Jun 03, 2025 Budget Meetings

[00:00:06]

GOOD EVENING. IT IS 5:30 P.M, AND THE BOARD MEETING BUDGET WORKSHOP OF THE ROUND ROCK INDEPENDENT SCHOOL DISTRICT TRUSTEES IS CALLED TO ORDER.

[A. CALL TO ORDER]

PLEASE STAND FOR THE PLEDGE OF ALLEGIANCE AND THE TEXAS PLEDGE.

[C. PUBLIC COMMENTS TO AGENDA ITEM D, E AND F ONLY D.]

PUBLIC COMMENTS. SO AT EACH BOARD MEETING, THE BOARD WILL SET ASIDE TIME TO AFFORD THE GENERAL PUBLIC AN OPPORTUNITY TO SPEAK ON ITEMS ON THE AGENDA.

WE ASK THAT CONCERNS OR COMPLAINTS REGARDING SPECIFIC INDIVIDUALS NOT BE RAISED IN THIS PUBLIC FORUM. SPECIFIC CONCERNS ABOUT EMPLOYEES OR FORMER EMPLOYEES SHOULD BE CONSIDERED SEPARATELY ACCORDING TO APPLICABLE BOARD POLICIES.

THE BOARD REQUESTS THAT COMMENTS, WHETHER POSITIVE OR NEGATIVE, BE COURTEOUS AND RESPECTFUL. I WOULD LIKE TO REMIND THE AUDIENCE AND THE VIEWERS THAT THE COMMENTS OF THE SPEAKERS REFLECT THEIR OWN POSITIONS OR OPINIONS.

AS A REMINDER, THE BOARD ADOPTED AN ANTI-HATE RESOLUTION ON JANUARY 20TH, 2022, WHERE THE BOARD REAFFIRMED ITS COMMITMENT TO THE WELL-BEING AND SAFETY OF ALL PEOPLE, REGARDLESS OF RACE, COLOR, NATIONAL ORIGIN, RELIGION, SEX, GENDER IDENTITY.

GENDER EXPRESSION, SEXUAL ORIENTATION, DISABILITY, AGE, OR POLITICAL BELIEFS, AND STANDS AGAINST SPEECH THAT INCITES HATRED AND VIOLENCE TOWARDS ANY PERSON. PLEASE NOTE THAT WHILE THE PUBLIC DOES HAVE THE RIGHT TO SPEAK, THAT RIGHT IS NOT UNLIMITED.

PER TEXAS PENAL CODE 38.13, 42.01, 42.02 AND 42.05, AND TEXAS EDUCATION CODE 37.105.

NO AUDIENCE MEMBER OR SPEAKER WILL BE PERMITTED TO ENGAGE IN ANY CONDUCT THAT IS DISRUPTIVE OR THREATENING TOWARDS ANY SPEAKER OR ANOTHER PERSON, OR TO VIOLATE THE PRIVACY RIGHTS OF ANOTHER PERSON.

THE BOARD SHALL NOT TOLERATE DISRUPTION OF THE MEETING BY MEMBERS OF THE AUDIENCE. IF, AFTER AT LEAST ONE MORE INDIVIDUAL WARNING FROM THE PRESIDING OFFICER, ANY INDIVIDUAL CONTINUES TO DISRUPT THE MEETING BY HIS OR HER WORDS OR ACTIONS, THE PRESIDING OFFICER WILL REQUEST ASSISTANCE FROM LAW ENFORCEMENT OFFICIALS TO HAVE THE INDIVIDUAL REMOVED FROM THE MEETING. THE BOARD MAY NOT DISCUSS OR ACT UPON ANY MATTER THAT IS NOT LISTED UNDER THE ACTION ITEM PORTION OF THE AGENDA.

THEREFORE, BOARD MEMBERS MAY NOT DISCUSS THE COMMENTS OF THE SPEAKERS. PLEASE UNDERSTAND THE LACK OF RESPONSE FROM BOARD MEMBERS DOES NOT INDICATE AGREEMENT OR APPROVAL OF THE COMMENTS. EACH SPEAKER WILL BE GIVEN TWO MINUTES TO ADDRESS THE BOARD.

TRUSTEE MARKUM, VICE PRESIDENT OF THE BOARD, WILL BE THE DESIGNATED TIMEKEEPER.

THE FIRST SPEAKER IS TAMMY CONRAD, SPEAKING AS A ROUND ROCK ISD EMPLOYEE.

YOU ARE A RESIDENT OF ROUND ROCK. YOU'RE SPEAKING ON D1 REPRESENTING EDUCATION ROUND ROCK.

THANK YOU. HAPPY SUMMER EVERYONE. WE ARE PLEASED THAT EDUCATION ROUND ROCK WITH THE INCREASES FOR THE EXPERIENCED TEACHERS THAT CAME OUT OF SENATE BILL TWO.

I'M ONE OF THOSE PEOPLE THAT WILL BENEFIT FROM THAT, AND THAT'S GREAT, BUT ON THE OTHER HAND, GIVING ONLY 1% TO OTHER EMPLOYEES WHO SUPPORT OUR STUDENTS IS PAINFUL AND NOT MUCH OF AN INCENTIVE TO STAY IN THE DISTRICT, ESPECIALLY FOR THOSE HOURLY EMPLOYEES ON THE LOWEST END OF THE PAY SCALE.

IF YOU'RE ONLY MAKING $16 AN HOUR, 1% IS A LOT DIFFERENT THAN WHAT SOMEONE MAKING CLOSER TO THE TOP OF THE SCALE IS GOING TO END UP WITH, WELL, EVERYONE DESERVES AN INCREASE. SO WE ARE ASKING WHAT ABOUT CONSIDERING A 2 TO 3% INCREASE FOR THOSE AT THE BOTTOM OF THE SCALE? THESE ARE THE EMPLOYEES WHO WORK WITH OUR STUDENTS EVERY DAY, AND MAKE IT POSSIBLE FOR TEACHERS TO DO THEIR JOBS MORE EASILY AND ARE MORE GIVE MORE SUPPORT TO OUR STUDENTS. WHY WILL THESE EMPLOYEES STAY IN PUBLIC EDUCATION IF THEY CAN GET A JOB IN FAST FOOD FOR MORE MONEY? WHY WILL THEY STAY IF WE DON'T HAVE IN WRITING DUE PROCESS TO ENSURE THAT THEY ARE ALWAYS TREATED FAIRLY, NO MATTER WHO THEY WORK FOR OR WHAT DEPARTMENT THEY WORK IN? THIS IS AN OPPORTUNITY TO SHOW THAT WE BELIEVE IN THE CONCEPT OF BUDGETS BEING OUR MORAL COMPASS, AND THAT WE BELIEVE IN THE VALUE OF ALL OF OUR STAFF.

THANK YOU FOR YOUR CONSIDERATION. THANK YOU. NEXT WE HAVE CHRISTY EVANS, ROUND ROCK ISD EMPLOYEE.

YOU ARE ROUND ROCK ISD RESIDENT. SPEAKING ON AGENDA ITEM E ONE.

THANK YOU FOR ALLOWING ME TO SPEAK AND I WANTED TO SPEAK ON A SIMILAR TOPIC AND ASK YOU AS YOU CONSIDER SALARIES, TO CONSIDER A GROUP OF PEOPLE WHO I ACTUALLY FALL INTO, AND THAT'S PEOPLE WHO LEAVE THE CLASSROOM TO STEP INTO LEADERSHIP ROLES AS ASSISTANT

[00:05:02]

I'VE SPOKEN BEFORE THIS BOARD BEFORE TO SAY WHEN I BECAME AN ELEMENTARY ASSISTANT PRINCIPAL, MY PAY WENT UP ABOUT $2 A DAY. I THINK $2.13 TO BE EXACT.

I TOOK ON A LOT MORE HOURS, A LOT MORE RESPONSIBILITY AND STRESS WITHOUT BEING COMPENSATED APPROPRIATELY.

BECAUSE WHAT HAPPENS TO TEACHERS LIKE ME WHO CHOOSE TO STAY IN THE CLASSROOM LONGER AND WAIT UNTIL WE'VE BEEN IN THE PROFESSION FOR A WHILE TO STEP INTO LEADERSHIP ROLES? WE SUFFER BY HAVING LOWER PAY INCREASES THIS YEAR WHEN I DID THE MATH.

I MAKE ABOUT $10 MORE A DAY THAN I WOULD IF I WAS TEACHING.

MY SALARY IS LARGER BECAUSE I WORK A 12 MONTH SALARY, BUT PER DAY, YOU KNOW.

THAT'S NOT BAD, BUT WITH THE PROPOSED RAISES FOR TEACHERS VERSUS 1%.

FOR ME, I WOULD ACTUALLY MAKE $15 LESS PER DAY NEXT YEAR THAN IF I WAS IN THE CLASSROOM, AND I'M NOT THE ONLY ONE THIS APPLIES TO.

THIS APPLIES TO ASSISTANT PRINCIPALS, MANY COACHES IN OUR DISTRICT AS WELL AS EMPLOYEES ACROSS THE BOARD.

AT THE SAME TIME, I'VE BEEN IN CLASSROOMS WITH TEACHERS ALL YEAR.

COACHING THEM ON HOW TO INTERPRET DATA, HOW TO IMPROVE THEIR TEACHING SO THAT THEY CAN DO THINGS LIKE QUALIFY FOR TIA, WHICH IS FABULOUS FOR THEM, BUT THOSE OF US IN LEADERSHIP POSITIONS, NONE OF THAT APPLIES TO US.

I'VE WATCHED AS MANY OF MY COLLEAGUES ARE LEAVING THE DISTRICT AND LEAVING PUBLIC EDUCATION ALTOGETHER TO GO MAKE MORE MONEY ELSEWHERE, AND I'M LEFT LIKE THEM, WONDERING IF THAT'S THE ONLY OPTION FOR ME.

THANK YOU. THANK YOU. JENNIFER KUHN, PLEASE CORRECT ME IF I MISPRONOUNCED YOUR NAME.

YOU ARE ROUND ROCK ISD EMPLOYEE. YOU ARE ROUND ROCK ISD RESIDENT.

SPEAKING FOR YOURSELF ON AGENDA ITEM D1. THANK YOU, AND IT'S KUHN, BUT YOU WERE REALLY CLOSE.

THANKS. SO IN REVIEWING THE COMPENSATION PLAN, I WONDER HOW MUCH INPUT CAME FROM ROUND ROCK EMPLOYEES.

THE STATE RECOMMENDATION, WHICH BEGAN IN THE TEACHER VACANCY TASK FORCE, FOR WHICH I WAS A MEMBER AND WAS ABLE TO SERVE FOR THE GOVERNOR.

TEACHERS WILL BE GETTING A PAY INCREASE THAT IS LONG OVERDUE.

HOWEVER, ANY TEACHER WILL TELL YOU THAT TEACHERS DO NOT WORK IN ISOLATION.

WE MUST CONTINUE TO CONSIDER HOW TO PAY FAIRLY THOSE INTEGRAL MEMBERS OF OUR SCHOOLS.

AS ALWAYS, ALL SCHOOL STAFF ARE NECESSARY AND NEEDED FOR THE CONTINUED SUPPORT AND SUCCESS OF ALL OUR STUDENTS.

PLEASE CONSIDER, AS THE STATE HAS, THAT ALL VOICES IN EDUCATION ARE IMPORTANT AND WHEN YOU CONSIDER TODAY'S PAY PLAN AS WELL AS FUTURE ONES, PLEASE CONSIDER HAVING STAFF AND EMPLOYEE VOICES PART OF THE DECISION PROCESS.

THANK YOU. THANK YOU VERY MUCH. THAT CONCLUDES PUBLIC COMMENT, AND DOCTOR AZAIEZ TURNING IT OVER TO YOU FOR AGENDA ITEM D1,

[D. ACTION ITEM (Part 1 of 2)]

PRESIDENT HARRISON BOARD MEMBERS, COMMUNITY MEMBERS AND STAFF.

I KNOW IT'S JUNE 3RD AND WE ARE HAVING A MEETING, A CONVERSATION ABOUT COMPENSATION PLAN.

THERE IS A REASON FOR IT. I THINK I KNOW MOST OF YOU KNOW THAT HOUSE BILL TWO WAS JUST APPROVED LAST FRIDAY.

SO WE HAVE A LEGISLATIVE SESSION THAT STARTED BACK IN JANUARY, THERE WAS A HOUSE BILL TWO THAT TALKS ABOUT DISTRICT, I MEAN, SCHOOL DISTRICT FINANCES. STARTED BACK I THINK WAS APPROVED BACK IN EARLY APRIL FROM THE HOUSE, WENT TO THE SENATE AND STAYED THERE FOR A FEW WEEKS, AND THE SENATE DECIDED AT REALLY LATE THIS THIS PAST MONTH TO KIND OF DISCUSS IT.

T O OUR SURPRISE, WHAT WE ARE WORKING WITH OUR LEGISLATORS, AS MANY OF YOU ACTUALLY HAD SEVERAL CONVERSATIONS, NUMEROUS CONVERSATIONS WITH OUR REPRESENTATIVES.

WE EVEN WENT THERE SEVERAL TIMES TO TALK TO THEM.

EMAILS, EXCHANGED, PHONE CALLS, ALL THAT GOOD STUFF.

WE WERE HOPING THAT WE WILL GET AN INCREASE IN THE BASIC ALLOTMENT.

AS YOU KNOW, OUR SCHOOL DISTRICT IN THE STATE OF TEXAS DID NOT GET AN INCREASE IN THE BASIC ALLOTMENT SINCE 2019.

2023, WE HAD A HISTORIC SURPLUS OF $33 BILLION.

OUT OF THAT, I THINK ROUGHLY MORE THAN $5 BILLION CAME FROM SCHOOL DISTRICT IN THE FORM OF RECAPTURE.

OUR OWN DISTRICT SENT MONEY BACK TO THE STATE IN LIKE, I THINK 2022 OR 2023 SCHOOL YEAR.

WE SENT OVER $100 MILLION BACK TO THEM. ANYWAY, SO WE WERE SUPPOSED TO GET SOME INCREASE IN BASIC ALLOTMENT BACK THEN IN 2023, IF YOU REMEMBER, BECAUSE THE VOUCHER BILLS DID NOT PASS.

