Special Meeting, January 6, 2005

[palmerk]

Proceedings of the Board of Trustees

District No. 2, Yellowstone County

High School District No. 2, Yellowstone County

Billings, Montana

 

January 6, 2005

 

Call to Order

 

The Special Meeting of the Board of Trustees of School District No. 2, Yellowstone County, Montana, and High School District, Yellowstone County, Montana, was duly held at The Lincoln Center, 415 North 30th Street, Billings, Montana, January 6, 2005, at 12:00 p.m.

 

Those present included: Malcolm Goodrich, Conrad Stroebe, Dan Martin, Jeff Weldon, Mike Dimich, Clerk Leo Hudetz, Dan Nelson, Gene Jarussi, Superintendent Svee, Thomas Harper, and Nancy Hines.

 

Vice-Chair Mike Dimich presided.

 

Communication from the Public

 

The Board recognizes the value of public comment on educational issues and the importance of listening to members of the public in its meetings. The Board also recognizes the statutory and constitutional right of the public to participate in governmental operations. The Board encourages members of the public to participate in and express opinions about issues important to the District. This part of the Board’s meeting is dedicated to public comment on any public matter that is not on the agenda of this meeting and is within the jurisdiction of the Board of Trustees. Members of the public may also address particular items on this agenda either now or at the time the Board considers the particular item. There were no public comments.

 

2005 Montana Legislative Issues

 

Jeff Weldon announced the meetings would be held each Thursday at noon during the legislative session. He reviewed the leadership teams for the House and Senate, as well as membership for committees. Mr. Weldon stated he would give a weekly report on what the committees are doing. He reported the District’s web page contains tracking lists for the various bills.

 

Superintendent Svee reported the draft of SB152 came out last Monday and meshed very well with Jim Molloy’s testimony. He reviewed portions of the bill that were relevant to the District. The system, those things that are educationally relevant, needs to be defined and funded. Since 1949, there has not been a tie between the requirements and the funding. When the present system was developed, it was based on mathematical computations and was not based on anything having to do with requirements. Superintendent Svee reviewed information he testified to the committee during the hearing. Indian Education must be addressed in this session, as ordered by the Supreme Court, but there is no definition for Indian Education. Special Education also must be addressed during this session.

 

Jeff Weldon reviewed the legislative items of interest to the District. Legislators for the District are developing the legislative drafts for the Career Center home construction liability limitation, retirement incentive, bus driver certification, and Red Cross first aid requirements.

 

Dan Martin stated the hearings to watch closely are: 1) cap postretirement teaching to 3 years; 2) revised school district tuition payments; 3) per-educator entitlement; and, 4) authorized use of school transportation levy for field trips.

 

Trustee Dimich reported the next legislative meeting would be not be held on Thursday, January 13th, due to a Board hearing. Trustee Dimich stated this meeting would be continued on Friday, January 14th

 

Friday, January 14, 2005

 

Those present were Katharin Kelker, Superintendent Rod Svee, Thomas Harper, Jeff Weldon, Dan Martin, Dan Nelson, Suzanne McKiernan, Judith Herzog, Karen Moses, John Fitzgerald, and Pat Bellinghausen.

 

Dan Martin reported the hearing for SB177 would be held on January 17th and suggested someone from the District be on hand to aid the legislators who have sponsored the bill. The projected increase to ANB under this bill would be $250. Dan Martin volunteered to go to Helena to support the legislators. Clerk Hudetz suggested they e-mail everyone on the list in support of the bill. Trustee Moses will contact Jim Hartung to aid in the support of SB177.

 

Mr. Hudetz reported Lance Melton has requested copies of budgets from the school districts. Thomas Harper will supply his five-year projection as it shows the estimated shortfall.

 

Jeff Weldon stated the hearings for SB198 and SB224 are also on January 17th. HB237 is a bill that is brought forward every year since the 1970s and would be very pricey for this District. It also does not comply with the federal laws and would result in a tax increase if it would come out of the retirement fund.

 

Thomas Harper reported he received a call from a legislator who informed him of a bill that would allow districts to move year-end funds into an account for the next year. The Chair stated they would have to be careful funding would not be any less.

 

HB 124 and Gary Branae’s bill would assure there would not be a raise for taxpayers. $44,000,000 would go to A, B and C schools with the rest going to the AA schools. The District would have to give up a little but would not have to go out for a vote. Trustee Herzog asked who would administer the large health plan. Dan Martin reported the plan is to be the third party administrator and a bid will go out for the actuary.

