BOARD MEETING MINUTES July 15, 2015

Transcription

1 BOARD MEETING MINUTES July 15, 2015 Call to Order President Mike Jacobs called the Regular Board Meeting of the Shoreline Board of Directors to order at 5:00 p.m. in the Board Room of the Administrative Offices at the Shoreline Center on July 15, 2015, followed by the flag salute. Roll Call Present: Mike Jacobs, President; David Wilson, Vice President; Debi Ehrlichman, Member; Dick Nicholson, Member; and Dick Potter, Member. Approval of Minutes The minutes of the June 15 Regular and June 30 Special Board Meetings were approved as submitted. Adoption of Consent Agenda The following consent agenda was presented for approval: a. Adjusted Total Project Cost Aldercrest Annex Gym and Electrical Building Demolition Project b. Rejection of Bids Milk and Dairy Products c. Award of Proposal and Total Project Budget Authorization District-Wide 2-Way Radio System Upgrade d. Approval of VEBA Memorandum of Understanding with SESPA e. Approval of Employment Contract with Assistant Superintendent Brian Schultz f. Approval of Change Order #1 Moon Construction Co. Shorecrest High School Modifications and Improvements Project g. Approval of Change Order #9 Terra Dynamics, Inc. Shorewood High School Athletic Fields Project (Project 3) h. Authority and Project Budget for Feasibility/Design Phase: Brookside Site Circulation Improvements Project i. Acceptance of Gifts, Grants, Donations 1) Cascade K-8 - $5, Cascade K-8 PTSA K-5 Outdoor Camp 2) Shorecrest - $63, Shorecrest Boosters Grants j. Approval of Extended Field Trips k. Approval of Personnel 1) Certificated 2) Classified 3) Administrative l. Approval of Payroll and Vouchers Vouchers audited and certified by the auditing officer as required by RCW , and those expense reimbursement claims certified as required by RCW , have been recorded on a listing that has been made available to the Board. As of July 15, 2015, the Board, by a unanimous vote, approved for payment those vouchers described as follows: June Payroll Warrants # and Electronic Transfers in the amount of $7,066,921.90; Reconciliation of Warrants Issued Between June 12 and June 26, General Fund Warrants # , , , , and , in the amount of $735,998.18; Capital Projects Fund Warrants # , , and in the amount of $285,263.07; Student Body Fund Warrants # , , and in the amount of $191,036.60; and Trust Fund #70 Warrants # in the amount of $1,564.25; for a grand total of $8,280,

2 MOTION NO. 31: Mr. Nicholson moved that the Board adopt the consent agenda, which is attached hereto and becomes a part hereof. The motion was seconded by Mr. Wilson and carried unanimously. President Jacobs expressed gratitude to the Cascade K-8 PTSA ($5,772.74) and the Shorecrest Boosters ($63,415.05) for their hard work and generosity as evidenced by the two donations submitted on the consent agenda. Reports and Presentations Home Education Exchange (HEE) Annual Report Ron Jones, HEE Coordinator, presented. Mr. Jones reported that absent of additional changes from OSPI, this school year was very stable. During the school year, 115 students (95 FTE) were served from 69 families. Students work on their individual student learning plans at the Home Education Exchange, through classes and activities that support those documents. It s not as legally binding as an IEP (Individual Education Plan), but it is a directly supported plan. Approximately 55% of the families come from within Shoreline. Demographically, about 14% of the students are non-white; 49% are female and 51% are male; and there is an even distribution of students across the K-8 grade levels. This year, HEE was the focus of two separate audits; both were cause for celebration. The first was the standard ALE audit that reviews the program for compliance with regulations, for which HEE received a no issues determination. HEE was also chosen to receive a special performance audit from the State Auditor s Office (SAO) as a result of outstanding student achievement in the school year. SAO is planning to use HEE as a model for other ALE programs in the state. The feedback was very positive. In regard to testing, Mr. Jones was proud to report that all but one student this year participated in the new Smarter Balanced Assessment. The preliminary results appear to be on par with the rest of the Shoreline School District. May 2015 Financial Update Marla S. Miller, Deputy Superintendent and Mark Spangenberg, Director of Finance and Business Services, presented. The Cash Flow Report includes actual data through May. Based on the Safety Net Award letter received from OSPI on June 24, State Special revenues increased by $163,000 and Federal Special revenues increased by $276,000. The total award was $689,000; however the adopted budget already included budgeted revenues of $250,000 for Safety Net. The Cash Flow Report reflects an assumption that the Safety Net Award will be 60% state funding and 40% federal, as it was last year. Tax collections for May were particularly strong with 51.2% of the 2015 M&O Levy collected at this time in the calendar year. This is higher than at any time in at least the last nine years. Most likely this is due to an increase in real estate transactions. June s enrollment was the final count date for the year and showed a small reduction of 16 FTE throughout elementary and the high school grades since May. Overall, the District s enrollment came in 88 FTE above budget. Ms. Miller reported that the budget is being built on an assumption of a 3% increase in enrollment over the January 2015 counts. 2

