October 9, 2024 at 7:30 AM - Budget Committee Meeting

Description:  The purpose of this agenda item is to update the committee on fund balances after the board's decision in September to allocate maintenance expenses from fund 10 to fund 49. Please see the attached fund balance report. 

Description:  The purpose of this agenda item is to review the financial topics that resulted in a fund 10 fund balance decline in 2023-24.

There were multiple expenditure categories that impacted the fund balance:
- self-insured dental program ($154,690) (fund balance issue)
- building/dept carryover balances ($261,000) (fund balance issue)
- health insurance plan changes ($209,724) (budget issue)
- cash flow borrowing interest ($123,818) (budget issue)
- maxed out ESSER III funding ($138,585) (budget issue)
- food service deficit ($63,839) (budget issue)
- employee termination benefits ($79,263) (budget issue)

Some of the expenditures identified above will need a long-term solution as the costs will likely increase over the next few fiscal years. An example of that is the employee termination benefits. We will review what options might exist for the 4th draft of the 2024-25 budget as well as the early stages of planning for the 2025-26 budget. 

Description:  The purpose of this agenda item is to discuss the next steps in the 2024-2025 budget process. Attached please find the budget timeline. Please note that the Third Draft of the Budget will be presented at the regular July Board Meeting.

Description:  The purpose of this agenda item is to review the steps necessary to complete the fourth draft of the budget for the 24-25 school year. Administration will review the process.

Description:  The purpose of this agenda item is to provide an update on special education funding. The business office worked with the special education department to complete the 2024-25 Transfer of Service requests. The total claim was $152,755 after subtracting categorical aid. One of the requests was for two para-educator positions for students who moved into our district. Please see the attached memo from Tiffany Loken that requests the positions to meet the requirements of the IEP. 

Description:  The purpose of this agenda item is to request consideration of hiring a teacher on a part time, one-year contract. Amy Johnson has secured a $30,000 grant and the funds are required to be used in 2024-25. Brian Grabrski has calculated that the funds would cover a .51 FTE position. Administration is recommending approval.

Description:  The purpose of this agenda item is to request approval of a retention payment for health staff. Lisa Jondle has secured the state health grant that provides a stipend for $1,000 per nurse and $500 per health assistant. The funds are required to be paid in the 2024-25 school year. The board approved these stipends in 2023-24. Administration is recommending approval.

Description:  The purpose of this agenda item is to review the process of locking in a percentage of our natural gas volume for the winter months during 24-25. Attached please find a report that shares the market rates that we typically purchase through. Market rates are currently slightly higher than the average cost from last winter. Administration will discuss options for this process.

 

Description:  The purpose of this agenda item is to provide an update on the Data Wrangler implementation. The trial period is ready to begin as the meters and all technical systems have been installed. Attached please find an example of the data that is being collected at Heritage. We will continue to bring this forward as a future agenda item.

Description:  The purpose of this agenda item is for administration to update the committee on the work that has taken place for the district to participate in the federal direct pay reimbursement program. As a reminder, the school board approved a legal team and an accounting team to assist district administration with this effort.  Attached please find a 2-page high level overview of this program.

The reimbursement for the federal direct pay program would range from 6% up to 30% depending on the program requirements that are met. In order to receive the 30% reimbursement, prevailing wage requirements and apprenticeship requirements must be met. For a $14 million dollar geothermal system, the reimbursement would range from $840,000 to $4.2 million. The cost to meet the 30% threshold is $1,100,000 while the contingency for the middle is at $4.3 million. We are seeking committee feedback on this topic.

Description:  If time permits, Administration would like to begin discussion on the district fund balance policy. Attached please find the current policy. For perspective, the most recent statewide data for fund balance is 26% and 25% in Dane County. 

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