The School District of Lodi. Budget Hearing and Annual Meeting Report

Transcription

1 The School District of Lodi Budget Hearing and Annual Meeting Report Lodi High School Performing Arts Center October 25, :30 PM Presented by the Board of Education & Administration

2 The School District of Lodi Mission Statement The mission of the School District of Lodi, a strong partnership of families, community and educators, is to inspire students to become lifelong learners who seek new understanding and skill to assume the role of responsible and contributing members of society by creating a world-class, innovative learning environment that stimulates academic and personal excellence. Table of Contents Agenda Financial Indicators Budget Review Proposed Budget Proposed Property Tax Levy Supporting Graphs Appendix A 2009 Annual Meeting Minutes School District of Lodi Page 1

3 School District of Lodi Reconvening of the Budget Hearing/Annual Meeting Performing Arts Center Located at the Lodi High School, 1100 Sauk Street, Lodi, WI 6:30 PM, Monday, October 25, 2010 Notice is hereby given that a majority of the Board of Directors for the School District of Lodi may be present at the Budget Hearing/ Annual meeting scheduled for October 25, 2010 to gather information about subjects over which they have decision-making responsibility. If a majority is present, this constitutes a meeting of the Board of Directors of the School District of Lodi, as the applicable statute has been interpreted by the Wisconsin Supreme Court, although the School Board will not convene and will not take any formal action at this meeting. I. Call Budget Hearing and Annual Meeting to Order...Mr. John Pickle, Chair 1. Budget Hearing Ms. Sheila Landsverk, Board Treasurer a. Introductions b. Treasurer s Report i. Audit ii. Presentation & Explanation of Financial Report c. School Performance Report Ms. Tiffany Loken, Curriculum & Instruction Dir. d. Presentation & Explanation of Budget...Mr. Brent Richter, Business Mgr. 2. Resolution to Adopt Tax Levy: a. Proposed Resolution: I move the adoption of a total tax levy of $12,424, for the school year. II. Adjournment.. **Annual meeting agenda published in the Lodi Enterprise: 10/13/2010 & 10/20/2010 School District of Lodi Page 2

4 Financial Report Financial Indicators The primary school district financial indicators are bond rating, fund balance, debt ratio, and short-term borrowing. The School District of Lodi indicators show positive positions and trends. Bond Rating In March 2009 Standard & Poor s assigned a rating of A+ grade as the district s bond rating. Standard & Poor s stated that the rating reflects the stability of the local economy and access to Madison, stable enrollment levels, moderate net debt burden, and very strong financial operations paired with good financial management. Fund Balance The District and financial institutions recommend adequate reserves to provide for necessary cash flow and serve as a safeguard against emergency expenditures and/or unrealized revenues. This protects the financial stability and health of the District in both the short and long term. In 2006 the Board established a policy to provide a guideline for what would be an appropriate level of fund balance. The policy established that the district shall maintain an adequate fund balance as to secure financial stability to prevent borrowing for cash flow purposes within a 3-year period. The School District of Lodi has not had to short-term borrow for cash flow since The current level of general fund balance (fund balance) is approximately 27.28%. Debt Ratio The total general obligation indebtedness may not exceed ten percent of the equalized value of taxable property with the district. The current general obligation bonds indebtness for the district as of June 30, 2010 was $16,847,774. The debt ratio of the general obligation indebtedness to the statutory debt limit as of the end of the year was 1.54%. Short-Term Borrowing In Wisconsin, the timing of revenue receipts from the two major sources, property taxes and general state aid, do not keep pace with the operational expenditures during the fiscal year. Over 36% of Fund 10 property taxes are year-end receivables and not collected until August. The District s positive financial position has eliminated the need for cash flow borrowing since the fiscal year. Maintaining favorable financial indicators places the District in a positive position when borrowing for facilities or new construction. School District of Lodi Page 3

