[1. CONVENE]
[00:00:11]
>> NEXT, WE'LL GO AHEAD AND HAVE THE LAND ACKNOWLEDGMENT.
>> WE, THE FERNDALE SCHOOL DISTRICT ACKNOWLEDGE WE ARE RESIDING ON THE TRADITIONAL ANCESTRAL AND UNCEDED TERRITORY OF THE LUMMI PEOPLE.
THE LUMMI PEOPLE ARE THE ORIGINAL INHABITANTS OF WASHINGTON'S NORTHERNMOST COAST AND SOUTHERN BRITISH COLUMBIA.
THEY LIVED IN VILLAGES THROUGHOUT THIS TERRITORY AND CONTINUE TO HAVE AN ONGOING RELATIONSHIP WITH THESE AREAS.
SINCE TIME IMMEMORIAL THEY HAVE CELEBRATED LIFE ON THEIR WATERWAYS AND ON THE TRADITIONAL ANCESTRAL AND UNSEATED LANDS OF THEIR PEOPLE TO PERPETUATE THEIR WAY OF LIFE.
WE HONOR THEIR ANCESTORS AS WE ACKNOWLEDGE THE PAST, PRESENT, AND FUTURE LUMMI PEOPLE AS THE ORIGINAL INHABITANTS OF THIS LAND.
>> THANK YOU. ARE WE WORKING OR? IT DOESN'T SOUND LIKE WE ARE. NO.
>> WELL, LET'S REALLY WORK TO TALK VERY LOUD TONIGHT.
>> WE'LL USE OUR PROJECTOR VOICES.
[LAUGHTER] WELL, TONIGHT WE ARE HAVING
[2. MATTERS FOR BOARD DISCUSSION]
A STUDY SESSION LOOKING AT SCHOOL FINANCING AND BUDGET AND FOR THAT WE'RE THANKFUL TO HAVE HOLLY AND MARK WITH US, BOTH EXPERTS IN THE SUBJECT.WITH THAT, I WILL TURN IT OVER TO CHRISTIE, MARK, AND HOLLY.
>> I JUST WANT TO OPEN UP ONE OF THE LEARNINGS I HAD WHEN I FIRST ARRIVED HERE, WAS TRANSPARENCY.
PEOPLE ARE ASKING FOR US TO BE TRANSPARENT.
BUDGET IS ONE OF THOSE THAT, MAYBE IN THE PAST, AND CURRENTLY, PEOPLE QUESTION THE TRANSPARENCY.
ALSO, SCHOOL BUDGETS ARE SUPER COMPLEX.
I'VE BEEN IN EDUCATION FOR OVER 30 YEARS AND I STILL AM CONSTANTLY LEARNING AND GROWING MY UNDERSTANDING.
I REALLY DO APPRECIATE HOLLY AND MARK, THEY ARE VERY WELL VERSED IN SCHOOL FINANCE.
THEY BRING A LOT OF EXPERTISE AND SO WE HAVE ASKED THEM.
TONIGHT IS PART OF THIS STUDY SESSION.
WHILE IT'S FOR THE BOARD, IT'S ALSO FOR OUR COMMUNITY TO BEGIN DISTRICT FINANCE ONE ON ONE.
TONIGHT, HOLLY, IN PARTICULAR, IS GOING TO BE SHARING WITH US AND DOING A HIGH LEVEL OVERVIEW.
JUST KNOW THIS ISN'T A ONE AND DONE.
PART OF LEARNING MEANS CONSTANTLY GROWING AND REFLECTING.
WE'RE BUILDING INTERNAL SYSTEMS. HOLLY MEETS ON A REGULAR BASIS WITH ALL ADMINISTRATORS AND ANYONE ELSE WHO OVERSEES A BUDGET.
THIS IS WORK THAT SHE'S DOING ONE ON ONE AS WELL.
I DO KNOW THAT SOME OF OUR DIRECTORS HAVE BEEN MEETING WITH HER TO LEARN THEIR OWN PRACTICE.
I WILL KICK IT OFF TO BOTH OF YOU.
>> THANK YOU FOR THAT. THIS PRESENTATION HAS A LOT OF INFORMATION ON, CHRISTIE SAID IT'S VERY HIGH LEVEL.
I'VE GOT A LOT OF SLIDES THAT COVERS A LOT OF TOPICS. CAN YOU HEAR ME OKAY?
>> I'M GOING TO ASK MARK TO JUMP IN OCCASIONALLY TO ADD SOME COLOR COMMENTARY.
THINK OF ME AS A PLAY BY PLAY COMMENTATOR.
AS WE GO THROUGH THIS, IF YOU HAVE QUESTIONS, PLEASE SPEAK UP AND ASK.
IT'S JUST A DISCUSSION, NOT JUST A ONE SIDED PRESENTATION.
>> CAN I INTERRUPT JUST REAL FAST? JUST FOR PEOPLE WHO ARE WONDERING IF WE HAVE A FORUM TONIGHT, NANCY IS ZOOMING IN.
SHE IS LISTENING FROM A FARM, WE HAVE PEGGY AND KEVIN IN PERSON.
>> THE TOPICS WE'RE GOING TO COVER TONIGHT, I'M GOING TO START BY JUST TALKING ABOUT OUR FINANCE TEAM OF THE DISTRICT.
I'M GOING TO GO THROUGH FINANCIAL REPORTING, ALL THE REPORTS THAT THE FINANCE DEPARTMENT TAKES CARE OF ANNUALLY AS WELL AS THE MONTHLY REPORTING THAT WE DO TO THE BOARD, I'M GOING TO TALK ABOUT THE FINANCIAL STRUCTURE OF SCHOOL DISTRICTS, I'M GOING TO TALK ABOUT THE F-195, WHICH IS OUR BUDGET.
THAT'S THE OFFICIAL NAME OF THE BUDGET, THAT PROCESS.
THEN I'M GOING TO GIVE A BUDGET UPDATE OF WHERE WE ARE IN THAT PROCESS AS OF RIGHT NOW.
MARK OVERSEES FINANCE AS PART OF THE BUSINESS SERVICES.
[00:05:01]
IT'S UNDER HIS UMBRELLA ALONG WITH FIVE OTHER DEPARTMENTS.I HAVE AN ADMINISTRATIVE ASSISTANT WHO I SPLIT.
SHE DOES DOUBLE DUTY WITH THE BUSINESS OFFICE AS WELL AS THE FOOD AND SERVICE DEPARTMENT.
SHE'S A 0.375 FTE, FULL TIME EQUIVALENT.
WE HAVE KELLY WARNER, WHO'S AN ACCOUNTING SPECIALIST WHO OVERSEES ALL OF OUR ACCOUNTS PAYABLE.
SHE DOES OUR GRANT CLAIMS AND THE BOOKKEEPING FOR GRANTS.
THEN WE HAVE THREE EMPLOYEES THAT WORK IN PAYROLL BUT TWO OF THEM ARE PART TIME.
WE HAVE A FULL TIME, TAMMY LYNN, AND THEN WENDY LYNCH WORKS SIX HOURS A DAY AND LIZ, I WILL BUTCHER HER LAST NAME, WE'LL JUST CALL HER LIZ P, SHE WORKS THREE HOURS A DAY.
WE LIKE TO THINK OF OURSELVES AS REALLY LEAN AND MEAN.
THERE'S A LOT OF WORK THAT IS REQUIRED OF US AND WE GET A LOT DONE AND SO GREAT TEAM.
I CAN'T SAY ENOUGH ABOUT OUR TEAM.
THE FINANCE TEAM IS ACCOUNTABLE FOR ANY FUNDS FLOWING INTO AND OUT OF THE DISTRICT.
ANYTHING COMING IN OR OUT, IT MIGHT BE A TRANSACTION THAT HAPPENS IN A BUILDING, BUT EVENTUALLY IT MAKES ITS WAY UP TO THE FINANCE DEPARTMENT AND WE'RE THE ONES WHO ENTER IT INTO OUR GENERAL LEDGER.
WE'RE CHARGED WITH ENSURING THAT ALL TRANSACTIONS ARE LEGAL AND ALLOWABLE.
RCW, DISTRICT POLICY AND GRANT AGREEMENTS.
WE HAVE A VERY STRICT INTERNAL CONTROL STRUCTURE TO SAFEGUARD PUBLIC FUNDS.
INTERNAL CONTROLS, WE'LL PROBABLY HEAR THAT A LOT THROUGHOUT THIS EVENING.
THEY ARE REALLY THE CHECKS AND BALANCES OF HOW WE MAKE SURE THAT THINGS ARE DONE PROPERLY.
AT LEAST TWO PEOPLE SIGN OFF ON EVERY TRANSACTION THAT HAPPENS AND WE HAVE LEVELS.
AS THE DOLLAR AMOUNTS OF TRANSACTIONS GET HIGHER, THERE ARE MORE PEOPLE THAT SIGN OFF ON THEM SO NOBODY DOES ANYTHING ALONE.
A LOT OF PEOPLE COMPLAIN ABOUT HOW GOVERNMENT MOVES SLOWLY BUT WE MOVE SLOWLY FOR A REASON BECAUSE WE'RE SAFEGUARDING OF MONEY.
WE OPERATE BY THE TRUST BUT VERIFY PRINCIPLE WHERE WE TRUST DEPARTMENTS THAT THEY'RE DOING EVERYTHING BUT WE ALWAYS CHECK THE RECEIPTS, WE READ THINGS, WE JUST MAKE SURE EVERYTHING IS CORRECT.
AS CHRISTIE SAID, TRANSPARENCY IS VERY BIG.
WE'RE AN OPEN BOOK, WE ARE HAPPY TO SHARE ANYTHING AT ANY TIME, ANYTHING THAT'S IN OUR BOOKS.
I'M GOING TO JUMP IN NOW TO OUR ANNUAL FINANCIAL REPORTING.
THE DISTRICT HAS A LOT OF DIFFERENT REPORTING THAT WE DO TO OSPI BUT THE FINANCE DEPARTMENT SPECIFICALLY JUST HAS THREE PRETTY MAJOR ONES.
THE F-185 IS OUR BUDGET AND THAT'S THE STATE REQUIRED FORMAT.
I DON'T KNOW, 130 PAGES LONG, IT'S VERY LONG, VERY COMPLICATED, NOT VERY USER FRIENDLY TO LOOK AT.
THE F-186 IS THE FINANCIAL STATEMENT THAT'S DUE AT THE END OF THE YEAR THAT SUMMARIZES ALL OF OUR FINANCIALS FOR THE YEAR.
AGAIN, THAT'S STATE REQUIRED FORMAT, IT'S A LITTLE BIT SHORTER, MAYBE 70 OR 80 PAGES.
THEN EACH YEAR WE HAVE AN ANNUAL AUDIT BY THE WASHINGTON STATE AUDITOR'S OFFICE.
THEY COME THROUGH THE FINANCIAL STATEMENTS AND JUST MAKE SURE WE'RE DOING EVERYTHING AND COMPLIANT.
>> CAN I INTERRUPT? JUST THAT NANCY CANNOT HEAR SO I'M GOING TO CALL IN ON MY PHONE AND THEN JUST PUT IT IN FRONT OF YOU.
>> SO SORRY. PLEASE KEEP TALKING NOW.
>> OKAY. WILL THAT WORK? [BACKGROUND]
>> DOES THAT MEAN HOLLY WILL HAVE TO UNMUTE?
>> HI. IF YOU MUTE ON YOUR PHONE,
[00:10:02]
I'M GOING TO PUT THE MUTE ON YOURS.I'M GOING TO PUT THE PHONE DOWN IN FRONT OF HOLLY.
>> CAN YOU HEAR? ONE SECOND. THERE YOU GO.
>> OKAY. SO WE'RE TALKING ABOUT ANNUAL FINANCIAL REPORTING.
THE COMPLEXITY OF SCHOOL DISTRICT FINANCE IS WE ACCOUNT FOR THINGS IN MULTIPLE FISCAL YEARS.
THE SCHOOL DISTRICT, OUR FISCAL YEAR IS SEPTEMBER THROUGH AUGUST.
THE STATE FISCAL YEAR IS JUNE THROUGH JULY.
WHATCOM COUNTY AND THE FEDERAL GOVERNMENT BOTH OPERATE ON A CALENDAR YEAR, JANUARY THROUGH DECEMBER.
WE HAVE GRANTS AND WE HAVE DIFFERENT THINGS COMING IN, DIFFERENT REVENUES COMING IN FROM DIFFERENT SOURCES, AND WE HAVE TO FIGURE OUT WHICH YEAR THOSE TRANSACTIONS ARE COMING FROM AS FAR AS OTHER ENTITIES GO.
JUST AN EXAMPLE, RIGHT NOW WE'RE WORKING ON THE '24-'25 BUDGET.
WE'RE ALSO PROCESSING TRANSACTIONS FOR THE CURRENT SCHOOL YEAR, WHICH IS '23-'24.
AND IN A COUPLE OF WEEKS, OUR STATE AUDITOR'S OFFICE IS COMING TO DO A TWO YEAR AUDIT.
AND THEY'LL BE LOOKING AT '21-'22 AND '22-'23.
SO IF I LOOK CONFUSED, THAT'S ABOUT THAT [LAUGHTER].
