND SO MY EXAMPLE THAT I HAVE IS THAT IF IT'S A KID WHO IS SPEECH ONLY, WE PRETTY MUCH KNOW THEY'RE GOING TO BE THE THE TIER ONE, RIGHT? SO WE CAN KIND OF TAKE THOSE KIDS OUT OF THE MIX BASICALLY.

BUT THEN WE HAVE INVOLVED KIDS IN THOSE WE'RE, WE'RE THINKING ANYWHERE FROM 15 TO 30 MINUTES PER KID.

YEAH. WHEN WE WERE AT A CONFERENCE LAST WEEK THE PRESENTER HAD GONE THROUGH THE TOOL THAT TEA CREATED TO SEE WHAT IT WOULD TAKE TO GET A CHILD TO THE HIGHEST TIER.

AND SHE SAID WITH THE CODES THEY PUT IN, EXCEPT FOR RESIDENTIAL, THEY COULDN'T GET PAST LEVEL 4.

AND SO IT'S GOING TO BE INTERESTING TO SEE WHAT THE FUNDING LOOKS LIKE FOR THESE.

YEAH. AND JUST GOING BACK AND I KNOW I'M BEATING A DEAD HORSE HERE, BUT JUST GOING BACK TO THE ACTUAL WORK ITSELF.

SO WE HAVE THE ARD PAPERWORK THAT'S THAT'S BEING COMPLETED.

END OF YOUR ARDS. RIGHT. SO WE HAVE THE ARD PAPERWORK.

THAT PAPERWORK IS HAVING TO BE TAKEN AND DISSECTED PIECE BY PIECE AND A WHOLE ANOTHER REPORT AND DATA SYSTEM CREATED FOR THAT SAME PAPERWORK. SO IT'S, IT'S A, IT'S 2 REPORTS THAT SAY THE SAME THING THAT ARE HAVING TO BE SENT TO THE STATE BY OCTOBER THE 8TH FOR 3700 STUDENTS.BUT IT'S AND IT'S NOT JUST A IT'S NOT JUST A SIMPLE DATA MOVEMENT.

LIKE YOU CAN'T JUST TAKE IT FROM POINT A TO POINT B AND MOVE IT HERE AND SEND IT IN, BECAUSE DATA THAT'S IN POINT A, WHICH IS THE CURRENT ARD PAPERWORK, HAS TO BE DISSECTED IN TERMS OF TIERS, WHICH WE DON'T CURRENTLY DO.

SO ALL OF THAT DATA NOW HAS TO BE TIERED APPROPRIATELY AND THEN INPUT INTO PORTAL B AND THEN SENT OFF.

[00:45:09]

$250 MILLION. SO WHAT THEY'RE GOING TO DO IS RUN IT ON THE OLD SYSTEM AND SEE HOW MUCH MORE IT WOULD TAKE TO GET TO $250 MILLION.

AND THEN THEY'LL THEY'LL CREATE THE WEIGHTS FOR THE NEW SYSTEM NEXT AUGUST.

AND WE HAVE MORE KIDS BEING REFERRED TO SPECIAL.

SO AGAIN, THIS IS JUST ANOTHER WAY OKAY. SOME IMPORTANT DATES THAT WE HAVE FOR YOU, OUR TAX RATE ON OUR TAX RATE.

AS KATIE MENTIONED, WE DID RECENTLY RECEIVE OUR PRELIMINARY ESTIMATES AND WE SHOULD RECEIVE THE CERTIFIED VALUES BY JULY 25TH.

AUGUST THE 27TH IS THE DATE THAT WE HAVE SET FOR THE BOARD OF TRUSTEES TO CONSIDER THE TAX RATE, AND THAT TAX RATE MUST BE ADOPTED AFTER OUR BUDGET ADOPTION.

THE KEY DEADLINES FOR OUR BUDGET ADOPTION. WE MUST PUBLISH THE MEETING TO ADOPT THE BUDGET BETWEEN THE DATES OF MAY 26TH AND JUNE 15TH, AND OUR DEADLINE TO PROPOSE THAT BUDGET IS JUNE 19TH.

THE BOARD MEETING IS CURRENTLY SCHEDULED FOR JUNE 25TH, AND OUR DEADLINE TO ADOPT THAT BUDGET IS JUNE 30TH.