 

Clerk Hudetz will get further information on LC1836, which is sponsored by Senator Gillan.

 

The meeting will reconvene on Thursday, January 20th at noon.

 

Thursday, January 20, 2005

 

Those present included Dan Martin, Conrad Stroebe, Superintendent Rod Svee, Dan Nelson, Jeff Weldon, John Fitzgerald, Katharin Kelker, Mike Dimich, Clerk Leo Hudetz and Karen Moses.

 

Dan Martin reported the Board of Public Education, on SB13, has a rule stating a certified teacher must be in the room for any distance learning classes which defeats the purpose as most districts do not have extra staff to cover.

 

Those present did not understand why any district would want to reduce the non-tenured teacher probation period as stated in SB227.

 

HB336 would revise the developmental disability services for 18-21 year old developmentally disabled students and would provide ANB, which would cause more districts to serve those students. School District #2 currently has eight students, which would be an additional $40,000, which may be used only for Medicaid and eligible services. Dan Martin will call to determine the nature of the bill.

 

Superintendent Svee reported he would testify for HB311 and HB314. Bill Glaser’s HB311 approaches the basic system differently as it requires establishing and maintaining a basic system but does not address the accreditation standards. It calls for finding joy in learning, which is hard to define. Mr. Svee stated HB302 would allow trustees and superintendents to take a position on a mill levy or bond issue. Lance Melton is working on wording and will send it to the Superintendent and Board for review. District resources could be used to support a mill levy or bond election.

 

Dan Martin stated Lance Melton has reported that Districts that want to maintain their self-funded program for health insurance could opt for a self-funded program that would essentially re-insure the catastrophic plan offered by the State. The state plan has everything except for prescription drug coverage. Districts could purchase the catastrophic at the $2,000 deductible and could re-insure with the self-funded plan, cover part of the deductible, cover the drugs and a certain amount of dollars. The downside for the District would be the bargaining units would want to bargain it up to class AA coverage.

 

Conrad Stroebe reported there are 2005 potential legislative issues of interest to this District: 1) local option taxes – cities have gone to Helena and asked for a gas tax. Conrad Stroebe felt mills could be saved if funds could be put into the transportation fund; and, 2) removing ‘District’ from the basic entitlement statute – levies could be run by school, not district.

 

The meeting will reconvene on Thursday, January 27th at noon.

 

Thursday, January 27th

 

Those present included Conrad Stroebe, Dan Nelson, Superintendent Rod Svee, Dan Martin, Karen Moses, Clerk Leo Hudetz, Jim Hartung, Pat Bellinghausen, Connie Wardell, and Theresa Stroebe.

 

Superintendent Svee reported he went to Helena for the HB311and HB314 hearings. Not much will be done on the funding until the definition of education is developed. HB311, Section 2, has language that came out of the 1975 study. Superintendent Svee hoped to show that SB152 and HB311 share commonalities, which should bring them together. Lance Melton has addressed the cost factors that have been identified. Nothing was identified in SB152 that was not currently a requirement. HB314 does not fund what was mandated in the previous court ruling. HB115 totally leaves out facilities and states it will not be funded. The courts say to define a system, cost it out, and pay for it. Conrad Stroebe felt the State could fund it if they took over the local funding, and to get back to the adequacy of funding. Let the State fund what is being spent. Dan Martin reported Don Ryan, sponsor of SB152, is very interested in power equalization.

 

Superintendent Svee reported on HB28. Several years ago, schools in the Bitterroot valley had requested no more than 70% funding but were mandated to take the 80% as all students had to receive the same amount. The money was accessible on a permissive basis and those districts were told they did not have to spend it. Dan Martin felt this District should concentrate lobbying on lower taxes for homeowners and support issues that would reduce the taxes. Previously, by design, makers of HB667 forced education to take the brunt of all the tax increases because they were permissive. In 2001, this District lost $30,000,000 in taxable value due to the business equipment tax reduction. Dan Martin stated they needed to keep in mind this District needs $50,000,000-$120,000,000 of work to be done on facilities and the only source to complete that is from the taxpayers. A foundation must be built to minimize the load on the taxpayer.

 

Mr. Svee stated HB436 states land dedicated to public use for a park or playground use is considered to be county lands, but this bill would allow a contractor to donate the park land or cash in lieu to school districts. SB170 would allow schools to opt for four-day weeks. Schools would no longer be required a minimum number of days, but a minimum number of hours.

