GOOD EVENING. THIS MEETING OF THE ROUND ROCK INDEPENDENT SCHOOL DISTRICT BOARD OF TRUSTEES PUBLIC HEARING IS CALLED TO ORDER IN ATTENDANCE TONIGHT, [00:00:06] WE HAVE. TRUSTEE ZÁRATE, TRUSTEE LANDRUM, TRUSTEE WEIR, TRUSTEE MARKUM, TRUSTEE ROSS, TRUSTEE WEI, AND TRUSTEE CUERO. PLEASE STAND FOR THE PLEDGE. OKAY. AT THIS TIME, I DO NOT HAVE ANY PUBLIC SPEAKERS, BUT JUST A. 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 20, 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 38.1342.01, 42.02 AND 42.05 IN TEXAS EDUCATION CODE 37.105. NO AUDIENCE, MEMBER OR SPEAKER WILL BE PERMITTED TO ENGAGE IN ANY CONDUCT THAT IS DISRUPTIVE OR THREATENING TOWARD ANY SPEAKER OR OTHER 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 SPEAKERS. PLEASE UNDERSTAND THAT A 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 ROSS, VICE PRESIDENT OF THE BOARD, WILL BE THE DESIGNATED TIMEKEEPER. AND WHILE I'M WAITING FOR THAT NAME, JUST A REMINDER THAT DURING A PUBLIC HEARING, YOU CAN SIGN UP TO SPEAK AT ANY TIME BEFORE THE END OF THE MEETING. OKAY. NO. YOU'RE GOOD. OKAY. WE DON'T ACTUALLY HAVE PUBLIC COMMENT YET, BUT AGAIN, REMINDER, YOU CAN SIGN UP AT ANY POINT DURING THE MEETING BEFORE WE ADJOURN. SO WE ARE GOING TO GO AHEAD AND MOVE ON TO AGENDA ITEM E 1. [E. PUBLIC HEARING] AND I'LL TURN IT OVER TO DOCTOR AZAIEZ. GOOD EVENING. PRESIDENT MARKUM, BOARD MEMBERS, STAFF AND COMMUNITY MEMBERS. IT'S THAT TIME OF YEAR WHERE WE HAVE TO SCHEDULE A PUBLIC HEARING. AS YOU KNOW, BY LAW, WE HAVE TO SCHEDULE A PUBLIC HEARING BEFORE ACTUALLY OFFERING THE ADOPTION OF THE BUDGET. SO WITH US TONIGHT IS DENNIS FOR THE LAST TIME. AS YOU KNOW, HE ANNOUNCED HIS RETIREMENT, SO IT WILL BE HIS LAST RIGHT PUBLIC HEARING. AND HOPEFULLY THAT'S CORRECT. YES. AND THEN RHONDA WITH US WE'RE KEEPING RHONDA AS. [LAUGHTER] AND SO HOPEFULLY, THIS I KNOW WE HAD SEVERAL CONVERSATIONS OVER THE SPRING SEMESTER TALKING ABOUT OUR CURRENT SITUATION. AND AS YOU KNOW, AND WE'RE AWARE OUR CURRENT SITUATION IS NO DIFFERENT THAN MANY OTHER ACTUALLY, MOST OF PUBLIC SCHOOLS IN THE STATE OF TEXAS TO THE LACK OF REALLY APPROPRIATE OR ADEQUATE FUNDING FROM THE STATE. BUT I KNOW THAT OUR TEAM AND AS OUR COMMUNITY, AS A DISTRICT AS A WHOLE, WORK REALLY HARD TO MAKE SURE THAT WE STAY WITHIN OUR BUDGET AND STAY AS MUCH AS POSSIBLE BALANCE DESPITE ALL THE CHALLENGES THAT WE FACE WITH EVERY DAY. SO WITH NO NO, NO OTHER DELAY, I WOULD LIKE FOR DENNIS FOR THE LAST TIME TO PRESENT TO US THE PUBLIC HEARING. GOOD EVENING, PRESIDENT [INAUDIBLE], VICE PRESIDENT ROSS AND OTHER BOARD MEMBERS AND SUPERINTENDENT. YES, THIS IS MY LAST PUBLIC HEARING FOR ROUND ROCK ISD AND I HAVE TRULY ENJOYED MY STAY HERE AND THE WORK THAT WE'VE ALL DONE TOGETHER FOR THE CITIZENS OF ROUND ROCK ISD. SO FOR THE 26-27 BUDGET, WE PRESENT OUR PUBLIC