THE TEA PROPERTY VALUE STUDY TO DETERMINE OUR MAXIMUM COMPRESSED TAX RATE IS BETWEEN JULY 18TH AND AUGUST 1ST, AND THEN OUR DEADLINE TO ADOPT THE TAX RATE IS SEPTEMBER 29TH, OR 60 DAYS AFTER RECEIVING OUR CERTIFIED ROLE.

THANK YOU FOR TRACKING ALL THAT STUFF. YEAH, REALLY.

SO WE HAVE RECEIVED ALL THIS INFORMATION AND THE AGENDA TONIGHT WAS JUST INFORMATION ONLY.

I DO WANT TO OPEN IT UP FOR ANY DISCUSSION ON THIS INFORMATION THAT WE WANT TO HAVE.

DOES ANYBODY WANT TO MAKE ANY COMMENT AT THIS POINT? JUST A. JUST VERY BRIEFLY, MR. PRESIDENT YOU KNOW, PRESENTING A BALANCED BUDGET IS GOOD, BUT IF YOU NOTICE, THERE WAS NO THERE WAS NO PAY INCREASE IN THE BALANCED BUDGET.

SO WITH, WITH CONTINUING CONTINUING FUNDS, THERE'S, THERE'S NO EXTRA MONEY FOR PAY INCREASES.

BUT OBVIOUSLY THERE'S, THERE'S 1 TIME FUNDS THAT COULD BE MOVED OVER TO FUND THAT.

AND THAT'LL JUST BE A DECISION WE NEED TO MAKE. BUT WE DO NEED TO KEEP THAT IN MIND.

THAT'LL BE A CONTINUING. CONTINUING OBLIGATION GOING FORWARD, FURTHER INTO THE FUTURE THAT WE DON'T HAVE ANY MATCHING ONGOING FUNDS FOR.

I GUESS WE CAN HOPE THAT NEXT LEGISLATIVE SESSION, THEY GIVE US SOME MORE BASIC ALLOTMENT FUNDS.

BUT, YOU KNOW, SOMETHING TO THINK ABOUT. AND THIS IS THE TIME OF YEAR THERE ARE ALWAYS CURIOUS ABOUT WHAT OUR NEIGHBORING DISTRICTS ARE DISCUSSING ON THEIR PAY INCREASES. DOCTOR STINSON, I KNOW YOU WERE ASKING QUESTIONS.

HAVE YOU RECEIVED ANY RESPONSES YOU CAN SHARE WITH US? I THINK EVERYONE IS IN THE THE SAME LEVEL OF STUDY AS WE ARE AT THIS MOMENT.

I DID NOT RECEIVE ANY DEFINITIVE STATEMENTS FROM, FROM ANYONE OF OUR NEIGHBORS.

THEY'RE ALL IN SESSIONS JUST LIKE WE ARE TONIGHT HAVING THE SAME CONVERSATIONS.

I DO THINK THAT WE ARE OUR FORTUNATE AND PRUDENT AND DO APPRECIATE YOUR GUIDANCE ALONG THE WAY AND AND THAT OF OUR BUSINESS DEPARTMENT AND PRESENTING A BALANCED BUDGET. I THINK THAT'S AMAZING WORK.

AND ESPECIALLY IN THIS IN THIS IN THIS ATMOSPHERE OF PUBLIC SCHOOL FINANCE.

AND SO OUR FINANCE DEPARTMENT IS, AND OUR, AND OUR STAFF, FRANKLY BEING GOOD STEWARDS OF, OF THE BUDGET AND THE MONIES THAT, THAT YOU ALL HAVE APPROVED.

MY UNDERSTANDING IS THE DISTRICT TO OUR SOUTH THAT IS NOW CONTROLLED BY THE STATE GETS TO SPEND ALL THE MONEY THEY WANT AND ARE PLANNING A LARGE INCREASE.

5% AT ACTUALLY, NOT TO PUT TOO FINE A POINT ON IT, THEY'RE NOT GETTING ANY ADDITIONAL FUNDING.

THEY ARE. THEY'RE RIFFING THEIR EMPLOYEES AND THAT'S WHERE THEY'RE GETTING THEIR MONEY.