5 Budget Review General Fund (Fund 10) Budget Review REVENUE SOURCES The General Fund is used to account for all financial transactions related to the District s Federal current operations. The General Fund is the Sources All Other 2.56% fund into which most tax and aid receipts are Sources State 0.21% received and from which most of the Sources 36.86% operating expenses are paid. The major funding sources are the property tax levy and state equalization aid. State sources include, Intermediate Equalization aid of $6,763,360, Interdistrict Sources Payments Transportation and Library Aid of $104, % 1.32% ($358,010 was provided by Federal Stimulus Funds). Local property taxes levied for general operations totaled $10,197,926. The District experienced an increase in federal funding of in Title I funding of over $30,000 The property tax portion of the General Fund revenue represented 58.65% of the total general fund revenues. In addition, $719 was levied for previously rescinded property taxes. Property taxes, tuition payments, admissions, general and textbook fees are all sources that are included in the Local sources. Declining interest rates affected investment income; at year-end interest was $9,964 under budget. The balance of the variance is due mainly to unspent federal grants, including ARRA funding, which can be carried over to the next fiscal year. Local Sources 58.69% Instruction activities are elementary, regular, vocational, physical, co-curricular, and special non-een instruction, which account for approximately 49% of all the expenditures. The activities associated with pupil services, improvement of instruction, general administration, school administration, business operations, buildings & grounds, transportation, central services, insurance & judgments, and other services are all included in Support of Instruction, which account for approximately 38% of the expense budget. Support 38% Expense Summary Transfers 13% Instruction 49% Non-Program transaction funded primarily transfers to the Special Education Fund and open enrollment payments to other schools. Special Education transfers are largely for instructional purposes. Transfers account for 13% of the total expenditures of the general fund budget. The expenditures for in the three major functions listed above totaled $17,688,067 and represented an increase of 2.86% over the expenditures in Actual expenditures were within.5% of the original budget. School District of Lodi Page 4

6 Special Funds (21& 27) Budget Review Special Education Revenues Fe de ral 16% State 23% Other 2% General Fund 59% The Special Project Fund has two subfunds: Special Revenue and Special Education. The Special Revenue Fund accounts for gifts and donations from private parties. Balances can be carried over year-to-year. The Special Education Fund is used to account for special education and related services funded wholly or in part with state or federal special education aid. No fund balance or deficit can exist in this fund. The distribution of Special Education funding is represented in the above graph. Revenue totaled $2,981,951. The Special Education Fund s major source amounts are state $583,308 federal $516,711 and the transfer from the General Fund of $1,816,541. The significant increase in federal funding was due to the receipt of ARRA funds $207, Special Education Expenses Non- Instruction 21% Non- Program 4% Instruction 75% Special Education Fund includes Direct Instruction expenditures of $2,165,174, Support of Instruction, $550,027 and Non-Program, $266,850 totaling $2,981,951. The Special Revenue Gift fund (nonscholarship) received $15, Capital Project Fund (Fund 41) Revenues for the Capital Projects Fund total $53,634. The district booked no expenditures in Fund 41 this year. The balance as of June 30, 2010 in Fund 41 is $425,124. For the purpose of determining eligible expenditures from this Fund, the DPI defines capital expenditures related to buildings and sites as being expenditures for acquiring and remodeling buildings and sites, and maintenance or repair expenditures that extend or enhance the service life of buildings and building components, sites and site components. School District of Lodi Page 5

7 Debt Service Fund Review The Debt Service Fund is used to record transactions related to the payment of promissory notes, bonds, and state trust fund loans. The Debt Service Fund revenues come from property taxes and interest on investments. The expenditures for Debt Service principal and interest totaled $2,090,970 and represents 16.62% of the total levy Food Service Fund (Fund 50) Federal regulations require that the Food Service be accounted for separately. The primary sources of revenue in were from local sources, student and adult payments, totaling $514,450 state aid $9,651, and federal reimbursement totaling $130,568 and transfers of $29,099. Total Food Services revenues were $683,768 The major functions accounted for the expenditures in the Food Service Fund in were salaries, benefits, purchased services, supplies, and equipment totaling $683,568. DPI recommends that the Food Service Fund have approximately three months operating expenses in fund balance reserves. The Food Service Fund balance currently holds no reserve balance and is working toward increasing its year-ending balance Food Service Revenues Federal Aid 19.10% State Aid 1.41% Transfer 4.26% Food Sales Receipts 75.24% Food Service Expenses Dues/Fees 0.08% Equipment Purchased 0.05% Salaries 28.79% Activity Fund (Fund 60) Food 47.50% The district has a fiduciary responsibility with the Student Activity Fund and there is a custodial relationship with the individual student organizations. All the normal internal controls are to be followed and all activities of the student organization are accounted in the agency fund. The district reports the Assets and Liabilities equal for Equipment Repairs 1.25% Purchased Services 0.98% the fund. The fund s assets increased by $191 in the school year and has a balance of $78,023 Benefits 21.35% School District of Lodi Page 6