HEARING, AND WE ALWAYS START OUT WITH WHAT OUR BUDGETARY GOALS AND OBJECTIVES WERE. NUMBER ONE WAS TO FOCUS ON INSTRUCTION, MINIMIZE REDUCTIONS IN THE CLASSROOM, MAINTAIN COMPETITIVE COMPENSATION, MAXIMIZE THE USE OF GRANT FUNDING, REDUCE EXPENDITURES, AND BALANCE THE BUDGET. [00:05:03] AND I CAN SAY WE HAVE ACCOMPLISHED THOSE GOALS IN THIS BUDGET. WHY BALANCE THE BUDGET IS TO MAINTAIN OUR TRIPLE A BOND RATING, TO MAINTAIN A ON OUR FIRST RATING, AND TO RIGHTSIZE STAFFING FOR LONG TERM STABILITY OF THE DISTRICT. SO FOR THE MAINTENANCE AND OPERATIONS FUND BUDGET FOR 26=-27, HERE WERE THE BUDGET ASSUMPTIONS. OUR ESTIMATED PROPERTY VALUE INCREASED BY 1.5%. OUR ENROLLMENT PROJECTION IS 45,500 STUDENTS. OUR ATTENDANCE RATE PROJECTION IS 92%, WHICH INCLUDES PRE-K. BUT WE BUDGET K-12 AT 94%. BASIC ALLOTMENT REMAINS AT $6,215, AND THE MAXIMUM COMPRESSION RATE DROPPED TO 0.7054, WHICH IS ALMOST A HALF CENT REDUCTION. SO WHAT IS THE BUDGET FOR 26-27 FOR THE O&M MONEY? SO WE CONCENTRATE ON THE SECOND COLUMN FROM THE LEFT THAT IS THE PROPOSED BUDGET WHICH YOU WILL ADOPT TONIGHT. THE COLUMN NEXT TO THAT WAS FOR REFERENCES. IF YOU HAVE FIVE PENNIES, AND THE LAST ONE ON THE RIGHT IS FOR REFERENCE FOR SIX PENNIES, AND THAT ONE MATCHES WHAT YOU ALL APPROVED LAST WEEK TO GO FORH. CALL FOR THE VATRE FOR SIX PENNIES. SO WE'RE GOING TO DISREGARD THE FIVE PENNIES BECAUSE NOW WE'RE MOVING ON TO THE SIX PENNIES. BUT WE'RE ADOPTING THE COLUMN THAT SAYS PROPOSED BUDGET. SO IF YOU LOOK AT THAT COLUMN TAX COLLECTION RATE IS $332,520. OUR GOLDEN PENNIES ARE NET 42 MILLION 218 PENALTIES AND INTEREST IS $810. OUR INVESTMENT INCOME GREW A LITTLE BIT OVER THE LAST YEAR. SO DID OUR OTHER LOCAL REVENUE INDIRECT COSTS. OUR STATE REVENUE WENT UP, AND THAT'S MAINLY DUE TO OUR ADDITIONAL CTE FUNDING AND A LITTLE BIT OF FUNDING FOR SPED. A TRA TEACHER RETENTION ALLOTMENT GREW, WHICH IS A GOOD THING THAT WE'RE HAVING MORE EXPERIENCED TEACHERS. SO THEY'RE GETTING THE $5,000 RAISE ADDITIONAL REVENUE. THERE IS THE 458 SHARS. AS YOU SEE, WE HAVE NO PROTECTION RIGHT NOW, BUT WE DO EXPECT TO GET SOME FUNDING FROM SHARS. BUT AS VOLATILE AS THAT MONEY IS, WE WON'T PROJECT IT. FEDERAL REVENUE GREW TO $450,000 AND OUR TEACHER RETIREMENT IS AT $28,157 THAT'S THE $486,268 TOTAL REVENUE FOR THE PROPOSED BUDGET. ON THE NEXT PAGE YOU'LL SEE OUR EXPENSES. WE HAVE THE $399,502 IS OUR PROJECTION FOR THE CURRENT YEAR'S TOTAL EXPENDITURES ROLLING FORWARD. THEN WE ADD IN THE 13 MILLION FOR THE TEACHER RETENTION ALLOTMENT, THE $36,000 THAT THE TEACHER RETENTION ALLOTMENT BENEFITS THAT THE STATE DOES NOT COVER WITH THE TRA AND THE ELEMENTARY PRINCIPLES TO RIGHT SIZE THE COMPRESSION AND STUFF FOR THOSE POSITIONS. THAT'S $140,000. WE HAVE POSITION DECREASES OF 3.6 MILLION LAPSED SALARY PROJECTION OF 2.3 