THEY DID ALLOCATE $5 BILLION INITIALLY. THEY SAID IF THE VOUCHER PASSES THEN WE CAN GIVE $5 BILLION TO THE SCHOOL DISTRICTS.

OBVIOUSLY THE VOUCHER BILL AT THAT TIME DID NOT PASS.

[00:10:02]

HOUSE BILL TWO PROVIDED $8 BILLION INCREASE FOR THE ENTIRE STATE ONCE AGAIN TO THE SENATE.

THE SENATE DISCUSSED THE 8.1 BILLION. THE INITIAL VERSION OF THE HOUSE INCREASED THE BASIC ALLOTMENT BY 3.95 SHORT OF [INAUDIBLE] THAT WE WERE NEEDING TO ACCOUNT FOR THE INFLATION, SO WE CAN PAY OUR STAFF, ALL OUR STAFF MORE AND ALSO OFFSET ANY DEFICIT YOU MAY HAVE BECAUSE OF INFLATION, THE RISING COST OF EVERYTHING AROUND US TO SUPPORT OUR TEACHERS AND STAFF.

SO THAT DID NOT HAPPEN. 3.95 WE WILL WORK SOME NUMBERS.

IF YOU REMEMBER, WE CAME BACK AND WE GIVE SOME POSSIBLE 4%, 3% RAISES ACROSS THE BOARD.

THE SENATE BILL CHANGED IT COMPLETELY. SO THEY DECIDED THAT WE DON'T TRUST THE SCHOOL DISTRICT REALLY TO ALLOCATE THE MONEY, AND SO WHAT THEY DID IS THEY PUT LIKE A CERTAIN ALLOTMENTS FOR OUR TEACHERS.

THAT WAS THE INITIAL ONE, WHICH IS TEACHERS WITH THREE OR MORE YEARS OF EXPERIENCE, WHICH IS WE ARE EXTREMELY HAPPY AND BLESSED THAT THEY FINALLY RECOGNIZED THE NEED FOR OUR TEACHERS TO RECEIVE MORE MONEY ACROSS THE STATE, AND SO THAT WAS WHAT THEY PUT INITIALLY.

SO WE WENT BACK TO THEM AND WE SAID, WHAT HAPPENED TO THE REST OF OUR TEACHERS? WHAT HAPPENED TO THE REST OF OUR SUPPORT STAFF? WHAT HAPPENED TO THE REST OF OUR FOLKS WHO WORK VERY CLOSELY WITH OUR TEACHERS, INCLUDING OUR COUNSELORS, OUR NURSES, OUR LIBRARIANS, OUR BUS DRIVERS, OUR CUSTODIANS, AND YOU NAME IT, RIGHT? EVERYBODY, APS, PRINCIPALS, EVERYBODY ELSE. SO THEY CAME BACK AND ADDED A SMALL ALLOTMENT, VERY TINY ALLOTMENT TOWARD SUPPORT STAFF, BUT THEN THEY MADE IT VERY CLEAR THAT THEY DIDN'T WANT US OR SCHOOL DISTRICT TO USE THAT MONEY TO PAY ASSISTANT PRINCIPAL PRINCIPALS, AND ABOVE, THEY SAID, YOU ONLY CAN USE THIS THIS SMALL AMOUNT OF MONEY.

THAT ALLOTMENT THAT WE ADDED ON TOP IS TO PAY THE SUPPORT STAFF WITHOUT INCLUDING ASSISTANT PRINCIPALS OR PRINCIPALS.

SO WHAT YOU'LL SEE IN THE PRESENTATION THAT WE PREPARED FOR YOU IS ROUND ROCK ISD TRYING TO MAKE THINGS WORK WITH LOCAL FUNDS BEING TRIMMING OUR OWN BUDGET, BECAUSE HONESTLY, WE DID NOT RECEIVE ENOUGH MONEY TO SUPPORT EVERY STAFF MEMBER WITH A DECENT RAISE, AND I DO AGREE WITH SOME OF OUR SPEAKERS, OUR SUPPORT STAFF DO AN AMAZING WORK SUPPORTING OUR TEACHERS AND SUPPORTING OUR STAFF.

HOWEVER, THE STATE FAILED TO ACKNOWLEDGE THAT AND ACTUALLY PROVIDE ENOUGH MONEY SO WE CAN ACTUALLY GIVE A BIGGER RAISE.

SO WITHOUT ANY DELAY, AS I SAID, I WOULD LIKE FOR EDDIE TO GO OVER THROUGH THE PRESENTATION, BUT I WANT YOU TO KNOW THIS COMPENSATION PLAN WAS DONE BASED ON US REALLY TRYING TO USE WHAT THE STATE GAVE BASED ON HOUSE BILL TWO, BUT ALSO US FIGURING OUT WHAT OTHER MONIES OR FUNDS WE CAN USE TO MAKE SURE AT LEAST WE GIVE SOME TYPE OF RAISE ACROSS THE BOARD FOR THE REST OF THE STAFF. GO AHEAD EDDIE.

THANK YOU, DOCTOR AZAIEZ. GOOD EVENING TRUSTEES.

WE'LL HAVE A LOT OF INFORMATION ON THE SLIDES.

THERE'LL BE SOME NUMBERS AND SOME STATISTICS AS WELL.

I KNOW THERE'LL BE A LOT OF QUESTIONS, SO BE GLAD TO TAKE THOSE AT THE END AS WELL.

I APPRECIATE EVERYBODY'S PATIENCE. OBVIOUSLY, WE BROUGHT A LOT OF DIFFERENT VERSIONS OF OUR BUDGET AND THESE PARAMETERS OVER THE LAST FEW MONTHS, AND SO THIS MOST RECENT VERSION IS BASED ON WHAT WE WERE PROVIDED LAST WEEK, AND AGAIN, JUST APPRECIATE YOUR PATIENCE AS WE WORK THROUGH THE SLIDES THIS EVENING. SO HOUSE BILL TWO.

I DON'T KNOW WHAT VERSION IT IS, BUT WE'LL CALL IT THE LATEST VERSION.

IT PROVIDES SPECIFIC INCREASES FOR TEACHERS WITH THREE OR MORE YEARS OF EXPERIENCE AS, AS OUTLINED IN THE BILL.

IT DETERMINES TEACHER PAY INCREASE AMOUNTS BASED ON THE YEARS OF EXPERIENCE, AND WE'LL GET INTO MORE DETAIL IN THE NEXT SLIDE, AND WHAT IT DOES NOT INCLUDE ARE LIBRARIANS, NURSES, COUNSELORS, OR OTHER SUPPORT POSITIONS.

THEY ARE NOT INCLUDED IN THE TEACHER COMPENSATION ALLOCATION, AND SO YOU'LL RECALL IN HOUSE BILL THREE BACK IN 2019, THERE WAS A PROVISION THAT ANY INCREASE WOULD IT WOULD IMPACT TEACHERS, NURSES, LIBRARIANS AND COUNSELORS THAT GROUP THOSE EMPLOYEE TYPES TOGETHER.

THE NEW SENATE VERSION OF THE BILL DOES NOT DO THAT.

IT JUST EXPLICITLY CALLS OUT TEACHERS AS BEING ELIGIBLE FOR THE TEACHER COMPENSATION ALLOCATION, AND THEN IT PROVIDES, AS DOCTOR AZ MENTIONED, THE SUPPORT STAFF ALLOCATION, WHICH IS APPROXIMATELY $1.9 MILLION.

THAT'S BASED ON A $45 PER ENROLLMENT TIMES ADA CALCULATION.

SO WE ESTIMATE THAT TO BE ABOUT $1.9 MILLION IN ADDITION.

SO WHAT IS INCLUDED IN THE TEACHER COMPENSATION ALLOCATION? ESSENTIALLY? TEACHERS WITH FIVE OR MORE YEARS OF COMPLETED EXPERIENCE WOULD RECEIVE A $5,000 GENERAL PAY INCREASE.

SO THAT WOULD BE BASED ON THEIR CURRENT SALARY PLUS $5,000.

[00:15:02]

TEACHERS WITH 3 TO 4 YEARS OF COMPLETED EXPERIENCE, THAT WOULD BE A $2,500 GENERAL PAY INCREASE, AGAIN TAKING THEIR CURRENT SALARY, ADDING $2,500 TO THAT, AND THAT WOULD BE THEIR NEW SALARY FOR THE 25-26 SCHOOL YEAR.

SO WHAT ABOUT OUR TEACHERS WITH LESS THAN THREE YEARS OF EXPERIENCE? AND JUST FOR REFERENCE FOR THE BOARD, 16.2% OF OUR TEACHING POPULATION HAS BETWEEN 0 AND 2 YEARS OF EXPERIENCE.

OKAY, SO ALMOST A FIFTH OF OUR TEACHING POPULATION WOULD FALL IN THIS CATEGORY.

SO FOR THOSE FOLKS, THERE WAS NO OUTLINED COMPENSATION CONSIDERATION OTHER THAN UNDER THE SUPPORT THE SUPPORT STAFF ALLOTMENT.

SO WHAT WE'RE RECOMMENDING IS THAT WE IN LINE WITH OUR 1% GENERAL PAY INCREASE, THAT WE PROVIDE A $610 GENERAL PAY INCREASE FOR OUR TEACHERS WHO FALL IN THE 1 TO 2 YEARS OF EXPERIENCE, AND SO BY PROVIDING THAT, THAT WOULD ALSO ALLOW US TO ADJUST THE STARTING TEACHER SALARY TO $56,750, SO IT'S CURRENTLY 56,500. THAT WOULD ALLOW US TO INCREASE THAT UP SLIGHTLY.

WHAT ABOUT OUR LIBRARIANS? SO CURRENTLY IN 24- 25, OUR LIBRARIANS ARE PAID ON THE SAME PAY STRUCTURE AS OUR TEACHERS.

SO WE CALL THAT OUR SALARY SCHEDULE. HOWEVER, SINCE THE SENATE VERSION OF THE BILL EXPLICITLY CALLS OUT TEACHERS, WE'RE GOING TO HAVE TO RETHINK HOW WE COMPENSATE OUR LIBRARIANS BECAUSE THEY'RE NOT ELIGIBLE FOR THE $2500 AND $5,000.

SIR? I JUST WANT TO ADD THAT WE DID ADVOCATE FOR OUR LIBRARIAN, OUR NURSES TO BE RECEIVED PRETTY MUCH THE SAME TEACHERS, THE SAME THING THAT OUR TEACHERS WITH FIVE YEARS AND THREE YEARS OF EXPERIENCE WOULD RECEIVE.

OBVIOUSLY, THEY DIDN'T LISTEN. THEY DIDN'T WANT TO ACKNOWLEDGE THE FACT THAT AMOUNT OF WORK AND ALSO THE SUPPORT THAT THEY PROVIDE, AGAIN, TO OUR TEACHERS AND BECAUSE WE SCHOOL DISTRICT IN GENERAL, YOU KNOW, WE PUT THEM UNDER THE SAME PAY SCALE PRETTY MUCH.

THEY WORK A FEW EXTRA DAYS, BUT THEY HAVE THE SAME PAY SCALE.

WE DID PUSH FOR THAT. WE DID ADVOCATE FOR THAT.

UNFORTUNATELY, THEY DECIDED AND OPTED THAT WE CANNOT THEY CANNOT.

THEY ARE NOT ELIGIBLE TO RECEIVE THE 5000 AND THE $2,500 LIKE THE REST OF OUR TEACHERS.

SO ON THAT WE WOULD ESSENTIALLY BE FORCED TO MOVE OUR TEACH OUR LIBRARIANS ONTO A NEW PAY STRUCTURE, WHICH WOULD JUST BE FOR LIBRARIANS, AND THEN THEY WOULD BE ELIGIBLE FOR A 1% GENERAL PAY INCREASE THAT WOULD FALL UNDER THAT SUPPORT STAFF ALLOTMENT.

THAT $1.9 MILLION WOULD BE USED TO HELP TO PAY FOR THAT THEN ALL OTHER ELIGIBLE SUPPORT STAFF.

SO AGAIN, I'M CALLING OUT THE NON ADMINISTRATORS PER PER THE SENATE'S GUIDANCE, WE WOULD ESSENTIALLY FREEZE OUR CURRENT PAY RANGES WITHIN THE SALARY STRUCTURE.

SO OUR CUSTODIAL PAY RANGE WOULD STAY THE SAME.

OUR TRANSPORTATION PAY RANGE WOULD STAY THE SAME.

TECHNOLOGY PAY RANGE WOULD STAY THE SAME. SO THERE WOULD BE NO MOVEMENT IN TERMS OF OUR COMPENSATION PLAN, IN TERMS OF THE MINIMUM, THE MIDPOINT AND THE MAXIMUM, BUT WHAT WE WOULD DO IS PROVIDE ALL EXISTING EMPLOYEES WITHIN THOSE PAY RANGES WITH A 1% INCREASE. OKAY. THAT 1% INCREASE WOULD APPLY TO COUNSELORS, NURSES, EDUCATIONAL ASSISTANTS AND ALL OTHER SUPPORT STAFF POSITIONS.

WHAT'S NOT INCLUDED IN HOUSE BILL TWO COMPENSATION AND SO AS DOCTOR, AS MENTIONED, WE TALKED ABOUT THE ADMINISTRATORS ESSENTIALLY, CAMPUS AND DISTRICT ADMINISTRATORS WOULD NOT BE INCLUDED IN ANY OF THE FUNDS THAT WE RECEIVE, AND SO THE DISTRICT WOULD HAVE TO IDENTIFY FUNDS TO HELP SUPPORT THE 1% RECOMMENDATION FOR THOSE INDIVIDUALS.