8 Scholarship Trust Fund (Fund 70) The district is fortunate to receive many scholarship donations for which the district becomes the trustee. These donations are accounted for in the Scholarship Trust Fund. The scholarships are either established to expend principal and interest or interest-only proceeds. The investments for the various scholarships total $214,096 as of June 30, The fund decreased during the fiscal year by $8,100 with revenues of $3,200 and scholarship expenses of $11, Community Service Fund (Fund 80) The Community Service Fund has been established to support a community pool management contract, community education, training, recreation/cultural/athletic community programs and services outside regular curricular and has the primary function of serving the community. Access to these programs is not limited to pupils enrolled in the district s educational programs. Fees 10.92% Fund 80 Revenues Rentals 12.06% Property Tax 77.02% In , an operational property tax was levied to offset the cost of the management of the Lodi High School Swimming pool and community programs for the year in the amount of $111,000. The Community Service Fund levy is approximately 1% of the total school levy. In addition to the community pool, other programs accounted for in the fund, are in the Performing Arts Center, Youth Recreation, and other community programs held at all district facilities. The total revenues for the fund amounted to $144,119 with expenditures of $147,934. A portion of improvements and maintenance operations, which support the community programs, were paid from this fund as well Package & Cooperative Program Fund (Fund 96) The Cooperative Programs Fund is utilized primary for activities associated with cocurricular meets and tournaments. Revenues in this account are generated from entry fees, admissions and concession sales. Total revenues for were $23,769, with $9,933 originating from school activity and $13,836 from a general fund transfer. Expenditures in this fund are created from areas such as officials payments, dues and fees and worker salaries. Total expenditures for the fiscal year were $23,769, with $2,021 paid as worker salaries, $12,522 paid as personal services (officials expenses), $6,594 for pupil dues & fees, and $2,632 as supplies. The DPI does not allow a year-end balance in this account. School District of Lodi Page 7

9 Proposed Budget General Fund Budget The Revenue Limit is based on enrollment of 1657 students (rolling 3-year average). The total revenue budget is.398% higher than the budget of The state fiscal crisis prompted the legislature to reduce the allowable per pupil increase from an expected total of $285 to $200 per pupil for both the and school years. This reduced revenue by Budget - General Fund Expenses Non-Program 12% Non-Instruction 39% Instruction 49% $140,845. In addition, state equalization aid decreased by $197,766 which shifts the burden onto the local tax levy. This is the second year the district will receive a significant reduction in state aid. Fiscal year was $937,174. Explicit in these projections, the board of education has proposed a tax levy of $600,487 less than the statutory legal limit. General Fund instructional costs are projected at $9,038,303. General Fund Support of instruction expenses are projected at $6,853,030. Non-program transactions, which are largely instructional costs in the Special Education Fund and open enrollment are projected to at $2,492,931. The General Fund Budget increased by 4.08% over the prior fiscal year. A majority of this increase was due to the addition of the 4-year old Kindergarten program which is estimated at $345,000. General Fund 10 PROPOSED BUDGET Beginning Fund Balance 4,747,068 Residual Equity Transfers In (355,786) Ending Fund Balance 4,391,282 REVENUES & OTHER FINANCING SOURCES Operating Transfers In 0 Local Sources 10,306,489 Interdistrict Payments 305,820 Intermediate Sources 55,000 State Sources 6,640,514 Federal Sources 418,655 Capital & Other Financing All Other Sources 32,000 Total Revenues: 17,758,478 EXPENDITURES & OTHER FINANCING USES Instruction (Function ) 9,038,303 Support Services (Function ) 6,583,030 Non-Program Transactions (Function ) 2,492,931 Total Expenditures 18,114,264 School District of Lodi Page 8