OUR F-195 IS THE ANNUAL BUDGET PER STATUTE THAT HAS TO BE SUBSTANTIALLY COMPLETE BY JULY 10.
AND WE SUBMITTED THAT TO OSBI AND WE HAVE TO PROVIDE A COPY OF THE BUDGET WHICH WE POST ON THE WEBSITE ON JULY 10 EVERY YEAR FOR PUBLIC VIEW. YES.
>> WHAT DO THEY MEAN BY SUBSTANTIALLY?
>> A MINOR CHANGES BY THE TWEETS, IT'S ACTUALLY COMPLETELY BUILT OUT.
ALL THE FUNDS ARE REPRESENTED, THE BULK OF KNOWN EXPENDITURE IS THERE.
MAY BE MOVING THINGS AROUND HERE AND THERE OR MAKING MINOR CHANGES TO IT.
BUT IT WOULD BE FAIRLY REPRESENTATIVE OF WHAT THE FINISHED PRODUCT WOULD LOOK LIKE.
>> AND ON JULY 10TH IT GOES TO THE ESD AS WELL.
SO THEY ARE REVIEWING IT AND THEY MIGHT SEE SOMETHING THAT NEEDS TO BE CHANGED.
IT'S BASED ON HISTORICAL DATA, ASSUMPTIONS AND WHAT WE KNOW AT THE TIME WE PREPARE THE BUDGET.
WE DON'T KNOW THE UNKNOWNS THAT WE CAN'T REALLY BE PREPARED FOR THAT WE HAVE TO MAKE OUR BEST GUESS.
AFTER THE BUDGET HAS BEEN APPROVED AND ADOPTED, IT SERVES AS A GUIDELINE FOR DECISION MAKING FOR THAT SCHOOL YEAR.
WE INCLUDE CONTINGENCY AND CAPACITY INTO THE BUDGET FOR EVENTS THAT MAY HAPPEN THAT WE'RE NOT AWARE OF.
A GOOD EXAMPLE OF THAT IS MAYBE A GRANT FUNDING SOURCE THAT WE'RE NOT EXPECTING BECOMES AVAILABLE SO THEN WE HAVE CAPACITY BUILT INTO THE BUDGET SO WE CAN BUDGET THE REVENUES AND EXPENDITURES FOR THOSE THINGS.
THE LIFE CYCLE OF A BUDGET IS ABOUT 20 MONTHS.
BUT FOR THE '24-'25 BUDGET, WE STARTED TALKING ABOUT IT IN SEPTEMBER.
SO IT'S ACTUALLY GOING TO HAVE A LIFE CYCLE OF ABOUT 24 MONTHS.
NOW WE'RE GOING TO TALK ABOUT THE ANNUAL FINANCIAL STATEMENT THAT PRESENTS THE ACTUAL FINANCIAL ACTIVITY FOR THE FISCAL YEAR.
OVER THE PAST FEW YEARS, WE'VE HAD TO IMPLEMENT SOME FAIRLY COMPLICATED GASB, THAT'S THE GOVERNMENTAL ACCOUNTING STANDARD BOARD.
THEY COME OUT WITH THINGS THAT WE HAVE TO IMPLEMENT TO ACCOUNT FOR DIFFERENTLY.
TWO YEARS AGO, WE HAD TO REALLY CHANGE THE WAY WE ACCOUNTED FOR LEASES AND SHOW THEM AS LONG TERM LIABILITIES OR LONG TERM ASSETS.
WHICH IS DIFFERENT FOR SCHOOL DISTRICT ACCOUNTING BECAUSE WE DON'T PRESENT LONG TERM ASSETS AND LIABILITIES THE WAY SAY A REGULAR PRIVATE SECTOR BUSINESS WOULD.
THAT WAS A VERY COMPLICATED AND A LONG PROCESS TO IMPLEMENT.
THIS PAST YEAR A SIMILAR ONE WAS WE HAD TO ACCOUNT FOR SUBSCRIPTION BASED SOFTWARE DIFFERENTLY.
IT'S THE SAME THING ACCOUNTING FOR LONG TERM ASSETS AND LIABILITIES.
THE F-196 HAS AN OCTOBER 20TH DUE DATE.
[00:15:05]
THERE ARE MANY REPORTS THAT GO ALONG WITH IT, SUPPLEMENTAL REPORTS AND SPREADSHEETS THAT WE HAVE TO PREPARE IN CONJUNCTION WITH THE F-196.THE F-196 IS REVIEWED BY THE ESD AND OSPI AND THEN EVERY YEAR LIKE I SAID EARLIER, THE SAO, THE WASHINGTON STATE AUDITOR'S OFFICE COMES AND DOES AN AUDIT OF OUR F-196 AND THE SUPPLEMENTAL REPORTS.
SPEAKING OF THE ANNUAL AUDIT, THEY'RE COMING UP IN A COUPLE OF WEEKS.
THE AUDIT INCLUDES THREE DIFFERENT AREAS OF FOCUS.
THEY ALWAYS AUDIT OUR FINANCIAL STATEMENTS AND OUR FEDERAL GRANTS, AND THEN EVERY OTHER YEAR THEY DO AN ACCOUNTABILITY AUDIT.
THE ACCOUNTABILITY PORTION COULD REALLY INCLUDE ANYTHING THAT THEY WANT TO LOOK AT.
SOMETIMES THEY LOOK AT ASB, OR THEY MIGHT LOOK AT CREDIT CARD TRANSACTIONS OR TRAVEL, THEY JUST PICK DIFFERENT AREAS BASED ON RISK THAT THEY WANT TO AUDIT.
SAO DOES A RISK ASSESSMENT WITH THE SUPERINTENDENT AND ME, AND THEN AT LEAST ONE BOARD MEMBER.
KEVIN, I THINK YOU'VE DONE IT IN THE PAST.
WE'LL BE GETTING A NOTIFICATION FROM THEM SHORTLY.
>> THANK YOU FOR INVITING ME. [LAUGHTER]
>> AND THEN BOARD MEMBERS ARE ALWAYS INVITED TO AN EXIT CONFERENCE AT THE CONCLUSION OF THE AUDIT TO REVIEW EVERYTHING THAT THEY FOUND.
FOR AN ENTRANCE, THEY SEND AN ENTRANCE DOCUMENT OUT TO TALK ABOUT WHAT THEY'RE GOING TO BE LOOKING AT, SO YOU CAN EXPECT TO SEE THAT.
USUALLY IT TAKES THEM ABOUT A WEEK TO A WEEK AND A HALF OF THE THREE WEEK AUDIT TO FIGURE OUT WHAT THEY'RE LOOKING AT.
SOMETIMES THE ENTRANCE, EVEN THOUGH YOU'D THINK IT WOULD BE AT THE BEGINNING OF THE AUDIT, IT ISN'T NECESSARILY AT THE BEGINNING OF THE AUDIT.
OKAY. NOW I'M GOING TO TALK ABOUT THE MONTHLY FINANCIAL REPORTING.
EVERY MONTH I PREPARE A YEAR TO DATE SUMMARY OF OUR FINANCIALS AND THEY'RE POSTED ON BOARD DOCS IN THE CONSENT AGENDA.
AND, YEAH, IF ANYBODY WANTED TO REVIEW THOSE OR TO GO THROUGH THOSE, I'D BE MORE THAN HAPPY TO SHOW THEM IF YOU LIKE.
>> OKAY. I HOPE THIS LOOKS FAMILIAR. IT'S NOT SHOWING.
MAYBE I'LL COME BACK TO THAT. I DON'T WANT TO MISS IT THOUGH.
I'LL PUT THIS AT THE END. I WANT TO MAKE SURE I GET THROUGH THIS FOR NOW.
THIS TALKS ABOUT THE MONTHLY FINANCIAL REPORTING TO THE BOARD, THE FINANCIAL STATEMENTS, THE BOARD OF DIRECTORS, YOU HAVE YOUR OWN BUDGET.
SO THAT'S ALWAYS PRESENTED IN THE CONSENT AGENDA, AND I SAID TIME ALLOW, I CAN GO THROUGH THE BOARD'S FINANCIAL REPORTS AT THE END OF THIS PRESENTATION.
NOW I WANT TO TALK A LITTLE BIT ABOUT THE FINANCIAL STRUCTURE. ANY QUESTIONS? I'LL JUST GET ROLLING. SCHOOL DISTRICT FINANCES ARE SORTED INTO FUND, IT'S A FUND BASIS ACCOUNTING STRUCTURE.
THE FIRST IS THE GENERAL FUND, THAT'S THE ONE THAT'S USED FOR ALL OF OUR OPERATING EXPENDITURES.
WE HAVE A CAPITAL PROJECTS FUND, WHICH IS WE USE THAT FOR MAJOR CONSTRUCTION PROJECTS.
IT'S VERY ACTIVE RIGHT NOW WITH THE HIGH SCHOOL BUILDING BEING BUILT.
WE HAVE A DEBT SERVICE FUND, WHICH IS USED TO PAY FOR PRINCIPAL AND INTEREST ON BONDS, AND OTHER VOTER APPROVED DEBT.
WE HAVE THE ASB FUND, WHICH IS USED ONLY FOR ACTIVITIES RELATED TO THE ASSOCIATED STUDENT BODY, AND WE HAVE A TRANSPORTATION VEHICLE FUND, USED ONLY FOR THE PURCHASE AND MAJOR REPAIR OF YELLOW SCHOOL BUSES,
[00:20:02]
AND YES, THE YELLOW IS IMPORTANT.REVENUES AND INFLOW OF RESOURCES.
WE RECEIVE REVENUE FROM LOCAL TAXES, THAT'S THE LEVY FROM LOCAL NON TAX REVENUE.
THOSE ARE FEES OR OTHER THINGS THAT WE COLLECT, RENT, OTHER THINGS LOCALLY THAT WE COLLECT.
STATE GENERAL REVENUE WHICH IS APPORTIONMENT, STATE SPECIAL PURPOSE REVENUE, WHICH WOULD BE GRANTS, AND THEN WE ALSO RECEIVE FEDERAL GRANT REVENUE.
NEARLY ALL OF OUR FUNDING STREAMS ARE FOR REALLY SPECIFIC PURPOSES, AND WE DON'T JUST GET TO SPEND MONEY AT THE DISTRICT'S DISCRETION.
EDUCATION IS NOT FULLY FUNDED BY THE STATE.
THE LEGISLATURE IS CONSTANTLY ADDING NEW THINGS, LIKE THE GAS PIECE THAT I TALKED ABOUT IN THE PREVIOUS SLIDE, THINGS THAT ARE UNFUNDED MANDATES THAT WE HAVE TO DO THAT TAKE A LOT OF TIME, A LOT OF RESOURCES, A LOT OF STAFF TIME TO IMPLEMENT.
EXPENDITURES. OUR STRUCTURE OF HOW WE ACCOUNT FOR EXPENDITURES IS A REQUIRED STRUCTURE SET BY OSPI, AND IT'S ORGANIZED BY PROGRAM ACTIVITY AND OBJECT, WHICH IS REALLY GETTING INTO BRIEFS OF HOW OUR ACCOUNT CODE STRUCTURE IS, ABSOLUTELY.
THE SYSTEM PROVIDES CONSISTENCY ACROSS ALL SCHOOL DISTRICTS IN THE STATE, BUT THERE IS SOME ROOM FOR INTERPRETATION DEPENDING ON HOW EACH DISTRICT INTERPRETS WHAT THE ACCOUNTING MANUAL SAYS.
I THINK IN GENERAL, WE CAN COMPARE OURSELVES TO OTHER DISTRICTS BASED ON THE ACCOUNT CODES, BUT THERE COULD BE SOME WIGGLE ROOM JUST BASED ON HOW OTHER DISTRICTS CHOOSE TO CODE THINGS.
ONE OF THE CODES THAT WE HAVE IS CALLED THE NCES OBJECT CODE.
THAT'S THE NATIONAL CENTER FOR EDUCATION STATISTICS, AND THAT'S TO PROVIDE CONSISTENCY ACROSS EDUCATION NATIONWIDE.
THEN OUR FUND BALANCE IS THE FINAL COMPONENT OF OUR FINANCIAL STRUCTURE.
THE STRUCTURE IS SET BY OSPI, AND IT DESIGNATES FUND BALANCE INTO THOSE FIVE CATEGORIES, RESTRICTED, NON-SPENDABLE, COMMITTED, ASSIGNED, AND UNASSIGNED.
THERE'S STRICT GUIDELINES OF WHAT IS ALLOCATED TO EACH ONE OF THOSE TYPES OF FUND BALANCE.
WE ALSO USE WHAT WE CALL THE BRC, BUDGET RESPONSIBILITY CENTER IN OUR ACCOUNT CODE STRUCTURE, IT'S ASSIGNED BY THE DISTRICT, OSPI DOESN'T HAVE ANY SAY IN HOW WE ASSIGN THOSE.
IT ALLOWS US TO ORGANIZE THE LARGE GENERAL FUND BUCKET INTO MANY SMALL BUCKETS, JUST EASIER TO MANAGE AND EASIER TO KEEP TRACK OF.
