[1. Meeting Opening]
[00:00:10]
>> CALLING THIS MEETING TO ORDER, PLEASE RISE FOR THE
PLEDGE. >> I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS ONE NATION UNDER GOD INDIVISIBLE WITH LIBERTY AND
JUSTICE FOR ALL. >> WELCOME TO TONIGHT'S MEETING
[2. Academic Excellence Recognition]
AND FIRST UP , WE HAVE OLIO ROAD PRODUCTIONS.>> THANK YOU, MEMBERS OF THE BOARD. TONIGHT'S ACADEMIC SPOTLIGHT CELEBRATES AN INCREDIBLE ACCOMPLISHMENT BY A GROUP OF YOUNG SOUTHEASTERN STUDENTS, THROUGH THEIR CLUB, OF 18, HAVE ACHIEVED WHAT A LOT OF FILMMAKERS ONLY DREAM OF. THEIR FILM THE 20 WAS SELECTED -- "11:17" WAS SELECTED FOR THE HEARTLAND INTERNATIONAL FILM FESTIVAL. IT IS COMPLETELY STUDENT LED AND NOW STANDS SHOULDER TO SHOULDER WITH VETERAN FILM MAKERS AROUND THE WORLD. FOUR SOLD-OUT SCREENINGS AND A FIFTH ONE ADDED, SOMETHING THAT FESTIVAL ORGANIZERS SAY IS ALMOST UNHEARD OF. NONE OF THIS WOULD HAVE BEEN POSSIBLE WITHOUT DEDICATION AND THE MENTORSHIP OF HAMILTON SOUTHEASTERN SCHOOLTEACHER , HE FOUNDED OLIO ROAD PRODUCTIONS, THE FILM CLUB, SEVERAL YEARS AGO, AND IT CONTINUES TO GUIDE STUDENTS THROUGH EVERY STAGE OF THE PROCESS. SOME OF THE STUDENTS WHO WORKED ON "11:17" HAVE GRADUATED TWO ARE NOW AT PURDUE UNIVERSITY AND THEY SAT DOWN TO SHARE THEIR EXPERIENCE. I NEED TO MENTION THAT "11:17" WILL HAVE TWO SPECIAL COMMUNITY SCREENINGS ON NOVEMBER FORTH, 5TH, AT 3:00 AND 7:00 P.M. IN THE LEONARD AUDITORIUM. ALL PROCEEDS WILL SUPPORT OLIO ROAD PRODUCTIONS IN THEIR NEXT STUDENT FILM, "BEHIND THE EIGHT
BALL ERIC" -- BALL . CLOSE MAC >> OLIO ROAD PRODUCTIONS , THEY CHALLENGE STUDENTS TO CREATE SOMETHING ORIGINAL FROM SCRIPT
TO SCREEN. >> EVERY YEAR WE MAKE OUR OWN FILM. THE MOVIE BEFORE "11:17," , LATER THAT DAY, THEY WERE
CUTTING "11:17.". >> IT WAS SELECTED FOR THE HEARTLAND INTERNATIONAL FILM FESTIVAL, ONE OF THE TOP
OSCAR-QUALIFYING EVENTS. >> OCTOBER , EARLY APRIL, AND
PREMIERES MONDAY. >> WRITTEN, SHOT, AND EDITED OUTSIDE OF CLASS, "11:17" EXPLORES RELATIONSHIPS . A STORY BORN FROM A DEEPLY PERSONAL IDEA.
>> HE WAS THE ONE WHO CAME UP WITH THE STORY FROM ONE OF HIS FRIENDS. HIS GRANDFATHER HAD RECENTLY PASSED AWAY. AND HE HAD BEEN HAVING A LOT OF TROUBLE SLEEPING. SO THAT GOT US THINKING ABOUT WHAT AFFECTS GRIEF CAN HAVE ON PEOPLE. WE TRIED TO MOVE AWAY FROM THIS IDEA BUT IT WAS TOO GOOD THAT WE
CANNOT CAPITALIZE ON IT. >> THE RESULT, A FILM EMOTIONALLY COMPLEX AND VISUALLY COMPELLING. ONE THAT RESONATED
BEYOND THE WALLS OF HSE . >> THE BASKETBALL TEAM GOT
INVITED TO PLAY AT THE OLYMPICS. >> "11:17" SOLD OUT ITS FIRST THREE HEARTLAND SCREENINGS, PROMPTING TWO MORE. A RARE HONOR, EVEN FOR PROFESSIONAL FILMMAKERS.
>> DOING ALL THIS CRAZY STUFF, I WOULD NOT BELIEVE YOU, HONESTLY.
>> GUIDED BY PRODUCER AND TEACHER JAMIE FOLLIS, THEY TRANSFORMED THEIR PASSION INTO SOMETHING REMARKABLE .
>> WHAT DID WE TALK ABOUT LAST NIGHT?
>> ARE YOU SURE YOU ARE OKAY? >> WHAT HAPPENED BACK THERE?
[00:05:04]
>> SO, IS SHE COMING WITH US? >> IT DOES NOT MATTER.
>> WHAT IS IT? DESPAIR? >> HAVE YOU EVER THOUGHT ABOUT
>> THE CONSENT AGENDA SEEMS ANTI-CLIMATIC, BUT WE WILL MOVE ON TO ITEM FOUR, THERE IS -- I'M SORRY, I NEED TO GO BACK.
PUBLIC COMMENTS, 2.01, ALL OF THEM HAVE THE DO WITH A BUDGET
[4. Consent Agenda]
SO WE WILL ENTERTAIN THOSE SPEAKERS AFTER THE BUDGET PRESENTATION DURING THE PUBLIC HEARING. MOVING ON TO FOUR ITEMS PRESENTED ON TONIGHT'S CONSENT AGENDA, 4.01, BOARD MINUTES, 4.02 PERSONNEL REPORTS, 4.03 CLAIMS, PAYROLL , SALARY REDUCTION AGREEMENTS, 0 POINT -- 4.04, DONATIONS. DO I HAVE A MOTION TO PRESENT THE ENTIRE AGENDA AS PRESENTED?>> MOTION TO APPROVE THE CONSENT AGENDA.
>> SECOND. >> WE WILL NOW DO ROLL CALL.
SUZANNE THOMAS ? BEN ORR ? LATRICA SCHOOLEY ? DAWN LANG ?
[5. Action Items]
TIFFANY PASCOE ? IT PASSES 7-0, MOVING ON TO 5.01, PRESENTATIONBY DR. KEGLEY. >> GOOD EVENING, BOARD. THIS EVENING, I AM SEEKING ACTION ON ITEMS K01.00 AS WELL AS THE RETIREMENT OF POLICIES K03.00 , AND ACTION ON , AS WE DISCUSSED IN THE POLICY MEETING , WE ARE RETIRING K01.00 AND K03.00 . I AM HAPPY TO ENTERTAIN ANY QUESTIONS YOU MAY HAVE.
>> I HEARD THAT THE POLICY MEETING WENT SUPER FAST AND IT WAS EXPLAINED CLEARLY, HAS ANYTHING FROM THE FIRST BOARD
MEETING UNTIL NOW BEEN CHANGED? >> NO .
>> I WANTED TO CLARIFY. ANYONE ELSE? DO I HAVE A MOTION TO
APPROVE THE ITEM AS PRESENTED? >> MOTION TO APPROVE ITEM AS
>> ANY FURTHER COMMENTS OR QUESTIONS ? HEARING NONE, WE
[6. Information Items]
>> AND I AM A YES. WE WILL NOW MOVE TO INFORMATION ITEM , 6.01, FIRST POLICY READING, AGAIN, DR. KEGLEY.
>> I WILL LOOK AT THESE IN A DIFFERENT ITEM, K11.00, COMMUNITY RELATIONS, THAT IS AN UPDATE WITH NO PROPOSED CHANGES
[00:10:07]
TO THAT POLICY. K03.04, WE JUST HAVE DELETIONS AND REWARDING .AGAIN, THESE ARE, ALL OF THESE POLICIES, THEY ARE SEVERAL YEARS OLD. WHAT YOU ARE GOING TO SEE IN ALL OF THESE PROPOSED CHANGES ARE MERELY REWORKINGS AND UPDATING OF LANGUAGE. SOCIAL MEDIA COMMUNICATIONS. K06.00 IS THE RELEASE OF PROMOTIONAL INFORMATION IN SCHOOLS. AND J10.00 IS USE OF RESTRAINT AND SECLUSION. WE HAVE RECENTLY UPDATED OUR HANDBOOK FOR SECLUSION AND RESTRAINT AND WE HAVE MADE ALL THE NECESSARY CORRECTIONS . WE POSTED ON OUR WEBSITE. WHAT THIS DOES IS MERELY UPDATE SOME LANGUAGE AND PUTS A NEW LINK TO WHERE THAT HANDBOOK CAN BE FOUND. SO, WE WILL BE HAPPY TO ANSWER ANY QUESTIONS. OUR INTENT WOULD BE TO TAKE THESE TO THE NEXT POLICY COMMITTEE MEETING AND COME BACK IN NOVEMBER FOR ACTION.
>> CAN YOU CLARIFY REAL QUICK? I PULLED UP THE SOCIAL MEDIA ONE, IS IT A REWORDING OF THE ENTIRE PARAGRAPH? THERE IS A LOT OF
RED. >> IT IS REWRITING THE CROSSED OUT , AND WHAT IS UNDERLINED NOW.
>> OKAY, THAN YOU. ANYONE ELSE? ALL RIGHT, THANK YOU VERY MUCH .
WE WILL MOVE ON TO 6.02, 2026 BUDGET HEARING, TIM BROWN.
>> GOOD MORNING, MEMBERS OF THE BOARD THAT WE ARE IN THE FOURTH STEP OF THE FIVE-STEP PROCESS FOR THE BUDGET APPROVAL. I KNOW THE PRESENTATION IS COMING UP. AND WE WILL GET STARTED.