EXPLAIN. THE REDUCTION IN FORCE. THEY'RE FIRING HUNDREDS AND HUNDREDS AND HUNDREDS OF TEACHERS.

THEY CAN USE THE SAME DOLLARS, BUT THERE'S FEWER, RIGHT? THAT'S NOT BETTER. YEAH, I HEAR YOU. I KNOW WHAT YOU'RE SAYING, BUT YEAH, THEY SAID YOU'RE NOT GOING TO GET ANY MORE MONEY,

[00:50:04]

WHAT DO THEY CALL IT? WHAT DO THEY CALL THE THE CAMPUSES THAT ARE THE MOST DISTRESSED.

THEY'RE THEY'RE PAYING THEM 100 AND PLUS 100 AND THEY'RE PAYING THEM A LOT OF MONEY.

AND THEN IF YOU'RE. WHAT DO THEY CALL IT? IT'S NOT A LEAD.

IT STARTS WITH AN E NOBODY. OH. ELEVATE. ELEVATE.

THAT'S WHAT IT IS. NON ELEVATE CAMPUSES ARE GETTING 88 TO $100,000 AND THEY'RE GETTING A 5% RAISE.

OKAY. BUT BUT BUT ELEVATE CAMPUSES ARE THEY'RE THEY'RE LIKE OFF THE CHARTS.

THEY'RE LIKE THE TEA THEY'RE LIKE GETTING 100 PLUS. THAT WOULD MEAN THE TEACHERS THAT AREN'T PERFORMING ARE GETTING A LARGE INCREASE BECAUSE THEY'RE IN THE SCHOOLS THAT AREN'T PERFORMING. I DON'T RUN THAT BUS, I UNDERSTAND.

I THINK MOST OF THOSE TEACHERS ARE RIFT AND THESE ARE.

OKAY NEW ONES BEING MOVED IN. YEAH. AND IF YOU LOOK AT HOUSTON, THEIR THEIR NUMBER OF NON-CERTIFIED TEACHERS WENT UP FROM, I THINK, DON'T QUOTE ME ON THIS, BUT IT'S LIKE LESS THAN 5%, I THINK.

AND NOW IT'S LIKE 18% NON-CERTIFIED TEACHERS IN HOUSTON.

AND THEY'VE BEEN FOLLOWING THE EXACT SAME PLAYBOOK IN FORT WORTH.

BUT I BRING THAT UP BECAUSE THAT IS A COMPETING DISTRICT TO US.

AND WE'RE GOING TO HAVE TO CONSIDER THAT WHEN WE BRING RAISES.

THIS IS THE FIRST TIME WE HAVE HAD A BALANCED BUDGET STARTING AT THIS POINT IN A WHILE.

WHICH IS GREAT. I'M GRATEFUL FOR THAT. WHAT DO WE ANTICIPATE OUR END OF? 25-26 JUNE 30TH. HOW MUCH ARE WE AT A DEFICIT THAT DAY OR AT ALL? AND HOW MUCH DID WE BUDGET FOR THIS YEAR TO BE IN DEFICIT ABOUT? WE DID HAVE A DEFICIT. I DON'T RECALL EXACTLY WHAT THAT WAS.

AROUND SEVEN. WAS IT AROUND 7, 6 OR 7? WE WILL HAVE A SURPLUS, BUT AT THE END, WHEN WE END JUNE 30TH, WE'RE NOT GOING TO HAVE A 6 OR $7 MILLION DEFICIT.

NO, SIR. NO, BECAUSE OF GOOD MANAGEMENT TOOLS OF OUR MONIES, PERSONNEL.

SROS. SROS WEREN'T ALL FILLED. RIGHT. ALL THAT.

AND BECAUSE KATIE CAUGHT A LOT OF MISTAKES FROM THE STATE AND COUNTY.

AGREED. AND THE $10 MILLION WINDFALL THAT WAS FROM REALLY 24-25.

CORRECT? YES, SIR. YES. DID NOT ACCOUNT FOR LAST SCHOOL YEAR.

WE'RE GETTING THAT MONEY BACK. SO THAT'S KIND OF FOUND MONEY THAT WE'RE GOING TO PUT.

HOPEFULLY THE BOARD SAYS, PUT IT OVER IN A FUTURE NEEDS PROJECT WHERE WE CAN KIND OF CONTROL IT THERE.

