[00:00:01]
UH, THANK[3. Call Meeting to Order]
YOU FOR JOINING US THIS EVENING.WE HAVE A COUPLE OF ITEMS THAT WE'LL BE ADDRESSING.
UH, THE DATE IS AUGUST 26TH, 2021.
PUBLIC HEARING IS NOW BEING CALLED TO ORDER.
THIS MEETING IS BEING HELD AT THE LANCASTER ADMINISTRATION BUILDING WHERE AUDITORIUM 4 22 SOUTH CENTRE AVENUE.
UH, THE MEETING HAS BEEN POSTED IN ACCORDANCE TO THE TEXAS OPENNESS MEETING ACT.
I WILL NOW TAKE ROLL HONORABLE STEVENSON, SECRETARY MAURICE, HONORABLE DAVIS, MYSELF PRESENT.
AND, UH, MADAM PRESIDENT WILL SHE'S PRESENT.
SHE'S GOING TO BE COMING ON REMOTELY.
SO I'LL BE CONDUCTING THE MEETING TONIGHT, BUT AT THIS POINT WE DO HAVE A QUORUM IN PLACE.
UH, THE AGENDA READS AS FOLLOWS, UH, CALL MEETING TO ORDER CITIZENS COMMUNICATION AND THEN CONVENE PUBLIC HEARING.
UH, ARE THERE ANY CITIZENS COMMUNICATIONS FOR THIS MEETING? OKAY, SO I'LL NOW TURN OVER TO THE PUBLIC
[5. Convene Public Hearing]
HEARING.I'LL HAVE, UH, MS. SHAWNA HUMPHREY COME THROUGH THE LIKE AND, UH, MAKE PRESENTATIONS AND ANSWERING ANY QUESTIONS THAT WE MAY HAVE REGARDING BUDGET.
GOOD EVENING, MADAM PRESIDENT, UH, JOINING US VIRTUALLY DISTINGUISHED TRUSTEES, SUPERINTENDENT PRAYER.
THIS EVENING, I WILL BE BRINGING FORTH, UM, AS PART OF THE REQUIRED PUBLIC HEARING, THE PROPOSED BUDGET FOR THE 2122 FISCAL YEAR FOR THE GENERAL FUND, THE CHILD NUTRITION SERVICES FUND AND THE DEBT SERVICE FUND, AND ALSO, UM, PRESENTATION OF THE TAX RATE THAT WILL BE PROPOSED FOR THE 2021 TAX, UH, SEASON SO, FIRST OF ALL, I WANTED TO HIGHLIGHT, UH, FOR THE PUBLIC AND THE BOARD, SOME OF THE BUDGET ASSUMPTIONS GOING INTO THE FYI 22 BUDGET, UM, YEAR, UH, ONE, THE MAIN THINGS IS OUR PROJECTED ENROLLMENT.
UH, WE'RE GOING CONSERVATIVE THERE WITH 7,105 STUDENTS.
UH, WE'RE PLANNING FOR FUNDING FOR IN-PERSON ATTENDANCE ONLY.
UH, LAST FISCAL YEAR, THERE WERE SOME CONCESSIONS FOR VIRTUAL LEARNING, AND THERE'S BEEN SOME DISCUSSIONS, UM, THAT MAY BE BROUGHT BACK IN THE SPECIAL LEGISLATIVE SESSION.
BUT CURRENTLY AS I'M PRESENTING THIS, UH, BUDGET TO THE BOARD AT ASSUMES, WE'RE ONLY BEING FUNDED FOR IN-PERSON ATTENDANCE.
UM, IF ANYTHING, UH, IN THAT REGARDS CHANGES LATER, WE WOULD OBVIOUSLY BRING IT BACK AND, UH, REQUEST ANY NECESSARY BUDGET AMENDMENTS.
I AM PROJECTING A REFINED AVERAGE DAILY ATTENDANCE OF 6,760 STUDENTS, UH, WHICH IS IN LINE, UM, A LITTLE BIT LESS THAN WHAT, UM, OUR ADA WAS THIS YEAR WHEN THEY ALLOWED, UH, THE VIRTUAL ATTENDANCE.
UH, ONCE AGAIN, BEING CONSERVATIVE IN THAT AREA, UH, WE HAVE BEEN CERTIFIED BY THE DALLAS COUNTY APPRAISAL DISTRICT TO ASSUME A 100% PROPERTY TAX COLLECTION RATE.
SO THAT IS, UH, ONE OF THE ASSUMPTIONS WE HAVE TAKEN AND, UH, WE'RE PROJECTING WITH THE MAINTENANCE AND OPERATIONS TAX RATE OF 1.0 3, 2 9 AND INTEREST IN SINKING TAX RATE OF 0.4, 3 7 5 FOR A TOTAL COMBINED TAX RATE OF 1.4, 7 0 4.
UM, OUR APPRAISED PROPERTY VALUES, UH, THAT WE RECEIVED, UH, FOR LANCASTER ISD WAS 3 BILLION, 597,849,713.