MILLION. WE ADDED POSITIONS FOR TRANSPORTATION, WHICH ARE BUS DRIVERS AND TECHNICIANS, BECAUSE WE ELIMINATED THE GOALS CONTRACT THAT WAS FOR OUR CONTRACTOR TRANSPORTATION, WE'RE ADDING THE VIRTUAL ACADEMY FOR $797,000 FOR PERSONNEL. WE'RE ADDING NINE PRE-K CLASSROOMS. THAT'S THE NINE TEACHERS AND THE NINE EDUCATIONAL ASSISTANTS, THE THREE TEACHERS, ONE REDUCTION OF THREE TEACHERS BEHAVIOR TECH BEHAVIOR SPECIALISTS, A PT AND 15 ED ASSISTANTS FOR $458,000. WE'RE ADDING BACK THE CUSTODIAL ASSISTANT DIRECTOR THAT WE CUT OUT OF THE BUDGET LAST YEAR DUE TO SOME CHALLENGES IN THAT DEPARTMENT. WE NEED AN ASSISTANT DIRECTOR. WE'RE GOING TO GET MORE FUNDING FOR CTE, WHICH REQUIRES US TO SPEND MORE. SO PART OF THAT WILL BE IN SALARIES OF $975,000. THE TEACHER RETIREMENT SYSTEM ON BEHALF IS A $28,157. SO OUR TOTAL SALARIES AND BENEFITS IS $440,010. ON OUR ALLOCATIONS OUR CAMPUS IN LIBRARIES, YOU SEE IT WENT DOWN. THAT'S DUE TO ENROLLMENT DECREASED TO THE 5,292 DEPARTMENTS ALSO WENT DOWN. AND WE HAVE A REDUCTIONS IN THE DEPARTMENT OF $5 MILLION DOLLARS. THOSE WILL BE OUTLINED A LITTLE LATER. AND A PROGRAM INCREASE OF $779,000 ALSO, WHICH WILL BE OUTLINED IN A COUPLE OF SLIDES. THE SCHOOL SUPPORT REMAINED THE SAME. SO THERE'S THE FOOD SERVICE, AND HERE'S THE ADDITIONAL SPENDING THAT'S REQUIRED FOR THE CTE OF 1.7 MILLION. [00:10:07] SO OUR TOTAL ALLOCATIONS ARE $46,183. AND WE WOULD NOT BE IN RECAPTURE AT THE ADOPTION OF THE BUDGET OF $486,193 TOTAL EXPENSES. SO TOTAL REVENUE IS $486,268. TOTAL EXPENSE IS $486,193. SO THE BUDGET IS PRETTY MUCH BALANCED WITH $75,000 IN THE GREEN. THEN WE HAVE TO ADOPT BY FUNCTION CODES. AND THESE ARE THE FUNCTION CODES THAT WE MUST ADOPT BY YOU SEE THE REVENUES BY PROPERTY TAXES, TUITION AND FEES, AND OTHER REVENUE. LOCAL SOURCES COME TO TOTAL ABOUT $393,266,499. THE TUITION AND FEES AS SEEN INCREASED FROM THE PREVIOUS YEAR THAT'S THE ADDITION OF THE NINE CLASSROOMS FOR PRE-K AND THE OTHER REVENUES FROM LOCAL SOURCES IS AN INCREASE FOR OUR ENRICHMENT PROGRAMS. THE STATE CAPITAL IS STATE FUNDING. YEAH. YOU SEE AN INCREASE IN OUR SCHOOL PROGRAM ACT AND THE STATE PROGRAM REVENUE DISTRIBUTION BY TEA. SO OUR TOTAL STATE CONTRIBUTION GREW FROM 58 MILLION TO 91 MILLION PROJECTED. FEDERAL PROGRAMS YOU SEE, WE HAD A SLIGHT DECLINE IN FEDERAL REVENUES. THAT'S DUE TO STUFF HAPPENING IN USDE AND SO WE GOT A $1.2 MILLION BUDGET FOR FEDERAL PROGRAMS. SO OUR ESTIMATED REVENUE IS THE $486,268,499 THAT WAS OUTLINED ON THE PREVIOUS SPREADSHEET IN TOTAL. AND SO ALSO IN OUR EXPENDITURES. AS YOU CAN SEE, WE HAVE 59.76% OF THE DOLLARS GOING TO INSTRUCTIONAL, WHICH IS AN INCREASE OVER LAST YEAR, AND TOTAL INSTRUCTION OF 64%, WHICH IS ALSO INCREASED OVER THE LAST YEARS AT 61 INSTRUCTIONAL LEADERSHIP, VERY SLIGHT INCREASE THERE, WHICH SHOWS THAT WE ARE