BRCS ARE ASSIGNED TO DEPARTMENTS, BUILDINGS, AND GRANTS, AND EVERY BRC HAS AN ASSIGNED BRC AUTHORITY, WHICH IS AN ADMINISTRATOR WHO IS RESPONSIBLE FOR BUDGET, AND SPENDING AND THE MANAGEMENT OF THAT BRC. YES.
COULD YOU GIVE AN EXAMPLE OF THIS, WOULD BRC, BE A BUILDING OR? EVERY BUILDING HAS TWO BRCS.
THEY HAVE ONE FOR STAFFING, AND THEY HAVE ONE FOR THEIR DISCRETIONARY BUILDING BUDGET.
THE BOARD HAS ITS OWN BUDGET OR THEIR OWN BRC, EACH GRANT HAS ITS OWN BRC.
I THINK WE HAVE 80 OR 90 INDEPENDENT BRCS.
THE PLANNING FOR THE NEXT SCHOOL YEAR'S BUDGET BEGINS IN THE FALL.
THIS YEAR WE STARTED TALKING ABOUT THE 24-25 BUDGET IN SEPTEMBER OF 2023.
THERE'S A LOT OF PLANNING AND PREPARATION GOES INTO MAKING A BUDGET.
WE HAVE SEVERAL EXTERNAL DEADLINES THAT MAKE EARLY PLANNING AND DISCUSSION ESSENTIAL.
IT'S ALL ALLOCATED BY THE NUMBERS, THE DATA DRIVES, THE NUMBER OF STAFF.
OUR ESTIMATED REVENUES DRIVE EXPENDITURES OR LIMIT EXPENDITURES.
OUR GOAL IS TO HAVE ALL THE EXPENDITURES TIED TO OUR STRATEGIC PLAN,
[00:25:03]
SO WE CAN TRACE LIKE WE'RE DOING THIS PROGRAM AND THIS IS HOW IT TIES.THE STAFFING IS OUR BIGGEST COST.
WE'RE IN THE BUSINESS OF PEOPLE.
BUDGETS ARE PREPARED BY THE BRCS, WHAT WE'VE TALKED ABOUT JUST NOW.
THE BUDGETING IS REALLY A COLLABORATIVE PROCESS.
THE FINANCE DEPARTMENT PULLS ALL OF THE INFORMATION TOGETHER AND PREPARES THE F-195, BUT ALL DISTRICT ADMINISTRATORS HAVE A PIECE OF THAT THAT THEY'RE RESPONSIBLE FOR.
LAST YEAR, WE DEVELOPED A PRETTY EXTENSIVE BUDGET TIMELINE THAT HAS ALL THE MILESTONES THAT HAPPEN THROUGHOUT THE TIME WE START PREPARING THE BUDGET.
IT'S A COMPREHENSIVE LIST OF ALL-DAY DATES AND THE TASKS THAT ARE INVOLVED WITH PREPARING THE BUDGET.
I HAVE EXAMPLES OF THAT IN THE FOLLOWING TWO SLIDES, BUT IT'S 80 LINES ON IT.
EXCEL SPREADSHEET, THAT'S TWO SLIDES, AND SO IT'S PRETTY HARD TO READ SO I CALLED OUT SOME IMPORTANT BUDGET DATES THAT ARE ON THAT TIMELINE.
FEBRUARY 13TH, WE HAVE OUR LEVY ELECTION.
MARCH 7TH IS A LEGISLATIVE SESSION SCHEDULED END DATE AND IT'S A SHORT SESSION THIS YEAR.
APRIL 15TH IS WHEN WE HAVE TO NOTIFY FEA OF ANY EDUCATIONAL PROGRAM ELIMINATION, APRIL 30TH, THIRD BOARD MEETING OR EARLIER, THE BOARD WOULD HAVE TO APPROVE A REDUCED EDUCATIONAL PROGRAM IF THAT IS NECESSARY.
MAY 1ST, THE MODIFICATION OF EDUCATIONAL PROGRAM CHANGE IS DUE TO FEA.
THIS IS IN OUR COLLECTIVE BARGAINING AGREEMENT WITH THEM.
MAY 15TH WOULD BE THE REDUCTION IN FORCE NOTIFICATION IF THAT IS NECESSARY.
ANY QUESTIONS ABOUT ANY OF THOSE DATES OR WHAT THOSE THINGS MEAN?
>> WHEN YOU'RE BUILDING BUDGET, PARTICULARLY WITH THE LEVY COMING OUT DO YOU BUILD IT OPTIMISTICALLY THAT IT'S GOING TO PASS OR DO YOU BUILD IT AS IF IT DOESN'T? HOW IS THAT THE INTERNET TAKEOUT?
>> WELL, THE REASON THAT WE ARE RUNNING THE LEVY IN FEBRUARY IS IF IT DOESN'T PASS, WE CAN'T BUDGET THOSE REVENUES.
THEN WE WOULD HAVE TO RIFT AND MAKE ADJUSTMENTS AND EVEN IF IT PASSED LATER BUT YOU CAN RUN IT IN FEBRUARY, APRIL, AUGUST, OR NOVEMBER.
>> THE FIRST GO-ROUND WE WILL BUILD IT WITH ASSUMING THAT IT PASSES BECAUSE IT IS SUCH A MASSIVE CATASTROPHIC CHANGE TO NOT.
IT PUTS US WAY BEHIND TRYING TO BUILD IT BACK IN.
SINCE 1976, '79 WE'VE HAD A LEVY WITH THE ONE INTERRUPTION THAT THE RAIL IS THERE.
WE ARE ASSUMING AT THIS POINT THAT WE'RE GOING TO HAVE THAT IN PLACE, BUT BECAUSE IT'S IN FEBRUARY, WE STILL HAVE TIME TO MAKE ADJUSTMENTS.
IF FOR SOME REASON IT DID NOT PASS THEN WE WOULD HAVE TO GO IN AND MAKE THE REDUCTIONS AND BUILD THE BUDGET WITHOUT THAT REVENUE.
>> BUT I WOULD SAY THAT WE AS A TEAM ARE ALREADY TALKING ABOUT WHAT ARE THOSE THINGS THAT WE WOULD HAVE TO ELIMINATE.
FOR EXAMPLE, CURRENTLY PART OF OUR LEVY PAYS FOR SPECIAL EDUCATION.
WE HAVE TO PAY FOR SPECIAL EDUCATION SERVICES, SO THAT MEANS SOMETHING ELSE HAS TO GO IN ORDER TO BACKFILL FOR THOSE THINGS.
WE MEET EVERY WEEK AND TALK ABOUT THE BUDGET, AND WE TALK ABOUT WHAT IT'S FUNDED.
EVERYONE'S BEEN ASKED TO THINK ABOUT, FIRST OF ALL, WHAT DO WE NOT NEED NEXT YEAR REGARDLESS IF WE PASS OR NOT, BECAUSE WE ARE GOING TO HAVE A NEW STRATEGIC PLAN.
YOU SAW ONE OF HOLLY'S GOALS THAT SHE HIGHLIGHTED WAS THAT WHAT WE SPEND NEEDS TO BE ALIGNED WITH OUR VISION.
WE'RE HAVING THOSE INTERNAL CONVERSATIONS RIGHT NOW, BUT THEN ALSO BEING JUST REALLY TRANSPARENT AND HONEST INTERNALLY ABOUT SOME HARD DECISIONS WE WOULD HAVE TO MAKE.
>> I HAVE ANOTHER QUESTION. WHERE THIS MARCH 7TH LEGISLATIVE SESSION SCHEDULED, DO YOU KNOW WHAT THE APPROPRIATIONS ARE, AT WHAT POINT?
[00:30:01]
>> IT USUALLY TAKES THEM A COUPLE OF WEEKS TO BE ABLE TO PUBLISH THEM, TO LET US KNOW.
>> WE SHOULD HAVE A PRETTY GOOD IDEA AROUND THAT TIME.
THEY'RE NOT SUPPOSED TO MAKE BIG CHANGES IN THE SECOND YEAR.
THEY'RE SUPPOSED TO BE JUST MAKING MODIFICATIONS TO BASICALLY INTERACT OPERATE THE BUDGET.
BUT I THINK WE GOT A HALF A DOZEN REQUESTS TODAY TO PROVIDE SOME BACKGROUND FOR FINANCIAL NOTES FOR PROPOSED BILLS THAT COULD BE PROBLEMATIC.
OVER THE LAST COUPLE OF YEARS THE SHORTER SECTION HAS HAD BIGGER CHANGES THAN WHAT IT'S SUPPOSED TO, SO WE'RE HOPING WE GET BACK A LITTLE MORE THAN NORMAL.
THERE AREN'T BIG HUGE CHANGES, BUT WE SHOULD HAVE A PRETTY GOOD IDEA ONCE THEY ADJOURN.
>> ALSO, WHAT HAPPENS IF YOU HAVE TO ELIMINATE A PROGRAM IN THE MIDDLE OF THE YEAR DUE TO UNFORESEEN CIRCUMSTANCES? FOR EXAMPLE, THE DRIVERS [INAUDIBLE] HOW DOES THAT AFFECT YOUR BUDGET?
>> I CAN'T THINK OF ANYTHING BESIDES THAT THAT WE'VE DONE MID-YEAR.
>> WELL, THEN IF WE ALREADY HAVE A STAFF CONTRACTED, THEN IT WOULD BE FINDING SOMETHING ELSE IF THEY'RE STILL IN THAT ROLE FOR THEM TO DO THE REMAINDER OF THAT TIME SO IT'D BE REPURPOSING THE STAFF.
IN THAT PARTICULAR SITUATION, WE HAD A RESIGNATION AND SO THAT WAS A LOSS, WE JUST DIDN'T MAC FILL IT.
>> DO YOU THEN TAKE WHAT WE HAD SET ASIDE TO COVER THAT PROGRAM AND MOVE IT SOMEWHERE ELSE OR HOW DOES THAT WORK?
>> YEAH SO THE FEES PAID FOR THE PROGRAM.
WE REFUNDED THE FEES FOR THE KIDS THAT WORKED THROUGH THE PROGRAM AND THEY DIDN'T COLLECT ANYMORE THE TEACHER RESIGNED SO BASICALLY THE COST IT JUST [INAUDIBLE] ITSELF OUT.
>> I COULD GIVE YOU ANOTHER EXAMPLE IF THAT WOULD BE OKAY.
WE HAD A SITUATION WHERE WE STARTED THE SCHOOL YEAR.
IT WAS RIGHT AFTER COVID AND WE HAD STAFFED OUR BUILDINGS ACCORDING TO ANTICIPATED PARENT FEEDBACK AND WE DIDN'T HAVE ENOUGH STUDENTS FOR SOME OF OUR CLASSROOMS AND SO WE RECOGNIZED THAT THERE WAS A GREATER NEED FOR SOME ONLINE PROGRAMS BECAUSE A LOT OF OUR STUDENTS WERE LEAVING TO LOOK AT SOME OF THEIR ONLINE PROGRAMS. THAT'S WHEN WE ONCE AGAIN STARTED OUR PRIDE FAMILY PARTNERSHIP AND TWO OF THOSE TEACHERS THEN BECAME PARDEL FAMILY PARTNERSHIP TEACHERS.
>> THE APRIL 15TH DATE, THIS IS REFERRING TO IT BEING PROGRAM ELIMINATION FOR THE NEXT SCHOOL YEAR FINAL BUDGET.
THIS IS PAGE 1 OF OUR, THE FIRST 40 ITEMS ON THE THING.
THE STUFF IN GRADE AT THE TOP IS OUR ITEMS THAT WE'VE ALREADY COMPLETED.
I'VE BOLDED SOME OF THE THINGS THAT WERE ON THE LAST PAGE AND SOME OF THE SIGNIFICANT MILESTONES, BUT IT'S REALLY HARD TO BRING IT CLOSSER.
THIS IS PAGE 2 AND IT GOES ALL THE WAY THROUGH FEBRUARY OF NEXT YEAR, WHERE WE HAVE MID-YEAR CHECK-INS FOR EACH DEPARTMENT AND BUILDING.
THIS GIVES A VISUAL OF OUR CHECKLIST.
SOME SPECIAL CIRCUMSTANCES THAT WOULD HAVE AN EFFECT ON THE BUDGET.
THE LEVY LIKE WE TALKED ABOUT, IT HAS A PRETTY SIGNIFICANT EFFECT IF IT WASN'T A PATH.
COLLECTIVE BARGAINING AGREEMENTS ARE UP FOR RENEWAL AND A LOT OF TIMES THESE GO RIGHT UP BEFORE SCHOOL STARTS, BEFORE THEY'RE SETTLED SO WE JUST HAVE TO CONSIDER THAT, MAKE SURE WE HAVE ENOUGH CONTINGENCY BUILT INTO OUR BUDGET FOR ANY CHANGES THAT MIGHT BE COMING FOR COLLECTIVE BARGAINING AGREEMENTS.
THERE ARE SUNSETTING ARE FULLY EXPENDED.
EXAMPLE OF THAT IS OUR ESSER FUNDS ARE EXPIRING AFTER THIS YEAR.
THOSE ARE THE ELEMENTARY AND SECONDARY SCHOOL EMERGENCY RELIEF FUNDS THAT WE RECEIVED DURING COVID.