WE WOULD CONTINUE TO FREEZE THE 24-25 PAY RANGES, BUT I'VE LISTED THE POSITIONS THERE THAT WE CLASSIFY AS ADMINISTRATORS WITHIN OUR DISTRICT AND AN ADMINISTRATOR, REALLY, WHEN WE THINK ABOUT THAT, I THINK THERE'S SOME THOUGHT OUT THERE THAT 'S REALLY ONLY A SYSTEM PRINCIPALS, PRINCIPALS AND HIGHER, BUT AN ADMINISTRATOR, PER THE DISTRICT'S DEFINITION, REALLY APPLIES TO ANYBODY WHO SUPERVISES AN EMPLOYEE WHO PROVIDES DIRECTION FOR A FUNCTION WITHIN A SCHOOL DISTRICT, AND SO YOU COULD BE TALKING ABOUT A PROGRAM OR ANALYST WHO'S A SINGLE INCUMBENT FOR THAT TYPE OF POSITION, WHO REALLY HAS A LOT OF AUTONOMY IN THAT ROLE.

THEY'RE ESSENTIALLY AN ADMINISTRATOR BECAUSE THEY ARE MAKING DECISIONS FOR THAT PARTICULAR FUNCTION.

SO I THINK I THINK OUR DEFINITION OF ADMINISTRATOR IS A LOT BROADER THAN THE SENATE'S, AND SO I JUST WANTED TO MAKE SURE THAT WE WERE AWARE OF WHAT TYPES OF POSITIONS WE WERE TALKING ABOUT ON THIS SLIDE, AND OBVIOUSLY WHEN WE TALK ABOUT FREEZING OUR PAY STRUCTURES, THERE ARE SOME CONSEQUENCES TO THAT WHICH WE'LL GET INTO A LITTLE FURTHER IN THE PRESENTATION.

SO IMPLICATIONS OF HOUSE BILL TWO. SO WE TALKED ABOUT WHAT OUR RECOMMENDATIONS ARE, BUT WHAT ARE THE IMPLICATIONS OF THIS RECOMMENDATION THAT WE'RE MAKING TODAY BASED ON ON THE HOUSE BILL ITSELF. SO IT'S IMPORTANT TO NOTE THAT 45% OF OUR CURRENT EMPLOYEES ARE NON-TEACHERS.

THEY'RE NOT IN TEACHING POSITIONS. SO WE TALKED EARLIER ABOUT AND OUR PUBLIC COMMENT, WE HEARD ABOUT THE IMPORTANCE OF OUR SUPPORT STAFF AND THE OTHER STAFF THAT SUPPORTS

[00:20:05]

IN TERMS OF ALL OF THE FUNDING THAT WE RECEIVE THROUGH HOUSE BILL TWO, ONLY 12% OF THAT WOULD BE APPLIED TO NON-TEACHERS.

SO 45% OF THE EMPLOYEE GROUPS, BUT 12% OF THE FUNDING THAT WE RECEIVE WOULD BE APPLIED TO THOSE GROUPS.

HOUSE BILL TWO COMPENSATION, AND THIS IS IMPORTANT FOR US TO NOTE.

IT DOES NOT INCLUDE A PROVISION FOR TEACHER RETIREMENT AND OTHER FRINGE COSTS.

SO WE THINK ABOUT THOSE F RINGE COSTS IS ABOUT 5% ON EVERY PAYROLL DOLLAR THAT YOU SPEND, AND THE REASON THAT'S IMPORTANT IS BECAUSE IT MAKES THOSE DOLLARS THAT PAYROLL DOLLARS, THOSE PAYROLL DOLLARS RETIREMENT ELIGIBLE.

OKAY. SO WE WANT TO MAKE SURE THAT ANY COMPENSATION WE PROVIDE CAN BE RETIREMENT ELIGIBLE.

SO EMPLOYEES CAN BENEFIT THAT BEYOND THEIR THEIR TIME WORKING WITH US.

JUST FOR CLARIFICATION, I DON'T KNOW IF EVERYBODY KNOWS THIS, BUT OBVIOUSLY EDUCATORS, WE ARE PART OF THE TRS SYSTEM DISTRICT RETIREMENT SYSTEM.

SO THE TEACHERS EDUCATORS CONTRIBUTE TO TRS, OBVIOUSLY AS PART OF THAT MONTHLY PAYROLL, BUT ALSO THE STATE PROVIDE ABOUT 2% ALSO TOWARD THE TRS BENEFIT AND THEN THE SCHOOL DISTRICT PROVIDE ALSO A CONTRIBUTION.

SO THAT'S WHAT EDDIE'S SAYING WHEN WHEN OUR SENATORS DECIDED TO, YOU KNOW, THE $5,000, $2,500 IN ORDER TO MAKE IT ELIGIBLE SO THEY CAN USE IT TOWARD THEIR RETIREMENT ONE DAY. WE NEED TO MAKE SURE THAT EVERYBODY IS CONTRIBUTING TO THEM, US, THE STATE, RIGHT? SO THEY DID NOT ACCOUNT FOR THE EXTRA OR THE INCREASE IN THE CONTRIBUTION THAT ALSO SCHOOL DISTRICTS HAVE TO PUT FORWARD.

RIGHT, AND EDDIE WILL GIVE EXACT NUMBERS FOR THAT.

SO WE HAVE TO GO BACK TO THEM AND SAID YOU NEED TO PROVIDE SOME EXTRA FUNDING SO WE CAN BE ABLE TO MAKE IT ELIGIBLE FOR OUR TEACHERS AND STAFF, BECAUSE WE DIDN'T WANT IT TO BE JUST LIKE A STIPEND WHERE IT'S NOT ELIGIBLE, BECAUSE WE WANT TO MAKE SURE THAT THEY TAKE THAT, GET THAT STUFF, THOSE BENEFITS WHENEVER THEY DECIDE TO RETIRE.

OKAY, SO 6% OF OUR ROUND ROCK ISD EMPLOYEES WERE NOT INCLUDED IN ANY COMPENSATION ALLOCATION.

SO THAT SPEAKS TO THAT DISTRICT ADMINISTRATOR GROUP.

THAT'S A PRETTY SIGNIFICANT CROSS-SECTION OF OUR EMPLOYEE BASE, AND THEN LASTLY HOUSE BILL TWO IN ITS CURRENT VERSION.

IT'S VERY RIGID, RIGHT? IT PROVIDES VERY, VERY SPECIFIC PAY INCREASES FOR VERY SPECIFIC EMPLOYEE GROUPS, AND AS WE'VE ALL DISCUSSED, AND WE ALL ARE AWARE, IT TAKES MANY DIFFERENT TYPES OF POSITIONS WITHIN OUR SCHOOL SYSTEM TO MAKE THAT WORK, AND SO IT DOESN'T REALLY REFLECT OR VALUE THOSE COMPLEXITIES BECAUSE OF THAT SPECIFICITY THAT IT PROVIDES.

SO WHAT ARE SOME OTHER IMPLICATIONS? WE TALKED EARLIER A LITTLE BIT ABOUT SOME OF THOSE IMPLICATIONS, BUT A BIG IMPLICATION OF THIS APPROACH TO PROVIDING COMPENSATION INCREASES IS PAY STRUCTURE COMPRESSION.

WE HEARD SOME OF OUR PUBLIC COMMENT TONIGHT SPEAKING ABOUT THIS.

WE HAVE IN OUR DISTRICT SOMETHING CALLED THE INSTRUCTIONAL PATHWAY, AND WE'VE WORKED VERY, VERY HARD ON THAT INSTRUCTIONAL PATHWAY OVER A NUMBER OF YEARS, AND WHAT THAT BASICALLY MEANS IS AS A TEACHER, YOU HAVE ADVANCEMENT OPPORTUNITIES ALONG THAT INSTRUCTIONAL PATHWAY.

SO FOR EXAMPLE, YOU MAY MOVE FROM A TEACHING ROLE INTO A COUNSELOR ROLE, OR A TEACHING ROLE INTO AN INSTRUCTIONAL COACH ROLE, OR AN ASSISTANT PRINCIPAL ROLE, OR SO ON AND SO FORTH.

THOSE POSITIONS ARE THEY'RE PLACED WITHIN OUR COMPENSATION STRUCTURE, AND THERE'S SPACE BETWEEN THOSE, MEANING IT'S FINANCIALLY VIABLE FOR SOMEBODY TO MOVE FROM A POSITION LIKE A TEACHING POSITION INTO A PROMOTIONAL OPPORTUNITY IN AN ADVANCED ROLE, RIGHT INTO MORE OF A LEADERSHIP ROLE, OR TO PROVIDE SUPPORT ON A LARGER SCALE.

UNFORTUNATELY, WITH STRUCTURED PAY INCREASES LIKE THIS, WHAT THAT DOES IS IT CREATES MORE COMPRESSION WITHIN THE SYSTEM, MEANING THAT THE SPACE BETWEEN A TEACHING SALARY AND AN ASSISTANT PRINCIPAL SALARY BECOMES BECOMES SMALLER, RIGHT? SO THERE'S LESS OF A FINANCIAL INCENTIVE FOR FOLKS TO MOVE INTO THOSE ADVANCED ROLES.

THAT'S ALSO EXACERBATED, AS WAS DISCUSSED EARLIER, BY TEACHER INCENTIVE ALLOTMENT AND SOME OF THOSE OTHER PIECES THAT CAN BE THAT CAN BE EARNED AND RIGHTFULLY SO, BY TEACHERS AND AS DOCTOR, AS MENTIONED, AND I CAN'T ECHO ENOUGH THIS IS NOT A REFLECTION ON OUR VALUE OF TEACHERS.

WE KNOW THAT OUR TEACHERS ARE THE DECISIVE ELEMENT IN STUDENT LEARNING AND STUDENT OUTCOMES.

WHAT WE'RE ALSO SAYING, THOUGH, IS IT DOES TAKE A VILLAGE AND THERE ARE OTHER POSITIONS THAT HELP SUPPORT THAT, AND WE WANT TO MAKE SURE THAT AS A DISTRICT AND AS ONE OF THE LARGEST EMPLOYERS IN THE AREA, THAT WE HAVE ENOUGH ADVANCEMENT OPPORTUNITIES AND WE ALSO CAN PROVIDE CAREER OPPORTUNITIES, WHICH ALSO HELPS THEM WITH EMPLOYEE RETENTION.

SO SPECIFICALLY AS THOSE AS THAT COMPRESSION IS COMPOUNDED OVER TIME IT DOES REDUCE THE APPEAL OF CAREER ADVANCEMENT IF THAT CAREER ADVANCEMENT IS TIED TO FINANCIAL FACTORS, AND THEN ALSO AS WE FREEZE OUR PAY STRUCTURES, REMEMBER OUR PAY STRUCTURES,

[00:25:06]

LAST BUT NOT LEAST, CERTAINLY NOT IS THIS STRUCTURED APPROACH CERTAINLY AFFECTS THE DISTRICT'S ABILITY TO PROVIDE INCREASES BEYOND THIS YEAR.

SO THIS THE STATE IS TELLING US THIS IS HOW YOU WILL SPEND YOUR MONEY, AND ALL OF THE MONEY IS EARMARKED INTO COMPENSATION, WHICH REALLY IT REDUCES THE FLEXIBILITY THAT WE HAVE THAT WE WOULD GET FROM A BASIC ALLOTMENT INCREASE, AND DENNIS CAN TALK ABOUT THAT MORE SPECIFICALLY.

OKAY. SO WHAT ARE THE COSTS. SO AGAIN THESE ARE ESTIMATES BASED ON THE NUMBER OF EMPLOYEES THAT WE HAVE IN THOSE POSITIONS CURRENTLY.

SO FOR OUR OVERALL TEACHER THE STRUCTURED PAY INCREASES, WE WOULD BE LOOKING AT APPROXIMATELY $14.6 MILLION FOR JUST THOSE GROUPS, AND THAT WOULD IMPACT 3100 EMPLOYEES. SO $14.6 MILLION, AND THAT'S BASE PAY, NOT INCLUDING THE TRS AND THE OTHER FRINGE COSTS THAT WE TALKED ABOUT EARLIER FOR THE SUPPORT POSITIONS. SO THE $45 ALLOTMENT THAT WE'RE ANTICIPATING TO RECEIVE, THESE ARE ALL OF THE DIFFERENT EMPLOYEE GROUPS AND THE EMPLOYEE TYPES THAT ARE LUMPED INTO THAT SUPPORT STAFF GROUP FOR ALMOST 3000 EMPLOYEES, AND WE ARE ESTIMATING THAT WE WOULD RECEIVE ABOUT $1.4 MILLION FOR THAT GROUP.

I'M SORRY, WE WOULD BE PAYING ABOUT $1.4 MILLION FOR THAT GROUP FOR ALMOST 3000 EMPLOYEES, BASED ON A 1% SCENARIO. AGAIN, TRS AND OTHER COSTS ARE NOT INCLUDED IN THAT.

THAT'S A BASE ESTIMATE. WHAT ABOUT NOT INCLUDED IN HOUSE BILL TWO.

SO THESE ARE THE ADMINISTRATORS, AND YOU CAN SEE THAT NUMBER 353.

I WANTED TO JUST POINT OUT THERE ARE FOUR DIFFERENT PAY STRUCTURES IDENTIFIED.

THAT'S NOT CAMPUS ADMINISTRATION SOLELY OR DISTRICT CENTRAL OFFICE SOLELY.

THAT INCLUDES A LOT OF OUR TECHNOLOGY POSITIONS, WHICH ARE, YOU KNOW, HIGHER LEVEL SINGLE INCUMBENT PROGRAMMER ANALYSTS.

IT ALSO INCLUDES SOME OF OUR OPERATIONS ADMINISTRATORS, LIKE MANAGERS IN OUR OPERATIONS DEPARTMENT, THOSE INDIVIDUALS WHO SUPERVISE A LOT OF EMPLOYEES AND HELP MAKE OUR BUILDINGS SAFE AND SECURE.

TRANSPORTATION EMPLOYEES WOULD BE INCLUDED IN THAT, AND ALSO SOME OF OUR INSTRUCTIONAL ADMINISTRATOR POSITIONS LIKE COORDINATORS, ASSISTANT DIRECTORS, AND ABOVE. SO WE TALKED ABOUT THE TRS AND THE OTHER COSTS THAT WERE NOT ACCOUNTED FOR IN THE ORIGINAL VERSION OF THE SENATE VERSION OF THE BILL. THOSE THOSE COME TO ABOUT $800,000, JUST THAT ALONE, AND AGAIN, THAT'S IMPORTANT BECAUSE THE SENATE HAS HAS INDICATED THAT THESE ARE PERMANENT INCREASES, MEANING THEY BECOME PART OF THE BASE SALARY.

