WEBVTT METADATA Video-Count: 1 Video-1: youtube.com/watch?v=Wlt6b7qBwKc Part: 1 1 00:15:50.000 --> 00:17:00.720 Heat. Hey, heat. Hey, heat. Menowakington means dweller of the spirit lake. Our first item on the agenda is our roll call. Dana >> Elizabeth Bachmanber >> here. >> Luis Hines >> here. >> Ryan Clark is absent. Melinda Doss 2 00:17:00.720 --> 00:17:14.959 >> here. >> Smi Pnik >> here. Sorry. >> Katie Schwarz is absent. Sharon Vanlair >> present. 2.0 is our pledge of allegiance. I pledge algiance to the flag of the 3 00:17:14.959 --> 00:17:30.480 United States of America and to the republic for which it stands. One nation under God, indivisible, with liberty and justice for all. >> 3.2 is the approval of our agenda. Can I 4 00:17:30.480 --> 00:17:46.720 get a motion to approve the agenda? >> So moved. >> Second. >> Moved by Semi. Is there a second? >> Second. >> Second by Melinda. Any comments? All in favor? >> I. >> Any oppose? Motion is carried. 4.0 is 5 00:17:46.720 --> 00:18:02.880 comments to the board and there are none tonight. 5.0 is con consent agenda items. All consent items are considered routine and non-comversial by the school board and will be approved by this a 6 00:18:02.880 --> 00:18:19.760 single motion. There will be no separate discussion of these items prior to this meeting. Board members have had the opportunity to review each of these items and may request that any item be moved to the action items for individual 7 00:18:19.760 --> 00:18:34.640 consideration. Can I get a motion to approve? >> So moved. >> Moved by Louise. Second. >> Second. >> Second by Smi. Any comments? All those in favor? I. 8 00:18:34.640 --> 00:18:51.039 >> Any opposed? Motion carried. Next is 6.0 and that is information items and this evening we have 6.1 which are financial updates which will be presented by Chris Blackburn, director of business services. Oh, there you are. 9 00:18:51.039 --> 00:19:07.440 Hey. Okay. >> Good evening uh acting chair Van Leer, members of the board, superintendent Neielson. It's wonderful to see you this evening. I know we always try to pro provide regular updates to the school board um as we're charged with as well. And so tonight I'm here to talk um about our 10 00:19:07.440 --> 00:19:25.200 budget adjustment process and just provide a little update on that. So, oh man, I get to do co Sean gave me almost the clicker here this evening. So, um, but tonight we wanted some of this is just going to be 11 00:19:25.200 --> 00:19:41.200 a little agenda, the recap of kind of that we had previously when, um, assistant superintendent Jansen, I almost said Neielson, Jansen and I presented um, earlier this spring to recap that, provide an update on some the program based budget adjustments and 12 00:19:41.200 --> 00:19:57.919 the staff feedback we've received so far. And then just to reiterate the timeline again. So again, the recap is we're looking ahead the district we're entering in that two but se separate but linked um processes and conversation. So the first being the budget adjustment process is the one that um I'm currently leading 13 00:19:57.919 --> 00:20:14.080 with our executive cabinet and our leaders across the district that will go from now through November. Um we'll anticipate bringing the a full package to the board for budget adjustments in November for approval and those will be imple implemented next fall. So 2728 14 00:20:14.080 --> 00:20:30.720 school year. We know that as a result of that um and we also know that our community supported the 10 rather than a 10-year plan, a five-year plan. And so at that same time, kind of I'll hand the baton off. Um and we'll get that planning for the next five years. So we know some items from the budget adjustment process may also move forward 15 00:20:30.720 --> 00:20:45.840 to that that process then will begin this fall. So we'll kind of have a little overlap, but then that will run all the way through next fall in fall of 2027. So again, the the why now, right? We know that as we always forecast, I've certainly been in front of um the board 16 00:20:45.840 --> 00:21:01.440 before kind of showing our future outlook. Um and we know that fund balance policy by set um a couple years ago is 16.6% is our target. So the unrestricted fund balance at the end it's about two months of expenditure. So even though that seems 16.6 like hey 17 00:21:01.440 --> 00:21:17.120 that's pretty healthy. It is just two months of expenditures. Current expenditures again we know are continuing to rise faster than our revenues. So we know that inflation at the state has not kept pace on the basic formula which is our most significant source of revenue. And so we know that we continue to see that outpacing. We 18 00:21:17.120 --> 00:21:34.240 know we have challenges. We've made some very mindful investments in staff. But we also know that insurance costs in particular um are rising faster than it. And if anybody's been to the grocery store or the gas station recently, we certainly have experienced that as well. So again, that increasing pressure on operational cost coupled with enrollment 19 00:21:34.240 --> 00:21:49.440 declines. And so we know that despite all the beautiful housing that's um coming forward in our communities, we know that they're not always generating the students any longer. So we're seeing smaller kindergarten classes. We know there's declining birth rates nationwide. It's not a unique to soco 20 00:21:49.440 --> 00:22:06.159 issue. We know nationwide that is happening, but that's impacting. So when we're graduating about 1500, we're incoming 1,200 or fewer. That's a significant challenge there. coupled then again with some expansion in um options for our families as well and our communities whether through um 21 00:22:06.159 --> 00:22:21.679 non-public options, charter school options and some other choices that they may be making. So at the current rate of spending the district will be below fund balance policy by FY27. So that's the 26 27 this