AND THAT, UM, CERTIFIED DOCUMENT WILL ALSO HAS BEEN PRESENTED TO THE BOARD FOR APPROVAL AS PART OF THE CONSENT AGENDA DURING THE REGULAR MEETING, UH, IN OUR WE'RE PROJECTING A STATE COMPTROLLER VALUE OF THE 3.548, AND THAT WILL BE AVAILABLE, UM, IN JANUARY OF 2022.
SO THIS IS THE PROJECTION, AND THESE ARE THE LIST OF ASSUMPTIONS THAT HAVE GONE INTO OUR OWN BUDGET DEVELOPMENT PROCESS.
AS MENTIONED ON THE PREVIOUS, THIS PAGE, THE TAX RATE WE'RE PROPOSING,
[00:05:01]
UH, FOR THE 2021, UH, TAX YEAR.AND ONCE AGAIN, THAT'S THE TAX YEAR, NOT OUR FISCAL YEAR, THE TAX YEAR.
UM, THOSE BILLS GO OUT IN OCTOBER.
SO ONCE THE BOARD APPROVES THE ADOPTION OF THIS TAX RATE, I WILL FORWARD THAT INFORMATION ON TO THE DALLAS COUNTY TAX ASSESSOR'S OFFICE.
AND THEY WILL PREPARE THE TAX BILLS THAT WILL BE SENT OUT TO RESIDENTS.
AND THOSE WILL BE DUE ON JANUARY THE 31ST, UH, 2022.
SO, UM, ONCE THE BOARD APPROVES THIS, AND IF THEY APPROVE IT, THE 1.4704, UH, WILL BE THE RATE THAT IT'S UTILIZED.
AND I KNOW, UM, WE'VE HAD A COUPLE AT THE WORKSHOP AND I'VE DONE AN INFORMATION ITEM AS WELL, UM, AS TO HOW THOSE NUMBERS ARE CALCULATED HERE, JUST KIND OF, IT OUTLINES THE TAX RATE TRENDS, UH, FOR LANCASTER ISD OVER THE LAST SEVERAL YEARS.
SO YOU WILL SEE, UM, YOU KNOW, SINCE Y 19 WE'VE BEEN DECREASING THE TAX RATE A LITTLE BIT AND SLOWLY IT WILL GET, UM, DOWN AND REDUCED TO HOPEFULLY TRUSTEE STEVENSON'S SATISFACTION.
SO WE'LL BE WORKING ON THAT GOING FORWARD.
UM, SO JUST WANTED TO HIGHLIGHT, WE HAVE BEEN DECREASING THE TAX RATE FOR THE LAST SEVERAL YEARS HERE, UM, WHERE SOME OF THE, UH, DISTRICT, UH, PRIORITY CONSIDERATIONS AS WE LOOKED AT THE BUDGET FOR FYI 2122, UM, WE LOOKED AT BEING ABLE TO PROVIDE AN INSTRUCTIONAL AID AND HALL MONITOR FOR THE EARLY COLLEGE HIGH SCHOOL PROGRAM IN ART TEACHER FOR ROLLING HILLS.
UH, WE WANTED TO ADD TWO COMPUTER TEACHERS AT PLEASANT RUN IN WEST MAINE.
UM, SOME DYSLEXIA DIAGNOSTICIANS, UM, AN L S S P INTERN IN OUR SPECIAL ED AREA.
UH, WE WANTED TO TRY TO TACKLE SOME OF OUR CAPITAL IN DEFERRED MAINTENANCE PROJECTS.
UM, BUT AS YOU KNOW, WE'VE HAD A FEW, UM, UNEXPECTED ISSUES COME UP, SO THAT MAY NEED SOME RE PRIORITIZATION IN HIS INFORMATION.
PRICE WE'LL DISCUSS LATER ON AS INFORMATION ABOUT THOSE ITEMS, COME, COME IN, WE MAY NEED TO COME BACK TO THE BOARD AND DO ANY KIND OF, UH, AMENDMENT OR ANYTHING IF NECESSARY.
UH, THE TECHNOLOGY HELP DESK, UH, THE FORENSIC AUDIT THAT THE, UM, DISTRICT THE BOARD HAS REQUESTED, UH, TRANSPORTATION ROUTING AND PARENT TRACKING SYSTEM CONVERSION, UM, AS WELL AS DISTRICT-WIDE COMPENSATION INCREASES, UH, FOR THE STAFF.
SO THOSE WERE THE, UM, PRIORITIES THAT WERE FACTORED INTO THIS YEAR'S BUDGET.
UH, SOME OF THE REVENUE PROJECTION CHALLENGES WE FACED, UM, THIS TIME AROUND IS ONCE AGAIN, AS I MENTIONED BEFORE, THE COMPTROLLER PROPERTY VALUES NOT BEING FINALIZED UNTIL JANUARY, 2022, THOSE VALUES DETERMINED THE AMOUNT OF STATE AID, UH, THAT THE DISTRICT RECEIVES.
AND FOR THOSE OF YOU THAT DON'T KNOW, UM, WE ARE FUNDING FOR THE DISTRICT IS COMPOSED MAINLY OF PROPERTY TAXES AND THEN STATE AID FROM THE TEXAS EDUCATION AGENCY.
AND AS THE RESULT OF HB THREE, THAT WAS PASSED A COUPLE OF YEARS AGO, THERE'S A CAP ON OUR PROPERTY TAX GROWTH.