WE HAVE TO CONSIDER WHERE WE ARE WITH THAT AND THEN ANY CHANGES MADE DURING THE LEGISLATIVE SESSION THAT COULD IMPACT SCHOOL DISTRICTS.
[00:35:09]
MOVING ON TO WHERE WE ARE NOW IN OUR '24/'25 BUDGET. FUND BALANCE.WE HAVE A BOARD POLICY THAT 4% OF OUR BUDGETED EXPENDITURES HAVE TO BE KEPT IN RESERVES AS UNASSIGNED FUND BALANCE.
OUR OPERATIONAL EXPENDITURE 6 ALSO STATES THAT THE GOAL IS TO HAVE 5% SET ASIDE AS OUR UNSPENDABLE.
THIS SHOWS WHERE OUR FUND BALANCE HAS BEEN FOR THE LAST SIX YEARS.
WE ARE ABOUT 18% FOR 1819 AND 1920.
IT WENT UP TO 24% DURING COVID AND THEN WE'VE BUDGETED TO SPEND IT DOWN FOR THE LAST THREE YEARS.
WE'VE REDUCED IT BY 6% EACH YEAR.
WE ARE PROJECTED TO END AT ABOUT 6% AT THE END OF THE '23/'24 SCHOOL YEAR.
WHERE WE ARE NOW. THAT THICK LIST, THE GREAT THINGS AT THE TOP THAT I SAID THAT WE'VE ALREADY COMPLETED, SO OUR ENROLLMENT FORECAST IS COMPLETE, THE CERTIFICATED STAFFING MODEL IS COMPLETE, HR IS CURRENTLY IN THE PROCESS OF ROLLING OUR '23-'24 BUDGET FORWARD TO SERVE AS A STARTING POINT FOR '24-'25, WE'VE BEGUN TO HAVE BUDGET DISCUSSIONS AT THE WEEKLY EXECUTIVE TEAM MEETINGS, AND WE'RE IN THE PROCESS OF UPDATING THE BASIC STAFFING TEMPLATES THAT WE WILL USE TO HAVE MEETINGS WITH DIRECTORS AND PRINCIPALS.
I HAVE SOME EXAMPLES OF THAT WORK AND I'M GOING TO TURN IT OVER TO MARK TO TALK ABOUT ENROLLMENT FORECASTS. THERE IT IS.
>> SPEAKING OF SMALL HARD SPREADSHEETS, [LAUGHTER] LIKE HOLLY SAID, EVERYTHING STARTS WITH THE ENROLLMENT FORECASTS.
THE ENROLLMENT THAT WE REPORT TO THE STATE THAT WE BUILD THE BUDGET ON DRIVES THE NUMBER OF STAFF FTE THAT THE STATE FUNDS US FOR.
OUR BIG FIRST TASK IS TO FIGURE OUT WHAT OUR ENROLLMENT WILL BE FOR NEXT YEAR.
IN ORDER TO DO THAT, WE'VE GOT THIS MODEL THAT HAS, OVER THE YEARS, BEEN PRETTY ACCURATE, AND BASICALLY, TAKES A FIVE-YEAR, YOU CAN SEE THE LEFT-HAND SIDE THERE, WE'VE GOT A HISTORICAL FIVE-YEAR ANNUAL AVERAGE OF FTE GRADE LEVEL THAT GIVES US THE ANNUAL AVERAGE TOTAL ENROLLMENT FOR THAT YEAR.
FOR THE CURRENT YEAR, WE HAVE TO ACTUALLY PROJECT WHAT THE ANNUAL AVERAGE WILL BE AT THE END OF THE YEAR.
BECAUSE WE'RE MID-YEAR RIGHT NOW, WE DON'T KNOW WHAT THE ANNUAL AVERAGE WILL BE AT THE END, SO WE HAVE TO BASED ON HISTORICAL ATTRITION, FIGURE OUT, OKAY, WHERE ARE WE GOING TO BE AT THE END TO FORECAST THIS YEAR? THEN WE CAN USE THAT FORECAST INTO NEXT YEAR AS WELL.
THE BLUE TO THE RIGHT AND THE YELLOW ONE ARE THE DIFFERENT MODELS THAT RUN BASED ON HISTORICAL ENROLLMENT.
THEY FORECAST USING DIFFERENT MATHEMATICAL MODELS WHAT THE ENROLLMENT MAY BE FOR NEXT YEAR.
WE HAVE, FOR THIS YEAR, TAKE THE FAR RIGHT YELLOW HIGHLIGHTED MODEL FOR THE ENROLLMENT WHICH REPRESENTS MODESTY CONSERVATIVE ENROLLMENT FIGURES.
IT'S AN INCREASE, A LITTLE SLIGHT DECREASE ACTUALLY, OVER WHERE WE'RE AT THIS YEAR.
WHICH THIS YEAR IS A SLIGHT DECREASE WHERE WE WERE LAST YEAR.
WE DECLINED A BIG AMOUNT OVER COVID THE ENROLLMENT DID, IT BOUNCED BACK A LITTLE BIT, AND THEN HAS DROPPED A LITTLE BIT.
THE TREND IS GOING TO CONTINUE TO PROJECT DOWN AS LONG AS YOU'RE TRENDING DOWN THE TREND LINE.
WE DIDN'T WANT TO BE TOO CONSERVATIVE AND UNDERSTAFF OR UNDERBUILT THE BUDGET AND HAVE TO MAKE REDUCTIONS BIGGER THAN WHAT WE THINK.
BUT YOU CAN'T MISS HIGH UNDER ENROLLMENT BECAUSE THE STATE ACTUALLY FUNDS NEXT YEAR BASED ON YOUR ENROLLMENT FORECAST.
IF THE FIRST HALF OF THE YEAR, SO SEPTEMBER THROUGH DECEMBER, THE STATE IS GOING TO GIVE US OUR APPORTIONMENT BASED ON OUR BUDGETED ENROLLMENT, THEN COME JANUARY, THEY ADJUST FOR THE ACTUAL.
[00:40:04]
THE DISTRICTS THAT OVER THE LAST SEVERAL YEARS, YOU'VE SEEN A BUNCH OF THEM, THEY HAVE BEEN IN FINANCIAL TROUBLE, THAT HAVE OVERESTIMATED ENROLLMENT COMPARED TO WHAT IT ACTUALLY CAME IN AT, THEIR REVENUE, THEY GOT PAID TOO MUCH FROM THE STATE.THEY GOT TOO MUCH REVENUE. JANUARY, THE STATE TAKES ALL THAT.
[INAUDIBLE] BUG CHUNKS SO IT DOESN'T MATTER WHETHER OR NOT THE MODEL WAS IN THE CORRECT [INAUDIBLE], IT'S JUST LIKE A GUIDELINE TO.
WE USE THE MODEL AS A RATIONALE FOR WHY WE THINK THAT'S A GOOD NUMBER TO BUILD THE BUDGET ON, AND I WAS SAYING THAT TOO.
WE BUILD OUR F195, OUR BUDGET BASED ON THAT ENROLLMENT.
IF WE'RE LOW AND THE ENROLLMENT COMES IN HIGHER THAN WHAT WE BUILT THE BUDGET ON COME JANUARY, THE STATE SAYS, OH, WE OWE YOU A LITTLE BIT OF MONEY.
THEY PAY IT OUT OVER THE REMAINING SIX MONTHS.
IF WE MISS IT THE OTHER WAY, THEN TAKE IT BACK ALL AT ONCE.
IN EXTREME CASES, I'VE ACTUALLY SEEN DISTRICTS THAT HAD NO APPORTIONMENT IN JANUARY AND PART OF FEBRUARY.
>> THIS IS THIS YEAR, RIGHT? SO THE RED MEANS THAT WE UNDERESTIMATED SLIGHTLY.
>> SO EVERYTHING LEFT OF THE GREEN IS HISTORICAL.
THE GREEN IS THIS YEAR'S PROJECTION.
>> YOU'RE TALKING ABOUT THE RED?
>> [OVERLAPPING] THE RED FUND.
>> ACTUALLY, THAT IS A GREAT QUESTION BECAUSE THE STATE CHANGED THE WAY THAT TRANSITIONAL KINDERGARTEN IS FUNDED, AND IT'S SEPARATED OUT AS ITS OWN REVENUE, IT'S NOT PART OF KINDERGARTEN, WHICH HISTORICALLY HAS JUST BEEN COUNTED WITH OUR KINDERGARTEN ENROLLMENT.
I DON'T HAVE A MATHEMATICAL WAY TO FORECAST IT BASED ON ONE YEAR.
SO I JUST BUILT IT IN WITH THE KINDERGARTEN, AND THEN WE SEPARATED OUT WHEN WE BUILT THE STAFFING SCHEDULE.
>> SO UNTIL WE HAVE FIVE YEARS OF HISTORY WITH TRANSITIONAL KINDERGARTEN SEPARATE, I HAVE TO JUST BUILD IT INTO THE MODEL. THAT MAKES SENSE?
>> YEAH, I UNDERSTAND. THANK YOU.
BECAUSE I FIGURED [INAUDIBLE].
>> ANY IDEA WHETHER THE PROJECTION WAS [OVERLAPPING].
>> THIS YEAR, WE'RE PRETTY GOOD RIGHT NOW.
IN THE MONTHLY FINANCIAL STATEMENTS WHICH WE TAKE A LOOK AT, YOU'LL ACTUALLY SEE THE ENROLLMENT EVALUATED AGAINST THE BUDGET, SO ACTUALLY, WE'RE UP FROM WHERE WE BUDGETED JUST A LITTLE BIT.
>> MARK, IF YOU CAN, WHEN WE GET ASKED A QUESTION, IF YOU WOULD JUST REPEAT IT.
>> THE OTHER THING, JUST BECAUSE IT PLAYS INTO, WE TALKED ABOUT THAT REDUCTION IN FORBES.
IF WE PREDICT HIGH IN OUR ENROLLMENT AND WE HAVE MORE TEACHERS THAN WHAT WE END UP NEEDING, WE HAVE COMMITTED TO THEM FOR A FULL YEAR.
VICE VERSA, IF WE UNDERESTIMATE AND WE DECIDE, OKAY, WE DON'T NEED THESE TEACHERS, THEN WE HAVE TO LET TEACHERS GO, AND IF ENROLLMENT, ALL OF A SUDDEN IS HERE, SO ALL THESE KIDS, THEN WE NEED TO HIRE TEACHERS ON THE SPOT.
THAT ENROLLMENT NUMBER, WHICH TO A CERTAIN EXTENT IS A CALCULATED ROLL OF THE DICE, REALLY DRIVES THE WHOLE PROCESS WHICH HAS ALWAYS BEEN A FRUSTRATOR.
THE COMMENT THAT KEVIN WAS MAKING, THAT THE ENROLLMENT NUMBER IS IMPORTANT EVEN THOUGH IT'S NOT AN EXACT SCIENCE AT THIS POINT.
BECAUSE IF WE OVERESTIMATE THE ENROLLMENT, WE'RE POTENTIALLY EMPLOYING MORE STAFF THAN WE'VE RECEIVED FUNDING FOR AND CAUSE A FINANCIAL PROBLEM FOR US.
IF WE DO IT THE OTHER WAY AROUND, THEN WE'VE HIRED TEACHERS THAT THE ENROLLMENT DOESN'T DRIVE AND WE CAN'T RIFT THEM IN HERE.
YEAH. IS THERE ANOTHER QUESTION?
>> I THINK ONE THING THAT I WOULD LIKE TO ADD ABOUT ENROLLMENT, WHAT'S INTERESTING ABOUT KINDERGARTEN, AND THIS IS SOMETHING I'VE DONE FOR YEARS, IS WE ACTUALLY LOOK AT THE WHATCOM COUNTY BIRTH RATES.
WE TRACK THOSE TO MAKE PROJECTIONS ON KINDERGARTEN.
THE BIRTH RATES IN WHATCOM COUNTY HAVE BEEN ACTUALLY DECLINING THE LAST FEW YEARS.
WE'LL GATHER THOSE, WE'LL GIVE THOSE TO US HERE PRETTY SOON.
[00:45:03]
HAVE YOU GOTTEN THEM YET? I HAVEN'T EITHER.THE HEALTH DEPARTMENT GATHERS ALL OF THAT AND THEN THEY TRY TO FIGURE OUT POSSIBLY DISTRICT BY DISTRICT, BUT IT'S A FUNDING FORMULA GIVEN WE DON'T KNOW WHERE ALL KIDS ARE BIRTH TO FIVE.
>> PEOPLE MOVING INTO THE AREA, DO YOU HAVE AN IDEA OF METHOD FOR TRYING TO DETERMINE HOW MANY NEW [OVERLAPPING]?
>> I THINK WE MONITOR HOUSING THAT'S BEING BUILT IN OUR AREA, IF THERE'S COMPANIES MOVING INTO AN AREA.
BUT THAT I HAVEN'T FOUND A GREAT FORMULA, HAVE YOU?
>> ODDLY ENOUGH, AND THE QUESTION WAS ABOUT HOW DO WE ACCOUNT FOR PEOPLE MOVING INTO THE AREA OR KINDERGARTEN BIRTH RATES.
