Oct 08, 2024 Special School Board Study Session

[00:00:01]

>> [NOISE] THE TIME IS NOW 6:00 PM.

[1. CALL TO ORDER]

MADAM SECRETARY, DO WE HAVE A QUORUM?

>> YES, WE DO.

>> THANK YOU. WE WILL NOW MOVE INTO CLOSED SESSION PURSUANT TO

[3. CLOSED SESSION]

WE WILL RECONVENE IN OPEN SESSION AT APPROXIMATELY 7:00 PM.

THANK YOU FOR COMING AND SEE YOU IN A BIT.

[NOISE] THE TIME IS NOW 7:11,

[4. RECONVENE INTO OPEN SESSION (Approximately 7:00 PM)]

GOOD EVENING. I AM JAMES SPRADLEY, PRESIDENT OF THE EANES ISD BOARD OF TRUSTEES.

ON BEHALF OF THE TRUSTEES AND THE ADMINISTRATION, WELCOME TO TONIGHT'S MEETING.

I WANT TO THANK OUR COMMUNITY MEMBERS WHO ARE OUT TONIGHT AND ALSO WATCHING THE LIVE VIDEO AND THE REPLAY FOR SHOWING AN INTEREST IN OUR SCHOOL DISTRICT AND OUR COMMUNITY.

THE PURPOSE OF TONIGHT'S MEETING IS FOR THE BOARD TO DELIBERATE AND VOTE ON MATTERS LISTED ON ITS AGENDA.

THERE IS AN OPPORTUNITY IN OUR MEETINGS FOR THE PUBLIC TO SPEAK TO THE BOARD.

HOWEVER, WE HAVE NO ONE SIGNED UP TO SPEAK TONIGHT.

THANK YOU FOR JOINING US AND YOUR INTEREST IN OUR COMMUNITY.

WE WILL NOW BEGIN OUR AGENDA.

OUR SUPERINTENDENT'S REPORT, DR. ARNETT.

[5. SUPERINTENDENT'S REPORT]

>> THANKS, MR. SPRADLEY, MEMBERS OF THE BOARD.

WELCOME, EVERYBODY. IT'S GREAT TO BE WITH YOU AGAIN.

WE'RE GOING TO START THIS EVENING WITH JUST A QUICK OVERVIEW OF SOME THINGS GOING ON IN THE SCHOOL DISTRICTS, SOME POSITIVE NEWS.

LAST WEEK, WE BEGAN OUR ANNUAL STATE OF THE DISTRICT SERIES, WHAT WE'RE CALLING BEHIND THE SCENES THIS YEAR.

WE'VE HAD TWO PRESENTATIONS SO FAR.

WE WERE AT THE HIGH SCHOOL TODAY.

THANKS TO DIANE AND HEATHER FOR JOINING US.

HAD A NICE AUDIENCE, BOTH IN THE ROOM AND ON ZOOM FOR THAT PRESENTATION.

NEXT WEEK, WE HAVE THREE PRESENTATIONS COMING UP.

WE'RE ENJOYING THE CONVERSATIONS THAT WE'RE HAVING WITH PARENTS PRIMARILY AND COMMUNITY MEMBERS, AND, OF COURSE, THERE'S A SERIES OF STAFF, VERSIONS OF THIS THAT WE'LL BE DOING AS WELL.

BUT THESE ARE SOME OF THE UPCOMING DATES THAT YOU CAN SEE ON THE SCREEN FOR COMMUNITY MEMBERS AND FOR PARENTS TO JOIN US IN THIS DIALOGUE.

I WANTED TO UPDATE YOU ON THAT.

THEN LAST WEEK, WE WAIT EVERY YEAR FOR THE ANNUAL NICHE RANKINGS TO COME OUT.

ONCE AGAIN, VERY PROUD OF EANES ISD, THE HARD WORK OF OUR STAFF, AND OUR STUDENTS, THE SUPPORT OF OUR COMMUNITY REPRESENTED IN THESE TOP RANKINGS NATIONALLY.

THIS EXPECTATION AND STANDARD NOW THAT HAS BEEN ESTABLISHED THAT WE WORK REALLY HARD TO LIVE UP TO EVERY YEAR.

ONCE AGAIN, IF YOU LOOK AT EANES AS A SCHOOL DISTRICT, RANKED NUMBER 1 IN AUSTIN, NUMBER 1 IN TEXAS.

WE'RE NUMBER 7 NATIONALLY.

HOWEVER, IF YOU LOOK AT THE TOP 7 SCHOOL DISTRICTS NATIONALLY, THREE OF THEM ARE HIGH SCHOOL ONLY DISTRICTS.

WE ARE NUMBER 4 IN THE US FOR K-12 DISTRICTS.

ALSO VERY PROUD OF THE FACT THAT OUR DISTRICT IS RANKED NUMBER 5 IN TERMS OF THE BEST TEACHERS IN THE STATE OF TEXAS.

THE HIGH SCHOOL WAS RANKED NUMBER 1 IN AUSTIN, NUMBER 1 IN THE STATE, NUMBER 19 IN THE NATION, AND NUMBER 102 IN TERMS OF THE BEST COLLEGE PREP PROGRAMS IN THE US.

OUR MIDDLE SCHOOLS BOTH RANKED NUMBER 1 AND NUMBER 2 IN THE AUSTIN AREA, TOP 5 IN THE STATE.

ALL SIX OF OUR ELEMENTARIES RANKED 1, 2, 3, 4, 5 AND 6 IN THE AUSTIN AREA AND TOP 20 IN THE STATE OF TEXAS.

REALLY PROUD OF THESE RANKINGS, AND WE'RE SHARING THIS IN OUR PRESENTATIONS AS WE GO AROUND AND HAVE THIS CONVERSATION WITH OUR COMMUNITY.

I WANTED YOU TO HAVE THAT GOOD NEWS.

THEN ON SEPTEMBER THE 25TH, THE HIGH SCHOOL HOSTED THE NATIONAL MERIT SEMIFINALISTS LUNCHEON.

I KNOW HEATHER, YOU WERE ABLE TO ATTEND THAT.

TWENTY-SEVEN STUDENTS FROM WEST LAKE HIGH SCHOOL WERE RECOGNIZED THIS YEAR.

THEY ARE LESS THAN 1% OF ALL HIGH SCHOOL SENIORS IN THE US.

IT WAS A REALLY FUN DAY.

A NEW APPROACH TO RECOGNIZING OUR NATIONAL MERIT SEMIFINALISTS, AND I KNOW THAT THE PARENTS AND STAFF ENJOYED THE OPPORTUNITY TO HONOR THOSE STUDENTS.

SPEAKING OF HONORING INDIVIDUALS, I WANT TO THANK ELLEN.

YESTERDAY, YOU HOSTED THE EANES HISTORY GROUP, AND WE RECOGNIZED DR. NEWT HASSON.

HE IS A LEGEND IN OUR COMMUNITY, TO HEAR HIS STORIES NEARLY 40 YEARS OF SERVING AS THE TEAM PHYSICIAN FOR WEST LAKE FOOTBALL.

YOU CAN SEE THE FOUR STATE CHAMPIONSHIP RINGS THAT HE PROUDLY DISPLAYS.

YOU HAD A HUGE CROWD AT THE LIBRARY AND LAURA'S LIBRARY.

HIS STORIES, HIS MEMORIES, REALLY ARE FASCINATING, HUMOROUS.

IT WAS TIME WELL SPENT.

THAT WAS HOSTED BY REX HOOVER AND JOE TAYLOR.

THEY WERE GREAT MODERATORS, AS WELL.

IT WAS REALLY A FUN AFTERNOON.

THAT'S JUST A REALLY QUICK SNAPSHOT OF SOME GREAT THINGS GOING ON IN OUR SCHOOL DISTRICT.

ANY QUESTIONS THAT YOU MIGHT HAVE? ANY REFLECTIONS?

>> HEATHER.

>> THIS ISN'T A QUESTION. IT'S JUST A COMMENT.

[00:05:01]

KUDOS TO ALL OF YOU IN THE ROOM, BUT THEN ALSO TO THOSE THAT AREN'T HERE TONIGHT BECAUSE I KNOW THEY WORK SO HARD TO MAKE SURE THAT OUR STUDENTS ARE LEARNING AND DOING THE THINGS THAT THEY NEED TO BE DOING.

ALSO, THOSE NATIONAL MERIT SEMIFINALISTS, THE FACT THAT WE HAVE 27, AGAIN I HAD THE OPPORTUNITY TO CHAT WITH THEM ABOUT WHAT THEY'VE BEEN DOING IN HIGH SCHOOL.

I'M PRETTY SURE THEY ARE SMARTER THAN EVERY ADULT THAT WAS IN THAT ROOM, INCLUDING ME.

BUT THEY ARE JUST IMPRESSIVE KIDS.

THE FACT THAT WE HAVE 27 WHERE ANOTHER NEIGHBORING DISTRICT HAS TWO, IT JUST CONTINUES TO BLOW MY MIND EVERY SINGLE YEAR.

THANKS AGAIN TO ALL OF OUR STAFF FOR HELPING THEM TO GET TO WHERE THEY ARE, AND OBVIOUSLY, THOSE STUDENTS THEMSELVES DESERVE A LOT OF THE ACCOLADES BECAUSE THEY ARE WORKING THEIR BOOTIES OFF. CONGRATS TO THEM.

>> THANK YOU, DR. ARNETT.

WE WILL NOW MOVE INTO OUR REPORT SECTION OF THE MEETING.

[7.1 Board Strategic Priority: Financial, facility and asset management a. Facility educational specifications b. Financial update]

WELL, THESE BOTH, BY THE WAY, FALL UNDER THE BOARD STRATEGIC PRIORITY OF FINANCIAL FACILITY AND ASSET MANAGEMENT.

WE WILL START WITH OUR FACILITY EDUCATIONAL SPECIFICATIONS.

TOM OEHLER IS NOT ABLE TO JOIN US TONIGHT, BUT SARA KOPROWSKI IS HERE FROM VLK, AND KRISTY SAILORS.

THANK YOU BOTH FOR BEING HERE.

I WILL TURN IT OVER TO YOU.

>> GOOD EVENING, EVERYONE.

GOOD EVENING. MY NAME IS SARA KOPROWSKI, AND I'M THE EDUCATIONAL PLANNER WITH VLK ARCHITECTS.

AGAIN, TOM CAN'T BE HERE TONIGHT.

HE WISHES HE COULD, BUT HE FULLY SENT ME TO TALK ABOUT THE EDUCATIONAL SPECIFICATIONS PROCESS THE EANES HAS BEEN GOING THROUGH THE PAST ABOUT YEAR OR SO.

TONIGHT, WE'RE GOING TO TALK ABOUT EDUCATIONAL SPECIFICATIONS.

I'M GOING TO REVIEW THE ACTUAL PROCESS THE EANES ISD HAS BEEN GOING THROUGH, TALK A LITTLE BIT ABOUT AN EXECUTIVE SUMMARY AND THE OUTCOMES, AND THEN TALK ABOUT THE RECOMMENDATIONS FOR THE BOARD FOR APPROVAL.

AS YOU MAY KNOW, THE EDUCATIONAL SPECIFICATIONS ARE A PIECE OF YOUR LONG RANGE FACILITY PLANNING COMPONENTS.

RIGHT NOW, YOU'RE PLANNING FOR THE FUTURE OF YOUR COMMUNITY AND GOING THROUGH LONG RANGE FACILITY PLANNING.

IT IS REQUIRED BY TEA THAT EDUCATIONAL SPECIFICATIONS ARE ADOPTED AND APPROVED AND ARE A PART OF THE LONG RANGE FACILITY PROCESS AND REPORT.

EDUCATIONAL SPECIFICATIONS, AGAIN, ARE PART OF TEA CODE, 61.036 IF YOU'RE VERY INTERESTED IN THAT.

IS VERY GREAT READING TONIGHT IF YOU WOULD LIKE TO LOOK THROUGH THEM.

BUT BASICALLY, IT SAYS THAT YOU ARE TO CREATE AND APPROVE ED SPECS, WHICH ARE A GUIDANCE, SOMEWHAT OF A BLUEPRINT OF WHAT YOUR FACILITIES AND SPACES SHOULD LOOK LIKE FOR THE FUTURE OF YOUR STUDENTS.

I'M GOING TO GO THROUGH HERE IF YOU DO NOT MIND.

I'M JUST GOING TO CALL THEM ED SPECS BECAUSE EDUCATIONAL SPECIFICATIONS ARE BIG.

I'M GOING TO CALL THEM ED SPECS FROM HERE ON OUT.

WE HAD THE ABSOLUTE PLEASURE OF GETTING TO WORK WITH 10 OF YOUR DISTRICT COMMITTEES.

WITHIN EANES, WE DID TAILOR THE ED SPECS PROCESS TO MAKE SURE THAT WE HEARD THE VOICE FROM EACH ONE OF YOUR UNIQUE CAMPUSES AND INCLUDED THOSE WITHIN THE EDUCATIONAL SPECIFICATIONS.

WE HELD BETWEEN NOVEMBER 2023 AND MARCH 2024, 10 DIFFERENT ED SPECS MEETINGS WITH EACH CAMPUS REPRESENTING AND PROVIDING INPUT AND VOICE INTO WHAT TEACHING AND LEARNING SHOULD LOOK LIKE WITHIN THEIR UNIQUE CAMPUS SITUATION.

DURING THOSE MEETINGS, ONE OF THE BIG THINGS THAT WE FOCUS ON IS THE EXPERIENCE OF THE STUDENT, AND WHAT THAT LOOKS LIKE AND HOW THAT TRANSLATES INTO THE ACTUAL LEARNING ENVIRONMENT.

THESE ARE SOME OF THE OUTCOMES THAT WERE COLLECTED FROM THE 10 MEETINGS THAT CAME FROM THOSE MEETINGS.

THERE WERE OVERALL THEMES.

SOME OF THOSE THEMES THAT EMERGED WERE STUDENT CHOICE, MAKING SURE THAT WE HONOR THEIR PASSIONS AND EANES ISD, ENGAGEMENT AND PROMOTING CURIOSITY AND INVOLVEMENT.

ANY OF THE SPACES THAT WERE CREATED FROM HERE ON OUT ARE FUTURE RENOVATIONS THAT HAPPENED.

WE WANTED TO KEEP THOSE BIG STUDENT EXPERIENCE AND STAFF EXPERIENCE THEMES IN THE BACKGROUND WHEN WE THINK ABOUT THOSE.

THIS IS ALWAYS ONE OF MY FAVORITE, BUT WE GET TO GO THROUGH AND ASK EACH ONE OF THE CAMPUSES,

[00:10:01]

EACH CAMPUS WAS ABLE TO PROVIDE FEEDBACK ON THINGS THAT THEY SAY THAT THEY WOULD DEFINITELY KEEP.

THIS IS REALLY PROMOTING THE OVERALL STUDENT LEARNING EXPERIENCE WITHIN THEIR LEARNING ENVIRONMENT, AND THINGS THAT THEY THOUGHT THAT MIGHT BE HINDERING THAT LEARNING EXPERIENCE, THINGS THAT WERE BLOCKERS, THAT IF THEY COULD CHANGE, THEY DEFINITELY WOULD DO SO.

ONE OF THE OTHER THINGS WE DID WAS PROVIDE A TYPOLOGY OF SPACES.

THESE ARE ACTUALLY 8-10 DIFFERENT BOARDS WITH IMAGES OF DIFFERENT LEARNING ENVIRONMENTS FROM TRADITIONAL ENVIRONMENTS TO VERY INNOVATIVE FUTURISTIC ENVIRONMENTS.

WHAT WE ASKED THEM TO DO IS TO PROVIDE FEEDBACK ON WHAT THAT LOOKS LIKE AND WHAT THEY THINK WOULD ACTUALLY PROMOTE THAT LEARNING EXPERIENCE FOR THEIR STUDENTS, THEIR INDIVIDUAL CAMPUS.

THIS CAN RANGE FROM EVERYTHING FROM CARPET TO BLINDS, NATURAL LIGHTING.

THEY GET TO POST STICKY NOTES AND WE TAKE ALL OF THAT DATA.

THESE ARE SOME OTHER CENTRAL THEMES THAT EMERGED.

A LOT OF THOSE, WE WILL SEE NATURAL LIGHT.

NATURE WAS VERY IMPORTANT IN EANES TO BRING THAT NATURE IN AND ALSO HONORING THE COMMUNITY AND CULTURE OF EACH INDIVIDUAL CAMPUS AND WHAT THAT LOOKS LIKE FOR THEM AROUND THE DISTRICT.

THEN WE HAVE A GAMING EXERCISE.

A PIECE OF EDUCATIONAL SPECIFICATIONS IS THAT YOU IDENTIFY THE FUNCTION AND ADJACENCIES WITHIN A LEARNING ENVIRONMENT.

REALLY, HOW IT JUST WORKS, YOU'RE NOT DESIGNING A SCHOOL.

YOU'RE DISCUSSING WITH ONE ANOTHER, HOW DO WE WANT A NEIGHBORHOOD OR A WING OR A POD TO FUNCTION AS WE TEACH? DO WE WANT THEM IN A ROW? DO WE NEED COLLABORATION AREAS? WHAT DOES THAT LOOK LIKE AS A TEACHER, AND HOW WOULD THAT FUNCTION BEST? AGAIN, SOME OF THOSE THEMES THAT CAME OUT COLLABORATIVELY WERE SAFETY, COLLABORATION, MULTI PURPOSE AND EFFICIENCY.

I HEARD A WHOLE LOT THAT EVERYTHING SHOULD BE VERY EFFICIENT AND THINGS SHOULDN'T HAVE ONE USE.

WHEN WE LOOK AT SOMETHING IN THE FUTURE, THERE SHOULD BE A MULTI PURPOSE PIECE TO ALL OF THE LEARNING ENVIRONMENTS PROVIDED.

YOU CAN SEE IN SOME OF THESE IMAGES, STUDENTS, TEACHERS, SOME PARENTS, PRINCIPALS WERE THERE, BUT INCLUDING THE STUDENTS.

WE SO APPRECIATE YOU ALLOWING US TO INCLUDE STUDENTS IN THIS ENVIRONMENT OR IN THIS WHOLE LEARNING EXPERIENCE, BECAUSE I KNOW HAVING AN EIGHT YEAR OLD, THERE IS NO BETTER TRUTH THAN AN EIGHT YEAR OLD WHEN THEY GET TO TELL THEIR EXPERIENCE.

I APPRECIATE EANES ALLOWING US TO HAVE THEM THERE.

THEY REALLY DID PROVIDE SOME GREAT, MEANINGFUL FEEDBACK DURING THESE MEETINGS.

THIS IS THE CHUNK OF THE MEETING, AND REALLY THE RECOMMENDATION, THE CONCLUSION THAT I'D LIKE TO DRAW YOUR ATTENTION TO.

WITHIN THE 10 MEETINGS THAT WE HAD, THERE WERE SEVEN OVERARCHING DESIGN PRIORITIES OR THEMES THAT WE WOULD LIKE FOR YOU TO TAKE INTO CONSIDERATION MOVING FORWARD WHEN WE LOOK TO ADOPT OR APPROVE THE EDUCATIONAL SPECIFICATIONS.

NUMBER 1, THEY'RE FLEXIBLE.

TWO, MULTI PURPOSE AND EFFICIENT.

THREE, TECHNOLOGY WAS A BIG PIECE, MAKING SURE THAT IT WASN'T JUST INTEGRATED TECHNOLOGY, BUT IT WAS VERY SUPPORTED IN THE TECHNOLOGY USE.

WI-FI AND ACCESS WAS THERE FOR THEM.

FOUR, SAFETY AND SECURITY.

FIVE, INCLUSIVELY AND ACCESSIBILITY.

WHEN WE THINK ABOUT MAKING SURE THAT WE'RE CONSIDERING ALL OF OUR STUDENTS AND ALL OF OUR STAFF AND COMMUNITY MEMBERS, AND MAKING SURE THAT BUILDINGS ARE ACCESSIBLE AND INCLUSIVE.

SIX, THIS ONE WAS A GREAT ONE TO TALK ABOUT, ESPECIALLY WITH YOUR TEACHERS.