SO WE REALLY HAVE TO MAKE THOSE TRS ELIGIBLE, AND IN ORDER TO DO THAT WE HAVE TO PAY THAT OFFSET COST THAT DOCTOR HAS TALKED ABOUT EARLIER. SO THE GRAND TOTAL OF WHAT WE'RE LOOKING AT IN TERMS OF THIS COMPENSATION INCREASE.

IT'S A PRETTY IT'S A PRETTY LARGE NUMBER, $17.2 MILLION TO ACCOUNT FOR ALL OF THE COMPENSATION.

THE 1% INCREASES, THE TEACHER STRUCTURED RAISES AND THE TRS AND FRINGE COSTS THAT ARE ASSOCIATED WITH THOSE DOLLARS.

SO IF WE DON'T GET THE PASSAGE OF HOUSE BILL TWO IN ITS CURRENT FORM, WHAT DOES THAT MEAN? AND WE ALWAYS HAVE TO THINK ABOUT THAT CONTINGENCY BECAUSE WE HAVE TO APPROVE A COMPENSATION PLAN EVERY YEAR.

SO IF THERE IS NO INCREASE, WHAT THAT WOULD LOOK LIKE FOR OUR DISTRICT IS WE WOULD ESSENTIALLY FREEZE SALARIES WHERE THEY ARE FOR ALL EMPLOYEES, AND WE WOULD HAVE TO FREEZE OUR SALARY STRUCTURES WHERE THEY ARE AS WELL.

SO AGAIN, WE KNOW THAT WE HAVE TO BE RESPONSIVE TO THE INCREASES, AND WE CERTAINLY ARE THANKFUL THAT THERE ARE SOME COMPENSATION PROPOSALS AS PART OF HOUSE BILL TWO, BUT THIS IS THE OTHER REALITY.

IF THE BILL DOES NOT PASS, IS THAT WE WOULD WE WOULD HAVE TO FREEZE EVERYTHING AS IS.

OKAY FOR CONTINUING TOTAL COMPENSATION. SO ONE OF THE THINGS THAT I'M VERY PROUD OF IN TERMS OF OUR DISTRICT AND THE SUPPORT OF OUR BOARD AND DOCTOR AZAIEZ'S VISION, IS WE'VE BEEN ABLE TO LOOK AT SOME SOME ADDITIONAL WAYS TO COMPENSATE EMPLOYEES.

SOME OF THESE ARE, ARE FELT BY EVERY EMPLOYEE IN THE DISTRICT, SOME BY SOME BUT THEY'RE ALSO VERY IMPORTANT TO POINT OUT BECAUSE THEY ARE AN APPROACH WHEN BUDGETS GET TIGHT OF HOW WE CAN SHOW VALUE TO OUR EMPLOYEES AND REALLY HELP SUPPORT THAT TOTAL REWARDS APPROACH.

SO WE ARE GOING TO CONTINUE OUR YOU DAYS FOR 25-26.

YOU'LL RECALL THE BOARD APPROVED THOSE FOR THIS YEAR.

THOSE ARE TWO PAID HOLIDAYS FOR ALL EMPLOYEES IN THE DISTRICT TO HELP SUPPORT WELLBEING, AND THOSE WERE VERY WELL RECEIVED BY OUR EMPLOYEES THIS YEAR.

SO WE'RE PLANNING TO CONTINUE THOSE FOR 2526.

AS THE BOARD KNOWS, WE SUBMITTED A REQUEST TO EXPAND OUR TEACHER INCENTIVE ALLOTMENT, AND THAT WAS APPROVED JUST OVER A WEEK AGO BY TEA.

[00:30:10]

YES, THEY WOULD GET DESIGNATED IN 26-27. SORRY, AND SO THAT'S A THAT'S OVER FOUR TIMES THE NUMBER OF TEACHERS THAT WERE ELIGIBLE THIS YEAR. SO WE'RE DEFINITELY SEEING AN INCREASE THERE WHICH IS HELPFUL FOR TEACHERS.

A RENTAL ASSISTANCE PROGRAM IS CURRENTLY DOING GREAT.

WE HAVE IT'S FULLY OCCUPIED WITH A WAITLIST, AND SO WE HAVE OVER 100 EMPLOYEES WHO ARE CURRENTLY BENEFITING FROM THAT PROGRAM.

THAT'S ABOUT $4,200 ANNUALLY THAT THOSE EMPLOYEES BENEFIT FROM IN TERMS OF RENTAL ASSISTANCE AT THOSE PROPERTIES, AND THEN OUR HEALTH INSURANCE CONTRIBUTION HAS REMAINED $5,592 PER EMPLOYEE ON AN ANNUAL BASIS.

SO THAT'S $6,000 THAT THE DISTRICT CONTRIBUTES AND WILL CONTINUE TO CONTRIBUTE TOWARDS TOWARDS EMPLOYEE HEALTH INSURANCE IN TERMS OF THEIR PREMIUM COST, AND I KNOW THAT'S A LOT OF INFORMATION. I'D BE GLAD TO TAKE ANY QUESTIONS FROM THE BOARD AT THIS TIME.

TRUSTEE WEIR. OKAY. THANK YOU. MY FIRST QUESTION, ACTUALLY, E VEN THOUGH YOU SAID 1% OF MIDPOINT ON THE SCREEN, AND IT WAS MY QUESTION TO YOU EARLIER. YOU JUST SAID 1% AS YOU WERE SPEAKING.

SO I GUESS MY I WOULD LIKE FOR YOU TO MAYBE EXPLAIN A LITTLE BIT MORE THE 1% OF THE MIDPOINT, SO THAT PEOPLE REALLY WILL UNDERSTAND THAT AS BEST AS THEY CAN, AND THEN MY OTHER QUESTION, I DON'T KNOW IF YOU WANT IT, BUT YOU JUST SAID OUR DEFINITION OF ADMINISTRATOR IS BROADER THAN THE SENTENCE AND MY QUESTION IS CAN WE JUST CHANGE OUR DEFINITION? I'D BE GLAD TO ANSWER YOUR FIRST QUESTION, AND THINK ABOUT YOUR SECOND QUESTION.

SO THANK YOU FOR THAT, AND THE POINT OF CLARIFICATION ON THE GENERAL PAY INCREASE.

SO WE CALCULATE GENERAL PAY INCREASES BASED ON THE PAY RANGE FOR THE POSITION THAT THE EMPLOYEE IS IN, AND YOU KNOW, WE HAVE SEVEN DIFFERENT PAY STRUCTURES.

THE 100 ALL THE WAY THROUGH THE SEVEN HUNDREDS.

SO IF I'M AN EMPLOYEE AND I'M PAID IN A PAY RANGE, THERE SHOULD BE A MINIMUM, A MIDPOINT AND A MAXIMUM FOR THAT PAY RANGE.

SO FOR EXAMPLE, THE 300 PAY RANGE, THE 300 ONES, YOU MAY BE IN A POSITION THAT FALLS IN THAT 301 PAY GRADE.

SO THERE'S A MINIMUM A MIDPOINT AND A MAXIMUM FOR THAT PAY GRADE.

WE CALCULATE YOUR PAY RAISE BASED ON THE MIDPOINT, AND SO WE WOULD TAKE THAT MIDPOINT AND APPLY 1% TO THAT MIDPOINT VALUE.

SO FOR EXAMPLE IF I'M PAID ON AN HOURLY BASIS AND I'M PAID $28 PER HOUR, AND MY MIDPOINT FOR THAT PAY RANGE THAT I'M IN IS $30 PER HOUR, WE WOULD CALCULATE THAT INSTEAD OF THE $30 RATE, WE WOULD TAKE 1%, WHICH IS $0.30.

WE WOULD APPLY THAT $0.30 TO YOUR $28, AND YOUR HOURLY RATE WOULD BE $28.30.

SO FOR EMPLOYEES WHO ARE WE WILL BE. WE DO HAVE INFORMATION ON OUR WEBSITE FOR EMPLOYEES, AND WE DO, YOU KNOW, THE INFORMATION, WE TRY TO MAKE IT AS CLEAR AS WE CAN, BUT EMPLOYEES GUIDE FOR THAT 1% WOULD BE THE MIDPOINT FOR THE PAY RANGE FOR THE POSITION, AND THEY CAN FIND THEIR PAY RANGES ON THE COMPENSATION PLAN, WHICH IS POSTED ON THE DISTRICT WEBSITE, AND DO MOST EMPLOYEES KNOW WHAT THEIR CODE IS? YOU KNOW, WHETHER THEY'RE A 602 OR A 311. MOST EMPLOYEES KNOW WHERE THEY ARE AND CAN GO TO YOUR WEBSITE AND FIGURE THAT OUT.

YES, MA'AM. TRUSTEE. WEIR. SO ON OUR COMPENSATION PLAN, WE ACTUALLY HAVE OUR PAY GRADES LISTED.

NOW, THERE ARE A LOT OF PAY GRADES, BUT IT DOES LIST THE POSITIONS THAT FALL WITHIN THOSE PAY GRADES ON THE WEBSITE.

OKAY. YEAH, I MEAN I'VE LOOKED AT THE COMPENSATION PLAN AND EVERY YEAR I JUST WANTED TO MAKE SURE THAT PEOPLE KNEW WHAT THEIR NUMBER WAS SO THAT WHEN THEY WENT TO LOOK IT UP, BECAUSE I KNOW LOTS OF TIMES PEOPLE DON'T TAKE THAT EXTRA STEP TO GO LOOK, BUT YOUR WEBSITE WILL DO THE MATH FOR EVERYBODY.

SO THE WEBSITE AND MY AMAZING HR DEPARTMENT ARE THERE TO SUPPORT ANY EMPLOYEES WITH QUESTIONS.

OKAY, AND THEN BACK TO MY DEFINITION QUESTION.

SO I'M HESITANT TO ANSWER THAT QUESTION BECAUSE THE STATE HASN'T REALLY PROVIDED US VERY CLEAR GUIDANCE AS TO HOW THEY'RE DEFINING AN ADMINISTRATOR AND WHAT WE AS A DISTRICT TRY TO DO IS WE ALWAYS TRY TO TAKE A CAUTIOUS APPROACH AND MAKE SURE THAT WE'RE CONSERVATIVE IN OUR ESTIMATES SO WE CAN WHAT'S THE WORD, SIR? WE CAN OVERESTIMATE AND MAYBE UNDER-DELIVER IN TERMS OF THE COST.

IT'S POSSIBLE THAT THEY COME BACK AND SAY, WHEN WE SAY ADMINISTRATOR, WE MEAN THESE POSITIONS, BUT AGAIN, I CAN'T REALLY ANSWER THAT BECAUSE WE DON'T HAVE CLARITY ON WHAT THAT LOOKS LIKE FROM THEM YET.

I CAN TELL YOU FOR A FACT, THOUGH, EVEN FOR THEM, IT WAS, IT WAS LIKE KIND OF STUFF THAT DIDN'T EVEN MAKE SENSE.

RIGHT? BUT I REMEMBER THE LAST DAY WHEN THEY WERE DEBATING HOUSE BILL TWO ON THE SENATE FLOOR,

[00:35:03]

RIGHT, AND I REMEMBER CHAIRMAN CRETIN, WHO'S THE SENATOR WHO'S THE CHAIR OF THE EDUCATION COMMITTEE, AND HE WAS CLEARLY SAYING, WE'RE GOING TO HAVE TO CHECK OR WE'RE GOING TO COME UP WITH A MECHANISM TO CHECK.

WE DON'T WANT A SYSTEM. HE HE CLEARLY CALLED ASSISTANT PRINCIPALS AND PRINCIPALS AND DISTRICT ADMINISTRATORS TO RECEIVE.

THEY RECEIVE OR USE THIS MONEY TO GIVE THEM RAISES.

SO AND HE CALLED HE CALLED. HE DID IT RIGHT THERE, AND IT'S I'M SURE SOMEWHERE IN THE WEBSITE OR WHATEVER THEY CAN FIND IT, BUT HE WAS VERY CLEAR. SO TO AT THIS POINT WE ARE THAT'S WHY WE HAVE TO COME UP WITH A DIFFERENT WAY OF FIGURING OUT THE 1%, BECAUSE WE DON'T WANT TO COME BACK AND SAY, WAIT, YOU USE YOU USE THIS MONEY TO PAY FOR ADMINISTRATION, AND WE TOLD YOU NOT TO. SO IT'S BETTER IF WE COME UP WITH A LOCAL FUNDS TO GIVE THAT 1%, RATHER THAN USE THAT MONEY AND THEN COME BACK LATER AND GET LIKE SOME OF THAT MONEY TAKEN AWAY BY THEM OR SOMETHING. I THINK THE OTHER POINT TO NOTE IS AS WELL THE SENATE HAS COME IN WITH A VERSION OF THE BILL AND THEY CALL OUT ADMINISTRATORS.

EVERY SCHOOL DISTRICT LOOKS DIFFERENT IN TERMS OF THE POSITIONS THEY STAFF, AND SOME SOME SCHOOL DISTRICTS HAVE A PRINCIPAL AND THREE ASSISTANT PRINCIPALS AND SOME DISTRICT ADMINISTRATORS WHO SERVE A CERTAIN FUNCTION.

SOME OF OUR SMALLER SCHOOL DISTRICTS MAY NOT HAVE.

THEY MAY THEY MAY WORK IN A COOPERATIVE ENVIRONMENT WHERE THEY'RE SHARING SUPPORT STAFF AMONG 2 OR 3 DIFFERENT DISTRICTS.

RIGHT. WE KNOW SOME OF OUR CONSOLIDATED ISDS IN THE STATE.

SO THAT'S WHAT'S CHALLENGING WITH THAT MODEL, IS THAT IT'S HARD TO DEFINE EXACTLY WHO THEY'RE TALKING ABOUT, AND SO I THINK I WOULD IMAGINE THAT THEY WILL PROVIDE SOME MORE CLARITY ON THAT, BUT TO DOCTOR AZAIEZ POINT, WE WANT TO MAKE SURE THAT WE CAN ACCOUNT FOR THE PAY INCREASES AND ESTIMATE THE FUNDING AS BEST WE CAN, BUT IT'S JUST IT'S SO HARD TO TELL TRUSTEE WEIR AT THIS POINT.