upcoming school year and that we also as we forecast out are looking at 22 00:22:21.679 --> 00:22:38.240 statutory operating debt at the close of fiscal year 29 school year. And again reminder statutory operating debt is where we are negative fund balance u below two and a half percent and that that would result in the state come kind of coming in we have to have a plan for how we're going to get out of that. So 23 00:22:38.240 --> 00:22:55.520 we're trying to avoid that. We know that student enrollment is the largest single driver of our revenues. And so as we look at student enrollment this is aggregate enrollment. So it's not differentiated as far as by grade level. So it's just total enrollment. As you can see, we've had that kind of I would say real slow grow, you know, just 24 00:22:55.520 --> 00:23:11.440 marginal growth, but still growing. Um, in the years prior, we know that this current year, we're anticipated to be down about eight students. So, about flat enrollment from last year. As we look forward um we're anticipating a loss of about 300 um some students for next year. So, that's in the column 25 00:23:11.440 --> 00:23:28.559 that's blue. And then as we look forward, you can see that's kind of decline from there as well. And so again with that decline in enrollment, we're anticipating those fiscal challenges again since that's the primary driver of our revenue projected fund balance then with no adjustments. So again if we just made no 26 00:23:28.559 --> 00:23:44.240 adjustments and again this was at a point in time so this would have reflected um 2526 revised budget um we were anticipating about 57 million is what our decline would be and so we'd be just still slightly above board policy anticipated. As we look forward to the next school year, we know that we 27 00:23:44.240 --> 00:24:00.240 approved in June a $8 million deficit for next year spending. And so that would put us about uh 13.8% u but a pretty significant decline in revenue. And then that following if we do nothing again that following year because that kind of multiplier effect, 28 00:24:00.240 --> 00:24:16.640 right? If we don't make the adjustments now, it kind of multiplies in years out. So we'd be dropped down and then again you can see in that 28 29 we would be in statutory operating debt estimated at negative 5.8%. 8%. And again, I would remind everyone that budget is always an estimate as well. 29 00:24:16.640 --> 00:24:31.840 And so, we know that it will change. And so, we'll certainly we know that audit results come in, maybe perhaps we come in better for this past year. Um, that that or worse. Um, hopefully not, but we always know that that is an estimate and there's always that risk and that we might results will vary whether it's 30 00:24:31.840 --> 00:24:48.640 positive or negative. And so, we'll always continue to refine that and refine our projections. So the goals of the budget adjustment process are really to develop that short-term plan to address that deficit spending for the upcoming school year to with the changes to be implemented that year following in the 2728 school year. 31 00:24:48.640 --> 00:25:04.320 Um any of those ideas again that need that longer runway. So we may know that there may be some things that come up whether it's um you know perhaps an additional or I know we revoked and renewed um our operating referendum which is again can be used for school resources as opposed to bonds which can 32 00:25:04.320 --> 00:25:21.679 only be used for building. Um so we know that sometimes some of those things take a longer process. So just as an illustration that would be one thing that if that would come up that we would move that to the next planning for the next five years process as well. So the shift to the new uh program based 33 00:25:21.679 --> 00:25:37.760 budgets. So this year rather than um some years when we've done budget adjustment process in my 12 years here unfortunately we've had three of them which tells me again there's kind of a structural imbalance with the state funding. Um but the program based budgeting rather than doing just we want to cut um three and a half% because 34 00:25:37.760 --> 00:25:54.400 that's the 13 million adjustment is about three and a half% of our general fund budget. So I always tell people if you think a $100 it's three and you know $ three and a half dollars which doesn't seem like it's like well that should be easy for a district cut till you do 13 million and then we have a lot of staff that that is our primary right to help 35 00:25:54.400 --> 00:26:09.440 educate our students and support our students. So the challenge is real. Rather than do a three and a half across the board, we chose instead to do a program-based budget model this year. And it's a strategy where budget reductions, we took the overall percentage like our large budget and 36 00:26:09.440 --> 00:26:25.520 then distribute across the programs relative to that total. And so instead of applying that flat percentage, we take a look in the percentage of so if you're 10% of the budget, 10% of the reduction should come from your area. So that's how we assessed this. And so that reduction target is calculated that 37 00:26:25.520 --> 00:26:42.559 reflection in the general fund. Then um how we segregated the um data for our programs and kind of identified the programs for those budget adjustments are the areas are district departments and services. And so that includes communications, finance, it's by finance and payroll 38 00:26:42.559 --> 00:26:58.240 teams, human resources, um professional evaluation, research and assessment, student information, the superintendent's office, teaching and learning services, technology. So some examples of the supporting I call you know cover the team players behind the scenes a lot um those departments are in 39 00:26:58.240 --> 00:27:15.120 that district departments and services. We also identified facility usage and maintenance and so we know that again our facilities whether it's from custodians to some of our resources of improvements or how we're you know how often we're mowing the lawn or how much electricity or salt and sand and things 40 00:27:15.120 --> 00:27:31.440 like that but we know that that impacts all of our buildings but it's harder to control at the building level. It's more district facilities. So that facility usage and maintenance is for that districtwide. So whether it's all districtwide or if it's schools specific, but that's in that bucket. The third bucket is transportation 41 00:27:31.440 --> 00:27:46.640 wrership and routes. Um and that is again that districtwide transportation services. So whether it's for gened routes, special ed routes, whether it's the um staff in the office, the bus drivers, the bus mechanics, that is all included in that um program. 