I THINK WE ARE GOOD TO GO, THANK YOU SO MUCH, APPRECIATE THE HELP, IF I CAN DESCRIBE IT THIS IS THE FIFTH STEP, THE FORMAL BUDGET HEARING FOR THE 2026 BUDGET. AND TO KIND OF LOOK AT WHERE WE ARE AT THIS POINT, WE HAVE BEEN WORKING ON THE BUDGET, GOSH, FOR MULTIPLE MONTHS. WE DID A HIGH-LEVEL REVIEW, WE DID A BUDGET WORK SESSION WITH THE BOARD IN EARLY SEPTEMBER, WE ARE ON THAT ALMOST LAST STEP , THE PUBLIC HEARING ON THE BUDGET, MOST OF WHAT I WILL PRESENT REPEATS WHAT WE TALKED ABOUT AT THE LAST SESSION BUT THERE IS A LITTLE BIT OF NEW INFORMATION RELATED TO ENROLLMENT THAT I WANT TO TALK ABOUT IN THE LAST STEP IS TO COME BACK ON OCTOBER 22ND AND ASK FOR PERMISSION FROM THE BOARD TO APPROVE NOT ONLY THE BUDGET BY THE CAPITAL PROJECTS PLAN AND THE BUS REPLACEMENT PLAN THAT GOES ALONG WITH THAT. SO, TAKING A LOOK, THERE IS A LOT OF, SORT OF ACTION ON THE SLIDE, THIS IS THE UPDATE, THIS IS OUR CURRENT ENROLLMENT AS EVERYONE WELL KNOWS, OCTOBER 1ST IS OUR OFFICIAL COUNT DATE IN THE SCHOOL YEAR. BASED ON THE NUMBER OF STUDENTS ACTIVELY ENROLLED ON THAT DAY, ONCE THAT NUMBER IS DETERMINED, IT GOES THROUGH A IS OFFICIAL AS WE GET BUT I WOULD RESERVE THE RIGHT TO ADJUST THIS AS WE OFFICIALLY SIGN OFF. OUR FINAL ENROLLMENT NUMBER, 20,289, WHAT YOU SEE , THAT IS A DROP OF 409 STUDENTS. SAID DIFFERENTLY, IT IS THE LARGEST DROP WE HAVE SEEN IN THE SCHOOL DISTRICT SINCE 1985 AND NOT BECAUSE WE SAW THE DROP IN 1985, THAT IS JUST AS FAR BACK AS I HAVE ENROLLMENT DATA. SO, THIS IS A SIGNIFICANT FACTOR IN THE OVERALL BUDGET. WHEN YOU LOOK AT THAT NUMBER 20,289, WHAT IS IMPORTANT TO POINT OUT, THAT INCLUDES 79 NONEMPLOYEE KID TRANSFERS. HOW DO WE NOT OPEN THAT NEW TRANSFER POLICY, IT WOULD'VE BEEN 20,210. SO, A SIGNIFICANT IMPACT . FROM A BUDGETARY STANDPOINT, HAD WE JUST STAYED LEVEL AND KEPT THE
[00:15:04]
NUMBER OF STUDENTS THAT WE HAVE NOW, LET ME SAY IT DIFFERENTLY, THE DROP IS ABOUT $2.78 MILLION IN REVENUE TO THE EDUCATION FUND. THERE ARE A LOT OF COMPETING CHALLENGES TO THE BUDGET, ONE OF THE BIGGEST, BY FAR, THE DROP IN ENROLLMENT.UNFORTUNATELY, THIS IS NOT A TREND WE ANTICIPATE WILL SLOW DOWN. AS I TALKED ABOUT BEFORE, OUR -- SO SORRY. COMPARED TO OUR 10, 11, AND 12 NUMBERS YOU CAN SEE, AN ENTRANCE OF 1200 AND AN EXIT OF ABOUT 1800 DOES CERTAINLY CREATE SOME CHALLENGES. MOVING FORWARD, ESSENTIALLY UPDATING THE IMPACT OF THE LOSS OF STUDENTS, THE NEW ESTIMATED TUITION SUPPORT, WHICH IS THE MAJOR FUNDING SOURCE THAT THE EDUCATION FUND, NOW SITS AT $-417,000 AND THAT IS UPDATED BASED ON THIS ENROLLMENT. SAID DIFFERENTLY , WE WILL TAKE IN LESS MONEY IN THE EDUCATION FUND SOLELY BASED ON THIS ENROLLMENT. THE MONEY WENT UP FROM A STATE PERSPECTIVE, THAT IS STAYING STATUS QUO, THE DROP IN STUDENTS IS THE BIGGEST IMPACT. GOING BACK TO THE SLIDE BEFORE, ALTHOUGH THE NUMBER IS 20,289, WE DO NOT GET FUNDED FOR THAT NUMBER. WHY? WE HAVE ABOUT 15 STUDENTS THAT ARE DUAL ENROLLED, MAYBE THEY TAKE A CLASS AND RECEIVE PRIVATE SCHOOL WORK OUTSIDE OF THAT ONE CLASS OR THEY HAVE SOME OTHER SOURCE OF EDUCATIONAL EXPERIENCE, BESIDES WHAT THEY GET HERE, THOSE 15 STUDENTS, WE JUST GET A FRACTION OF THEIR ENROLLMENT DAUGHTER MAKE IT DOLLARS. WE HAVE ABOUT 25 VIRTUAL STUDENTS, WE ONLY GET ABOUT 85% FUNDING FOR THOSE STUDENTS. ALL SAID , GOING BACK TO THE NEXT SLIDE? THAT MEANS WE HAVE A DROP IN FUNDING OF 428.44 STUDENTS, THAT IS RELATED TO THAT DUAL ENROLLMENT, THAT IS WHERE WE SEE THE $-417,000 IN TUITION SUPPORT.
>> CAN YOU REPEAT THE NUMBER ? >> A DROP COMPARED TO LAST YEAR'S TUITION SUPPORT OF 428.44 STUDENTS. THAT DECIMAL IS ALL RELATED TO THAT DUAL ENROLLMENT, WHERE THEY ARE WITH US A PORTION OF THEIR DAY, MAYBE ONE PERIOD. OUR DUAL ENROLLED STUDENTS ARE ALMOST EXCLUSIVELY AT THE HIGH SCHOOL. TAKING A STEP OUTSIDE OF TUITION REPORT, ANOTHER IMPORTANT IMPACT THAT UNFORTUNATE IMPACT TO EDUCATION, MOSTLY, I SHOULD SAY IS THE INCREASE IN TEACHER RETIREMENT. THIS IS NOT SOMETHING HSE CONTROLS, BUT WE ARE REQUIRED TO PAY THAT PERCENTAGE THAT IS APPROVED BY THE IN-PERSON GROUP, THAT IS GOING UP ON JANUARY 1ST BY 0.6%, WHICH IS A $650,000 IN BACK TO THE DISTRICT, IF YOU REMEMBER LAST YEAR, TEACHER RETIREMENT WENT UP 0.5%, A LITTLE BIT MORE THAN $500,000 COST TO THE DISTRICT SO RIGHT OFF THE TOP, UNDER REALLY NO CONTROL OF ANYBODY, WE ARE AT NEGATIVE $1 MILLION WITH EXPENSES THAT ALREADY LIVE THERE AND ALREADY ARE OUTPACING THE REVENUE THAT WE HAVE.
>> 10, FOLLOW-UP WITH THAT AND EXPLAIN THAT THERE IS MANDATORY, BISTATE, THERE IS ALSO EMPLOYEE -TEACHER CONTRIBUTION, AND HSE
IF I AM NOT MISTAKEN, PAYS BOTH. >> THERE ARE TWO PORTIONS TO TEACHER RETIREMENT, THE 6.5% AND THAT THE DISTRICT IS REQUIRED TO PAY, THERE IS THE 3% EMPLOYEE CONTRIBUTION THAT HSE DOESN'T PAY ON BEHALF OF ITS TEACHER. I WOULD SAY MOST DISTRICTS DO PAY THAT , BUT CERTAINLY NOT ALL DO THAT, MOVING FORWARD INTO 2026, THAT REQUIRED PORTION AND MOVES UP TO 7.1%, COMBINED WITH THE 3% , FOR A TOTAL OF 10.1% , ON ANY DOLLARS THAT ARE PAID TO
>> TIM , IS THE CONTRIBUTION ABOVE AND BEYOND THAT ?
>> THIS IS RELATED TO TEACHER RETIREMENT, THERE IS AN ANNUITY AND A PENSION, COMPLETELY INDEPENDENT OF THE 43B
DISTRIBUTION. >> THERE IS STILL SEPARATE OF
THIS, THE 403B? >> THE SECOND RETIREMENT.
STAFFING WAS NEUTRAL , WE TALKED ABOUT THIS BEFORE, WE GAINED IN AREAS, AND WE SUBTRACTED IN OTHER AREAS , ONE OF THE REALLY BIG CHALLENGES IS THE INSURANCE INCREASE OF 10.5% ON PLAN ONE AND A 16.8% ON PLANS TWO AND THREE, AN INCREASE IN BOTH
[00:20:06]
DISTRICT AND EMPLOYEE, THIS IS NOT GETTING INTO THE COMMITTEE, BUT IT IS IMPORTANT TO NOTE THAT WE HAD A THREE-YEAR SPAN, WHERE WE HAD NO INCREASES, PART OF THIS IS THE AFFECTS OF THEPREVIOUS WORK, WHERE DEBT IT >> TIM, CAN YOU EXPLAIN WHAT IS USUAL AND CUSTOMARY ? DO MOST SCHOOLS GO UP AT LEAST 1% OR 2%
? >> VERY INDIVIDUAL, EVEN IN A GOOD YEAR FOR HEALTH INSURANCE, IT IS PRETTY STANDARD ESSAY, LET'S TAKE A LOW ONE OR 2%, EXPENSES WILL CONTINUE TO INCREASE AND NOT NECESSARILY STAY FLAT.
>> HSE STAY FLAT ? >> WE HAD THREE FULL YEARS WITH
NO CHANGE IN THE PREMIUM. >> IT IS NOT THAT THE RATES DID
NOT INCREASE, PLEASE EXPLAIN. >> WELL, WE HAVE AN INSURANCE BROKER THAT GOES THROUGH THE PROCESS OF RECOMMENDING FROM AN ACTUARIAL STANDPOINT, WHERE WE WOULD SUGGEST RATE INCREASES. I CANNOT SPEAK TO, THIS WAS BEFORE MY TIME, IF THERE WERE RECOMMENDATIONS TO INCREASE THE RATES, WHAT I CAN SPEAK TO, THE SAME LEVEL OF PREMIUM STAYED STAGNANT, IT IS POSSIBLE THAT THE BROKER SAID, WE NEED TO RECOMMEND AN INCREASE, IT IS POSSIBLE THEY DIDN'T, FROM THE DISTRICT, NOR THE EMPLOYEE, THE HARD PART ABOUT THAT TIME IS, PART OF THE BENEFIT TRUST WAS SITTING AS A NEGATIVE, THERE WAS ADDITIONAL DEBT THAT NEEDED TO BE PAID BACK AS PART OF THAT TIME, AS WELL.
>> WAS THERE AN INCREASE IN THE BROKER COMP DURING THAT TIME OR
AFTER? >> I CANNOT SPEAK TO THE BROKER, PRIOR TO JULY 1ST, 2024, WHEN WE HAD A NEW BROKER THAT CAME IN. I DO KNOW THAT THERE WAS AN INCREASE, THERE WAS AN INCREASE IN YEAR ONE AS THEY WERE FIGURING OUT ALL OF THE REVENUE STREAMS THEY HAD. IN YEAR TWO, THAT HAS BEEN DRASTICALLY
REDUCED. >> WHAT PLAN DID THAT COME OUT
OF? >> ALL IN THE INDIVIDUAL BENEFIT TRUST. IT LIVES AS AT -- ITS OWN BENEFIT SILO. PREMIUMS, I'M SORRY, CLAIMS, AND THE REVENUE IS PREMIUMS. OBVIOUSLY, THERE ARE A FEW ANCILLARY THINGS THAT GO INTO THAT. BUT THE GIST OF IT IS, CLAIMS ARE THE EXPENSE, AND PREMIUMS ARE THE REVENUE. A COUPLE OF OTHER ITEMS OF NOTE FOR THE 2026 BUDGET. EDUCATION FUND , IT WILL BE ABSORBING SOME SOCIAL WORKER AND COUNSELOR POSITIONS PART OF THE MENTAL HEALTH GRANT, IT IS PROJECTED TO ABSORB IT , WORKING WITH OUR MENTAL HEALTH TEAM AND A LITTLE LESS THAN THAT, THESE ARE THESE CRITICAL SOCIAL WORKER POSITIONS THAT WERE BROUGHT ON FOR THE MENTAL HEALTH GRANT, WE BUDGETED AND PREPARED, THIS IS AN ADDITIONAL -- A PORTION OF OUR LITERACY COACHES, PIVOTAL IN OUR OUTSTANDING ACADEMIC RESULTS HAVE SHIFTED TO THE EDUCATION FUND AS WELL. A TOTAL OF 13 POSITIONS , A PORTION OF THEIR SALARY WAS COVERED BY THE LITERACY CADRE , THOSE ARE MOVING TO THE EDUCATION FUND.
ONE OF THE IMPACTS OF SCA 1, THE REFERENDUM, WHICH WAS PROJECTED TO GROW YEAR-OVER-YEAR, WE TALKED ABOUT THAT IN GREAT DETAIL AT THE LAST MEETING. IT WILL SEE IT? I BUMP IN 2026, BUT WITHOUT ANY CHANGES, YOU WILL CONTINUE TO LOSE MONEY, STARTING IN 2027. AND JUST TO LEVEL SET, THE REFERENDUM CURRENTLY PAYS FOR THE SALARIES AND BENEFITS OF ESSENTIALLY FIVE OF OUR SCHOOL BUILDINGS, ONE HIGH SCHOOL, ONE INTERMEDIATE, EXCUSE ME, ONE JUNIOR HIGH, AND THREE ELEMENTARY SCHOOLS SO THE IMPACT OF A DROP IN THE REFERENDUM IS A DIRECT IMPACT TO TEACHER SALARIES AND BENEFITS, WHICH IS SUBSTANTIAL.