 

The meeting will reconvene on Thursday, February 3rd at noon.

 

Thursday, February 3rd

 

Dan Martin reported he attended a meeting where Bill Glaser explained his idea on classroom unit funding. His plan calls for reimbursing each classroom $80,000 in funding plus a certain percentage for administrative and supply costs. Mr. Martin was not sure where the cut off would be or how combination classrooms would be handled. There is approximately $15,000,000 every year from re-appropriations that are in the State’s coffers. It might be possible for the schools to use that money to help solve the problem of looking for an additional $20,000,000 that the governor is requesting for schools. Leo Hudetz stated the local taxpayers might have to carry the burden of the additional $20,000,000.

 

HB47 is a bill that would provide funding for full-time kindergarten. Billings would not be able to provide the program as funds are based on the old formula and would not cover the program. Mr. Martin reported daycare providers spoke in opposition to the bill.

 

A proposed bill to combine various funds would cause transportation fund problems for the Billings Public Schools. It would also cause a serious conversation with the City transit system and the District as the City might be called on to aid in transporting students.

 

Jeff Weldon reported HB302 has been amended by the House and is being sent to the Senate. A bill is also being introduced to change the approval of a bond to a majority vote of the electorate and not a supermajority.

 

SB152 is going to be discussed by the Select Committee on Education this afternoon. The court ruling states the legislature must respond by October 1st. Governor Schweitzer has pledged for no new taxes. $80,000,000 is the maximum the State can go without any new taxes.

 

The meeting will reconvene on Thursday, February 10th at noon.

 

Thursday, February 10, 2005

 

Attending were Jeff Weldon, Leo Hudetz, Kathy Kelker, Mike Dimich, Judy Herzog, Karen Moses, Dan Martin, Jim Hartung and Dan Nelson. Rod Svee was available for part of the meeting via cell phone.

 

There was a discussion of SB333 which basically is redoing the changes that happened last time. It will cost the district. This bill is for impact schools. Dan Martin feels it will fail. In our case almost all salaries were pulled from IDEA so it would have little impact.

 

SB341 is for a $55 million increase in the first biennium. This increases ANB for high school to $5,784 and elementary $4,416.

 

Senator Ryan’s SB177 is a major short-term solution and similar to the Governor’s bill. Dan Martin states that it funds up to 2007.

 

SB291 sponsored by Senator Ryan put standards on home schools and puts a burden on districts required to monitor their progress. The consequences for not following these standards would be truancy laws.

 

Rod Svee explained that he was in Helena for a hearing on SB302. He stated there were only proponents. It has been sent to Lance Melton with questions. It is Rod’s feeling that it will go through without further controversy. He feels that the session is going along well and the Billings area legislators are doing a good job.

 

Dan will be in Helena Monday for a hearing on HB574 which is the BPS bill to revise the level of voter approval for school bond elections. For city and county issues only a simple majority vote is needed whereas schools are mandated by the constitution and require a super majority. Dan stated that part of the problem is that the population has shifted and there are no longer a majority of voters who have children in school. Bozeman will be affected as well because they are considering new schools. This will affect May elections. Dan Martin will call Bozeman to ask for their support. He stated that the savings for elections could be $50,000. It was clarified that mill levy elections require a simple majority while bond elections require a super majority.

 

Rod Svee stated that the adjustments are for inflation plus inflation plus $50 which is different than the figures we have been using. The $59 million has been increased to $80 million.

 

The full-time kindergarten bill is probably dead.

 

HB578 deals with vending machines and relinquishes local control. Dan feels that the vending bill needs our attention. It may require that machines be turned off during school hours and turned on after school.

 

The bill dealing with student construction projects is still being drafted.

 

Special Ed. has been increased 3.5 percent which is part of the $76 million. It was stated that $148 million is needed to recoup inflation costs.

 

The meeting adjourned at 1:05 and will reconvene next Thursday, February 17th, 2005 at 12:00 p.m.

 

Thursday, February 17, 2005

 

Those present included Jeff Weldon, Clerk Leo Hudetz, Dan Martin, Dan Nelson, Thomas Harper, Superintendent Rod Svee, Jim Hartung, Karen Moses, Judith Herzog, Mike Dimich and Conrad Stroebe.