42 00:27:46.640 --> 00:28:03.440 And then we get to elementary school and high school. And so there'll be school specific adjustments in those areas at the elementary level and then again at the secondary which includes that middle and high school. And then the last category is student support services. And so that includes our um districtwide multilingual and districtwide special 43 00:28:03.440 --> 00:28:20.000 education services. So the one note I would have on this student support services is a reminder that when we do um you'll notice on the next slide when we show the targets that there is a reduction in revenue as well because we do receive a significant portion. It's a reimbursement on prior year expenditures is how that revenue is largely funded. 44 00:28:20.000 --> 00:28:36.480 And so we do recognize that um if they would reduce by a dollar amount that we will lose revenue as well. So their reduction is smaller just in recognition of that revenue that's generated. So in all of these program areas then incorporated into there in the expenditures are all the salaries and 45 00:28:36.480 --> 00:28:52.960 benefits in each of these categories programs contracted services all the supplies and materials which would include textbooks. There's also staff development, software, any devices, whether staff or student devices, um equipment, furniture, dues and fees. So, it's that whole plethora of everything that we spend money on to keep the 46 00:28:52.960 --> 00:29:09.200 lights on, to keep the snow off this um maybe I would say keep the smoke away, but I don't know that that's realistic today. So, with that, so the program based on that then we took that information and we calculate out those percentages um based on the percent of total. And here is out 47 00:29:09.200 --> 00:29:26.799 of that 13 million general fund target. This is by program area then. So as you can see um certainly you know we always say that our district admin when we think of our dollar bill right and where that money is spent. So that's reflected and as you can see in these targets as well that the significant um adjustments 48 00:29:26.799 --> 00:29:42.880 are at those school specific adjustments in the elementary and the middle school and the high school at 4.2 million and 4.5 million. Student support services. In recognition of that revenue, their adjustment then nets to 700,000. For district departments and services, 1 49 00:29:42.880 --> 00:29:59.120 million is our target. Facility usage and maintenance. We have a $1.2 million target. And for transportation, ridership, and routes, we have a $1.4 million target. We also highlight that even though uh we just wanted to also recognize and kind 50 00:29:59.120 --> 00:30:14.799 of as we look at our we have other funds, right? So we have nutrition services and community education. So, they are also tasked with some adjustments, too. And I would remind everybody that adjustments can include revenue enhancements as well. Um, and so there's a $200,000 for nutrition services adjustment target and a 51 00:30:14.799 --> 00:30:30.240 $400,000 in community education target. As a reminder though, too, that any adjustments in those do not impact general fund. And so, it doesn't um those dollars don't count towards the 13 million adjustment um because by statute, they have to stay in 52 00:30:30.240 --> 00:30:47.440 their own funds. So then we have these targets and now so who then helps make some of that um those decision- making and steer and guide that that will bring that proposal forward to the board. We have program steering committees in each of those program areas. And so it's again based 53 00:30:47.440 --> 00:31:02.559 on that program budget area. And so each of these so I have listed the number of members in each of those. And so in district departments and services there's 18 members. Facility usage and maintenance there's 13. Nine members in transportation ridership and routes. 22 54 00:31:02.559 --> 00:31:18.000 at the elementary um adjustment side. And in middle and high school 15 members. Student support services there's 14 members. And then in nutrition services there's four. and community education there's 10. I would share with the board that those membership is included of executive 55 00:31:18.000 --> 00:31:35.640 cabinet certainly is kind of the kind of the guiding to just help um there and then it's made up of our district leaders so principles um at our buildings there's directors across the district that are in each of those committees as well um as we look to really guide this work. 56 00:31:36.799 --> 00:31:53.440 So as part of our timeline as well and our project plan that we did is to do a budget adjustment survey. And so we wanted we know that our educators are most close to the work and so we certainly wanted to survey our staff um again our including our teaching staff to our custodial staff to um our you 57 00:31:53.440 --> 00:32:08.480 know just my team. Um we know that everybody has a unique perspective that they can share. So, we certainly wanted to um really robustly ask that and find out um what they have to say about perhaps where areas might be. So, they've been