THEY REALLY VALUE PROFESSIONAL LEARNING AND PD.

THEY WANTED SOME SPACES TO BECOME PROFESSIONAL.

THEY SAID WHEN THE STUDENTS WALK IN AND IT'S PROFESSIONAL LOOKING, WHEN THEY GO INTO A SPACE AND IT'S PROFESSIONAL, IT MAKES THEM FEEL THEY'RE VALUED AND FEEL SUPPORTED IN THEIR LEARNING.

CONSIDERING THE PROFESSIONALISM OF TEACHER SPACES, AND THEN NUMBER 7 WAS JUST COLLABORATION.

WE WANT OUR STUDENTS TO TALK AND BUILD THOSE SOFT SKILLS, WHICH WERE VERY IMPORTANT IN EANES, THAT WE NEED TO PROVIDE THE SPACE FOR THE STUDENTS TO ACTUALLY PRACTICE THOSE SKILLS.

THEN BASED ON TEA, IT IS RECOMMENDED THAT THE BOARD OF TRUSTEES APPROVES THE EDUCATIONAL SPECIFICATIONS, AND THOSE ARE THEN INCLUDED AS A PART OF YOUR LONG RANGE FACILITY PLAN.

THAT WOULD BE THE ACTION TO APPROVE NEXT BOARD MEETING OR CONSIDER APPROVAL FOR THESE TO BE INCLUDED.

I'M HAPPY TO ANSWER ANY QUESTIONS AT THIS TIME.

>> THANK YOU VERY MUCH. TRUSTEES, QUESTIONS?

>> I DO HAVE SOME QUESTIONS, SO THANK YOU.

>> OF COURSE.

>> THANK YOU, SARA, FOR THE PRESENTATION AND THIS INFORMATION.

WERE THESE CONSISTENT? IF YOU GO BACK TO THE RECOMMENDATIONS AND CONCLUSIONS AND THE SEVEN RECOMMENDATIONS, WAS THERE CONSISTENCY ACROSS ALL 10 CAMPUSES OR WERE SOME OF THEM BUNCHED FROM A PRIMARY EDUCATION VERSUS A SECONDARY EDUCATION?

[00:15:05]

BUT I JUST WONDERED IF YOU HAD ANY THOUGHTS ON THAT?

>> WE DID PROVIDE SEPARATE COMMITTEE MEETINGS.

THERE WAS ELEMENTARY MEETINGS, AND THERE WAS A MIDDLE SCHOOL MEETING, AND THEN THE HIGH SCHOOL SECONDARY, AS WELL AS A DISTRICT MEETING.

THERE WAS ABOUT FOUR DIFFERENT INPUTS.

BUT WHEN WE LOOKED AT THEM ALL, AND I WANT TO SAY WHEN WE DUG THROUGH THE DATA AS A TEAM, 50-100 DIFFERENT THINGS THAT CAME ABOUT.

WHEN YOU STARTED TO LOOK AT THEM, THESE WERE THE OVERARCHING THEMES OF THEM ALL.

EDUCATIONAL SPECIFICATIONS ARE JUST A GUIDELINE AND MEANT TO BE FLEXIBLE.

IT IS JUST A CONSIDERATION AND FLEXIBILITY AND DESIGN PRIORITIES FOR A PERSON OR ARCHITECT CONSIDER WHEN GOING IN AND LOOKING AT THOSE SPACES.

WITHIN YOUR REPORT THOUGH, IT IS BROKEN DOWN BY DIFFERENT GRADE LEVELS OR GRADE LEVEL BANDS FOR MORE DETAILS.

>> GREAT. THEN I BELIEVE THIS IS THE FIRST TIME I'VE GONE THROUGH THIS PROCESS, SINCE IT'S EVERY FIVE YEARS.

>> THESE DON'T COME WITH ME, THEY'RE LEGISLATIVELY REQUIRED.

WE'RE DOING THAT, AND I THINK IT'S A GREAT IDEA AND IT'S A GREAT PROCESS TO BRING THE PROCESS THAT AS YOU DESCRIBED IT.

BUT THEN THERE'S A BUDGETARY COMPONENT OF THAT.

I GUESS MAYBE THIS IS A QUESTION FOR KRISTI.

WHERE IN OUR PROCESS AND IN LONG RANGE PLANNING, DO WE THEN LOOK AT THESE RECOMMENDATIONS? SHOULD THE BOARD APPROVE THEM AND WHERE THE BUDGETARY CONCERNS COME IN, IN BUDGETARY ESTIMATES IF THERE ARE CHANGES.

>> YES. WE WILL USE THESE SEVEN THEMES WHEN THE ARCHITECTS START TALKING TO THE CAMPUSES ABOUT THE DESIGN PHASE.

WE DON'T KNOW WHAT THESE SEVEN THEMES LOOK LIKE ON EACH OF OUR CAMPUSES.

THEN WE'LL TALK TO THOSE TEAMS, THE LONG RANGE FACILITY PLANNING COMMITTEE FOR THAT CAMPUS, WE'LL SIT DOWN WITH THE ARCHITECTS WITH SARAH AND TALK THROUGH, WHAT DOES COLLABORATION MEAN HERE? ARE YOU WANTING A BIG SPACE AT THE END OF THE POD? ARE YOU WANTING A CENTRAL LOCATION? DO YOU WANT ROOMS THAT CAN BE BIG AND SMALL THEN WE START DECIDING, WHAT DOES THIS LOOK LIKE? IF IT'S GOING TO BE A PARTITIONED WALL, WE HAVE AT THE DISTRICT OPERATION CENTER? IF THAT'S AUTOMATED, IT'S ELECTRIC, SO THAT'S GOING TO BE COST MORE.

DO WE NEED IT TO BE SOUND PROOF? ALL OF THOSE SPECIFICS, BUT WE HAVE TO DREAM BIG AND THINK WHAT WE WANT FIRST? THEN WE'LL START WORRYING ABOUT PRICE.

>> THANK YOU FOR THAT. THAT'S HELPFUL TO UNDERSTAND THE PROCESS.

AND IS THAT PROCESS THEN ALONG WITH THE PROCESS THAT WE'VE HAD WITH CAMPUS VOICES TALKING, ARE THOSE CAMPUS VOICES BROUGHT INTO OUR LONG RANGE PLANNING COMMUTE AND THE LONG RANGE COMMITTEE APPOINTEES, ARE THEY OTHER VOICES THAT COME IN AND TALK ABOUT HOW WE PLAN THAT? MAYBE THERE'S TWO QUESTIONS, AND ONE IS WHERE WE THINK WE ARE, AND THEN MAYBE FROM SARAH, ARE THERE BEST PRACTICES ON HOW WE DEVELOP THIS?

>> WELL. EACH OF THE CAMPUSES HAS THEIR OWN CAMPUS LONG RANGE FACILITY PLANNING COMMITTEE.

THIS WORK IS FOUNDATIONAL TO THEIR CONVERSATIONS.

THAT, OF COURSE, THEN FEEDS INTO THE WORK OF THE DISTRICT LEVEL LONG RANGE FACILITY PLANNING COMMITTEE THAT THE BOARD HAS APPOINTED.

ALL OF THESE GROUPS ARE WORKING IN CONCERT WITH EACH OTHER, IF THAT ANSWERS YOUR QUESTION.

>> THAT DOES. I GUESS AND THERE'S PROBABLY NOT AN ANSWER AT THIS POINT.

I GUESS I WAS TRYING TO BECAUSE THIS IS SO SPECIFIC TO CAMPUSES.

I UNDERSTAND THAT THERE ARE CAMPUS LEVEL LONG RANGE PLANNING, AS WELL AS THE DISTRICT LEVEL LONG RANGE PLANNING.

I WONDERED WHEN IT BECOMES A DISTRICT LEVEL, LONG RANGE PLANNING DECISION, AND THEN HOW THAT BUBBLES UP AND HOW THAT CONVERSATION CONTINUES, ESPECIALLY ON THIS, BECAUSE TO ME, IT'S SO CAMPUS SPECIFIC.

>> WE'RE IN THAT FUNNEL NOW.

THE LONG RANGE FACILITY PLANNING COMMITTEE IS CONSIDERING THE INPUT OF THE CAMPUS COMMITTEES.

CERTAINLY TAKING THIS INFORMATION INTO ACCOUNT.

EVENTUALLY, THAT'S GOING TO RISE TO THE DISTRICT LEVEL COMMITTEE, AND THEN THAT DISTRICT LEVEL COMMITTEE AND ITS CO CHAIRS WILL ACTUALLY PRESENT TO THE BOARD IN DECEMBER.

YOU'LL START TO HEAR THAT WORK MOVING TOWARDS SOME EVENTUAL CONCLUSION AND RECOMMENDATION.

>> HEATHER AND THEN LAURA.

>>, THANK YOU FOR BEING HERE, SARAH AND THANK YOU FOR YOUR WORK ON THIS, DR. SILWICH ALSO, I WAS NOT SHOCKED TO SEE WAY FINDING ON THE SPACE CONSIDERATIONS, ESPECIALLY, JUST KNOWING WHAT WE KNOW ABOUT THE HIGH SCHOOL AND STAFF,

[00:20:03]

NOT SHOCKED BY THAT. I DID HAVE THE OPPORTUNITY TO GO TO THE HIGH SCHOOL COMMITTEE AND ELLEN, I BELIEVE YOU WERE AT ONE OF THEM ALSO.

I THINK THAT WAS INTERESTING TO SEE HOW THE SAUSAGE WAS MADE ON THAT.

I REALLY APPRECIATED BLK WORK WITH THE STAFF TO SEE AND I KNOW PARENTS WERE INVOLVED IN THAT ALSO ON ALL THE CAMP.

I REALLY APPRECIATED THAT AND I THINK OUR STAFF APPRECIATED THAT TIME ALSO.

I AM ALONG KIM'S LINE OF QUESTIONING.

I'M HOPING THAT WHEN THE LONG RANGE FACILITIES PLANNING COMMITTEE COMES TO SPEAK TO US IN DECEMBER OR MAYBE IN ADVANCE OF THAT, WE DO HAVE A CONVERSATION AS A BOARD TO MAKE SURE THAT WE ARE ALL ON THE SAME PAGE, MAKING SURE THAT WE'RE ALL GOING TOWARDS THE SAME THINGS.

BECAUSE I DO THINK, JUST FROM YOUR QUESTIONING TONIGHT, AND THEN JUST SOME THINGS I'VE HEARD AS THE NEWEST MEMBER OF THE BOARD LIAISONS TO THAT COMMITTEE.

WILL THERE BE AN OPPORTUNITY FOR DISCUSSION WITH THE LONG RANGE COMMITTEE IN DECEMBER, OR WILL THAT BE SOMETHING THAT WE AS A BOARD TALK ABOUT BEFORE OR AFTER.

>> YOU ASKED IF WE WOULD HAVE A CHANCE TO HAVE A DISCUSSION WITH THE COMMITTEE?

>> WELL, NO JUST TO MAKE SURE THAT WE ARE ALL ON THE SAME PAGE.

I JUST WANT TO MAKE SURE THAT THE COMMITTEE HAS THE CHARGE, AND THAT EVERYBODY UNDERSTANDS THE ASSIGNMENT, AND THAT INCLUDES US.

[LAUGHTER]

>> WE'RE GOING TO HAVE HOLLY AND CRAIG COME IN IN DECEMBER AND PRESENT TO US.

AT THAT POINT, WE'LL DECIDE IF WE NEED A DISCUSSION AS A BOARD, I'VE ASKED THEM TO PROVIDE US WITH WHERE THEY THINK THEY'RE HEADED, AND WE CAN GUIDE DIRECTION BASED ON THAT.

BUT YES, THERE WILL BE A BOARD DISCUSSION.

>> GREAT. THANK YOU. THANK YOU AGAIN FOR ALL OF YOUR WORK.

>> LAURA, AND THEN ELLEN.

>> SIR, I DON'T HAVE A QUESTION FOR Y'ALL, I ACTUALLY WAS STILL THE LIAISON FOR A LONG RANGE.

WE CALL IT LURF PACK.

THANK YOU CHRIS SCOTT.

[LAUGHTER] I WAS A LIAISON FOR LURF PACK WHEN YOU AND TOM CAME AND WALKED THE DISTRICT LEVEL COMMITTEE THROUGH THE SAME PROCESS THAT THE CAMPUS LEVEL COMMITTEES HAD GONE THROUGH.

IT WAS VERY INTERESTING, IT WAS A GREAT EXERCISE.

WE ACTUALLY BROKE OUT INTO ELEMENTARY MIDDLE AND HIGH SCHOOL AND SO WE HAD THREE TEAMS WORKING AND GOING THROUGH THE SAME, IT WAS AN ABBREVIATED PROCESS BECAUSE WE HAD A LOT TO DO THAT NIGHT.

BUT WE GOT A FEEL FOR WHAT HAD BEEN GOING ON AT THE CAMPUS LEVEL COMMITTEES.

I WILL SAY THAT THESE SEVEN HIGH LEVEL RECOMMENDATIONS WERE IN LINE WITH WHAT OUR GROUP CAME UP WITH.

NOT DIGGING IN, THE DETAILS ARE GOING TO VARY A LITTLE BIT FROM CAMPUS TO CAMPUS, AND THAT'S OKAY.

BUT IT WAS REFRESHING TO SEE THAT WE'RE ALL IN ALIGNMENT WITH THE WHAT THE FUTURE OF OUR DISTRICT AND EDUCATION NEEDS.

WE KNOW IT'S FLEXIBLE SPACES, WE'VE BEEN TALKING ABOUT SAFETY AND SECURITY, WE'VE BEEN TALKING ABOUT ACCESSIBILITY AND TECHNOLOGY INTEGRATION, AND ALL OF THESE THINGS.

WE ARE CONSISTENT ACROSS THE BOARD SO THAT'S LOVELY TO SEE.

AGAIN, WHEN YOU START DRILLING DOWN, THERE WILL BE DIFFERENCES, BUT IF WE CAN SEE SEEING THIS HIGH LEVEL IS VERY HELPFUL FOR US. THANK YOU ALL.

>> THANK YOU, ELLEN, AND THEN DIANE.

>> THANK YOU BOTH. HAVING BEEN PART OF WHEN THE SAUSAGE WAS BEGINNING.

IT'S SO FASCINATING TO ME TO SEE IT BOIL DOWN TO THESE SEVEN PRIORITIES.

THEY DO MAKE ABSOLUTE SENSE IN TERMS OF WHERE WE'VE BEEN GOING EDUCATIONALLY FOR A TIME.

MY QUESTION IS, IT MAY BE PREMATURE, BUT I'M CURIOUS TO KNOW WHAT AN EDUCATIONAL SPECIFICATION LOOKS LIKE COMING OUT OF THE DESIGN PRIORITIES.

IS IT IS THERE A TECHNICAL DEFINITION, OR IS IT FROM A LAUNDRY LIST THAT THE STATE PROVIDES THAT YOU HAVE TO PICK.

IS IT L THE TICKS THAT YOU, IT'S ONE OF THOSE AND ONE OF THESE OR?

>> IT'S A REPORT. REALLY, IT'S JUST THE STANDARDS, IT GOES THROUGH.

THERE ARE PROBABLY SEVEN THINGS TO INCLUDE WITHIN AN EDUCATIONAL SPECIFICATIONS REPORT.

IT'S A REPORT THAT'S INCLUDED AS A PART OF THE LONG RANGE PLAN.

THESE ARE A REQUIREMENT OF THE REPORT, AS WELL AS THERE'S SOME OTHER COMPONENTS ABOUT,

[00:25:03]

YOU HAVE COMMUNITY INVOLVEMENT.

ALL OF THOSE PIECES ARE WITHIN THE REPORT THAT ARE THEN JUST PUSHED INTO THAT LONG RANGE FACILITY PLAN.

>> GOT IT.

>> WHEN YOU GO THROUGH TECH CODE, IT'S VERY ABC INCLUDE THESE, VERY BLACK AND WHITE.

>> THANKS.

>> THANK YOU, ELLEN. DIANE.

>> THANK YOU VERY MUCH. JUST TO REITERATE ON THAT, THESE MAKE ABSOLUTE SENSE.

I'VE BEEN A BOARD MEMBER PARTICIPATING IN THESE LURF PACK MEETINGS FROM THE BEGINNING.

I JUST WANTED TO ADD A COUPLE OF WORDS HERE.

I DO UNDERSTAND WHERE YOUR QUESTIONS ARE COMING FROM, KIM, WE HAVEN'T HAD MUCH OF A CHANCE TO TALK ABOUT THE PROCESS HERE AT THE BOARD LEVEL, BUT THOSE CONVERSATIONS ARE GOING ON AND HAVING YOU JUST UNDERSTANDING THE SENSITIVITY AROUND THE FACT THAT WE'VE DONE PLANNING IN THE PAST, AND SOMETIMES PEOPLE GET NERVOUS.

WHAT IS THE OUTCOME GOING TO BE, I'M FEELING PRETTY GOOD ABOUT WHERE WE'RE HEADED HERE AND THE TIMELINES THAT HAVE BEEN LAID OUT.

YOU'LL BE, AS YOU HEARD, HEARING MORE IN DECEMBER FROM THE COMMITTEE.

THERE IS GOING TO BE OPPORTUNITY, AND JUST WANTED TO SHARE THAT AS A BOARD MEMBER.

I'M FEELING PRETTY CONFIDENT IN WHERE WE'RE HEADED AND IN THE LEADERSHIP AND IN THE MEMBERSHIP THAT WE HAVE ON THE LURF PACK.

>> THANKS, DIANE. I HAVE A COUPLE OF QUESTIONS.

THEY HAVE NUMBERS NEXT TO THEM? ARE THEY RANKED BECAUSE I'D ALMOST RANK WITH THEM?

>> IF THAT WAS TO REDO IT, I PROBABLY WOULD JUST PUT LITTLE STARS NEXT TO EACH.

>> I'D RATHER SEE THEM NUMBERS, I THINK BECAUSE APPLIES A PRIORITY.

YOU'VE OBVIOUSLY SEEN THESE FOR DIFFERENT DISTRICTS.

DO YOU FEEL LIKE THERE'S ANYTHING WE'VE MISSED? ARE THESE IN LINE WITH WHAT YOU SEE FROM MOST DISTRICTS OR ANYTHING STAND OUT THAT MAYBE YOU WE MIGHT WANT TO ADD?

>> I DEFINITELY THINK THEY'RE IN LINE WITH MOST DISTRICTS.

I THINK THE ONE THING THAT IS A LITTLE BIT DIFFERENT THAT REALLY AS A FORMER EDUCATOR SPARKED MY LOVE OF LEARNING AGAIN WAS THE PROFESSIONALISM, THAT THE PIECE OF THE TEACHERS WANTING A PLACE TO PLAN OR A PLACE TO LEARN, THE PD, THE PROFESSIONAL DEVELOPMENT PIECE, AND THE DISCUSSION AROUND WHAT A PROFESSIONAL PLACE LOOKS LIKE FOR AN EDUCATOR WALKING IN A BUILDING.

THAT TO ME WAS A LITTLE BIT DIFFERENT, WE TALKED A LITTLE BIT ABOUT THE BIG HOLES THAT WERE DIFFERENT.

WE WOULD ALL COME IN AND SIT, BUT THINKING ABOUT WHAT THAT LOOKS LIKE FOR THE FUTURE OF YOUR TEACHERS, ESPECIALLY YOUNGER TEACHERS COMING IN AND THINKING ABOUT THAT GEN Z, THAT'S COMING IN AND WE WANT TO RECRUIT AND RETAIN.

THINKING ABOUT THE PROFESSIONAL SPACE, I WARMED MY HEART AS AN EDUCATOR TO SEE THAT AS A PRIORITY RISE TO THE TOP.

>>THANK YOU FOR THAT INSIGHT.

OBVIOUSLY, THESE ARE BASED ON THE CURRENT INPUT, WE'VE GOTTEN THROUGH THE FEEDBACK SESSIONS AND SUCH.