AND SO THE DISTRICT, I MEAN, THE STATE HAS SAID, YOU KNOW, DISTRICTS, UM, ARE NEGATIVELY IMPACTED BY THEIR CAP, THAT THEY WOULD MAKE UP THE DIFFERENCE IN STATE HATE.
SO THAT'S WHY IT'S KIND OF VERY IMPORTANT, UM, YOU KNOW, ON THE PROJECTIONS, AS FAR AS, UH, THE STATE COMPTROLLER VALUES, UM, ARE CONCERNED.
CAUSE THAT'S HOW WE COME UP WITH OUR STATE AID NUMBER.
UH, WE'VE ALSO HAD CHALLENGES WITH TEACHER VACANCIES, UH, BEING ABLE TO, YOU KNOW, GET ALL OF OUR POSITIONS FIELD, UM, AS WELL AS THE AVAILABILITY OF SUBSTITUTES.
UM, WE'VE DONE SOME, YOU APPROVED THE BOARD APPROVED, UH, AT THE LAST SESSION, I BELIEVE THE INCREASE IN THE SUBSTITUTE COMPENSATION PLAN, UH, HOPEFULLY TO BE ABLE TO, UM, ENTICE IN, UH, PEOPLE TO COME IN AND SERVICE SUBSTITUTES IN OUR DISTRICT.
UH, THE BOARD ALSO RECENTLY APPROVED A NEW SHARICE THIRD PARTY BILLING PROVIDER.
SO, UM, YOU KNOW, JUST KIND OF GOING THROUGH THAT AND, AND WHAT THOSE NUMBERS EVENTUALLY, UM, ENDED UP BEING, UH, AS WELL AS THE ENROLLMENT IN ADA, UH, WITH THE MASS MANDATES, NO MASS MANDATES.
UM, WE HAVE, UH, THROUGH THE FIRST TWO WEEKS, WE ARE SEEING, YOU KNOW, A SLIGHT, UH, DECLINE IN ATTENDANCE.
SO I'M HOPING THAT WE'LL PICK BACK UP.
BUT AS I MENTIONED BEFORE, WE DID GO CONSERVATIVE ON THE ENROLLMENT IN ADA NUMBERS, UM, JUST FOR THAT FACT, BUT NOT BEING ABLE TO ACCURATELY PREDICT WHAT, YOU KNOW, IF OUR STUDENTS WILL SHOW UP OR NOT, UM, AS WELL AS THE IMPACT, UM, OF THE CURRENT SURGE.
AND THAT'S PRETTY EVIDENT, UH, THE IMPACT THAT THAT'S HAVING AROUND THE COUNTY AND THE STATE.
SO THOSE WERE ON THE MAIN, UH, CHALLENGES WE FACE AS WE TRY TO DEVELOP THIS BUDGET, BUT WE DID, UM, TAKE A CONSERVATIVE APPROACH AND PRETTY MUCH PLAN AND HELD IT STEADY AS TO WHERE WE WERE THE YEAR BEFORE
[00:10:01]
ON THE, UH, PROPOSED GENERAL REVENUE.UM, THIS DID NOT CHANGE, UM, AS TO WHAT HAS BEEN PRESENTED TO THE BOARD PREVIOUSLY.
UH, ONCE AGAIN, UH, YOU'LL SEE THE INCREASE IN THE LOCAL REVENUE AND THAT'S, WE HAVE A MORE ACCURATE, UM, INFORMATION AS IT RELATES TO THE PROPERTY TAX VALUES THIS YEAR.
UM, AND SO YOU SEE THE CORRESPONDING DECREASE IN THE STATE REVENUE IS WE'RE ASSUMING WE WILL GET, UM, YOU KNOW, ALL OF OUR FUNDS FROM THE PROPERTY TAX, UH, PORTION THAT WE DID NOT ANTICIPATE LAST YEAR, UM, ON THE FEDERAL REVENUE SIDE, UH, THOSE PROJECTIONS ARE PRETTY MUCH STAYING FLAT.
UH, SO THE ADOPTED, UH, REVENUE BUDGET LAST YEAR WAS A 74.4.
AND I WILL BE BRINGING AN AMENDMENT, UH, TO THE BOARD TO DO THE FINAL BUDGET AMENDMENTS, TO ALIGN THAT, UH, ADOPTED BUDGET WITH OUR ACTUALS.
SO YOU'LL SEE THAT LATER ON, BUT I DID WANT TO HIGHLIGHT, UH, THE PROPOSED BUDGET WE'RE GOING WITH FOR FYI 22 IS AROUND A MILLION DOLLAR INCREASE IN PROJECTED REVENUES.
AND THAT IS DRIVEN, LIKE I SAID, BY THE PROPERTY TAX, A MORE ACCURATE NUMBER THERE, UH, THIS YEAR THAN WHAT WE HAD LAST YEAR NEXT IS OUR PROPOSED GENERAL FUND EXPENDITURE BUDGET.
AND SO THAT'S A SIDE-BY-SIDE, UM, YOU KNOW, THE BUDGET LAST YEAR, CURRENT IN THE, IN WHAT WE'RE PROPOSING THIS YEAR.
SO WE'RE LOOKING AT A $3 MILLION INCREASE THERE.
