WEBVTT

METADATA
Video-Count: 1
Video-1: https://carrollisdtx.new.swagit.com/videos/391114

Part: 1

1
00:00:03.200 --> 00:00:39.700
Okay. Good afternoon. We'll call this regular meeting of the Carroll ISD Board of Trustees to order on 06/15/2026 at 5PM. Our first agenda item is executive session. Therefore, we will adjourn two executive sessions in accordance with Texas Government Code 551.071, 551.072, 551.074, 551.076, and 551-0821 at 5PM. Alright. Good evening. We'll call this meeting back to order at 6PM. Our first agenda item is the opening prayer,

2
00:00:39.700 --> 00:01:22.265
pledges of allegiance and moment of silence. Will you all please rise? Heavenly Father, we come before you tonight with grateful hearts, thankful for the opportunity to serve our students, staff, and community. We thank you for the many blessings you have given our district. Lord, we recognize that the work before us is important and we ask for your guidance as we consider the budget for the coming school year. Help us be good stewards of the resources entrusted to us, balancing needs with priorities and planning not only for today, but for the future. We thank you for every educator,

3
00:01:22.770 --> 00:01:57.340
staff member, and volunteer who continue to pour into the lives of our students. Bless them for their dedication and commitment to shaping the next generation. As we begin this meeting, grant us knowledge, clarity, and unity. Help us to make decisions that serve the best interests of all students and honor the trust our community has placed in us. May everything we do reflect integrity, compassion, and a commitment to excellence. We give you all the glory for the successes we celebrate and ask for your continued guidance in the days ahead.

4
00:01:57.720 --> 00:02:57.860
It's in Jesus Christ's name we pray. Amen. I pledge allegiance to the flag of The United States Of America, and to the Republic for which it stands, one nation under God, indivisible, with liberty and justice for all. Now Pledge. Honor the Texas flag, I pledge allegiance to the Texas, one state under God, one and indivisible. Now please join us. Silence. You may be seated. All right. Our next agenda item is public comments. We have one speaker tonight, so we'll give that speaker three minutes.

5
00:02:57.860 --> 00:03:51.135
Ms. Shelton, will you call the first speaker, please? Our speaker this evening is Colleen Golestan. Good evening. My name is Colleen Galestan. I am a twenty five plus year resident and taxpayer in this district. I am also a conservative Christian raised in the Southern Baptist tradition, albeit our definition of conservative is quite different. I'm here tonight to speak about the climate of our schools following the adoption of our recent policies and the subsequent state laws. I know where this board stands. You have made your personal faith,

6
00:03:51.295 --> 00:04:24.975
your political alignments, and your role in shaping these policies and laws very clear. You think you are doing what is right. But tonight, I'm asking you to look past the political victories and look at directly at the reality on the ground in our classrooms and to look with fresh eyes at Jesus and to realize our constitution clearly demands separation of church and state. Even under the strict constraints of new state laws and public school board policy still hold foundational, nonnegotiable legal and moral duty,

7
00:04:25.355 --> 00:05:11.765
the safe stewardship of every single child who walks through our doors. Public schools are not private academies. They are taxpayer funded institutions with legally required to serve the entire community. While you may have successfully passed policies that restrict students. And right now, the rhetoric surrounding these laws and policies has created a permission structure for bullying, isolation, and cruelty. As leaders who frequently speak on values and morality, I ask you, what is the moral outcome of a student feeling unsafe in their own school?

8
00:05:12.065 --> 00:05:52.705
Rejection and hostility do not change a child's identity. They only break their spirit, damage their mental health, and destroy their academic potential. Furthermore, as public trustees, you have a fiduciary duty to protect the district from financial ruin. Enforcing these rigid policies to their extremes will ultimately cost taxpayers. But these policies and laws will fall from favor and cost the taxpayers dearly. You have the power of the state law behind you now, but you still retain the local discretion on how you treat human beings.

9
00:05:53.140 --> 00:06:31.190
I urge this word to choose a path of basic human decency, safety, and fiscal responsibility. Ensure our schools remain places of learning and not battlegrounds of exclusion. Happy Pride Month. God bless the children under your care and have mercy upon them. Save them from you. Thank you, Ms. Golestan. Okay. We will move on to item number five, which is consideration and possible action on personnel report and any other matters addressed during executive session. President Bryan, I move that this Board approve the personnel report as presented in executive session.

10
00:06:31.410 --> 00:07:18.310
Second. We have a motion to second. Any further discussion? All in favor? Motion carries seven to zero. Thank you, trustee Yeager. Do we have any further action from executive session? Super sorry. Okay. Yes, certainly. Yes, very excited to do this. I would move that this Board approve the proposal submitted for our superintendent contract extension, as discussed in Executive Session. Second. All right. Motion and second. Any further discussion? All in favor? Motion carried, seven-zero.

11
00:07:18.450 --> 00:07:53.560
Thank you, Trustee Yaeger. Thank you, Board. And thank you, Doctor. Glenn. All right. Thank you, Doctor. Glenn. All right. We're going to move on to the President's Report, Item Number six. Do we have any committee reports tonight? Ms. Reese? The legacy transition team met on May 19 to work on ensuring that the names, traditions and legacies of Durham and Eubanks are honored and preserved throughout and beyond the twenty twenty seven consolidation process. We were honored to have in our attendance, missus Durham. And we also welcomed a committee member who was part of the very first class at Durham Middle School,

12
00:07:53.700 --> 00:08:29.115
providing a unique connection to the school's history and legacy. The committee discussed preserving important traditions, such as the Durham sixth grade awards and the Mr. And Mrs. Eubanks Awards, as well as safeguarding historical artifacts and records, including commemorative donor bricks, yearbooks, and archival materials. A focus of the meeting was developing meaningful legacy experiences that will allow current Durham and UBANK students to honor their schools' histories. Thank you, Trustee Reese. Any other committee reports? Okay. Yes, I have one more.