 

HB574, a bill to revise the level of voter approval for school bond elections, has now passed out of the house. Superintendent Svee reported the District’s bills are all doing well this session, but was not sure if the retirement bill would pass. He was concerned it would get into partisan. Mr. Svee reported he testified for SB341. There were no questions and no opponents who spoke. The price tag for SB341 is $145,000,000, which is the required cost for stopgap until the formula is developed.

 

Trustee Dimich thanked Superintendent Svee and Dan Martin for their testimony on the various bills. He reported HB302 by Robyn Driscoll to revise the code of conduct concerning bond or levy elections passed the House by a vote of 51-45 and is now awaiting Senate Taxation action.

 

Jeff Weldon reported February 24th is the transmittal deadline. If bills are not transmitted from one chamber to another by the 24th, the bill will be dead. Superintendent Svee reported, since SB177 has passed and commits $77,000,000 to education, all other bills will have to picked through and bills chosen to be funded. Jim Hartung asked why the pool for the health insurance program couldn’t be established with no funding. Superintendent Svee stated it can but it is all or nothing. There will be an amendment brought forward on the health insurance bill to bypass the pool and go directly to the districts with the $200. The Superintendent reported it is not known what it will be but there should be a change by October. Dan Martin stated KSHIP would be very good for this District and would be worth $4,200,000 in its general fund if the District chose to go with the plan.

 

Dan Martin will be testifying on February 18th on HB747, which would limit liability for student construction projects, as well as SB414 that addresses retirement incentive for teachers. There will also be KSHIP executive action.

 

Trustee Herzog asked where the District is on HB628. The Superintendent Svee was not aware of the bill but was aware of various wilderness schools that the bill addresses.

 

Dan Martin reported he was unsure if this District could provide retirement incentives for teachers, if the bill were to pass. There is the opportunity to buy down the payroll for one year, which would expend the balance that is in the retirement fund and a decision would have to be made as to who receives the funds. In the next three years, there would be no savings in retirement. He felt a discussion should be held on a real retirement program that would be more palpable around the state. He suggested it be placed in a study committee to choose a retirement incentive that wouldn’t just buy down the payroll. Leo Hudetz felt there may be some confusion on this bill as it was not meant to have any fiscal impact on the state. The fiscal note that will come out is there is a fiscal impact as OPI, under current conditions, would have to kick in funds. There is a potential savings statewide for school districts of $25,000,000. The savings the first year could be $40,000,000. Mr. Hudetz stated the bill has merit but would need an amendment. Dan Martin stated there is a big agenda on retirement money. There have been many discussions on rolling retirement, transportation and other funds into the general fund. It was felt it would be worth it to go to the Board of Investments to borrow money because it would pay back the District. Amendments are being researched to make it worth.

 

Trustee Stroebe asked if SB341 was for districts or per school. It was reported it was still district. Jeff Weldon suggested, as a courtesy, Kim Gillan be contacted first to make an amendment to change it to ‘per accredited school’.

 

The meeting will reconvene on Thursday, February 24th at 12:00 noon.

 

Thursday, February 24, 2005

 

The meeting was reconvened at 12:05 p.m. Present were: Judy Herzog, Rod Svee, Dan Martin, Jeff Weldon, Leo Hudetz, Kathy Kelker, Thomas Harper, Dan Nelson and Jim Hartung.

 

Jeff Weldon explained that it was day 45 of the legislative session. The floor sessions will begin at 3 p.m. for the House and 5 p.m. for the Senate next Tuesday, March 1. Bills have to be transmitted today or if they have an appropriation, they go back to the appropriations committee.

 

HB 47 is still alive. HB 74 is dead.

 

Superintendent Svee stated that the prediction now is that our school district will be in a deficit of $800,000 elementary and $400,000 high school for next year. It is his feeling that the Governor intends for an $80 million increase which can be divided however you want.

 

HB 672 would allow a portion of cash to be put in the flex fund. Take 10 percent out then take out a certain percentage of what is remaining. Rod testified as a proponent of the bill. There were basically no opponents. It passed on second reading by good margin. It gives flexibility.

 

HB310 and SB152 basically contain same things. It is Rod’s feeling that SB152 is the one that will go forward.

 

HB317 could have an impact because it would allow school boards to meet in other than school buildings.

 

HB681 is a good change to law. It provided a clearer process to follow. It is voluntary.

 

HB436 is a revision to subdivision law. It came from Matt Brosovic who is on the 20-year planning committee. He has excellent support. It will have a real impact. Districts favored it. It will allow park land or dollars to be given to school districts, but the districts will have to accept it.