BUT THE POINT IS, EVEN WITH LET'S PICK OUT A NUMBER 6 OR $7 MILLION FOR RAISES, WE'RE AT THE SAME SPOT WE WERE A YEAR AGO AS FAR AS A $7 MILLION DEFICIT BUDGET. BUT WE STILL NEVER SPEND ALL THAT.

WE NEVER DO GET BACK TO THAT -7 MILLION. NOW, WE SHOULD HAVE ALL OF OUR SROS IN PLACE FOR 26-27 PROBABLY. I THINK THAT I THINK THAT WOULD BE OPTIMAL, BUT I DON'T KNOW THAT THAT, THAT THE CITIES ARE GOING TO BE PREPARED FOR THAT. SO 70% OF IT, 80% OF IT SOMEWHERE OF THAT NATURE, WE'RE MORE THAN LAST YEAR.

SO HOPEFULLY. MY UNDERSTANDING THOUGH, IS THAT IN THE PAST WE'VE HAD 3 TO 5 MILLION.

WE'VE UNDERSPENT OUR BUDGET BY 3 TO 5 MILLION.

BUT I THINK YOU'VE BEEN TIGHTENING THE BUDGET, HAVEN'T YOU.

SO WE WOULDN'T BE DOING THAT MOVING FORWARD. IF YOU'VE BEEN ABLE TO CUT AND TIGHTEN THE BUDGET, WE'RE PROBABLY WE CAN'T PLAN ON UNDERSPENDING THE WAY WE HAVE IN THE PAST, AT LEAST NOT TO THE DEGREE.

THAT WOULD BE MY UNDERSTANDING. I THINK THAT'S THE WAY OPTIMALLY, IT WOULD WORK, RIGHT? YES. OKAY. I THINK OUR UNDERSPENDING AND POSITION'S NOT BEING TOTALLY 100% FILLED DURING THE SCHOOL YEAR.

WE'VE GOT TO FIGURE OUT SOME KIND OF RAISE FOR OUR PEOPLE TO EVERY 1% IS 2.1 MILLION.

YOU SAID. YES. YES, SIR. AND THAT'S NOT AT MIDPOINT.

THAT'S AT ACTUAL SALARY, CORRECT? YES, SIR. EVERY IF YOU'RE UNDER MIDPOINT, YOU GET TO MIDPOINT AND THEN ANYONE OVER MIDPOINT GETS ACTUAL.

GOT IT. OKAY. SO WE HAVE A KIND OF HOLD OR PLACE MEETING FOR BUDGET SCHEDULED 2 WEEKS FROM TONIGHT ON THE 18TH. THAT'S RIGHT. AND I DON'T SEE WHERE WE CAN'T HELP BUT JUST PLAN TO HAVE THAT MEETING ON THE 18TH AND HOPEFULLY MORE INFORMATION ABOUT NEIGHBORING DISTRICTS.

WHAT THEY'RE DOING CAN BE IN THE NEXT 14 DAYS AVAILABLE TO US.

[00:55:03]

BUT WHAT DO Y'ALL THINK ABOUT THAT? WELL, WE DON'T HAVE DATA FROM THE STATE OR FROM TAD BY THEN BY THE 18TH.

NO, WE HAVE ALL THAT WE HAVE FROM TAD AND WE GET SOME VALUES ON THE 30TH OF APRIL, BUT ONLY BECAUSE THEY'RE REQUIRED TO SEND THEM AND THEY'RE VERY PRELIMINARY. LIKE I SAID, WE HAVE $1.8 BILLION UNDER APPEAL UNDER REVIEW.

YES, SIR. AND USUALLY BY LATE MAY WE KNOW WHAT MANY OTHER DISTRICTS ARE DOING.

I DON'T KNOW IF BY THE 18TH WE'RE GOING TO KNOW.

WELL, YOU KNOW, WHEN I'VE WHEN I'VE SPOKEN TO NEIGHBORING DISTRICTS, IT FLUCTUATES ANYWHERE FROM WE'RE LOOKING AT 2%.

02, WE'RE LOOKING AT 4.5%. SO I THINK THAT DEPENDING ON THEIR INDIVIDUAL SITUATIONS AND QUITE FRANKLY, THEY'RE ALL DIFFERENT. YOU KNOW, IS PEOPLE ARE GOING TO DO WHAT THEY CAN DO.