13
00:08:29.115 --> 00:09:04.915
Yes. You did. Trustee Hager, you're up. Yes. And May 20, I'd like to thank our Chief Financial Officer as I call him, our CFO, Mr. Chase Park, who led us as well as members of the community. And President Bryan was joining me and we had our Budget and Finance Committee meeting. What Mr. Park did was lead us through the current year to date financial status, also the twenty six-twenty seven budget parameters and assumptions, six-twenty seven budget parameters and assumptions, which included things like enrollment projections, local property values, revenue, everything from interest income to transportation,

14
00:09:05.135 --> 00:09:37.360
child nutrition, facility rentals. I don't think he missed anything at all. As well as expenditures, which included things like approved pay raises, fuel and food costs and property and casualty insurance. We also talked about the Durham consolidation transition team update, And then Mr. Park did a great job of having questions. And I just wanted to say, President Bryant, we have so many wonderful people, both who are on our staff, on our faculty, but also part of our community who have been serving on these committees and and

15
00:09:37.360 --> 00:10:12.710
doing a wonderful job and we were absolutely packed with our attendance and it was a really good meeting. So thank you, Mr. Park. Thank you, Trustee Yeager. Yes, thank you. I echo that Mr. Park and community and everyone on the Carroll ISD staff that takes part in extending their days, to attend these meetings. We're very much appreciative of that. Okay. Any other committee reports? Alright. I'll move on to my president's report. Good evening again, everyone. As we gather tonight for our final board meeting before Independence Day, we do so at a truly historic moment in our nation's story.

16
00:10:13.250 --> 00:10:50.795
In just a few short weeks, America will celebrate her 200 birthday, a milestone that reminds us not only of where we've been, but of who we are and what we stand for. Here in Carroll ISD, we are proud of our country. We are proud of the principles that founded it freedom, opportunity, personal responsibility, and the enduring belief that each generation has a duty to preserve and strengthen this great nation. That pride is not just something that we say, it is something we teach,

17
00:10:51.175 --> 00:11:32.540
something we model, and something we celebrate. Over the past year, our district has embraced that responsibility through our USA two fifty initiative. Across our campuses, in our classrooms, at our events, and throughout our community, we have intentionally focused on honoring the history, values, and sacrifices that have shaped The United States Of America. We have seen students engage in meaningful learning about our nation's founding. We have seen campuses display patriotism with purpose. We have seen our community come together united not by politics but by a shared

18
00:11:32.540 --> 00:12:13.805
respect for the freedoms we are blessed to enjoy. And perhaps most importantly, our district is raising a generation that understands that freedom is not guaranteed, it is preserved through knowledge, character, commitment, and sacrifice. That is the work of Carroll ISD. As we approach our nation's birthday on July 4, we encourage every family in our district to take time to reflect on the significance of this moment. Fly the flag. Attend a celebration. Talk with your children about what it means to be an American.

19
00:12:14.585 --> 00:12:54.110
And remember those who have served and sacrificed to protect the liberties we often take for granted. Because the story of America is not finished. It is being written every day. And in Carroll ISD, we are preparing our students to write the next great chapter. To our teachers, staff, and administrators, thank you for the role you play in shaping not just educated students, but informed and responsible citizens. To our parents and community, thank you for your strong partnership and your committed support. And to our students, you are the future of this country.

20
00:12:54.730 --> 00:13:34.670
We believe in you and we are proud of you. May God continue to bless our district, our community, our state, and The United States Of America. Now, this board and superintendent have the distinct privilege of recognizing a historic district accomplishment that reflects the heart, discipline and character of Carroll ISD. This year, the Carroll Dragons have once again achieved the highest level of success earning the twenty twenty six UIL Lone Star Cup championship,

21
00:13:35.445 --> 00:14:12.715
marking the tenth time in our district's history to receive this prestigious honor in the only 6A district in the state to achieve as many. The Lone Star Cup represents excellence across all areas, athletics, academics, and fine arts. It is a reflection of a community committed not only to achievement, but to developing well rounded students who pursue excellence in everything they do. In addition, Carroll Athletics has been named the inaugural twenty twenty six Texas Cup Champion by the

22
00:14:12.715 --> 00:14:48.910
Texas High School Athletic Directors Association, recognizing the top overall athletic program in the state of Texas. These honors are significant, but what makes them truly meaningful is how they were earned. They represent early mornings, late nights, and a commitment to doing things the right way. They reflect coaches and teachers who lead with integrity and families who instill values that carry far beyond competition. As a district, we are grateful for these blessings and are mindful of the responsibility that comes with

23
00:14:48.910 --> 00:15:29.695
them. Scripture reminds us in Luke twelve forty eight, to whom much is giving, much will be required. These achievements are not just a measure of success, they are a call to continue leading with humility, serving others and striving for excellence in all we do. We do not just aim to inspire excellence at Carroll ISD, we expect it. We are proud of our students for the way they represent Carroll ISD with character, sportsmanship, determination, and commitment. We are thankful for the educators, coaches, and staff who invest in them daily. And we are grateful for a community that supports,

24
00:15:29.755 --> 00:16:12.500
sustains, and expects this standard of excellence. This is what makes Carroll ISD special. Not just the championships and honors, but the people, the values and the purpose that drives them. Congratulations on a truly historic and extraordinary year protecting the tradition. And as always, go Dragons. Doctor. Glenn. That was a great report. It's a tough one to follow. Well, good evening, trustees. I'd like to begin by expressing my appreciation, to Deputy Superintendent Chase Park and his team for their outstanding work in developing a

25
00:16:12.500 --> 00:16:48.140
balanced budget for the upcoming year. Their careful planning and commitment to fiscal responsibility have positioned Carroll ISD well for the future while continuing to prioritize the needs of our students and staff. With the budget process nearing completion, we're now beginning work on the District's tax rate. Based on current projections, we are hopeful that once certified property values are received from the Tarrant Appraisal District, we will be able to announce a tax rate in August that is below the no new revenue rate for a third consecutive year.