invited to provide feedback 58 00:32:08.480 --> 00:32:24.960 via Google form. It opened in May and it'll remain open until September 11th. And so, that does allow time for as people come back to recognize that they might be off for the summer um enjoying some vacation, which I start mine tomorrow. Um but they may be off. And so we wanted to make sure that they had an opportunity as well as they come back 59 00:32:24.960 --> 00:32:39.840 this fall to maybe they thought of something else over the fall or there may be some groups that didn't quite get um enough opportunities to do that. This data then so all of this feedback data um will be used to inform that decision-making process. So that'll be provided to the um steering committees 60 00:32:39.840 --> 00:32:57.519 to say in these areas, right? Um and I'll the next slides we'll talk about kind of who's submitted, but we'll share that data and information and there's ideas um just thoughts about things too that can really help guide and inform that decision- making. So the questions that we asked for 61 00:32:57.519 --> 00:33:14.080 responses to um there was five of them. So we tried to keep it brief um and we allow not allowed I guess they can submit another form certainly if they want um but there were three responses so that they could you know I didn't want to necessarily bury like one large paragraph in their response and so we 62 00:33:14.080 --> 00:33:29.840 asked them just to put kind of three different um up to three in each question. They could skip questions if they wanted to. they didn't have to answer either, but the questions and the first one we asked was what program resource or position do you believe is vital to student success or operational safety and would not recommend 63 00:33:29.840 --> 00:33:45.600 eliminating or reducing? So, we really wanted to get that feeling for what is like you really couldn't live without this. In the second question, we asked looking specifically your individual building department or program where do you see opportunities for cost savings or increased um efficiency? And so again 64 00:33:45.600 --> 00:34:01.760 trying that local lens like my team might know on finance what works really well but maybe I know know what works well at an elementary school having not been an educator. So again we wanted to make sure at that local lens in your uh kind of your local neighborhood what that um where might there be opportunity. 65 00:34:01.760 --> 00:34:17.280 The third question looking at the entire school district and system. So again that very broad view instead where do you see opportunities for broader budget adjustments or streamlining of services. So again wanting to recognize that they may have ideas on that just broad sense as well. Um and so what would that what 66 00:34:17.280 --> 00:34:32.879 are some opportunities there? Fourth question are there more are there ways in which the district increase revenue. So again we know that adjustments is that revenue enhancement and um expenditure reductions and so we definitely wanted to ask that question and see what are um staff had to say or 67 00:34:32.879 --> 00:34:51.599 ideas they may have on ways we could aka make more money um that we should consider as we look at this adjustment process. And the final question we just asked kind of open-ended is there anything else that should be considered as we as these changes are evaluated. So I got a little graphical tonight. So 68 00:34:51.599 --> 00:35:07.680 respondents by bargaining group because it's always fascinating to me. Um so far we've had 49 438 responses through July 8th. And so I was pleasantly surprised at that number. Um just sometimes you never know with a survey and sometimes in the spring it can be challenging. 69 00:35:07.680 --> 00:35:23.280 people get a little tired out and are maybe you know end of the year um is just extremely busy time of year. So very pleased that we've had 438 responses and this was through July 8th. So certainly um I take a peek every now and then but as you can see like the who we did ask two kind of demographic 70 00:35:23.280 --> 00:35:38.480 questions. We asked what bargaining group um and we also asked what location. And so on this side is the bargaining group representation. And as you would um anticipate likely that the teachers are the predominant um about roughly half of our um total employees 71 00:35:38.480 --> 00:35:53.920 or teachers and so as you can see on here too 81 almost 82% of the respondents are currently in the teacher um group which is fantastic. Then um bus drivers and assistants, we've had a slight, you know, so you'll see some littles. The second group was pair 72 00:35:53.920 --> 00:36:10.560 professionals. We've actually had 5% of our pair professionals complete the survey. Principles almost 5% um office professionals also close to that 5%. And then the rest is kind of a smattering of the independents um district office support specialists, which includes like my team and technology. Um we've had 73 00:36:10.560 --> 00:36:28.160 maintenance some and then you can see that other as well. So the legend's off to the side there, but um nice to see a robust just across the board that it wasn't just strictly one group or two groups that we've really had a pretty diverse group of respondents. Then we asked by location and so I 74 00:36:28.160 --> 00:36:43.760 didn't identify specific schools. We did ask that but in this um graphic I just represented which category knowing that we are asking um kind of that district administration support services um or district department supports and then the elementary and then that secondary high school and middle school. And so we 75 00:36:43.760 --> 00:37:00.560 kind of ask like where are you and so of those respondents 47% are at the elementary and then high school and middle school. So as that if you combine that secondary they're about 43 almost 44%. So a pretty even split between elementary and secondary and then other programs