I MEAN, EVERYBODY WANTS TO, THAT'S THE SENTIMENT.

BUT DEPENDING ON THEIR PARTICULAR DEFICITS AND, AND WHAT THEY FEEL THEY CAN, THEY CAN DO.

WELL, THERE WERE SOME FAIRLY MAJOR ELECTION SHIFTS 1 OR 2 OF THE DISTRICTS CLOSE BY, WHICH COULD CAUSE SOME MAJOR SHIFTS IN HOW THOSE ARE CONSIDERED.

SO MAY 18TH IS JUST A LITTLE BIT BEFORE SCHOOL IS OUT.

MAY THE 28TH IS WELL AFTER SCHOOL IS OUT. AND SO LET'S LET'S PLAN ON IF IT'S OKAY WITH EVERYONE HAVING A MAY 18TH MEETING, WE'LL PUT IT ON THE AGENDA AND WE'LL SEE IF WE CAN MAKE A DECISION THAT NIGHT.

BETWEEN NOW AND THEN WE CAN DIGEST WHAT WE'VE BEEN READ HERE, DO SOME OF THE NUMBERS IN OUR HEAD, AND MAYBE IF YOU HEAR NEW NEWS, GREAT. BUT I HAPPEN TO CHECK CONSUMER PRICE INDEX JUST SAID, WHAT IS IT TODAY? AND THE LATEST DATA THAT THE GOVERNMENT TELLS US CONSUMER PRICES FOR MARCH OF THIS YEAR, APRIL IS NOT OUT YET, BUT MARCH, OF COURSE, I MAY JUST LOVE TO FILL UP THEIR CAR WITH GAS THESE DAYS.

IT'S NOT FUN. THAT WAS A BIG CONTRIBUTING FACTOR, BUT IT WAS 3.3%.

THAT'S JUST TO KEEP NEUTRAL. THEY'RE EXPECTING A SOCIAL SECURITY INDEX INCREASE OF 3%.

IT WAS 2.8 LAST YEAR. SO THAT'S RIGHT IN JIVE WITH WHAT YOU'RE TALKING ABOUT THERE.

BUT YOU LOOK CONSUMER PRICE INDEX, THE LATEST DATA THAT I SAW WAS MARCH OF 26 WHEN IT WAS 3.3%.

NOW IT MAY CHANGE IN A COUPLE OF WEEKS. WE MAY HAVE SOME APRIL DATA, BUT IT'S NOT GOING TO GO DOWN BECAUSE GAS PRICES ARE A BIG CONTRIBUTING FACTOR.

IN FACT, ONE PART THAT SAYS A 20% INCREASE SINCE THE FIRST OF THE YEAR.

THAT PROBABLY MAKES SENSE, DOESN'T IT? THINK ABOUT IT. SINCE JANUARY, WHEN YOU GOT A 36 GALLON TRUCK, IT'S PAINFUL, YOU KNOW, TO FILL IT UP. YOU KNOW, IT'S PAINFUL, YOU KNOW, TO FILL IT UP, YOU KNOW? BUT ANYWAY, KEEP THAT IN MIND. WHAT I'M NOT SURE WE CAN.

WE'RE AT THE POINT WHERE WE CAN SAY, WELL, WE'RE GOING TO GET AHEAD AND COMPETE WITH FORT WORTH IN THE 5% RANGE.

BUT IF WE CAN GET TO THAT 3 TO 3.5% RANGE TO KIND OF KEEP STEADY.

YEAH. AND KNOWING THAT WE'RE STILL GOING TO HAVE THAT HISTORY WHERE WE HAVEN'T ALWAYS SPENT OUR MONIES, MAYBE OUR TAX TAXABLE VALUE IS A LITTLE BIT BETTER.

YOU KNOW, ALL THIS STUFF CAN BE A GOOD PERFECT STORM BECAUSE HISTORICALLY WE HAVEN'T JUST ALWAYS HAD TO DIP, DIP, DIP INTO OUR RESERVES. AND WE'VE BEEN PRUDENT.

AND I THINK THE VOTERS EVEN TOLD US YOU'RE BEING PRUDENT, OR AT LEAST 55% OF THEM SAID THAT ANYWAY.