 

HB302 is an important change. There was a lack of membership that knew the other law had been passed. Rod felt it was clearly vindictive. It was heard in the Senate Taxation Committee.

 

SB363 will revise special education laws.

 

HB574 has the support of the taxpayers’ associations. It is hooked to general or primary election. It is supported. It was passed on the third reading.

 

Jeff Weldon stated that Robyn Drisoll, Gary Branae and Kim Gillan have done an excellent job for our district and they should get some sort of recognition for their efforts.

 

HB396 deals with asthma self-medication allowed in schools. Rod Svee questioned whether epi-pens could be available in schools for emergencies. Health officials will need to be asked about that.

 

SB198 made it out of the Senate by a good margin. It requires districts to take affirmative steps to prevent bullying. Kathy Kelker feels that it implies “all knowing” on the part of school officials. Dan Martin asked about the position of the Board on this proposal. Jeff Weldon stated that there is already a policy in place. Dan Martin stated that the testimony in favor of this bill was awesome. There were a group of kids who testified that administrators had ignored the signs. Rod stated that Sam Kitzenberg is a good friend of education.

 

Jeff Weldon stated that SB170 would have the biggest impact on schools other than the funding bills. It is a major change dealing with flexibility in school calendars and PIRD.

 

HB574 will be heard next Friday. Rod Svee will attend.

 

The bill on retirement incentive was killed in the Education Committee. The bill regarding earlier registration of teacher certificates was killed. OPI testified against it.

 

The bill on limiting liability on students’ construction projects passed 95 to 2.

 

Dan Martin stated that our health insurance costs will rise 28 percent next year. We will be $60 short per employee. There has been no change in the substance of the health insurance bill. The Board should try to get the bill fixed if there is something wrong with it. One organization is responsible for doing the bidding. It has to be put out for bid, Judy Herzog stated that she would have to be able to make choices. She is against the governance and details, not the concept. Combine group with existing state group? Our plan is the best plan in the state. The Board should try and amend governance. This will save the state money. Judy Herzog is not interested in K-Ship at all. Dan Martin felt it is the answer for school districts. Kathy Kelker stated that governance needs to be made up of health insurance professionals.

 

Judy Herzog left the meeting at 12:55 p.m.

 

Kathy Kelker is nervous about the proposal because it is politicized. MQEC will have to revisit and revise, find middle ground. Kathy Kelker feels that insurance will be the big question for the legislature in the second half.

 

SB419 doesn’t affect us.

 

HB574 will be heard Friday. Jim Hartung will send out an email to the School/Community Committee members to have them contact their legislators for support.

 

Jeff Weldon stated that after the bills make it out of both houses the Governor still has to sign. It is an important step in the process.

 

Dan Nelson stated that Representatives Glaser and Lindeen will be having a town meeting on Saturday, February 26 at Lockwood School board room.

 

It was Rod’s understanding that the Republicans were also having a town meeting, but there was no information available on that.

 

The meeting adjourned at 1:15 to reconvene at 12:00 noon on Thursday, March 3.

 

Thursday, March 3, 2005

 

The meeting reconvened at 12:00 p.m. on Thursday, March 3rd, 2005. Those attending included Jeff Weldon, Dan Martin, Clerk Leo Hudetz, Jim Hartung, Karen Moses, Superintendent Rod Svee, Dan Nelson and Pat Bellinghausen.

 

Dan Nelson reported on the meeting held on February 26th at Lockwood. He was not sure which way Rep. Glaser and Rep. Lindeen were going. They confirmed the new state revenue figure is closer to $58,000,000. It could be distributed through flex funds or it could be through one of the other bills. Dan Martin reported recommendations were made two years ago to combine funds, which would recapture the reserve money and transportation funds.

 

There might be a chance to pass the educational bill if the governor will move off of the $77,000,000 figure, but it would take a tax law revision, which might not be possible in the remaining 45 days.

 

The hearing on HB574 is scheduled for March 4th and the Superintendent will be in Helena to testify.

 

Superintendent Svee will contact Jim Elliott regarding the passage of HB302.

 

HB747 has been referred to the Senate Judiciary Committee, but a hearing has not been scheduled as of this date. The primary sponsor is Robyn Driscoll. Jeff Weldon will contact Brent Cromley to determine where he stands on this bill.