AND THE MAJORITY OF THAT IS DRIVEN BY THE ASSUMPTION THAT THE BOARD IS GOING TO APPROVE, UH, SALARY INCREASES, UH, FOR THE EMPLOYEES.
AND I'VE ALSO HIGHLIGHTED, UM, ON THE SIDE WHERE THERE WERE ANY CHANGES THAT WERE GREATER THAN 7%, I BELIEVE IS WHAT I USED AND JUST KIND OF NOTED, UM, YOU KNOW, WHAT WAS DRIVING THOSE PARTICULAR, UH, INCREASES.
AND LIKE I SAID, THIS IS THE SAME THAT WAS PRESENTED IN THE BUDGET WORKSHOP.
UM, SO NOTHING HAS CHANGED SINCE THAT, UH, PRESENTATION ON THE PROPOSED, UH, DEBT SERVICE REVENUE SIDE, UH, HERE, UM, WE'RE PROJECTING AN INCREASE, UH, ONCE AGAIN, IN THE PROPERTY TAX REVENUE ON THE INTEREST IN SINKING SIDE, UM, YOU KNOW, ONCE AGAIN, DUE TO MORE ACCURATE, UH, PROPERTY VALUATIONS AND ON THE STATE REVENUE SIDE, THAT'S STAYING CONSISTENT ON THE, UM, WELL REVENUE SIDE, THE CHANGE, THE EXTRA MONEY, UM, THAT WILL BE COLLECTED THERE, WE'RE PLANNING TO USE TO PAY DOWN OUR DEBT.
AND SO, UM, THERE'S A SERIES OF DOCUMENTS, UH, THAT WE'VE SUBMITTED TO THE BOARD FOR SIGNATURE, AND THAT WILL ALSO, UM, BE PRESENTED AS PART OF THE CONSENT AGENDA, THE CALLABLE PORTION OF THE 2015 A BONDS.
UH, YOU CAN EITHER, YOU KNOW, REFUND, WHICH IS EQUIVALENT TO A REFINANCE, OR YOU CAN PREPAY AND, UH, FROM DISCUSSIONS, UH, WITH OUR ADVISORS, THE PRE-PAYMENT IS THE LESS COSTLY, UH, PROCESS TO ACHIEVE BASICALLY THE SAME RESULT, WHICH IS THE PREPAYMENT OF DEBT AND, UM, APPROXIMATELY $2 MILLION IN SAVINGS AND FUTURE INTEREST FOR THE DISTRICT.
AND SO THAT ALSO REQUIRES A SPECIAL PROCESS.
SO I'M GOING OVER THE, UH, TAX RIGHTS HERE AND THE PUBLIC HEARING, BUT THERE'S ALSO A RESOLUTION THAT HAS TO GO ALONG WITH THAT.
IT HAS TO BE PRESENTED, UM, AS PART OF THE WHOLE PROCESS.
SO THAT HAS BEEN, UH, SUBMITTED TO THE BOARD.
AND THAT'S JUST FROM OUR BOND, UH, UH, HOLDERS SAYING THAT, YOU KNOW, WE WILL BE PLANNING TO PREPAY THESE FUNDS, UH, IN FEBRUARY OF 2022.
AND THERE WAS A QUESTION AS TO WHY FEBRUARY, AND WE DO OUR ANNUAL DEBT PAYMENTS.
WE MAKE A PAYMENT IN FEBRUARY AND ONE IN AUGUST OF EVERY YEAR ON THE 15TH, AND THOSE ARE THE SET DATES.
AND SO AS FAR AS PREPAYING THE DEBT, WE'RE DOING IT IN FEBRUARY BECAUSE THAT ALIGNS WITH OUR NORMAL, UH, REGULARLY SCHEDULED PAYMENT.
AND ALSO IT IS AFTER THE TAX COLLECTION DEADLINE OF JANUARY THE 31ST.
SO AT THAT PARTICULAR POINT IN TIME, YOU HAVE TIME TO ASSESS IF COLLECTIONS WERE 100% HOW ACCURATE YOUR PROJECTION WAS, AND IF YOU WILL HAVE THE FUNDS, UH, TO BE ABLE TO PREPAY THAT PARTICULAR AMOUNT OF DEBT.
AND SO, UM, AS YOU CAN SEE HERE, WE'RE EXPECTING THE 3.3, UM, INCREASE OVER LAST YEAR IN OUR DEBT PAYMENTS, UH, AROUND 13 OR $14 MILLION, DEPENDING ON, UH, IF THE BOARD, UH, MOVES FORWARD WITH APPROVING THE REPAYMENT OF THE DEBT ON OUR CHILD NUTRITION SERVICES SIDE, UM, OUR REVENUE BUDGET HERE.
UM, ONCE AGAIN REMAINS THE SAME AS WAS PRESENTED, UH, PREVIOUSLY AT THE BUDGET WORKSHOP, I DID INCREASE, UH, THE LOCAL REVENUE, UH, PORTION JUST BECAUSE THE KIDS ARE BACK IN SCHOOL IN THE EVENT THEY WANT TO BUY, UM, YOU KNOW, EXTRA GOODIES ABOVE AND BEYOND THE FREE LUNCH THAT IS PROVIDED TO THEM.