and departments was nine almost 76 00:37:00.560 --> 00:37:16.880 you know just shy of 10%. So um again a nice representation across as we look at that feedback. So finally the budget adjustment timeline this is again that reminder that that district working we started this past spring and that will run that internal committee that will guide that 77 00:37:16.880 --> 00:37:31.920 work and really take that feedback. We'll gather that in this time frame as well um kind of through September. And then as we look to fall, we'll start transitioning to informing our communities through staff meetings. We're going to um leverage our advisory committees as well to um share 78 00:37:31.920 --> 00:37:47.200 information and gather information um via that method and we'll really educate them on the recommendations that we're working on. So we'll kind of work to fine-tune those based on the feedback um and try to as we look to that package right in November. Then we'll bring that 79 00:37:47.200 --> 00:38:03.839 board for board approval. We'll bring it to the first meeting for discussion. And then we'll ask for um approval at the business meeting in November. And then in December, we'll finalize and um inform communities as to what those approved budget adjustments are. Anything at that time too that really 80 00:38:03.839 --> 00:38:19.760 is, you know, unable to accomplish through this process, then we'll move that to the planning for the next five years process. [clears throat] With that, any questions this evening? Any questions? >> I have a couple questions for you, 81 00:38:19.760 --> 00:38:36.800 Chris. Um the if you go back to slide 10, uh which was kind of the breakdown of the different um kind of budget cut areas. >> Um question for you. Was the special education transportation included with transportation or student support 82 00:38:36.800 --> 00:38:53.200 services? >> That is in transportation. >> Okay. I was just curious about that because I know that that's been a topic of budget discussion for a while and so just was wondering where that was slanting. >> No, that's an excellent question. >> Okay. And then my second question was just curiosity and it sounds like the staff can um you know take the survey 83 00:38:53.200 --> 00:39:08.800 multiple times but just curious how many respondents you've had overall. I see the percentage breakdown but just curious if you have a rough number. >> Yeah, like I said so far we've had 438 and I believe that they're all unique right now. So, >> and how many employees do we have to? >> We have a little over 3,000. Okay. 84 00:39:08.800 --> 00:39:24.560 Thanks. So, there's lots of room for people to turn the survey in. Okay, great. >> And I think the challenge coming in that springtime too, certainly recognizing that people might have been a little exhausted at the end of the year and um but absolutely wanting that feedback too. So, really encouraging people to complete it if they haven't 85 00:39:24.560 --> 00:39:41.200 >> and I think when we enter into a budget adjustment process um while we absolutely want feedback, we do want to make clear who the decision makers are. And so in this particular case, when we think about district-wide budgets, the decision makers, the final decision decision makers will be the executive cabinet. We will work toward consensus 86 00:39:41.200 --> 00:39:56.720 with the steering committees as Chris talked with and then get feedback and input from people out in the system. What we don't want to happen is for groups to be fighting against each other or content areas or subject areas to be going up against each other. So I think 87 00:39:56.720 --> 00:40:12.800 as we enter into this process, we just want to be clear about who the decision makers are. Um, and we've already had the opportunity, system leaders, to review some of the survey information we've gotten. I've done budget adjustments in this district and in other districts about six times. And I 88 00:40:12.800 --> 00:40:28.480 think when we look at what we see showing up, there are always similar patterns to what comes up um when we talk about budget adjustments, even from the previous time we did budget adjustments. So I think for the board to know that and I will say that many of um the people sitting in the back row 89 00:40:28.480 --> 00:40:43.359 including myself who are overseeing the budget areas we've been spending a lot of time with Chris and basically going through every line item within the program of district and many times people think of district as just the district people and leaders. Um it was 90 00:40:43.359 --> 00:40:59.839 great for me to find out that $140,000 of it is testing costs or actually $440,000 is in a testing budget. Well, that includes all of our elementary. It includes ACT, preACT. So, digging that deep into it with Chris. It includes 91 00:40:59.839 --> 00:41:14.960 actuarial services, audit services. It of course includes the people. It includes printing, staff development, curriculum. It includes overtime. So, um student information uh during our busy time if they work overtime. So, we are actually right now in the phase of 92 00:41:14.960 --> 00:41:31.440 looking at every line and how many total lines do we have, Chris? Like >> talk about that. um and breaking down so that when we meet with those steering committees, we have a really good idea of what th where those dollars are being spent. And so that's kind of what we're doing now in the summer um as we ramp up 93 00:41:31.440 --> 00:41:47.680 to the school year. But as I've shared and I've shared with board members, we don't want to start the school year out having a conversation with any specific lists. We want the year to get underway. We want to enjoy the start of the school year, welcome kids and families back, and then we know we have some tough work to do as we enter uh the end of 94 00:41:47.680 --> 00:42:02.720 September and then moving into October and November. >> Uh Chris and Julie, I had a question for the