>> TIM, GOING BACK TO YOUR FIRST COMMENT ON THERE, REGARDING THE 2026, ABSORBING COSTS, FROM THE MENTAL HEALTH GRANT, THOUGH IT IS SUPER IMPORTANT TO HAVE THE SUPPORT IN THE MENTAL HEALTH GRANT, IS THIS WHEN THE MENTAL HEALTH GRANT WAS PRESENTED TO US OF YEARS AGO ? THIS IS THE LAST NINE POSITIONS THAT WERE NOT TO GET INTO THAT PLAN, BUT ON THE END OF THE PLAN, SOMEHOW OUR DISTRICT WOULD ABSORB NINE POSITIONS?
>> I THINK MOST OF WHAT YOU SAID IS TRUE. WHAT I WOULD SAY IS, IT WAS ABSOLUTELY PLANNED FOR IN THE BUDGET.
>> THE LAST BUDGET? >> IT HAS BEEN PLANNED FOR, TO
[00:25:01]
MY KNOWLEDGE, FOR QUITE SOME TIME, BUT THE CONVERSION TO THE EDUCATION BUDGET HAS BEEN BUILT IN FOR A WHILE. WE HAVE DELAYED THAT KUDOS TO THAT TEAM FOR MAXIMIZING THOSE DOLLARS. THOSE ARE VERY CRITICAL POSITIONS AS WE ALL KNOW , TO SUPPORT. YES, IT WAS ALL PART OF A FIVE-YEAR PLAN WITH THE MENTAL HEALTH GRANT OF, HEY, IN YEARS ONE, TWO, THREE, WE WILL CONTINUE TO ADD POSITIONS THAT WILL PAY FOR THE GRANT AND THOSE POSITIONS WILL EVENTUALLY SLIDE OVER TO THE EDUCATION FUND TO SUSTAINTHEM IN THE FUTURE. >> I 100% BELIEVE THOSE POSITIONS ARE VERY IMPORTANT, I AM POINTING OUT SOMETHING THAT THOSE NINE POSITIONS ARE NOT EDUCATIONAL POSITION SALARIES.
THEY ARE SUPPORTING SALARIES, CORRECT ?
>> YES. >> HAVE THEY NOT BEEN THERE, WHAT WOULD THEY BE FUNDS THAT THEY WOULD'VE HAD FOR TEACHER SALARIES OR SOMETHING ELSE ? WOULD THAT HAVE COME OUT OF THE
EDUCATION FUND? >> IT WOULD COME OUT OF THE EDUCATION FUND. WHAT I WOULD SAY --
>> PLEASE DON'T -- I AM NOT SAYING WE DON'T NEED THOSE POSITIONS. I AM TRYING TO CLARIFY THAT THOSE POSITIONS ARE BEING PAID OUT OF THE EDUCATION FUND .
>> THEY WILL BE ABSORBED. >> THAT IS WHAT I NEEDED TO SAY.
THANK YOU. >> THE OPERATIONS BUDGET, THERE HAS BEEN AN INCREDIBLE AMOUNT OF WORK AND COST AVERSION STRATEGIES IN THE OPERATIONS BUDGET. TO KIND OF LEVEL SET BRIEFLY, IN 2026, 92% OF THE EDUCATION FUND SALARY, WAGES, BENEFITS OF SCHOOL-LEVEL PERSONNEL, TEACHERS, SUPPORT STAFF, BUILDING PRINCIPALS, THE 2026 REFERENDUM BUDGET, EXCLUSIVELY TEACHER SALARIES, WAGES, BENEFITS, WHEN YOU LOOK AT COST AVERSION STRATEGIES, THERE ARE NOT A LOT OF COST-CUTTING WITHOUT CUTTING PERSONNEL. THE OPERATIONS BUDGET OPERATES EVERYTHING THAT IS NOT DIRECTLY IN THE CLASSROOM. AND THERE HAS BEEN A TON OF EFFORT FROM THE OPERATIONS TEAM TO CUT COSTS . SO MUCH, WE ARE REDUCING THE BUDGET BY $2 MILLION IN 2026 , BECAUSE OF ALL OF THE EFFORTS THAT HAVE BEEN MADE TO RENEGOTIATE CONTRACTS AND RECONSIDER BUS ROUTES. THERE ARE A MYRIAD OF THINGS THAT HAVE GONE INTO THIS. AND HONESTLY, SOME OF THE COSTS MOVING TO PO BONDS, KUDOS TO SAVE SPACE IN THE BUDGET AS COSTS CONTINUE TO GO UP IN ALL ASPECTS. YOU WILL SEE THE BUDGET IN THE EDUCATION FUND , GO UP BY A SIGNIFICANT AMOUNT, THERE IS AN IMPORTANT DISTINCTION AND I WILL TALK ABOUT THIS IN A MINUTE, VERY IMPORTANT DISTINCTION BETWEEN CASH COMING IN AND PERMISSION TO SPEND, THESE ARE PERMISSION TO SPEND ITEMS, THERE IS NO REVENUE, THESE ARE REAL EXPENSES THAT LIVED IN THE EDUCATION FUND AS WE TALKED ABOUT BEFORE, BUDGETING IS NOT A SCIENCE, IT IS AN ART. THERE IS FLEXIBILITY, PIVOTING, ADJUSTMENTS THAT NEED TO BE MADE, HERE ARE BIG ONES FOR 2026. SUBSTITUTE TEACHER COSTS CONTINUE TO RISE AT A HIGH RATE , DUE TO THE NUMBER OF ABSENCES BUT DUE TO OUR AMAZING TEAMWORK OF OUR SUBSTITUTE TEACHING DEPARTMENT. THE AMOUNT OF PLACEMENTS AND, AND, YOU KNOW, COVERAGE THEY HAVE BEEN ABLE TO PROVIDE HAS INCREASED AS WELL AS THE NUMBER OF ABSENCES.
WE ARE BUDGETING 1.5 MILLION MORE DOLLARS THERE, CURRICULAR MATERIALS, EMBEDDED INTUITION SUPPORT, WE ARE ABSOLUTELY SPENDING MORE NATURE THAN WE ARE TAKING IN, IN CURRICULAR MATERIALS REIMBURSEMENT. WE HAVE INCREASED THAT APPEARED WE ALREADY TALKED ABOUT HEALTHCARE. THIS IS NOT SUGGESTING THAT THE BUDGET WILL PAY $4.4 MILLION, IT IS SAYING THAT, WE DID NOT GET THIS ONE QUITE RIGHT IN 2025. BASED ON OUR EXPENSES, WE NEED TO RAISE PERMISSION TO SPEND IN HEALTHCARE BY $4.4 MILLION AND EXCEPTIONAL LEARNERS, SAME THING. WE ARE NOT SAYING THAT WE ADDED A SLEW OF EXCEPTIONAL LEARNER TEACHERS, WE ARE SAYING WE NEED TO ADDRESS THE BUDGET, BASED ON THE LIFE COSTS INCREASES IN 2025 AND PROJECT THOSE TO 2026. THOSE ARE SOME OF THE BIG-TICKET ITEMS THAT ARE CONTRIBUTING TO THE INCREASE IN THE EDUCATION FUND BUDGET. SWITCHING OVER AGAIN NOW TO THE OPERATIONS SIDE FOR A MOMENT, WE TALKED ABOUT THIS BEFORE, WE ARE LIMITED TO THE AMOUNT THAT WE CAN INCREASE OUR OPERATIONS FUND LEVY BY 4%, IT IS CALLED THE MLG QUEUE, TYPICALLY IT GROWS BY MOTHER 4%, THIS YEAR, THAT WAS NOT THE CASE, SO, IN ORDER TO TAKE IN THE FULL MAXIMUM GROWTH OF THE OPERATIONS FUND, THERE IS A RECOMMENDED INCREASE IN THE OVERALL RATE, IN THE OPERATIONS FUND, YOU CAN SEE THAT BEING 0.0443. THE DEBT WILL STAY AT LEVEL, IN COMBINATION OF EXEMPT AND NONEXEMPT SERVICE, THE ONLY RIGHT THAT WILL CHANGE IS IN THE OPERATIONS FUND OVERALL, AT THAT SMALL AMOUNT, OF 0.0333. A LITTLE REMINDER, OF THE
[00:30:10]
BUDGETING PROCESS. WE HAVE TO MEET OUR TIMELINES AND ADVERTISEMENTS, THAT HIS WIFE WE WILL ADVERTISE A LITTLE HIGHER RATE IN THE BUDGET AND LOWER ASSESSED VALUES, IN CASE THERE IS ANY KIND OF MISTAKE. THOSE CAN BE ADJUSTED. THE OVERSEAS BUDGET, IT WOULD NEVER INCREASE. A BUDGET ADVERTISED, THEY CAN ONLY DECREASE, SO, IN ORDER TO DO THAT, WE ADVERTISE HIGH IN A FEW SPACES. SAME THING THAT WE SAW IN OUR LAST PRESENTATION, ON THE LEFT, YOU SEE THE PROPOSED ADVERTISE BUDGET, AND ON THE OTHER SIDE WHAT WE PREDICT WILL HAPPEN, THE EDUCATION FUND IS EXACTLY THE SAME, NOT A TAXPAYER -SUPPORTED FUND , YOU LOOK AT THE REFERENDUM, SPOT ON, THE MAXIMUM RATE THEN WE CAN HAVE THROUGH THE VOTING PROCESS, DEBT SERVICE EXEMPT, HIGHER ADVERTISEMENTS, BOTH FROM A GREAT AND LEVY STANDPOINT, ON THE RIGHT-HAND SIDE, AND THEN THERE IS YOUR OPERATIONS, WE ARE ADVERTISING A LITTLE HIGH TO PROTECT OURSELVES, NOT A LOT, BUT THERE IS A LITTLE BIT OF A CUSHION, THEN THE RAINY DAY FUND, AS WELL AS OUR SELF INSURANCE DENTAL SELF-INSURANCE DENTAL IS ANOTHER SILO, NO STATE REVENUE, THAT IS COMING IN FROM PREMIUMS PAID BY EMPLOYEES PAID TO THE DENTAL FUND. WHAT IS REALLY IMPORTANT, AS WE LOOK AT THE NEXT SLIDE, COMPARING 2025 TO 2026, YOU CAN SEE A SIGNIFICANT INCREASE IN THE EDUCATION FUND. NO NEW REVENUE, AS WE HAVE ALREADY COVERED, TO SUPPORT THIS INCREASE, THIS IS SPENDING CASH, BASED ON ACTUAL EXPENSES IN 2025, PROJECTED TO THOSE IN 2026. ONE OF THE THINGS I WANT TO BE VERY CRYSTAL CLEAR ON, WE ARE NOT SAYING THERE IS 11 MILLION MORE DOLLARS COMING INTO THE EDUCATION FUND. WE ARE SAYING THAT WE ARE NEEDING THE PERMISSION , TO PAY FOR THAT.REFERENDUM? THE SLIGHT INCREASE, WE DID SEE AN INCREASE IN AV FOR 2026, THAT WILL DROP A 27 -- 2027 WITHOUT ADDITIONAL STEPS TAKEN, USES A MOVEMENT IN BETWEEN THOSE, BUT THE OVERALL RATES, IF YOU LOOK AT THOSE TWO COMBINED ARE EXACTLY THE SAME.