ODDLY, THAT'S WHY THIS MODEL HAS BEEN PRETTY ACCURATE.
IT DOESN'T DIRECTLY ACCOUNT FOR THE INFLUX OF NEW, BUT IT DOES IT IN JUST THE HISTORICAL PERCENTAGE.
IF WE END UP WITH ALL OF A SUDDEN SOME MASSIVE CHANGE THAT'S OUT OF THE NORM, THE MODEL PROBABLY BREAKS.
BUT AS LONG AS EVERYTHING IS WITHIN THE MARGINS, IT'S GOING TO KEEP PREDICTING PRETTY ACCURATELY WHAT THE TREND HAS BEEN.
IT'S THE BEAUTY AND THE PROBLEM WITH TREND ANALYSIS.
>> [INAUDIBLE] ON THE ENROLLMENT ELEMENT.
>> DOES NANCY HAVE ANY QUESTIONS?
>> NANCY, DO YOU HAVE ANY QUESTIONS? SHE IS MUTED. SORRY.
>> ARE YOU STILL THERE, NANCY?
>> YEAH, I AM. THANK YOU SO MUCH.
[INAUDIBLE] I'M GETTING REALLY NO FEEDBACK.
>> I DON'T HAVE ANY QUESTIONS ABOUT THOSE THINGS THAT YOU HAVE DONE, I JUST HAVE A GENERAL QUESTION THAT I MIGHT SAVE FOR LATER.
>> WE TALKED ABOUT SPECIAL EDUCATION.
>> HAVE YOU SEEN AN INCREASE IN THE NUMBER OF SPECIAL EDUCATION STUDENTS OVER TIME, AND IS THAT ALSO FACTORING TO THE [INAUDIBLE] A TREND THERE?
[OVERLAPPING] WE MEET HER ON THE PHONE, SHE CAN'T HEAR US.
>> NO, SHE NEEDS [OVERLAPPING]
>> THE QUESTION WAS, HAVE WE SEEN AN INCREASE? TELL HER TO MUTE HER PHONE.
NANCY, CAN YOU MUTE YOUR PHONE? [LAUGHTER] THE QUESTION WAS, HAVE WE SEEN AN INCREASE IN SPECIAL EDUCATION STUDENTS IN THE PAST FEW YEARS?
NECESSARILY, I WOULD HAVE TO LOOK AT A PERCENT HERE IN FERNDALE.
BUT OVERALL, PEOPLE HAVE SEEN AN INCREASE, ESPECIALLY COMING OUTSIDE OF COVID.
THERE'S BEEN SOME THINGS SO I THINK OUR WORK HERE IN FERNDALE AROUND MAKING UNIVERSAL DESIGN, TRYING SOME DIFFERENT TYPES OF INTERVENTIONS IS HELPING.
IT CHANGES THE WAY WE MANAGE INSTRUCTION.
I THINK THAT'S WHY THE STATE ULTIMATELY HAS THE CAP ON BECAUSE THEY DON'T WANT DISTRICTS JUST TO REFER EVERYONE.
I THINK THEY'RE STARTING TO TRUST THAT WE'RE BEING MINDFUL ABOUT THAT AND ONLY ENSURING THAT CHILDREN WITH ACTUALLY NEED TO HAVE AN IEP ARE GETTING THEM.
THE USE OF 504S HAS INCREASED.
MORE FAMILIES WHO AT ONE TIME WOULD ASK FOR AN IP ARE NOW FINDING THAT IF THEIR CHILD HAS AN ACCOMMODATION DOCUMENT, WHICH YOU CAN GET THROUGH 504, NOT NECESSARILY NEEDING THE SPECIALLY DESIGNED INSTRUCTION, THAT'S HELPING.
BUT I WOULD SAY OVERALL PEOPLE ARE TALKING ABOUT THAT INCREASE.
>> IS THAT JUST BECAUSE THEY HAVE AN EASIER TIME OF DIAGNOSING BETTER DIAGNOSTIC TOOLS OR DO YOU THINK THERE'S A PASSION?
[00:50:01]
>> I THINK THERE'S ACTUALLY, ONE HAS BEEN THERE'S BEEN AN INCREASE IN KNOWLEDGE AND UNDERSTANDING.
TWO, I DO THINK THERE'S ENVIRONMENTAL FACTORS AND THINGS THAT ARE PLAYED INTO THE NEEDS.
I WOULD ASK MY TWO FORMER PRINCIPALS HERE.
SINCE YOUR TIME, HAVE YOU SEEN A CHANGE?
>> YOU WERE CONTINUING JUST EVEN WITHIN OUR OWN ORGANIZATION, TO EXPLORE DIAGNOSTIC TOOLS, RESOURCES, PROGRESS MONITORING TOOLS.
ALSO TO CONTINUE TO SUPPORT OUR STUDENTS' NEEDS ON AN ONGOING BASIS. SHE HAD TO STEP UP.
>> THE CAPTURED OF THE COMPLEXITY OF THE TIME HAS HAD AN IMPACT BUT IT ISN'T ALL HAPPENING AT ONCE.
>> WOULD YOU JUST LET NANCY KNOW WHERE WE ARE? JUST PEGGY WAS ASKING ABOUT INCREASE AND OVERALL YES, THERE'S BEEN AN INCREASE.
>> NANCY, PEGGY WAS ASKING IF THERE WAS AN OVERALL INCREASE AND YES, THERE HAS BEEN AN INCREASE.
NOW WE'RE MOVING ON TOO. [LAUGHTER].
>> AFTER WE COME UP WITH THE ENROLLMENT, WE GET AN EVEN SMALLER SPREADSHEET.
BASICALLY, WHAT THIS ONE IS DOING IS IT'S TAKING THE NUMBER OF STUDENTS THAT WE'RE FORECASTING PER GRADE AND BREAKING THEM DOWN BY HOW MANY OF THE FIRST GRADERS GO TO EACH OF THE ELEMENTARY SCHOOLS.
WE CAN THEN TAKE THAT OVERALL NUMBER AND DIVIDE IT OUT BY BUILDING BY GRADE LEVEL SO THEN WE CAN CALCULATE THE NUMBER OF STAFF WE NEED FOR THE CLASSROOMS. IN ORDER TO COME UP WITH, HOW MANY FIRST GRADE TEACHERS DO WE NEED? WE NEED TO FIGURE OUT HOW MANY FIRST GRADERS THERE ARE AND THEN HOW MANY FIRST GRADERS ARE IN EACH BUILDING TO FIGURE OUT HOW MANY FIRST GRADE TEACHERS WE NEED IN EACH OF THE ELEMENTARY SCHOOL BUILDINGS.
THIS IS BASICALLY A FORMULA THAT ALLOWS US TO DO THAT.
>> IS THAT BASED ON HISTORICAL OR IS THERE A REASON?
>> IT IS. THE BREAKDOWN OF THE PERCENTAGE IS A THREE-YEAR AVERAGE.
THEY'RE BECOMING A LARGER PERCENTAGE OF OUR ELEMENTARY POPULATION AS A WHOLE.
IN ORDER TO ACCOUNT FOR THAT, WE BASICALLY TAKE A THREE-YEAR AVERAGE OF THEIR ENROLLMENT TO, AGAIN, ACCOUNT FOR THEIR GROWTH.
THEY GET MORE STAFF APPLIED TO MORE STUDENTS, MORE STAFF BASED ON THEIR RELATIVE PERCENTAGE OF THE OTHER ELEMENTARY SCHOOLS.
THE NUMBER OF STAFF, EACH CLASSROOM TEACHER REALLY IS WHAT WE'RE TALKING ABOUT, IS BASED ON THE TARGETED ENROLLMENT.
IF WE WANT A CLASS SIZE OF NO MORE THAN 18 AT KINDERGARTEN, WE USE 18 AS BASICALLY THE NUMBER THAT DETERMINES HOW MANY FOR EVERY 18 STUDENTS WE'RE GOING TO COME UP WITH A CERTIFICATE TEACHER.
THEN WE ADD PLANNING TIME FOR THAT BASED ON THE CONTRACTUALLY OBLIGATED AMOUNT OF TIME TEACHER [INAUDIBLE].
>> I WAS JUST WONDERING WHY ON THE GRAPH CENTRAL IS RED ON THE GRAPH CHART.
IS THERE TELL OF PLANNING NUMBERS AND THE CENTRAL IS THE ONLY SCHOOL NAME THAT'S IN RED?
>> YEAH. BECAUSE CENTRAL HAD AN ADJUSTMENT MADE FOR THEIR TRANSITIONAL COMPUTER.
>> DO YOU WANT TO REPEAT THAT QUESTION?
>> NANCY, GABBY ASKED WHY CENTRAL WAS READ ON THE ON THE SPREADSHEET.
>> ANYTIME THAT I MAKE A MANUAL MANIPULATION TO THE SPREADSHEETS I HIGHLIGHT IT IN RED SO I KNOW WHEN I LOOK AT IT, I MADE A CHANGE TO THAT, THAT IS NOT STRICTLY FORMULA.
WHEN I COME AT NEXT YEAR, I'LL USE THIS AS THE BASIS FOR NEXT YEAR'S ENROLLMENT.
I'LL CONVERT THE DATES AND MAKE IT BASICALLY THE BASIC.
COPY IT FORWARD, I NEED TO KNOW THAT I BROKE THAT FORMULA.
IT'S JUST A VISUAL CUE FOR ME.
>> I DON'T KNOW IF YOU RELATE TO BUDGET BUT IT'S PART OF THE PROCESS, WHEN DOES THAT SKYLINES INCREASE IN ENROLLMENT? WHEN DOES IT TRIGGER A,
[00:55:01]
WE'VE HIT CAPACITY HERE, WE NEED TO DO SOME REDISTRICT D OR REDISTRIBUTIONS TO US?>> I'LL LET YOU KNOW WHEN WE GET THERE.
>> KEVIN ASKED, WHEN MARK HAD MENTIONED THAT SKYLINES ENROLLMENT IS INCREASING AND HE ASKED, AT WHAT POINT DO WE REDISTRICT THAT NEW BOUNDARIES?
>> IT'S DEFINITELY SOMETHING THAT GETS ASKED.
AS WE'RE WATCHING IT, WE'RE TALKING ABOUT IT AND WE ALSO WATCH WHAT THE CITY IS DOING IN TERMS OF BUILDING AND WHERE THEY'RE BUILDING.
IT'S NOT JUST MAKE THE DECISION [NOISE] THAT REQUIRES A COMMUNITY PROCESSING, HOW LONG RANGE PLANNING.
BECAUSE YOU DON'T WANT TO REDISTRICT SOMETHING TO HAVE IT TURN AROUND AND UNDO THE NEXT TWO YEAR.
IT'S A VERY COMPLICATED MODEL WITH BIG FEELINGS.
>> WHEN WAS THE LAST TIME FOR REDISTRICT?
>> IT WAS IN MY FIRST GRADE HERE BECAUSE I REMEMBER [LAUGHTER] KINDERGARTEN.
I WENT TO CASCADIA BECAUSE THE BATHROOMS CHANGED AND SO I WAS HEADING ALL THE WAY UP THE HILL EVEN THOUGH I LIVED JUST OFF LIKE WEST SMITH.
FIRST GRADE THROUGH FIFTH I WENT TO CENTRAL BECAUSE IT WAS CLOSER TO MY HOUSE.
>> IT WAS LIKE 2012, 2013, 2014.
>> SHORTLY AFTER I GOT [INAUDIBLE].
>> I STARTED WITH THE DISTRICT IN 2015 AS WE HAVE BEEN THE SAME. IT'S BEEN A WHILE.
>> I'M JUST GOING TO SAY, THE GOAL OF DISTRICTING FOR THE DIFFERENT SCHOOLS IS TO MAKE SURE THIS EQUAL POPULATION IN EACH SCHOOL DISTRICT, OR IS IT JUST A SCHOOL BUILDING OR IS IT JUST TO COVER? [INAUDIBLE] ASKED THE GOAL WITH SET CONDITIONS AND SCHOOL BOUNDARIES.
WHAT IS TO HAVE THEM ALL BE EQUAL? I WOULD SAY, IDEALLY, YES.
WHEN WE DID THE RE-BOUNDARY, THAT WAS ONE OF THE GOALS, WAS TO BALANCE THE DEMOGRAPHICS AS WELL AS JUST THE NUMBER OF STUDENTS AS WELL.
>> AS MARK SAID, IT'S NOT SOMETHING YOU TAKE LIGHTLY BECAUSE THERE'S LOTS OF FACTORS THAT GO INTO IT.
BALANCE THIS ONE AND THE THROWS THIS ONE OUT OF THE WAY.
>> IT CHANGES OVER TIME AS THE COMMUNITY GROWS.
A LOT OF THE HOUSING GROWTH HAS BEEN UP ON THE HILL IN THE CASCADIA SKYLINE AREA SO THEY TEND TO GROW A LITTLE BIT MORE THAN THAT.
>> NANCY, YOU'D ASKED A QUESTION.
WE THINK IT WAS 2013, '14, MAYBE, AT THE COMMUNITY DISTRICT.