survey. Do we have kind of a target in mind of how many employees we would like to respond to the survey or who have >> I would say probably 3,000 if I really had to pick. 95 00:42:02.720 --> 00:42:18.000 >> Well, yes, >> maybe a real more uh a realistic number. And I'm not I would say that I don't necessarily have a target in mind, right? I thought 438 this spring was a really solid number, right? When I think time of year that it came out and things. Certainly, I would hope to have 96 00:42:18.000 --> 00:42:34.800 that number be probably double that for sure. Um because we also know sometimes people get fatigued by, oh, I have to answer this question. Maybe they perhaps think they have to answer. We are uh we did ask and we just make it clear that we're collecting email addresses for the intent really that not to share out and 97 00:42:34.800 --> 00:42:50.560 say oh well Chris Blackburn said you know cut the school board um right like we don't want to have put people in that situation but we do certainly there's some fantastic ideas sometimes and so we want to be able to have that opportunity to perhaps follow up and say hey you had this really great you know this idea 98 00:42:50.560 --> 00:43:06.480 like let's just explore this a little more how has this looked before um and so just to allow us that opportunity but I think there may be some hesitation as a result too. Sometimes, you know, when you're collecting that information, people are get maybe perhaps a little nervous as well. So, um we try to be very clear that that was not intended to 99 00:43:06.480 --> 00:43:22.720 be shared, but just for that purpose. But Julie, do you have anything? >> I was just going to say sometimes at this stage it's just so big. You know, people have in their own school from their own view and their own position what they value, what they don't. But I think once we put out lists that actually have items for people to 100 00:43:22.720 --> 00:43:39.359 reflect on, I hope that we see that increase at least by another 50% to get us closer to 1500 to 2,000 employees providing us with feedback. >> And so is the vision then that um when this preliminary list is generated this 101 00:43:39.359 --> 00:43:54.480 fall >> um that there would be a secondary survey sent out to all staff for Okay. >> Yep. That absolutely correct. So this is kind of that information gathering up front which will help just guide some of that initial work too. Um and so then it 102 00:43:54.480 --> 00:44:10.640 to take that information um you know robustly take a look at it review other things other feedback we've received as well and then come up with that kind of I think we've gone around do we call it initial list preliminary list draft list but kind of come up with that initial considerations or kind of those draft 103 00:44:10.640 --> 00:44:26.560 considerations and then seek additional feedback um through those groups as well just to ensure like some I will say this that there's I said I always challenge like oh this is a great idea we don't certainly want like none of this is going to be great, right? This is going to be very difficult, challenging work. 104 00:44:26.560 --> 00:44:42.960 And so really trying to be mindful of that. Um that knowing that people aren't, you know, I certainly wouldn't be like, "Yeah, let's check all of these." And that's absolutely, but it is also looking for could I support this or absolutely not support this. So that's the kind of feedback that we'll be seeking at that point. 105 00:44:42.960 --> 00:44:57.440 >> And so sorry this I think this is my last one. Maybe, maybe not. Right. Um >> Oh yeah. [laughter] with the with the identified targets then like a million dollars for the 106 00:44:57.440 --> 00:45:16.640 district at the district level. Um if uh Julie and her team see that okay there's um we could cut $2 million here. Is the idea then that we would collect this extra million dollars as like 107 00:45:16.640 --> 00:45:33.359 um potential cuts to offset savings elsewhere or would we try to get more than $13 million in cuts to give us a little bit of >> I think it perhaps will be an and so I think that certainly we'll look at that and then it'll be without knowing what that is. It's a little hard to know like 108 00:45:33.359 --> 00:45:48.480 perhaps we just are unable we have to move some things to the fiveyear or perhaps like the challenge it there's going to be real challenges again as a percentage that three and a half% again but $13 million is a very large number and so in full recognition of that I think the reality is we'll know a little 109 00:45:48.480 --> 00:46:05.040 better once we see those and see just what kind of challenges perhaps some of those groups are steering committees are coming up with like gosh we can only get to here right and then it is I think it's that shared responsibility of us all so I think um we also know that this will not fully solve our problems by any 110 00:46:05.040 --> 00:46:21.680 stretch and so certainly we want to say like hey if there is opportunity there um but also we don't want to hurt the system so terribly either >> and then to just to clarify a potential u levy like we talked about with um Morris Leatherman that would be part of 111 00:46:21.680 --> 00:46:36.880 the five-year program that would not be part of this budget adjustment this budget adjustment is just looking at cuts it is not looking at or it's just looking at sorry program based cuts in revenue enhancements. It's not looking at overall like district-wide revenue enhancements. >> And I think the challenge is really it's 112 00:46:36.880 --> 00:46:53.280 more the what I would say is this budget adjustment process is that immediate what can we implement next fall, right? And so I think that's the challenge more than you know oh we wouldn't do look at this or consider that. I think it really is are we able to accomplish this next year or would it be we know that like for example levies we know that even if 113 00:46:53.280 --> 00:47:08.800 we hurried up and got on the ballot like it would be like the ballot is November, right? And so we know that that would be something that would have to move forward to that next process as well. So some of those things will naturally lend themselves out that way. >> And similar to the last time we did, if you remember the budget sheets that came 114 00:47:08.800 --> 00:47:24.560 forward at the very bottom of district, it actually said um considerations about around a capital projects levy considerations increasing operating. You will see that same thing when we bring it forward to the board with a possible year because we're going to start to 115 00:47:24.560 --> 00:47:39.680 think out with everything that we have to accomplish in five years, when does it make sense to go back out because there will be other work that we'll need to have conversations about too >> and we know that our existing levy will expire as well. So I think you know do we ask for additional dollars? Do we we 116 00:47:39.680 --> 00:47:56.560 know that we can do a board renewal at this time by state statute. So we would have a lot of considerations as we look to that process. Oh, yeah. So, I was going to go back to the the list you were talking about. So, when you're talking about a preliminary list, um I'm and I'm assuming these are 117 00:47:56.560 --> 00:48:12.720 just freerange responses that people for the initial survey. Um so, will that preliminary list have categories or will it include like everything that people have said and kind of group it into things or it be like the top 10 things or how will that be? So I would 118 00:48:12.720 --> 00:48:28.319 anticipate that the feedback will certainly guide some of the hey maybe this should be an idea. So I think even as we've you know had some initial assessments on that list a little bit too around those recommendations again having a 438 population but still there's been some feedback that certainly there's some themes maybe that 119 00:48:28.319 --> 00:48:43.920 are coming out and so let's consider that does that need to come in our I'll say like initial lists right and so um as we look at that then as we then we'll take that steering committee will say ah you know I don't know that that's realistic right like certainly we think that's a great idea could that actually 120 00:48:43.920 --> 00:48:59.920 be or can it be next year right or does it have to go to a five-year planning process. And so there'll be that type of consideration or we'll do research on it, right? That we'll research and say, "Hey, this sounds like a really great idea. Let's look at that. Let's go to a one day work week or something and let's look at that." Right? U 4 day school 121 00:48:59.920 --> 00:49:16.800 week maybe. You know, but I think some of those things like we know that and we've seen them before as well as far as maybe not directly as this process, but across our years in the time here in the district that those themes kind of bubble up like hey would this would this perhaps be a benefit, right? um on a cost basis. And so we'll absolutely look 122 00:49:16.800 --> 00:49:31.440 at those and then do our research and homework. I know the um budget process prior to this um about four years ago was me doing a lot of math on things like let's see what if I cost out this or could we do this? Sometimes we have to look like is that even possible? We might have contract language absolutely 123 00:49:31.440 --> 00:49:48.880 not that isn't possible. um or maybe there's consideration that hey as we go into negotiations maybe we can have conversations about what that might look like and try to you know solution um some things at the table too and so I think it's always that shared responsibility and so we'll certainly um 124 00:49:48.880 --> 00:50:04.720 it's not a set list that we'll take every idea out of here and put that on there but it absolutely is wanting that initial feedback just so we can really look for some of those themes or maybe really some nuggets that perhaps we just didn't think of that should be perhaps be on that Thank you. >> And then we'll have the monitoring. So 125 00:50:04.720 --> 00:50:19.760 just a reminder too, we'll have that monitoring process similar to we did last time as well. So once we have that final approved uh board approved list, we will have then monitoring so that we can make sure. So we thought the target was this and this was our goal and here's the adjustments we came up to. 126 00:50:19.760 --> 00:50:35.440 Did we meet that? Because we know on a budget basis sometimes the reality is we think we're going to meet that and then perhaps there's, you know, something that happens that it just isn't achievable. So >> Jimmy has one more. >> I saw the hand. [laughter] Tried to talk her way out of it. 127 00:50:35.440 --> 00:50:51.920 >> Um my question is around um for stuff that we levy for directly like lease levy or like stuff that is like LTFM or stuff like that. How does that factor into this? >> It's a great question. So when we did the program based budgeting, there were 128 00:50:51.920 --> 00:51:07.040 categories that we knew that it strictly is a dollar for dollar. So like um if that doesn't get spent on there's nothing else that you know there's no opportunity to say hey perhaps if we don't spend it on this right there's no there's no leveraging those dollars for anything else it really is if you don't spend that you don't get that and so we 129 00:51:07.040 --> 00:51:24.720 tried to remove those um and certainly it might be a little bit um imperfect system as to how we did that but we absolutely looked at that and said if we don't do this we're not getting the revenue like dollar for dollar and there's no oh we could shift this into there so we just took those off the table into like a this is a um there's 130 00:51:24.720 --> 00:51:41.760 no impact in essence to the budget. And so we adjusted the let's say that $350 million and I'm I'm strictly making up numbers. Say we said 30 million of that is just non-negotiable anything that we would just there's nothing else you could shift and things. So we just took those out of. So our base for when we 131 00:51:41.760 --> 00:51:57.920 did these targets was at 320 million then. So we took that those dollars and just set them aside took them off that. >> So sorry. So these general fund targets these are based off of the reduced base. >> Correct. Like a modified base. Yeah. Okay, >> now I'm done. >> Oh, no. But Elizabeth, go ahead. 