PROTECTING THE CLASSROOM AS MUCH AS POSSIBLE. STUDENT SUPPORT SERVICES, WE HAVE A VERY SLIGHT DECLINE, BUT THAT'S MAINLY DUE TO THAT TRANSPORTATION ALLOTMENT WHERE WE CUT THAT PROGRAM BY $2 MILLION. ADMINISTRATIVE SUPPORT SERVICES, AS YOU SEE, IS AT 2.26%, HAVE A SMALL DECLINE IN OUR SUPPORT SERVICES AND A SMALL DECLINE IN DEBT SERVICE. AND AS YOU CAN SEE, WE ARE NOT IN RECAPTURE, WHICH IS THE DECLINE DOWN IN THE INTER-GOVERNMENTAL CHARGES. SO OUR TOTAL EXPENDITURES IS THE $486,193,499 AS OUTLINED ON PREVIOUSLY BY LAW WE HAVE TO ALSO INCLUDE THESE TWO LINES ON SEPARATE PAGES. THE STATUTORY REQUIRED FOR PUBLIC NOTICE IS GOING DOWN FROM THE $9,150 TO THE $7,250, AND OUR ADVOCATE EXPENSES REMAIN RELATIVELY FLAT. AS I STATED BEFORE, THESE ARE THE REDUCTIONS THAT WE MADE TO THE 25-26 BUDGET. I'D LIKE TO HIGHLIGHT A COUPLE OF THOSE. THE ENROLLMENT SHIFT IS JUST POSITIONS REDUCED BASED ON ENROLLMENT. SO THAT WAS ABOUT $2.2 MILLION. ARE WE REDUCING TEACHING AND LEARNING POSITIONS? 21 OF THOSE FOR ABOUT $1 MILLION. SO THAT IN SOME SMALLER ONES. BUT WE GOT A TOTAL SALARY AND BENEFIT REDUCTIONS 3.6 MILLION. AS FAR AS OUR OTHER EXPENDITURES. THE REDUCED MANAGEMENT SERVICES WAS $157,000. WE MOVED SOME TECHNOLOGY STUFF TO BONDS TO FOR $651,000. AND THERE YOU SEE THE TRANSPORTATION REDUCTION OF 2.3 MILLION. AND WE REDUCE ALL DEPARTMENT ALLOCATIONS BY 1.4 MILLION. SO TOTAL EXPENDITURE REDUCTIONS OF 5 MILLION AND GRAND TOTAL BETWEEN EXPENDITURE ALLOCATIONS AND SALARIES AND BENEFITS OF $8.7 MILLION. WHAT WERE THE ADDITIONS? HIGHLIGHT A FEW OF THOSE. WE HAD TO INCREASE OUR APPRAISAL DISTRICT FEES. AS YOU ALL KNOW, WILLIAMSON COUNTY CHARGES US FOR BEING OUR APPRAISAL DISTRICT, AND THAT'S GOING UP BY $100,000. WE HAVE TO COVER THE COST OF ELECTIONS. WE HAVE SOME ITEMS ON THE BALLOT THIS YEAR, SO THAT WOULD BE $115,000 INCREASE. WE'RE HAVING SOME ISSUES WITH OUR WATER QUALITY PONDS PASSING INSPECTIONS. SO WE NEED TO BRING THOSE BACK UP TO CODE. SO THAT WOULD COST US AN ADDITIONAL $100,000. OUR ATHLETIC OFFICIALS AND SECURITY CONTRACTS ARE GOING UP TO THE TUNE OF $80,000. AND THE BIG ONE AT THE BOTTOM IS THE $216,000 FOR THE SOFTWARE FOR OUR VIRTUAL SCHOOL STUDENTS. SO THOSE ARE ADDITIONS CAME TO THE $779,333. MOVING ON TO OUR INTEREST AND SINKING FUND BUDGET. [00:15:07] AGAIN, THE BUDGET ASSUMPTIONS, OUR ESTIMATED PROPERTY VALUE INCREASED BY 1.5%. WE'RE PROPOSING A FLAT TAX RATE FOR I&S. IT COVERS JUST OUR DEBT PAYMENTS. IT'S IN CONSIDERATION OF FUTURE DEBT CAPACITY THAT WE MAINTAIN IT AT A FLAT RATE. AND OUR FUND BALANCE IS $86.8 MILLION. AND WE HAVE A $78.6 MILLION PAYMENT DUE IN AUGUST. SO SO OUR REVENUE, WE PROPOSED THAT PROJECTING THAT WE GET 98 MILLION FROM PROPERTY TAXES AND OTHER LOCAL REVENUE OF 3 MILLION, AND STATE REVENUE OF 4.7, FOR THE TOTAL REVENUE OF $105,722. EXPENDITURES, AS YOU CAN SEE, IS THE PRINCIPAL AND INTEREST IS THE 521 AND THE $52,894 AND BOND FEES OF $105,004. SO OUR TAX RATE WILL SUFFICIENTLY COVER THE PRINCIPAL AND INTEREST PAYMENT WITH A LITTLE HELP FROM OUR OTHER LOCAL REVENUE. SO WE HAVE A SURPLUS OF 718. AGAIN, WE HAVE TO ADOPT BY FUNCTION CODE. AND AS YOU CAN SEE, THE LOCAL REVENUE AND PROPERTY TAXES IS 92.7% OF THE REVENUE, WITH THE OTHER 3 MILLION COMING FROM LOCAL SOURCES FOR $101,022,334, AND THE STATE REVENUE OF IS 4.45% AT THE 4.7 MILLION, FOR TOTAL REVENUES OF $105,722. OUR DEBT SERVICE PAYMENTS IS THE $105,004 WHICH COINCIDES WITH THE PREVIOUS SPREADSHEET. SO LET'S LOOK AT SOME TAX RATE COMPARISON. THIS IS OUR TOTAL TAXES. SO IF YOU LOOK AT THE TOP PAGES THE 25 TAXES AND THE COLORS ARE THE BLUE HIGHLIGHT IS THE LOWEST. THE PEACH COLOR IS THE SECOND LOWEST. AND THE PINK COLOR IS THE THIRD LOWEST. SO IF YOU LOOK AT THE M AND O RATE FOR FY 25, YOU WILL SEE THAT LIBERTY HILL HAD THE LOWEST RATE, FOLLOWED BY GEORGETOWN AND THEN ROUND ROCK ISD AS FAR AS THE I&S TAX RATE, THE LOWEST RATE WAS AUSTIN AND THEN ROUND ROCK AND THEN PFLUGERVILLE. BUT WHEN YOU COMBINE THE I AND S AND M AND O, YOU'LL SEE THAT ROUND ROCK HAD THE LOWEST TOTAL TAX RATE, FOLLOWED BY AUSTIN AND GEORGETOWN. IN FY 26, THE M&O TAX RATE GEORGETOWN HAD THE LOWEST, FOLLOWED BY ROUND ROCK, THEN LIBERTY HILL, AND AGAIN SAME ORDER AS PREVIOUS YEAR WAS AUSTIN, ROUND ROCK AND PFLUGERVILLE. AND AGAIN, WHEN YOU COMBINE THE TWO. ROUND ROCK HAS THE LOWEST TAX RATE IN THIS AREA, FOLLOWED BY AUSTIN AND THEN GEORGETOWN. SO LOOKING AT TAX RATE FOR AVERAGE PROPERTY VALUE OF ABOUT $400,000. IF YOU LOOK AT THE DIFFERENCE BETWEEN THE PROPOSED BUDGET, YOU SEE THAT AT THE END THAT THE LEVY WOULD GO DOWN BY $18.80 AS THE BUDGET IS ADOPTED. IF YOU INCLUDE THE SIX PENNIES FOR THE VATRE, IT GOES UP ON THE AVERAGE HOME OF $400,000 BY $221. THAT'S THE AVERAGE HOME. BUT IF YOU LOOK AT THE AVERAGE MEDIAN VALUE OF HOMES IN THE WILLIAMSON COUNTY AREA, IF YOU LOOK AT THE PROPERTY AGAIN, IF THE MEDIAN DROPS FROM $415,000 TO $408,000. AND SO THAT'S A $6,983 DROP IN THE HOME VALUE, WHICH SHOWS THAT AT THE END, ON THE ADOPTED BUDGET, PROPOSED BUDGET, THAT THE TAX LEVY WILL GO DOWN BY $81.54. THE SECOND COLUMN FOR THE VATRE WAS THE FIVE PENNIES, SO WE'LL DISREGARD THAT. IF YOU GO OVER TO THE FAR RIGHT IS THE SIX PENNIES. AND WITH AN ADOPTION OF THE VATRE AT SIX PENNIES, THE AVERAGE. THE MEDIAN PROPERTY VALUE TAX RATE WILL GO UP BY $163. AND THE LAST BUDGET WE HAVE TO ADOPT IS THE FOOD SERVICE FUND BUDGET. THE CONTRACT HAS BEEN APPROVED AND HAS SUBMITTED AND APPROVED BY THE TEXAS DEPARTMENT OF AGRICULTURE. THERE IS A PRICE INCREASE THAT YOU ALL WILL HAVE TO APPROVE TONIGHT. IT'S $0.20 FOR THE PAID BREAKFAST AND LUNCH MEALS, AND THEIR CURRENT FUND