THAT SERVICE GOES DOWN A LITTLE, DEBT SERVICE EXEMPT GOES UP A LITTLE, THEY ARE STILL COMBINED TO BE THE SAME. THERE IS THAT OPERATIONS SLIGHT BUMP IN ORDER TO GET THE MAXIMUM GROWTH, THE BUDGET DID GO DOWN BY $2 MILLION, AS I NOTED. COST AVERSION, AND WORKING WITH THE G.O. BONDS IN ORDER FOR THAT TO HAPPEN, NO FUNDING FOR RAINY DAY OR SELF-INSURANCE BUT THOSE ARE PART OF THE BUDGET AS WELL. OUR PREDICTED OVERALL BUDGET RATE, FOR 2026, IS 1476, THAT SLIGHT INCREASE FROM 2025. COMPARING THE TAX RATE OVER THE LAST SIX YEARS, YOU CAN SEE WE STAYED WELL WITHIN OUR AVERAGES, IF YOU WILL, IF YOU DROP TO 24 AND 25 AND MAINTAINED A STEADY RATE, THAT SLIGHT INCREASE IN 20 26 .
OTHER ASSUMPTIONS WITH THE BUDGET, ONE OF THEM IS THAT EDUCATION TO OPERATIONS TRANSFER, WE ARE STILL GOING TO ASK THAT TO REMAIN AT $15 MILLION BUT WE BUDGETED FOR MOVING LESSON IN EVERYTHING FROM A CASH BALANCE STANDPOINT IS BASED ON LESS MOVEMENT THERE. INTEREST, IN TRANSITING SCHOOLS IS 100% DEPOSIT INTO THE EDUCATION FUND, WE KNOW INTEREST RATES ARE DROPPING, OUR INTEREST RATE IS A REALLY GOOD RATE WITH OUR CREDIT UNION, AS THE FEDERAL RATE DROPS, SO DOES THE INTEREST RATE AT THE BANK, WE ARE ESTIMATING FOR CAUTION, ABOUT A $500,000 DROP IN ANTICIPATED INTEREST. SAID DIFFERENTLY, THAT IS A $500,000 IT TO THE EDUCATION FUND ONCE AGAIN, WHICH IS 92% SALARIES, WAGES, AND BENEFITS. WHAT IS COMING UP ? AT THE OCTOBER 22ND MEETING, WE WILL HAVE, A VARIETY OF FORMS THAT NEED TO BE APPROVED TO FINALIZE THE BUDGET PROCESS, BUDGET FORM 4, DEPOSITED INTO THE EDUCATION FUND, OUR CAPITAL PROJECT PLAN, MINIMAL. MOST OF THOSE ARE BEING DONE IN G.O.
BONDS. BUS REPLACEMENT PLAN IS BEING PAID OUT OF G.O. BONDS, THE TRANSFER FROM EDUCATION OPS TO RESOLUTION. TO CLOSE, THIS IS PROBABLY THE MOST IMPORTANT SLIDE OF THE WHOLE PRESENTATION, ON THE LEFT, YOU SEE THE 2025 BUDGET ORDER, AT THE START OF THE CALENDAR YEAR 2025, YOU SEE CASH BALANCE OF EDUCATION, REFERENDUM, AND OPERATIONS. THROUGH THE ACTUAL BUDGET, WHAT WE PROJECT TO HAPPEN AT THE END OF 2025, SAID DIFFERENTLY, JANUARY 1ST, 2026 IS WE WILL, UNDER CORNET EXPENSES, SPEND $5 MILLION OF CASH BALANCE DURING THE CALENDAR YEAR 2025. THAT IS
[00:35:02]
PRIOR TO ANY INCREASES IN ANYTHING RELATED TO STAFFING. IT IS ABSOLUTELY THE COST OF THE ITEMS THAT COME OUT OF THE EDUCATION FUND. IF EVERYTHING STAYED STATUS QUO AND NOTHING CHANGED , THAT IS A $5 MILLION COST YEAR-OVER-YEAR AS WE ARE DEPLETING THE CASH BALANCE. AS I SAID BEFORE, ONE MONTH EXPENSES IN THE EDUCATION FUND, AROUND $14 MILLION, GOOD RULE OF THUMB, PERSONAL BUSINESS, PERSONAL FINANCE, TWO MONTHS OF EXPENSES COVERED IN YOUR FUND. AT THE END OF 2025, WE ARE AT A POINT TO BE ABOUT 1.4 MONTH THAT MAGGIE MONTHS OF EDUCATION EXPENSES.YOU SEE THE REFERENDUM ORDER, WE DID SPEND ADDITIONAL CASH. THAT IS SPOT ON. WE WILL SPEND PRETTY MUCH EVERY DOLLAR TO GET TO THE END OF 2025, AT ABOUT $8.9 MILLION, A LITTLE OVER $1 MILLION IN ADDITIONAL CASH THAT WAS SPENT. OPERATIONS, WE ARE GOING TO THE UNDER BUDGET BUT THIS FACTORS THAT IN. THAT, THIS FUND HAS A LITTLE MORE FLEXIBILITY, IN TERMS OF WHERE IT WILL LAND. OUR BEST ESTIMATE IS, WE WILL SPEND ABOUT $3 MILLION IN CASH BALANCES IN THE OPERATIONS FUND. TAKING THE 2026 BUDGET AND PROJECTING THAT OUT, OBVIOUSLY, ANY GOOD BUDGETING STRATEGY, WE BUILT A LITTLE FLEXIBILITY. NOT A LOT, BUT A LITTLE FLEXIBILITY IN THE BUDGET . SAID DIFFERENTLY, IF WE SPEND THE ENTIRE BUDGET, WHICH WE ARE GOING TO DO IN 2025, OUR CASH BALANCES WOULD BE DOWN TO 11,000,007.4, AND $5.6 MILLION IN THE VARIOUS FUNDS. SO, RIGHT NOW, WE HAVE A BUDGET DEFICIT IN ALL THREE FUNDS. SAID IN A DIFFERENT WAY, THE AMOUNT OF REVENUE THAT WE ARE RECEIVING DOES NOT MEET THE EXPENDITURES THAT HAPPENED IN EACH OF THOSE INDIVIDUAL FUNDS, A BALANCED BUDGET WOULD BE REVENUE MATCHES EXPENDITURES. WE DO NOT HAVE A
BALANCED BUDGET AT THIS POINT. >> TIM, CAN WE PAUSE HERE JUST A LITTLE BIT ? THIS IS A HUGE THING. WE TALK ABOUT EXPENDITURES. CAN YOU GIVE US JUST AN OVERALL, ON THINGS THAT WE SPEND MONEY, THE EDUCATION REFERENDUM YOU ALREADY SHARED.
WHICH IS 94% IN EDUCATION. >> 92% OF THE 2026 BUDGET IN EDUCATION IS SALARY AND BENEFITS OF PEOPLE.
>> CORRECT, THE REMAINING PART OF THAT EDUCATION WOULD GO TO --
>> THINGS LIKE SUPPLIES, BUDGETS FOR INDIVIDUAL SCHOOLS, THE, THE, THE MATERIALS NEEDED. THINK ABOUT CURRICULAR MATERIALS AS
WELL. >> AND THEN WE HAVE REFERENDUM, CAN YOU GIVE THAT PERCENTAGE AGAIN, HOW MUCH GOES TO PEOPLE?
>> IN 2026 97% OF THE REFERENDUM WILL PAY FOR TEACHERS ONLY, SALARIES, WAGES , SALARY, WAGES, BENEFITS. 3% GOES TO A SECURITY
>> YOU GOT IT. >> WHEN THEY SAY REFERENDUM COVERING THE SALARIES FOR TEACHERS, IT IS NOT ALL OF THEM, ONLY REALLY ABOUT FIVE SCHOOLS, CORRECT?
>> FIVE SCHOOLS, NEARLY ALL. THERE ARE A FEW PEOPLE IN THOSE FIVE SCHOOLS THAT ARE DUAL FUNDED , OR WHATEVER, BUT ESSENTIALLY, FIVE SCHOOLS, TEACHER SALARIES AND BENEFITS ARE PAID FROM THE REFERENDUM, NOT THE PRINCIPLES OR THE
SUPPORT STAFF IN THE BUILDING. >> IF WE WERE TO SAY, LIKE, AS A BUSINESS OWNER, I AM LOOKING FOR A WAY TO GOT CAUSED HIM A MARKETING, ADVERTISING. AND THOSE TYPES OF BUCKETS OR AREAS.
THERE ARE NO WAYS TO CUT COSTS REALLY TO PAY OUR TEACHERS, BECAUSE IT WOULD BE CUTTING SUPPLIES, TEXTBOOKS, OTHER THINGS, PARTICULARS, OR WHATEVER. WHAT WOULD BE SOMETHING? CAN YOU GIVE AWAY TO CUT A COST IN ANY OF THOSE
BUCKETS? >> THE ONLY AVAILABLE COST IS
PEOPLE. >> OPERATIONS, ARE WE DOING ANYTHING IN THAT AREA TO TIGHTEN THAT BELT, GIVE SOME EXAMPLES .
I KNOW THAT WE TALK ABOUT HOW WE ARE STRUGGLING. BUT WHAT HAVE WE DONE TO HELP THAT, THAT WE ARE NOT STRUGGLING?
>> YEAH, SO WE HAVE UNDERSTAND THE BUDGET IN THE OPERATIONS FUND WHICH HAS BEEN A REALLY GOOD THING, SOME OF THE COST OF VERSION STRATEGIES LIKE NEGOTIATING CONTRACTS WITH OUR VENDORS AND THE WAY BACK AND TAKING ADVANTAGE OF THE FACT THAT WE ARE ONE OF THE FIVE LARGER SCHOOLS IN INDIANA AND LETTING US BE THE POSTER FOR SCHOOLS.
>> EXCELLENT . >> A REALLY COOL EXAMPLE IS THE LEGOS INITIATIVE THAT WAS SHARED THIS WEEK, WE CAN BE THE POSTER FOR THOSE SCHOOLS. BIG COMPANIES LIKE LEGO WANT US TO MARKET THEIR PRODUCTS . WE CAN DO THAT WITH CUSTODIAL AGREEMENTS, WE CAN DO THAT WITH TELECOM AGREEMENTS. WE CAN DO THAT WITH A MYRIAD OF THINGS. SO, SOME OF THE BIG-TICKET ITEMS THAT HAVE
[00:40:04]
SAVED US AS WE RENEGOTIATED OUR THIRD-PARTY CUSTODIAL AGREEMENT.WE HAVE DONE A TON OF WORK IN THE TELECOM SPACE. ELIMINATING REDUNDANCY, REDUCING COST ON WI-FI AND CELL PHONES AND ALL KINDS OF THINGS RELATED TO THE TELECOM SPACE. A COUPLE OF OTHERS THAT JUMP OUT, FINANCIAL SOFTWARE, LIKE ALL GROUPS DO, WE SPENT A MONTH OR TWO NEGOTIATING THAT PRICE AND OVER TIME IT WENT DOWN MULTIPLE THOUSANDS OF DOLLARS, THERE IS JUST A TON OF THINGS, CUTTING BUS ROUTES , BASED ON THE STUDENT COUNT, HEY, WE CAN TRIM THIS ROUTE DOWN, THAT MAY MEAN A DRIVER OR TWO, THROUGH ATTRITION, WE DID NOT REPLACE THE DRIVER DID THERE ARE OPPORTUNITIES THERE. WE ARE NOT ALWAYS TALKING ABOUT PEOPLE, WHICH IS A HARDER MOUNTAIN TO MOVE AND A MORE SENSITIVE
MOUNTAIN TO MOVE. >> THE REASON, THIS LINE OF QUESTIONING, WHERE I AM GOING WITH THIS, THE BOARD, WORKING WITH OUR SUPERINTENDENT AND THE ADMINISTRATION, WE DO NOT JUST OVERSEE ONE SECTION OF THE BUDGET. WE ARE HAVING TO TALK ABOUT A WHOLE DISTRICT TO MAINTAIN. AND IT IS IMPORTANT TO KNOW WHERE THE MONEY IS GOING, AND ALL AVENUES, SO THIS IS VERY IMPORTANT INFORMATION AND I APPRECIATE YOU SHARING THAT AND SHOWING THAT THE ADMINISTRATION IS WORKING VERY HARD AS WELL TO TIGHTEN THE BELT AND THERE ARE SOME THINGS WE CANNOT TAKE FROM ONE BUCKET TO MOVE MONEY INTO ANOTHER. OKAY, THANK YOU.