132 00:51:57.920 --> 00:52:14.240 >> I just one more question. As we think about the steering committees and the executive teams coming up with their preliminary lists and sharing those out, then that is the timing of the release of those will be before the listening sessions. And maybe this is for Superintendent Neielson. Is that kind of they would be out there for people to 133 00:52:14.240 --> 00:52:31.680 give feedback on before those? >> Yes. Yes. Okay. >> Yep. We want to be able to have that second feedback loop with staff and then refine list again before we go out. >> So your your targeted date to for this survey is September 11th. Is that 134 00:52:31.680 --> 00:52:46.079 correct? >> That's the final for the initial survey. So this preliminary I'll call it the spring survey maybe but it will roll into fall too. So we thought that gives people some time to get back and settled in um and still allow that opportunity to provide feedback. So it'll be a pretty quick turnaround for us but we'll get it done. 135 00:52:46.079 --> 00:53:02.079 >> Okay. Thank you Chris. Thank you for a thorough report. We look forward to hearing more. >> I will continue to have updates. Have a wonderful evening. Thank you. >> And I'm looking forward to the one day work week. [laughter] >> Okay. >> Chris is going on vacation. That's why she's 136 00:53:02.079 --> 00:53:17.599 >> okay. 7.0 is our action items and there are none tonight. We'll move on to 8.0 and that is our superintendence report and that will be presented by our superintendent Julie Nielsen. >> Thank you. I was just sharing with union leadership that why is it that we're all 137 00:53:17.599 --> 00:53:33.920 excited for the 4th of July and then you go into the stores after the 4th of July and what's on the shelves. Mhm. You know, school supplies. Um so it is always fun for me when I'm out in the community though to see our families shopping and getting those school supply lists. And unfortunately when you have 138 00:53:33.920 --> 00:53:48.800 kids in their 30s, they don't need school supply lists anymore, but it's still fun to watch families navigate that. So yes, our lists are out there. I saw today that our early learning list just went out as well. Um this week on Monday I had the opportunity to attend the regional um meeting with mayors and 139 00:53:48.800 --> 00:54:05.839 superintendent and in Minneapolis uh Mayor Anne Bert and Mayor Lori Elliot from Newport both attended and it was opportunity for metro superintendents to come together and talk about the great things that are happening in p public education as well as the challenges and then how we might work with our cities. 140 00:54:05.839 --> 00:54:22.079 So just one small example of something we're dealing with here in South Washington County schools are ebikes. And so we've had uh communication working with the our cities as well as with the schools around ebikes. So it was just um a really uh a whole array of different things that school districts 141 00:54:22.079 --> 00:54:37.920 brought up. Um, but I would share um, as when I came back, it always feels a little bit therapeutic when you go and you're with a group of superintendents and mayors because while we're making some significant adjustments, when you take a look at where we're at as a district with $57 million in our fund 142 00:54:37.920 --> 00:54:53.440 balance, we're really on the front side of this. And so I'm thankful and grateful to our finance team. Um, we're on top of it. It's not easy, but as Chris shared, there are many, many other school districts in the same situation. and we just have to figure out how we're going to rep prioritize some of our 143 00:54:53.440 --> 00:55:10.640 spending. And so we continue to work on that and it was it was just a great opportunity to be together with our city leaders. Um next, I think you're aware that our summer targeted services uh began right after the 4th of July. This week we also started our extended school year um for students who qualify um uh 144 00:55:10.640 --> 00:55:27.599 with special education. And so both are going well. Um finally, summer schoolie continues. That is our afterchool event at our four elementary schools. Simmyi was a reader this week. Um, and Dr. Brookens was a reader this week. And I was so glad it was their week and not my week because it was even warmer this 145 00:55:27.599 --> 00:55:43.680 week than it was during my week. And I think one of them was cancelled this week. Dr. Brookkins. Oh, tonight. Tonight's was canceled. Well, I guess we didn't we didn't schedule for that one. Um, and then finally, if you just look out in the audience, I do want to introduce to board members while not at the mic microphone. Uh, Mr. Brad Rob, 146 00:55:43.680 --> 00:55:59.040 who is our new principal at Cottage Grove Elementary School. So you will get to see his face as we go throughout the school year. >> Okay. Thank you. Next is 9.0 and that's future meeting dates. August 6th, 2026 147 00:55:59.040 --> 00:56:15.920 school board workshop meeting here at the district service center at 6:00 p.m. The next meeting will be August 20th, 2026. And that is our school board business meeting that will be held here at the district service center at 6 pm. Next is 10.0. And with that we are 148 00:56:15.920 --> 00:58:20.440 adjourned. >> August [music] Happy [music] birthday. Heat. Heat. Heat. Heat. [music] >> [music] >> I'm down. 149 00:58:36.880 --> 00:58:46.359 Heat. Heat. Heat. Heat.