MY UNDERSTANDING FROM READING A PREVIOUS SLIDE WAS WE WOULD REVISIT THESE EVERY FIVE YEARS, OR WE WE'RE SUPPOSED TO REVISIT THESE EVERY FIVE YEARS.

>> WE'RE SUPPOSED TO REVISIT.

ME GO BACK TO THE ACTUAL TECH LANGUAGE RIGHT HERE FOR YOU.

YOU'RE SUPPOSED TO REVISIT THESE EVERY FIVE YEARS, ONCE THEY ARE ADOPTED AS A PART OF YOUR LONG RANGE PLAN, AND THEY'RE SUPPOSED TO BE PROVIDED BEFORE ANY MAJOR RENOVATION OR NEW FACILITY IS BUILT.

>> GOT IT. I'M CHALLENGED TO THINK ABOUT HOW THESE WOULD CHANGE OVER TIME.

BUT THE PROFESSIONAL DEVELOPMENT SPACES YOU'RE MENTIONING CERTAINLY MIGHT HAVE POPPED UP, SOMETHING LIKE THAT, MAYBE SITTING ON THE HORIZON HERE FOR US.

WE'LL JUST NEED TO REMEMBER TO REVISIT THESE IN A COUPLE OF YEARS. OF COURSE.

THANK YOU. ANY OTHER QUESTIONS FROM THE BOARD? ANYTHING YOU WOULD ADD?

>> I'LL ADD TO, YOU'RE NOT APPROVING ANYTHING TONIGHT.

WE WANTED TO GIVE THIS TO PROVIDE THE OPPORTUNITY OVER THE NEXT COUPLE OF WEEKS TO CONTINUE TO REVIEW THE DOCUMENT, YOU'LL HAVE IT AGAIN.

THEN YOU WOULD TAKE ACTION ON THIS AT THE OCTOBER 22ND MEETING.

>> THANK YOU.

>> THANK YOU BOTH.

>> THANK YOU.

>> SARAH AND CHRISTIE, THANK YOU VERY MUCH.

SARAH. AS CHRIS SCOTT IS COMING UP, WE POSITION THIS TONIGHT TO HELP YOU SEE THE PROGRESS TOWARD YOUR BOARD STRATEGIC PRIORITY, MANAGING OUR FINANCES FACILITIES AND ASSETS.

WHAT YOU JUST HEARD WAS REALLY PART A, IT HELPS TO SATISFY 5.3 IN YOUR GOALS, WHICH IS SYSTEMATIC AND SUSTAINABLE LONG RANGE FACILITY PLANS.

NOW THIS IS PART B, UNDER THE FINANCE PART OF THIS SPECIFIC PRIORITY.

THERE'S ACTUALLY GOING TO BE A PART C AT YOUR OCTOBER 22ND MEETING, WHICH WILL BE DR. SAYLORS RETURNING AND TALKING ABOUT ASSETS AND TECHNOLOGY.

BECAUSE THAT FALLS WITHIN THE SCOPE OF THIS PRIORITY AS WELL.

THEN, OF COURSE, YOU'LL VOTE ON THE EDUCATIONAL SPECIFICATIONS IN TWO WEEKS, TOO BUT FOR TONIGHT, YOU'RE GOING TO HEAR FROM CHRIS SCOTT, OUR CHIEF FINANCIAL OFFICER AS HE WALKS YOU THROUGH SOME UPDATES REGARDING OUR FINANCES.

>> IF I COULD POINT OUT REAL QUICK,

[00:30:01]

WHEN WE TALK ABOUT LONG RANGE FACILITIES, THOSE ARE BONDS, AND THAT MONEY IS DIFFERENT.

JUST TO KEEP IT CLEAR, THAT IF YOU'RE GIVING US SOME LESS THAN IDEAL NEWS IN YOUR REPORT, THAT THAT DOESN'T MEAN THAT WE CAN'T MOVE FORWARD WITH BUILDING THE FACILITIES WE NEED TO THROUGH BONDS.

>> THAT'S A REALLY GOOD POINT.

MANY TIMES, PARTICULARLY THE PUBLIC TENDS TO THINK OF OUR MONEY AS FUNGIBLE. IT COMES IN.

ONE PLACE, WE CAN SPEND IT WHEREVER WE WANT, AND THAT'S REALLY NOT THE CASE.

THERE'S A HARD LINE BETWEEN THE DEBT SERVICE BUDGET, WHICH IS HOW WE SERVICE OUR LONG TERM DEBT AND THE MAINTENANCE AND OPERATION BUDGET, WHICH IS HOW WE RUN OUR DAY TO DAY BUDGETS.

I WANTED TO START BY TOUCHING ON EVERYBODY'S FAVORITE SUBJECT, WHICH IS THE SCHOOL FINANCE SYSTEM.

I KNOW THAT IT CAN BE TEDIOUS, BUT I THINK IT'S IMPORTANT TO REALLY THINK ABOUT SOME OF THE SOURCES OF OUR MONEY, AS WELL AS WHERE OUR MONEY GOES TO REALLY UNDERSTAND WHAT WE'RE GOING TO BE TALKING ABOUT TONIGHT.

I'M GOING TO GO INTO A LITTLE BIT MORE DETAIL THAN I USUALLY DO EVEN.

WHEN WE'RE TALKING ABOUT OUR M&O TAX RATE, AS YOU KNOW, THERE'S TIER 1, WHICH IS WHERE MOST OF THE MONEY COMES IN, AND THEN THERE'S TIER 2, WHICH IS, FOR US, JUST THE GOLDEN PENNIES, BUT THERE'S OTHER SOURCES OF MONEY IN TIER 2 THAT WE'VE NEVER ACCESSED BEFORE.

TIER 1 IS WHERE ALL OF THE RECAPTURE TAKES PLACE.

THE IMPORTANT THING TO REMEMBER ABOUT TIER 1 IS THE AMOUNT OF MONEY THAT YOU GET TO USE OR KEEP IS INDEPENDENT OF HOW MUCH MONEY YOU TAKE IN.

IT'S SOLELY A FUNCTION OF WHAT YOUR STUDENT POPULATION LOOKS LIKE.

HOW MANY KIDS DO YOU HAVE? HOW MANY KIDS DO YOU HAVE THAT FIT INTO CERTAIN EDUCATIONAL CATEGORIES, THAT MIGHT GET ADDITIONAL FUNDING? THAT'S ALL BASED ON WHAT'S KNOWN AS THE BASIC ALLOTMENT.

IF YOU LOOK DOWN AT THAT BOTTOM, ACTUALLY, LOOK AT THE THIRD BULLET, IT SAYS, THE BASIC ALLOTMENT WAS LAST UPDATED BY THE LEGISLATURE IN 2019.

IT ONLY CHANGES WHEN THE LEGISLATURE UPDATES IT.

IT DOES NOT HAVE AS MANY PEOPLE BELIEVE, INCLUDING MANY LEGISLATORS.

IT DOES NOT HAVE AN AUTOMATIC ADJUSTMENT FOR CPI OR INFLATION.

IT ONLY CHANGES WITH LEGISLATIVE ACTION.

IN 2024 25, WHICH IS, NOT WELL, THE YEAR WE'RE IN RIGHT NOW, IN TIER 1 WE'RE GOING TO COLLECT ABOUT $145 MILLION, AND ABOUT $95 MILLION OF THAT IS GOING TO BE SENT TO THE STATE AS RECAPTURE.

IF WE HAD A SCHOOL DISTRICT THAT LOOKED EXACTLY LIKE INSISD, BUT WAS LOW PROPERTY WEALTH, SAY, THEY COLLECTED LESS THAN 50 MILLION, SAY THEY COLLECTED $40 MILLION IN TAXES ON THEIR TIER 1, THEY WOULD RECEIVE $10 MILLION IN AID AND HAVE EXACTLY THE SAME AMOUNT OF TIER 1 FUNDS THAT WE HAVE AS A CHAPTER 49 DISTRICT.

ONE OTHER THING THAT I WANT TO POINT OUT ABOUT THAT THIRD BULLET IS IF WE HAD AN INFLATION ADJUSTMENT IN 2019.

>> THE AMOUNT OF RECAPTURE.

THE AMOUNT OF MONEY THAT WE TOOK IN IN TIER 1 WOULD NOT HAVE CHANGED.

IT WOULD STILL BE ABOUT $145 MILLION.

WHAT WOULD HAVE CHANGED IF THERE HAD BEEN AN INFLATION ADJUSTMENT IS INSTEAD OF BEING $95 MILLION ON RECAPTURE, IT WOULD BE CLOSER TO $84, 85 MILLION.

WE WOULD HAVE ABOUT $10, 11 MILLION MORE TO WORK WITH THIS YEAR THAN WHAT WE ACTUALLY HAVE, AND I PROBABLY WOULDN'T BE TALKING TO YOU TONIGHT.

>> CHRIS, WHAT HAS BEEN THE ACCUMULATIVE INFLATION RATE SINCE 2019?

>> MORE THAN 20%.

>> I JUST LOOKED IT UP, 22.7%.

>> THANK YOU.

>> TIER 2.

TIER 2 IS ADDITIONAL PENNIES THAT SCHOOL DISTRICTS CAN TAX, BUT DON'T HAVE TO.

NOW, PRETTY MUCH ALL OF THEM DO, AT LEAST, TO SOME EXTENT.

WE HAVE WHAT ARE CALLED 17 PENNIES THAT YOU CAN ADD ONTO YOUR TAX RATE.

THE FIRST EIGHT OF THEM ARE KNOWN AS THE GOLDEN PENNIES, AND THOSE ARE GOLDEN FOR US BECAUSE THEY'RE NOT RECAPTURED.

ALL THE MONEY THAT WE COLLECT ON THOSE, WE GET TO KEEP.

THEY'RE GOLDEN FOR CHAPTER 48 DISTRICTS BECAUSE UNLIKE, ON TIER 1, WHERE YOU GET A CERTAIN AMOUNT OF AID BACK FROM THE STATE, YOU GET EVEN MORE AID BACK FROM THE STATE.

THEY GET A LOT MORE MONEY ON

[00:35:02]

THEY'RE GOLDEN FOR EVERYBODY.

BUT FOR US, IT MEANS THAT WE'RE NOT RECAPTURED ON IT, AND WE GET TO KEEP WHATEVER WE COLLECT.

THOSE EIGHT GOLDEN PENNIES BRING IN A LITTLE OVER $17 MILLION FOR US THIS YEAR.

IN TOTAL, THE AMOUNT OF TAXES WE GET TO KEEP TO WORK WITH IS ABOUT $67 MILLION.

THERE ARE ALSO COPPER PENNIES.

COPPER PENNIES WE DON'T HAVE, BUT MANY DISTRICTS ARE ACTUALLY GOING OUT FOR THEM NOW.

THEY'RE NOT A GREAT DEAL FOR CHAPTER 48 OR FOR CHAPTER 49 DISTRICTS.

IT'S EXACTLY THE SAME DEAL FOR BOTH, AS A MATTER OF FACT.

FOR US, IF WE WERE TO GET THE FULL NINE COPPER PENNIES, WHICH OBVIOUSLY, YOU CAN'T JUST DECIDE THAT'S A VOTER DECISION OF THE COMMUNITY IF YOU DECIDED TO DO THAT, WE WOULD COLLECT APPROXIMATELY $20 MILLION MORE IN TAXES, ABOUT $16 MILLION OF THAT WOULD BE RECAPTURED.

WE WOULD KEEP ABOUT FOUR.

IT'S NOT A GREAT DEAL, BUT IT IS ADDITIONAL MONEY THAT'S OUT THERE THAT WE'VE NOT ACCESSED BEFORE.

JUST FOR YOUR EDIFICATION, SO THIS OR AT LEAST THE GOLDEN PENNIES, NOT THE COPPER PENNIES, BUT THE GOLDEN PENNIES DON'T ADJUST WITH INFLATION OR THE CPI, BUT THEY DO ADJUST ACCORDING TO HOW YOUR TAX BASE GROWS.

IF YOUR TAX BASE GROWS 10%, SO IF WE WERE TO GROW 10% NEXT YEAR, INSTEAD OF $17 MILLION, WE'D COLLECT ABOUT $18.8 MILLION NEXT YEAR.

ONE WAY TO THINK ABOUT IT IS, IN MY PROJECTIONS ALWAYS SHOW WHAT I THINK OR WHAT I'M PROJECTING OR WHAT WE'RE USING FOR THE TAX BASE GROWTH FOR A GIVEN YEAR.

THE ONLY PLACE THAT THAT'S IMPACTING HOW MUCH MONEY THAT THE DISTRICT HAS ON THE OPERATING SIDE IS WITH THOSE GOLDEN PENNIES.

IF YOU WANT TO KNOW HOW MUCH IT'S WORTH, JUST LOOK AT HOW MUCH WE'RE EARNING IN A GIVEN YEAR.

THIS YEAR, IT'S ABOUT $17 MILLION.

A 1% GROWTH, ABOUT $170,000, 10% GROWTH, 1.7 MILLION.

BUT THAT'S NOT ALL THE MONEY THAT WE HAVE TO WORK WITH.

OBVIOUSLY, THERE'S SOME STATE FUNDING THAT COMES IN THERE, BUT THAT'S MOSTLY OFFSET BY OUR RECAPTURE.

BUT WE ALSO HAVE OBVIOUSLY MONEY THAT COMES IN EVERY YEAR FROM EANES EDUCATION FOUNDATION, WHICH IS CRITICAL TO WHAT WE DO.

WE MAKE MONEY EVERY YEAR ON OUR ENTERPRISE FUNDS.

THOSE ARE OUR RENTALS AND OUR COMMUNITY ED PROGRAMS, EANES CARE.

DIFFERENT WAYS THAT WE'RE GENERATING CASH THAT CAN BE MOVED TO THE GENERAL FUND.

WE SELL TICKETS TO OUR ATHLETIC EVENTS, BOOSTER CLUBS.

DIFFERENT PEOPLE DONATE MONEY.

WE CHARGE FEES, PARTICULARLY PARTICIPATION FEES FOR STUDENTS IN UIL EVENTS AND OTHER PROGRAMS. THE LAST ONE THAT I'VE GOT DOWN THERE ON THE BOTTOM IS INVESTMENT EARNINGS.

THE FIRST ONES DO CHANGE, THEY FLUCTUATE FROM YEAR TO YEAR IN GENERAL.

THEY DRIFT UP A LITTLE BIT AS THINGS CHANGE.

INVESTMENT EARNINGS ARE HARDER TO PREDICT.

THE WAY THAT WE ARE REQUIRED TO INVEST OUR MONEY IS TO FIRST LOOK AT SAFETY OF OUR INVESTMENTS.

PROTECTING OUR PRINCIPLE. AFTER THAT, WE NEED TO LOOK AT LIQUIDITY.

CAN WE GET OUR MONEY BACK INTO FORM THAT WE NEEDED, AND WHEN WE NEED TO GET IT? THEN THE THIRD THING THAT WE LOOK AT IS YIELD.

THAT BASICALLY LIMITS US TO LOOKING AT REALLY SAFE INVESTMENTS, GOVERNMENT BONDS, CORPORATE PAPER.

THERE ARE INVESTMENT FUNDS THAT BASICALLY CATER TO OUR NEEDS, AND SO WE INVEST A LOT IN THOSE TYPES OF THINGS.

BUT THE END RESULT OF THAT IS THAT, THE INVESTMENT EARNINGS THAT WE GET ARE HIGHLY CORRELATED TO WHAT THE OVERNIGHT RATE IS, THAT'S SET BY THE FED.

AS YOU PROBABLY KNOW, THOSE HAVE BEEN COMING DOWN RECENTLY, AND WE'RE PROJECTING THAT THEY'RE GOING TO CONTINUE TO DROP OVER THE NEXT YEAR AT LEAST.

THE OTHER SIDE OF THE COIN, ASIDE FROM REVENUE IS EXPENSES.

[00:40:02]

EIGHT-SIX PERCENT PLUS OF WHAT WE SPEND.

AS YOU ALSO KNOW, YOU WORK EVERY YEAR TO GIVE A RAISE AS MUCH AS THE DISTRICT CAN AFFORD TO GIVE, AND THIS PAST YEAR, IT WAS A 2% RAISE, WHICH COSTS ABOUT $1.6 MILLION TO DO THAT.

ON THE OTHER 14% OR THE NON-PERSONNEL COSTS, THINGS THAT ARE SUPPLIES, UTILITIES, FUEL FOR OUR BUSES, THINGS LIKE THAT, ONGOING MAINTENANCE.

HOWEVER, THERE ARE A LOT OF THINGS THAT A LOT OF DISTRICTS PUT IN THE MAINTENANCE OPERATION BUDGET THAT WE DON'T.

THAT CAN INCLUDE THINGS LIKE BUSES.

LOTS OF DISTRICTS BUY THEIR BUSES OUT OF THE M&O BUDGET.

I'VE KNOWN OF SCHOOLS THAT HAVE BUILT BUILDINGS OUT OF THE M&O BUDGET.

THAT'S NOT THE RIGHT CHOICE FOR EANES ISD.

IT IS THE RIGHT CHOICE FOR SOME OTHER DISTRICTS.

FOR US, THE RIGHT CHOICE IS TO UTILIZE THE I&S BUDGET AND OUR STRONG TAX BASE AS MUCH AS WE CAN.

WE'RE ABLE TO ISSUE THESE MAINTENANCE AND OPERATION BONDS, AND PAY THEM BACK AT A LOW TAX RATE BECAUSE, AGAIN, THAT MONEY IS NOT RECAPTURED, AND SO THAT MAKES IT VERY EFFICIENT FOR US TO DO THAT.

WE TRY TO MOVE AS MANY THINGS AS POSSIBLE OVER TO THE DEBT SERVICE SIDE, AND SO THAT MEANS ANYTHING THAT WE CAN CLASSIFY AS CAPITAL EXPENDITURES.

IN RECENT YEARS, WE'VE STOPPED LEASING OUR COPIERS, AND WE'VE STARTED PURCHASING OUR COPIERS.

JUST THIS LAST BOND, WE MOVED THE ENTERPRISE SOFTWARE OVER, WHICH WAS RESULTED IN ABOUT $3 MILLION PER YEAR, AND MONEY THAT HAD BEEN PAID OUT OF M&O, NOW PAID OUT OF DEBT SERVICE, AND OF COURSE, THE SOLAR PROJECT, WHICH WE'RE ALL VERY PROUD OF.

THAT'S IN PROGRESS RIGHT NOW.

WE'VE GOT SEVERAL INSTALLATIONS THAT HAVE BEEN COMPLETED.

WE'RE WAITING ON AUSTIN ENERGY TO GIVE US THE THUMBS UP TO POWER THEM UP.

BUT WE'RE MOVING ALONG NICELY ON THAT.

THE END RESULT FOR THAT IS GOING TO BE THAT ONCE WE'RE FULLY OPERATIONAL, THAT'S GOING TO OFFSET ABOUT HALF OF OUR ELECTRIC BILL, WHICH IN A WAY, MOVES YOUR ELECTRIC EXPENSE, WHICH IS AN OPERATING COST OVER TO THE I&S SIDE, BECAUSE IT IS A CAPITAL EXPENDITURE TO PUT THOSE SOLAR PANELS ON TOP OF OUR ROOTS.

GOING BACK TO WHAT WE LOOKED AT IN JUNE WHEN YOU ADOPTED THE BUDGET, WE'VE BEEN TALKING FOR SOME TIME ABOUT THE TREND THAT WE'RE ON, AND THAT IF THE LEGISLATURE DIDN'T STEP IN, OUR BUDGET IS NOT SUSTAINABLE LONG-TERM.

AT THE TIME THAT WE ADOPTED THE BUDGET, WE ANTICIPATED THAT WE WERE GOING TO END THE CURRENT YEAR WITH ABOUT A 30% OF OPERATING EXPENDITURE FUND BALANCE.

FOR THOSE OF YOU WHO ARE LISTENING AT HOME, THAT'S THE LINE AT THE VERY BOTTOM OF THE SCREEN HERE.

THE FUND BALANCE IS NOT JUST A POOL OF MONEY THAT WE SET ASIDE THAT WE NEVER TOUCH.