>> THAT IS ACTUALLY IT. >> I HAVE SOME QUESTIONS.
>> GO RIGHT AHEAD. >> CANNOT? ALL RIGHT. SO, TO CONTINUE KIND OF ON WHAT SUZANNE WAS ASKING, FIRST OF ALL. I, I FEEL LIKE, WHEN SHE AND I WERE FIRST ON THE BOARD, THAT WE WERE MOVING A SMALL PERCENTAGE OF FUNDS FROM OPERATIONS TO EDUCATION THAT YOU ARE ALLOWED TO DO THAT , IS THAT SOMETHING OF WE ARE STILL ALLOWED TO DO? IS THAT SOMETHING WE CONSIDERED ? SINCE WE ARE SAVING MONEY IN OPERATIONS AND IT IS MORE
DIFFICULT TO DO IN OPERATIONS? >> SO, THE HISTORY OF THAT, I AM GOING TO -- PRIOR TO OUR PREVIOUS REFERENDUM, CAN YOU TALK ABOUT WHAT EXPENSES WERE THERE IN THE OLD REFERENDUM,
WHICH IS A FACTOR HERE? >> HOLD ON. SHE IS NOT ABLE TO HEAR YOU, SO SORRY. I HOPE I DO NOT LOSE MY DIRECTOR OF BUSINESS TOMORROW.
PERFECT. SO, PRIOR TO THE LAST REFERENDUM, THE NEW ONE THAT WAS RUN , THE REFERENDUM SPENDING PLAN IS DIFFERENT . PREVIOUSLY, WE WERE PAYING FOR ALL OF OUR TEACHERS IN THE EDUCATION FUND AND SOME OF OUR OPERATIONAL EXPENSES LIVED IN THE REFERENDUM FUND , WHICH ALLOWED FOR SOME OF THAT REVENUE TO BE TRANSFERRED FROM OPERATIONS TO EDUCATION. THAT, IF NOT , NOW WE HAVE TEACHERS PAID FOR OUT OF THE REFERENDUM FUND. MOST OF OUR EDUCATION FUND OUR TEACHERS, THAT IF IT'S, SALARY AND
BENEFITS. I DON'T KNOW -- >> I THINK THAT IS HELPFUL. INC.
YOU SO MUCH. WHEN WE MOVED THOSE EXPENSES TO THE REFERENDUM, THEN WE ARE BACK TO THIS IDEA OF, ALL RIGHT, WHEN THE BUDGETARY PROCESS CHANGED IN 2019, EXPENSES THAT USED TO LIVE IN THE GENERAL FUND WERE MOVED, SO SCHOOLS WERE ALLOWED TO ADJUST AND MOVE FUNDS FROM THE OPERATIONS FUND INTO THE EDUCATION FUND. THOSE THAT OVERSEE THE BUDGET SET THERE NEEDS TO BE A CAP AND THAT CAP IS 15%. THE LAST TIME AN OVERALL REPORT WAS , AND I HAVE IT IN FRONT OF ME. THE LAST TIME THERE WAS A COMPARISON IN 2024, HAMILTON SOUTHEASTERN TRANSFERRED 10.24%. THAT WAS THE NEXT -TO-LOWEST IN HAMILTON COUNTY. WOULD BE DROPPED THAT TRANSFER THE 15 MILLION, WE MOVED TO NEARLY HALF OF WHAT WOULD BE POSSIBLE. SO THAT TRANSFER IS PRETTY COMMON AND WE ARE PRETTY LOW IN THE AMOUNT THAT WE TRANSFER, PROPORTIONATELY TO THE REST OF
THE SCHOOLS IN HAMILTON COUNTY. >> OKAY. AND, GOING BACK TO THE INSURANCE, CAN YOU ANSWER SOME QUESTIONS ABOUT THAT? I CONTINUE
[00:45:06]
TO HAVE SOME CONCERNS ABOUT THE HIGH INCREASE. I KNOW, AT LEAST , I HAVE BEEN TOLD , WE NEGOTIATED IT DOWN TO THOSE , INCREASES OF ABOUT 17%. CAN YOU TELL US HOW THAT HAPPENED AND THE BENEFITS OF HAVING A BROKER , JUST SOME HISTORICAL CONTEXTTHERE. >> TO BE CLEAR, VERY DIFFERENT THAN A VENDOR PROCESS WHERE WE ARE NEGOTIATING A PRICE, OUR VENDOR IS WORKING TO ACTUARIALLY DETERMINE WHAT IT COSTS TO FUND OUR PLAN. IN TERMS OF NEGOTIATING IT DOWN, I WANT TO BE CAREFUL THAT THAT IS NOT USING THE VALUE OF THE POWER OF HSE SCHOOLS. IT IS ABSOLUTELY DIFFERENT STRATEGIES, ONE OF THOSE WAS THROUGH THE WORK OF OUR BENEFIT COMMITTEE, RECOGNIZING THAT ONE OF THE INDEX REQUIREMENTS IN 2026 IS THAT THE HIGH DEDUCTIBLE PLAN NEEDED TO MOVE TO A $3400 DEDUCTIBLE. AS A RESULT, TO KEEP THE PLAN SOMEWHAT BALANCED WITH EACH OTHER, THE DEDUCTIBLES WERE INCREASED IN THE OTHER TWO PLANTS AS WELL. ANOTHER INITIATIVE THAT WAS UNDERTAKEN WAS TO INCREASE THE MAXIMUM OUT-OF-POCKET COST. WE RECOGNIZE THAT IS ABSOLUTELY A CHALLENGE. BUT HAD WE NOT DONE THAT, THE RATES TO THE INCREASE IN INSURANCE WOULD HAVE BEEN EVEN HIGHER. SO, WE WERE TRYING TO FIND, AS UNCOMFORTABLE AS THE INCREASE IS, A BALANCE BETWEEN ADJUSTMENTS IN THE PLAN AND A NUMBER THAT IS MANAGEABLE , AS MANAGEABLE AS POSSIBLE IN A VERY TOUGH SITUATION. CLAIMS CONTINUE TO BE REALLY HOT. ONE MISCONCEPTION THAT I KNOW THE BOARD IS ABSOLUTELY UNDERSTANDING BUT MAYBE NOT EVERYONE, EVERY SINGLE CLAIM COMES BACK TO US, ANTHEM SERVES AS OUR CLAIMS ADMINISTRATOR BUT THEY DO NOT PAY ANY CLAIMS BUT IF I GO TO THE DOCTOR AND IT COST $100 TO THE TRUST, THAT COSTS $100 TO THE TRUST JUST LIKE ALL THE PREMIUMS COME TO THE TRUST, IT IS A SELF-FUNDED INSURANCE, EVERYTHING LIVES IN THAT PARTICULAR SILO. YOU LOOK IN HEALTHCARE COST ACROSS THE COUNTRY, THEY ARE INCREASING AT A RAPID RATE, PHARMACY IS ONE OF THOSE BIG PLAYERS IN THIS. WE DID INCREASE, OR I SHOULD SAY, WE DID MOVE TO A PHARMACY BENEFIT MANAGER ON JULY 1ST, AND, SO, JULY 1ST OR JANUARY 1ST? JULY, THANK YOU, SORRY, ALL THE NUMBERS RUNNING IN MY HEAD HERE. JULY 1ST, WE HAVE SEEN POSITIVE MOVEMENT IN TERMS OF IMPACT TO THE TRUST, PRESCRIPTION BENEFITS ARE INCREDIBLY EXPENSIVE, JUST LIKE HEALTHCARE IS. HI CLAIMANTS ARE A BIG PART OF THAT. THE NUMBER OF DE-IDENTIFIED DATA THAT WE GET, IDENTIFYING EMPLOYEE COSTS ARE VERY , VERY HIGH. THAT IS PART OF THE INCREASE TO FULLY FUND OUR BENEFIT TRUST.
>> CAN YOU TOUCH ON WHY WE CHANGED BROKERS LAST YEAR?
>> I STARTED ON JULY 1ST. WE DID SWITCH TO A NEW BROKER AT THAT
POINT. >> WE CHANGED, BECAUSE WE DID NOT HAVE A BROKER WHO WAS TELLING US TO TAKE THE INCREASES WHEN WE SHOULD BE TAKING THE INCREASES AND WE WENT WITH SOMEBODY WHO COULD HELP US DEVELOP A PLAN THAT WE COULD
>> ANYONE ELSE ? >> GO AHEAD. SORRY.
>> I HAVE ONE MORE QUESTION. HAVE WE EXPLORED THE IDEA? I LOOKED BRIEFLY AT IT LOOK LIKE IT WAS PROBABLY MORE EXPENSIVE , BUT HAVE WE EXPLORED THE IDEA OF SCHOOLS ? WE HAVE THE OPTION TO JOIN INTO THE STATE BUCKET OF INSURANCE, IS THAT SOMETHING MORE EXPENSIVE AND SOMETHING WE ARE NOT INTERESTED IN DOING?
>> MR. MAPES IS IN CHARGE OF THAT, WE LOOKED INTO IT AND FELT LIKE IT WAS A MORE EXPENSIVE ENDEAVOR AND A REDUCTION OF
BENEFITS, AS WELL. >> OKAY, THANK YOU .
>> FIRST I WANT TO SAY THANK YOU FOR WHAT YOU DID WITH THE PHARMACY BENEFIT MANAGEMENT, THAT DID DECREASE COSTS. I DO STILL HAVE SOME CONCERNS. FIRST OF ALL, OUR BROKER FEES, IN THE LAST TWO YEARS, CUSTOMARY FOR THIS AREA OF INDIANA.
>> OUR BROKER FEES CUSTOMARY ? >> THE AMOUNT OF BROKER FEES, ARE THEY USUAL AND CUSTOMARY FOR THE SCHOOL DISTRICTS IN THIS
[00:50:04]
COUNTY? >> YEAH. I'M NOT SURE I CAN COMMENT BECAUSE I DO NOT HAVE ACCESS TO INDIVIDUAL SCHOOLS, BENEFITS, OR TRUSTS, I WOULD BE SPECULATING UNFORTUNATELY.
>> THE OTHER PART IS, IN THE COMMUNITY, THIS IS WHERE WE ARE, IT IS SOBERING FOR ALL OF US, BUT, IF THE EXPECTATION IS THAT THE PEOPLE WHO FEEL THE DISTRICT, WHO SET US UP FOR STUDENT SUCCESS ARE EXPECTED TO TAKE A HIT , I THINK IT IS VERY IMPORTANT THAT THE BOARD LOOKS AT ALL OF OUR VENDORS, FROM THE BOTTOM UP, AND LOOKS AT RENEGOTIATING THE COSTS. IT SHOULD NOT BE THAT OUR STAFF IS TAKING THE HIT.
>> ANYONE ELSE? >> CAN YOU COMMENT ? I KNOW THERE IS SOME CONVERSATION THAN OTHERS ON THE BOARD HAVE AT, DOING COMPARISONS BETWEEN THE BENEFITS IN SURROUNDING SCHOOL DISTRICTS, CAN YOU SPEAK TO THAT IN TERMS OF THE ROBUSTNESS OF OUR BENEFIT OFFERING, WE TALK ABOUT EMPLOYEE RETENTION AND ATTRACTION I KNOW THAT BENEFITS, AS WELL AS OUR PENSION, AND 403B OFFERING IS VERY MUCH A STRONG ATTRACTION TO THE DISTRICT, CAN
YOU SPEAK MORE? >> THERE ARE A LOT OF METRICS YOU CAN COMPARE, THE TENSION IN HAMILTON COUNTY, I BELIEVE ALL SCHOOLS DO THE 3% CONTRIBUTION, THAT IS A LEVEL COMPARISON, THE 403B, IT IS ABSOLUTELY THE HIGHEST IN HAMILTON COUNTY. ONE SCHOOL DISTRICT DOES 4% TOTAL, A COMBINATION OF THREE AND ONE, ONE DISTRICT DOES ZERO, A COUPLE DO ONE OR TWO WITH TESTING REQUIREMENTS, SO, THE 403(B) CENSUS IN THE TOP OF THE CLASS
IN HAMILTON COUNTY BY FAR. >> THAT IS STARTING DAY ONE?