10 Special Project Fund Budget The Special Education fund must have a zero balance at the end of the fiscal year. A significant transfer is required from the General Fund. The total increase in the Special Education budget is 2.39% due to the affect of an increase in federal programs (ARRA). Special Education Fund 27 PROPOSED BUDGET Total Revenue Sources 3,055,036 Total Expenditures 3,055, Debt Service (Fund 39) Budget The primary revenue source for debt service is from the irrevocable property tax levy set each year to cover the principal and interest payments to be made for the period November through October. The ending fund balance in the Debt Service Fund at fiscal year end is to be used for the payments coming due in October of the following year. The proposed debt levy has been reduced due to a reduction in the debt schedule and the use of accumulated interest. Debt Service Fund 39 PROPOSED BUDGET Beginning Fund Balance 330,501 Residual Equity Transfers In (Out) (24,470) Ending Fund Balance 306,031 Revenues 2,074,953 Expenditures 2,074, Capital Expansion (Fund 41) Budget Statutory Authority: (10m)School Capital Expansion Fund The annual meeting of a common or union high school district may vote a tax to create a fund for the purpose of financing all current and future capital expenditures related to buildings and sites. Each year a resolution for the Capital Expansion Fund and tax levy must be approved at the Annual Meeting. If any change in the levy amount or purpose occurs at a subsequent Annual Meeting, a copy of the adopted resolution for that year must be sent to the DPI. Capital Expansion Fund 41 PROPOSED BUDGET Beginning Fund Balance 428,124 Residual Equity Transfers In (Out) (77,605) Ending Fund Balance 350,519 Revenues 53,645 Expenditures 131,250 School District of Lodi Page 9

11 Food Service Fund Budget Meal prices for were increased so that revenue will equal or exceed anticipated expenses. The Food Service Department continues to apply for grants providing opportunities to expand breakfast services and enhance the regular lunch program. Food Service Fund 50 PROPOSED BUDGET Beginning Fund Balance 0 Residual Equity Transfers In (Out) 0 Ending Fund Balance 33,312 Revenues 729,900 Expenditures 696, Community Service Fund Budget The revenue source included in the Community Service Fund is the property tax levy and local sources for support of the community swimming programs, The Performing Arts Center, recreation programs and other community programs. Community Service Fund 80 PROPOSED BUDGET Beginning Fund Balance 5,673 Ending Fund Balance 9,821 Revenues 199,983 Expenditures 195, Package & Cooperative Program Budget This fund is to be used for all other types of cooperative instructional funds. No fund balance or deficit can exist in this fund. Cooperative Programs Fund 96 PROPOSED BUDGET Revenues 15,384 Expenditures 7, Total Expenditures The approval of the district s budget marks the end of a process that began over 8 months ago. The budget development process is collaborative, forward thinking, and is created with the Mission, Vision, Ends, and Culture as the major focus for decision making. TOTAL EXPENDITURES UNAUDITED PROPOSED ACTUAL ACTUAL BUDGET All Funds 22,695,850 23,364,761 24,310,338 % Increase from Prior Year 5.65% 2.95% 4.05% General Fund 10/Debt Fund 39/Cap Fund 41 (Tax Supported) 19,083,112 19,494,702 20,323,467 % Increase from Prior Year 5.13% 2.16% 4.25% All Other Funds (21,27,41,50,60,72,80,96) 3,600,738 3,847,366 3,986,871 % Increase from Prior Year 8.1% 6.8% 3.6% School District of Lodi Page 10

12 Other Funds/Funding: Annual Meeting Report 2010 Gift Fund (Fund 21) This fund is used to account for trust funds that can be used for district operations. The source of such funds is gifts and donations from private parties. Cash and investment accounts in this fund are required as specified by donors. There may be a fund balance in this fund. For the fiscal year the district received $15, in gifts and donations. Pupil Activity Account (Fund 60) This fund is used primarily to account for assets held by the district for pupil organizations. Funds held for parent organizations may be accounted for in this fund and are accounted for as a liability to the parent organization. Parent organization funds may be accounted for in Fund 60. The parent organization may not be a separate 501( c) (3) entity. Receipts such as pupil deposits for books, locks, etc; other receipts such as school lunch collections, athletic admissions and other fees may be temporarily deposited to agency fund checking accounts maintained at school locations until these items are remitted the district's business office for placement in required funds. The ending Fund 60 balance is $78, During the fiscal year , Fund 60 increased by $4, Scholarship Trust Fund (Fund 70) The district is fortunate to receive many scholarship donations for which the district becomes the trustee. These donations are accounted for in the Scholarship Trust Fund. The scholarships are either established to expend principal and interest or interest-only proceeds. The investments for the various scholarships total $214, as of June 30, The fund decreased during the fiscal year by $8, American Recovery and Reinvestment Act / Education Jobs Fund The district carried over a portion of the ARRA funding. Revenue allocation is divided as follows: Title I ($31,701), Flow Through ($189,164), and Early Childhood ($14,862). The funds are intended to improve standards and assessments, enhance data systems, improve teacher effectiveness, and build expertise at the local level through professional development and support. In addition, the district has received $501,043 of Education Jobs Funds; $300,000 of these funds has been dedicated for school year retaining current teaching staff positions Property Tax Levy Below is the proposed property tax which will be levied in November. Final certification of state aid was received on October 15 th. State aid is $197,766 less than aid received during the fiscal year. The property tax mill rate is dependent on the valuation growth within our district s municipalities. Equalized values dropped an average of 4.31% contributing to an increase in the mill rate. The total property tax levy estimated to meet the needs of the school year is $12,424,645, which is up 0.00% over last year. The rate of $11.37 per $1,000 of equalized value is an increase of $0.49 or more than last year ($10.88). The rate is used in general terms for comparison purposes but it is not intended to reflect an individual s property tax. School District of Lodi Page 11