>> IT WAS WHEN GABBY WAS IN FIRST GRADE. THIS NEXT SPREADSHEETS, THE WRITING ISN'T QUITE AS SMALL, BUT THIS IS THE TEMPLATE THAT I USED WHEN WE GO OUT TO TALK TO BUILDINGS.
THIS IS A FICTITIOUS BUILDING.
I JUST CONSOLIDATED TO FIT IT ALL ON ONE PAGE.
BUT THE FIRST COLUMN ON THE LEFT HAS THE HOURS, THE FTE, AND THE COST OF THAT PERSON'S SALARY FOR EACH OF THE POSITIONS THAT ARE LISTED ON THE LEFT-HAND SIDE.
THEN THE MIDDLE COLUMN SHOWS THAT THIS I DID WITH A 4% INCREASE BECAUSE I BELIEVE THAT'S WHAT WE HAVE, OUR BARGAINING UNIT.
THE FDA HAS A 4% INCREASE FOR NEXT YEAR.
MIDDLE COLUMN SHOWS THE NEW COST AND THEN THE FINAL COLUMN SHOWS THE DIFFERENCE.
WE SHOW THIS TO BUILDINGS, I USUALLY HAVE NAMES ON IT.
WE USE IT TO IDENTIFY AND MAKE SURE THAT THE PEOPLE THAT THEY ARE EXPECTING TO SEE ON THIS LIST IS REALLY THERE.
THIS IS A GOOD TOOL FOR OUR FIRST CONVERSATION.
IN THE GRADE, YOU SEE THE ALLOCATION MODEL.
THAT COMES STRAIGHT OFF THE SPREADSHEET MARK JUST PRESENTED.
IT'S JUST A WAY THAT WE RECONCILE TO MAKE SURE THAT WE ARE STAFFING THE BUILDING WITH THE CORRECT NUMBER PER THE ALLOCATION COLUMN.
>> DO YOU WANT TO TALK A LITTLE BIT ABOUT JUST HOW YOU INTERNALLY HAVE A SMALL TEAM THAT'S MEETING WITH TEACHING AND LEARNING HR AND YOU TO CONTINUE TO BUILD THIS OUT? IT HASN'T BEEN WORKING.
[01:00:03]
TRINA IS REPRESENTING TEACHING AND LEARNING AND KARA AND MARK AND I ARE GOING TO MEET ON A WEEKLY BASIS TO REALLY START THE CONVERSATION ABOUT NEXT YEAR'S BUDGET AND TEACHING AND LEARNING HAS MANY DIFFERENT BRCS UNDER THERE BECAUSE THEY'RE TEACHING AND LEARNING.
WE'RE STARTING THOSE CONVERSATIONS.
WE PREPARE ONE OF THESE SPREADSHEETS FOR EVERY BRC.
THERE'S A WHOLE BUNCH OF THEM. I'VE GOT A MASSIVE SPREADSHEET.
THE NEXT STEPS COMING UP, I'M GOING TO COMPLETE THE F-203 X, WHICH IS OUR REVENUE FORECAST.
TO PREPARE THAT, WE USE THE FORECASTED ENROLLMENT NUMBERS AND A LOT OF DIFFERENT NUMBERS WE PULL FROM DIFFERENT PLACES.
WE PULL THINGS FROM FOOD SERVICE AND TRANSPORTATION, AND EVERYTHING GETS PLUGGED INTO THE SPREADSHEET AND IT HELPS CALCULATE OUR PROJECTED REVENUES.
I'M GOING TO COMPLETE THE STAFFING TEMPLATES.
THAT WAS THAT LAST SPREADSHEET THAT I SHOWED YOU FOR ALL THE BUILDINGS, DEPARTMENTS, AND GRANTS.
THEN WE'LL START MEETING WITH PRINCIPALS AND DIRECTORS REGARDING THEIR STAFFING AND PRESENT THEM WITH THAT SPREADSHEET.
THEN WE'LL BE WAITING FOR THE LEVY ELECTION RESULTS ON FEBRUARY 13TH.
ANY QUESTIONS? I KNOW THAT'S A LOT OF INFORMATION.
>> I JUST HAVE QUESTIONS ABOUT IF WE ARE BOARD AS A BUDGET RESOURCE CENTER, THEN WHEN ARE WE SUPPOSED TO MEET? WHAT ARE THE GUIDELINES FOR THAT? WHERE DO WE FIND THAT? WE SIT DOWN TO WORK ON OUR BUDGET BECAUSE THAT HAS NOT HAPPENED TO TEST MY KNOWLEDGE SINCE I'VE BEEN REPORTED.
>> OUR BUDGET AS FAR AS ARE YOU TALKING TO THE BOARD SPECIFIC BUDGET? HISTORICALLY, IT'S BEEN SETTING JUST HERE'S WHAT IT IS AND WE WENT FROM THERE.
SO IT'S SOMETHING THAT WE PROBABLY SHOULD HAVE AS PART OF A SESSION.
WE HAVE HAD CONVERSATIONS ABOUT IT, BUT NOT TO THE POINT BECAUSE IT IS A BRC, IF I'M USING THE CORRECT TERM.
PROBABLY SHOULDN'T BE THE SAME WAY THAT OR HAVE AS MEETINGS OF DISCUSSION THAT WAY.
WHEN WE HAVE LOOKED AT IT, IT'S BEEN REALLY HIGH LEVEL.
I REMEMBER LAST TIME WE DID IT WAS DURING COVID AND SO IT WAS LIKE, WELL, THIS ISN'T HAPPENING, WE'RE NOT GOING TO MEETINGS AND WE DIDN'T DO A WHOLE LOT OF CHANGING.
BUT YEAH, IT'S SOMETHING THAT PROBABLY SHOULD BE AT SOME POINT ON OUR DISCUSSION PLATFORM.
>> WHERE DOES IT HAVE TO HAPPEN IN ORDER FOR IT TO MESH WITH WHAT THEY'RE DOING?
>> I THINK YOU GUYS HAVE PROBABLY PUT IN JUST HISTORIC NUMBERS AND PROBABLY RAISED IT BY INFLATION PERCENTAGE OR SOMETHING.
>> I DON'T THINK WE RAISED IT FOR INFLATION.
I THINK WE'VE KEPT IT FLAT FOR THE PAST.
I WAS LOOKING BACK, IT LOOKS LIKE MAYBE YOU DISCUSSED AT A STUDY SESSION AT ONE POINT AND THEN SINCE COVID, WE HAVEN'T.
WE'VE JUST BEEN ROLLING IT FORWARD EVERY YEAR WITH THE SAME NUMBERS.
MAYBE SOMETHING TO DO IN A FUTURE STUDY SECTION.
>> I THINK BECAUSE ONE WAS A SMALL ITEM AS PART OF THE ENTIRE BUDGET AND BECAUSE WE HAD IT JUST BEFORE COVID, WE READJUSTED IT AND THEN THINGS WERE BACK AND HAVEN'T COME BACK TO IT.
SOME OF THE THINGS ON IT, THE ELECTION COSTS ARE ON THERE AND THOSE ARE PRETTY WELL SET AND WE KNOW WHAT THOSE ARE GOING TO BE ANYTHING ON THIS.
>> THE QUESTION, NANCY, WAS ABOUT THE BOARD'S BRC AND WHEN THE BOARD'S GOING TO TAKE A LOOK AT THAT AND GO THROUGH THE PLANNING PROCESS.
I THINK WE'VE TALKED ABOUT IT FROM TIME TO TIME, BUT I THINK IT'S LACKED A LITTLE CONTEXT IN TERMS OF HAVING THE CONVERSATION.
IT'S BEEN, WE DON'T KNOW, AND JUST ROLLED IT FORWARD.
I THINK HAVING A STUDY SESSION WHERE YOU CAN ACTUALLY DIG IN, SPEND SOME TIME, AND HAVE A CONVERSATION AROUND WHAT IT IS THAT YOU WOULD LIKE TO DO, WHAT YOUR EXPECTATION IS OF PROFESSIONAL DEVELOPMENT AND TRAINING, AND THE THINGS THAT YOU WOULD LIKE TO ACTUALLY ACHIEVE AS A BOARD WOULD MAKE A LOT OF SENSE.
[01:05:03]
I'M SORRY, KEVIN, BUT A COPY OF IT IS IN THE MONTHLY FINANCIAL STATEMENTS EVERY MONTH TO GIVE YOU A OPPORTUNITY TO LOOK AT IT AND SEE WHAT'S IN THERE CURRENTLY.>> CHRIS AND I ALSO LOOK AT IT EVERY MONTH WITH HOLLY AND MAKE SURE AND DOUBLE CHECK.
THAT'S ONE THING I WILL BE BRINGING UP.
WE'LL NEED TO TALK ABOUT IT BECAUSE NOW THAT THERE'S COMPENSATION, THAT WAS NOT BUILT IN AND SO WE NEED TO BUILD THAT INTO IT.
THERE WAS A TIME I LOOKED AT THE HISTORICAL SPENDING.
THERE WAS A LONG TIME WHEN NONE OF THE PROFESSIONAL LEARNING WAS BEING SPENT.
NOW, YOU ALL ARE STARTING TO GO TO THINGS AND DO SOME THINGS, STARTING TO OFFER SOME REALLY STRONG CLASSES THAT COME WITH A BIT OF A CHARGE.
I'VE JUST BEEN TAKING A LOOK AT SOME THINGS.
WHEN WE DO SET THAT, WE CAN PUT ON AN AGENDA AND THEN YOU GUYS CAN LOOK AT MAYBE SOME OF THAT SAME HISTORICAL THINGS THAT WE CAN MAKE SOME ADJUSTMENTS.
>> I GUESS MY QUESTION TOO WAS TIME WISE, WHEN WOULD YOU NEED OUR INPUT IN ORDER TO INCLUDE THAT OR ARE WE TOO LATE FOR THIS UPCOMING?
>> I THINK FAIRLY LATE IN THE PROCESS BECAUSE IT'S BUDGETED AS WE DIDN'T EVEN GET TO THAT AS AN MSOC, WHICH IS MATERIAL SUPPLY AND OPERATING COST.
SINCE STAFFING IS SUCH A BIG PART OF OUR BUDGET, WE REALLY FOCUSED ON STAFFING FIRST, WE DO MSOCS LATER.
SO I THINK APRIL OR MAY IS FINE BECAUSE IT'S FAIRLY SMALL.
>> WE'RE REALLY SMALL PERCENTAGE OF IT.
>> UNLESS YOU'RE GOING TO ASK FOR A BIG INCREASE, SO THEN WE NEED TO SHARE.
>> ONE RECOMMENDATION COULD BE JUST SOMETHING FOR YOU TO THINK ABOUT.
WE CAN'T DECIDE TONIGHT, BUT MAYBE IT'S ONE MEETING LIKE APRIL, WE TALK ABOUT IT AND WE HAVE POLYCOM AND WE LOOK AT THE HISTORICAL PIECE, AND THEN YOU GUYS CAN HAVE A DISCUSSION ABOUT IT IN MAY.
WE CAN LOOK AT THAT AS A PLANNING TEAM.
DO YOU WANT TO SHARE THAT WITH NANCY? JUST SOME PLANNING TO HAVE A LOOK AT IT IN SPRING.
>> THE PLAN THAT WE WERE DISCUSSING IS PERHAPS HAVING A STUDY SESSION.
SORRY. HAVING A STUDY SESSION IN APRIL AND THEN MAKING DECISIONS ABOUT IT IN MAY,
>> FOR THE BOARD SPECIFIC VERSITY BUDGET.
>> BUT THE OTHER THING THAT WILL PLAY INTO THAT IS WE GET THIS STRATEGIC PLAN DEVELOPED.
THERE WILL BE COMPONENTS, WHETHER WE'RE HAVING LINKAGES OR DIFFERENT THINGS ON THAT.
WE'LL PLAY INTO WHAT WE WANT TO LOOK AT FUNDS FOR MOVING FORWARD TO BECAUSE THAT WOULD COME UP WITH THE BOARD.
>> NOW I GET SO MUCH FEEDBACK.
I KNOW THAT IT'S A DIFFERENT MODEL, THE FUNDING AND EXPENDITURES MODEL IS VERY DIFFERENT FROM A BUSINESS.
BUT I'M JUST WONDERING HOW CAN WE MINIMIZE THE WASTE THAT'S INVOLVED IF THERE'S THAT USE IT OR LOSE IT TYPE THING THAT HAPPENS IN THE FUNDING? DID YOU HEAR MY QUESTION?
>> YES, WE HEARD YOUR QUESTION.
>> WE DON'T HAVE A USE IT OR LOSE IT PROCESS.
IN FACT, WE ALLOW CARRY OVER IN MOST CASES TO SPECIFICALLY AVOID THAT.
>> WHEN I WAS A TEACHER, I REMEMBER THE SCHOOL NEEDING TO SPEND SPECIFIC FUNDS ON SOMETHING, I THINK IT WAS PROFESSIONAL DEVELOPMENT, AND IF WE DIDN'T SPEND IT ON SOMETHING, THEN WE WOULDN'T GET THAT AMOUNT THE FOLLOWING YEAR.
SO WE DID SOMETHING THAT WE WOULD PROBABLY NOT HAVE DONE WITHOUT THAT MODEL.