IT'S ACTUALLY THE DIFFERENCE BETWEEN OUR ASSETS AND OUR LIABILITIES AT A PARTICULAR TIME OF YEAR, WHICH IS THE END OF OUR FISCAL YEAR.

AT JUNE 30, EACH YEAR, WE LOOK AT ALL OUR ASSETS, LOOK AT ALL OF OUR LIABILITIES, HOW MUCH DOES THAT REPRESENT, AND HOW MUCH OF YOUR OPERATING EXPENSES DOES THAT REPRESENT? THE GUIDELINE FROM THE STATE IS, THAT SHOULD BE ABOVE 25%.

ONCE YOU START TO GO BELOW 25%, YOU START TO RUN INTO PROBLEMS BECAUSE WE USE THAT MONEY OVER THE NEXT SIX MONTHS BEFORE WE START REALLY TAKING IN MORE MONEY IN WITH OUR TAXES AGAIN IN DECEMBER AND JANUARY.

THAT MONEY IS MEANT TO LAST US SOME TIME.

ONCE YOU START GOING BELOW 25%, THEN YOU START GETTING IN TROUBLE THAT YOU MIGHT RUN OUT OF MONEY BEFORE THAT HAPPENS.

I'LL LET YOU KNOW THAT IF WE GET TO THE POINT WHERE WE START HAVING CASH FLOW ISSUES, THAT WILL HAPPEN IN A NOVEMBER OF SOME YEAR, BECAUSE THAT'S ALWAYS WHEN WE'RE LOWEST ON AVAILABLE CASH.

THERE ARE METHODS YOU CAN DO AND THINGS THAT YOU CAN DO TO MAKE YOUR MONEY STRETCH A LITTLE FURTHER, AND ALSO YOU CAN TAKE OUT SHORT-TERM BOND LOANS, AND BASICALLY, YOU TAKE A LOAN, AND THEN WHEN YOUR TAX RECEIPTS START COMING IN, THEN YOU PAY THOSE LOANS BACK.

IT'S A VERY SHORT-TERM LOAN, BUT YOU'VE GOT TO PAY FOR THAT.

[00:45:01]

ANYWAY, BACK TO THAT IN JUNE, WHEN WE ADOPTED THE BUDGET, WE THOUGHT WE'D BE AT ABOUT 30%, AND THEN WE THOUGHT WE'D BE AT ABOUT 25.9% THE FOLLOWING YEAR AFTER THE 25/26 SCHOOL YEAR, BEFORE WE DROPPED BELOW THAT 25% THRESHOLD IN 26/27.

WE WERE REALLY ANTICIPATING THAT WE WERE GOING TO BE SPENDING THIS YEAR, MAYBE STARTING THIS TYPE OF DISCUSSION, MAYBE IN JANUARY OR FEBRUARY, SAYING, WE REALLY NEED TO DO SOMETHING IN 26/27, TO ADDRESS THIS TO JUST GIVE YOU A LONG RUNWAY TO PREPARE FOR THIS.

I WAS JUST THINKING ABOUT THE MOVIE APOLLO 13, WHICH IS ONE OF MY FAVORITE MOVIES.

WHEN THEY REALIZE THERE'S SOMETHING THAT'S GONE WRONG, JIM LOVELL, WHO WAS THE COMMANDER OF THE MISSION, TURNED TO FRED HAYES, AND SAYS, "HOW LONG DOES IT TAKE TO POWER UP THE LIMB OF THE LUNAR EXCURSION MODULE?" HE SAYS, "TWO HOURS BY THE CHECK LIST." HE SAYS, "WE DON'T HAVE THAT MUCH TIME." THAT'S WHERE WE ARE RIGHT NOW.

WE DON'T HAVE THAT MUCH TIME BECAUSE SOME THINGS HAVE CHANGED.

SINCE YOU ADOPTED THE BUDGET IN JUNE, WE'VE GOTTEN SOME NEW INFORMATION.

AGAIN, I KEEP TELLING YOU THINGS THAT YOU ALREADY KNOW, BUT I'M TALKING TO A LARGER AUDIENCE THAN JUST THE SEVEN OF YOU, OF COURSE.

THAT IS, WHEN WE ADOPT THE BUDGET, WE DON'T KNOW ALL THE INFORMATION THAT WE NEED TO KNOW IN ORDER TO PROJECT THE BUDGET FULLY.

ONE OF THE FIRST THING YOU SEE ON THAT LIST IS, THE CERTIFIED TAXABLE VALUES CAME IN LOWER THAN THE APRIL ESTIMATE.

TRAVIS CENTRAL APPRAISAL DISTRICT GIVES US AN ESTIMATE OF WHAT THE TAX BASE IS GOING TO BE IN APRIL, AND BASED ON THAT AND HISTORICAL TRENDS, WE PROJECTED THAT WE WERE GOING TO HAVE GROWTH FROM THE PREVIOUS YEAR OF ABOUT 4.2%.

WHEN THE CERTIFIED VALUES CAME IN, IN JULY, WE WERE MUCH LOWER THAN THAT, LESS THAN 2%.

THAT DIFFERENCE WAS ABOUT $550,000. THIS IS THE BIG ONE.

IN THE LAST THREE BULLET POINTS HERE, I PUT STARS NEXT TO THEM WITH A LITTLE NOTE THERE AT THE BOTTOM THAT THIS TREND IS EXPECTED TO CONTINUE BEYOND THE CURRENT YEAR.

I DON'T KNOW WHAT THE CERTIFIED TAXABLE VALUES ARE GOING TO DO NEXT YEAR, BUT I HAVE A PRETTY GOOD IDEA OF WHERE OUR ENROLLMENT IS GOING, AND OUR ENROLLMENT THIS YEAR IS CONSIDERABLY LOWER THAN THE DEMOGRAPHIC PROJECTION.

THAT COSTS US ABOUT $825,000.

AS I MENTIONED EARLIER, WE'VE GOT SOME NEW EXPECTATIONS FOR THE LIKELY INVESTMENT EARNINGS.

THIS IS AN ADJUSTMENT, NOT FROM LAST YEAR'S BUDGET, WHICH WAS ABOUT $5.5 MILLION, BUT IT'S ADJUSTMENT FROM WHAT YOU ADOPTED IN JUNE, WHICH WAS ABOUT $4.4 MILLION.

NOW I'M PROJECTING ABOUT $3.7 MILLION.

FINALLY, THIS TEA ADJUSTED FORMULA FOR CALCULATING TAXES, I DON'T WANT TO DELVE INTO THIS TOO MUCH, BUT WITH THE PROPERTY TAX CUTS THAT THE LEGISLATURE DID IN THE SPECIAL SESSIONS LAST YEAR, TEA WAS SLOW IN TELLING US HOW TO CALCULATE HOW WE ARE TO DETERMINE HOW MUCH MONEY WE'RE ACTUALLY GOING TO BE ABLE TO USE AND TO KEEP.

WHEN WE ADOPTED THE BUDGET IN MAY, THE BEST GUIDANCE WE HAD SAID WE WERE GOING TO HAVE ABOUT $1 MILLION MORE THAN WHAT THE BEST GUIDANCE IS IN AUGUST.

WE EXPECT THAT THIS IS THE FINAL ONE, AND WE'RE USING THESE NEW CALCULATIONS IN ALL OF OUR PROJECTIONS MOVING FORWARD.

>> I WANTED TO TALK A LITTLE BIT ABOUT THE ENROLLMENT PROJECTIONS.

IN THE BUDGET THAT YOU SAW JUST A WHILE AGO, BASED ON WHAT WE DID IN JUNE, WE USED A DEMOGRAPHIC PROJECTION, WHICH IS ACROSS THE TOP THERE FOR THE VARIOUS YEARS.

WE CAME IN THIS YEAR AT RIGHT AROUND 7,600 KIDS.

OBVIOUSLY, WE HAVEN'T GOTTEN TO THE SNAPSHOT DATE YET, BUT WE'RE GETTING CLOSE TO IT.

BOTH CHAD BURNETT AND I INDEPENDENTLY CAME UP WITH A WAY

[00:50:02]

I DON'T KNOW HOW MUCH YOU'VE LOOKED AT STATE WIDE DEMOGRAPHIC DATA OR IN OTHER SCHOOL DISTRICTS DEMOGRAPHIC DATA, BUT EANES ISD ENROLLMENT NUMBERS LOOK DIFFERENT THAN OTHER SCHOOLS, AND THEY LOOK DIFFERENT THAN STATE WIDE SCHOOLS.

TYPICALLY, WHAT YOU'LL SEE IS IN THE STATE OR IN A PARTICULAR SCHOOL DISTRICT, ROUGHLY THE NUMBER OF KIDS YOU HAVE IN FIRST GRADE IS PRETTY CLOSE TO NUMBER OF KIDS YOU HAVE IN THIRD GRADE, IS PRETTY CLOSE TO THE NUMBER OF KIDS YOU HAVE IN FIFTH GRADE.

THAT'S NOT THE WAY IT WORKS IN EANES ISD.

IN EANES ISD, IF YOU TRACK A PARTICULAR CLASS FROM KINDERGARTEN THROUGH GRADE 12, WHAT YOU'LL SEE IS THAT THEY GROW EACH YEAR FROM WHERE THEY WERE BEFORE UNTIL THEY GET TO HIGH SCHOOL, THEN THEY LEVEL OFF.

WE'VE ALWAYS ATTRIBUTED THIS AND I DON'T HAVE ANY RESEARCH.

IT'S JUST MY INTUITION IS THAT AS WE'VE OFTEN SAID, EANES ISD IS A DESTINATION DISTRICT.

AS IT'S GOTTEN MORE AND MORE EXPENSIVE TO LIVE HERE, WELL, IT'S ALWAYS BEEN EXPENSIVE TO LIVE HERE, AND PEOPLE CAN'T NECESSARILY COME IN WHEN THEY HAVE A KINDERGARTEN OR WHEN THEY'RE ABOUT TO HAVE A KINDERGARTEN, BUT THEY GET HERE WHEN THEY CAN.

THAT'S WHAT WE SEE. WHAT BOTH CHAD AND I DID WAS WE LOOKED AT HISTORICALLY, HOW MUCH DOES A KINDERGARTEN CLASS GROW FROM KINDERGARTEN TO FIRST GRADE? HOW MUCH DOES IT GROW FROM FIRST TO SECOND? HOW MUCH DOES IT GROW TO SECOND TO THIRD ON DOWN THE LINE? WHAT WE THEN WERE ABLE TO DO WE KNOW WHAT THIS YEAR'S KINDERGARTEN CLASS IS AND SO ALL WE HAD TO DO IS SAY, WELL, LET'S TAKE A GUESS AT NEXT YEAR'S KINDERGARTEN CLASS.

THE WAY I DID THAT WAS I JUST PLUGGED IN THIS YEAR'S KINDERGARTEN CLASS SIZE.

USING THAT METHOD, I'VE COME UP WITH LOWER NUMBERS THAN WHAT WE'VE BEEN LOOKING AT, AND I REALLY, REALLY HOPE THAT I'M WRONG BECAUSE THERE'S A SIGNIFICANT DIFFERENCE IN THE FUNDING ASSOCIATED WITH THOSE DEMOGRAPHIC PROJECTIONS VERSUS WHAT I'LL CALL A TREND PROJECTION.

THE DIFFERENCE FOR EACH YEAR, YOU CAN SEE BELOW THERE, ABOUT $800,000, AS I MENTIONED EARLIER, FOR THIS YEAR, 1.4 MILLION FOR NEXT YEAR, 2.2 MILLION AFTER THAT, 1.8 AFTER THAT.

JUST TO REALLY MAKE YOU FEEL BAD, I PUT IN ANOTHER LINE SHOWING WHAT THE FUNDING DIFFERENCE WOULD BE IF WE STILL HAD ENROLLMENT AT THE LEVEL OF OUR PEAK, WHICH WAS ONLY FIVE YEARS AGO, 2019/20.

IF WE STILL HAD AS MANY KIDS AS WE HAD IN 2019/20, WE WOULD HAVE ABOUT $3.7 MILLION MORE THIS YEAR THAN WHAT WE ACTUALLY DO, AND THAT ROLLS ON UP TO ABOUT 6.3 MILLION IN 27/28.

I WANTED YOU TO TAKE A LOOK AT THIS, BECAUSE THIS IS A TREND THAT WE'VE BEEN SEEING, AND PART OF THE REASON WHY WE THINK THAT THIS TREND MIGHT CONTINUE A LITTLE BIT.

WE'VE BEEN SEEING JUST A TREND OF LOWER ELEMENTARY ENROLLMENTS.

IF YOU LOOK, I'VE GOT A 10-YEAR TREND HERE, AND YOU CAN SEE THAT JUST LOOKING AT THE ELEMENTARY SLIDE THAT WE'VE GOT 580 FEWER KIDS IN ELEMENTARY SCHOOL NOW THAN WE DID 10 YEARS AGO.

WE DON'T EVEN HAVE AN ELEMENTARY SCHOOL WITH 580 KIDS RIGHT NOW.

THAT'S MORE THAN A SCHOOL.

SECONDARY ENROLLMENT IS HELD UP PRETTY WELL.

I'M HOPING THAT THAT WILL CONTINUE.

PROBABLY WHAT WE'LL START TO SEE IS IN A FEW YEARS, MAYBE SEE SOME DIP IN THE SECONDARY ENROLLMENT IF THIS TREND CONTINUES.

BUT WHAT WE MIGHT SEE IS THAT, AGAIN, DESTINATION DISTRICT PEOPLE ARE TRYING TO GET HERE.

MAYBE WE'LL SEE THAT WE GET MORE GROWTH AT THE LATER MIDDLE SCHOOL HIGH SCHOOL LEVEL, AND MAYBE THOSE NUMBERS WILL HOLD RELATIVELY STEADY.

WE DON'T KNOW YET, BUT THAT'S CERTAINLY A HOPE. I THINK I'LL LEAVE IT RIGHT THERE.

HERE'S THE CHANGE IN M&O INVESTMENT.

I WANT TO JUST GO BACK A FEW YEARS JUST TO SHOW YOU THE EXTREME VARIANCE THAT WE CAN SEE IN WHAT OUR INVESTMENT EARNINGS WERE.

IN 2021, $125,000,

[00:55:01]

WHEN YOU ADOPTED THE BUDGET IN JUNE, I WAS PROJECTING 4.4.

BASED ON THE MOST RECENT GUIDANCE THAT WE'VE RECEIVED, WE'RE LOOKING AT 3.7.

THAT WILL PROBABLY GO A LITTLE BIT LOWER FOR 25/26, BUT I HAVEN'T STARTED REALLY PROJECTING THAT YET.

HERE'S A LONG TERM ISSUE IN THE BUDGET, WHICH WAS ACTUALLY INCLUDED IN THE JUNE BUDGET THAT YOU ADOPTED, BUT I THINK IT'S IMPORTANT THAT YOU'RE AWARE OF IT.

ONE OF THE THINGS THAT I HAVE TO DO IS, AS YOU KNOW, WE'RE NOT ACTUALLY FUNDED ON THE NUMBER OF KIDS WHO ARE ENROLLED, WE'RE FUNDED ON THE NUMBER OF KIDS WHO ARE HERE EVERY DAY.

THAT VARIES FROM DAY TO DAY, AND THE AVERAGE OVER THE COURSE OF THE YEAR IS KNOWN AS THE AVERAGE DAILY ATTENDANCE.

I WON'T GO INTO MUCH DETAIL.

BUT WHAT I'M SHOWING YOU HERE IS A METRIC THAT I DESIGNED FOR MYSELF JUST TO HELP ME PROJECT, AND IT'S NOT ATTENDANCE, BUT IT'S HIGHLY CORRELATED TO ATTENDANCE.

IF WE LOOK AT THAT TIME FRAME FIVE YEARS BEFORE COVID, YOU CAN SEE THAT WHAT I WOULD TYPICALLY DO IS I'D LOOK AT THE SNAPSHOT ENROLLMENT, AND THEN I WOULD LOOK AT THE REFINED ADA AT THE END OF THE YEAR AND I'D CREATE THIS RATIO.

THAT RATIO WAS USUALLY ABOUT 96%.

THE REFINED ADA FOR THE YEAR WOULD BE ABOUT 96% OF WHATEVER OUR SNAPSHOT ENROLLMENT WAS.

I USE THIS FOR MY PROJECTION.

THE THINGS THAT I SHOW YOU, PROBABLY UP UNTIL ABOUT 22/23, I WAS USING THE NUMBER OF 96%.

BUT SINCE COVID, WHAT WE'VE SEEN IS THAT THAT NUMBER IS LOWER.

THAT'S BECAUSE OUR ATTENDANCE HAS BEEN LOWER.

NOW INSTEAD OF 96%, THE NUMBER IS CLOSER TO 95%.

THAT 1% DIFFERENCE CORRESPONDS TO ABOUT $530,000 A YEAR.

LIKE I SAID, THIS WAS BUILT INTO THE BUDGET YOU'VE SEEN, BUT I THINK IT'S IMPORTANT FOR YOU TO UNDERSTAND IT.

FINALLY, WE'VE ALSO TALKED ABOUT THIS QUITE A BIT.

THIS WAS ALSO BUILT INTO THE JUNE BUDGET.

IN MOST RECENT YEARS, WE'VE BEEN EARNING SOMEWHERE IN THE NEIGHBORHOOD OF $800,000 TO $900,000 A YEAR IN MEDICAID REIMBURSEMENTS, KNOWN AS THE SHARS PROGRAM.

THERE HAS BEEN AN ISSUE, AND THE STATE IS NO LONGER REIMBURSING AT THE LEVEL THAT THEY WERE.

INSTEAD OF $800,000 OR $900,000, WE'RE NOW LOOKING AT LESS THAN $300,000 A YEAR, A DIFFERENCE OF ABOUT $600,000 PER YEAR.

I KNOW THAT THAT'S GOING TO BE A TOPIC OF DISCUSSION AT THE NEXT LEGISLATIVE SESSION, BUT I AM NOT IN THIS PRESENTATION AT ALL COUNTING ON ANY RELIEF FROM THE LEGISLATURE IN ANY AREA.

COMING BACK TO THE JUNE ADOPTED BUDGET, ONE OTHER THING I WANT YOU TO TAKE NOTE OF HERE IS THAT IN THIS BUDGET ON THE TAX BASE GROWTH, I WAS SHOWING 8% IN OUT YEARS.

I'VE RECONSIDERED. HISTORICALLY, WHAT HAPPENS IS THAT WE WILL HAVE SEVERAL YEARS OF REALLY HIGH GROWTH, NINE, 10, 12, SOMETIMES EVEN HIGHER GROWTH, AND THAT WILL LAST FOR TWO OR THREE YEARS.

THEN IT'LL COME DOWN, AND WE'LL HAVE A COUPLE OF YEARS OF REALLY LOW GROWTH.

I THINK WHAT I HAD BEEN DOING WAS NOT A GOOD WAY OF LOOKING AT IT, BECAUSE I WAS TAKING EITHER A TIME FRAME OF FIVE OR 10 YEARS, WHICH COULD EASILY CATCH A COUPLE OF THOSE HIGH PEAK TIMES AND WAS GIVING ME A HIGHER NUMBER.

I RECONSIDERED, AND I DECIDED TO GO LONGER ON MY ESTIMATE.

I WENT AS FAR BACK AS I HAD GOOD DATA FOR, WHICH WAS ABOUT 25 YEARS, AND I'VE CHANGED THAT NUMBER TO 5.6% FOR OUR PROJECTION GOING FORWARD.

THESE UPDATED PROJECTIONS INCLUDE THOSE THINGS THAT I TALKED ABOUT EARLIER, THE CHANGE IN THE SNAPSHOT ENROLLMENT,

[01:00:01]

WHAT YOU SEE IS INSTEAD OF A PROJECTED DEFICIT OF $200,000, WE'RE LOOKING AT A PROJECTED DEFICIT OF $3.3 MILLION.