UH, THAT IS WHAT THAT INCREASE IS DUE TO, UH, THE STATE REVENUE FOR THE COMMODITIES AND THINGS AROUND THE SAME, UH, ON THE FEDERAL REVENUE SIDE, I DID, UM, REDUCE THAT PROPOSED BUDGET.
WE ARE CURRENTLY ON THE SEAMLESS SUMMER OPTION,
[00:15:01]
UH, WHICH IS WE'VE BEEN FEEDING EVERY CHILD, UH, IN THE SUMMER.AND IT WAS ANY STUDENT IN, DURING THE PANDEMIC, ANY STUDENT THAT WAS, UM, 18, THEY DIDN'T HAVE TO LEAVE IN THE DISTRICT, COULD EAT FREE, BUT WHAT WE'LL BE DOING, UH, YOU KNOW, THIS SCHOOL YEAR IS WE'RE ONLY DOING THAT FOR THE LANCASTER STUDENTS.
SO IT'S NOT LIKE IT WAS PREVIOUSLY WHERE ANY PERSON COULD COME AND THEY WOULD GET ON A FREE, FREE LUNCH OR MEAL.
THIS IS, UM, SOLELY FOR THE LANCASTER ISD STUDENTS, UH, WHICH IS WHY WE'RE SHOWING THE REDUCTION, UH, HERE.
AND I WILL ALSO, UM, HIGHLIGHT ON THE NEXT SLIDE, UH, YES, ON THE PROPOSED BUDGET SUMMARY HERE, YOU CAN SEE, I WANTED TO POINT OUT THE ONE ITEM THAT DID CHANGE FROM WHAT WAS PREVIOUSLY PRESENTED TO THE BOARD.
AND IT WAS IN RELATION TO THE CHILD NUTRITION SERVICES BUDGET.
IF YOU SEE, UM, THE EXPENDITURE PIECE INCREASED TO THE 3.6, TWO FIVE, CREATING A $1 MILLION REDUCTION, UM, IN THE FUND BALANCE FOR THE CHILD NUTRITION SERVICES FUND.
SO THAT DID CHANGE FROM THE PREVIOUS PRESENTATION I WANTED TO HIGHLIGHT TO THE BOARD, UM, WHAT WAS DRIVING THAT ON OUR FOOD SERVICE, UM, AREA WE ARE NOT ALLOWED TO HAVE IN EXCESS OF THREE MONTHS, UH, FIND A BALANCE IN THE CHILD NUTRITION SERVICES FUND, OR YOU WILL BE, UM, DANG DOWN YOUR AUDIT.
AND WE RECEIVED NOTIFICATION THIS MONTH, UH, FROM THE TEXAS DEPARTMENT OF AGRICULTURE THAT WE'LL BE RECEIVING, UH, FUNDS IN EXCESS OF $500,000 LIKE A REBATE OR, UM, SOME ASSISTANCE, UH, AS IT RELATES TO THE CARE IS FUNDING.
AND SO BECAUSE OF THE LATE, UM, NOTICE OF THOSE FUNDS AND WE STILL HAVEN'T RECEIVED THEM YET, BUT WE WILL NEED TO, UM, ACCRUE THAT REVENUE IN THIS FISCAL YEAR.
UH, WE WILL NOT HAVE AN OPPORTUNITY TO SPEND THOSE FUNDS, SO THAT PUTS US, UM, OVERALL EXCESS FUND BALANCE.
AND SO AT THE END OF LAST YEAR, WE HAD AROUND 670,000 AND CHILD NUTRITION FUND BALANCE.
SO WITH THE ADDITION OF THOSE ADDITIONAL FUNDS, THAT WOULD PUT US IN EXCESS.
SO I'VE JUST WENT AHEAD AND HAD A MILLION DOLLARS, UM, YOU KNOW, BUDGETED HERE.
AND WHAT WE PLAN TO DO IS TO GET WITH OUR STUDENT SERVICES, UH, DIRECTOR.
AND ONCE THAT PERSON IS NAMED IN CONJUNCTION WITH SEDEXO, OUR THIRD PARTY, UM, FOOD MANAGEMENT COMPANY, AS WELL AS OUR MAINTENANCE AND OPERATIONS, AND THEY WILL DEVELOP A PLAN FOR, UM, IMPROVEMENTS, ANY EQUIPMENT, SERVING LINES, UH, SUPPLIES AND THINGS THAT'S, UH, RELATES, UH, TO OUR CAFETERIAS.
AND SO THAT'S WHAT THOSE FUNDS WOULD BE UTILIZED FOR.
UH, AND WHEN YOU'RE DEALING WITH THE FEDERAL GOVERNMENT, THAT IS A PROCESS THAT REQUIRES, YOU KNOW, QUOTES AND, UH, SUBMITTING THAT TO THE DEPARTMENT OF AGRICULTURAL FOR PRE-APPROVAL BEFORE WE EVEN BRING IT TO THE BOARD.
SO WHATEVER IT IS THEY DECIDE TO UTILIZE THOSE FUNDS FOR WILL BE BROUGHT BACK, UH, IN FRONT OF THE BOARD.