26
00:16:48.680 --> 00:17:25.105
This school board remains committed to being responsible stewards of taxpayer resources while maintaining the high standards our community expects. I'd also like to thank Melanie Kibodeau and her team who have been working diligently to staff our campuses for the upcoming year. Fortunately, Carroll ISD continues to experience relatively low turnover, which is a testament to the outstanding culture we have here. The open positions we do have are attracting a strong pool of applicants and we are confident in our ability to fill those positions with exceptional talent.

27
00:17:25.885 --> 00:18:03.945
One area where we are seeing a challenge is paraprofessional recruitment. Applications for these positions have declined, a trend being experienced by Districts across the state. As a district, we must continue to appreciate and support these dedicated professionals who are essential to our district's success. As we reflect on another exceptional year, I want to express my sincere gratitude to our teachers, students, parents, and community members and this board for your unwavering commitment to excellence. Together, we have achieved results that place Carroll ISD among the premier school districts in the

28
00:18:03.945 --> 00:18:39.120
nation. Based on preliminary data, Carroll ISD will once again earn an A rating as a district and on all campuses while achieving historic academic success. Our students reach record levels of accomplishment through outstanding National Merit Scholar recognition, exceptional performance on AP exams, and results on the ACT and SAT that continue to outperform both state and National averages. What makes these accomplishments even more remarkable is that they have been achieved while maintaining

29
00:18:39.340 --> 00:19:13.090
strong fiscal discipline. This Board has lowered the District's tax rate, reduced debt, improved facilities and provided meaningful raises to our staff. This balance of academic excellence and responsible fiscal management demonstrates what is possible when a community works together with a shared commitment to student success. Trustees, we look forward to a productive summer and preparing for another great school year beginning in August, and that is your report for June. Well said, Doctor. Glenn. Thank you very much for your report.

30
00:19:13.090 --> 00:19:54.405
We'll move on now to item number eight. Agenda number eight is a public hearing on the Carroll ISD proposed twenty twenty six-twenty twenty seven budget. At this time, the public hearing is declared open, and I will ask the administration to take us through a presentation regarding the proposed budget. Mr. Park? President Bryan, Doctor. Glenn, trustees, good evening. Here to open the public hearing for the fiscal year 'twenty six-'twenty seven proposed budget. So early this month, as, the time line, was presented multiple times in in our previous meetings, about ten days ago,

31
00:19:54.405 --> 00:20:34.130
we published our notice, of public meeting to to discuss budget and proposed tax rate. Today here, we'll present the proposed budget to be adopted, by the board. And then in July, as we receive certified values, we will, work, with, Tarrant County and and the principal district to, present a tax rate for adoption, in in August. So this is just a copy of of the of the notice that went out, that was that was published. It's also on our website, and and and in the agenda, as a separate attachment for everyone to see.

32
00:20:35.710 --> 00:21:13.475
This is a new requirement per, the in ninth legislative session, House Bill fifteen twenty two. The taxpayer impact statement, is something new that that that needs to be published, in the agenda. And so it basically just requires that that we show, the property tax bill in dollars for the current fiscal year, and the estimated property tax bill in dollars for the next fiscal year, based on the the median household value. So, if you see here, so last this current year that we're in, the the median household household value was 855,

33
00:21:13.795 --> 00:21:49.370
thousand dollars. And at the tax rate that we have adopted of of 9294, that estimated property tax bill is $7,950, for the school district portion. This coming year, the the median household value based on the estimated preliminary values right now is at 859,000. So pretty similar, a couple thousand dollar increase. And at the same current proposed tax rate, it would increase your, taxes by by, 39.

34
00:21:49.370 --> 00:22:30.050
So and just a little historical table of our of our tax rates, has come down come down, very significantly since, 2324. And, currently, we we have just based on the preliminary values that haven't changed much, we we have just gone ahead and, proposed an estimated tax rate that that is the same level as this current year, as is adopted. So $68.53 on the MNO side, dollars 24.41 on the I and S side for a total tax rate of $92.94 per $100 of value,

35
00:22:30.235 --> 00:23:16.050
taxable value. And one thing as a part of that house bill, so new this year, in order to adopt a tax rate that is higher than the district's minimum required debt service rate, the board will need a 60% vote, in order to to adopt that. So just something to keep in mind. So you've seen the slide before, just a recap on our budget parameters. I know previously, I had projected our values to maybe possibly grow up to 3%. Receiving May preliminary estimates after this

36
00:23:17.710 --> 00:23:54.640
budget was put together, I think, Joe Don Bobit, Michelle Bobit projected maybe no growth to to possibly 1% or or even it might it might slide slide down. So, you know, it's, and so, you know, we've kinda kept status quo on on all the estimates going forward. So but, you know, once the tax rate is up, we'll we'll analyze and then and then, provide a buzzer when that is necessary. Yeah. And and let me just pause right there because I know you put some tax rate stuff in in. So so essentially, what we do right now at this point is we put a placeholder for the