>> WE SHOULD PROBABLY HAVE A CONVERSATION WITH YOUR FORMER PRINCIPAL, BUT IT PROBABLY WAS A GRANT FUNDING [OVERLAPPING] THAT WE HAVE TO SPEND IN ANY GIVEN YEAR OR WE HAVE TO GIVE THE MONEY BACK TO THE FEDS BECAUSE THEY DON'T HAVE THE SAME INTERNAL POLICIES THAT WE DO.
IF IT'S GRANT FUNDED AND IT'S USE IT OR LOSE IT, YOU HAVE TO REPORT BACK TO THE FED WHAT YOU DID WITH IT.
IF IT'S A FRIVOLOUS USE OF MONEY, ISN'T THAT ALSO A PROBLEM? I MEAN, IF IT'S JUST LIKE SPEND IT OR GET RID OF IT,
[01:10:02]
DOESN'T THE GRANT ISSUER LOOK AT IT?>> ONE OF THE THINGS THAT HOLLY MENTIONED EARLY IN HER PRESENTATION IS ONE OF THE THINGS THAT HER OFFICE IS DOING IS REVIEWING IT FOR COMPLIANCE WITH THE ALLOWABLE EXPENDITURES OF THE GRANT.
SO IT WOULDN'T NECESSARILY BE FRIVOLOUS, MEANING THAT IT IS NOT AN ALLOWABLE EXPENDITURE, BUT IT MAY NOT BE THE EXACT PROFESSIONAL DEVELOPMENT OR RESOURCE THAT YOU WOULD HAVE PURSED IF YOU WOULD HAVE PLANNED AHEAD AND THOUGHT OUT WELL IN ADVANCE.
[OVERLAPPING] IT'S NOT NECESSARILY FRIVOLOUS, IT'S JUST MAYBE NOT AS EFFECTIVE OR EFFICIENT AS IT SHOULD HAVE BEEN.
>> I THINK THAT WAS UNFORTUNATE CHOICE OF WORDS ON MY PART, BUT UNNECESSARY PERHAPS.
IF IT'S AN UNNECESSARY EXPENDITURE THAT IS JUST DONE IN ORDER TO GET RID OF.
>> THERE'S VERY LITTLE OF THAT THAT HAPPENS.
USUALLY WHAT ENDS UP HAPPENING IS WE JB EXPENDITURES.
WE'LL TAKE SOMETHING THAT WAS PAID FOR OUT OF A DIFFERENT FUNDING SOURCE THAT WOULD BE A LEGITIMATE EXPENDITURE OUT OF THAT GRANT, AND BASICALLY DO A BUDGET ADJUSTMENT TO SWITCH FOR IT.
ALL OF THE ACCOUNTING, EVERYTHING IS COMPLETELY ABOVE BOARD AND THE WAY IT SHOULD BE.
IT JUST ISN'T NECESSARILY AS EFFECTIVE FOR THE PURPOSE OF THE GRANT.
THE GRANT IS TO PROVIDE A SPECIFIC INTERVENTION, AND WE'RE NOT NECESSARILY PROVIDING IT AS DELIBERATELY AS WE SHOULD HAVE.
WE DID IT IN A DIFFERENT WAY, WHICH IS BACKDOOR AS OPPOSED TO INTENTIONAL PART OF THE PLAN.
BUT THAT'S WHERE IT'S A PLANNING ISSUE THAT NEEDS TO GET ADDRESSED UP FRONT.
>> I THINK ALSO I DO WANT TO MENTION OUR ROLE TO LOOK AT OUTCOME DATA AND MAKE SURE IT'S TIED TO OUR DECISIONS AND OUR STRATEGIC PLAN.
THAT'S ONE OF OUR INTERNALS. YOU CAN EXPLAIN.
>> [LAUGHTER] YOU CAN EXPLAIN THAT SO NANCY CAN HEAR.
>> ALSO I MENTIONED IT EARLY ON IN THE PRESENTATION, THE GOAL IS TO ALIGN ALL OF OUR EXPENDITURES AS DIRECTLY AS POSSIBLE.
SOME IT'S A LITTLE HARDER, YOU HAVE TO WORK AT IT TO SAY, OKAY, HOW DOES THE LIGHT BILL DIRECTLY IMPACT THAT STRATEGIC PLAN? BUT THE IDEA IS FOR ALL OF OUR EXPENDITURES TO SUPPORT THE STRATEGIC PLAN DESIRED OUTCOMES PER OUR POLICIES, THE BOARD'S POLICIES, THAT HAVE SAID, WE EXPECT TO SEE THESE RESULTS.
CHRISTINE GO ACHIEVE THESE RESULTS.
WE'RE BASICALLY DIRECTLY ALIGNING OUR EXPENDITURES TO THE STRATEGIES DESIGNED TO DELIVER THOSE OUTCOMES.
THAT IS PART OF THE PROCESS THAT WE'RE GOING THROUGH THIS YEAR.
ONE OF THE REASONS THAT WE'RE MEETING WITH TEACHING AND LEARNING FOLKS SO FREQUENTLY, IS TO BASICALLY REDESIGN ALL OF THE GRANT PROGRAMS AND ALL THE SUPPLEMENTAL PROGRAMS DESIGNED TO IMPACT THOSE RESULTS, SO WE DON'T HAVE THIS CONVERSATION NEXT YEAR.
EVERYTHING'S VERY TARGETED, VERY SPECIFIC, AND DRIVEN TO GETTING THE OUTCOMES THAT THE BOARD IS EXPECTED TO SEE FROM US.
>> INTENTIONAL. YEAH, VERY INTENTIONAL.
>> IF YOU WANT TO SEE CLAIM FORMS, I MEAN, DO YOU DO THE WORK AND THEN SUBMIT TO GET THE GRANT MONEY? IF YOU WANTED TO SEE THE CLAIM FORMS ON THE GRANTS, WHERE DO YOU GO TO DO THAT? CAN YOU DO THAT?
>> I THINK SHE WAS ASKING WHERE SHE WOULD GO SEE THE GRANT CLAIM FORMS. KELLY WARNER PROCESSES ALL THE GRANTS.
DID WE GET THE GRANT FOR THE CAMERAS AT THE CENTER?
BUT WE'RE GOING TO KEEP TRYING.
SO FAR I WILL SAY OUR GRANT WRITER HAS BROUGHT IN OVER HALF A MILLION DOLLARS BUT THAT IS NOT BEEN ONE OF THE GRANTS.
WE'RE GOING TO KEEP ASKING. WHAT WE HEAR BACK IS THAT IN TERMS OF SECURITY, THERE ARE OTHER PLACES THAT ARE FURTHER BEHIND US IN SECURITY TERMS. WE'VE DONE SOME REALLY EXCELLENT WORK IN TERMS OF SECURITY.
OUR NEED, ACCORDING TO THE FEEDBACK WE'RE GETTING, IS NOT NECESSARILY AT THE HIGHEST LEVEL COMPARED TO OTHER PLACES WHO WE'RE COMPETING FOR.
[01:15:01]
>> MR. SECURITY IS RIGHT HERE.
WE TALK ALL THE TIME ABOUT THIS.
>> I THINK OF THEM AS MOTION SENSORS THAT JUST GO UP [INAUDIBLE] [OVERLAPPING]
>> I THINK SHE WAS ASKING ABOUT [INAUDIBLE].
CAMERAS. INSTEAD WE DID NOT RECEIVE THE GRANT.
>> THAT CONCLUDES MY PRESENTATION.
DID WE WANT TO LOOK AT THE BOARD REPORT? [LAUGHTER]
I COULD EMAIL THE BOARD BECAUSE WE CAN'T REALLY MAKE DECISIONS TONIGHT.
WE COULD LOOK AT IT, BUT I COULD EMAIL IT OUT TO THE BOARD IN OUR WEEKLY UPDATE, AND THEN THEY WOULD ALL HAVE TIME TO LOOK AT IT, AND MAYBE HAVE QUESTIONS THAT THEY COULD ASK AT A DIFFERENT TIME WHEN EVERYONE'S HERE.
>> DO YOU HAVE ONE OF THE MONTHLY REPORTS?
>> IF YOU WANT TO PUT THAT UP, THEN MAYBE WE COULD JUST WALK THROUGH IT PARTICULARLY.
BY THE WAY, HOLLY, EXCELLENT PRESENTATION AND GOOD BALANCE OF NEW RESOLUTIONS. [OVERLAPPING].
>> DEFINITELY, THANK YOU. BUT I THINK IT'D BE GOOD BECAUSE THERE MAYBE QUESTIONS LIKE WHAT ARE THE PARTS? WHAT'S BEING SHOWN? WHAT ARE WE SUPPOSED TO BE LOOKING AT?
>> WE CAN EMAIL THIS POWERPOINT TO EACH BOARD MEMBER.
>> RIGHT. THEN I CAN GIVE YOU A TEMPLATE FOR THE BUDGET.
GENE, COULD YOU HELP ME PROJECT SOMETHING? [LAUGHTER]
>> IS THE POWERPOINT GOING TO BE ATTACHED TO MINUTES SO THAT PEOPLE CAN [OVERLAPPING].
>> WE'LL DO IT IN THE PDF, BECAUSE LIKE I SAID, THERE'S PRESENTATION, YES FOR YOU, BUT WE'RE ALSO WORKING HOLLY AND MARK, AND I ARE CONSTANTLY ASKING HOW DO WE EDUCATE OUR COMMUNITY ON DISTRICT FINANCE.
>> IF YOU HAVE SOMETIME AND YOU'RE BROWSING THE WEBSITE FOR BAR DOCS, IF YOU LOOK AT THE CITIZEN'S BUDGET, AND THINK OF AS YOU WALK THROUGH THAT, THE POINTS OF HOLLY'S PRESENTATION TONIGHT, YOU'RE GOING TO START SEEING THE THINGS THAT SHE TALKED ABOUT.
YOU'RE GOING TO SEE THE FUND BALANCE, YOU'RE GOING TO SEE THE DESCRIPTION OF ALL THE FUNDS, YOU'RE GOING TO SEE THE REVENUE.
YOU'RE GOING TO SEE THE EXPENDITURES BROKEN DOWN BY PROGRAM, ACTIVITY, BY OBJECT. YOU'RE GOING TO WALK THROUGH.
BASICALLY THAT DOCUMENT IS A GRAPHICAL REPRESENTATION OF WHAT SHE WENT THROUGH.
GIVE YOU A GOOD EXAMPLE OF REAL LIFE EXAMPLE OF WHAT WE'RE TALKING ABOUT.
>> THIS IS AS OF NOVEMBER 30TH, I BELIEVE, YES.
THE FINANCIAL STATEMENT, IS THAT A YEAR TO DATE SUMMARY OF WHERE WE STAND, AND IT IS POSTED ON BOARD DOCS EVERY MONTH.
IT'S A TWO YEAR COMPARISON, WE'RE COMPARING TO THE LAST FISCAL YEAR.
THIS FIRST PAGE SHOWS AT THE BOTTOM THE FUND BALANCE AS OF NOVEMBER 2022 COMPARED TO NOVEMBER 2023.
THE NEXT PAGE IS A GRAPH OF OUR FUND BALANCE.
YOU CAN SEE THE DIFFERENT YEARS, AND YOU CAN SEE HOW IT REALLY FOLLOWS THE SAME PATTERN MOST YEARS.
IT STARTS AT A POINT, IT GOES DOWN, THAT GOES BACK UP, AND THAT OCTOBER, WHEN IT RISES, THAT'S WHEN LEVY IS COLLECTED.
BECAUSE OCTOBER 31ST, DEADLINE FOR PROPERTY TAXES.
THEN IT GOES DOWN AND THEN YOU SEE IT GOES BACK UP IN APRIL, THAT'S THE DEADLINE FOR PROPERTY TAXES IN APRIL.
SEE GRAPHICALLY WHERE WE GET THOSE BIG COLLECTIONS.
WE COLLECT LEVY ALL YEAR ROUND, IT'S ALWAYS TRICKLING INTO THE COUNTY TREASURE, BUT WE DO GET THOSE TWO BIG SPIKES THROUGHOUT THE YEAR FOR EVERY YEAR, CONSISTENTLY.
THIS SHOWS A COMPARATIVE OF FOUR YEARS FOR ENROLLMENT.
THE GREEN IS WHERE WE ARE NOW.
THE PINK AND BLUE AT THE BOTTOM ARE '21 AND '22.
YOU CAN SEE THAT WAS DURING OUR COVID YEARS THAT WE WERE LESS, OUR [INAUDIBLE] WAS LESS.
STOP ME IF YOU WANT ME TO EXPLAIN ANYTHING MORE.
[01:20:05]
THIS NEXT PAGE IS A SUMMARY OF OUR REVENUES, AND BROKEN DOWN BY ALL THE LOCAL, THE STATE, AND FEDERAL REVENUES.THERE'S A GRAPH AT THE BOTTOM THAT SHOWS WHERE WE GET THE BULK OF OUR REVENUE COMES FROM STATE APPORTIONMENT.
NEXT PAGE IS EXPENDITURES, AND THIS IS PRESENTED BY OBJECT CODE.