THE MOST IMPORTANT THING TO LOOK AT HERE IS THAT RIGHT THERE ON THAT BOTTOM LINE WHERE BEFORE, I DIDN'T PROJECT THAT WE WERE GOING TO BREACH THAT 25% THRESHOLD UNTIL THE 26/27 SCHOOL YEAR, NOW OUR BEST PROJECTION IS IT WILL HAPPEN AT THE END OF NEXT YEAR IF NOTHING IS DONE TO INTERRUPT THAT.

ON THAT CHEERY NOTE, WE ARE HOPING THAT YOU CAN GIVE US SOME GUIDANCE.

WE'VE IDENTIFIED A NUMBER OF THINGS THAT YOU CAN CONSIDER THAT COULD HELP TO ADDRESS THIS ISSUE.

THE NUMBER THAT WE'RE LOOKING FOR TO KEEP US IN THAT 25% RANGE IS ABOUT $6.5 MILLION, A COMBINATION OF ADDITIONAL REVENUES OR COST SAVINGS.

OBVIOUSLY, THIS WILL BE A HARD THING FOR YOU, THIS WILL BE A HARD THING FOR THE DISTRICT AND FOR THE COMMUNITY.

THERE'S NO EASY WAY TO FIND $6.5 MILLION OUT OF THIS BUDGET.

WE WOULD LIKE GUIDANCE FROM YOU ON HOW WE SHOULD PROCEED AND MOVING FORWARD AND WHAT YOU WOULD LIKE TO DO.

I SUSPECT YOU MIGHT HAVE QUESTIONS AND SO I'M HAPPY TO ENTERTAIN THEM.

>> THANK YOU, CHRIS. APPRECIATE YOUR ATTENTION TO THIS DETAIL.

SORRY YOU HAD TO DELIVER THIS NEWS.

WE DON'T BLAME YOU.

THESE ARE A LOT OF EXTERNAL FACTORS THAT ARE WEIGHING UPON US AND MANY DISTRICTS IN THE STATE RIGHT NOW.

TRUSTEES WHO WOULD LIKE TO START? NO QUESTIONS. CHRIS, THANKS. HEATHER WILL START.

>> BEFORE WE GET INTO HOW WE LIKE TO HANDLE THIS, I DO HAVE A COUPLE OF QUESTIONS AND COMMENTS.

MY FIRST QUESTION, AND I APPRECIATED THAT YOU CHANGED IT FROM 8%, WHATEVER WAS A HIT, DO WE FEEL LIKE 5.6 IS CONSERVATIVE ENOUGH? I ALWAYS LIKE TO, AND MY DAUGHTER CALLS IT GIRL MATH, WHERE I OVER COUNT FOR IT, AND THEN I HAVE AN EXTRA FLUSH FUND.

>> THIS IS ALWAYS A TOUGH QUESTION BECAUSE WITH EVERYTHING THAT WE DO, THERE'S ALWAYS A RANGE OF POSSIBILITIES OF HOW IT WILL COME OUT.

IF WE, ON ALL OF THEM, USE A WORST CASE SCENARIO FORMULATION ON WHAT IT COULD LOOK LIKE, THEN EVERY YEAR, I'M GOING TO BE COMING TO YOU SAYING, WE'RE GOING BROKE.

YOU'VE GOT TO SAVE $6.5 MILLION.

I DON'T WANT TO DO THAT. I WANT TO SHOW YOU MY BEST ESTIMATE. WILL IT BE 5.6%? I HAVE NOT A CLUE. I WISH I DID.

WHAT I DO KNOW IS THAT IS THE REALLY LONG TERM AVERAGE, AND I KNOW THAT THE LAST COUPLE OF YEARS HAVE BEEN RELATIVELY LOW.

I DON'T KNOW WHAT'S GOING TO HAPPEN THIS YEAR.

AUSTIN IS IN A BIT OF A HOUSING SLUMP.

I FULLY EXPECT THAT TO CHANGE.

BUT WILL IT HAPPEN IN TIME? WILL IT HAPPEN BY DECEMBER OF THIS YEAR, OR IS IT HAPPENING RIGHT NOW? I DON'T KNOW THE ANSWER TO THAT.

I DON'T KNOW. I WILL ADJUST IT IN APRIL.

>> I APPRECIATE THAT. OBVIOUSLY, WE'LL BE HAVING A DISCUSSION ABOUT TCAD A LITTLE LATER, WHICH GOES INTO THAT.

BUT CAN YOU ALSO EXPLAIN TO THE COMMUNITY WHY WE SET OUR BUDGET IN JUNE WHEN WE DON'T GET OUR CERTIFIED VALUES UNTIL LATER?

>> SURE.

>> THERE ARE A COUPLE OF TIMES WHEN YOU CAN HAVE YOUR FISCAL YEAR END.

WE HAVE A FISCAL YEAR THAT BEGINS JULY 1 AND RUNS THROUGH JUNE 30TH.

IN MANY RESPECTS, IT'S A GOOD WAY OF DOING BUSINESS.

THAT IS BECAUSE YOU GET TO, FOR ONE THING, OPEN UP YOUR SCHOOL YEAR WITH A BRAND NEW BUDGET.

THE OTHER OPTION IS TO START YOUR BUDGET ON SEPTEMBER 1,

[01:05:02]

IF YOU DO THAT, THEN YOU HAVE TO ESSENTIALLY SAVE MONEY AT THE END OF LAST YEAR TO START THE NEXT YEAR.

IT'S A CLEANER START.

IT GIVES US A NUMBER OF ADVANTAGES, OTHER THAN THE FACT THAT WE'RE FLYING BLIND ON A COUPLE OF THINGS WHEN WE ADOPT THE BUDGET THAT WAY.

>> THANK YOU. THEN JUST TO BE REALLY CLEAR, THAT 25 PERCENT FOR THE FUND BALANCE, THAT IS JUST A GUIDELINE FROM TA, IS THAT CORRECT?

>> THAT'S CORRECT.

>> BUT BASED ON THAT GUIDELINE, WE EITHER GET A GOOD GRADE ON OUR FIRST RATING OR WE DON'T.

>> IT WILL IMPACT THE FIRST RATING.

>> THEN THAT ALSO IMPACTS POTENTIAL BOND SALES, CORRECT?

>> THAT'S A GOOD POINT. IT'S NOT SO MUCH THAT THE BOND RATING AGENCIES WILL LOOK AT OUR FIRST RATING, BUT THEY ABSOLUTELY WILL LOOK AT OUR FUND BALANCE.

IN FACT, AS YOU'RE AWARE, S&P DOWNGRADED US FROM AA+ TO AA WITHIN THE LAST YEAR AND A HALF OR SO.

THAT WAS THE NUMBER ONE REASON WE HAD A DECLINING FUND BALANCE.

>> HERE COME MY COMMENTS.

I REALLY APPRECIATED THE SLIDE THAT DR. ARNETTE INCLUDED IN THE BEHIND THE SCENES THAT I SAW TODAY FOR THE FIRST TIME AT THE HIGH SCHOOL.

ON THE UNEXPECTED BUDGET HITS THAT WE HAVE RECEIVED AS A DISTRICT THAT WERE NO FAULT OF OUR OWN.

I DO WANT TO THANK THE HARD WORK OF YOUR TEAMS FOR MAKING A BUDGET IN JUNE THAT LOOKED LIKE WE WERE GOING TO BE IN REALLY GOOD SHAPE THIS YEAR.

WE WERE REALLY PROUD OF THAT WORK BECAUSE EVEN THAT WAS TIGHTENING OUR BELT AND DOING THINGS AND HAVING TO HAVE SOME ATTRITION AND SOME OTHER THINGS.

THAT WAS GREAT WORK THEN AND SO TO BE HIT WITH THESE UNEXPECTED EXPENSES IS REALLY UPSETTING.

THE FIRST THING TOO, ALSO BASED ON THE BEHIND THE SCENES TODAY WE TALKED ABOUT ATTENDANCE A LITTLE BIT.

THAT WAS A BIG HIT, AND THAT IS SOMETHING THAT OUR FAMILIES CAN HELP WITH.

I KNOW EVEN A PARENT SAID TO ME AFTER THE MEETING TODAY, WE SHOULD HAVE MORE OF A CAMPAIGN. SORRY, CLAUDIA.

ABOUT ATTENDANCE, AND THAT EVERYONE SHOULD BE THERE FOR A SECOND PERIOD, ESPECIALLY AT THE HIGH SCHOOL.

OTHER THINGS AROUND THAT AND HOW MUCH IT COSTS THE SCHOOLS AND THE DISTRICT FOR CHILDREN NOT BEING THERE.

I DO KNOW THAT LEGISLATIVELY, THERE WILL BE CONVERSATIONS ABOUT TRUANCY, AGAIN, AND THAT HAD BEEN RELAXED THE LAST FEW SESSIONS, OR I GUESS IT WAS A FEW SESSIONS AGO, IT WAS RELAXED.

BUT I HAVE HEARD CONVERSATIONS AT THE CAPITOL THAT TRUANCY WILL BE BACK ON THE AGENDA.

I DON'T KNOW IF IT'LL PASS, BUT WE'LL SEE BECAUSE IT'S NOT JUST AN ISSUE FOR OUR SCHOOL.

IT SEEMS THAT SOME PEOPLE FEEL LIKE SCHOOL IS OPTIONAL AFTER THE PANDEMIC, AND THAT'S NOT THE CASE FOR A WELL EDUCATED FUTURE OF TEXAS.

MY OTHER THING IS THAT TOMORROW SENATE FINANCE IS MEETING, AND THEY WILL BE DISCUSSING ENROLLMENT BECAUSE WHILE EANES IS DIFFERENT IN SOME WAYS, WE ARE THE SAME IN SOME WAYS.

THEY'RE LOOKING AT IT FROM THE WHOLE STATE BEING DOWN ENROLLMENT-WISE, AND LOOKING FROM THE FINANCE PERSPECTIVE OF WHAT DISTRICTS NEED.

WE'LL SEE IF WE GET IT. BUT I APPRECIATE THAT THEY'RE GOING TO HAVE THAT CONVERSATION.

THAT'S GOING TO HAPPEN TOMORROW.

SHAWS WAS A PART OF A CONVERSATION THAT CAME UP AT THE CAPITOL LAST WEEK OR THE WEEK BEFORE.

IT BLEW MY MIND TO HEAR LEGISLATORS ACTUALLY SAY THAT THERE HAVE BEEN CONVERSATIONS BETWEEN THE STATE AND THE FEDERAL GOVERNMENT FOR THE LAST 13 YEARS, AND NO ONE HEARD A PEEP ABOUT IT, AND THAT IS NOT OKAY.

I'M GLAD THAT THE LEGISLATURE IS AWARE OF THESE ISSUES NOW, BUT IT IS APPALLING THAT WE WOULDN'T EVEN HAVE A HEADS UP ABOUT IT, AND THAT THIS IMPACTS OUR KIDS IMMEDIATELY.

I'M GLAD THAT THEY DIDN'T ASK FOR ANY REPAYMENT OF THINGS, BUT THAT GOING FORWARD, WE'RE NOT GOING TO GET FUNDING THAT WE HAD BUDGETED IS NOT ALL RIGHT, BECAUSE, ESPECIALLY WITH SHAWS, THAT'S OUR STUDENTS THAT REALLY NEED THE MOST HELP AND SUPPORT SERVICES.

IT SEEMS LIKE THERE SHOULD HAVE BEEN SOME CONVERSATION ABOUT THAT, BUT WE CAN'T GO BACK IN TIME.

THEN IN TERMS OF OUR $3.3 MILLION BUDGET DEFICIT, THAT'S BAD.

I AM NOT HAPPY THAT THE HITS HAVE COME AND THAT IT'S ADDED UP TO THAT AMOUNT.

[01:10:04]

OUR DISTRICT IS IN A BETTER PLACE.

THANK GOD, THAN OTHER DISTRICTS AROUND THE STATE.

I KNOW NORTHEAST, I BELIEVE, IT HAS A $90 MILLION BUDGET DEFICIT.

I DON'T KNOW WHAT THEY'RE GOING TO DO. DISTRICTS ALL OVER THE STATE HAVE BEEN CLOSING SCHOOLS.

WE ARE NOT ALONE IN THIS EFFORT.

I WOULD JUST SAY TO OUR PARENTS THAT WE'RE GOING TO NEED YOUR HELP TO ADVOCATE FOR THIS AND TO STEP UP, FRANKLY, TO HELP US TO COMBAT SOME OF THESE ISSUES.

SMALLER CLASS SIZE IS ON THE OTHER HAND, WITH OUR DECLINING ENROLLMENT.

THAT ACTUALLY SOUNDS NICE.

AS A PARENT, I THINK WE LIKE HAVING SMALLER CLASS SIZES.

THAT WOULD BE GREAT IF THE STATE WOULD HELP US FUND THE ABILITY TO HAVE SMALLER CLASS SIZES, BUT THAT'S SIMPLY NOT WHERE WE'RE AT, UNFORTUNATELY.

WE HAVE SOME HARD DECISIONS TO MAKE.

BUT ALSO, I WANT TO GO BACK TO, YOU MENTIONED THAT THE EANES EDUCATION FOUNDATION, IS A THING THAT HELPS US, AND I'M SO GRATEFUL FOR THAT.

THAT IS ONE WAY THAT OUR PARENTS CAN HELP TO IS TO CONTINUE TO CONTRIBUTE TO THE EANES EDUCATION FOUNDATION.

I'M SO GRATEFUL TO ALL OF THE PEOPLE IN OUR COMMUNITY AND ALSO THE BUSINESSES IN OUR COMMUNITY THAT CONTRIBUTE TO THAT.

HOW DO WE WANT TO TACKLE THIS? I DON'T KNOW, I THINK THAT'S A BROADER DISCUSSION FOR ALL OF US.

BUT I JUST WANTED TO PUT ALL THOSE THINGS ON THE TABLE.

I DO APPRECIATE THE WORK OF YOU AND YOUR TEAM TO BE FORTHCOMING WITH THIS INFORMATION TO THE COMMUNITY SO THAT WE CAN ALL WORK TOGETHER TO SOLVE THESE HUGE PROBLEMS. THANK YOU.

>> THANK YOU, HEATHER. WE'LL GO TO KIM AND THEN DIANE.

>> THANK YOU, HEATHER. THANK YOU, CHRIS.

THANK YOUR TEAM FOR ALL OF THIS HARD WORK AND THE PRESENTATION AS DAUNTING AS IT IS.

I'VE WATCHED THESE BUDGETS BEING IN THE AUDIENCE AND SITTING UP HERE FOR NINE YEARS NOW.

WE ALWAYS PROJECTED DIRE THINGS IN THE FUTURE.

BUT YOU AND YOUR TEAM AND THEN THE RESPECTIVE PEOPLE MAKING DECISIONS SEEM TO MAKE IT WORK.

THE NICHE RATINGS ARE AN EXAMPLE OF WHAT WE DO HERE IN EANES, THIS, HOWEVER, IS REALLY BOTHERSOME TO ME, AND I THINK IT'S THE FIRST TIME THAT IT SCARES ME IN TERMS OF HAVING TO MAKE HARD DECISIONS, AND I THINK THAT'S WHERE WE ARE.

I'LL JUST START WITH THE QUESTION THAT YOU LEFT FOR US ON NEXT STEPS AND GUIDANCE AND ON WHAT THE BOARD WOULD LIKE TO REVIEW AND CONSIDER AND, MEASURES TO BE PURSUED.

WHAT I SEE IN YOUR PRESENTATION IS THAT THERE ARE RECOMMENDATIONS OR CONSIDERATIONS THAT ADMINISTRATION IS LOOKING AT AND NOT READY TO PRESENT THEM TONIGHT.

BUT I DO THINK THAT THIS GROUP UP HERE, MAKING THE DECISIONS IN THE ENTIRETY OF THE COMMUNITY NEED TO UNDERSTAND SOME AVENUES TO HOW TO ADDRESS THIS.

I JUST DO THINK IT'S THAT DIRE.

I WOULD BE A YES ON LOOKING AT VARIOUS OPTIONS THAT ADMINISTRATION MIGHT HAVE IN PLACE OR MIGHT HAVE FOR US TO CONSIDER.

I THINK IT WILL BE A GOOD EDUCATION FOR PEOPLE SITTING IN THIS ROOM, BUT I HOPE THAT THE COMMUNITY THAT IS LISTENING OR THAT WE LISTEN OVER THE NEXT TWO WEEKS WILL JOIN US HERE FOR THESE HARD DECISIONS AND THE HARD CONSIDERATIONS.

THAT'S THE FIRST THING THAT I WANT TO SAY.

WHEN WE TALK ABOUT HEATHER TO YOUR POINT ON THE FUND BALANCE.

IT TOOK ME A LONG TIME TO WRAP MY HEAD AROUND THE FUND BALANCE AND THE IMPORTANCE OF THE FUND BALANCE.

YOU TALKED ABOUT THE FIRST RATING, YOU TALKED ABOUT THE IMPACT ON BONDS, BUT I'VE ALSO HEARD YOU SAY THAT WHEN WE ARE LOOKING AT, IF YOU GO TO THE UPDATED OCTOBER PROJECTION, WHEN WE'RE GETTING TO FUND BALANCES, EVEN NEXT YEAR OR TWO YEARS FROM NOW, IN THE FUTURE, THAT ARE SO DIRE, THAT IN ADDITION TO LONG TERM CONSIDERATIONS, WE'VE GOT THE DAY TO DAY CONSIDERATIONS OF, THIS DISTRICT NOT BEING ABLE TO PAY THEIR BILLS AND NOT BEING ABLE TO PAY SALARIES AND THINGS THAT THIS COMMUNITY, AND AGAIN, GOING BACK TO THE NICHE RATINGS, OUR TEACHERS AND OUR ADMINISTRATORS MAKE THIS DISTRICT WHAT IT IS AND EDUCATE OUR STUDENTS.

[01:15:02]

IT'S SOMETHING IMPORTANT, AND IT'S SOMETHING THAT I HOPE THAT THE WHOLE COMMUNITY IS LISTENING TO.

WHEN WE TALK ABOUT, AGAIN, GOING BACK TO, I'M ALSO JUMPING AROUND BECAUSE THERE'S JUST SO MUCH INFORMATION HERE.

WE COULD SIT HERE FOR HOURS TALKING ABOUT THIS.

I DID HAVE, I'LL JUST LIMIT IT TO A COUPLE OF QUESTIONS.

I HAVE SEEN OVER THE YEARS, AND I REMEMBER A COUPLE OF YEARS AGO WHEN OUR TAX BASE JUMPED SO HIGH, AND WHEN WE REALLY BENEFITED FROM BOTH THE TAX BASE, AS WELL AS THE INVESTMENT GROWTH.

I REMEMBER PRE-COVID WHEN THE INVESTMENT WAS A GOOD SOURCE OF REVENUE, AND I REMEMBER IN THE LAST, AND THEN I SEE HERE IN THE LAST COUPLE OF YEARS.

BUT GOING BACK TO THE TAX BASE GROWTH, WHEN I LOOK AT THIS, WHEN I SEE THE 1.8 PERCENT, AND THEN MORE ROSIER PREDICTIONS GOING OUT, I THINK YOU'VE EXPLAINED IT, BUT CAN YOU GO A LITTLE MORE GRANULARLY? HOW ARE YOU PROJECTING A ROSIER SCENARIO THAN 1.8?

>> I'LL JUST START BY SAYING, I DON'T HAVE A CLUE WHAT IT'LL BE NEXT YEAR.

BUT WHAT I'VE SEEN OVER THE HISTORICAL RECORD IS THAT THE GROWTH OF THE TAX BASE HAPPENS IN SPURTS.

WE'LL SEE REALLY STRONG GROWTH FOR 2, 3, 4 YEARS FOLLOWED BY BELOW AVERAGE GROWTH FOR MAYBE THE SAME NUMBER OF YEARS, AND SO WHICH WILL NEXT YEAR BE, IT PROBABLY WON'T BE 5.6, IT'S PROBABLY GOING TO BE EITHER 1.5 OR 10, AND I DON'T KNOW WHICH IT'LL BE.

THAT'S WHY WE GO WITH THE AVERAGE, AND THEN WE ADJUST THAT ONCE WE GET TO APRIL WHEN WE GET A BETTER IDEA WHAT IT'S GOING TO LOOK LIKE.