37
00:23:54.640 --> 00:24:27.655
tax rate and not knowing what's going to happen officially with TAD values, we're just going to hold the current rate. But in all likelihood, this board's trend of being able to reduce the tax rate, we know that we still have capacity, especially on the I and S side. So whether it's through compression on the M and O side or whether it's a capacity adjustment on the I and S side, the Board is going to have flexibility in August when we officially adopt the tax rate. So And the difference between this and in previous years is we changed our fiscal year to end of 'thirty,

38
00:24:28.355 --> 00:25:04.170
so we have to wait now additional month and a half or whenever it is to get those official values? Yes, that's a great point. And so this allows us to on the front end get a lot of stuff done with our budget early, but on the downside of it is we don't exactly have all the numbers we need for a tax rate right now. And so we look forward to that conversation. It's been really good in the past and we anticipate that it will be again. So my our projected decrease in enrollment right now,

39
00:25:04.170 --> 00:25:43.135
we're estimating about a 200 student loss, just conservative estimates, which equates to about a $1,700,000 loss in funding from previous fiscal year. FTEs currently, through attrition, we've been able to have a net payroll savings of approximately $1,300,000 going into next year. We turned around and and and this board approved a 3% to 5% range of of, raises for, fiscal year twenty seven. And then, so far, what's what's proposed, we've been able to reduce,

40
00:25:43.915 --> 00:26:20.175
over $350,000, of of non payroll operational budgets, through our through our zero based budgeting efforts. That that net is a little lower because we we had to budget a little higher in in the areas of transportation and child nutrition going into next year. And then and then, of course, you know, we are right on the doorstep of of of selling this, whole Dragon Stadium land, to the city. And then and then this this list here, the CIS Building, the the, South Tower easements, the the Durham Intermediate School,

41
00:26:20.175 --> 00:27:02.360
you know, those are all properties on the on the horizon that could could really support our, cash flows and and our fund balance going forward. So going into the proposed budget for next year, Here, you can see our general fund budget by by function. Again, due to our, attrition cuts, you know, I would attribute the decrease in in function 11, due to a lot of the, payroll savings we we've been able to to budget in. Some of the other highlights, function 36. I know the high school and the senior high school have, trimmed trimmed a little bit of their, extracurricular budgets.

42
00:27:02.820 --> 00:27:39.435
And then and then we've been able to to work with athletics, to to to, trim a little bit as there as well. Function 41, it's mostly due to the to the several $100,000 of of contingency funds that that we were able to have, in this year's budget that just due to, you know, just I mean, we were we were very, up against, you know, this year's budget when when when trying to get to the balanced budget. And so and so we are not able to to add in any any contingency this year. So so I would attribute, at least half of that to that.

43
00:27:39.435 --> 00:28:16.680
And so, but, you know, hopefully hopefully, as we go, you know, we'll we'll be able to find find savings and and and, obviously, we won't utilize all of our all of our, non non payroll budget. So, you know, hopeful to to be able to get to that number this year. Data processing and technology, mister Stewart's department, you know, they were able to to find a lot of a lion's share of that of that, decrease, in in their budget. And so, we were we were, grateful for for his partnership, really examining his his budget, and and really saving where we could.

44
00:28:18.680 --> 00:29:01.925
And so if you look at the bottom, the the last the last line there, expenditures, less recapture, a net increase of 670, thousand dollars, going to this next fiscal year. And then this one just includes our our debt service, in that middle column there. So we're expecting to collect, 34,000,000 in in, collections. And then, the state Asahi, I I and S hold harmless, about $2,000,000. And so so that is your, combined general fund and debt service budgets. Thank you, Mr.

45
00:29:01.925 --> 00:29:38.450
Park. I appreciate your presentation, all the numbers. I know it's, we've gone through it a million times, so we know what we're looking at. I know the community, whoever's watching is probably going, what in the world are all these numbers? One of the things that kinda stood out to me was the fact that, our recapture payment this year is higher than it was last year despite the eighty ninth, legislative session given a huge homestead exemption and, these tax breaks. So does that mean our property values are increasing at a rate, higher than what they're decreasing our our taxes by.

46
00:29:38.750 --> 00:30:17.050
Is that So if our tax rate stays the same and our values do increase by a couple percent, then the recapture that we pay on that increased value will result in a slightly higher recapture amount for this upcoming year, since the exemption laws went in effect this past year. And so those won't change until the legislature potentially meets again next year. So So much of our revenue from the state is based on enrollment. And so I think there's a misnomer out there that because we have expensive properties

47
00:30:17.110 --> 00:30:50.465
here in Carroll that the district receives more money. But I know in our presentations around the community, we try and make mention all the time that we are the lowest funded district when we are looking at the target revenue that we receive per student. So it's definitely a challenge and the enrollment decline is a challenge. But when you're graduating classes of 700 plus and you're bringing in classes of just over 400, it's something that we have to work through.