SO I DID WANT TO HIGHLIGHT THAT CHANGE FROM THE PREVIOUS PRESENTATION, AND I WILL TAKE ANY QUESTIONS AT THIS TIME.
THANK YOU VERY MUCH, MS. PUMPER FOR THAT DETAILED PRESENTATION.
UH, THIS IS A, UH, WELL, THE HEARING.
SO I GUESS I WOULD LIKE TO TAKE ANY QUESTIONS FROM THE PUBLIC FIRST, AND THEN WE WILL GO WITH THE BOARD.
ARE THERE ANY QUESTIONS PERTAINING TO, WHAT'S BEEN PRESENTED AS RELATES TO THE BUDGET OR THE TAX RATE AT THIS TIME? OKAY.
HEARING OR SEEING NOW, I NOW GO TO MY COLLEAGUES ON THE DIES ALSO FOR RECORD.
I COULD NOTE THAT, UH, PRESIDENT MARIAN HAMILTON IS, UH, ATTENDING THE, UH, REMOTELY AND SHE ATTENDED AT SIX, 13:00 PM AND HONORABLE SMITH ENTERED AT 6:20 PM.
SO AT THIS POINT IT'S OPEN FOR ANY THAT'S FINE.
CAN YOU GO BACK TO THE SLIDE WHERE YOU SHOW THE HISTORICAL TESTS? RIGHT, RIGHT.
NOW YOU SAID THAT WE'VE SEEN FOR YOUR PROPOSED TAX RATE.
IN THE LAST YEAR, WE SEE A DECREASE IN THE TAX RATE, BUT OVER THE YEARS WE'VE SEEN THE TAX RATES STAY THE SAME HOUSING VALUES.
BEN HOUSING VALUES HAVE BEEN INCREASING.
SO WHAT HAS BEEN A NET EFFECT ON THE TAXPAYER? UH, AS FAR AS THE SCHOOL DISTRICT CAN CONTROL, WE'VE BEEN LOWERING OUR TAX RATE, BUT YOUR APPRAISED VALUE HAS BEEN GOING UP, BUT THAT IS NOT, UM, ANYTHING TO DO WITH THE DISTRICT.
WELL, THE DISTRICTS THAT'S THE TAX RATE.
THE FACT IS THAT OVER THE LAST SIX OR SEVEN YEARS, THE TAX RATE IS EXPLODED AS AKIN TO SOMETHING LIKE GENTRIFICATION.
IF YOU LIVE HERE, ESPECIALLY IF YOU'VE BEEN IN A DISTRICT FOR 20, 25, 30 YEARS, THE HOUSING VALUE HAS DOUBLED.
AND RIGHT NOW WHAT YOU PAY IN AN ESCROW FOR TAXES AND INSURANCE IS MORE THAN YOUR ORIGINAL HOUSE PAYMENT.
IF YOU'RE SOMEBODY WHO'S OUT ON, UH,
[00:20:02]
WHO'S ON A FIXED INCOME, THAT BECOMES A REAL HARDSHIP, ESPECIALLY IF YOU DON'T HAVE AN ESCROW AND YOU GOT TO WRITE THAT CHECK EVERY MONTH, THE CHECK LIKE DOUBLES.SO LET'S LOOK AT THE TAX RATE FOR EVERY YEAR.
IS IT TRUE THAT THOSE NUMBERS ARE THE ACTUAL HIGHEST TAX RATES? YOU CAN LET HIM FOR US? YES.
UM, AND ACTUALLY WE COULD GO HIGHER ON THE DEBT SIDE BECAUSE THE TAXPAYERS HAVE ALREADY APPROVED TO GO UP TO 50 CENTS.
SO, UM, YOU KNOW, DEPENDING ON WHAT THE DEBT SITUATION IS, THERE IS THE ABILITY TO GO UP TO 50 CENTS ON THE TEXT RATE, AS FAR AS THE DEBT SIDE IS CONCERNED, BUT ON THE M AND O SIDE, THAT IS PRETTY MUCH SET BY THE STATE AS A RESULT OF THE HB THREE LEGISLATION.
SO IT SEEMS IF YOU SET THE TAX RATE AS HIGH AS YOU CAN, AND THEN THE BUDGET FOR THE EXACT SAME AMOUNT OF FOLLOWERS, IS THAT A FAIR, HOW DOES THE BUDGET COME OUT TO BE EXACTLY WHAT THE HIGHEST TAX RATE IS? EVERY YEAR PAYERS HAVE ALREADY APPROVED FOR THE MAINTENANCE AND OPERATIONS TAX, RIGHT? NOT TALKING ABOUT MAINTENANCE AND OPERATION.
I'M TALKING ABOUT THE OTHER SIDE, I'M TALKING ABOUT THE TAX RATE.
THE TAX RATE IS A COMBINATION OF THE MAINTENANCE OPERATION, THE MAINTENANCE AND OPERATIONS, UH, WHEN THE TAX RATIFICATION ELECTION WAS PASSED IN 2018, THAT WAS APPROVED AT A DOLLAR 17.
SO THE VOTERS HAVE ALREADY APPROVED THAT.
AND I CAN'T, THAT HAS BEEN DECREASING EVERY YEAR.
YOU SEE, IT WENT FROM A DOLLAR 17 DOWN TO A DOLLAR 60.