 

Accreditation standards have been tied into Bill Glaser’s bill, which is HB310. The real legislative intent is there are reserve funds in transportation and retirement, which the legislators want to recapture and place in the state coffers. They could then report funding was increased whereas the funds were taken from the local districts, renamed, and given back to the various districts.

 

Superintendent Svee stated SB170 is a good bill and would testify for the bill. The bill is for flexibility in the school calendar and PIRD.

 

SB198 should be opposed as it goes far beyond a policy. It would require school districts to adopt anti-bullying policies.

 

K-SHIP is still alive in the legislature session.

 

The meeting adjourned at 1:15 to reconvene at 12:00 noon on Thursday, March 10.

 

Thursday, March 10, 2005

 

The meeting reconvened at 12:10 on March 10, 2005. Those present included Karen Moses, Malcolm Goodrich, Jeff Weldon, Leo Hudetz, and Jim Hartung.

 

Jeff provided a copy of Senate Bill No. 152, as amended and reported it had passed unanimously out of the House Education Committee.

 

In regard to KSHIP, Karen said there was a lot of conversation and that it was back in the House Select Education Committee. Leo commented that he had heard this morning that there was another amendment to this bill. Dan had reported that he would testify on the amendments but not on the bill as a whole.

 

Karen reported that Senate Bill 177 to Revise ANB funding, was looking good for us but since then has undergone many changes. She suggested we keep a close eye on the progress of this bill.

 

Jim spoke regarding the spending cap issue. A ruling might indicate that education must be funded to a certain limit but any decision on that issue could be for one year only. The education spending issue would then be continued during the next session.

 

Jeff suggested that with more board members present, they could consider or act upon endorsing legislation next Thursday.

 

Malcom left the meeting at 12:40 p.m.

 

The list of items of potential legislation was reviewed as well as detailed committee information and scheduled hearings. A complete list may be viewed on the Billings Public Schools website.

 

The meeting will reconvene on Thursday, March 17, 2005 at noon.

 

Thursday, March 17, 2005

 

The meeting reconvened at 12:10 on March 17, 2005. Those present included Karen Moses, Judith Herzog, Dan Nelson, John Fitzgerald, Katharin Kelker, Thomas Harper, Superintendent Rod Svee, Dan Martin, Jeff Weldon, Leo Hudetz, and Jim Hartung.

 

Dan Martin reported he testified on HB747 and Representative Mangan, OPI and colleges also spoke in favor. Jeff Weldon will check into the status of the bill and pass the word to the Board members. There were no negative questions or testimony.

 

Jeff Weldon reported an amendment was made in the Senate Taxation Committee to HB302. It would prohibit trustees from spending district money on commercial advertising. Districts could print informational sheets and send them home with students.

 

HB574 is awaiting executive action. The hearing is scheduled for March 31st.

 

Superintendent Svee reported one change had been made to KSHIP. He felt it was viable and destined to pass. It has been earmarked to not be paid out of the $80,000,000, but something would have to be given up to pay for it. Katharin Kelker reported districts can opt out of KSHIP but cannot return. Legislative issues will be discussed at the March 21st Board meeting in the legal report.

 

Jim Hartung stated SB177 sounds like basic entitlement will be per classroom, which he felt would help this District. Superintendent Svee was not sure the legislators could pull it together in this session. Dan Martin felt the best thing for Billings is a head count. Representative Glaser has stated more money will go to smaller schools than larger schools and will divorce ANB totally. Superintendent Svee reported SB177 is only to settle the short term and is based on accreditation standards.

 

Mr. Svee reported he spoke on behalf of a bill that would allow a District to request a performance audit. HB436 is out of committee and is scheduled for a March 31st hearing. The developer would have to give money for land in a subdivision to the school district. The Superintendent spoke as a proponent of the bill.

 

HB574 would revise the level of approval needed for a bond election. There was a discussion at this time around one mill levy election on two dates. The District could choose the date. It would be expensive as it would be in addition to the trustee election. The Board must decide on March 21st if a mill levy will be requested from the voters. If legislation comes through for the District, the mill levy election could be revoked.

 

The meeting recessed at 1:10 p.m. and will reconvene on Thursday, March 24, 2005.

 

Thursday, March 24, 2005

 

The meeting reconvened at 12:10 on March 24, 2005. Those present included Judith Herzog, Dan Nelson, Superintendent Rod Svee, Leo Hudetz, Mike Dimich, and Jim Hartung.