13 PROPOSED PROPERTY TAX FUND PROPOSED BUDGET General Fund (10) 10,116,740 Property Tax Chargebacks (10) 3,669 Debt Service Fund (30) 2,074,953 Capital Projects Fund (41) 50,000 Community Service Fund (80) 179,283 TOTAL SCHOOL LEVY 12,424,645 PERCENTAGE INCREASE OVER PRIOR YEAR 0.00% Tax Levy Explanation The tax levy is the total amount of property taxes levied or assessed to municipalities in our school district to fund school operations. The maximum tax levy amount, other than referendum-approved long-term debt or long-term debt incurred prior to 1993, is determined through the state s revenue cap (limit) formula. Taxpayer approval, through the referendum process, is required if a school district wants to exceed the revenue limit. The tax levy approved at the Annual Meeting will be adjusted by the Board of Education when the Department of Public Instruction (DPI) has certified the district s state equalization aid amount for the which is to be received in Equalized valuation is the fair market value of all properties within a school district as determined by the Wisconsin Department of Revenue. The Wisconsin Department of Revenue uses property sales information to determine a municipality s equalized fair market valuation. This information is reported to the school district in October of each year. The school district distributes the certified (approved) tax levy among the municipalities according to the proportion of equalized value each municipality has in comparison to the total equalized value of the school district. Each municipal treasurer distributes this levy among the various residents based on the assessed value of the property within the municipality. Equalized valuation plays a very important role in determining the school mill (tax) rate. For purposes of levy projections, the school district used the equalized value of $1,092,082,191 as provided by the Department of Revenue. The equalized property value decreased by 4.31% over the prior year. To calculate the school mill (tax) rate, the district uses the tax levy certified (approved) by the School Board in October and divides that amount by the total equalized value of the school district. The mill rate is defined as the rate one dollar per thousand dollars of equalized valuation will raise in property taxes. Property owners in a municipality having more than one school district, fire district, or other governmental entity may find that mill rates vary within the municipality. Property owners may realize different changes (typically increases) in their property assessments depending upon conditions within their community and surrounding communities. The Board is proposing a total tax levy of $12,454,645 to fund the district budgets. To determine the rate per thousand, the district divides $12,424,645 by the equalized value of the district, $1,092,052,191. This produces a projected mill (tax) rate of $ The Board is required to make any further adjustments to the levy on or before November 1, School District of Lodi Page 12

14 Mill Rate (per $1,000) Mill Rate (per $1,000) Enrollment History (Aid Membership) State Equalization Aid History $8,000, $7,000, $6,000, $5,000, $4,000, $3,000, $2,000, $1,000, School District of Lodi Page 13