48
00:30:50.465 --> 00:31:27.240
And we're not the only district working through this. Mr. Park was at Highland Park and we know that that's a district that's just trending a few years ahead of where we're at right now. And I appreciate, I know that the board passed a policy a couple of years ago that says the district has to come to us with a balanced budget. But I know that that and that probably doesn't make your job any easier. And I know that you and your team have been working, very hard in in trying to figure out how to make that happen, and you you have. And thank you to doctor Glenn, for for doing that and presenting this this to us in a in a very,

49
00:31:27.240 --> 00:32:00.740
very real, scenario because we're not the the amendment that when the tag values come, our amendment is not gonna be, you know, significant. I right? Is that No. That puts the onus on on the administration and and us as a district leaders to to to really examine our budget and and and make sure that that, you know, we're we're operating in the most fiscal, fiscally responsible way possible. And building that zero based budget culture, is super important. I know that you've been, it's very difficult, to when people have never done that in the past and then are asked to do that,

50
00:32:01.760 --> 00:32:35.120
it's it's tough. And I know you came in and you're like, I'm gonna embrace this. I'm gonna do this. It's the only way that we can get to, a balanced budget. And so thank you. Again, I've said thanks, many times for that, but it really does mean a heck of a lot when we have a CFO that actually buys into it. It's all the department leaders and Yeah. Absolutely. Leaders who who who are buying in. So Who are buying into. Yep. Thank you. Chase, you you and your team are phenomenal, but everything rises and falls on leadership, and we just recognize, how hard you work and what a great job you do for this district. One caveat I wanted to to just,

51
00:32:36.345 --> 00:33:15.885
to just mention. I know I mentioned the budget amendment, but also, in a future in a presentation that that's coming up here, later in this meeting, we will discuss, insurance premiums. And so that number in Function 51, the majority of our property casual insurance in Function 51 that was budgeted included an old estimated number, and you'll be pleasantly surprised in the upcoming discussion about our property casualty insurance that number will likely we'll be able to amend

52
00:33:15.885 --> 00:33:56.250
it by up to like close to $1,000,000 or so. That's great. That's significant. Thank you. Any other questions or comments for Mr. Park? I have a quick question. Mr. Park, can you go to page eight? Okay, so I have a question. From '25 to '26, our curriculum and instruction is going is increasing. Is that because we're having to adopt new curriculum that the state is writing? Or with our student population going down, why is that number going up? No. So, our our curriculum, funds, all those adoptions are come out of our, team our our instructional materials allotment.

53
00:33:56.250 --> 00:34:34.155
And so that wouldn't be it. Those, likely have to do with salaries, and our payroll raises and, including also possible onetime payment and things like that. Thank you. Anything else? Okay. At this time, I'll recognize any speakers who have not already spoken earlier during public comments to address the board regarding the proposed budget. Is there anyone who wants to address the board? Okay. This concludes the public hearing on the proposed twenty twenty six-twenty twenty seven budget for the twenty twenty six-twenty twenty seven fiscal year.

54
00:34:34.155 --> 00:35:10.780
The hearing is now closed. We will move on to our discussion action portion of our meeting which is item nine, nine point one, consider approval of the twenty twenty six-twenty twenty seven budget. Mr. Park, anything else that you would like to share with the Board in this regard? No, sir. Okay. Appreciate your consideration. Trustee Yaeger, can I have a motion? I move that the Board accept the budget adoption as presented by Mr. Park. Second. Motion and second. Any further discussion? All in favor? Board approves seven-zero. Thank you, Mr. Park. Appreciate all the work that you've been doing in regards to the budget.

55
00:35:10.780 --> 00:35:46.700
Okay. Item number 10, which is the information portion of our meeting 10.1, consider refunding of certain Carroll Independent School District's outstanding unlimited tax bonds up to $15,000,000 for fiscal year twenty six, twenty twenty seven. Mr. Park? So before I introduce our financial advisor, Mr. Louis Wilks from U. S. Capital, I just wanted to give a quick summary of what we of our objective with this information. So in in past year, we've we've used our excess capacity to defease debt. Two years ago, we defeased 18,000,000.

56
00:35:46.700 --> 00:36:24.925
Last year, we we or this year, we we'll we'll defease 10,000,000. And so but we we found that, with this new, homestead exemption, you know, we it it it requires us to have a minimum debt service, level that that, you know, that matches our tax rate. But, however, our tax rate is a little higher. We we do have excess capacity, and so and so that that prohibits us from from capturing, about $800,000 of state State Asahi, INS hold harmless monies.

57
00:36:25.305 --> 00:37:09.600
And so this mechanism here, by us refinancing debt into this year, we're looking to set our minimum debt service rate amount up to that capacity level. And so, today, we'll be asking for or I mean, I'm sorry, we'll be providing information about our strategy of refinancing up to $15,000,000 of debt. And so just I'd like to set that stage, and then I'd like to invite Mr. Louis Wolfs up to go through his presentation. Thank you. Louis Wilkes with U. S. Capital Advisors, Mr. President,

58
00:37:09.600 --> 00:37:51.425
members of the Board, Doctor. Glenn, my pleasure to be with you tonight. As Mr. Park has suggested, I'm gonna try to get down to the next slide here. One of the things that's occurred pursuant to Senate Bill four and Senate Bill 23 is the cash defeasances that we've been doing the last couple of years are still allowed. However, if you have your tax rate, if your collections exceed your tax rate, there's a little penalty pursuant to those two bills. And so and as mister Park mentioned,

59
00:37:51.425 --> 00:38:25.150
that penalty is roughly about $809,000 so the workaround to make this work given the new legislation, instead of just the fees and bonds, we're gonna refund bonds and we're gonna put a debt service payment into fiscal twenty six, twenty seven so that when you set your tax rate, you're not setting your tax rate with a defeasance in mind. You're setting your tax rate to pay current year debt service. So it's a little bit of a nuance from what has been taking place in the in the past.