>> THERE IS NO VESTING PERIOD, TO CLARIFY, THAT IS A 5% MATCH.
EVERY DOLLAR UP TO 5%, THE DISTRICT PUTS IN A 5% MATCH WITH
NO VESTING REQUIREMENT. >> THIS IS IN ADDITION TO THE STATE FUND THAT THEY ALSO RECEIVE ?
>> CORRECT. >> HAS THEIR BEEN ANY CALCULATIONS DONE , I KNOW IT WOULD BE BARGAINING, SO I DON'T KNOW IF YOU CAN GET INTO IT. ARE THERE ENOUGH PEOPLE CONTRIBUTING AT THAT HIGH PERCENT RATE , WHERE LOWERING IT WOULD MAKE A
SIGNIFICANT DIFFERENCE? >> YES.
>> CARMEL DOES A 1%, NOBLESVILLE, 1.5, IF IT CAME DOWN, THE REMAINDER , WOULD IT BE ESSENTIALLY AVAILABLE FOR OTHER THINGS IN THE FUND, NAMELY SALARIES ?
>> YES. PIGGYBACKING ON THAT JUST A LITTLE BIT, WE ADDED THE HSA CONTRIBUTION LAST YEAR FOR THE VERY FIRST TIME, THERE IS ONLY ONE SCHOOL IN HAMILTON COUNTY THAT CONTRIBUTES TO AN HSA AND WE ARE THE HIGHEST IN THAT REGARD. WE HAVE THE HIGHEST STARTING SALARY OF A B EITHER 0 TEACHER, WE HAVE THE HIGHEST AVERAGE TEACHER COSTS IN HAMILTON COUNTY. THE THING THAT PROBABLY SUMS IT UP THE BEST, JUST TO KIND OF LAND THIS, THIS IS INFORMATION THAT IS PUBLICLY AVAILABLE, EVERY YEAR, THE STATE OF INDIANA DOES A CALCULATION OF WHAT PERCENT OF EDUCATION FUND REVENUE, DOLLARS TO THE EDUCATION FUND, ARE SPENT ON TEACHER SALARIES, WAGES, AND BENEFITS , UNDER STATUTE, WE ARE REQUIRED TO MAKE THAT 62%, THE LAST TIME THERE WAS OF ERRORS IN BETWEEN SCHOOLS , IN '23-24, OUR NUMBER WAS 83.1% WHICH LED HAMILTON COUNTY. NOBLESVILLE WAS 82%, CARMEL WAS 75%, WESTFIELD, 75, IN 24 -25, I HAVE OUR DATA, I DO NOT HAVE COMPARISON DATA .
IT HAS NOT BEEN SHARED IN OUR PERCENTAGE WAS 84.44%. NOW, A BIG PART OF THAT IS THE REFERENDUM, 100%. CURRENTLY, THE LAW CHANGED , AND NOW THE CONTRIBUTION HAS TO OBESITY 5%, BUT AGAIN, AS WE STAND HERE TODAY IN THE 24-25, THE LAST YEAR THIS METRIC WAS CALCULATED, 84.44%, SO, IT IS DIFFICULT, THERE ARE SO MANY CHALLENGES. THERE ARE TORCHBEARERS LEADING THE WAY IN A LOT OF GREAT AREAS IN HAMILTON COUNTY.
>> THAT IS FANTASTIC. THERE ARE THOSE WHO WANT TO COME TO THE DISTRICT , IT IS A ROBUST OFFERING THAT WE HAVE, WE HAVE FRIENDS THAT WORK IN OTHER DISTRICTS AND THEY ARE TRYING TO FIGURE OUT WAYS TO GET SALARY INCREASES , BUT IT GIVES THE APPEARANCE THAT WE ARE THE TOP EMPLOYERS FROM THE EDUCATIONAL STANDPOINT. OTHERS ARE TRYING TO CATCH UP TO WHERE WE ARE. WHERE
[00:55:01]
WE ARE, WE ARE SENSITIVE ABOUT LOSING EMPLOYEES TO OTHER DISTRICTS , THOSE DISTRICTS HAVE THE SAME CONCERNS WITH THEM LEAVING THE DISTRICT, TO COME WHERE THERE ARE BETTER BENEFIT OFFERINGS AND SALARIES. SO, THAT IS HELPFUL.>> I WOULD LIKE TO ASK -- GO AHEAD, SARAH PARKS-REESE.
>> THE OTHER DISTRICTS ARE STILL BARGAINING, TOO, WE DON'T KNOW WHERE THEY WILL LAND, THEY COULD LAND ABOVE US.
>> I WOULD LIKE TO MAKE A COMMENT GOING FORWARD, WHERE DOES THAT LEAVE US, IT IS NOT JUST HAMILTON SOUTHEASTERN SCHOOLS. THE FINANCIAL BURDEN COSTS OUR STATE, I ENCOURAGE ANYBODY LISTENING, NOT JUST OUR BOARD BUT OTHER BOARD MEMBERS, OTHER DISTRICT PEOPLE, TEACHERS, PEOPLE INVOLVED IN EDUCATION TO CALL THEIR LEGISLATORS, THERE ARE CERTAIN THINGS THAT HAVE HIT US AND HAVE CAUSED PROBLEMS WITH EDUCATIONAL FUNDING. IT DOES NOT MATTER WHERE YOU ARE, STANDING ON AN AISLE, I AM PUTTING IT OUT THERE IN GENERAL. IF YOU CARE ABOUT EDUCATION, YOU NEED TO BE REACHING OUT, WE HAVE TO MAKE SOME STRONG CHANGES , YES? SO , I AM JUST PUTTING IT OUT THERE. WE ALL ARE TIGHTENING OUR BELT RIGHT NOW TO GET THROUGH THIS NEXT YEAR. AND I KNOW THAT MR. MAPES AND THE ADMINISTRATION, I HOPE I AM NOT SPEAKING OUT OF LINE, IT HAS BEEN SAID WE MAY HAVE TO ENTERTAIN A REFERENDUM NEXT YEAR. EVERYONE IS TRYING TO FIGURE OUT HOW WE GO FORWARD, BUT DOES IT FIX EVERYTHING, ALTOGETHER ? IF WE DO NOT WORK ON THAT STATE FUNDING FORMULA, EXCUSE ME FOR BEING BLUNT, IF WE DON'T PUT THE BUTTS IN THE SEATS AND DO ALL THE RIGHT THINGS, HAMILTON SOUTHEASTERN SCHOOLS IS A PHENOMENAL SCHOOL DISTRICT , THANK YOU TO THE MANY TEACHERS IN THIS ROOM THAT EDUCATE OUR THOUSANDS OF CHILDREN. THE ADMINISTRATION THAT PROVIDES A STELLAR WORKING ENVIRONMENT FOR TEACHERS. I AM JUST SAYING, IN GENERAL, COMMUNITY, IT TAKES EVERYONE, WE NEED TO REACH OUT TO GET SOME THINGS CHANGED TO HELP FUND EDUCATION SO THAT WE ARE NOT TASKED WITH THIS HUGE , HUGE , I GUESS, PUNCH IN THE GUT . I KNOW WHEN WE DID THE REFERENDUM, THIS WAS NOT HERE WHEN WE DID THE LAST REFERENDUM, NOW WE ARE TASKED WITH STRONG CONCERNS. I CAN SPEAK ON THIS AND I AM PRETTY SURE THE REST OF THE BOARD CAN . WE VALUE THE EDUCATORS IN THE DISTRICT , THANK YOU TO THE ADMINISTRATION, AND FOR YOU, WHO WORK SUPERDUPER HARD FOR ALL OF OUR STUDENTS.
THANK YOU. >> THANK YOU FOR SAYING THAT. I THINK WE ALL AGREE, WE VALUE THE TEACHERS AND EDUCATORS IN THIS BUILDING. I HAVE THREE KIDS, TWO THAT HAVE GRADUATED, AS A RESULT OF THE FANTASTIC EDUCATION HERE. I WOULD BE REMISS IF I DID NOT MAKE A STATEMENT ABOUT THE CONCERNS ABOUT DECLINING ENROLLMENT, WE STILL HAVE A $14,554,000 INCREASE THAT WE ARE SEEING AS A RESULT. WE OPERATE ON A FIXED INCOME. EXPENSES , OBVIOUSLY, WE HAVE A DEFICIT YET WE ARE GOING TO GO BACK AND ASK THE TAXPAYER TO PAY ALMOST $15 MILLION MORE TO FUND A DISTRICT LOSING STUDENTS AND SEEING A DECLINE IN ENROLLMENT. MY POINT IS, IF WE ARE CONTINUING TO OPERATE WITH THE SAME LEVEL OF EMPLOYEES AND THE SAME LEVEL OF FIXED COSTS AND OPERATIONAL EXPENSES , THE TAXPAYERS HAVE A HARD THING TO SWALLOW, IN TERMS OF HELPING UNDERSTAND. WE ARE ASKING YOU TO PUT OUT MORE. I WANT TO MAKE SURE THAT IT IS CONVEYED, I THINK THERE COULD BE A NEGATIVE BACKLASH , GOING OUT TO THE TAXPAYER , GIVE ME MORE.
NOT TO SAY NO ONE IS VALUED. TEACHERS ARE VALUED. AT THE SAME TIME , PEOPLE ON FIXED INCOMES, I LOOK AT THE SENIOR CITIZENS, EVERY SENIOR CITIZEN ON A FIXED INCOME WILL ASK THE SAME QUESTION. I HAVE HAD HALF A DOZEN CONVERSATIONS, THEY OPERATE ON A FIXED INCOME. THEY ARE EMPATHETIC, AT THE SAME TIME THEY ARE NOT. THEY LIVE THE REALITY EVERY DAY. THE PUSH BACK ON ME AND THE BOARD AND THE COMMUNITY IN GENERAL, WHAT MORE ARE WE DOING TO SHOW AND DEMONSTRATE THAT YOU WILL OPERATE WITHIN YOUR MEANS. WE DO NOT HAVE A WAY OF MAKING MONEY IN THE DISTRICT, THE INCOME IS TO PUT QUOTE-" BUTTS IN THE SEAT . THAT IS HOW WE MAKE OUR INCOME, THERE IS PUSHBACK FOR A
[01:00:04]
REASON. I AM GETTING A TON OF IT ON BOTH SIDES, ESPECIALLY THOSE IN THE COMMUNITY, OUR COSTS WENT UP EVERYWHERE, THE FUNDING WE THOUGHT WE WOULD GET BACK IN PROPERTY TAX VALUES, $300 JUST DOES NOT CUT IT. AT THE END OF THE DAY, I WANT US TO BE MINDFUL. THE MESSAGING, FOR EVERYONE AROUND THE ROOM THAT STANDS TO BENEFIT FROM THIS, THE FACT IS, WE WILL GO BACK AND ASK THE TAXPAYERS, REGARDLESS OF THEY HAVE A STUDENT IN THE DISTRICT OR NOT, WHETHER THEY ARE LISTENING TO THIS INFORMATION OR NOT, THE FIRST QUESTION WILL BE, HOW CAN YOU AFFORD TO FUND THIS IF YOU HAVE A DECLINING INCOME COMING INTO THE DISTRICT? BE VERY MINDFUL ABOUT THAT.>> HERE IS THE OTHER SIDE OF THAT, OVER THE LAST COUPLE OF YEARS, WE ARE AVERAGING LOSING ABOUT 200 STUDENTS A YEAR, BETWEEN THIS YEAR AND LAST YEAR, WE LOST 400 STUDENTS AND PART OF THAT IS LEGISLATION, UNIVERSAL CHOICE, BASICALLY. THINGS LIKE SCA 1, THOSE AFFECT OUR DISTRICT. LIKE SUZANNE SAID, IT IS IMPORTANT TO TALK TO THE LEGISLATORS BUT AT THE SAME TIME, WHEN WE DID REFERENDUMS BEFORE, WHAT WE HAD IN 2027, WE DID NOT KNOW THAT WOULD EQUAL WHAT WE HAD IN 2023, WE ARE IN A DIFFERENT SPOT. A DIFFERENT SPOT THAN WE PLANNED ON BEING IN.