 

Superintendent Svee reported there is no pattern to HB2 and it has not passed the House. People are saying there is $80,000,000 in it but there is not. KSHIP is now dead on a vote of 51-47 where 60 votes were needed to pass it. The budget is now at 13% overall and education is 1%. Mr. Svee felt KSHIP could be resurrected with no funding attached to it. Trustee Dimich was surprised as to the people who spoke against KSHIP.

 

Trustee Dimich stated there is one opportunity in 177 and the Board should look at HB111 and SB147 as possibilities. There are some things hanging out there that dollars might be able to be moved into. There are a bunch of amendments being brought forward, including amendments to 177. He felt the Superintendent has done a great job testifying in Helena. Trustee Dimich reported 125 is now dead.

 

The Superintendent will go back to Helena and meet on Wednesday to take people through a system so it can be understood and then explained to the governor. It is a program that they could use and would be funded on a statewide levy but would only be on new construction and remodeling. An infrastructure would have to be developed so it might take a year. Then, it would go from a facilities advisory committee to a select committee of the legislature and they would determine the funding. The funding will come as loans from the coal trust to be paid back at the rate of interest from the statewide levy.

 

It was felt the Great Falls Tribune has better coverage than the Billings Gazette on legislative issues. Trustee Dimich stated the public does not understand that we are not getting $80,000,000 and the Board members cannot give up the fight to obtain more funding.

 

Jim Hartung reported the Career Center bill has passed the House and is now in the Senate Judiciary Committee. Superintendent Svee reported the Home Builders’ Association has carried the insurance in the past. The HBA has requested the District be the primary contractor. The profit from the sale of the home is used to purchase the land for the next home. Without this bill passing, it will mean the program in Billings will be dropped.

 

Jim Hartung reported HB574 passed the Senate for a majority vote on the bond issue. The vote was 38-10. 302 is back in the House with an amendment. Trustee Herzog will contact Mr. McGee to discuss HB747.

 

The meeting recessed at 1:00 p.m. and will reconvene on Thursday, March 31, 2005.

 

Thursday, March 31, 2005

 

The meeting reconvened at 12:00 on March 31, 2005. Those present included Judith Herzog, Dan Martin, Katharin Kelker, Clerk Leo Hudetz, Jim Hartung, Sandra Mossman and Jim Hartung.

 

Dan Martin reported HB63 should be out of the Senate today. The bill would give a provision allowing districts to permissively levy to pay for the increase in health insurance premiums in FY06-FY07 only, in the same manner used by other local governments. The Indian Education bill has died but there are other bills that have dollars for Indian Education. The School Board Association has come out in support of HB63.

 

The Chair reported the board would meet on Monday evening at 7:00 and set the amounts with the cut list. If the legislature comes through with funding, changes could be made at a later date. The governor could urge democrats to kill the funding or he could veto it. The District could go back to the entitlements as they are in statute and inflationary percentages are in the present law. The public could approve the voted amount but the District would not have to take all of it. The change could be made in August. The outcome of the legislative bills may not be known until the end of April. It might be possible to hold off printing the ballots until the last possible date to save money for the District.

 

Dan Martin stated if $33,000,000 could be given the first year in Gary Branae’s bill, and gave us $30,000,000 in KSHIP the second year, that would solve the insurance problem and be the same amount as if they gave it to us in ANB. The local taxpayers’ bill will go down this year, as the bond for Skyview will be paid.

 

If the Grand Avenue building would be sold, money could go into the general fund but it would be better if it were put in the building fund, as no ANB would be lost.

 

The question was asked if there was a reason why the District could not join the State health plan. The MEA would not support it if it would be less coverage.

 

HB747 would affect more districts than just in Billings. There may be additional changes on the Senate floor today.

 

The meeting recessed at 1:05 p.m. and will reconvene on Thursday, April 7, 2005.

 

Thursday, April 7, 2005

 

The meeting reconvened at 12:00 p.m. on April 7th, 2005. Those present included Clerk Leo Hudetz, Jeff Weldon, Sandra Mossman, Dan Martin, Judith Herzog, Jim Hartung, Mike Dimich, Superintendent Rod Svee and Karen Moses.

 

Jeff Weldon reported the Senate is now working on SB2 with only a little over a week remaining in this session. Trustee Dimich reported work must start over on the school-funding bill. The members of the committee will have to rely more on accreditation standards. Trustee Dimich felt the legislators would be able to draft something for the schools this year and the special session would address the second year but there would be winners and losers. Sandra Mossman asked what constitutes a classroom. That issue is still in committee.