THANK YOU. TRUSTEE MARKUM. I WAS JUST GOING TO ADD TO THAT, THAT WHEN THEY WENT BACK AND ADDED THE NON-TEACHING ALLOTMENT COMPENSATION ALLOTMENT, PART OF THAT WHOLE DISCUSSION WAS MOSTLY WITH RURAL DISTRICTS AND CHARTER SCHOOLS.

SO THE BILL IS REALLY TAILORED FOR RURAL DISTRICTS AND CHARTER SCHOOLS, WHO MAY BE NOT SO MUCH CHARTERS, BUT RURAL DISTRICTS MAY NOT HAVE ALL THE POSITIONS THAT WE NECESSARILY HAVE IN SUBURBAN AND URBAN DISTRICTS.

SO THAT'S WHY THE DEFINITION OF WHAT AN ADMINISTRATOR IS KIND OF VAGUE, BECAUSE SUBURBAN AND URBAN SCHOOL DISTRICTS WEREN'T REALLY CONSULTED WHEN THEY WERE REFINING THE BILL. THANK YOU FOR THAT CONTEXT.

I HAVE A COUPLE QUESTIONS. ONE, MAYBE THIS IS REALLY YOUR LANE TRUSTEE MARKUM.

THIS IS NOT PASSED THE GOVERNOR'S DESK. SO IT DID PASS.

THE SENATE HAS NOT BEEN SIGNED. WHAT IS OUR WINDOW OF OPPORTUNITY FOR ADVOCACY? IT'S ACTUALLY I WAS , THAT'S A GOOD QUESTION, BY THE WAY.

WE ACTUALLY HAVE A LOT OF GREAT REPRESENTATIVES.

LIKE, I WAS ACTUALLY ON THE PHONE UNTIL YESTERDAY WITH REPRESENTATIVE BUCY, WHO HAS REALLY BEEN A GREAT ADVOCATE FOR ROANOKE ISD AND ALSO FOR FOR PUBLIC EDUCATION AS A WHOLE, AND WE TALKED ABOUT THE TECHNICALITY BECAUSE THERE WERE SOME OTHER THINGS.

ALSO, WE'LL TALK MORE ABOUT RELATED SPECIFICALLY TO SENATE BILL SIX, WHICH TALKS ABOUT THE HOMESTEAD EXEMPTION INCREASE FROM 100,000 TO 140, AND I DON'T WANT TO GET TOO TECHNICAL ON YOU, BUT AND ALSO THE HOLD HARMLESS.

SO THAT WAY OUR DISTRICT DOESN'T END UP LOSING MONEY, BUT ANYWAY WE'VE BEEN TALKING ABOUT IT AND WE ASK IF THERE IS ANYTHING THAT CAN BE DONE, AND HE SAID PRETTY MUCH DONE. LIKE BECAUSE THE THERE IS NOTHING THEY CAN CHANGE FROM THESE BILLS ANYMORE.

SO IT'S DONE. SO IT'S SITTING ON THE GOVERNOR'S DESK RIGHT NOW.

HE HAS THREE CHOICES. HE HAS THREE CHOICES EITHER SIGN IT TO LAW, IGNORE IT, AND IT BECOMES THE LAW COME JUNE 22ND OR VETO IT, WHICH IS HOPEFULLY NOT. THAT WILL BE THE WORST CASE SCENARIO, BUT WE WOULD KNOW BY THE LATEST JUNE 22ND, BECAUSE IF HE DOESN'T SIGN IT OR DOESN'T VETO IT, IT BECOMES THE LAW.

THANK YOU FOR THAT CONTEXT. I THOUGHT WE MAYBE HAD A TINY BIT OF WIGGLE ROOM TO ADDRESS SOME OF THESE THINGS.

CAN WE TALK A LITTLE BIT ABOUT SOME THINGS YOU CONSIDERED THAT WE DID NOT ADOPT AT ANY POINT? DID WE CONSIDER TIERING? I MEAN, 1% FEELS AND LOOKS ABYSMAL, AND THE ALTERNATIVE OF THIS NOT PASSING OF HB TWO, NOT GETTING SIGNED OR BEING VETOED, ALSO IS GRAVELY ABYSMAL, BUT AT ANY POINT, DID YOU WHAT DID YOU CONSIDER THAT WE DIDN'T GO WITH AND WHY? WELL, WE'VE RUN COST ESTIMATES ALL SPRING, RIGHT? 3%, 2%, 1% MODELS. DIFFERENT VERSIONS OF THAT.

[00:40:01]

RIGHT, AND YOU YOU KNOW, I REMEMBER 2 OR 3 YEARS AGO, WE HAD A REAL CHALLENGE TO HIRE TEACHING ASSISTANTS AND WE ALL KNOW HOW IMPORTANT OUR TEACHING ASSISTANTS ARE IN OUR CLASSROOMS, AND SO WE MADE A STRATEGIC ADJUSTMENT MID-YEAR, AND WE WERE ABLE TO FOCUS SOME OF OUR STRATEGY ON THOSE POSITIONS.

I'LL BE HONEST WITH YOU, PRESIDENT HARRISON. I FEEL A LITTLE HANDCUFFED WITH THIS.

I'M PRETTY CREATIVE, AND MY TEAM'S REALLY CREATIVE, AND WE FEEL KIND OF STUCK, AND IT'S VERY FRUSTRATING WHEN YOUR JOB IS TO STAFF.

SO I THINK WE HAVE LOOKED AT DIFFERENT VERSIONS, BUT THE REALITY IS OUR BUDGET IS DETERMINING WHAT WE CAN DO AND WHAT WE CAN'T DO, AND I FEEL YOU KNOW, AS WE THINK ABOUT OVER TIME THAT COMPRESSION THAT I TALKED ABOUT EARLIER.

IF WE DON'T DO ANYTHING FOR ANY OF OUR PAY RANGE, WE RUN THE RISK OF OF KICKING THE CAN DOWN THE ROAD AND HAVING TO SPEND MORE MONEY IN THE FUTURE YEARS TO MAKE TO RIGHTSIZE THE STRUCTURES.

SIR, LET ME JUST ADD SO AND I THINK WE TALKED ABOUT THIS BEFORE, SO TO GIVE 1% RAISE TO ALL OUR STAFF, INCLUDING OUR TEACHERS AND EVERYBODY IN OUR DISTRICT, IT'S ROUGHLY 3.8, LET'S SAY $4 MILLION, RIGHT. SO IF WE DECIDE AND I THINK WE RAN SOME OPTIONS WHEN WHEN THE ORIGINAL HOUSE BILL TWO WAS ON THE TABLE, YOU KNOW, WE RAN WITH $395 INCREASE IN BASIC ALLOTMENT.

WE ACTUALLY RUN SOME SCENARIOS WHERE WE'RE GIVING OUR TEACHERS, I THINK, 4%, AND THEN WE'RE GIVEN YOU KNOW, THE REST OF STAFF, I THINK 2 OR 3% OR SOMETHING LIKE THAT AND THAT WAS ACTUALLY GOING TO COST US WITH THAT LESS THAN WHEN IT'S COSTED RIGHT NOW.

SO WE COULD LIKE AGAIN, THAT'S THE FLEXIBILITY THAT WE WERE ASKING OUR LEGISLATORS TO GIVE US IS PROVIDE US THE MONEY, PUT SOME PARAMETERS LIKE THEY DID BACK IN 2019, LIKE EDDIE WAS SAYING WHEN THEY SAID 40%, MINIMUM OF 40% IS TO GO TOWARD ANY NEW MONIES TOWARD COMPENSATION, AND YOU HAVE TO PRIORITIZE TEACHERS, WHICH IS WE'RE GOING TO DO IT ANYWAY. 75% OF IT GOES TO TEACHERS.

SO THAT WOULD HAVE ALLOWED US TO GIVE A DECENT RAISE TO ALL OF OUR TEACHERS, NOT JUST THREE AND UP, BUT ZERO ALL THE WAY, ALL OF THEM, AND THEN ALSO ALLOW TO GIVE RAISES TO ALL THE REST OF THE SUPPORT STAFF, INCLUDING OUR CUSTODIAN AND ASSISTANT PRINCIPALS, ASSISTANT PRINCIPALS, COUNSELORS, NURSES, LIBRARIANS, YOU NAME IT. RIGHT? THAT FLEXIBILITY, THEY TOOK IT AWAY FROM US LIKE WE COULDN'T WE DIDN'T HAVE THAT AUTONOMY ANYMORE BECAUSE THEY DICTATE HOW THINGS ARE SUPPOSED TO GO, AND THEY GAVE IT, AND THEN THEY DIDN'T HAVE ENOUGH MONEY TO TAKE CARE OF THE REST OF THE SUPPORT STAFF.

THEY ONLY GIVE US ENOUGH TO BARELY MAKE IT TO 1%, AND THAT'S REALLY WHAT WHY THIS IS, ALTHOUGH AGAIN, WE'RE VERY, VERY HAPPY FOR OUR TEACHERS THAT THEY GET THESE RAISES, BUT IT'S NOT THE BILL, THE WAY IT'S WRITTEN, DID NOT ALLOW TO GIVE US MORE FUNDS TO TAKE CARE OF THE REST OF OUR SUPPORT STAFF, AND JUST TO ADD TO THAT, IF I COULD. SO THE TIERED APPROACH WE'VE DONE THAT.

SO WE'VE GOT RECENT HISTORY WITH DOING THAT. THAT ALSO CONTRIBUTES TO COMPRESSION AS WELL.

RIGHT. SO I THINK WE ALWAYS PEOPLE WHO LIVE IN HR AND COMPENSATION WORLDS, WE KIND OF CRINGE WHEN WE TALK ABOUT TIERED APPROACHES, NOT BECAUSE OF THE VALUE FOR THE EMPLOYEES IN THOSE GROUPS, BUT IT'S JUST OVER TIME, WE REALIZE THAT MAY COST MORE MONEY DOWN THE ROAD TO FIX SOME OF THOSE COMPRESSION ISSUES. SO AND YOU LED TO ANOTHER ONE OF MY QUESTIONS, WHICH YOU AND I EMAILED BACK AND FORTH A LITTLE BIT ABOUT TODAY, AND THAT IS COMPRESSION. OBVIOUSLY, THIS CHOICE BY THE LEGISLATURE CAUSES COMPRESSION ISSUES.

WE HEARD IT IN PUBLIC COMMENT TONIGHT. THERE'S THIS ASSUMPTION THAT APS GET PAID SO MUCH MORE THAN TEACHERS.

THAT'S NOT THE REALITY, AND THIS DECISION BY THE LEDGE HAS COMPRESSED THAT EVEN MORE TO WHERE YOU'RE DISINCENTIVIZED TO TAKE ON MORE RESPONSIBILITY. SO IT WILL BE UP TO ADMINISTRATION AND TO THE BOARD TO ADDRESS COMPRESSION, AND I'M REALLY QUITE ANGRY BECAUSE OVER THE PAST COUPLE OF YEARS, WE'VE HAD TO MAKE SOME TOUGH DECISIONS TO ADDRESS COMPRESSION, SO THEY REALLY MESSED EVERYTHING UP. WHAT DOES THAT LONG TERM PLANNING LOOK LIKE TO ADDRESS COMPRESSION? I THINK IT'S VERY HARD TO ANSWER THAT QUESTION GIVEN THE CURRENT BUDGET SITUATION THAT WE HAVE AND IT'S REALLY HARD BECAUSE AS DR.

AZ MENTIONED, WE GOT THIS VERSION OF THE BILL LAST FRIDAY, AND SO OUR FOCUS HAS BEEN REALLY ON HOW DO WE MAKE THIS WORK AND MAKE SURE WE COMMUNICATE TO OUR EMPLOYEES SO WE CAN RETAIN THEM FOR NEXT YEAR AND EVEN GIVE THEM SOME, SOME, SOME GOOD NEWS, RIGHT, SOME POSITIVE NEWS LONGER TERM, OUR BUDGET IS OUR BUDGET AND WE ARE COMPLETELY CONTINGENT ON THE STATE TO PROVIDE FUNDS IN ORDER FOR US TO HAVE SOME OF THAT FLEXIBILITY. SO I THINK IT ABSOLUTELY NEEDS TO BE ADDRESSED.

I MEAN, RIGHT NOW, MY TEAM, IN ADDITION TO IMPLEMENTING PAY INCREASES FOR NEXT YEAR, IS ANALYZING OUR CURRENT COMPRESSION ISSUES TO REALLY IDENTIFY WHERE OUR PROBLEMS ARE,

[00:45:03]

WE NEED TO REALLY ANALYZE THAT DATA TO SEE WHERE THE PROBLEMS ARE, AND THEN AND THEN MAKE SOME RECOMMENDATIONS FOR MOVING FORWARD, BUT ONE THING WE DO EVERY YEAR IS WE CONTRACT WITH TASB, AND TASB COMES IN AND LOOKS AT ALL OF OUR PAY SYSTEMS, AND PART OF THE REASON WE CONTRACT WITH THEM IS BECAUSE THEY CAN LOOK ACROSS THE SYSTEM AND ACROSS OTHER DISTRICTS TO IDENTIFY WHERE THOSE PROBLEM AREAS ARE.

I KNOW HE'S GOING TO BE EXTREMELY BUSY NEXT YEAR TO TRY TO FIX SOME OF THESE ISSUES, RIGHT? SO BUT THAT'S ABOUT THE BEST ANSWER I CAN GIVE YOU RIGHT NOW.

IF I MAY ALSO ADD TO WHAT EDDIE SAID IS WE REALLY ACKNOWLEDGE I MEAN, WE RECOGNIZE THAT THERE IS A SITUATION THAT WE, LIKE YOU SAID, WE'VE BEEN WORKING HARD THE PAST AT LEAST A COUPLE OF YEARS TO ADDRESS THIS IS AGAIN, BECAUSE OF THE LACK OF FLEXIBILITY AND AUTONOMY THAT WEREN'T PROVIDED WITH.

