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| Madison Metropolitan School District Madison, Wisconsin Art Rainwater, Superintendent | ||
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| BOARD OF EDUCATION Minutes for Special Meeting - Open Session November 13, 2006 |
Doyle Administration Building 545 West Dayton Street, Auditorium and Room 103 Madison, Wisconsin |
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Special Meeting of the Board of Education was called to order by President Johnny Winston, Jr. at 8:30 p.m.
MEMBERS PRESENT: Carol Carstensen, Lawrie Kobza, Lucy Mathiak, Ruth Robarts, Arlene Silveira, Shwaw Vang, Johnny Winston, Jr.
MEMBERS ABSENT: None
STUDENT REPRESENTATIVES
PRESENT: Joe Carlsmith
STAFF PRESENT: Sue Abplanalp, Mary Gulbrandsen, Roger Price, Art Rainwater, Attorney Clarence Sherrod, Barbara Lehman-Recording Secretary
OPEN SESSION - Auditorium
1. Approval of Minutes
It was moved by Carol Carstensen and seconded by Arlene Silveira to approve the minutes of the Special meeting in open session dated September 18, 2006 with the following addition to page 4, at the end of the "Discussion" section: "Five Board members requested that the issue of directing the administration to implement and enforce the current equity policy be included on the next Board agenda." Student Representative advisory vote was aye. Motion unanimously carried.
2. Public Appearances
Don Severson, ACE representative, felt it was necessary to separate the budget motions on the agenda involving Fund 80 from the general operating budget for purposes of clarity for the Board and the public. He added that a long-term strategy was needed for Fund 80 relative to its use and policies and the Administration's management of the Fund. He urged the Board to put this issue on an agenda toward the goal of making budget decisions more transparent.
3. Announcements
A fundraiser for Kajsiab House will take place on November 13th thru 19th at the Taste of Asia restaurant located on 2817 East Washington Ave. Orders can be placed to purchase Hmong egg rolls and Vietnamese spring rolls. Kajsiab House's mission is to create a safe environment to promote well-being in the Hmong community. For more information on this fundraiser please contact Mai Zong at 241-8534 or Peng at 240-0762.
Congratulations to East and Memorial High Schools for their participation in the state soccer tournament last week. This was East's first ever appearance at the state tournament. The Memorial Spartans were the eventual winner. Congratulations to both schools and to all students who have participated in all extra-curricular activities this fall.
On behalf of the Board, I would like to thank our Madison Metropolitan School District community for their passage of the referendum on November 7. This referendum will build a new school in Linden Park, finance the addition to Leopold Elementary and refinance existing debt. I want to thank our school board, staff members, concerned citizens, task forces, and many others for our schools and community working together.
(Packets included charts 2-5 to items 4-7 of the agenda. Copies are attached to the original of these minutes.)
4. It was noted that the amount of the specific expenditure changes was incorrect on the agenda and should have been $1,114,357.
It was moved by Lawrie Kobza and seconded by Arlene Silveira that the Board amend the 2006-07 budget by approving the specific revenue changes as set forth in Chart #2 in the total mount of $1,114,357 and by authorizing the specific expenditure changes as set forth in Chart #2 in the total amount of $1,114,357.
DISCUSSION:
· Previous Board action that caused funds to go back into the operating budget from the referendum would be brought before the Board again.
· There was an explanation of what Chart #2 reflects relative to revenue and expenses received since the budget adoption in May 2006. Major change was a grant received in the amount of $300,000 and other smaller amounts of gifts and donations.
Student Representative advisory vote was aye. Motion unanimously carried.
5. It was moved by Lawrie Kobza and seconded by Shwaw Vang that the Board amend the 2006-2007 budget by approving as reflected in Chart #3 the:
a. transfer of $300,000 of revenue from gifts and contributions from Fund 10 to Fund 21,
b. reduction of the revenue for school-based accounts by $435,000,
c. reduction of the expenditure for school-based accounts by $435,000,
d. transfer of $75,000 from the object code of "miscellaneous expenses" in Fund 80 to the
object code of "transfer to Fund 10" in Fund 80, and
e. transfer of the expenditure of $300,000 from gifts and contributions from Fund 10 to
Fund 21.
DISCUSSION:
· Technical accounting adjustment - reflects amount MSCR could or should have paid for rent for this year. Same amount as budgeted in prior years.
· Projection regarding school-based accounts was inflated when budget was built (both revenues and expenses). Account always ends up being a wash. Could rephrase the terminology.
Student Representative advisory vote was aye. Motion unanimously carried.
6. It was moved by Lawrie Kobza and seconded by Shwaw Vang that the Board amend the 2006-2007 budget by approving the increases and decreases in the revenues as set forth in Chart #4 and the increases and decreases in the expenditures as set forth in Chart #4.
DISCUSSION:
· There was an explanation of the balance sheet item, amending the revenues, entitled Reduction of Fund Equity with a balance of $107,547 in Fund 80. Parentheses do not indicate a reduction but redefine other kinds of revenues.
· Explanation of Expenditure Interfund Transfer of $2.1 million.
· Explanation of transfers from Community Service Fund Reserve and Community Service Fund interfund transfers. Part of $310,842 miscellaneous revenue.
· A number of the amendments reflect making the estimates during the May budget process more accurate.
· Aggressiveness of original budget estimates.
Student Representative advisory vote was aye. Motion unanimously carried.
7. It was moved by Lawrie Kobza and seconded by Shwaw Vang that the Board amend the 2006-07 budget by approving the transfer of $1,890,620 from the Fund 10 Equity Fund and $205,665 from the Fund 80 Equity Fund to the expenditures in Fund 10 and Fund 80 as set forth in Chart #5.
DISCUSSION:
· Concern regarding the change in Equity Fund.
· Mr. Price provided an additional chart entitled, "Equity Statement Fund Final" dated October 26, 2006 (a copy is attached to the original of these minutes) outlining equity and cash flow. There is no double counting. He explained why equity went down this past year since the balanced budget was passed. Administration budgets aggressively and tries to manage believing it could use less fund equity over time; this approach can no longer be taken. Amount to be cut will be increased.
· Salary Savings budget - need to save an additional $6.1 million somewhere else because the CFO account was over budgeted. All but $2.7 million was found. Same type of thing in this year's budget; have to find $5.9 million somewhere. Cannot just be met, have to do $5.9 million better. Finance and Operations Committee will be taking up this issue. This is not a new item. Biggest part comes from positions that become vacant. Budgeted salaries based on people in those positions if they worked a full year. Any efficiencies offset that amount. How much was saved in salaries last year over what was budgeted - between $2.5 and $3 million (modified freeze). Issues are the sheer amount of time it takes to fill a job and there are between 30-40 positions open every day. There was some discussion about the report from the outside consultants back in February that projected less of a drop in equity but a much steeper decline over the next few years.
· Ongoing commitments to employees' post-retirement payments of various kinds have to be booked within the next year. The district plans to hire an actuarial firm to do that analysis.
· Obligations through 2009 plus unused sick leave will be part of notes under the audit in the future as being out there. It is the district's belief that these are notations.
Student Representative advisory vote was aye. Motion carried 6-1 with Ruth Robarts voting no.
8. Other Business
There was no other business.
Recessed at 9:35 p.m. to move to Room 103
Reconvened at 9:39 p.m.
MEETING CONTINUED IN EXECUTIVE SESSION
Previous: 2006-11-06 || Special Meeting - Open Session || Next: 2006-11-20