60
00:38:26.090 --> 00:39:05.665
It's the, the workaround, if you will, to try to let you continue to pay off debt and save money by paying debt service, but also maintain that Asahi funding. Mr. Wilkes, by doing that, you're saying that we cut that $809,000 down or we don't have to pay that at all? Well We have no problem. That's money that should be coming from the state, pursuant to the hold harmless that occurred from moving the homestead exempt exemption from a 100,000 to $1.40. Okay. So we're trying to maintain the savings and and and pay off the debt so

61
00:39:05.665 --> 00:39:43.220
you can defease, bonds as normal. But with this new little nuance, putting a debt service payment, it's a short term taxable payment into next year so that when you're setting your tax rate, you're not setting your tax rate for current year debt and the defeasance, you're setting your tax rate for the current debt pursuant to the refunding. So we're still paying down debt. It's just within the parameters of of the state that keeps us from being penalized and losing state aid.

62
00:39:43.220 --> 00:40:20.825
Correct. Yes, sir. Well, will, will we have to do this, in years moving forward then as long as we have debt? Potentially, at least probably one more year, and then we'll have another legislative session, and we'll see what happens. And so things could change after that. So what was I mean, you you may not know this, but what was the intent of that law? Why why why would they put that in there? Well, here's this is this is my, basic understanding. Is there they recognize the problem with rising values,

63
00:40:21.205 --> 00:40:57.135
homestead values. And they've been trying to compress m and o and and so forth. And they felt like, districts should not defease debt, not pay off bonds, which didn't make a whole lot of sense if you're trying to save money. And they, they were trying to get at a mechanism that would somehow penalize you if you continue to do that. They just don't like the fact that districts are paying off bonds, holding tax rates slightly higher, taking that revenue,

64
00:40:57.595 --> 00:41:32.235
paying off debt. Yeah. It becomes a local control issue where this board has tried to manage the inherited debt, paying it down while simultaneously lowering the tax rate. They want to take that away from you and say, like, we control the M and O tax rate, we decide what compression will look like, we want to do the same on your I and S side. And so so essentially, if if that legislation goes through this next session, you know, the state will be setting our tax rates. I appreciate you saying that. It it, it's hard and the the problem is if you go to them and say,

65
00:41:32.235 --> 00:42:10.690
well, look, if you can't do this, you're saying you cannot pay off debt early and that makes no sense whatsoever. Zero sense. Right. Thank you. The the, the par amount that we're looking at, this is kind of the the max if you will because as as y'all get closer, we get values for permanent, values certified for '26. This could change. This is the high end, if you will. A par amount of about 14,265,000. That would refund 14,265,000. It's a taxable transition transaction because current law will not let you refund bonds,

66
00:42:11.710 --> 00:42:48.415
that aren't callable on a tax exempt basis. You have to do it taxable. So what we're assuming in our numbers is a about a five and a quarter, three quarters tax taxable rate. The debt service savings with these numbers is still over $4,000,000 a year for for this next year. On June July 20 there will be, if you choose to move forward there will be a agenda item on the July 20 agenda to approve this parameter bond order.

67
00:42:48.415 --> 00:43:23.345
Bond counsel would likely be here to present that at that meeting. Our pricing date, is projected to be August 10 after we get, certified values and work through the numbers again with a closing date on or about September 2. The maturity of this refunding is very short term, April 15 year. So that's the debt service payment that $14,000,000 that's going into next year's, debt service. Total of about $14.08 into next year's debt service. Your,

68
00:43:24.305 --> 00:44:07.860
proposed, oh, and these are the bonds that, as we've looked at recently, these would be the bonds that you would be paying off, some of the 16 c's, 15 b's, 15 b's, and, the 19 a's. That that again totaling that $14,265,000 And the parameters to be considered on the July 20, dollars 15,000,000 not to exceed amount on the refunding, likely a taxable transaction because not all the bonds are currently callable. All the outstanding bonds that you have will be eligible to be refunded and paid,

69
00:44:08.395 --> 00:44:45.705
so that we have some flexibility in which ones to pay to try to maximize the interest savings, interest rate not to exceed 6.5% and a minimum debt service savings of at least $1,000,000 That's down from the $4,000,000 in case we're only doing a $5,000,000 refunding versus a $14,000,000 refunding. And that is pretty much our presentation. We'll be glad to answer any questions. I really appreciate your presentation and I want to capture some of these numbers for

70
00:44:45.705 --> 00:45:19.575
some of our talking points around our community. And you know, it's it's unfortunate, that a district like ours that actually wants to get our community out of debt, gets penalized, for that. We we appreciate you and, mister Park coming up with a way that eliminates that or reduces that. And, it's just it I just shake my head. And I I my question to you, mister Wilkes, is that are you working with any other school districts that, are like ours that is paying down debt at a rapid rate and trying to get rid of their their debts so that they can, give some tax relief to their community?

71
00:45:19.960 --> 00:45:57.060
Yes. Yes, sir. We have done two of these transactions already. Okay. Probably have eight more that we're doing, and the timing of this is we need to price the transaction prior to you setting your tax rate. K. So that those new bonds are in the new tax rate projections. And that's why it's so quick. So that's why that's why everything's be will be coming all of these, transactions probably in the first part of of August. I gotcha. Okay. Anything else? Okay. Thank you, sir. Appreciate you being here. I do have something for Chase. I would like you, if you don't mind,

72
00:45:57.060 --> 00:46:37.625
capture some of the numbers, so that we can get them out to our community. But also, when you present this for Board action next month, let's look at where the debt service was in 2021 and kind of bring that to fruition after we make our principal interest payment this year, so we can give our community an idea of what's left. Because I know for a six district, our debt is getting extremely low and moving toward the area where we can be debt free and then as we go out for bonds in the future, do short term bonds that can be paid off quickly. Okay. Thank you, sir. We'll move on to Agenda Item Number 11,