OBVIOUSLY THAT'S CREATED MADE IT THIS WAY. I THINK OBVIOUSLY WE HAVE TO WAIT FOR THE NUMBERS, THE NUMBERS FOR EVERY CATEGORIES AND THINGS LIKE THAT.

I ESTIMATE IT'S GOING TO BE IN THE MILLIONS OF DOLLARS.

I KNOW NEXT WE'RE GOING TO TALK ABOUT THE BUDGET DEFICIT, AND YOU'LL SEE THAT WE'RE STILL $1 MILLION IN DEFICIT.

SO IF WE WANT TO ADDRESS ANY COMPRESSION RIGHT NOW, THAT MEANS THAT WE HAVE TO WE HAVE TO CUT SOME OF THAT PLACE UNLESS AND WE CANNOT CARRY DEFICIT BUDGET OR BIG DEFICIT. RIGHT. SO IT'S GOING TO COST US IN THE MILLION OF DOLLARS.

EITHER WE CUT SOME PROGRAMS OR DO SOMETHING DRASTIC TO ADDRESS IT OR PLAN IT.

MAYBE FOR NEXT YEAR, TRY TO KIND OF START EARLY, KIND OF FIGURE OUT WHAT, FIRST OF ALL, HOW MUCH EXACTLY AND THEN WHAT OPTIONS DO WE HAVE, AND THEN COME UP WITH SCENARIOS BECAUSE WE HAVE TO MAKE SOME DRASTIC CUTS SOMEWHERE IN ORDER TO FIND THAT MONEY, BECAUSE, I MEAN, I TELL PEOPLE THIS ALL THE TIME, I KNOW, YOU KNOW, DISTRICT, I MEAN, SCHOOL FINANCE IS VERY COMPLEX, BUT I ALWAYS TRY TO MAKE IT LIKE, LIKE ELEMENTARY TERMS. IT'S ALMOST LIKE A CAKE, RIGHT? OUR BUDGET DOESN'T MATTER HOW MUCH MONEY WE COLLECT FROM OUR TAXPAYERS, AND , YOU KNOW, AGAIN, WE ARE WE ARE ONLY ALLOWED TO KEEP A CERTAIN AMOUNT OF MONEY BECAUSE OF THE FORMULA THAT THE STATE USES BASIC ALLOTMENT, ADA AND SO ON AND SO FORTH. SO IT'S LIKE A CAKE, AND SO IT'S NOT LIKE WE'RE GOING TO GET MORE MONEY, ALTHOUGH MAYBE COLLECTING MORE TAXES, THAT MONEY GOING BACK TO THE STATE.

SO HOW CAN WE CUT SOMEWHERE TO PROVIDE MAYBE BIGGER SLICES SOMEWHERE.

RIGHT. SO SO IT'S REALLY THAT'S WHAT IT IS. IT'S GOING TO BOIL DOWN TO US COMING TOGETHER, MAKING MAYBE SOME DIFFICULT DECISIONS IF WE REALLY WANT TO ADDRESS THIS BECAUSE THE STATE IS NOT OR DID NOT PROVIDE EXTRA MONIES REALLY, OR DOLLARS FOR US TO ADDRESS IT, THEY DID NOT.

RIGHT, AND I THINK THAT WE HAVE AREAS TO MAKE DRASTIC DECISIONS THAT OTHER DISTRICTS ARE HAVING TO MAKE, RIGHT? LIKE WE HAVE NOT HAD TO CLOSE SCHOOLS.

WE HAVE NOT HAD TO CHANGE SCHEDULES AND GO FROM 6 OF 8 TO 7 OF 8.

WE'VE BEEN VERY BLESSED TO DO THAT, CUT PROGRAMS, BUT THAT MAY BE THE REALITY, BUT WHAT I'M HEARING IS THAT'S NOT OUR REALITY RIGHT NOW.

WE'RE TRYING TO RETAIN AS MANY FOLKS. ABSOLUTELY.

THAT IS THERE IS ACTUALLY AND THANK YOU FOR BRINGING THAT UP. I MEAN, FOR US, WHEN WE LOOK AT THIS BUDGET, OUR PRIORITY IS TO PROTECT OUR SCHOOLS AND OUR CLASSROOMS AS MUCH AS WE CAN.

SO THAT'S WHY WE TRY. WE TRY NOT TO REDUCE OUR WORKFORCE AS A WHOLE, TRYING TO KIND OF KEEP IT AS MUCH AS POSSIBLE THE SAME.

I HEAR HORROR STORIES ABOUT RIFTING IN MANY SCHOOL DISTRICTS.

LIKE YOU SAID, SOME OF THEM ARE CLOSING SCHOOLS OR THINKING ABOUT CLOSING SCHOOLS, CUTTING PROGRAMS. SOME OF OUR OWN NEIGHBORING DISTRICTS CUT PROGRAMS AND LET A LOT OF STAFF GO. SO WE'RE NOT DOING ANY OF THAT STUFF, AND SO FOR THAT, I MEAN, OBVIOUSLY I'M GRATEFUL AND THANKFUL THAT WE'LL BE ABLE TO DO IT, BUT IF WE WANT TO BRING SOME MORE MONEY OR HAVE MORE MONEY TO ADDRESS ANY OTHER THINGS, LIKE IF WE WANT TO INCREASE THE COMPENSATION MORE, THAT'S GOING TO MEAN THAT WE HAVE TO CUT SOME OTHER PLACE, AND THAT WASN'T OUR PRIORITY.

OUR PRIORITY WAS TO KEEP EVERYBODY HERE, AND I MIGHT BE CLOSE TO MY TIME. I HAVE A PROCEDURAL QUESTION, MICHELLE, AND THAT IS IS IT OKAY IF WE GO OUT OF ORDER? CAN WE GO AHEAD AND HEAR THE BUDGET PRESENTATION AND COME BACK TO VOTE ON THIS? YES, YES. PERFECT. BECAUSE I WOULD JUST LOVE TO PUT IT IN CONTEXT, IF THAT'S OKAY.

COLLEAGUES, AND I SEE THAT YOU HAVE A LIGHT ON BUT MY LAST QUESTION IS, SINCE WE'RE NOT MAKING VERY DRASTIC CUTS, I KNOW ONE PRIORITY OF THIS BOARD IS TWO WAY COMMUNICATION.

COULD THAT BE A PRIORITY IN THE COMING YEAR TO WORK WITH STAFF AND TO WORK WITH OUR STAKEHOLDERS TO FIGURE OUT WHAT DRASTIC MEASURES WE NEED TO TAKE, AND WHAT ARE OUR VALUES TO SHIFT OUR BUDGET IF WE'RE GOING TO MAKE ANY DRASTIC CHANGES, WE'RE NOT GOING TO DO IT IN ISOLATION, OBVIOUSLY. RIGHT. WE WILL COME UP WITH DIFFERENT OPTIONS, SCENARIOS AND FIRST OF ALL GET AN INPUT ABOUT WHAT CAN WE DO OR CHANGE.

YOU KNOW, THEN HAVING MEETINGS AND CONVERSATION AND GATHERING EVEN MORE INPUT AND THEN AND THEN LET LET US DECIDE COLLECTIVELY.

RIGHT. NOT IN ISOLATION. WHAT WOULD BE THE BEST WAY TO GENERATE SOME MORE SAVINGS ELSEWHERE?

[00:50:01]

RESPECTFULLY, I DON'T THINK IT'S OBVIOUS JUST BECAUSE OF THE NATURE OF EDUCATION AND OUR HISTORY IN ROUND ROCK ISD, BUT I DO THINK THAT WE HAVE THE OPPORTUNITY TO STABILIZE OUR SITUATION NOW AND TAKE THE YEAR TO FIGURE OUT WHAT OUR SHARED PRIORITIES ARE.

TRUSTEE MARKUM. YEAH, I WAS JUST GOING TO PROVIDE A LITTLE BIT MORE CONTEXT ON BEING GRIDLOCKED WITH THE ALLOTMENTS.

SO THE SPIRIT OF THE BILL, TOO, WAS AGAIN WORKING WITH RURAL DISTRICTS AND CREATING THOSE ALLOTMENTS TO MAKE INCREASES MORE EQUITABLE ACROSS THE STATE BETWEEN ALL OF OUR DIFFERENT SIZED DISTRICTS, BUT WE TALKED ABOUT, YOU KNOW, IT DOESN'T TAKE INTO CONSIDERATION THAT'S WHAT WE MEAN WHEN IT DOESN'T TAKE INTO CONSIDERATION THE COMPLEXITIES OF WHAT EACH SCHOOL DISTRICT LOOKS LIKE, BECAUSE RURAL DISTRICTS HAVE A HARD TIME RECRUITING, BUT THE COST OF LIVING IN SUBURBAN AND URBAN AREAS IS EXTREMELY HIGH AND THAT WAS NOT TAKEN INTO CONSIDERATION.

SO WHEN WE LOOK AT BEING GRIDLOCKED BY THESE ALLOTMENTS, IT BECAUSE IT'S NOT YOU CAN'T DO A ONE SIZE FITS ALL, AND WE'RE SEEING HOW CERTAIN DISTRICTS ARE GOING TO SUFFER FROM BEING GRIDLOCKED THAT WAY, AND THEN ALONG YOUR LINES OF TWO WAY COMMUNICATION, I THINK THE LEGISLATIVE COMMITTEE AND TWO WAY COULD MAYBE WORK TOGETHER.

THERE'S ALREADY A LOT OF OVERLAP THERE. ABOUT EDUCATION AROUND THE LEGISLATIVE PROCESS AS WELL, BECAUSE I THINK THAT'S IMPORTANT CONTEXT FOR ALSO WHY THESE DECISIONS ARE MADE AND ALSO IMPORTANT INFORMATION TO HAVE AS WE REACH OUT TO STAKEHOLDERS.

IF WE DO HAVE TO MAKE DRASTIC CUTS ABOUT HOW HOW THIS WHOLE SYSTEM WORKS.

THANK YOU. THAT'D BE BENEFICIAL ALL AROUND COLLEAGUES.

DOES ANYBODY ELSE HAVE ANY QUESTIONS OR COMMENTS.

[E. BUDGET WORKSHOP]

I'M GOING TO MOVE US TO AGENDA ITEM E ONE 2025-2026 PROPOSED BUDGET.

DOCTOR AZAIEZ. THANK YOU AGAIN, AND I THINK SO I THINK WITH THIS, I'M HOPING THAT THIS WILL ALSO PUT SOME CONTEXT TO WHAT WE'RE TRYING TO DO, AND I APPRECIATE YOU MOVING TO TALK ABOUT THE BUDGET, BECAUSE WE CANNOT TALK ABOUT COMPENSATION WITHOUT TALKING ABOUT BUDGET.

WE CANNOT TALK ABOUT BUDGET WITHOUT COMPENSATION. AS YOU KNOW, I THINK 85, 86% OF OUR TOTAL BUDGET IS ACTUALLY COMPENSATION.

SO, DENNIS, IF YOU CAN TAKE IT OVER. GOOD EVENING EVERYBODY.

WE WILL GO OVER THE SUPERINTENDENT'S PROPOSED BUDGET FOR THE 25-26 SCHOOL YEAR.

TONIGHT WE WILL PRESENT THE BUDGET, THE I&S BUDGET AND THE FOOD SERVICE BUDGET, WHICH YOU ALL MUST APPROVE ON JUNE 17TH. SO WE'LL START WITH WITH THE BUDGET THAT IS NEAR AND DEAR TO ALL OF OUR HEARTS.

MAINTENANCE AND OPERATIONS. OUR GOALS, AS YOU ALL CAN TELL, HAVE NOT CHANGED SINCE WE STARTED THIS PROCESS AND WE TRY VERY HARD TO MAINTAIN THESE GOALS THROUGHOUT THIS PROCESS. WE WILL GET TO THAT LAST GOAL OF THE BALANCED BUDGET MOMENTARILY, BUT AS YOU CAN SEE, WE TRIED WE DID STAY FOCUSED ON INSTRUCTION.

WE FOCUS ON SCHOOL SAFETY. WE REDUCED EXPENDITURES FROM THE 24-25 BUDGET.

WE MINIMIZE THE REDUCTIONS IN THE CLASSROOM. SO WE ADHERE TO THE GOALS AND OBJECTIVES THAT WE WERE GIVEN WHEN WE STARTED THIS PROCESS, BUT THIS IS WHERE IT WENT AWRY. HERE'S THE IMPLICATIONS ON THE BUDGET FOR HB2.

THE BASIC ALLOTMENT INCREASED BY $55 PER ADA THAT WAS ABOUT $2.4 MILLION FOR US, BUT ALONG WITH THAT $55, THERE WAS A CHANGE TO THE YIELD RATE OF THE GOLDEN PENNY.

THEY THEY FROZE THE YIELD RATE, MEANING THEY TOOK GUARANTEED MONEY FOR A SCHOOL DISTRICT BECAUSE, YOU KNOW, THE GOLDEN PENNY IS NOT SUBJECT TO RECAPTURE.

THEY MOVE THOSE DOLLARS INTO THE BASIC ALLOTMENT, AND SO THAT $55 IS NOT REALLY NEW MONEY.

IT'S JUST A REDIRECTION OF MONEY. SO WE LOST ABOUT $1.1 MILLION OF GUARANTEED MONEY WHEN THEY MOVED THAT TO THE BASIC ALLOTMENT.

THE SENATE VERSION DID PUT IN A BASIC COST ALLOTMENT, WHICH IS $106 PER ENROLLMENT, NOT ADA.

IT'S BASED ON ENROLLMENT. THAT WAS ABOUT $5 MILLION.

THEY ADDED A SPECIAL EDUCATION EVALUATION ALLOTMENT WHERE WE ARE ALREADY DOING THESE EVALUATIONS.

SO THIS IS JUST MONEY TO COVER WHAT WE'RE ALREADY SPENDING.

THAT WAS $1.6 MILLION. THEY PUT IN AN EARLY EDUCATION ALLOTMENT INCREASE, BUT IT HAS AN EARMARK FOR MATH TRAINING.

SO THE INCREASE WAS ABOUT $1.1 MILLION, BUT OF THAT $800,000 OF IT, YOU MUST SPEND A SPECIFIC WAY.