WELL, ONE DIGIT OBJECT CODE, WE'VE BROKEN DOWN BY CERTIFICATED SALARIES, CLASSIFIED SALARIES, BENEFITS, SUPPLIES AND MATERIALS, CONTRACTUAL SERVICES, MILEAGE, AND CAPITAL EXPENDITURES.
>> WHERE DO STIPENDS FIT IN ALL THESE?
>> LIKE THE SUPPLEMENTAL CONTRACTS.
>> SUPPLEMENTAL CONTRACTS WOULD BE, IF THEY'RE CERTIFICATED, THEY WOULD BE UNDER THE CERTIFICATED SALARIES AND THEY'RE CLASSIFIED UNDER THE CLASSIFIED SALARIES, ON THIS PAGE.
>> I THINK HE ASKED WHERE THE STIPENDS FIT INTO THIS PAGE.
>> SUPPLEMENTAL. THE WAY THEY'RE CODED IS THE OBJECT CODE STARTS WITH A TWO OR A THREE.
THEY'RE OBVIOUS CLASSIFIED OR CERTIFICATED, SO THAT'S WHY THEY'RE JUST LUMPED IN THE SALARIES, JUST THE SHOWS THAT CODE STRUCTURE.
THE NEXT PAGE IS OUR FUND BALANCE.
AGAIN, PRESENTING TWO-YEARS COMPARATIVE.
THIS SHOWS OUR CASH FLOW, IT SHOWS ACTUAL CASH FLOW INTO THE DISTRICT AND HOW MUCH WE HAVE ON HAND.
DUE TO TIMING, IT'S NEVER AN ACCRUAL ACCOUNTING, THE AMOUNT OF CASH ON HAND DOESN'T NECESSARILY MATCH WHAT THE REVENUES AND EXPENDITURES SHOW ON THE ACCRUAL BASED FINANCIAL STATEMENTS.
THIS SHOWS ACTUAL WHAT'S FLOWING IN AND OUT.
THIS IS A REVENUE CASH FLOW HISTORY, IT SHOWS THREE YEARS AND JUST HOW IT COMES IN EACH MONTH.
NEXT PAGE IS THE SAME THING FOR EXPENDITURES.
BOTH HAVE A GRAPH AT THE BOTTOM, JUST SHOW THE TREND.
THIS LAST PAGE TALKS ABOUT SOMETHING WE HAVEN'T REALLY TALKED A LOT ABOUT AND IT'S THE OTHER FUNDS.
CAPITAL PROJECTS FUND, THE DEBT SERVICE, THE ASP, AND THE TRANSPORTATION VEHICLE FUND SHOWS UP HERE BEGINNING BALANCE, THEIR ENDING BALANCE, THEIR YEAR TO DATE EXPENDITURES, AND OUR YEAR TO DATE REVENUES, AND THEN YEAR TO DATE EXPENDITURES AND REFERENCES.
THEN THE FOLLOWING PAGES, THESE ARE REPORTS THAT COME STRAIGHT OUT OF SKYWARD.
WE USE SKYWARD FOR EVERYTHING BUT OUR ACCOUNTING IS ALL DONE IN SKYWARD.
THIS IS HOW I POPULATE THE FIRST FEW PAGES OF ALL OF THE REPORT.
THERE'S A PAGE OR TWO FOR EACH FUND.
THIS ONE, SINCE WE TALKED ABOUT OBJECTS EARLIER, THIS REPORT HERE SHOWS A BREAKDOWN OF OUR EXPENDITURES IN GENERAL FUND BY OBJECT, AND AGAIN, BUDGET STATUS REPORTS.
THE ANNUAL BUDGETS ON ALL THESE REPORTS.
THIS IS A GOOD PLACE TO LOOK IF YOU WANT TO SEE WHAT THE BUDGET WOULD BE FOR, SAY, STATE REVENUE, OR CERTIFICATED SALARIES, OR SOMETHING.
THAT IS A BUCKET FOR THIS ONE. LAST PAGE.
>> HOLLY, THE TWO PAGE UP TO WHERE DOES THE THREE YEAR EXPENSES INCOME?
>> WHEN I'VE LOOKED AT THOSE ACROSS THE YEARS, THOSE NUMBERS SEEM TO ALWAYS BE FAIRLY CONSISTENT.
IS THAT JUST BECAUSE OUR FINANCING AND OUR EXPENDITURES ARE FAIRLY CONSISTENT, OR IS THERE SOMETHING THERE THAT AS BOARD MEMBERS AND MONITORING, AND FROM AN ACCOUNTANT POINT OF VIEW, WE SHOULD BE LOOKING FOR?
>> THE REASON FOR THAT IS BECAUSE OUR SALARIES ARE OUR BIGGEST EXPENDITURES, SO THEY'RE ABOUT THE SAME AMOUNT.
THAT MAKES UP THE BULK OF WHAT WE'RE SPENDING OUR MONEY ON, YOU'RE NOT GOING TO SEE A LOT OF FLUCTUATION.
[01:25:01]
IT LOOKS LIKE SEPTEMBER IS ALWAYS A LITTLE HIGHER BECAUSE WE HAVE A LOT OF EXPENDITURES AT THE END OF THE YEAR.I GUESS I WOULD BE IF SOMETHING WASN'T DRASTIC, ALL OF A SUDDEN SPIKED UP.
>> THAT HAPPENED ON ONE REPORT.
I REMEMBER, ONCE UPON A TIME, AND APPARENTLY, THERE WAS A TRANSCRIPTION ERROR AND YOU FOUND IT.
I WAS WONDERING, WHEN YOU SAID IT WAS [INAUDIBLE] I'M JUST CURIOUS AS TO HOW YOU COMPARE THE FORMS THAT COME TO US.
IT'S BASED ON THAT ONE THAT I REMEMBER HAD AN ERROR [INAUDIBLE] I DIDN'T REALIZE THAT WE WERE GOING TO TRANSCRIBE.
I THOUGHT YOU JUST MOVE THAT STUFF OVER AUTOMATICALLY.
>> I PRINT OUT THE BUDGET STATUS REPORTS, AND THEN I PRINT OUT LAST YEAR'S REPORT LIKE THIS, OR I PULL IT UP AND PUT IT TO SCREEN, I SHOULD SAY.
AND I HAND KEY ALL OF THOSE IN MY TIME OUT.
I DO REMEMBER THAT. RIGHT ABOUT THE FIRST TIME WHEN YOU FIRST STARTED.
>> MARK REVIEWS EVERYTHING I DO.
>> I THINK THAT WOULD BE GOOD TO TALK ABOUT THE CHECKS AND BALANCES INTERNALLY.
>> I'M THE ONLY PERSON IN THE DISTRICT WHO HAS FULL ACCESS TO OUR ACCOUNTING SOFTWARE, SO I'M THE ONLY ONE THAT DOES JOURNAL VOUCHERS AND CAN MOVE THINGS AROUND.
SO EVERYTHING I DO MARK REVIEWS.
THERE ARE OTHER PEOPLE THAT LOOK AT IT.
IF THERE'S A DEPARTMENT THAT WANTS A JV DONE, I ALWAYS HAVE THEM LOOK IT OVER TOO AND RUN THEIR REPORTS AND MAKE SURE IT LOOKS CORRECT.
THAT'S ONE OF OUR INTERNAL CONTROLS AND MARK HAS TO SIGN EVERYTHING IN WET SIGNATURE AND INKED INITIALS.
THAT'S ONE OF THE THINGS WHEN THE STATE AUDITORS COME, THEY ALWAYS PULL A BUNCH OF JOURNAL ENTRIES TO MAKE SURE THERE ARE SIGNATURES ON THEM.
>> I JUST HAVE A QUICK QUESTION.
SO THAT IS IN OUR GENERAL LEDGER.
IF I NEED TO MAKE AN ADJUSTMENT, I CAN GO IN AND ADJUST, SAY, SOMETHING WAS PAID OUT OF THE WRONG ACCOUNT OR I CAN DO THAT OR IF A STAFF MEMBER, WE'RE CHANGING THEIR FUNDING AND THEY SHOULD HAVE BEEN PAID IN SPECIAL ED BUT THEY'RE PAID TITLE IT I CAN GO IN AND ADJUST IT.
>> IN PAYROLL, FOR INSTANCE, WHEN THE TIME SHEETS COME IN, IF TAMMY ENTERS THE TIME SHEET, SHE DOES NOT DO THE AUDITING OF THOSE TIME SHEETS, SOMEBODY ELSE DOES.
SO THERE'S ALWAYS EVERY PAYROLL, ANYTHING HAS TO HAVE AN ACTUAL SIGNATURE FROM AN ADMINISTRATOR THAT IS SIGNING OFF ON THAT AS A LEGITIMATE PAY EXPENSE THAT SHOULD BE PROCESSED.
SO EVERYTHING HAS MULTIPLE EYES ON IT.
NOBODY IS CHECKING THEIR OWN WORK.
EVERYTHING IS BEING LOOKED AT AND SIGNED OFF ON BY SOMEBODY.
>> WE HAVE A DIVISION OF HR AND PAYROLL.
THEY ALL SIT IN THE SAME ROOM, AND A LOT OF PEOPLE THINK THEY MUST ALL BE HR PEOPLE BACK THERE, BUT WE HAVE IT DIVIDED.
THEY OPERATE INDEPENDENTLY. HR, SAY, WE'LL PUT IN A PAYROLL CONTRACT AND PAYROLL PULLS IT OVER INTO THEIR AREA IN SKYWARD AND THEY HAVE TO GO THROUGH, PREPARE EVERYTHING, CHECK EVERYTHING, MAKE SURE IT'S RIGHT, AND PAYROLL CONTRACTS HAVE THREE OR FOUR SIGNATURES ON THEM BEFORE THEY GET, HR WILL ENTER THEM.
CAN I PULL THE BOARD BUDGET? YOU GUYS [INAUDIBLE] NANCY, YOU HAVE ANY FURTHER QUESTIONS?
>> NANCY, DO YOU HAVE A QUESTION?
>> ANY OTHER QUESTIONS FOR HOLLY AND HER SIDEKICK, MARK? WELL, EXCELLENT PRESENTATION.
[01:30:02]
LIKE I SAID, MADE SOMETHING COMPLICATED.IT'S A VERY GOOD BALANCE OF THE PRACTICAL AND [INAUDIBLE] AND KEEPING IT IN LEVEL.
IT WAS APPROPRIATE, SO THANK YOU.
>> THANK YOU. APPRECIATE THAT.
AND I'M HERE ANYTIME ANYBODY WANTS TO TALK FINANCE.
[LAUGHTER] I'M [INAUDIBLE] THAT.
>> THE ONE THING I WAS GOING TO DO TO AND HOLDING ONTO THESE AND AS YOU GUYS ARE TALKING ABOUT THINGS FOR HELPING TO EDUCATE, THESE ARE THE ON BOARDING FROM THE STATE WHICH ARE FROM [INAUDIBLE] WHICH HAS SOME STUFF, FUNDING ACTUALLY, A REALLY GOOD PROGRAM, BUT WHY REINVENT THE BILL IF WE CAN DO SOMETHING THERE? AND I'VE BEEN JUST HOLDING ONTO THEM BECAUSE IT DIDN'T FEEL GOOD TO THROW THEM AWAY, BUT SOME GOOD INFORMATION, IF THAT CAN BE HELPFUL, THAT'D BE GREAT.
>> UNLESS THERE'S ANY OTHER QUESTIONS, NANCY, DID YOU HAVE ANY OTHER QUESTIONS?
>> [INAUDIBLE] I JUST WANT TO SAY THANK YOU TO COLLEAGUES [INAUDIBLE] FOR THAT PRESENTATION.
>> YES, WE HEARD YOU. I WAS TRYING TO MUTE.
WE'RE FIGURING OUT THE TECHNOLOGY TONIGHT, AND APOLOGIES, WE HAVE TECH COMING TOMORROW TO CHECK OUR MIC SYSTEM, SO APOLOGIES ABOUT THE MICS, BUT WE HAD ZOOM, WE HAD PHONES, WE HAD COMPUTERS, WE HAD POWER POINTS, WE HAD A LOT OF DIFFERENT THINGS GOING.
THIS, LIKE I SAID, IS NOT OUR LAST TIME TO TALK ABOUT IT.
THIS IS REALLY IMPORTANT AND DEFINITELY SOMETHING WE INTERNALLY WANT TO BE AS TRANSPARENT AS POSSIBLE.
SO WE APPRECIATE THE QUESTIONS BY THE BOARD AND JUST THE MORE WE CAN TELL THE STORY AND HELP PEOPLE UNDERSTAND, THE BETTER IT IS FOR ALL OF US.
>> I DO WANT TO THANK HOLLY AND MARK.
YOU TAKE A LOT OF TIME TO HELP ME AND OUR TEAM LEARN ABOUT BUDGET AND JUST YOUR EXPERTISE, IT'S UNMATCHED, SO I REALLY APPRECIATE IT.
>> WITH THAT, I WILL GO AHEAD AND ADJOURN OUR STUDY SESSION. THANK YOU, EVERYONE.
[LAUGHTER] I'LL GO HOME AND SEE WHAT THE WEATHER IS GOING TO BE.
>> YEAH.
* This transcript was compiled from uncorrected Closed Captioning.