October 4, 2021 at 6:00 PM - Budget Committee Meeting

Description:  The purpose of this agenda item is to review the end of the fiscal year financial reports that were presented to the School Board at the September Regular Meeting. Attached please find the Annual Meeting Treasurer's Report, an all Funds fund balance report and a fund balance report detailing the accounting of the Fund 10 937900 and 938900 fund balance accounts. Administration will share a high level overview with the Committee.

 

Description:  The purpose of this agenda item is to discuss the topic of a debt service defeasance and tax rate consistency across fiscal years. Attached please find information on the District's tax rate from 2009 - 2021. Also attached please find the tax rate and debt service information from the Third Draft of the Budget. 

In recent fiscal years the School Board has stated a financial goal of tax rate consistency. The reason for this goal is to allow for community, family and business planning regarding a large expenditure: property taxes. District Administration is seeking to confirm this School Board goal and review options for a debt service defeasance in order to accomplish this goal. Erik Kass from the District's financial advisor firm, PMA, will join the meeting via Zoom to provide information to the Committee members on this topic. Administration will be seeking feedback from the Committee members on this topic.

Description:  The purpose of this agenda item is to review the 2021-22 District transportation budget. During the 2019-20 fiscal year, the District operated 26 Pre-K through 12 double-transportation routes. During the 2021-22 fiscal year, the District is operating 19 Pre-K through 4 routes and 22 5-12 routes. A double-transportation route costs approximately $50,000 for the entire school year. The 2021-22 budget will see a reduction in transportation costs that exceeds $200,000.

Lamers continues to be short-staffed for bus drivers. We are offering a $1,000 sign on bonus and a $1,000 referral bonus for any new drivers. The District is partnering with Lamers to seek additional bus drivers because of the impact that the driver shortage has on District programs like co-curricular. Administration is seeking feedback from the Budget Committee on the topic of providing an incentive bonus to existing bus driver staff. One idea would be to match the new hire bonus. A concern that we have for existing drivers relates to their ability to go work for another bus company to earn their new hire bonus. The funds for the bonus program will come from savings from the existing transportation budget.

Description:  The purpose of this agenda item is to review the concept of the District providing our own special education transportation. There are three major advantages to this approach:

1. Cost savings. A new van purchase plus the cost of a driver will pay for itself within two school years and we know that the van should be operational for at least five years.
2. Driver availability: Drivers do not need a bus driver's license to operate a van, significantly increasing the pool of drivers. In addition, we can work with the students' special education para educator to see if they can become the driver of the van.
3. Improved service for students/families: A dedicated van will allow the District to ensure that students are transported to and from school in a timely manner, not having to fit within existing bus routes.

Attached please find a quote for new special education vans. Tiffany Loken, Special Education Director, will be present at the meeting to share additional information and to review this information with Budget Committee members. Administration is recommending reallocation of existing transportation funds towards the van purchase, if supported by the Budget Committee. Please also note that van purchases like this would be eligible for State Special Education Categorical Aid if purchased with local funds.

Description:  The purpose of this agenda item is to discuss the additional special education para educators that were approved by the School Board, after the Third Draft of the Budget was approved in July. Please note that special education para educators are eligible for State Special Education Categorical Aid, if funded with local funds. These positions can also be funded through Federal Flow Through funds; however, they are then not eligible for State Special Education Categorical Aid. Tiffany Loken, Special Education Director, has filed transfer of service requests for any eligible special education student. The requests for special education total $311,117.53, with $220,986.00 eligible to increase our 2021-22 budget. The difference between the two numbers is the amount of estimated State Special Education Categorical Aid.

Administration is recommending the funding of all para educator positions through local funds. We are seeking input from the Budget Committee.

Description:  The purpose of this agenda item is to request Budget Committee feedback on the topic of the Banking Request for Proposal process. The District received four banking proposals. The banking proposals are attached for your review. 

The District currently banks with the State Bank of Cross Plains. The State Bank provides low cost banking services with a high quality of customer service. The reason for the Request for Proposal process is a requirement in School Board policy to seek proposals on a minimum of a five-year basis. The District spends approximately $6,000/year on banking services. The Request for Proposal process includes three proposals with banking services at low or no cost. These proposals are from the State Bank of Cross Plains, One Community Bank, and Fortifi Bank. In addition to the fees, it is important to evaluate the interest rate that is offered on District resources deposited at our local bank. The One Community Bank proposal includes both the lowest fees and the highest interest rate on District deposits. The State Bank of Cross Plains proposal is a no fee proposal with a lower interest rate than the one proposed by the One Community Bank. The Fortifi Bank proposal includes low fees with a higher interest rate than what was proposed by the State Bank of Cross Plains. The proposal from BMO Harris is competitive but does include banking fees for the District. Overall, the One Community Bank proposal provides the best financial value for the School District. Administration is seeking input from the Committee members regarding this topic.

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