THE ONLY REASON THAT DECREASE WAS BECAUSE HOUSING VALUES HAVE BEEN GOING UP SO MUCH AND YOU COULDN'T GET ANYTHING.
IT DECREASED AS A RESULT OF HB THREE AND THE TAX COMPRESSION LAWS THAT WERE PASSED.
AND THEY PASS THOSE LAWS BECAUSE THE HOUSING VALUES HAVE GONE UP TO GIVE THE TAXPAYER BREAK.
THE FACT IS THAT YOU DIDN'T LOWER THE TAX RATE JUST BECAUSE YOU COULD, BECAUSE YOU HAD TO SARAH, WE HAVE STILL COLLECTS MORE MONEY, RIGHT? THE BILLS TO PAY IN THE DISTRICT.
SO LOWER IMMUNE TEXTS WERE ABLE TO PUT US NOT ABLE TO MEET OUR OBLIGATIONS.
GO TO GO TO THE SLIDE WHERE YOU SHOW THE ACTUAL, UH, 20, 21, THAT ONE.
SO YOU'RE SAYING THAT THE TAX RATE WENT BACK DOWN, BUT IF YOU LOOK AT THE FISCAL YEAR 22 PROPOSED BUDGET, 37 MILLION LOCAL REVENUE FOR 21, IT'S 29 MILLION.
THAT'S NOT THE ACTUAL, WHAT DO YOU MEAN? THE ADOPTED BUDGET IS 29 MILLION, 8 71, 6 98.
THE ACTUALS ARE MORE IN LINE WITH WHAT I'M PROPOSING FOR THE BUDGET TO BE AN
YOU'RE TELLING ME THE ACTUAL TAXES, AREN'T GOING UP 26.75%.
THE COLLECTION, THE ACTUAL AMOUNT WE'RE RECEIVING IS GOING UP COMPARED TO WHAT WAS BUDGETED LAST YEAR.
IT WAS BUDGETED LOW BECAUSE THE AMOUNT OF THE PROPERTY VALUE WHEN WE GOT OUR CERTIFIED APPRAISALS WAS SIGNIFICANTLY LOW BECAUSE THERE WAS OVER $600 MILLION STILL IN PROPERTY TAX RESOLUTION DISPUTE IS THAT THE TAX PAYERS ARE STILL GONNA PAY 7 MILLION, $989,664 MORE THAN THEY CORRECT SIR, TO THE ACTUALS.
THIS IS A BUDGET COMPARED TO WHAT I'M PROPOSING.
THE BUDGET I'M PROPOSING FOR
AND IF YOU LOOK, UM, IN YOUR AGENDA ITEMS, I'M BRINGING FORTH A BUDGET AMENDMENT LATER ON AT THE ACTUAL MEETING THAT WILL SHOW YOU, UH, WHAT IT'LL BE ALIGNING WITH THE ACTUAL COLLECTIONS, WHICH IS WHAT, UM, THE PROPOSED BUDGET ALIGNS WITH ACTUALS.
WHAT YOU'RE TELLING ME IS THE TAXPAYERS ARE NOT BEING ASKED FOR AN ADDITIONAL, ALMOST $8 MILLION.
THEY'RE NOT BEING ASKED WHERE I'M BUDGETING, I'M BUDGETING THE 2908 71, 6 98.
SO DON'T BELIEVE MY LION EYES, ANDREW.
YOU HAVE YOUR NOTICE OF PUBLIC MEETING TO DISCUSS A BUDGET AND PROPOSE TAX RATE THE NOTICE.
CAN WE SEE THAT PLEASE? THE ONE THAT'S THE ONE THAT YOU POSTED IN THE FOCUS DAILY NEWS? UH, YES.
THAT SHOULD BE ON OUR WEBSITE.
IT COULD ALSO BE FOUND IN THE BOARD MINUTES FOR THE JUNE MEETING BECAUSE OF WHAT WAS POSTED AS WHAT THE BOARD VOTED TO POST BACK AT THE JUNE OF THE BOARD MEETING.
SO, UM, IF YOU'RE ABLE TO PULL
[00:25:01]
UP THE JUNE BOARD MEETING, I BELIEVE IT WAS, IT'LL BE THERE AS WELL.AND IT SHOULD MATCH WHAT'S ON THE NOTICE.
JUNE 25TH, UH, THE REGULAR BOARD MEETING.
SO I GUESS THE ATTACHMENTS THAT GO ALONG WITH IT, REQUIRED POSTINGS, UH, THE NOTICE OF PUBLIC MEETING, DISCUSS BUDGET AND PROPOSED TAX RATE.
I JUST WANTED TO ASK YOU A COUPLE QUESTIONS ABOUT THIS.
FIRST OF ALL, HERE, YOU SHOW THE MAINTENANCE TAX RATE AND THE SCHOOL DEBT SERVICE TAX RATE, AND BOTH OF THOSE ADD UP TO LIKE 1.5, FOUR, CORRECT.
IS THAT CORRECT? THAT'S CORRECT.
THAT'S WHAT THE BOARD APPROVED TO BE, AS I WAS SHOWING.