>> THANK YOU. >> I WILL NOW OPEN THE PUBLIC HEARING. ANY MEMBER OF THE COMMUNITY WHO WISHES TO SPEAK ABOUT THE BUDGET MAY ADDRESS THE BOARD AND YOU WILL EACH HAVE THREE MINUTES. WE WILL START WITH THE COMMUNITY MEMBERS WHO HAVE ALREADY SIGNED UP AND WE WILL START WITH JENNY NICHOLS.
>> I DID NOT ANTICIPATE ON BEING FIRST PRESENTATION. GOOD EVENING. THANK YOU FOR THE OPPORTUNITY TO SPEAK. I WANT TO SAY SOME OF THIS WILL BE REDUNDANT WITH SOME OF THE THINGS WE HAVE ALREADY DISCUSSED , WHICH IS GOOD. WE ALREADY COVERED IT. FIRST , WE NEED TO ACKNOWLEDGE THAT NEITHER THE ADMINISTRATION, THE BOARD, THE EDUCATORS, THE TAXPAYERS, THE STAFF, ANY OF US ASKED FOR THIS CURRENT STATE OF THE DISTRICT , SEVERAL FACTORS, THE DECLINING ENROLLMENT , THE ACCOUNTING ERROR , THAT WAS MADE WHEN WE HAD THAT RECENT HISTORIC TEACHER PAY INCREASE AND A DEPLETION OF RESERVES . A SOLUTION IS NOT GOING TO BE REACHED BY CREATING PUBLIC DRAMA. WE HAVE ALREADY SEEN THE INFORMATION PRESENTED TO THE PUBLIC AND SHARED ON SOCIAL MEDIA WITH THE INTENT OF CREATING DIVISIVENESS AND STOKING THE PROVERBIAL FLAMES. I IMPLORE ALL PARTIES TO ADDRESS THE FACTS AS THEY ARE, AS YOU WORK TOWARD THE COMMON GOAL OF SOLVING THE BUDGET CRISIS .
ADDRESS THE DOWNWARD TREND IN ENROLLMENT, THE FINANCIAL SITUATIONS, AS IT EXISTS. THE GOVERNING REVENUE, THE TEACHER COMPENSATION , AND THE FUTURE IMPACT ON OUR BUDGET. RECENT COMPENSATION INCREASES HAVE PLACED HSE NEAR THE TOP OF THE HAMILTON COUNTY SCHOOL DISTRICTS , ALONG WITH BENEFITS , AS MR. BROWN DISCUSSED. IF THE DISTRICT CANNOT OFFER RAISES FOR THE COMING ACADEMIC YEAR, THAT WILL OBVIOUSLY BE DISAPPOINTING. AND COMPARE AND PINE OVER THEIR INCREASES, THE SIMPLE TRUTH IS, THEY ARE SCRAMBLING TO KEEP UP WITH HSE'S CURRENT COMPENSATION PACKAGE. THEIR INCREASES ARE PUT IN PLACE TO TRY TO MATCH WHAT OUR DISTRICT CURRENTLY OFFERS . TO HELP FIX OUR FINANCIAL SITUATION, WE SHOULD LOOK AT CREATIVE SOLUTIONS SUCH AS EXPLORING MEASURES LIKE BUYOUTS FOR EARLY RETIREMENT, RIGHT-SIZING STAFFING FROM TOP-DOWN AS WE REDISTRICT TO MEET THE NEEDS OF OUR CURRENT AND FUTURE STUDENT POPULATIONS, CREATE COST SAVINGS, RETURNING TO TEXTBOOKS AND ELEMENTARY SCHOOLS, WHICH PRESENT SAVINGS OVER TECHNOLOGY SUBTRACTIONS AND DEVICES. PARTNER WITH OTHER DISTRICTS TO CREATE COOPERATIVE BUYING POWER FOR RESOURCES. REVIEW CONTRACTS WITH OUTSIDE VENDORS FOR COST EFFICIENCY , SEEK ADDITIONAL GRANTS THAT BENEFIT OUR STUDENTS, INCREASE OPPORTUNITIES FOR SUPPORT , FROM THE HAMILTON SOUTHEASTERN EDUCATION FOUNDATION. NOW IS THE TIME, TO AVOID THE DAMAGING IMPACT OF ARGUMENTS. WE NEED THE
[01:05:08]
PUBLIC BEHIND SOLUTIONS TO STABLE S -- STABILIZE HSE FUNDING. OUR GOAL SHOULD BE TO PROVIDE THE BEST EDUCATION ANDTHE BEST TEACHERS. THANK YOU. >> WE WILL NOW MOVE ON TO SARAH
WEINTRAUB. >> GOOD EVENING, BOARD AND ALPHA60. FOR 10 YEARS MY FAMILY HAS LIVED AND ATTENDED THE HSE SCHOOLS. TEACHERS HAVE ENSURED THE BEST EDUCATIONAL EXPERIENCES , THAT IS WHAT THEY DO, THEY ARE LIVING OUT THEIR VOCATION, THEIR TRUE CALLING, I KNOW FROM MY LOCATION, HOW ONE IS TREATED IN THEIR PROFESSION, INCLUDING FINANCIALLY, IMPACTS THE OVERALL WELL-BEING. RECENT DATA UNDERSCORES THE DEPTH OF FINANCIAL STRESS FACING AMERICA 72% REPORT FEELING STRESSED ABOUT MONEY, SOMETIME IN THE PRIOR MONTH. 60% OF FULL-TIME EMPLOYEES ARE STRESSED ABOUT THEIR FINANCES WITH FINANCIAL STRESS IMPACTING VARIOUS ASPECTS OF THEIR WELL-BEING, INCLUDING MENTAL HEALTH, SLEEP, AND SELF-ESTEEM. 52% OF WORKERS REPORT BEING FINANCIALLY STRESSED DESPITE SLIGHT IMPROVEMENTS AND RISING COST OF LIVING PRESSURES. THE NUMBER OF FULL-TIME EMPLOYEES WHO REPORT THAT COMPENSATION IS NOT KEEPING UP WITH THE RISING COST OF LIVING EXPERIENCES HAS RISEN TO 59%. UNFORTUNATELY, THE SCHOOL DISTRICT IS NOT MAKING IMPROVEMENTS TO TEACHER PAY. THIS HAS IN EFFECT REDUCED THEIR SALARIES WITH RISING HEALTHCARE COSTS. IT IMPACTS THEIR PHYSICAL, MENTAL, SPIRITUAL, AND OVERALL HEALTH. EDUCATORS PAIR WELL WITH THEIR STUDENTS. IN RETURN, THEY SHOULD BE CARED FOR BY THOSE IN POSITIONS OF POWER. FINANCIAL BURNOUT AND LACK OF SUPPORT FROM LEADERSHIP WOULD SUGGEST THAT HSE SCHOOLS IS NOT LIVING UP TO ITS MISSION. HAMILTON SOUTHEASTERN SCHOOLS, AS A FORWARD-THINKING SCHOOL DISTRICT , PROVIDES EXCELLENCE IN EDUCATION AND OPPORTUNITIES TO ENSURE THE SUCCESS OF EACH AND EVERY STUDENT TO BECOME A RESPONSIBLE CITIZEN AND TO POSITIVELY INFLUENCE AN EVER-CHANGING WORLD COMMUNITY.
THAT ONLY HAPPENS BECAUSE OF OUR EDUCATORS. WITHOUT TEACHERS, STUDENTS SUFFER. WHEN STUDENTS ' EDUCATION SUFFERS, THE COMMUNITY IS IN CRISIS. OUR EDUCATORS NOT ONLY DESERVE TO BE HEARD AND TREATED WITH RESPECT, BUT COMPENSATED JUSTLY SO THAT OUR STUDENTS, INCLUDING MY CHILD, HAVE THE BEST OPPORTUNITIES FOR SUCCESS NOW AND IN THE FUTURE. MAKE IT SO.
>> GOOD EVENING , MR. MAPES AND SCHOOL BOARD, AS A DIFFERENT ERIN WHO ACTIVELY WORKS TO INFORM AND SPEAK AGAINST FDA 1, I COME FORWARD IN FRUSTRATION AND LACKING TRUST IN THE BOARD AND ADMINISTRATION, THE APPLICATION THAT ANY SHORTFALLS IN THE BUDGET ARE DUE TO AN ADMINISTRATION THAT HAS BEEN GONE, THE CHOICES YOU ALL HAVE MADE, THAT RHETORIC NEEDS TO STOP. 10 SALARIES OF THE TOP POSITIONS IN THE OFFICE TOTAL APPROXIMATELY $1.5 MILLION, THAT DOES NOT INCLUDE RETIREMENT, COST OF RETIREMENT, ET CETERA. THE PREVIOUS ADMINISTRATION, NOWHERE NEAR THAT NUMBER. THIS OFFICE HAS EXPANDED, ADDING OFFICE SPACE SINCE THE NEW ADMIN TOOK OVER, OUR CFO DID A GREAT JOB OF EXPLAINING WHAT IT WILL DO TO THE FINANCES, EXPLAINING WHY THE REFERENDUM WILL BE NECESSARY, WORKING HARD WITH TEACHERS TO COLLECTIVELY BARGAIN TOGETHER TO FIND WAYS FOR WHAT THEIR EDUCATORS DO, THEY ARE FACING THE SAME CHALLENGES JUST AS HSE IS , THEY ARE RELEASING POSITIVE MESSAGING. AS A PARENT, I AM STANDING TONIGHT TO DEMAND RESPECT FOR OUR TEACHERS , THE ADMINISTRATORS ARE AGAIN WORKING WITHOUT CONTRACTS AT THE STATE -- STAFF. WE SEE THEM WORK ALONGSIDE CHILDREN, EVEN COMING OUTSIDE OF CONTRACTED HOURS TO MAKE SURE THE STUDENT RECEIVES
[01:10:03]
THE SUPPORT OR LOVE THEY NEED TO SUPPORT. IT TAKES A VILLAGE TO RAISE AND EDUCATE CHILDREN. ONE OF ITS MOST ESSENTIAL GROUPS IS BEING DEVALUED. TEACHERS ARE THE HEART OF OUR SCHOOLS. THE MESSAGE FROM THE TOP FROM THE ADMINISTRATION AND THE BOARD HAS BEEN CLEAR. EDUCATORS ARE NOT BEING PRIORITIZED, RESPECTED OR PRIORITIZED, IT FILTERS DOWN AND THE LACK OF SUPPORT FROM THE HIGHEST LEVEL SINCE A DANGEROUS METHOD THAT THERE -- THERE WILL EXPERTISE , WE UNDERSTAND THAT FINANCIAL PRESSURES EXIST.EVERYONE IS FEELING THEM. BUT HSE'S REFUSAL TO CREATE ACTIONABLE -- EQUITABLE SOLUTIONS IS DEEPLY DISAPPOINTED IN THIS DISTRICT HAS THE RESOURCES BOTH FINANCIAL AND INTELLECTUAL TO FIND SOLUTIONS WHAT IT LACKS IS THE WILL.
TEACHERS CONTINUE TO SHOW UP EVERY DAY FOR THE GOOD OF OUR KIDS. WE ARE THE ONES TUTORING BEFORE SCHOOL, MENTORING AFTERSCHOOL, BUYING SUPPLIES OUT OF OUR OWN POCKETS, AND ADOPTING TO EVERY NEW INITIATIVE SENT OUR WAY. SURROUNDING DISTANCE OR INVESTING IN TEACHERS BECAUSE THEY KNOW WHAT HAPPENS WHEN THEY DON'T. HSE ONCE -- ONCE DESIRABLE, HOW MANY MORE NEED TO LEAVE BEFORE THE ADMINISTRATION ADMITS THERE IS A PROBLEM?