 

Superintendent Svee reported KSHIP would probably be brought back during the special session which would be in the first part of December.

 

Jim Hartung reported Senator Cromley voted for HB747 after receiving several e-mails in support of the bill. School/Community members will continue to contact the legislators. HB574 will come up on Friday or Monday. Mr. Svee felt the amendments made a lot of sense. If an election were held on a primary or general election dates, it is a simple majority, but not if it is a special school election date. The reason it was amended was due to the taxpayers association.

 

HB136 passed the third reading 39-11 in the Senate and is on the way to the governor for his signature.

 

HB63 has not been discussed but will probably come up next Tuesday. The governor is to sign SB152 today.

 

Superintendent Svee reported the state of Connecticut has filed a suit against the federal government due to the lack of funding for NCLB.

 

The meeting recessed at 1:05 p.m. and will reconvene on Thursday, April 14, 2005.

 

Thursday, April 14, 2005

 

The meeting reconvened at 12:00 p.m. on April 14th, 2005. Those present included Katharin Kelker, Judith Herzog, Karen Moses, Superintendent Rod Svee, Jim Hartung, John Fitzgerald, Dan Martin and Pat Bellinghausen.

 

Superintendent Svee reported HB63 was not popular with the education groups because it does not address some of the critical aspects of the court’s decision. Immediate relief did not occur and it fell short of what MQEC had felt would be adequate. Where it goes in the special session will be very critical. HB63 states the legislature will go into special session in the first part of December, which is after the October 1 deadline. Mr. Svee felt the Select Committee was a fine group of individuals and a good discussion should take place. One recommendation made was for another study but outside firms have been contacted. If all the components are costed out, that is what the bill should be. All aspects must be funded. In Special Education, $35,000,000 is not being funded. Extra-curricular activities are included in the accreditation standards. Superintendent Svee stated HB63 did not address building so bonds couldn’t be issued after October according to the bill, which he felt was an oversight. Funding for Indian Education is almost back to nothing. The history of HB667 gave 4% to the schools, but took 4.5% away in December of that year. Now there is a definition, which must be funded.

 

Trustee Herzog asked how this District would be affected by HB63. Superintendent Svee reported it is less than 1%. It is $250 for elementary and $100 for high school. HB667 was designed in a way that gave money but it cost the local taxpayers in the long run.

 

Karen Moses read the letter from Tom Cotton on MQEC. The Chair stated, if there is an MQEC meeting in the next few days, it is important for Karen Moses to represent our District and back up the Supreme Court’s decision.

 

Jim Hartung stated every Yellowstone County legislator voted for HB747. HB302 passed on third reading 75-24. HB574 passed 82-18 on the third reading. He felt it was important for people to e-mail the governor to encourage him to sign the three bills.

 

The meeting recessed at 1:15 p.m. and will reconvene on April 21st, if needed.

 

Thursday, April 21, 2005

 

The continuing meeting of the Board reconvened at 12:05 p.m. on Thursday, April 21, 2005. Members present were: Judith B. Herzog, Karen Moses, Superintendent Rodney Svee, Leo Hudetz and Jeff Weldon. Jim Hartung was also present.

 

Judith Herzog had to leave for another meeting at 12:10 p.m.

 

There was a brief discussion of whether or not the meeting scheduled on Monday, April 25th should have the option of reconsidering a levy election now that the legislative session is finished and the amount of financing is determined. Karen Moses would like to have a discussion on an election. Superintendent Svee stated that the decision on whether or not to have an election has to be made on Monday.

 

Jeff Weldon stated that the legislature has actually adjourned now. There was a discussion of the committee to look at state funding of education as set up by the legislature. There will be open meetings. It is hoped that the committee will hold around the state.

 

Mr. Svee mentioned that the MQEC is having a litigation committee meeting on May 3rd which we will try to have available by teleconference.

 

Jeff Weldon asked about a possible work session with other districts and possibly include Jack Copps from MQEC. This meeting would be to discuss funding and non-funding items that came out of the legislative session. This work session should be after the MQEC litigation session, possibly the week of May 9th. It will be discussed at the agenda setting meeting on May 4th.

 

Karen Moses doesn’t feel there is a need to continue this meeting. The meeting was adjourned at 12:55 p.m.

 

 

 

 

Katharin Kelker, Chair

 

 

 

Diane Blevins, Recorder

 

 

 

Nancy Coe, Recorder

 

 

 

Donna Obie, Recorder