WELL, CAN I CLARIFY? I WAS NOT SAYING I WANT TO BE VERY CLEAR.

I WAS NOT SAYING THAT WE NEED TO WORRY ABOUT COMPETING WITH FORT WORTH ISD IN THEIR 5% INCREASE.

OUR ENVIRONMENT IS SO MUCH BETTER, AND I DON'T THINK WE NECESSARILY WILL NEED TO DO THAT.

I WASN'T TRYING TO SAY WE NEED TO. IT'S JUST ONE FACTOR AMONG MANY.

OKAY, I TAKE IT THAT WAY. BUT WE'RE WORTH SOMETHING BECAUSE WE DON'T HAVE THE VOLATILITY THAT'S GOING ON AROUND IN OUR NEIGHBORS.

I WENT TO A MEETING IN AUSTIN 2 OR 3 SATURDAYS AGO, LEGISLATIVE ADVISORY COUNCIL AND THE HORROR STORIES THAT ARE HAPPENING IN THE POLITICS OF SCHOOL BOARDS AND ELECTIONS AND STUFF.

THEY TRIED TO GET IT INTO OUR BUSINESS HERE THIS LAST GO ROUND, BUT IT'S AMAZING WHAT'S HAPPENING AROUND THE STATE AND THE THINGS THAT ARE GOING ON IN THE POLITICS OF SCHOOLS AND SCHOOLS BEING JUST TOTALLY KICKED IN THE SHIN OVER AND OVER AND OVER AGAIN, AND PEOPLE ARE FINALLY GETTING TIRED OF IT. IT'S SCARY TO ME BECAUSE BY THE TIME THE NEXT SESSION ROLLS AROUND, THE REELECTION WILL ALREADY HAVE OCCURRED.

RIGHT. AND, YOU KNOW, THE THING IS ABOUT IT IS LIKE JOE WAS SAYING, THESE AREN'T REOCCURRING FIRM FUNDS THAT WE HAVE.

[01:00:09]

BUT YOU KNOW, LAST TIME IT WAS 6 YEARS SINCE THEY REALLY DID MUCH OF ANYTHING FOR US.

AND I WISH WE COULD BE A MIND READER, BUT I DON'T KNOW THAT WE'RE GOING TO GET A LOT OF SUPPORT FROM THE STATE.

AND IT SCARES ME. IT'S BECAUSE I DO NOT WANT US TO TURN INTO ONE OF THESE DISTRICTS THAT SPENDS MORE MONEY THAN WHAT THEY HAVE TO. AND, YOU KNOW, I LOVE TEACHERS. I AM A TEACHER.

YOU KNOW, I WAS I STILL CONSIDER MYSELF A TEACHER, BUT I JUST CAN'T SEE US TURNING OUR, WE GOTTA BE SO CAREFUL, SO STRATEGIC. AND I KNOW WHAT RICHARD SAID WAS SO TRUE THAT WE'VE ALWAYS MANAGED TO DO IT.

BUT THESE ECONOMIC TIMES ARE PRECARIOUS AT BEST.

NOW, IN THE PAST, DURING COVID, WE DID ONE TIME BONUSES IN LIEU OF OR INSTEAD OF A RAISE.

I MEAN, THAT DID WE NOT, IF I REMEMBER CORRECTLY BECAUSE OF THE UNCERTAINTY, BUT WE'VE DONE IT FROM TIME TO TIME.

YES. WELL, EVEN LAST YEAR, THE STATE TOLD US HOW MUCH TO RAISE TO GIVE THEM WORK FOR TEACHERS, FOR TEACHERS. AND WE DID THE REST. YEAH. BUT STILL THEY DO THE SAME THING AGAIN.

THE PROBLEM IS WITH THE ONE TIME DEAL, IT HELPS NOTHING WITH RETIREMENT.

IT HELPS NOTHING WITH RETIREMENT. BUT THAT'S THE THAT'S THE THING THAT REALLY THAT BITES TEACHERS, THAT THAT HURTS BIG TIME. YEAH. THOSE ARE THINGS THAT YOU TYPICALLY DO WHEN YOU HAVE BUDGET UNCERTAINTIES. AND WE HAVE A GOOD PICTURE ON THE BUDGET NOW WITH THIS EXTRA $10 MILLION AND, AND THINGS. I THINK THAT'S A CARD WE COULD PLAY IN SOME FUTURE YEAR, BUT I, I DON'T HAVE THAT YEARNING IN MY HEART THIS YEAR.