IF YOU GO BACK TO THE JUNE PRESENTATION THAT WE POSTED ON THE NOTICE, THE MAXIMUM ALLOWED RATE, BECAUSE THAT IS NOT THE MAXIMUM ALLOWED RATE.
WHAT'S THE MAXIMUM ALLOWED, RIGHT? AT THAT TIME, BEFORE IT WAS APPROVED BY TEA, THAT WAS THE MAXIMUM ALLOWED TAX RATE THAT WE COULD TAKE.
AND THEN ONCE WE SUBMIT IT, YEAH, THERE'S A LOT OF TAX RATE FOR THIS FISCAL YEAR AND NOT BEEN DETERMINED.
THAT IS WHAT IT WOULD BE UNTIL WE'VE GOT APPROVAL FROM THE TEXAS EDUCATION.
IF YOU COULD SCROLL DOWN A LITTLE BIT, PLEASE, A LITTLE MORE, A LITTLE MORE RIGHT HERE, WHERE IT SAYS RATE TO MAINTAIN THE SAME LEVEL OF OPERATIONS AND PAY DEBT SERVICE.
CAN YOU EXPLAIN THOSE NUMBERS TO ME? CAUSE THAT'S THE ONE.
DO YOU WANT ME TO EXPLAIN MAINTENANCE OPERATIONS? SECOND LINE 1.1782 PLUS 4.4, 3 0 7.
THOSE THOSE NUMBERS MAKE NO SENSE THAT THOSE ARE THE ACTUAL NUMBERS.
THOSE ARE NOT THE ACTUAL NUMBERS.
THAT'S THE MAXIMUM RATE BECAUSE WE HAVE TO PUT THE MAXIMUM ALLOWED TAX RATE THAT WE ARE POSSIBLE THAT WE CAN CHARGE BECAUSE IF IT COMES BACK LOWER OR ANY DIFFERENT, IF IT COMES BACK HIGHER, WE HAVE TO REPOST THE NOTICE.
YOU CAN ALWAYS GO LOWER, BUT YOU CANNOT GO HIGHER.
SO THAT'S WHY THIS IS, THIS WAS DONE WAY IN JUNE BEFORE THE PROPERTY TAX AVAIL AVAILABLE.
INFORMATION IS NOT AVAILABLE UNTIL JULY 25TH, BUT BY LAW, WE HAVE TO GO IN JUNE AND BRING THE INFORMATION TO THE BOARD.
SO THAT SAYS WHAT I WAS MENTIONING TO YOU BEFORE THE MAXIMUM ALLOWED TAX RATE FOR INTEREST IN SINKING IS 50 CENTS.
AND THAT'S WHAT WAS PLACED ON THE BOARD ON THE, UH, NOTICE AS WELL AS, UH, THE MAXIMUM RATE, UH, FOR THE MAINTENANCE AND OPERATIONS PIECE.
I'VE BEEN LOOKING AT A LOT OF THESE NOTICES FROM OTHER DISTRICTS AND NOBODY POSTS GHOSTS NUMBERS IN THEIR NOTICE.
ARE THOSE, THE DISTRICTS ARE THOSE DISTRICTS, JUNE 30TH YEAR ENDS OR AUGUST 31ST.
I HAVEN'T THE SLIGHTEST IDEA, BUT THEY POST THEIR NOTICE 10 TO 30 DAYS BEFORE THIS MEETING.
THEY WILL NOT HAVE RECEIVED THEIR INFORMATION UNTIL JULY 25TH.
SO, YES, IF YOU DO HAVE ANY FURTHER QUESTIONS OR WANT TO MEET, WE CAN DISCUSS THAT FURTHER.
UM, BUT IF YOU WANT TO GO BACK TO THE BOARD MINUTES AS WELL, YOU'LL SEE WHERE THEY BOARD APPROVED THESE, UH, NUMBERS TO BE POSTED.
OTHERWISE I WOULD'VE POSTED MORE, UM, CLOSER TO THE ACTUAL, UM, THAT IS WHY WHEN THOSE NUMBERS CAME IN, WE DID HAVE A PRESENTATION HERE TO THE BOARD TO GO OVER THAT.
SORRY, I JUST DON'T UNDERSTAND WHERE THE ALLIANCE IS.
POST THE MAXIMUM RATE AND YOU POST SOMETHING THAT'S COMPLETELY DIFFERENT FROM THE MAXIMUM RATE, HOW THAT'S ALLOWED.
THAT IS THE MAXIMUM RATE AT THAT PARTICULAR POINT IN TIME, SIR.
THIS IS GETTING JUST A PUBLIC HEARING.
WE'LL GO THROUGH THIS AGAIN DURING OUR BOARD MEETING, AND THEN YOU CAN FRAME SOME ADDITIONAL QUESTIONS THEN, UM, WITH STEPHENSON, IF YOU DON'T MIND.
UH, SO ARE THERE ANY ADDITIONAL QUESTIONS BY OTHER TRUSTEES ON THIS PUBLIC HEARING? OKAY.
THANK YOU, MS. PAWN FOR, FOR YOUR
[00:30:01]
PRESENTATION.AND AT THIS POINT, IF THERE ARE NO QUESTIONS FROM THE COMMUNITY, I'M GOING TO CLOSE THE PUBLIC HEARING AT 6:39 PM.