ONE OF THE ISSUES THAT HAPPENED THIS YEAR THAT I DON'T KNOW IF IT'S A TREND OR NOT, BUT THERE'S SOMETHING CALLED THE APPRAISAL REVIEW BOARD.

WHEN TAXPAYERS APPEAL THEIR TAX ASSESSMENT, IT GOES TO THE APPRAISAL REVIEW BOARD.

THEY LOOK AT IT, AND THEN THEY GIVE A NEW NUMBER, OR THEY SAY, NO, THE NUMBER THAT TRAVIS CENTRAL APPRAISAL DISTRICT ASSIGNED IS THE RIGHT NUMBER.

IT'S IMPORTANT TO REMEMBER THE ARB, IS INDEPENDENT OF TCAD.

TCAD DOESN'T CONTROL WHAT THEY DO.

IT'S TRULY AN INDEPENDENT BOARD.

HISTORICALLY, THEY GRANT SOME PERCENTAGE.

I DON'T HAVE IT ON THE TOP OF MY HEAD.

HISTORICALLY BEFORE THIS YEAR, THEY GRANTED.

IF PEOPLE ARE REQUESTING X AMOUNT OF DOLLARS OFF.

THEY WOULD SAY, ON AVERAGE, GIVE SOME PERCENTAGE OF THAT.

THAT'S HOW TCAD THEN SAYS, HERE'S WHAT WE PROJECT YOU'RE GOING TO BE, AND THAT'S HOW WE MAKE THAT PROJECTION.

WHEN WE COME IN IN APRIL, THEY SAY, HERE'S OUR ESTIMATE.

IT'S BASED ON THAT.

THEY EXPECT THIS AMOUNT TO COME OFF OF WHAT THEIR INITIAL APPRAISAL.

THIS YEAR, THE APPRAISAL REVIEW BOARD LOWERED TAXES MUCH LOWER OR THE APPRAISED VALUE MUCH MORE THAN WHAT THEY HAD HISTORICALLY, WHICH IS WHY WE ANTICIPATED 4.2, AND WE GOT WHAT WE GOT.

THE QUESTION IS, IS THIS A NEW TREND? IS THAT WHAT IT'S GOING TO LOOK LIKE GOING FORWARD, OR WAS THAT A ONE YEAR ANOMALY? I DON'T KNOW THE ANSWER TO THAT.

IF THAT'S GOING FORWARD, THEN I CERTAINLY THINK THE LOWER NUMBER IS PROBABLY CLOSER.

ALTHOUGH AT SOME POINT WE ARE GOING TO GET SOME STRONG GROWTH, AND EVEN IF THEY'RE TAKING A LOT OFF THE TOP, I MEAN, WE'LL STILL SEE THAT GROWTH.

AGAIN, KEEP IN MIND THAT THERE IS MONEY ASSOCIATED WITH THAT, AND IT IS REAL MONEY.

BUT IT'S NOT LIKE IT WAS PRE-2019 WHEN A SWING OF THREE OR FOUR PERCENTAGE POINTS ON YOUR GROWTH COULD MEAN MILLIONS OF DOLLARS.

[01:20:04]

LIKE I SAID, THAT'S STILL A LOT OF MONEY.

IT'S SIGNIFICANT, BUT IT'S NOT AS SIGNIFICANT AS IT WAS UNDER A SYSTEM THAT WE HAD 10 YEARS AGO.

>> I GUESS MY LAST QUESTION IS, AND I'LL HAVE MORE IN TWO WEEKS.

BUT WHEN WE TALK ABOUT THE ADDITIONAL FUNDING SOURCES, SO WE'VE TALKED ABOUT VOLATILITY.

THANK YOU OF INVESTMENT EARNINGS.

BUT THE OTHERS YOU SAID HAVE BEEN SOMEWHAT CONSISTENT.

I KNOW THAT OVER THE YEARS, THERE'S BEEN SOME COMMUNITY FEEDBACK ON OUR ENTERPRISE FUNDS AND WHETHER WE CAN INCREASE THOSE.

IS THERE SOMETHING THAT WE AREN'T DOING, AND CAN WE INCREASE THOSE ENTERPRISE FUNDS IN THE FORM OF RENTALS? I KNOW WE'VE HAD DISTRICT COMMITTEES ON THIS, AND WE'VE HAD A LOT OF DISCUSSION ON THIS.

WHAT I HEAR FROM YOU IS THAT IT'S FAIRLY STABLE AND THAT WE'RE DOING WHAT WE CAN.

WE'RE NOT HIDING ANYTHING, THERE'S NOT RENTALS THAT WE'RE JUST NOT LOOKING AT.

>> NO. I'LL SAY THIS.

THE RENTAL PROGRAM AND COMMUNITY ED HAVE RECENTLY FALLEN UNDER MY PURVIEW.

I'VE BEEN LOOKING IN INTO THOSE MUCH CLOSER THAN I HAVE IN THE PAST.

WHAT I'M SEEING IS, WE'VE GOT SOME REAL HUSTLERS OUT THERE WHO ARE WORKING REALLY HARD TO FIND RENTERS TO BRING IN TO GET OUR STAFF MEMBERS TO OFFER CLASSES.

HERE'S AN INTEREST AND INTERESTING ASIDE.

THIS IS NOT ABOUT RENTALS. THIS IS ABOUT COMMUNITY ED, BUT THEY'RE VERY CLOSELY RELATED.

HISTORICALLY, WE HAD A MODEL WHERE THE TEACHERS WOULD OFFER A CLASS, THEY'D CHARGE A FEE, AND THEN THE DISTRICT WOULD COLLECT PART OF THAT FEE, AND THEN THE REST OF IT WOULD GO TO THE TEACHERS WHO ARE TEACHING IT.

ONE OF THE THINGS WE DID COUNTER INTUITIVELY WAS THIS YEAR, WE LOWERED THE AMOUNT OR THE PERCENT THAT THE DISTRICT IS KEEPING.

THE RESULT OF THAT HAS BEEN THAT WE ARE OFFERING MANY MORE CLASSES THAN WE HAD BEFORE, AND THEY'RE BRINGING IN A LOT MORE KIDS, AND WE'RE ACTUALLY BRINGING IN MORE MONEY.

THAT'S ONE OF THOSE THINGS THAT IT'S GOOD FOR OUR STAFF, IT'S GOOD FOR US.

AS FAR AS THE RENTALS ARE CONCERNED, THEY'RE OUT THERE HUSTLING.

I'M SURE THAT THERE ARE SOME PEOPLE OUT THERE WHO JUST DON'T KNOW THAT THEY CAN RENT OUR FACILITIES, BUT OUR MOST REQUESTED FACILITIES ARE USED CONSTANTLY.

NOW I'M SURE IF YOU'VE DRIVEN AROUND, YOU KNOW THAT FIELD 1, FIELD 2, FIELD 3.

THEY'RE ALWAYS IN CONSTANT USE.

I SAW A CHART TODAY, AND I'M COMPILING SOME INFORMATION FOR SOME OF YOU THAT YOU'VE REQUESTED, SHOWING HOW MUCH THESE DIFFERENT FACILITIES ARE BEING UTILIZED, AND THEY'RE USED A LOT.

WE ARE CONSTANTLY WORKING, SO THIS ALSO INCLUDES THE PAC.

WE'RE CONSTANTLY LOOKING FOR PEOPLE WHO WANT TO USE THAT FANTASTIC FACILITY, AND A LOT OF PEOPLE DO WANT TO USE IT.

WE'VE JUST GOT A LONG TERM RENTER, THAT'S GOING TO PROBABLY BRING US IN TWO TO $250,000 IN THE NEXT YEAR OR SO.

THEY'RE GOING TO RENT IT REPEATEDLY OVER ABOUT A YEAR, MAYBE A LITTLE BIT LONGER.

WE'RE ALWAYS LOOKING FOR THOSE THINGS AND TRYING TO FIND WAYS NOT TO SAY THAT WE HAVEN'T LEFT SOME MONEY ON THE TABLE, BUT WE ALSO HAVE THE, THERE'S COMPETING INTERESTS IN THAT YES, WE WANT TO MAKE MONEY ON THESE FACILITIES THAT WE HAVE, BUT ALSO RECOGNIZE THAT WEST LAKE DOESN'T HAVE A PUBLIC PARKS DEPARTMENT.

WE'RE IT. KIDS WHO WANT TO PLAY SOCCER, THEY WANT TO PLAY, POP WARNER, WHATEVER IT IS, THEY'RE USING OUR FACILITIES, AND WE WANT TO CHARGE A FAIR RATE TO THEM,

[01:25:03]

WE WANT TO BE FAIR, WE WANT FACILITIES TO BE AVAILABLE, AND WE WANT TO MAKE MONEY ON IT.

IT'S A BALANCING ACT ON THAT.

>> THANK YOU FOR THAT. I'LL JUST GO BACK AND I DON'T KNOW WHEN WE HAVE IT IN OUR SCHEDULE OR HAVE ROOM IN OUR SCHEDULE, BUT I DO THINK THAT THIS DESERVES MORE ATTENTION.

THANK YOU CHRIS.

>> THANK YOU, KAMEL AND I'LL ADD IN THAT I THINK THE LONG RANGE FACILITY PLANNING COMMITTEE IS VERY MINDFUL OF THE ABILITY TO CREATE MORE SPACES THAT CAN BE RENTED, BECAUSE CURRENTLY OUR BUILDINGS ARE NOT REALLY BUILT FOR THAT.

MEANING A LOT OF THE INTERIOR SPACES DON'T HAVE EASY ACCESS TO THE EXTERIOR WITHOUT HAVING TO GO THROUGH THE WHOLE BUILDING.

THERE ARE OPPORTUNITIES THERE, AS WE LOOK FORWARD ON THAT IN THE LONG RANGE FOR ADDING OPPORTUNITIES.

>> WE CAN RENT OUT ANY ATHLETIC FACILITY THAT WE'VE GOT ROOM TO BUILD. I LOVE IT.

>> DIANE NEXT.

>> THANK YOU, CHRIS.

I TRIED TO LAY OUT MY QUESTIONS HERE IN A LOGICAL MANNER.

LET ME START WITH MY FIRST QUESTION IS ABOUT THE FUND BALANCE, AND WE HAVE THIS 25% GOAL, AND WE KNOW THAT CASH FLOW IS A BIG CONCERN.

WHERE, I'M LOOKING AT THE SLIDE WITH THE 17.7 MILLION PROJECTED FUND BALANCE AT THE END OF THE 25, 26 YEAR.

DOES THAT PUT US IN A CASH FLOW NEGATIVE SITUATION IN NOVEMBER?

>> I'VE NOT RUN THE NUMBERS YET, BUT I SUSPECT IT WOULD.

>> ONE QUESTION I WOULD HAVE WOULD BE, LIKE DO WE HAVE ANY WIGGLE ROOM BEYOND THE SIX MILLION? I DON'T WANT TO HIT ZERO.

I DON'T WANT TO GO INTO THE NEGATIVE, BUT 25 SEEMS A LITTLE BIT LIKE, A GOOD GUIDELINE, BUT IS THERE ANY MORE DETAIL THAT WE COULD GET IN THERE? THE TAX BASE GROWTH, I WAS JUST DOING SOME BACK OF THE ENVELOPE CALCULATIONS.

IT LOOKS LIKE PEOPLE ARE SAYING IS 5.6, STILL A LITTLE TOO.

ROSY, IF WE WERE TO GO TO 1.5, IT LOOKS LIKE ANOTHER 680,000 WE MIGHT BE TAKING A HIT IN THAT AMOUNT.

WHEN WE HAVE TO HAVE MORE CONVERSATIONS ON THIS IN THE NEAR TERM, I'M INTERESTED IN UNDERSTANDING WHAT THE SHORT AND THE LONG TERM IMPLICATIONS ARE GOING TO BE WITH RESPECT TO ANY DECISIONS THAT WE MAKE BECAUSE SOMETIMES I'VE HEARD STORIES OF, WE MADE DECISIONS BACK IN VERY DIFFICULT TIMES IN THE 2009, 2010 TIME FRAME THAT THEY HAD GREATER IMPLICATIONS.

WE'RE GOING TO HAVE TO MAKE SOME REALLY TOUGH DECISIONS, NO MATTER WHAT.

BUT I JUST WANT TO TO THE EXTENT WE ARE ABLE TO REALLY THINK HOW IS THIS GOING TO IMPACT OUR STUDENTS IN THE NEAR TERM IN THE LONG TERM, OUR STAFF IN THE NEAR TERM AND THE LONG TERM RETENTION ISSUES LIKE THIS, AND THERE'S NO CRYSTAL BALL, BUT ANYTHING THAT YOU AND THE REST OF THE CABINET CAN BRING TO US TO HELP US UNDERSTAND HOW TO MAKE THESE DIFFICULT DECISIONS IS APPRECIATED.

I THINK TODAY WHEN WE WERE AT THE HIGH SCHOOL, YOU USED A WORD INCONVENIENCED.

MAYBE YOU SAID IT AGAIN TONIGHT.

I'M NOT SURE, BUT WE'RE I GUESS, TO THE BEST OF OUR ABILITY TO MAKE DECISIONS THAT MIGHT INCONVENIENCE PEOPLE MORE THAN SIGNIFICANTLY IMPACT THEIR EDUCATIONAL EXPERIENCE.

WHEN WE'RE DISCUSSING THESE, UNDERSTANDING THE LEVEL OF INCONVENIENCE THAT COMES ALONG WITH SOME OF THESE DECISIONS IS GOING TO BE OF INTEREST TO ME, AND HOW WE CAN MINIMIZE THAT TO WHATEVER EXTENT POSSIBLE.

I'M ALSO CURIOUS, ARE THERE ANY ACTIONS THAT WE'RE THINKING ABOUT FOR THIS YEAR OR IMMEDIATE ACTIONS THAT CAN BE TAKEN OR HOW QUICKLY COULD WE BE MAKING EVEN I KNOW WE'RE LOOKING AT BIG NUMBERS.

WE'RE TRYING TO LOOK AT CHANGES THAT CAN GIVE BIG RESULTS.

BUT I ALSO WANT THE COMMUNITY TO UNDERSTAND THAT IN EVERY DAY, OPERATING, AND I THINK EVERYONE IS THINKING ABOUT THE FACT THAT WE'RE JUST IN A DIFFERENT ENVIRONMENT RIGHT NOW.

IF THERE'S ANY THINGS THAT YOU'RE SUGGESTING THAT WE DO IN THE SHORT TERM LIKE THIS YEAR.

I DON'T KNOW IF THOSE ARE DECISIONS THAT ARE BEING BROUGHT BEFORE US.

THEN MY LAST TWO POINTS ARE TO WHAT OTHER PEOPLE HAVE SAID ALREADY.

I THINK IT'S UPON US, THE DISTRICT, TOO TO BE REALLY RALLYING UP OUR COMMUNITY.

[01:30:01]

WE HAVE EANES ADVOCACY.

THE GROUP ON FACEBOOK, WE'LL BE DOING EVERYTHING THAT WE CAN TO ADVOCATE AT THE CAPITOL.

HEATHER OBVIOUSLY IS VERY WELL SPOKEN AND VERY INFORMED ON THAT.

BUT WE NEED OUR COMMUNITIES HELP HERE, WE REALLY DO.

THEN FINALLY, KIM, YOU TOUCHED ON A TOPIC THAT I ALWAYS FIND INTERESTING AND YOU'VE GIVEN US SOME ANSWERS ABOUT REVENUE.

WE'VE GOT A REALLY SCRAPPY TEAM, I'VE HEARD OF SOME OF THESE.

WE'RE FILMING COMMERCIALS HERE, I THINK.

WE'RE DOING ALL INTERESTING THINGS ON OUR CAMPUSES AND MAKING MONEY.

I THINK WE'RE RIGHT NOW MAYBE ABOUT $400,000 IN COMMUNITY ED, 630 AND FACILITIES RENTALS.

THOSE ARE SOME NICE NUMBERS.

MAYBE THERE ISN'T VERY MUCH MORE TO BE HAD THERE, BUT I LOVED HEARING ABOUT THIS INADVERTENT OUTCOME OF GIVING THE TEACHERS MORE SHARE.

THAT'S FANTASTIC BECAUSE THAT'S A WIN WIN FOR EVERYBODY.

THE LAST THOUGHT I HAVE HONESTLY IS, HOW CAN WE THINK OUTSIDE THE BOX? THIS IS A TOPIC THAT'S COME UP BEFORE.

MAYBE IT'S TIME TO START THINKING ABOUT RAISING REVENUE THROUGH NAMING RIGHTS OR SOMETHING LIKE THAT.

THERE'S IN THE LONG RANGE FACILITIES PLANNING COMMITTEE THAT HASN'T COME UP, BUT WHEN YOU TALK ABOUT NEW BUILDINGS AND THINGS LIKE THAT, THIS IS A CONVERSATION THAT I'VE HEARD IN LITTLE CORNERS OF THE COMMUNITY.

MAYBE THIS IS THE TIME TO START THINKING ABOUT HOW DO WE GET MORE DOLLARS THAT CAN'T BE RECAPTURED BY THE STATE? THESE ARE HARD TIMES, AND WE WANT TO KEEP THE LEVEL OF EDUCATION WHERE IT'S AT.

IT'S HARD TO THINK ABOUT HOW YOU CAN CUT $6 MILLION AND NOT IMPACT STUDENTS AND TEACHERS.

IT'S REALLY HARD TO THINK ABOUT.

HOW DO YOU DO THAT IN THE NEAR TERM? THE LAST LITTLE NOTE I HAD HERE WAS GRANTS THAT'S COME UP BEFORE.

BUT THAT TAKES TIME, STAFF IS SO THIN.

I DON'T KNOW THAT PEOPLE FULLY APPRECIATE HOW THIN WE ARE.

I CAN'T EVEN IMAGINE ASKING OUR STAFF TO SAY, HEY, CAN YOU WRITE ANOTHER GRANT IN YOUR SPARE TIME.

>> NOTE ON THAT IS EANES ISD TYPICALLY DOESN'T DO WELL IN COMPETITIVE GRANTS BECAUSE OF OUR DEMOGRAPHIC MAKEUP.

NONCOMPETITIVE GRANTS THAT IF YOU MEET THE QUALIFICATIONS, YOU GET THEM, WE DO FINE WITH.

BUT IF IT'S A CHOICE BETWEEN EANES ISD AND A SCHOOL SERVING A HIGH NEEDS POPULATION, THEY'RE GOING TO GET THE MONEY AND NOT US.

>> YEAH. THANK YOU.

I THINK ONE THING THAT GIVES ME HOPE IS THAT WHILE THIS SITUATION SEEMS SO DIRE HERE, RIGHT NOW, OUR COMMUNITY IS STILL DOING WELL.

WE HAD ACTUALLY REDUCED TAXES.

WE HAD MORE MONEY IN OUR POCKETBOOKS AFTER THE LAST YEAR OF TAXES.

HOPEFULLY THEY CAN HELP US OUT HERE BY ADVOCACY AND MAYBE SOME OTHER CREATIVE WAYS OF KEEPING MONEY THAT IS IN OUR DISTRICT.

I THINK THAT SUMS UP WHAT I WANTED TO SAY.

NO REAL QUESTIONS FOR YOU. THANK YOU.

>> THANK YOU, DIANE. WE'LL GO TO ELLEN.

>> WELL, I'VE BEEN AROUND FOR A LOT OF BUDGET CYCLES, AND USUALLY, I DON'T GET TOO WORKED UP ONE WAY OR THE OTHER.

BECAUSE THINGS DO HAVE A WAY OF CHANGING AND WE HAVE A WAY OF FIGURING OUT AS YOU SAID, SOME SOLUTION.

BUT I WILL SAY THE URGENCY AND THE MAGNITUDE OF THIS I FIND EXTREMELY DISTRESSING.

JUST TO BE CLEAR, WE NEED TO FIND A WAY TO CUT $6.5 MILLION BY NEXT FALL, OR RAISE.

>> CORRECT.

>> BY THE FALL OF 2025.