3 Legislative Update: Budget and Levy Marla S. Miller, Deputy Superintendent, presented. The key education issues facing the legislators this year can be summarized in five points: 1) Increase funding to meet State Supreme Court s order in the McCleary case to provide ample funding for basic education 2) Address initiatives approved by the voters I-1351 Class Size I-732 Cost of Living Adjustments (COLA) 3) Reduce reliance on local levies to fund Basic Education 4) Fund school facility needs for state-funded All Day Kindergarten (ADK) and class-size reduction 5) Address graduation requirements, particularly the mandatory end-of-course test in Biology Ms. Miller individually reviewed these five issues and the legislation that was approved on each, specifically in terms of Basic Education funding and the impact on Shoreline. 1) Increase funding to meet State Supreme Court s order in the McCleary Decision Basic Ed Funding Reduced class size in Current staffing ratio a) K 22:1 a) K 23:1 b) 1 st 23:1 b) 1 st 25.9:1 c) 2 nd 24:1 c) 2 nd 25.9:1 d) 3 rd 25:1 d) 3 rd 25.9:1 e) Generates funding for approximately 10 additional K-3 classrooms district-wide (actual staffing will depend on enrollment at each school) Reduced class size in a) K 19:1 Generates funding for 4-6 additional K-3 b) 1 st 21:1 classrooms district-wide (actual staffing will depend c) 2 nd 22:1 on enrollment at each school) d) 3 rd 22:1 Added ADK funding based on poverty level Relieves district of locally funding current ADK classes a) up to 72% of all schools a) Briarcrest, Echo Lake, Parkwood, LFP b) up to 75% of all schools b) Meridian Park [after this meeting MP received funding for because another district rejected funding due to space considerations] Adds mandatory assessment (WaKIDS) of students in state-funded ADK classes Increase supplies/materials allocations Estimates: (was $ per pupil) : $1, per pupil : +$3,000, : $1, per pupil $178,000 2) Address initiatives approved by the voters State funding decision I-1351 Class Size Initiative No additional class size reduction funding above Delayed for 4 years McCleary I-732 Cost of Living Adjustments By contract, the 3% COLA will be added effective : 1.8% (+1.2%) = 3% 9/1/15 to most regular employee salaries : 1.2% (+.6%) = 1.8% Compensation for Maintenance employees is tied to In anticipation of a change to teachers prevailing wage by craft, rather than state COLA. compensation funding model in , the Compensation for Head Start employees is tied to 1.2% +.6% to expire at end of federal compensation increases rather than state COLA. 3

4 3) Address reliance on local levies to fund Basic Education State decision Final approved legislation does not address No change for now this issue; anticipate reconsideration in 2016 Proposed language would: If proposed language is ultimately approved: Reduce maximum levy collection Local levy collection would drop from $24,500,000 Restrict use of local levy to enhance State s per year to approximately $11,000,000 per year; compensation for certificated staff, unless SEA compensation would be restricted by new state strictly tied to additional time or additional parameters, but state would also increase funding; responsibility Remaining levy capacity would be needed to fund Special Education and extracurricular activities for Students. 4) Fund school facility needs required to address the additional classrooms for state-funded All Day Kindergarten and class size reduction State funding decision School facility needs are determined by Unlikely to receive state funding for any additional the inventory of classrooms reported to OSPI classrooms 5) Address graduation requirements, particularly the mandatory end-of-course text in Biology State decision Mandatory end-of-course test in Biology is Students are eligible to receive diplomas who would delayed for 2 years otherwise not have graduated Due to the extended legislative session, the preparation of the General Fund budget for Shoreline (and all other school districts) has been delayed. The General Fund budget will be presented at the Board s next meeting on August Preliminary Budget (ASB, Debt Service, Capital Projects, Transportation Vehicle Funds) Marla S. Miller, Deputy Superintendent and Mark Spangenberg, Director of Finance and Business Services, presented. The expenditure appropriations for the funds listed above are as follows: Capital Projects Fund - $18,526,000 Debt Service Fund - $20,853,961 Associated Student Body Fund - $2,641,000 Transportation Vehicle Fund - $1,060,000 Levy collections for : Debt Service Fund - $17,400,000 Capital Projects/Tech Levy - $3,000,000 A proposal that is being built into the budget is a payoff of the LGO/Ameresco contract in February (See action item below for further information.) Highlights of the Capital Projects Fund budget include: Budgets for continued projects funded with the 2006 bond: Additional security improvements Roof, fields, and other projects Begins budgeting for the replacement of existing turf and tracks (budgeted for three) 4