IT'S NOT UP TO THE DISTRICT ON HOW TO SPEND THE TOTAL 1.1 MILLION.

[00:55:05]

THERE WAS NOTHING IN HB TWO FOR COMPENSATION FOR THOSE TEACHERS.

THE 3 TO 4 AND FIVE OR MORE YEARS COST ABOUT $14.6 MILLION, AND AS EDDIE SAID EARLIER, THE $45 PER ADA FOR OUR SUPPORT STAFF, THAT CAME ABOUT $1.9 MILLION.

SO ROUND ROCK RECEIVED AN INCREASE OF ABOUT $26.2 MILLION IN HB2.

REMEMBER THAT NUMBER? 26.2. THE OTHER LEGISLATIVE IMPACT SENATE BILL TWO 60 THE SCHOOL SAFETY ALLOTMENT.

IT WAS FINALLY SETTLED THAT WE WOULD MOVE FROM $10 TO $20 PER ADA AND IT INCREASED THE CAMPUS ALLOTMENT FROM 15,000 TO 34,000, WHICH WAS A SLIGHT REDUCTION FROM WHAT WAS PREVIOUSLY IN THE HOUSE.

SO OUR PROJECTED INCREASE FOR THE SAFETY ALLOTMENT IS $1.5 MILLION.

NOW, SENATE BILL FOUR IS STILL OUT THERE. THIS IS WHERE THEY ARE PROPOSING AN INCREASE TO THE HOMESTEAD ALLOTMENT FROM 100,000 TO 140,000, AND AS YOU CAN SEE, THAT'S NOTED ON THE SLIDE.

IT WILL BE A DECREASE IN REVENUE FOR THE DISTRICT, BUT WE DON'T HAVE A WAY OF DETERMINING THAT AT THE MOMENT.

SO WHEN WE GET TO THE BUDGET ITSELF AND THE BUDGET YOU'RE PROBABLY GOING TO APPROVE IN JUNE.

IT WILL BE PENDING THE IMPACT OF THAT ALLOTMENT CHANGE, AND YOU WILL PROBABLY HAVE TO ADOPT THE BUDGET AS IS AND THEN AMEND IT IN AUGUST WHEN WE COME BACK, WHEN THE [INAUDIBLE] HAVE A CHANCE TO FIGURE OUT WHAT THIS CHANGE DOES, AND THEN, AS YOU KNOW, IT'S STILL GOT TO GO TO THE VOTERS IN NOVEMBER.

SO IT MAY BE A WHILE BEFORE WE CAN REALLY AMEND THE BUDGET TO KNOW EXACTLY WHAT OUR REVENUE IS GOING TO BE BASED ON THE TAX COLLECTION.

THE OTHER PIECE THAT WAS VERY DISHEARTENING WAS HOUSE BILL 500, THE SUPPLEMENTAL APPROPRIATION.

THIS APPROPRIATION DIED, AND AS YOU ALL REMEMBER, THIS IS APPROPRIATION THAT HAD THE MONEY SET ASIDE TO REPAY THE DISTRICT FOR THE MONEY THEY LOST FOR THE SHARS. THAT WAS ABOUT $8 MILLION THAT WE LOST WITH THE CHANGE IN THE SHAHS THAT WE'VE TALKED ABOUT PREVIOUSLY IN THIS DAIS, AROUND THE DAIS . SO WE WILL NOT BE RECEIVING THE $8 MILLION.

SO WHAT'S THE TOTAL IMPACT OF WHAT THE LEGISLATURE HAS ON ROUND ROCK ISD? THE TOTAL INCREASE IS ABOUT $27.7 MILLION, OF WHICH HB TWO WAS 1.6, AND THEN THE SAFETY WAS 1.5. I MEAN, 27. I'M SORRY, AND THEN BUT HERE'S THE KICKER.

THOSE SET ASIDES, SO THEY GAVE US 27, BUT YOU MUST USE 16 OF IT TO PAY THE TEACHERS COMPENSATION AND THE SUPPORT STAFF COMPENSATION.

YOU MUST PAY THE FRINGE BENEFITS FOR THOSE COMPENSATIONS, AND THAT EARLY MATH TRAINING WAS LIKE THE $800,000 THAT I SHOWED YOU EARLIER.

SO THE TOTAL SET ASIDES WAS $17.6 MILLION. SO WE REALLY ONLY GAINED $10 MILLION OF FLEXIBLE MONEY FROM THE STATE LEGISLATURE.

SO WE TOOK THOSE ITEMS FROM THE STATE. WE APPLIED OUR ASSUMPTIONS.

OUR STUDENT ENROLLMENT ABOUT 40 71I. AVERAGE DAILY ATTENDANCE STILL AT 92%, INCLUDING PRE-K.

WE GOT NOTICE FROM OUR WINSTON COUNTY AND TRAVIS COUNTY THAT OUR PROPERTY VALUE IS GOING TO INCREASE ABOUT 2%.

THE BASIC ALLOTMENT DID GO UP FROM 6160 TO 6215.

THIS BUDGET IS STILL BASED ON THE HOLD HARMLESS BEING AT THE $100,000, AND THE MAXIMUM PRESS RATE IS 0.6301, AND IF THEY CHANGE THE HOMESTEAD ALLOTMENT, THAT MAXIMUM COMPRESS RATE IS GOING TO CHANGE.

I JUST WANT TO ADD, I DON'T KNOW IF HOW MUCH YOU FOLLOW TO I WAS SAYING SENATE BILL SIX.

I MEANT THERE ARE SO MANY NUMBERS. SENATE BILL FOUR WHAT DENNIS IS TALKING ABOUT.

SO THAT WAS APPROVED. I THINK EITHER APRIL, I'M SORRY, FEBRUARY OR MARCH, I THINK FROM THE SENATE WENT TO THE HOUSE AND JUST ON JUNE 1ST THE HOUSE APPROVED IT. SO ACTUALLY IT WAS JUST SENT A COUPLE OF DAYS AGO TO THE GOVERNOR'S OFFICE.

WE EXPECT IT ALSO TO BE SIGNED, AND THAT'S GOING TO HAVE IMPLICATION IN OUR MAXIMUM COMPRESSION RATE THE TAX COLLECTION RATE AND STUFF LIKE THAT.

RIGHT, AND SO THE STATE USUALLY DOES WHAT'S CALLED HOLD HARMLESS.

SO IN OTHER WORDS, IF A SCHOOL DISTRICT ENDS UP LOSING MONEY BECAUSE OF AN INCREASE IN HOMESTEAD EXEMPTION,

[01:00:01]

RIGHT. NOT MORE, BUT THE SAME WHERE WE'RE JUST WATCHING BECAUSE THEY'RE TALKING ABOUT DOING SOME KIND OF THING WHERE COMBINE ALL THE HOMESTEAD EXEMPTION HOLD HARMLESS LIKE THEY TRY TO DO IT BECAUSE REMEMBER, THERE WAS HOMESTEAD EXEMPTION INCREASED FROM 40,000 TO 100,000 BACK IN 2023, AND THAT WAS A COUPLE OF YEARS PRIOR TO THAT.

THERE WAS FROM 25 TO 40. SO THOSE ARE WELCOMING NEWS FOR OUR TAXPAYERS, BUT WE WANT TO MAKE SURE THAT OUR STATE HOLDS OUR DISTRICT HARMLESS, AND THAT'S WHY WE'RE TRYING TO WORK WITH THEM AND MAKE SURE THAT WE DON'T END UP LIKE LOSING MORE MONEY.

SO THAT'S WHAT DENNIS IS SAYING. WE HAVE TO GO BACK AND DO ALL THIS CALCULATION AND CHECK WITH THE COMPTROLLER AND EVERYBODY ELSE THAT HOW THAT'S GOING TO IMPACT OUR DISTRICT.

SO LET'S TAKE A LOOK AT THE MAINTENANCE AND OPERATIONS BUDGET.

ON THIS SLIDE. YOU WILL SEE THE COLUMN ON THE LEFT IS IF THE GOVERNOR VETOES HOUSE BILL TWO.

THE COLUMN ON THE RIGHT IS IF HE SIGNS IT OR DOESN'T SIGN IT, AND IT JUST GOES INTO LAW.

SO WE'RE GOING TO REALLY CONCENTRATE ON THE COLUMN ON THE RIGHT.

SO AS YOU CAN SEE IN THE NOTE HB TWO $27.7 MILLION INCREASE, BUT IT DOES NOT INCLUDE ANY CHANGE THAT WILL BE FELT BY HOMESTEAD EXEMPTION GOING TO 140,000. SO SINCE OUR LAST PRESENTATION, THE ONLY NUMBER ON THIS SLIDE THAT HAS CHANGED IS THE STATE REVENUE NUMBER.

THAT REVENUE NOW IS PROJECTED TO BE THE 50 MILLION FOR 15, WHICH IS ABOVE THE 32.5 THAT WE WOULD HAVE GOT WITHOUT HB2.

SO OUR TOTAL PROJECTED REVENUE IF HB2 COMES INTO LAW IS $47 8.8 MILLION.

IF IT'S NOT SIGNED INTO LAW, IT'S $461 MILLION.

WHILE WE'RE ON THIS SLIDE, DO YOU MIND IF I ASK? SURE. REAL QUICK. THERE IS NO WAY TO ESTIMATE THAT CHANGE IN HOMESTEAD EXEMPTION.

LIKE NOT EVEN A BALLPARK. NO. THAT'S SO RIDICULOUS.

OKAY. THANK YOU. WE EVEN HAD A CONVERSATION WITH WILLIAMSON COUNTY AND THEY WERE LIKE, NO, WE CANNOT GIVE YOU A NUMBER FOR THAT YET. LIKE, THEY DON'T EVEN KNOW THE APPRAISAL DISTRICT.

THE APPRAISAL DISTRICT. YEAH. OKAY. THANK YOU.

SO ON THIS SLIDE YOU'LL SEE THE COMPENSATION INCREASE IS WHAT HAS CHANGED.

IT'S THE $17,190,000 THAT'S IN THE COMP PLAN.

OTHER THAN THAT ALL THE NUMBERS ON THIS SLIDE STAY THE SAME.

SO OUR TOTAL SALARIES AND BENEFITS IS $429.8 MILLION, WHICH INCLUDES THE COMP PLAN AS EDDIE DESCRIBED.

WE DIDN'T MAKE ANY CHANGES TO THIS SLIDE. OUR TOTAL ALLOCATIONS IS THE $50,221,000.

THE ONLY THING THAT'S DIFFERENT IS THE RECAPTURE.

YOU SEE THAT WE HAD $9 MILLION OF RECAPTURE. NINE GOES TO ZERO DUE TO ALL THE CHANGES IN THE STATE ALLOTMENT.

SO THAT THOSE TWO INCREASES ON THE STATE AND THE REDUCTION OF THE HOME RECAPTURE IS THE $27 MILLION INCREASE.

SO FOR 79.9 IS OUR TOTAL EXPENDITURES. SO. BACK TO ONE OF THOSE GOALS WAS THE BALANCE OF THE BUDGET. WE GOT AS CLOSE AS WE COULD.

WE REALLY TRIED TO GET THERE, BUT AS YOU CAN SEE, WE STILL $1 MILLION IN THE RED FOR TO 2526 SCHOOL YEAR. THIS IS A LIST OF ALL THE REDUCTIONS THAT WE MADE IN THE BUDGET.

THESE ARE WHAT WE WENT OVER THE LAST WORKSHOP.

SO I JUST WANT TO MAKE SURE THEY WERE STILL THERE. IF PEOPLE WANT TO SEE WE REDUCED 24-25 BUDGET BY $10.4 MILLION, BUT THERE WERE SOME THINGS THAT WE HAD TO ADD TO THE TUNE OF $1.9 MILLION, AND THOSE ARE LISTED THERE THAT YOU CAN SEE.

THESE THINGS ARE MISSION CRITICAL. SO WE HAD TO COVER THOSE COSTS, AND MADAM CHAIR, THAT IS THE BUDGET. WE CAN ROLL THROUGH THE NEXT TWO BEFORE WE TAKE QUESTIONS.

OUR INTEREST IN SINKING FUND BUDGET. AS YOU ALL KNOW, THIS IS THE BOND BUDGET.

OUR ASSUMPTION IS BASED ON THE PROPERTY VALUE INCREASE OF 2%.

LIKE THE BUDGET, WE ARE PROPOSING THAT THE RATE IS FLAT TO COVER DEBT PAYMENT AND TO MAKE A $15.5 MILLION DEFICIENCY PAYMENT

[01:05:04]

THAT WOULD GENERATE $99 MILLION FOR US TAX COLLECTION, SOME REVENUE FROM THE STATE OF 2.5, I MEAN, OTHER LOCAL REVENUE AND THEN SOME REVENUE FROM THE STATE OF 4 MILLION.

SO WE HAVE A TOTAL REVENUE OF 106 MILLION. WE HAVE TOTAL EXPENDITURES WITH THE PRINCIPAL, THE INTEREST AND THE DEFICIENCY PAYMENT OF 105, 106 MILLION. SO THAT ONE WILL BE A POSITIVE SURPLUS OF 534.

IN THE FULL SERVICE BUDGET. WE HAVE AN APPROVED CONTRACT BY THE TEXAS DEPARTMENT OF EDUCATION.

WE ARE HAPPY TO SAY THERE IS NO PRICE INCREASES PROPOSED FOR OUR LUNCH OR BREAKFAST, OUR NATIONAL LUNCH PROGRAM STILL WILL HAVE A HIGHER END BURSTABLE RATE, AND THE FUND BALANCE IS $3.3 MILLION.

AS REMEMBER PREVIOUSLY, THAT NUMBER WAS HIGHER, BUT IT WAS TOO HIGH IN THE STATE.

HAD TO INSTITUTE WHAT WE HAD TO PUT ON A SPEND DOWN PLAN.

SO WE HAVE EXECUTED THAT. NOW. FUND BALANCE IS WITHIN THE LIMITS OF THE $3.3 MILLION.

SO THIS IS WHAT THE FULL SERVICE BUDGET LOOK LIKE.