BALANCE IS 4.8 MILLION. SO YOU LOOK AT THE BUDGETED SPREADSHEET, OUR LOCAL REVENUE IS $9 MILLION 841, STATE REVENUE OF 77, AND THE FEDERAL REVENUE OF $9 MILLION 7, FOR A TOTAL REVENUE OF $19,000,685. EXPENDITURES FOR ALL FOOD SERVICE EXPENDITURES IS 16.67. MAINTENANCE OF OUR EQUIPMENT IS 1.375, AND OUR MONITORING IS $725,000. SO TOTAL EXPENDITURES OF $18777 WITH A SURPLUS BUDGET FOR THIS 27 SCHOOL YEAR OF $908,000. [00:20:01] AGAIN, WE HAVE TO ADOPT BY FUNCTION CODE. AS YOU CAN SEE, OUR REVENUES OF THE 9841 IS IN ONE SOURCE AND OUR STATE REVENUES OF 77,000, AND OUR PROGRAM REVENUES FOR THE FEDS OF NINE SEVEN, SIX, SIX, WHICH COMES TO THE $19,684. AND WE ADOPT BY FOOD SERVICE, FACILITY MAINTENANCE, SECURITY AND MONITORING AS LISTED ON THE PREVIOUS SPREADSHEET. AND THOSE COME TO THE $18,777,220. AND AS A COMPARISON TO WHERE WE ARE WITH MEAL PRICES, THE CURRENT COLUMN, THE CURRENT PRICES FOR THE PAID MEALS FOR BREAKFAST AND LUNCH, THOSE ARE HIGHLIGHTED IN BLUE. THE PROPOSED IS IN YELLOW. SO IF YOU LOOK AT THE ELEMENTARY BREAKFAST, IT WILL GO FROM 150 TO 170. ALSO, FOR SECONDARY BREAKFAST FROM 150 TO 170, ELEMENTARY LUNCH FROM $3 TO $3.20, SECONDARY LUNCH FROM $3.25 TO $3.45. AND THESE ARE ON THE PAID ONLY PRICES. AND WE HAVEN'T HAD A PRICE INCREASE SINCE THE 23-24 SCHOOL YEAR. MADAM CHAIR AND BOARD MEMBERS, THAT CONCLUDES THE PROPOSED BUDGET FOR 26-27 PUBLIC HEARING PRESENTATION. AND I WAIT FOR QUESTIONS. THANK YOU. TRUSTEE WEIR. I JUST HAD A REAL QUICK QUESTION ON PAGE 18. THE REDUCED TEACHING AND LEARNING POSITIONS, THOSE ARE ACTUALLY POSITIONS WHERE REMOVING AS OPPOSED TO THE ENROLLMENT SHIFT, WHERE I'M ASSUMING IT'S JUST PEOPLE THAT HAVE RETIRED AND WE ARE NOT FILLING THEM. YES. THOSE ARE ACTUAL REDUCTIONS, NOT BASED ON ENROLLMENT. THE 21 AND THERE, SINCE IT SAYS TEACHING AND LEARNING, THAT MEANS THEY'RE CLASSROOM. NO, THEY'RE WITHIN THE CENTRAL OFFICE. OKAY. THOSE TYPICALLY SUPPORT STAFF WORK IN THE TEACHING AND LEARNING DEPARTMENT. YEAH. TRUSTEE WEI. TRUSTEE CUERO. TRUSTEE WEI IT'S ON THERE. DID YOU PUSH YOUR BUTTON? TRUSTEE CUERO. YES. OKAY. TRUSTEE. AND THEN I'LL GO OVER TO YOU. NOT A COMMENT. NOT A QUESTION, BUT A COMMENT. THANK YOU, MR. COVINGTON. YOU HAVE BEEN A PRESENCE A VERY STEADY PRESENCE HERE IN THE DISTRICT. AND THANK YOU FOR YOUR SERVICE. I LOOK FORWARD TO SEEING YOU KNOW, RIGHT OFF INTO THE SUNSET AND YOUR NEXT CHAPTER, THE NEXT CHAPTER IN YOUR LIFE. AND THANK YOU. NOW I BECOME THE BEST DRESSED PERSON IN THE DISTRICT. 