EVEN IF WE DISCOUNT THE NORMAL DIFFERENCE BETWEEN THE BUDGETED AND THE PROJECTED SURPLUS, THAT'S STILL 5.5 MILLION IN REAL MONEY.

>> IT 6.5 IS TAKEN INTO ACCOUNT THAT.

REAL 6.5 CUT.

>> REAL, SO REALLY ON PAPER, IT WOULD PROBABLY BE SEVEN HALF MILLION.

>> BUT IT'S 6.5 OFF OF BOTH, YEAH.

>> THE REASON IT'S SO DISTRESSING TO ME IS BECAUSE, QUITE FRANKLY,

[01:35:01]

I MEAN, AS WE KNOW, WE HAVE AN AWESOME FOUNDATION, WE'VE CHANGED OUR FISCAL YEAR.

WE'VE IMPLEMENTED THE TRANSFER POLICY IN ALL SORTS OF DIFFERENT WAYS TO OUR ADVANTAGE.

WE'VE MOVED MONEY OVER TO BONDS, EVERYTHING WE COULD, AS YOU EXPLAINED EARLIER.

WE'VE TAKEN THE GOLDEN PENNIES, WE'VE DONE RENTALS, WE'VE DONE COMMUNITY ED, WE'VE DONE FEES.

I THINK IT WOULD BE HELPFUL FOR THE COMMUNITY TO UNDERSTAND ALL OF THE DIFFERENT TOOLS THAT WE HAVE UTILIZED AND ARE UTILIZING AND THE MAGNITUDE OF WHAT THEY BRING IN.

WE ALWAYS THINK THAT WE'VE GOT THE NEXT GREAT IDEA, AND IT'S GOING TO BRING IN IT WILL BRING IN MONEY, BUT MAYBE $300,000, AS OPPOSED TO 5.5 MILLION.

I THINK IT'S IMPORTANT FOR US TO UNDERSTAND ALL OF THE DIFFERENT THINGS THAT WE ARE AND CAN CONTINUE TO DO AND THE MAGNITUDE OF WHAT THOSE CONTRIBUTE.

>> BUT AS YOU SAY, THAT THE ADMINISTRATION IS IDENTIFYING MEASURES THAT I'M GUESSING PROBABLY HAVE LARGER IMPACT.

I THINK IT'S VERY IMPORTANT FOR US TO HERE SOONER RATHER THAN LATER, WHAT THOSE ARE, WHAT IS THE IMPACT ON STUDENTS, WHAT IS THE IMPACT ON STAFF, AND WHAT IS THE MAGNITUDE OF EACH OF THOSE? BECAUSE IT'S THE MAGNITUDE OF THIS THAT IS SO DIFFERENT FROM WHERE WE WERE THREE MONTHS AGO, FOUR MONTHS AGO.

THAT RARELY DO THINGS.

IS THERE THE PERFECT STORM WHERE WE ARE TALKING OF MAGNITUDE.

BUT IT'S NOT JUST THE MAGNITUDE FOR NEXT YEAR, IT'S ALSO THE ONGOING NATURE OF VIRTUALLY ALL OF THE ISSUES, AND IT'S THE FACT THAT WE NO LONGER HAVE OUR FUND BALANCE, IF WE WANTED TO GO INTO A DEFICIT BUDGET, WE'VE HAD THE ABILITY TO DO THAT BECAUSE OF OUR FUND BALANCE FOR AT LEAST THE PAST 25 YEARS AND HARD STOP, WE DON'T HAVE THAT ANYMORE.

THAT CHANGES THE GAME FOR US CONSIDERABLY, WHICH MEANS WE HAVE TO DO SOME OF THOSE BIG THINGS THAT HAVE MAJOR MAGNITUDE, AND THEREFORE, MAY WELL PORTEND MAJOR CHANGE.

THE QUESTION YOU HAVE IS HOW DO WE TALK ABOUT THOSE? I THINK IF WE GOT THAT INFORMATION FROM THE ADMINISTRATION, AND WE HAD SOME PUBLIC PROCESS, IN THE PAST, WE'VE HAD MEETINGS.

THOSE HAVE THEIR PROS AND CONS.

WE'VE TRIED SOME THINGS LIKE THOUGHT EXCHANGE AND SOME OF THE NEW TOOLS THAT CLAUDIA HAS DESCRIBED TO US.

PERHAPS THOSE ARE THINGS THAT THEY'RE FAIRLY NUANCED, AND SO I'M SURE THERE ARE SOME THAT ARE BETTER THAN OTHERS THAT WOULD HELP GIVE INPUT AS LONG AS THE PUBLIC REALLY UNDERSTANDS WHAT THE TRADE OFFS ARE AND WHAT THE MAGNITUDE OF EACH ONE IS, BECAUSE IT MAY NOT BE JUST ONE, IT MAY BE TWO OR THREE.

WE MAY HAVE TO GO TO SEVERAL OF THOSE OPTIONS.

BUT I ALSO THINK WE NEED TO SOMEHOW HAVE A MECHANISM FOR OTHER IDEAS.

NOW, I'VE BEEN ON EVERY GENERATING REVENUE COMMITTEE FOR THE PAST 20 YEARS, 25 YEARS, ACTUALLY.

PRETTY MUCH THEY EACH REPEAT EACH OTHER AND THEY EACH THINK, THIS IS THE NEXT BIG IDEA.

THERE'S STILL SOME THINGS OUT THERE LIKE SCHOOL UNIFORMS OR PAYING FOR TRANSPORTATION.

MAYBE THERE ARE SOME THINGS, BUT MOST OF THEM DON'T HAVE THE MAGNITUDE OF WHAT WE'RE TALKING ABOUT.

MOST OF THE LOW HANGING FRUIT IS WHAT WE'VE ALREADY DONE, OBVIOUSLY.

BUT I DO THINK MAYBE THERE'S SOMETHING OUT THERE THAT SOMEBODY CAN COME TO US WITH THAT I THINK IT WOULD BE GOOD TO HAVE SOME SUGGESTION BOX TYPE OF OPPORTUNITY IN THIS PROCESS.

THERE IS OPPORTUNITY TO THINK CREATIVELY AND OUTSIDE THE BOX AND NOT JUST HOW DO WE ADJUST? I WOULD HOPE THAT THE COMMUNITY WILL WORK WITH US IN UNDERSTANDING THE POTENTIAL THAT SOME OF THESE THINGS HAVE AND REALLY LOOK AT WHAT IS THE IMPACT ON STUDENT ACADEMIC OUTCOMES.

THERE WILL BE A LOT OF EMOTION INVOLVED IN THE CONVERSATIONS.

BUT IF WE CAN STEP BACK FROM THAT AND SAY, IN THE LONG RUN, WILL IT REALLY AFFECT THE EDUCATION AND THE EXPERIENCE WE'RE ABLE TO GIVE OUR STUDENTS?

[01:40:06]

IF WE CAN HAVE THAT DISCUSSION AS A TRUE DISCUSSION OF THE OUTCOMES FOR OUR CHILDREN AS OPPOSED TO THE EMOTIONS OF THE MOMENT, THAT'S WHAT I WOULD HOPE FOR IN THIS PROCESS.

>> THANK YOU, ELLEN. WE'LL GO TO KELLY.

>> THANK YOU. THE ONE THING THAT REALLY JUMPED OUT AT ME WAS THE HISTORIC ENROLLMENT PAGE, JUST DUE TO THE FACT THAT YOU HAD 580 FEWER ELEMENTARY STUDENTS THAN 10 YEARS AGO, WHICH IS MORE THAN THE AMOUNT OF STUDENTS THAT I'VE EVER SEEN AT CEDAR CREEK ELEMENTARY.

KNOWING THAT WE'RE ENROLLMENT-WISE DOWN IN THE ELEMENTARY LEVEL, A WHOLE ELEMENTARY OF STUDENTS, I'M JUST WONDERING IF THAT'S SOMETHING THAT WE NEED TO MAKE SURE THAT WE'RE LOOKING AT.

I KNOW THAT WE'VE DONE A LOT OF WORK WITH LOOKING AT RECRUITING FOR KINDERGARTNERS.

I KNOW WHEN SPEAKING WITH SOME OF OUR NEIGHBORS AND SUCH THAT THE PRIVATE SCHOOLS AROUND US DO END UP TAKING ON A LOT OF OUR YOUNGER STUDENTS FOR DIFFERENT VARIOUS PERSONAL REASONS FOR FAMILIES.

BUT THEY DO RETURN TO US IN THE SECONDARY ENROLLMENT, AS YOU CAN SEE, WHERE THAT WAS UP ABOUT 300.

THEN I DON'T KNOW FOR SURE, BUT MY QUESTION WAS, DO YOU KNOW WHERE WE GET THE MOST TRANSFER REQUEST AS WELL? LIKE, AS COMPARING ELEMENTARY TO SECONDARY TO THE HIGH SCHOOL, WHERE DO WE SEEM TO GET THE MOST INTEREST IN TRANSFERS?

>> I'M NOT SURE I CAN ANSWER THAT AS WELL AS, DR. ARNETTE OR MAYBE MOLLY COULD?

>> I DON'T WANT TO SPEAK TO THAT.

I'M NOT POSITIVE RIGHT NOW EXACTLY HOW THE DISTRIBUTION LOOKS.

>> I KNOW YOU GUYS WORKED REALLY HARD TO ENCOURAGE FAMILIES TO ENROLL.

WE VERY SPECIFICALLY TARGETED AND ENCOURAGED FAMILIES BY OFFERING AN ADDITIONAL SECTION OF SPANISH IMMERSION, AND JUST AS WE'RE GOING TO LOOK AT THESE DECISIONS, I WOULD LOVE MORE INFORMATION IN THAT AREA TO REALLY UNDERSTAND HOW THAT RECRUITMENT WENT, AND IF WE THINK WE'VE KIND OF EXHAUSTED THOSE RESOURCES.

I DO WANT TO ALSO SPEAK ABOUT OUR ADDITIONAL FUNDING THAT WE DO GET FROM EEF, AND THEY ARE DOING THEIR TEACHER FUND RIGHT NOW.

TIM AND I ARE VERY PROUD, AND WE ABSOLUTELY LOVE BEING LEADERSHIP FAMILY.

IF ANYBODY WANTS TO TALK TO ME ABOUT THAT, I WOULD LOVE TO TALK TO YOU ABOUT THAT AND SUPPORTING EEF IN A REALLY BIG, SIGNIFICANT WAY.

THEN HEATHER AND DIANE AND I ALL PARTICIPATED WITH ALL OF THE SCHOOL DISTRICTS AT A DELEGATE ASSEMBLY, WHERE WE IDENTIFIED WHAT WE'D LIKE TO TALK TO OUR LEGISLATOR ABOUT HOW THEY CAN SUPPORT US BETTER AND WHAT THEY CAN DO.

WE ALSO PARTICIPATE IN A CENTRAL TEXAS SCHOOL BOARD ASSOCIATION WHERE WE UNITE WITH OTHER DISTRICTS TO KEEP US ALL ON THE SAME PAGE AND REALLY HAVE THAT POWER IN NUMBERS.

IF YOU'RE A PARENT OUT THERE AND YOU'RE REALLY INTERESTED AND YOU KNOW YOU CAN BRING BENEFIT TO US, PLEASE REACH OUT BECAUSE WE WOULD LOVE TO HAVE YOUR POWERFUL VOICE AND YOUR SUPPORT. THANK YOU.

>> THANK YOU, KELLY. WE'LL GO TO LAURA.

>> THERE'S A LOT TO THIS, AND I REALLY APPRECIATE EVERYTHING THAT MY FELLOW TRUSTEES HAVE BEEN EXPRESSING AND SAYING, BECAUSE WE MIGHT BE ABLE TO COVER A LITTLE FRACTION OF WHAT THIS CONVERSATION REALLY NEEDS TO HOLD.

UNLIKE KIM, I'VE BEEN LISTENING TO THESE BOARD MEETINGS AND PARTICIPATING IN THESE MEETINGS FOR 9, 10 YEARS AT LEAST.

I WAS OKAY LISTENING TO EVERYBODY ELSE TALK.

BUT ELLEN, WHEN YOU'RE WORRIED, THAT SCARES THE BEJESUS OUT OF ME, BECAUSE I HAVE SPECIFIC MEMORIES OF YOU IN DISCUSSIONS ABOUT DEFICIT BUDGETS BEING LIKE, WE'RE GOING TO GET THROUGH THIS.

THIS WILL BE OKAY, AND THIS IS THE FIRST TIME I'VE HEARD YOU VOICE THAT OPINION.

[01:45:02]

IT'S UNLIKE ANY OTHER INDUSTRY OUT THERE.

WE DON'T GET TO SET OUR REVENUE.

WE HAVE VERY LITTLE IMPACT AND NO IMPACT OVER THE AMOUNT OF MONEY THAT WE GET TO BRING IN.

WE'RE BASICALLY TOLD HOW MUCH MONEY WE'RE GOING TO GET.

WITH THAT MONEY, WE HAVE THIS INCREDIBLY POWERFUL JOB TO EDUCATE CHILDREN AND PREPARE THEM FOR THE FUTURE.

RECAPTURE OUR MONEY, WHAT IS IT? ABOUT 60% THAT WE GO TO RECAPTURE, ROUGHLY?

>> ROUGHLY, YEAH

>> I THINK IT'S VERY IMPORTANT FOR OUR COMMUNITY TO UNDERSTAND THIS BECAUSE WE PAY A HUGE AMOUNT OF TAXES, AND IT IS DESIGNATED FOR EDUCATION OF CHILDREN IN PUBLIC SCHOOLS.

RECAPTURE IS NOT A BAD THING, BECAUSE WE'RE HELPING OTHER DISTRICTS THAT DON'T HAVE THE SAME TAX BASE THAT WE DO.

BUT WHAT'S HAPPENING IS THAT 60% OF MY TAX BILL IS GOING TO THE STATE, AND IT'S JUST SITTING THERE.

THEY HELD ONTO ALL THAT MONEY.

THEY DIDN'T RELEASE IT.

THAT'S MONEY, NOT ONLY THAT WE COULD USE, BUT THAT OTHER DISTRICTS COULD USE.

I THINK IT'S LIKE 4 $5 BILLION THAT THEY'RE SITTING ON AND DIDN'T RELEASE.

AGAIN, THAT IS MONEY THAT IS COLLECTED FOR THE SPECIFIC USE OF PUBLIC EDUCATION, AND IT'S NOT THE STATE'S MONEY.

IT IS THE SCHOOL DISTRICT'S MONEY AND THEY'RE HOLDING ON TO IT.

CHRIS, CAN YOU TELL ME 6.5 MILLION IS WHAT WE'RE LOOKING TO CUT.

WHAT PERCENTAGE OF THAT IS THAT OF OUR OPERATING BUDGET?

>> OUR OPERATING BUDGET IS JUST UNDER $1 MILLION.

>> THAT'S A SIGNIFICANT PERCENTAGE TO TRY TO CUT, ESPECIALLY WHEN WE'RE SPENDING OVER 80% ON TEACHER SALARIES.

ELLEN, THANK YOU FOR HIGHLIGHTING THE AREAS WHERE WE'VE ALREADY GONE AFTER AS FAR AS CUTTING AT THE, [LAUGHTER] EVERYBODY'S SPOKEN ABOUT EEF, AND WE HAVE THESE OTHER TOOLS, AND THEY'VE BEEN USED AND THEY'VE BEEN USED WELL.

IT'S VERY UNFORTUNATE THAT WE'RE AT THIS POINT WHERE WE HAVE TO MAKE SOME INCREDIBLY DIFFICULT DECISIONS.

CHRIS, YOU'RE ASKING HOW YOU WOULD LIKE US TO REVIEW AND CONSIDER THESE.

WE'VE DISCUSSED SOMEWHAT SOME OF THESE IN THE PAST.

SOME OF THEM HAVE SHORTER ON RAMPS THAN OTHERS.

I THINK IT WILL BE IMPORTANT FOR US TO UNDERSTAND BECAUSE YOU'RE LOOKING AT 6.5 MILLION CUT IN ONE YEAR.

WE'RE REALLY GOING TO NEED TO UNDERSTAND WHAT OF THE OPTIONS CAN GET US THERE.

THE IMPACT ABSOLUTELY ON STUDENTS.

WE ALWAYS NEED TO TRY TO KEEP THIS AS FAR AWAY FROM THE STUDENTS AS POSSIBLE.

THE BOARD IS GOING TO MAKE THESE DECISIONS, AND WE'RE GOING TO MAKE THESE DECISIONS WITH INPUT FROM ADMIN FROM YOU.

WE'RE GOING TO MAKE THESE DECISIONS WITH INPUT FROM THE COMMUNITY.

WE'VE HEARD FROM A LOT OF COMMUNITY MEMBERS IN DIFFERENT FORMS OVER THE YEARS, AND SO WE'LL USE THAT IF THERE'S OTHER OPPORTUNITIES TO GET INPUT AND TO LISTEN TO OUR COMMUNITY.

I THINK THAT WILL BE IMPORTANT AS WELL.

ULTIMATELY, IT WILL BE OUR DECISION, AND WE WILL STAND ON THOSE DECISIONS THAT WE MAKE.

I ENCOURAGE OUR COMMUNITY TO TALK TO US, TO LISTEN, TO HEAR, TO LEARN, TO ENGAGE, AND FIND OUT AS MUCH AS YOU POSSIBLY CAN SO THAT YOU CAN UNDERSTAND WHY WE'RE MAKING THESE DECISIONS.

IT'S WITH HEAVY HEART THAT WE'RE DOING THIS, AND NONE OF THIS IS GOING TO BE EASY.

IT'S AN INCREDIBLY UNFORTUNATE SITUATION THAT WE'RE IN.

SOME GRACE, SOME UNDERSTANDING, LOTS OF DISCUSSIONS, LOTS OF TALKS.

THAT'S ALL I GOT.

>> A COUPLE OF THINGS, CHRIS, FIRST OF ALL, I THINK IT'S FAIR THAT WE NEED TO CALL OUT THAT

[01:50:03]

THESE ARE NOT FINANCIAL SITUATIONS THAT WE'VE BEEN PUT IN BECAUSE OF POOR MANAGEMENT SOMEWHERE OR AN INABILITY TO SEE AROUND A CORNER ON THESE ISSUES.

THESE THINGS, AS YOU EXPLAINED EARLIER, ARE A RESULT OF A LOT OF EXTERNAL FORCES ON US.

WE, AS LEADERS, AS RESPONSIBLE PARTY HERE, WILL TAKE THE ACTIONS NEEDED TO KEEP OUR DISTRICT ON A SOUND FINANCIAL FOOTING.

AS FAR AS GUIDANCE ON WHAT WE'D LIKE TO SEE, IN THE NEXT MEETING OR TWO, I'D LIKE FOR YOU TO COME BACK WITH A BREAKDOWN OF REVENUE GENERATING OPPORTUNITIES.

I COULD SEND THIS TO YOU IN AN EMAIL.

A BREAKDOWN BOTH OF WHAT WE'RE CURRENTLY, THE LIST YOU PROVIDED, MAYBE A DOLLAR AMOUNT FOR EACH OF THOSE ITEMS, AND MAYBE A DOUBLE CLICK ON SOME OF THE ENTERPRISE OPPORTUNITIES THERE.

ANY OPPORTUNITIES THAT YOU'RE AWARE OF THAT WE COULD GO AFTER TO INCREASE THAT? IF OUR FIELDS ARE RENTED OUT 99% OF THE TIME, THAT'S NOT PROBABLY A GOOD OPPORTUNITY UNLESS WE WANT TO START A MIDNIGHT SOCCER LEAGUE.

THAT WOULD PROBABLY ANGER THE PARENTS AND YOU'D HAVE TO BE IN THE DARK.

>> BUT OBVIOUSLY, THERE ARE SOME THINGS WE JUST WE WON'T DOUBLE, WE'RE NOT GOING TO DOUBLE SOME OF THESE THINGS.

IF THEY'RE ALREADY $100,000 THINGS, DOUBLING THEM STILL DOESN'T GET US OUT OF A 6.5 MILLION DOLLAR HOLE.

BUT OUR PREFERENCE WOULD STRONGLY BE TO INCREASE REVENUE OVER MAKING CUTS.