15 Appendix A- August 2009 Annual Meeting Minutes School District of Lodi Annual Meeting Minutes August 31, 2009 The Budget Hearing of the School District of Lodi was called to order by School Board President Sue Miller at 7:00 p.m. in the Lodi School District Office Board Conference Room. She noted that proper public notice of the meeting had been given by posting 10 days prior to this meeting at the District Office, on the website, at the buildings, at the town halls, and by placing a notice in the Lodi Enterprise and the Portage Daily Register. School Board President Miller made the introductions. Present: Mrs. Miller, Mrs. Kutz, Mr. Paul, Mrs. Landsverk, Mr. Treinen, Mr. Wipperfurth, Mr. Otto Absent: None Present: Mr. Shimshak, Mr. Richter Absent: None No treasurer s report given as it is not mandated for the Budget Hearing. Business Manager Brent Richter stated that all of the information he was going to present was included in the Budget Hearing packet and the Annual Meeting packet. He started with the Presentation and Explanation of the Financial Report. Referring to the General Fund (Fund 10) table in the packet, Mr. Richter pointed out that a year ago a deficit of $300,000 was projected in the budget. Estimates ranged from $250,000 to $300,00 during the year and the final deficit amount was $273,984. General Fund highlights: June 30, 2008 fund balance of $4,740,433 or % and a projected June 30, 2009 fund balance of $4,466,499 or %. The last time the fund balance percentage was at this level was the fiscal year. Fund balance percentages around 17% to 19% will lead to short term borrowing similar to the period from 2000 to The net open enrollment dollar amount if -$145,526. For the school year, a 20 reduction in FTE membership would equate to $193,717 and would qualify for a one year declining enrollment non-recurring exemption. A similar 20 reduction in FTE membership for the year would equate to an unknown amount, possibly $200,000. The three year history of interest on investments are as follows: $104,834 during , $77,967 during , and $55,847 during Fund 27, Fund 39, Fund 41, Fund 50, Fund 80, and Fund 96 ended the year as expected. The Capital Project Fund 41 balance declined by $27, The proposed Tax levy of $12,433, will increase the property tax for property valued at $250,000 by $ President Sue Miller called the Annual Meeting to order at 7:38 p.m. Mrs. Miller noted that all the proper public notice of meeting had been given by posting 10 days prior to this meeting at the District Office, on the website, at the buildings, at the halls, and placing a notice in the Lodi Enterprise and the Portage Daily Register. Motion by Paul /Landsverk to appoint Sue Miller to serve as chairperson for the Annual Meeting. Motion by Otto/Wipperfurth to close nominations. Motion carried on voice vote. The motion for Sue Miller to serve as chairperson carried unanimously on voice vote. Motion by Treinen/Kutz that Mike Shimshak act as parliamentarian for the Annual Meeting. Motion by Wipperfurth/Kutz to close nominations. Motion carried on voice vote. School District of Lodi Page 14

16 Motion by Treinen/Paul that David Dyb serve as ballot teller. Motion by Shimshak/Wipperfurth to close nominations. Motion carried on voice vote. Motion by Treinen/Wipperfurth to approve the minutes of the Budget Hearing and Annual meeting of August 31, Motion carried on voice vote. Motion by Paul/Kutz that the Board of Education salaries remain the same as last year. Motion carried on voice vote. Motion Treinen/Otto to authorize reimbursement of School Board members expenses. Motion carried on voice vote. Motion Wipperfurth/Paul to authorize the Board of Education to obtain legal counsel for Board of Education and the School District of Lodi. Motion carried on voice vote. Motion Paul/Otto for the School District of Lodi to acquire Real Estate. Another meeting will be needed since there is no specific Real Estate. Motion Landsverk/Shimshak to authorize the Board of Education to set the date for the 2010 Budget/Annual Meeting within the guidelines established by Wisconsin Statutes and that the 2010 School District of Lodi Budget/Annual Meeting be held on August 30, Motion carried on voice vote. Motion Kutz/Wipperfurth to authorize the Board of Education to dispose of surplus property/real estate. Motion carried on voice vote. Motion Kutz/Paul to adopt total tax levy of $12,430, of which $10,204, is the General Fund Levy, $50, is the Capital Projects Fund Levy, $2,065, is the Irrepealable Debt Service Levy, and $111, is the Community Service Fund Levy. Motion carried on voice vote. There were 12 registered votes present representing the following municipalities: City of Lodi.2 Town of Lodi...3 Town of Dane..1 Village of Dane 0 Town of Arlington...4 Town of Dekorra..0 Town of Roxbury. 0 Town of Vienna...0 Town of West Point.2 There was no new business. Motion Treinen/Kutz to adjourn the meeting at 7:40 p.m. Motion carried on voice vote. Respectfully submitted, Kenneth Treinen, Clerk School District of Lodi Page 15