73
00:46:37.845 --> 00:47:15.075
discussion action portion of our agenda, which is 11.1, consider approval of updates to the facility's rental fee schedule and rental policy. Mr. Park? Yes. So we we presented this as an informational item, at at last, board meeting on on June 1. We've we've added a couple updates, to and and and a couple of edits to the to the to the pricing structure. One thing I wanted to reinforce was was the was the, custodial I know there were some questions about about the about the custodial fees, and so,

74
00:47:15.535 --> 00:47:53.230
just wanna make it clear that that, it would be a per per event, fee, and and a and a minimum, charge of of, two hours. We'll we'll make sure to to add that there. And then this this, custodial on-site, some some renters do request that that custodial is there, you know, throughout the day or or or whatever. And so so on a as as necessary basis, we can we can add that charge to their rentals. So so that's about that's about the biggest update we have, you know, and we'll, request your consideration for approval.

75
00:47:54.650 --> 00:48:29.705
Yeah. Before I make a motion, I wanted to thank you, doctor or doctor. He's working on it. And that is that everybody can go on and read these rates. In particular, we've talked about it. We have this beautiful piano, and that's in our Fine Arts Center. And with these new rates, from what I understand, it is a very affordable way for two hour rental, minimum two hour rental for people who are giving piano lessons, to have their recital in the Fine Arts Center and for Dragon students to be

76
00:48:29.705 --> 00:49:01.085
able to use that for the recital. So I look forward to the first piano teacher that books that, because I know that facility, that piano, that belongs to the community. And we're going to treat it well and we're going to make it last for years. But I really appreciate you and Doctor. Glenn and our trustees making that an option a new option in the rental terms. Yes, certainly. Carroll actually students should have the opportunity to utilize that amazing facility for their special moment. So glad to make that happen. Well, Mr. Park,

77
00:49:01.085 --> 00:49:37.410
I know you worked hard on this. I appreciate you clarifying that. And Mr. Mooney as well, both of you guys were phenomenal putting this together. Appreciate the amendment. We'll approve it or we'll ask for approval as recommended with the custodial amendment. So thank you for your clarification there. To Mr. Mooney who is out in the audience, our Director of Facilities, One thing that I'd like to make clear is from a District and Trustee perspective this is now policy and we want to make sure that all of our Facility Managers as it falls under your leadership are following this to a T and if

78
00:49:37.410 --> 00:50:13.570
there are issues or concerns, bring it back to our Trustees and they're happy to revisit it. If the rates are too low or if they're too high, our Board will set them but we need to be very clear to all administrators in our district that these are the rates and guidelines we're going to follow. I move that the Board approve the new rental policy and rates as presented. Second. Motion and a second. All in favor? Motion carries six-zero. Thank you guys, appreciate you. Moving on to 11.2, consider approval of resolution to declare additional surplus real property located adjacent to 801 Shady

79
00:50:13.570 --> 00:50:59.355
Oaks Drive, Southlake, Texas. Track 9b out of the Thomas M. Hood survey of Track 706, Tarrant County deed deed records as surplus. Mister Park? So last meeting, we brought, for a couple of meetings ago, we we we we brought the consideration for approval of the surplus property for Durham Intermediate School. And and then, we sat down, and our, our real estate agent, and the brokers, and during discussions, we kind of determined that it might be more lucrative opportunity if we're able to

80
00:50:59.355 --> 00:51:44.555
increase, expand that that tract of land. And so, there's half is half is used, half is unused, but on the on the on the Carroll High School side, of that boundary, there's about 10 acres or so right now. That's that's fairly unused, and so, we are considering, including that into into that total land to be declared as surplus so that so that we can go out for for bid on on, forty forty plus acres or so, instead of just, 29 and a half or whatever it is now. And that'll yeah. That that'll substantially according we've been working with the broker that trustees have selected and

81
00:51:44.555 --> 00:52:19.765
that will potentially substantially increase the market value. Trustee Yeager gets a reprieve tonight because this was read into the record in a previous meeting and this is really just an amendment and I know Mr. Mooney is going out for an appraisal and survey on the total property. But we'll let everybody know if you would like to read it this resolution was posted with this agenda and it is publicly posted on our website. And so tonight we're just looking for your approval to be able to take that extra 10 acres that is a part of that same property and declare it surplus.

82
00:52:20.145 --> 00:52:54.630
And again, just as an FY to community members who are listening that does not commit this Board to a sale. We will bring back prices at a later date and you'll have the opportunity, as with all property, to decide to accept a bid or reject all bids. The only requirement from the state is that we have an appraisal and it is sold above market value. So we'll go out for bids and bring it back. But tonight, we are not selling property, we're just declaring a surplus. Okay. I move that this board approve the resolution to declare property as surplus as presented. Second. All right. Motion is second.

83
00:52:54.630 --> 00:53:33.340
All in favor? Motion carries six-zero. Thank you, Mr. Park. Let's see, moving on to 11.3 which is consider approval of recommendation for district insurance carrier for fiscal year twenty twenty six-twenty twenty seven. Mr. Park? So again, at a previous meeting, we had discussed this RFP at length. And so tonight, seeking your approval of the district's administration for insurance carrier for fiscal year 2027. So this RFP for our insurance coverage went out

84
00:53:34.385 --> 00:54:25.025
in in May of of the twenty sixth. It was open for, over four weeks, and, it was closed on, June 5. And we received three excellent high quality responses to the bid. Our published in the RFP packet, was this bid evaluation criteria, listed as so, out of a 100 points. And just overall just, overarching factors, in our that we took into consideration was that, first of all, as you saw before, the price factor was 35 points out of 100.