28. SORRY 26 WHEN YOU GIVE US THE TAX RATE COMPARISONS I APPRECIATE THE COMPARISONS. CAN YOU EXPLAIN WHY ROUND ROCK ISD HAS THE SECOND HIGHEST MCR ON THAT TOP LINE? THE MCR IS BASED ON PROPERTY VALUES IN WILLIAMSON COUNTY AND SO OUR PROPERTY VALUES IS HIGHER THAN THOSE. AND SO WE GET A HIGHER MCR. AND DO WE SET THAT RATE. NO, THAT IS SET BY THE STATE. SO WE'D HAVE NO WIGGLE ROOM IN THAT NUMBER RIGHT THERE. NO. SO HIGHER THAN MOST OF OUR NEIGHBORING DISTRICTS. WE SPEND A LITTLE BIT MORE. SO THE MCR IS WHAT IT STANDS FOR MAXIMUM COMPRESSION RATE. AND THAT IS SET ANNUALLY BY TEA. SO TEA WILL LOOK AT THE PROPERTY VALUE ACROSS SCHOOL DISTRICTS. AND THEY WILL LET EVERY SCHOOL DISTRICT KNOW WHAT'S THE MAXIMUM COMPRESSION. MEANING WHAT IS THE MAXIMUM RATE YOU CAN THE MINIMUM RATE. YOU CANNOT GO BELOW THAT. CORRECT. THEY SET THE FLOOR BECAUSE WE HAD WE HAD PARENTS ASKING. WE SEND THEM RECAPTURE MONEY TO THE STATE. WHY CAN'T YOU JUST LOWER THE TAX RATE LOWER? AND WE HAVE TO EXPLAIN TO OUR PARENTS, WHICH IS IT'S A GREAT QUESTION. AND IT'S A VALID QUESTION, IS BECAUSE THE STATE DOES NOT ALLOW US TO GO BELOW THAT RATE, WHICH IS CALLED THE MAXIMUM COMPRESSION RATE. AND IT'S SET BY THE STATE SHOULD REALLY BE CALLED THE MINIMUM TAX RATE. THAT'S RIGHT. [LAUGHTER] THAT WOULD BE A BETTER DESCRIPTION. BUT WHY DOESN'T THE STATE USE THAT THEN. AND I ECHO TRUSTEE CUERO, MR. COVINGTON I APPRECIATE YOU AT THE HELM. AND WE YOU WILL BE CERTAINLY BE MISSED. THANK YOU. OKAY. I DON'T SEE ANYONE ELSE. TRUSTEE ROSS. SORRY, I MIGHT HAVE PUSHED IT TWICE. JUST FOR OUR COMMUNITY ON PAGE 32, YOU'LL NOTICE THAT OTHER DISTRICTS HAVE UNIVERSAL FREE BREAKFAST. [00:25:10] CAN YOU EXPLAIN A LITTLE BIT ABOUT WHY THEY'RE ABLE TO DO THAT AND WE'RE NOT. GO AHEAD AND THEN I CAN EXPAND LIKE. WELL, YOU GO AHEAD, SIR. SO BECAUSE I WORK IN A SCHOOL DISTRICT BEFORE WHERE WE ACTUALLY WERE ABLE TO AFFORD THAT FOR BREAKFAST AND ACTUALLY EVEN FOR LUNCH, A UNIVERSAL FREE LUNCH AND UNIVERSAL AND THE WAY IT WORKS IS YOU HAVE TO HAVE A PERCENTAGE OF YOUR STUDENTS HAVE TO BE WHAT'S CALLED LOW SOCIOECONOMIC STATUS, MEANING THEY HAVE TO BE LIVING IN POVERTY PRETTY MUCH. AND THAT THRESHOLD IS USUALLY ABOVE 70%. AS YOU KNOW, WE DON'T EVEN COME CLOSE TO 70% IN OUR DISTRICT. AND SO THE IF YOU HIT THAT 70%, YOU CAN THROUGH THE US DEPARTMENT OF AGRICULTURE TO APPLY FOR THAT UNIVERSAL. AND YOU CAN PRETTY MUCH KIND OF LIKE WHAT YOU'RE BRINGING IN IS KIND ENOUGH TO TAKE CARE OF THE 30% WHO ARE TYPICALLY HAVE TO PAY OR FOR REDUCED RATE OR FOR FULL, BREAKFAST OR LUNCH. AND WE CANNOT DO THAT BECAUSE WE WILL HAVE TO PICK UP 70 PLUS PERCENT OF OUR STUDENTS. AND SO THAT'S WHY WE CANNOT AFFORD IT. WE CANNOT DO IT. YOU HAVE TO BE 70 OR HIGHER. AND THAT'S WHAT TYPICALLY WHY SCHOOL DISTRICT CAN AFFORD TO DO IT. THANKS. AND THEN THE OTHER QUESTION THAT I HAD WAS ONE OF THE THINGS THAT I LEARNED IN OUR SMALLER BUDGET SESSIONS WAS ABOUT THE FEES, ABOUT THAT THE STATE CHARGES US ON PAYING MORE THAN THE MINIMUM TO OUR STAFF AND OUR TO OUR TEACHERS. AND I WAS JUST KIND OF WONDERING, WHERE IS THAT ON THE, THE BUDGET OR IS THAT NOT BROKEN