5 Continues purchase of Tech Levy major equipment 2010 Tech Levy now fully utilized Beginning to use 2014 Tech Levy collections Transfers $3,367,784 to other funds: Tech Levy salaries, software, licenses to General Fund: $983,000 LGO payments and payoff to Debt Service Fund: $2,379,784 Highlights of the Transportation Vehicle Fund budget include: Beginning fund balance: $706,100 Revenues: $355,532 Expenditures: $1,060,000 Continue the plan to replace buses as they come off the state s depreciation reimbursement program Provide maximum flexibility to purchase buses through August 31, 2016 Ending fund balance: $1,632 This fund may only be used to buy buses or make major repairs; unspent budget capacity will automatically increase this estimated fund balance Highlights of the Associated Student Body Fund budget include: Beginning fund balance: $884,000 Revenues: $2,641,000 Expenditures: $2,641,000 Ending fund balance: $884,000 As mentioned above, the General Fund budget will be reviewed at the Board s August 17 meeting, which has now been changed from a regular (business only) to a regular meeting. Board Requested Discussion None Community Comments None Action Items Authority to Engage Advisors Debt Reduction: Early Payoff of District s 2005 LGP Bonds Marla S. Miller, Deputy Superintendent and Mark Spangenberg, Director of Finance and Business Services, presented. In 2005 the District issued $3,799, in Limited General Obligation bonds to finance energy savings projects. The last payment on the bonds is due in November 2023, but the terms of the financing provide an opportunity to pay them off early, without penalty, beginning February 15, Based on the debt payment schedule, early payoff of the bonds on February 15, 2016 would save district taxpayers $464,741 in interest payments. In addition, the lease revenue in the Capital Projects Fund currently used to make the principal and interest payments could be redirected to other purposes (approximately $81,000 quarterly). The amount required to pay off the bonds in February 2016 is $2,298,668. The funds available to meet this requirement include $2,033,306 from the sale of the South Woods property, and $265,362 from lease revenue in the Capital Projects Fund. Currently the interest earnings from the sale of South Woods 5

6 (approximately $10,000 per year) is designated by the Board on an annual basis to be transferred to the General Fund to assist with the purchase of instructional materials. District staff requests Board approval to work with District legal and financial advisors to begin the process to execute the early payoff of the LGO bonds, as described above. Although a review of the LGO financing documents and South Woods property sale resolutions has been done internally, staff recommends working with advisors to assure the transaction is feasible and will save the taxpayers the estimated interest payments. A recommendation will be brought forward to the Board for final approval if it is determined that the District can indeed realize the savings and execute the transaction as proposed. It was the recommendation of the Superintendent that the Board authorize the District to engage legal counsel and financial advisors to confirm the legality and estimated savings of paying off the 2005 LGO bonds on February 15, MOTION NO. 32: Mr. Potter moved that the Board authorize the District to engage legal counsel and financial advisors to confirm the legality and estimated savings of paying off the 2005 LGO bonds on February 15, The motion was seconded by Mr. Nicholson and carried unanimously. School Board Reports and Communications Mr. Wilson thanked Kim Reich and Rebbecah Emanuel for their excellent leadership in the elementary and secondary summer school programs. They are doing a great job, the teachers are enthusiastic, and the students are involved. After Shorewood, a Shorewood High School PTSA committee, is offering a series of workshops on Wednesdays and Saturdays in July. These workshops address essay topics and drafts, other senior-year tasks, and college lists. The workshops are facilitated by Lisa Surowiec, Marianne Stephens, Jeri Jacobson and Mandi Counter. Adjournment: 6:10 p.m. Attest: August 17, 2015 Mike Jacobs, Board President Rebecca L. Miner, Secretary Shoreline Board of Directors All documents referenced in the minutes may be viewed in the Superintendent s Office during normal business hours. 6