85
00:54:25.325 --> 00:55:09.360
And so, those three bids, North American Solutions, came in at 1.1, and then RHSP, another, you know, great carrier, 1.37, and then TASB, 1.25. And so, the a a big differentiating factor between between these three bids was was North America Solutions, loss loss limit. Their, full capacity to absorb, you know, catastrophic loss was at $11,000,000,000, whereas the other ones were were You know, just around half that. So, and then in our RFP criteria, we we set a a district requirement for,

86
00:55:09.760 --> 00:55:50.035
up to $1,000,000 for a crime loss, and, RHSB was not able to to quote that, specific requirement. So, just some something to keep in mind. And then, North American Solutions was, the only the only vendor in in the bid that that had a a multiyear kinda kinda renewal addendum, which, this is helpful because in years of rising rapid rising rates, we their members all all members are capped to a 10%, increase. And so, you know, it's it's,

87
00:55:50.595 --> 00:56:39.845
fluctuates very very, you know, much from from year to year, and so, that was one one, consideration that we found beneficial. When we look at deductibles information for the for the three bids, we saw that I mean, they were, you know, pretty pretty comparable to each other. And so, you know, I think I think we gave, pretty good marks on on for all three vendors in this area. And so just going straight to our dish recommendation, we would recommend that, that we go with, the the the lowest price, North America Solutions, Insurica, as our as our insurance carrier for for fiscal year twenty seven.

88
00:56:41.105 --> 00:57:21.190
We have a good good ongoing working relationship with them. I think I think, you know, their ability to to kinda cover some of our our, unnecessary, you know, legal liability type type things when, in in some instances, you know, they they did help us out, and so and so that, proved beneficial. Again, strongest loss pool, lowest premium, and that renewal cap of 10%, I think all those rung through. Chase, what is the two questions. What is the overall savings year over year from premiums last year to premiums So our current premium is just over $2,200,000

89
00:57:21.190 --> 00:57:57.975
And so when we look at it, we could experience over $1,000,000 of insurance premiums savings from this current year. And the lowest bid to the second lowest bid, what was the differential? Yes. So it was about a quarter million, $230,000 $220,000 from the $1,100,000 to the $1,370,000 That was from $1,000,000 to $3,000,000 Yes. And then it was $5,000,000 I'm sorry, dollars 250,000. And the second one was kind of in the middle. Yes. That's big for us. I had a question for you,

90
00:57:57.975 --> 00:58:33.675
a point of information I guess. Years ago this Board made the decision to be the first ISD in the State of Texas to leave Texas Associated School Boards. A lot of educated consumers or citizens understand that that TASB makes a lot of their money through being insurance brokers. This is a great example to me that we let TASB bid for our business, but then the fact that we are free from this association, we are actually being able to go to the general open market and save our

91
00:58:33.675 --> 00:59:09.547
community $1,000,000 And so I just wanted to thank you, President Brian and my fellow trustees, because this was the big question that we had years ago. And I think now we're starting to see the fruits of that decision bear out. So, Mr. Park, it's not just this insurance. In the future, we'll be looking at health insurance and we'll look at TASB and we'll also look at the other options that are out there, right? Yes. I've had discussions with you know, a couple different health insurance providers and and brokers.

92
00:59:09.547 --> 00:59:46.755
And and, you know, at at this point, you know, we're we're leaving every every option on the table. You know, we're not we're not, we're going to flip over every stone, so And I think something that as we talk about fiscal responsibility is these companies come and is our policies in with workers' comp, health insurance, etcetera, We want to bid everything out with the opportunity to go through the criteria and see where we can find savings because this is large. This is big. Yes. And that's what we said, right, Terrence and Yaeger's, we want to get out of the monopoly with no choice and get into the

93
00:59:46.755 --> 01:00:21.245
free market with they can bid on our jobs as well, which they did on the past three years, right? Yes. Okay. I move that the Board approve the Property and Casualty Insurance coverage in twenty twenty six, twenty twenty seven as presented. And that is the selection of NAS as a District's property and casualty insurance carrier. Second. Motion to second. All in favor? Motion carries six-zero. Okay. Thank you, Mr. Park. We'll move on to our last agenda item which is the consent agenda and I think Trustee Yeager we have several donations.

94
01:00:21.465 --> 01:00:54.975
We do. As many times we do mention the great generosity of people who live in our community and make our District so great. The first donation is thankful, we're thankful for the Tradition Club. It's a donation of $62,272 in kind. And this is, we're going to have some parents and some student athletes who are really excited for volleyball locker room improvements. And the state champion volleyball team deserves to have a wonderful locker room. So we're so excited about that. The next donation, President Bryan and trustees,

95
01:00:55.035 --> 01:01:33.250
is the Durham Intermediate School PTO. And that is a very kind, generous donation of $6,000 for buses for field trips. The next donation is from the Rockenbaugh Elementary School PTO of $5,575 And then we have a donation from the NTN Parent Club. This is a very generous donation of $45,000 purpose of which is funding towards the purchase of a new scoreboard at our aquatic center. And I know all of our swimmers and parents will love that. So again, thank you to the many people who made those donations possible.

96
01:01:33.390 --> 01:01:48.255
Absolutely. Thank you, Trustee Yager. I move to approve the consent agenda as presented. Second. Okay. Motion is second. All in favor? Motion carries six-zero. If no objection, we'll adjourn this meeting at 07:01PM. Thank you, Board.