OUT? IF WE CAN EXPLAIN THAT TO OUR COMMUNITY A LITTLE BIT AS WELL, YOU WANT TO TAKE THIS ONE. SO THE STATE SETS MINIMUM SALARY SCHEDULES FOR TEACHER, LIBRARIAN, NURSE AND COUNSELORS. AND IT'S THE SAME RATE ACROSS THE STATE. IT'S ABOUT $35,000 IS THE FIRST LEVEL. THEY HAVE A WHOLE CHART BASED ON YEARS OF EXPERIENCE, JUST LIKE WE HAVE OUR SALARY SCHEDULE. FOR ANY DISTRICT THAT PAYS ABOVE THAT RATE, TRS CHARGES US A SURCHARGE OR A PENALTY FEE OF 8.25% ON THE DIFFERENCE. SO IF THE STATE MINIMUM IS $35,000 AND WE PAY $55,000, THE DIFFERENCE OF $20,000 WILL BE ASSESSED MONTHLY FOR EACH PERSON THAT WE PAY. THAT DIFFERENCE WILL PAY 8.25% ON THAT $20,000 AND SO ON AND SO FORTH. OKAY. I DON'T SEE ANYONE ELSE IN THE QUEUE, BUT I'M GOING TO CHECK. OKAY. I HAD A QUESTION ABOUT ON SLIDE 15, ADMINISTRATIVE, THE BUDGET LINE FOR ADMINISTRATIVE COST AND THE PERCENT OF OUR BUDGET. THIS IS A QUESTION THAT WE OFTEN GET ASKED. AND IT LOOKS LIKE IT'S 2.26%. SO I DID MY RESEARCH AND THE CURRENT STATE AVERAGE IS 4% FOR ADMINISTRATIVE SPEND. AND WE'RE AT 2.26. SO I JUST WANTED TO PUT THAT OUT THERE FOR OUR COMMUNITY. I ALSO WANTED TO SAY THAT I KNOW DECISIONS HAD TO BE MADE IN THIS BUDGET THAT AFFECT ITS TRICKLE DOWN EFFECT ALL THE WAY DOWN INTO THE CLASSROOM. AND I KNOW WE DID OUR BEST NOT TO TOUCH THE CLASSROOM. AND THEY WERE DIFFICULT DECISIONS. SO, YOU KNOW, WE WANT TO CONTINUE TO HEAR FROM OUR COMMUNITY AND OUR STAFF AND OUR TEACHERS ABOUT HOW THIS IS AFFECTING YOU. SINCE WE'RE NOT IN THE CLASSROOM EVERY DAY, BUT PLEASE KNOW THAT WE KNOW THERE WERE DIFFICULT DECISIONS TO BE MADE. BUT BASED ON THE FUNDING THAT WE RECEIVED FROM THE STATE AND AS YOU HEARD THERE ARE A LOT OF RESTRICTIONS AND A LOT OF LIMITATIONS AND BOUNDARIES THAT WE HAVE TO WORK WITHIN THAT ARE OUT OF OUR CONTROL. AND EVEN WE ARE FINDING NEW ONES OUT YOU KNOW, DAILY. SO JUST THANK YOU FOR THE WORK THAT YOU DID ON THIS FOR BALANCING THE BUDGET-ISH WITH THE VATRE FOR BALANCING IT JUST LIKE WE REQUESTED. MANY, MANY DISTRICTS IN THE STATE ARE NOT ABLE TO DO THAT EVEN WITH A VATRE. SO REALLY APPRECIATE THE WORK YOU DID. AND I DO WANT TO ECHO THANKS FOR YOUR SERVICE FOR WHAT YOU DID FOR THIS DISTRICT. YOU CAME IN AT AN INCREDIBLY DIFFICULT TIME IN PUBLIC EDUCATION AND DID SOME WONDERFUL THINGS FOR THIS DISTRICT AND PUT US IN THE POSITION THAT WE'RE IN NOW FINANCIALLY. SO WE REALLY APPRECIATE EVERYTHING THAT YOU'VE, DONE FOR THIS DISTRICT. I DO NOT SEE ANYONE ELSE IN THE QUEUE. I DO WANT TO CHECK FOR PUBLIC COMMENT. OKAY. ALL RIGHT. WITH NO OTHER QUESTIONS AND NO OTHER DISCUSSION, WE ARE GOING TO ADJOURN. [00:30:04] WE'RE GOING TO TAKE A TEN MINUTE BREAK AND COME BACK AND START OUR REGULAR BOARD MEETING AT 6:10. IT IS 6:00 AND WE ARE ADJOURNED. * This transcript was compiled from uncorrected Closed Captioning.