AS YOU CAN SEE, OUR TOTAL REVENUES PROJECTED IS $20.2 MILLION FROM FROM THE SALES AND SOME FEDERAL REVENUE FOR REIMBURSEMENTS, AND OUR EXPENDITURES AS LISTED THERE WITH FOOD SERVICES MAINTENANCE AND SECURITY MONITORING SERVICES, $19.3 MILLION. SO WE'RE PROJECTING THAT WE WILL BE INCREASING THE FUND BALANCE BY $902,000.

SO WHAT ARE OUR NEXT STEPS? TONIGHT WE HOPE TO APPROVE THE COMPENSATION PLAN.

WE ALSO PRESENTED THE PROPOSED BUDGET FROM THE SUPERINTENDENT, AND THEN WE ARE PLANNING TO ADOPT THE BUDGET ON JUNE 17TH, 2025. MADAM CHAIR, BOARD MEMBERS, THAT IS THE PROPOSED SUPERINTENDENT'S BUDGET FOR THE 2526 SCHOOL YEAR, AND WE PAUSE FOR QUESTIONS. THANK YOU SO MUCH FOR BRINGING THIS, COLLEAGUES.

ANY QUESTIONS? TRUSTEE ZÁRATE. I'VE GOT A REAL STUPID QUESTION.

SO I KNOW WE CAN'T DO MUCH FOR TEACHERS THIS YEAR, BUT I'M LOOKING AT THE I DON'T KNOW HOW IT CAN BE SPENT.

IS THE THING THE FUND THE FACT THAT WE HAVE A SURPLUS IN OUR FOOD SERVICE BUDGET.

IS THERE ANY WAY WE COULD DO SOMETHING AT LEAST LIKE BREAKFAST AND LUNCH FOR OUR TEACHERS OUT OF THAT BUDGET FOR FREE? I KNOW THEY DON'T ALWAYS EAT THERE, BUT WE CAN'T DO THAT, RIGHT? I THINK I THINK THERE IS FEDERAL LAWS.

WE CAN GO BACK AND CHECK MY UNDERSTANDING. THERE'S A FEDERAL LAW THAT DOESN'T ALLOW THAT, AND NO, SIR. THANK YOU. I KNEW IT WAS A STUPID QUESTION.

YEAH, I KNOW. I'D BE MORE THAN HAPPY TO DO THAT IF WE COULD.

IF WE CAN, BUT I THINK WE DON'T EVEN DO IT FOR OUR KIDS.

NO. YOU CANNOT.

CAN YOU TALK THROUGH ON SLIDE 15? OKAY, SO THAT 1.085 DEFICIT, CAN YOU TALK ABOUT THE IMPACT THAT HAS BECAUSE I'M ASSUMING IT WOULD COME FROM FUND BALANCE. CORRECT? NO. WITH US KNOWING THIS EARLY, WE WILL PUT IN MEASURES BEGINNING AT THE START OF THE YEAR THAT WE WOULD PLAN TO SAVE THAT MONEY. SO IT WOULD NOT GO AGAINST FUND BALANCE, BECAUSE I KNOW WE DON'T WANT TO TOUCH IT, BUT I'M REALLY NERVOUS ABOUT NOT KNOWING THE IMPACT OF THE HOMESTEAD EXEMPTION.

IT COULD BE $1 MILLION, IT COULD BE $5 MILLION, BUT AS DR.

AZ SAID, IF IT'S THAT DRASTIC OF A IMPACT, THE STATE HAS SAID THEY WILL HOLD US HARMLESS.

OKAY, AND WE HAVE AS I SAID, WE HAVE WE'VE BEEN IN CONVERSATION AS OF JUST YESTERDAY WITH OUR LOCAL REPS AND THINGS LIKE THAT, BECAUSE THEY WERE PUT SOME MEASURE, THEY EVEN INCLUDED THE CHAIRMAN BOTH THE HOUSE, THE HOUSE CHAIR, THE COMMITTEE, THE EDUCATION COMMITTEE CHAIR BUCKLEY.

I GUESS CHAIRMAN BUCKLEY, AND THEN ALSO FROM CREIGHTON, WHO IS THE CHAIR FOR THE EDUCATION COMMITTEE FROM THE SENATE SIDE, AND THEN WITH COMMISSIONER MORATH, BECAUSE THEY WANTED OUR REPS BECAUSE THEY WERE THEY WERE TALKING ABOUT AND I'M TALKING TOO MUCH HERE GETTING TECHNICAL,

[01:10:01]

SORRY. THAT'S SORRY. I'M FEELING A LITTLE SAUCY TONIGHT.

OKAY. SO YOU FEEL CONFIDENT THAT WE WILL BE ABLE TO FIND THAT MILLION DOLLARS? THE MILLION DOLLARS EQUATES TO ABOUT 15 TEACHERS, AND AS YOU KNOW, WE AND EDDIE CAN TALK THIS BETTER, BUT OUR FEEL RATE IS ABOUT 98%. SO WE WILL HAVE SALARIES GENERATED FROM TEACHERS AND OTHER POSITIONS THAT ARE OUT THERE VACANT, THAT WE FEEL VERY CONFIDENT THAT $1 MILLION WE WILL MAKE UP IN SALARIES, ESPECIALLY FROM THE START OF THE SCHOOL YEAR.

OKAY. TRUSTEE MARKUM. OKAY, SINCE YOU JUST SAID THAT 'S NOT WE'RE NOT SAYING THAT FLIPPANTLY, THAT WE JUST DON'T WANT TO FILL 15 TEACHER VACANCIES.

IT'S A NORMAL PRACTICE THAT WE LOOK AT ENROLLMENT AND EVERYTHING, AND TYPICALLY THOSE THINGS KIND OF SHORE UP.

I JUST WANT TO MAKE SURE TO THE COMMUNITY THAT DOESN'T COME ACROSS, YOU KNOW, FLIPPANT THAT WE'RE LIKE, OH, WE'LL JUST DO IT THROUGH TEACHERS, BUT IT'S JUST IT'S A COMMON PRACTICE. YEAH. I MEAN, YOU KNOW, OUR GOAL IS TO FILL EVERY POSITION IN THE DISTRICT.

SO DENNIS AND I ARE THE YIN AND THE YANG MAN.

STOP FILLING POSITIONS. I HAVE TO FILL POSITIONS.

SO IT IS VERY MUCH A PUSH AND PULL, AND, AND DENNIS KIND OF GUIDES ME WITH WHERE WE ARE, BUT , YOU KNOW, AT ANY POINT, YOU KNOW, WE HAVE 6400 EMPLOYEES IN THE DISTRICT.

WE HAVE, YOU KNOW, IT'S NOT JUST CLASSROOM POSITIONS. IT COULD BE ANYWHERE. RIGHT? SO, YES, WE'RE CONFIDENT THAT NUMBER WOULD NOT BE INSURMOUNTABLE.

OKAY. THANK YOU FOR CLARIFYING AND CLARIFYING THAT. IT'S NOT JUST CLASSROOM POSITIONS THAT'S WE LOOK AT ALL OF THAT, AND THEN CAN YOU WITH THE HOMESTEAD EXEMPTION, CAN YOU DEFINE DRASTIC LIKE WHAT IS THE THRESHOLD BECAUSE YOU SAID IF IT GETS THAT DRASTIC RIGHT, THAT WE'RE HELD HARMLESS. WHAT IS THAT? WHAT IS THAT THRESHOLD LOOK LIKE? I HONESTLY DO NOT KNOW. WE DON'T KNOW THAT I CAN SAY THIS.

IN THE PREVIOUS HOMESTEAD EXEMPTIONS THAT THE STATE HAD PROMISED TO HOLD US HARMLESS.

WE HADN'T GOTTEN ANY OF THOSE DOLLARS BECAUSE OUR PROPERTY VALUE AND THE AMOUNT OF MONEY THAT WE BRING IN ERASES HOW MUCH THEY WOULD HAVE GIVEN US IN TAX COLLECTION. TAX COLLECTION, BECAUSE OUR PROPERTY BECAUSE OF THE PAST FEW YEARS, OBVIOUSLY NOT ONLY WE WERE HAVING NEW DEVELOPMENT COMING IN WHETHER RESIDENTIAL BUT ALSO COMMERCIALS AND LIKE, YOU KNOW, APPLE AND OTHER BIG COMPANIES COMING HERE, BUT ALSO THE PROPERTY VALUE, AS YOU ALL KNOW, BEEN ALSO GOING UP. RIGHT. SO HOME PROPERTY VALUES AND THINGS LIKE THAT.

SO THAT'S WHY THE STATE NEVER HAD HAD THE NEED TO COMPENSATE FOR THAT, BUT WE MUST HAVE THAT JUST IN CASE.

AS YOU SAW, THERE WAS ONLY A 2% INCREASE IN OUR PROPERTY VALUE, RIGHT? SO WE WANT TO MAKE SURE IF THAT IS NOT ENOUGH TO ACCOUNT FOR THE INCREASE IN HOMESTEAD EXEMPTION, THAT THE STATE WILL BE READY TO KIND OF OFFSET ANY LOSS IN OUR DISTRICT.

I'M SORRY. I MEAN, THAT'S I MEAN, THESE THESE ARE THE THINGS UNFORTUNATELY, WE HAVE TO DEAL WITH. I MEAN, AGAIN, WE'RE EXTREMELY HAPPY FOR OUR TAXPAYERS.

I THINK IT'S A GREAT RELIEF THAT THE INCREASE IN HOMESTEAD EXEMPTION, BUT BUT ALSO LIKE FOR US LIKE BELIEVE IT OR NOT, WE'RE GOING TO START SCHOOL IN LESS THAN TWO MONTHS.

RIGHT. SO WE NEED TO BE READY ALSO TO WELCOME OUR STUDENTS BACK, OUR TEACHERS, OUR STAFF, MAKE SURE THEY'RE READY AND HAVE ALL THE HOPEFULLY THE THINGS THAT THEY NEED.

SO WE CANNOT BE SAYING, OH GUESS WHAT. WE WE'RE DOWN LIKE FIVE OR MILLION OR WHATEVER THAT MIGHT BE THAT NUMBER.

BECAUSE THAT COULD HAVE SERIOUS IMPLICATIONS ON HOW OUR BUDGET AND HOW WE'RE SUPPOSED TO SPEND THAT MONEY.

TRUSTEE WEIR. I JUST HAD A QUICK FOLLOW UP QUESTION, BECAUSE WHEN YOU WERE TALKING EARLIER ABOUT SENATE BILL FOUR AND THE A LOT AND THE HOMESTEAD ALLOTMENT, YOU I, I THINK THAT YOU MADE A COMMENT THAT IT COULD ACTUALLY ALSO AFFECT RECAPTURE OR NOT.

NO MAXIMUM COMPRESSION RATE OR THE MAXIMUM COMPRESSION RATE, BUT THEN IF THE HOMESTEAD ALLOTMENT AFFECTS MAXIMUM COMPRESSION RATE, THAT CAN THEN THAT CHANGES THE AMOUNT OF TAXES YOU BRING IN BECAUSE IT WILL LOWER YOUR TAX RATE, AND SO ARE WE CONCERNED ABOUT THAT? I MEAN, AND WHEN WILL WE KNOW THAT? BECAUSE YOU WERE TALKING ABOUT AN AUGUST DATE AND THE CADS AND I MEAN, WE REMEMBER WE BRING BACK THE TAX RATE IN SEPTEMBER.

SO WE HAVE TO WAIT TILL WE GET THE CERTIFIED PROPERTY VALUES FROM THE CADS BEFORE WE CAN BRING BACK THE TAX RATE, WHERE THEY TELL US WHAT THE MCR IS. OKAY. IT'S COMPLEX.

[01:15:02]

SO. I DON'T SEE ANY MORE LIGHTS. THANK YOU.

LIKE, PLEASE DON'T WELCOME ANY MORE QUESTIONS.

THANK YOU. THANK YOU TO BOTH OF YOU. I KNOW THIS IS NOT A COMFORTABLE POSITION, A FUN POSITION IN ANY WAY, BUT THANK YOU FOR DOING THE BEST WE CAN DO. APPRECIATE IT.

ALL RIGHT. I WOULD LIKE TO TAKE US BACK TO AGENDA ITEM D ONE.

[D. ACTION ITEM (Part 2 of 2)]

TRUSTEES, DO I HAVE A MOTION? MADAM PRESIDENT, I MOVE THAT THE BOARD OF TRUSTEES APPROVE THE ADMINISTRATION'S RECOMMENDED 2025-2026 COMPENSATION PLAN AS REFLECTED IN APPENDIX A.

I ALSO MOVE THAT IF AND ONLY IF HOUSE BILL TWO, IN ITS CURRENT VERSION, IS NOT SIGNED INTO LAW, THAT THE BOARD OF TRUSTEES APPROVED THE 2025 2026 COMPENSATION PLAN AS REFLECTED IN APPENDIX B.

SECOND, WE HAVE A MOTION AND A SECOND. ANY COMMENTS? OKAY. ALL IN FAVOR OF THE MOTION ON THE FLOOR? NONE OPPOSED. MOTION CARRIES SIX ZERO. OKAY. WE ARE MOVING INTO CLOSED SESSION.

[F. CLOSED SESSION]

THE BOARD WILL MEET, IN CONSULTATION WITH ATTORNEY, TO CONSIDER AND DISCUSS LIGHTHOUSE COMPLAINTS OR CONCERNS AGAINST THE SUPERINTENDENT AND TRUSTEES. IT IS 6:47. WE ARE NOW IN CLOSED AND WE WILL HAVE CLOSED IN THIS ROOM.

SO I ASK THAT EVERYONE VACATE THIS ROOM. THANK YOU.

GREAT. IT IS 8:13 P.M, AND WE ARE BACK IN OPEN SESSION.

[G. CALL BACK TO ORDER/EXECUTIVE SESSION MOTIONS]

SECOND. WE HAVE A MOTION AND A SECOND. ANY DISCUSSION? ALL IN FAVOR? OKAY. MOTION CARRIES SIX ZERO. SEEING NO OTHER BUSINESS.

IT IS 8:13 P.M., AND THIS MEETING IS ADJOURNED.

THANK YOU.

* This transcript was compiled from uncorrected Closed Captioning.