ANY OPPORTUNITIES WE HAVE THERE.

THE SECOND THING THAT WE'D LIKE TO HEAR BACK FROM YOU IS A LIST OF BUDGET ACTIONS WE CAN TAKE.

I WOULD PROBABLY AIM THAT AT 500,000 AND GREATER JUST BECAUSE THE $10,000 ACTIONS ARE PERHAPS OUT THERE, BUT THEY'RE GOING TO TAKE A LOT OF THOSE TO GET US OVER THE LINE.

WHAT WE'D LIKE TO SEE THERE IS THE TIMING OF THESE.

CAN WE DO IT BY NEXT YEAR? THE IMPACT ON STUDENTS, THE IMPACT ON STAFF, AND WHETHER IT'S AN ONGOING THING OR A ONE TIME.

I MEAN, WE LOOK AT THIS, AND WE SEE 3.3 THIS YEAR, 6.3 DEFICIT NEXT YEAR, 9.6 THE YEAR AFTER, 11 AFTER THAT.

EVEN IF WE HAD A LITTLE WIGGLE ROOM ON WHETHER IT'S 6 MILLION OR 5 MILLION THAT YOU'RE COMFORTABLE WITH, IT'S GOING AWAY THE NEXT YEAR, UNLESS WE TAKE SOME ACTIONS THAT HAVE LONG TERM IMPACT.

I WOULD SAY THAT WE WILL PUT THIS IN THE FRAMEWORK OF KEEPING IT AS FAR FROM CLASSROOMS AS POSSIBLE, WHERE WE HAVE THAT OPPORTUNITY.

WITH A FOCUS ON MAINTAINING THE EXCELLENCE THAT WE'VE COME TO EXPECT IN THIS DISTRICT.

OUR GOAL WILL BE NOT TO IMPACT OUR STUDENTS AND STAFF AS MUCH AS WE POSSIBLY CAN AND MAINTAIN THE EXCELLENCE WE LOVE, REALIZING THAT THAT'S GOING TO BE REALLY DIFFICULT.

THE OTHER THING I WOULD SAY IS THAT WE WILL WANT TO HAVE THE OPPORTUNITY TO RECONSIDER THESE IF THE LEGISLATURE DOES COME THROUGH WITH ADDITIONAL FUNDING.

I THINK THAT WE WANT TO MAYBE WE PRIORITIZE SOME OF THESE AND WE CUT BACK ON IF WE CAN GET THAT ADDITIONAL FUNDING FROM THE LEGISLATURE.

I'LL BE HAPPY TO SEND THAT TO YOU AND TRUSTEES.

FEEL FREE TO CHIME IN IF I'VE MISSED SOMETHING, BUT LET'S AIM FOR THAT IF WE CAN DO IT IN THE NEXT MEETING, GREAT, THE ONE AFTER THAT.

OBVIOUSLY, THERE WILL BE A LOT OF COMMUNITY EDUCATION THAT NEEDS TO TAKE PLACE AND A LOT OF COMMUNITY INPUT OPPORTUNITIES THAT WE'D LIKE TO GET AS WELL.

LIKE ALAN SAID, WE WELCOME THE OPPORTUNITY FOR CREATIVE IDEAS THAT MAYBE WE HAVEN'T LOOKED AT, BUT WE PROBABLY HAVE.

BUT MAYBE THERE ARE NEW OPPORTUNITIES.

MAYBE WE NEED TO ASK ARTIFICIAL INTELLIGENCE WITH PERSON ON OUR IDEAS HERE.

I'LL PUT THAT IN AN EMAIL TO YOU.

>> I SAW HEATHER'S HAND UP.

BUT ALSO I SAW HEATHER'S HAND UP, AND I'M JUST JUMPING INTO YOUR LIST.

ARE YOU GOING TO COPY TRUSTEES ON THIS LIST BECAUSE I DIDN'T WRITE THEM DOWN.

HOW ARE WE GOING TO COMMUNICATE THIS? ARE YOU GOING TO COMMUNICATE TO CHRIS WITH EVERYONE COPIED SO THAT WE CAN THEN ADD TO THE LIST?

>> YEAH, THAT'D BE FINE.

>> THANK YOU.

>> DR. HARNETT, DID YOU HAVE ANYTHING TO ADD?

>> WELL, I'LL ECHO EVERYTHING THAT HAS BEEN SHARED TONIGHT.

I WANT TO THANK CHRIS AND THE CABINET FOR LAYING THE GROUNDWORK FOR THIS CONVERSATION.

A LOT OF WORK HAS GONE ON BEHIND THE SCENES TO PREPARE FOR THIS VERY DIFFICULT DIALOGUE TONIGHT, AND THE OTHER CONVERSATIONS THAT WE KNOW ARE STILL TO COME.

WHAT I WOULD SAY IS THAT WHEN YOU HAVE A 6.5 MILLION DOLLAR SHORTFALL,

[01:55:06]

IT'S GOING TO TAKE SOME VERY LARGE TOURNIQUETS TO STEM THE HEMORRHAGING.

AND THE LARGER THE TOURNIQUETS, THE MORE PRESSURE WILL BE PLACED ON STUDENTS AND STAFF IN THE COMMUNITY.

WE'RE READY FOR THOSE CONVERSATIONS.

WE KNOW THEY'RE NOT GOING TO BE EASY.

WE APPRECIATE THE PERMISSION THAT YOU'VE GIVEN US TONIGHT TO HAVE NOT ONLY THIS DISCUSSION, BUT ALSO THOSE THAT ARE STILL TO COME.

AGAIN, THANKS TO CHRIS AND THE CABINET, BECAUSE A LOT OF WORK HAS GONE ON BEHIND THE SCENES TO GET READY FOR TONIGHT, BUT ALSO FOR WHAT WE KNOW IS TO COME. WE'LL BE READY.

>> THANK YOU, DR. HARNETT. WE'LL COME BACK TO HEATHER.

>> SORRY, I JUST HAD A COUPLE OF LAST MINUTE THOUGHTS.

IN TERMS OF WHAT'S GOING TO HAPPEN WITH THE LEGISLATURE, OBVIOUSLY, I'M NOT HOLDING MY BREATH.

BUT THE LEGISLATIVE COMMITTEE IS ABOUT TO MEET AGAIN TO FINALIZE A DRAFT FOR OUR LEGISLATIVE PRIORITIES AND BRING THAT TO THE FULL BOARD FOR DISCUSSION SOON BEFORE WE SEND IT ON OVER TO THE PINK BUILDING.

I KNOW IT WOULD BE HELPFUL, AND WE'VE TALKED A LITTLE BIT ABOUT THIS, AND I HATE TO ASK FOR ONE MORE THING, BUT JUST A LIST OF OTHER THINGS, UNFUNDED MANDATES THAT WE HAVE TO PAY FOR THAT WE COULD TAKE TO THE STATE, THE LEGISLATURE TO SAY, HEY, YOU GUYS ARE FORCING US TO PAY FOR THESE THINGS.

PLEASE HELP COVER THEM IF YOU'RE MANDATING THAT WE DO THEM.

THAT WOULD BE HELPFUL AND THEN ONE THING THAT COMES UP A LOT AT THE CAPITOL IS SAFETY AND SECURITY.

AND THEY PASSED HOUSE BILL THREE LAST SESSION.

WE HAD ALREADY BEEN IN TALKS TO FORM OUR POLICE DEPARTMENT.

OUR PEACE OFFICERS ARE AMAZING.

THANK YOU, SIR AND THE BACK.

BUT I'M VERY GRATEFUL THAT OUR COMMUNITY SUPPORTED THAT AND THAT WE WERE ABLE TO CREATE AN AMAZING POLICY AND TO DO THAT, BUT IT DIDN'T COST US WHAT THE STATE GAVE US.

JUST THINGS LIKE THAT TO BE COGNIZANT OF AND SO WHEN WE'RE HAVING CONVERSATIONS, THAT WOULD BE HELPFUL.

THE OTHER THING, YOU MENTIONED COPPER PENNIES, I WOULD LOVE TO HAVE A BROADER CONVERSATION ALONG WITH ALL OF THIS ABOUT WHAT THAT MEANS TO OUR TAXPAYERS, AND IF THEY ACTUALLY ARE BENEFITS TO US, ALONG WITH THOSE BECAUSE, YOU KNOW, WE ALREADY TALKED ABOUT THAT A LITTLE BIT EARLIER TONIGHT.

THEN IT WAS BROUGHT UP THAT DIANE YOU MENTIONED, MAYBE NOW IS THE TIME FOR NAMING RIGHTS.

I'VE NEVER BEEN IN FAVOR OF THAT TO BE COMPLETELY HONEST, BUT NOW IS NOT THE TIME WHERE WE GET TO BE IN FAVOR OF THINGS THAT MAKE MONEY, UNFORTUNATELY, OR NOT IN FAVOR.

I THINK EVERYTHING'S ON THE TABLE, UNFORTUNATELY, AND I DON'T REALLY LIKE THE IDEA OF SELLING OUT OUR DISTRICT, BUT HERE WE ARE.

I THINK THE OTHER THING THAT DOES GIVE ME A LITTLE BIT HOPE OF HOPE IS THAT WE HAVE AN AMAZING COMMUNITY, AND THEY'RE VERY GENEROUS.

I'M NOT GIVING UP ON OUR COMMUNITY YET.

IF ANYONE FEELS THE CALLING TO HELP LIGHTEN OUR LOAD THROUGH A DONATION TO THE EDUCATION FOUNDATION, THAT WOULD BE GREATLY APPRECIATED.

OBVIOUSLY, IT SOUNDS LIKE I'M BEGGING I KIND OF AM.

BUT IT'S LITTLE THINGS THAT WE CAN AND EVEN IF PEOPLE HAVEN'T PARTICIPATED IN A BIG WAY IN THE PAST, EVEN SMALL DONATIONS WILL ADD UP.

I THINK THAT ANYTHING PEOPLE CAN DO TO HELP IS GREAT.

BUT I ALSO AM EXCITED AND THIS SOUNDS WEIRD THAT IT'S A HORRIBLE CONVERSATION TO HAVE, BUT I AM EXCITED ABOUT THE FACT THAT WE HAVE THE LONG RANGE FACILITIES PLANNING COMMITTEE AND THAT WE HAVE CONVERSATIONS COMING, AND IT'S NOT GOING TO HELP IMMEDIATELY.

BUT WE HAVE THIS ABILITY TO REALLY THINK ABOUT THE WAY THAT OUR FACILITIES ARE RUNNING AND THE WAY THAT THEY'RE BUILT SO THAT WE CAN HAVE YOU KNOW, MORE EFFICIENT FACILITIES THAT COST LESS TO RUN, AND ALSO THAT COULD BE REVENUE GENERATORS.

I AM HOPEFUL THAT THE LONG RANGE FACILITIES PLANNING COMMITTEE AND OUR FUTURE, OR THE PEOPLE THINKING ABOUT THE DISTRICT'S FUTURE WILL COME UP WITH REVENUE GENERATORS THAT WE HAVE NOT HAD THE ABILITY TO USE BECAUSE OF FACILITIES THAT WILL ALSO BE A BENEFIT TO OUR COMMUNITY.

I MEAN, ONE THING THAT JUST COMES TO MIND OFF THE TOP OF MY HEAD IS MORE CHILDCARE.

WE HAVE AN AMAZING CDC, SOMETHING LIKE THAT COULD BE SUCH A BENEFIT TO OUR COMMUNITY, BUT ALSO TO OUR STAFF, AND, BUT THAT REQUIRES A FACILITY OR PLACES.

I JUST WANT TO THINK ABOUT ANYTHING LIKE THAT.

AGAIN, WE'VE ALL KIND OF PUT A PLUG INTO THE COMMUNITY.

IF YOU HAVE GREAT IDEAS, PLEASE BRING THEM.

WELL, THIS IS ALL DOOM AND GLOOM.

I AM HOPEFUL.

I DO HAVE A LITTLE GLIMMER OF HOPE THAT OUR COMMUNITY WILL HELP US THROUGH THIS AND THAT THEY WILL BE

[02:00:02]

>> THANK YOU, HEATHER. TIM.

>> I JUST HAVE ONE QUICK QUESTION.

WHEN ARE WE LOOKING AT WHEN IS OPTIMAL FOR DECISIONS TO BE MADE? ARE WE LOOKING AT A ONE MONTH RUNWAY, A COUPLE OF MONTHS RUNWAY FOR THIS DISCUSSION AND INTERACTION WITH THE COMMUNITY BEFORE YOU NEED TO KNOW WHAT WE WOULD LIKE TO DO WHEN WE WOULD TAKE A VOTE?

>> CHRIS WE'RE ENTERING THE BUDGET SEASON IN THE SECOND SEMESTER, DO YOU WANT TO TALK ABOUT THAT TIMELINE?

>> SURE. WELL, AS WE KICK OFF THE BUDGET SEASON IN JANUARY.

AS FAR AS MAKING THESE BIG DECISIONS.

SOME OF THEM HAVE RUNWAYS THAT STEPS THAT YOU'VE GOT TO MEET AHEAD OF TIME.

I HAVEN'T LOOKED AT EVERYTHING THAT WE PROPOSED AS FAR AS THAT GOES, BUT I WOULD SAY THAT IF WE CAN KNOW BY FEBRUARY, THAT WOULD BE REALLY HELPFUL.

>> I ASKED THAT BECAUSE I WANTED TO KNOW IT.

BUT ALSO WHEN WE'RE LOOKING AT THE LEGISLATURE MAKING DECISIONS, LEGISLATURE IS NOT GOING TO MAKE DECISIONS UNTIL JUNE UNTIL THE END OF SESSION.

>> RIGHT.

>> WE'RE GOING TO NEED TO ANTICIPATE THAT NOTHING MAY HAPPEN WITH THE LEGISLATURE REGARDLESS OF EFFORTS THAT EVERYONE'S MAKING, BUT WE'RE GOING TO HAVE TO MAKE THOSE DECISIONS IN A SCENARIO WHERE WE'RE NOT SURE OF WHAT THE FUTURE LOOKS LIKE.

>> YES, I THINK THAT'S TRUE.

>> THANK YOU.

>> I THINK THAT DOES IT, CHRIS, THANK YOU VERY MUCH.

WE'LL SEE YOU AGAIN SOON AND CONTINUE THESE CONVERSATIONS.

WE WILL NOW MOVE TO THE DISCUSSION AND ACTION ITEM HERE.

[8.1 Request to consider nomination for representative for Board of Directors of Travis County Appraisal District (TCAD)]

>> I MOVE THAT THE ESD BOARD OF TRUSTEES NOMINATE JOHN HAVEN STRAIGHT FOR THE TRAVIS CENTRAL APPRAISAL DISTRICT BOARD.

>> MOTION BY HEATHER.

SECOND BY ALLEN.

LAURA, DID YOU HAVE YOUR HAND UP FOR A COMMENT? HANDS HANDS MEAN. I'VE GOT SOMETHING TO SAY.

DO WE HAVE ANY DISCUSSION HERE? HEATHER, DO YOU WANT TO GIVE US A LITTLE RECAP ON WHAT YOU MAY HAVE TOLD US LAST TIME?

>> SURE. I JUST THINK IT WOULD BE HELPFUL TO HAVE SOMEONE WHO UNDERSTANDS PUBLIC EDUCATION AND SCHOOL FINANCE AND IAN'S ISD AS A REPRESENTATIVE ON THE TRAVIS CENTRAL APPRAISAL DISTRICT BOARD.

I HAVE SPOKEN TO JOHN ABOUT THIS.

HE IS INTERESTED.

THERE ARE SEVERAL DISTRICTS THAT HAVE ALREADY VOTED THAT WILL NOT BE VOTING AGAIN, BUT THERE ARE SEVERAL DISTRICTS THAT STILL HAVE THE ABILITY TO VOTE AND SO HIS NAME WILL GO TO THEM FOR A VOTE AS WELL.

IT IS NICE THAT WE HAVE A LITTLE BIT MORE VOTING POWER ON THAT THIS YEAR.

I APPRECIATE THE SUPPORT ON THE SECOND AND FINGERS CROSSED.

>> THANK YOU. ARE THERE ANY FURTHER DISCUSSION? THE MOTION HAS BEEN MADE.

ALL THOSE IN FAVOR, SAY AYE.

ANY OPPOSED? THE MOTION CARRIES 70.

OUR NEXT ITEM IS THE CONSENT AGENDA. ALLEN.

[9. ACTION - CONSENT AGENDA (Part 1 of 2)]

>> I'D LIKE TO PULL ITEM 9.1 FROM THE CONSENT AGENDA FOR SEPARATE DISCUSSION AND VOTE, PLEASE.

>> PULLING ITEM 9.1.

DO YOU WANT TO MAKE A MOTION ON THAT ONE AND THEN COME BACK TO CONSENT, OR DO YOU WANT TO MAKE A MOTION ON CONSENT? I MOVE THAT, WHY DON'T WE DO THE 9.1 FIRST?

[9.1 Request to approve Hill Country Middle School Booster Club donation]

>> CAN I MAKE A MOTION ON 9.1?

>> YES, PLEASE.

>> I MOVED TO ACT TO APPROVE THE ACCEPTANCE OF THE HILL COUNTRY MIDDLE SCHOOL BOOSTER CLUB DONATION IN THE AMOUNT OF $31,298.21 AND AN ADDITIONAL DONATION OF $27,743.90 TO BE USED FOR APPROVED SCHOOL IMPROVEMENT PROJECTS.

THIS TOTALED $59,042.11.

>> MOTION BY ALLEN. DO I HAVE A SECOND?

>> SECOND.

>> SECOND BY LAURA.

>> REAL QUICK, JUST TO CLARIFY THAT THESE DONATIONS ARE ALWAYS APPRECIATED.

[02:05:01]

WE ALWAYS WELCOME, THOUGH, SO THEY ALMOST ALWAYS GET APPROVED.

BUT BUT WE DO WANT TO FOLLOW A PROCESS HERE, SO THAT IS WHY THAT'S COMING BEFORE US.

ANY COMMENTS FROM THE BOARD? ANY QUESTIONS, HEATHER.

>> THANK YOU TO ALL THE PARENTS WHO HAVE CONTRIBUTED TO THE BOOSTER CLUB, NOT JUST A HILL COUNTRY, BUT ALL OVER THE DISTRICT.

>> THANK YOU. MOTION HAS BEEN MADE AND SECONDED.

ALL THOSE IN FAVOR SAY AYE.

ANY OPPOSED? MOTION CARRIES 70. ELLEN BACK TO YOU.

[9. ACTION - CONSENT AGENDA (Part 2 of 2)]

>> I MOVE WE APPROVE THE REST OF THE CONSENT AGENDA AS POSTED.

>> MOTION BY ELLEN, SECOND BY LAURA.

ANY DISCUSSION? THE MOTION HAS BEEN MADE.

ALL THOSE IN FAVOR, SAY AYE.

ANY OPPOSED? MOTION CARRIES 70.

PLEASE MAKE NOTE OF UPCOMING MEETINGS.

[10. UPCOMING MEETINGS]

JUST AS AT A POINT OF INFORMATION, WE ORIGINALLY HAD A MEETING SCHEDULED FOR NOVEMBER 5.

THAT'S ELECTION DAY AND AT THIS POINT, UNLESS WE SEE A REASON TO IF WE HAVE AN URGENT BUSINESS, WE WOULD PREFER TO EITHER FIND A DIFFERENT NIGHT TO DO THAT, OR SOMETHING, BUT AT THIS POINT, EXACT GUIDED THAT WE WOULD NOT HAVE A NOVEMBER 5 MEETING, KEEP YOU INFORMED ON THAT.

BEFORE WE ADJOURNED, JUST REAL QUICK, BOARD, I THINK WE FINISHED ALL OF OUR BUSINESS IN CLOSE, SO WE'RE GOING TO ADJOURN AND NOT GO BACK INTO CLOSED UNLESS SOMEONE FEELS OTHERWISE.

>> NO.

>> WITH THAT, THE BOARD IS ADJOURNED AT 9:17.

* This transcript was compiled from uncorrected Closed Captioning.