NO, I DON'T KNOW ABOUT Y'ALL. I AGREE. CAN I ASK ONE MORE QUESTION ABOUT THE HEALTH BENEFIT DEAL? MAKE SURE I UNDERSTAND THIS PIECE OF PAPER HERE. IF WE RAISE IT TO $300, IT COST US 640 AND WE RAISE THE OTHER 1 TO 390.

IT COST US 73. SO WE'RE AT $710,000. IT WOULD COST US AND IT'S NOT GOING DOWN ANYTIME SOON.

SO THAT'S A RECURRING COST ALSO. OKAY. MAKING SURE I WAS READING IT RIGHT.

BUT THESE ARE MUCH SMALLER DOLLARS THAN THE PAY INCREASES THAT WE'RE TALKING ABOUT.

YOU KNOW, THIS IS EQUAL TO LESS THAN A HALF PERCENT OF PAY OR WHATEVER.

CORRECT. I'M SORRY I INTERRUPTED YOU, DOCTOR.

NO, I WAS JUST IT'S IT'S A IT'S A IT'S A MOOT POINT.

IT'S FINE. WELL. VERY GOOD. OUR NEXT SCHEDULED MEETING IS THE KANSAS ELECTION RESULTS.

[I. FUTURE BOARD MEETINGS]

NOT AT THE PLAZA AT THE BELKNAP STREET BOARDROOM.

MAY THE 12TH. SO A WEEK FROM TOMORROW. WE HAVE OUR PLACEHOLDER MEETING 2 WEEKS FROM TONIGHT ON THE 18TH TO CONTINUE THE BUDGET WORKSHOP AND PUT SOME THINGS ON OUR AGENDA THAT WE CAN HAVE AVAILABLE IF WE CHOOSE TO VOTE ON.

SO WE'LL WE'LL WE'LL HAVE THAT MEETING SCHEDULED AS WELL ON MAY 18TH, I ASSUME 5:30 HERE.

YES. BRENDA, SHAKING HER HEAD, DOCTOR STINSON SHAKING HER HEAD.

AND THEN OUR NEXT REGULAR MEETING, THURSDAY, MAY 28TH, ALSO IN THE BOARDROOM ON BELKNAP STREET, I BELIEVE THAT'LL BE OUR LAST THURSDAY MEETING IN THE BOARDROOM BECAUSE IN JUNE WE WE GOING SOMEPLACE ELSE IN CLOSED SESSION.

05:30, RECONVENE AT 7 P.M. MR. DAVIS ON THE 18TH MEETING.

IS IT APPROPRIATE TO PUT A POSSIBLE ACTION ITEM ON THERE REGARDING SALARIES? THAT WAY WE COULD NOTIFY IF WE AS A BOARD VOTE ON IT, WE CAN NOTIFY EVERYONE BEFORE SCHOOL'S OUT THAT SALARIES AND PERHAPS HEALTH BENEFITS TOO. WE CAN AT LEAST POTENTIAL. WE MAY SAY, NO, WE CAN'T DO IT YET.

THAT'S RIGHT. BUT I WANT THE OPPORTUNITY. IF WE DO COME TO SOME CONSENSUS AND VOTE ON IT, THAT WE CAN'T TAKE ACTION THAT NIGHT.

I THINK THAT'S THAT'S A GOOD PLAN TO HAVE THAT ON THE AGENDA.

WE ARE TAKING ANY ANY OTHER ITEMS THAT NEED TO BE ACTION ITEMS ON THAT AGENDA.

THOSE ARE THE 2 BIGGIES, AREN'T THEY? YEAH. AND AS WE ARE, AS WE ARE MOVING THROUGH MAY AND THIS IS OUR HIRING SEASON, IF YOU WILL, IT'S POSSIBLE THAT WE WOULD HAVE SOME PERSONNEL ON THAT AGENDA AS WELL.

GOOD, GOOD. WE GOT THAT DOWN. THOSE ARE OUR FUTURE MEETINGS IN THE MONTH OF MAY ANYWAY.

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