APPLAUSE ] >> WE WILL NOW MOVE TO CRAIG.
>> THANK YOU, MEMBERS OF THE BOARD, MR. MAPES, FOR ALLOWING US TO SPEAK. I WANTED SPEAK TO YOU IN THE OFFICE. THANK YOU FOR BEING UP AND SHOWING ABOUT SUBCONTRACT TIME, MIGHT I ADD TO YOU STAND UP FOR YOUR STUDENTS AND YOU ARE PART OF WHAT MAKES HSE THE SUCCESSFUL DISTRICT IT IS. IF YOU HEAR NOTHING ELSE, PLEASE HEAR THAT. THE BARGAINING TEAM SPENT THREE DAYS NEGOTIATING CONTRACT CHANGES. IT HAS BEEN MORE COLLABORATIVE THAN LAST YEAR, WE ADMIT, WE ADDED MEANINGFUL CHANGES LANGUAGE BUT WE HAVE MADE LITTLE MOVEMENT ON FINANCIAL GAINS. BEFORE WE BEGAN BARGAINING, THE COCHAIRS AND PRESIDENT SAT IN WITH ADMINISTRATION. THESE MEETINGS OFFER AN OPPORTUNITY TO PRESENT WHAT EACH SIDE IS GOING TO BE FOCUSED ON, WE WERE NOT TOLD UNTIL ONE WEEK BEFORE BARGAINING BEGAN THAT THE ADMINISTRATION WAS NOT GOING TO BE OFFERING ANY EXTRA COMPENSATION FOR THE HARD-WORKING TEACHERS OF THIS DISTRICT. WHY WERE WE NOT BROUGHT INTO THIS CONVERSATION EARLIER? THE UNION INSISTED ON QUARTERLY INSURANCE MEETINGS THE GLIMPSE INTO THE FINANCIALS BEHIND INSURANCE HAPPENINGS, WE WERE NOT TOLD UNTIL ONE MONTH PRIOR TO BARGAINING THAT WE WERE HEADED FOR THIS HUGE INSURANCE INCREASE. WE AGREED TO CHANGE SO MUCH LAST YEAR. IN ORDER TO HELP INSURANCE RESERVES AND YET, HERE WE ARE AGAIN. DISTRICT ADMINISTRATION BLAMES SEA 1 , THERE IS NO DOUBT THAT SENATE BILL 1 WILL HIT OUR COMMUNITIES HARD IN 2026, WE THINK CREATIVELY, WHY ARE WE GOING TO BE THE ONLY SCHOOL DISTRICT IN THE IN THE METRO AREA TO TAKE A PAY CUT? FROM WHAT WE HEAR FROM OTHER HAMILTON COUNTY SCHOOLS, ALL OF THEM ARE SEEING SALARY INCREASES. WHY IS HSE THE ONLY ONE NOT SUPPORTING THEIR TEACHERS ?
>> HI, TYLER , PRESIDENT , FURTHERMORE. DISTRICT ADMINISTRATION CONSTANTLY SHIFTS BLAME TO THE PREVIOUS ADMINISTRATION. MANY OF WHICH HAVE NOT BEEN EMPLOYED AT HSE FOR OVER ONE YEAR. CURRENT IN FOR ADMINISTRATION CRITICIZES ADMIN FROM TWO YEARS AGO WHO PUT US IN THIS SITUATION BECAUSE THEY OVERSPENT ON TEACHER CONTACTS. THOSE ADMINISTRATORS FAIRLY COMPENSATED ALL TEACHERS BY HONORING TEACHERS WHO HAVE TAUGHT HERE, AND AWARDING THEMSELVES . THIS ALLOWS FOR HSE TO RETAIN AND ATTRACT QUALITY TEACHERS THAT HAVE MADE IT ONE OF THE BEST AND MOST HIGHLY SUCCESSFUL DISTRICTS IN THE STATE AND NATION. UNDERSTANDING THE PERSPECTIVE BEGS THE QUESTION, DOES CURRENT ADMINISTRATION NOT SUPPORT THIS INITIATIVE. BE THAT AS IT MAY, THIS IS NO LONGER ABOUT PREVIOUS DISTRICT ADMINISTRATION, OTHER HAMILTON COUNTY SCHOOLS, OR EVEN THE STATE. YOU ARE THE LEADERS OF THIS DISTRICT, YOU ARE CALLING THE SHOTS AND MAKING DECISIONS ON BEHALF OF EVERYONE WHO WORKS FOR HSE. WHAT HAVE YOU DONE WHAT STEPS HAVE YOU TAKEN TO PREVENT LEGISLATION LIKE SENATE BILL ONE FROM DESTROYING
[01:15:03]
PUBLIC EDUCATION IN THE STATE OF INDIANA? SEVERAL OUT-OF-STATE CONFERENCES THROUGHOUT THE DISTRICT EAT AWAY AT POTENTIAL SALARY INCREASES, ELECTING POLITICIANS THAT WANT TO WITNESS THE DEMISE AND ERADICATION OF PUBLIC EDUCATION , IT HURTS TEACHERS AND STUDENTS ALIKE. WHAT HAVE YOU DONE TO STOP ALL OF THIS FROM HAPPENING? AS EVERYONE CAN SEE , THEY PLAY THE BLAME GAME BUT ONE THING IS FOR SURE TEACHERS THEY ARE NEVER PART OF THE PROBLEM, THEY ARE THE SOLUTION. THE TEACHERS WILL HAVE TO PAY MORE IN INSURANCE PREMIUMS THEY ARE ALWAYS AROUND, AND FIX THE MANY ISSUES THAT SEEM TO BURDEN THE DISTRICT, WITHOUT GETTING ANY EXTRA CREDIT OR COMPENSATION TO IT, THIS BARGAINING CYCLE, THEY HAVEN'T TOLD THAT YOU CANNOT BE FIRST IN EVERYTHING, WE CANNOT GET AHEAD WHAT WE ARE RUNNING BACKWARDS, BUT ONE THING IS FOR SURE, THE TEACHERS OF HSE WANT A CONTRACT IN WHICH NO ONE TAKES A PAY CUT, THE TEACHERS AT HSE WANT A COMMITMENT TO HAVING TIEBACK ON TUESDAYS AND THURSDAYS, THE TEACHERS AT HSE WANT DISCUSSIONS WITH THE UNION ABOUT PUTTING TOGETHER A COST-SAVING COMMITTEE FOR THIS DISTRICT. THE TEACHERS AT HSE WANT MORE OPTIONS PRESENTED AT THE BARGAINING TABLE THAT DOES NOT REQUIRE THEM TO SHOVEL THEIR OWN MONEY AROUND. THE TEACHERS AT HSE, TO ENSURE THE SUCCESS AT THE DISTRICT WANT AND DESERVE SO MUCH MORE THAN WHAT THEY ARE BEING OFFERED.REFLECT ON THE BUDGET PRESENTATION TONIGHT, THANK YOU VERY MUCH.
MEMBERS THAT WOULD LIKE TO SPEAK? YOU CAN COME TO THE PODIUM AT THIS TIME, IF SO. HEARING NONE, I WILL NOW CLOSE
[7. Superintendent's Report]
THE PUBLIC HEARING. WE WILL NOW MOVE ON TO ITEM 7.01,SUPERINTENDENT REPORT. >> BOARD, WE HAVE HAD A LOT OF ACTIVITY IN OUR SCHOOLS THE LAST FEW WEEKS. YESTERDAY, AS YOU HEARD, WE HELD A MEDIA DATA SHOWCASE OUR NEW JUNIOR HIGH ROBOTIC SELECTIVE, NOW OFFERED AT EVERY JUNIOR HIGH, IN COLLABORATION WITH LEGO EDUCATION. OUR STUDENTS ARE USING SPIKING KITS TO BUILD PROBLEM-SOLVING AND TECHNICAL SKILLS AND DIRECT -- ADVANCE IN COMPUTER SCIENCE. ALL PART OF OUR JOURNEY OF A STUDENT INITIATIVE. LAST WEEK, WE WERE ABLE TO HOST AT BOTH HIGH SCHOOLS, RECOGNIZING OUR NATIONAL MERIT SEMIFINALIST, THIS YEAR, 25 STUDENTS EARNED THE DISTINCTION, INCLUDING THE HIGHEST NUMBER . THESE ACADEMICALLY-TALENTED STUDENTS MOVE FORWARD IN COMPETITION OR SCHOLARSHIPS TOTALING NEARLY $26 MILLION. TOMORROW EVENING, IT IS GOING TO BE REALLY BUSY. AT HAMILTON SOUTHEASTERN HIGH SCHOOL, WE HAVE THE MILE THAT WILL BEGIN AT 5:00 WHERE STUDENTS K THROUGH FIVE WILL RUN THE ONE-MILE COURSE, AND THEN WE WILL HOST THE DISTRICT-WIDE COMPETITION, PRELIMINARY, BEFORE THIS JUMP -- THEY JUMP INTO THE STATE COMPETITION. WE ARE A
[8. Board Members]
COUPLE OF DAYS AWAY FROM THE FALL BREAK, WE WISH EVERYONE A GOOD BREAK, IS A BREAK, WE ARE OUT NEXT WEEK. THANK YOU.>> WE WILL NOW MOVE ON TO BOARD MEMBER REPORTS.
>> FOR THE FOUNDATION, 70 20TH, 2026, THE HSE FOUNDATION WILL BE SPONSORING THE GIN BLOSSOMS AND BLUES TRAVELER. TELL YOUR FRIENDS, GO OUT ON EIGHT DATE NIGHT AND COME VISIT, ALL WILL BENEFIT THE FOUNDATION FOR STUDENTS AND STAFF. SO, FOR MORE INFORMATION, ON THE HSE FOUNDATION, WE WILL HAVE THE MUD STOP IN DECEMBER. AND WE HAVE THE EVENT FRIDAY FEBRUARY 20TH, FOR MORE INFORMATION, VISIT THE HSE FOUNDATION.ORG. I ENCOURAGE
YOU TO GET TICKETS. >> I WANT TO THANK EVERYONE FOR COMING, WE DO APPRECIATE EVERYONE COMING OUT AND HEARING THIS INFORMATION FIRST HAND. IT IS NOT FUN OR EXCITING INFORMATION BUT I DO APPRECIATE EVERYONE OF YOU COMING OUT.
OTHER THAN THAT, NOTHING TO REPORT.
[01:20:02]
>> NO REPORT, OUR NEXT MEETING IS NOVEMBER 5TH AT 7:30 A.M.,
YOU ARE WELCOME TO ATTEND. >> THE ONLY THING TO REPORT, OUR NEXT FINANCE COMMITTEE MEETING, WHICH IS ALSO NOVEMBER 5TH, AT
8:00 A.M. >> I JUST WANT TO SAY THANK YOU FOR COMING OUT AND YOUR DEDICATION AND SUPPORT FOR OUR YOUTH, IT SHOWS WHAT WE HAVE IN THIS DISTRICT COMPARED TO OTHER
DISTRICTS. SO, THANK YOU. >> SARAH PARKS-REESE ?
>> I WANT TO ADD, INDIANA CODE, WHAT THINGS ARE BARGAINABLE, WHAT THINGS ARE DISCUSSABLE , AND WHAT THINGS ARE PERMITTED OR PROHIBITED AT THE BARGAINING TABLE. I WOULD LIKE THE ADMINISTRATION TO CONSIDER THINGS THAT ARE NOT BARGAINABLE BUT ARE DISCUSSABLE , TO MAKE SURE THAT WE ARE HAVING THOSE DISCUSSIONS WHEN THEY ARE NOT PROHIBITED UNDER INDIANA CODE.
* This transcript was compiled from uncorrected Closed Captioning.