Budgeting For Results Committee - October 09, 2006

[Guest sullinss]

Proceedings of the Budgeting For Results Committee

School District No. 2, Yellowstone County

High School District No. 2, Yellowstone County

Billings, Montana

 

October 09, 2006

 

Call to Order

 

The Budgeting For Results Committee of School District No. 2, Yellowstone County and High School District No. 2, Yellowstone County, Montana met at Lincoln Center, 415 North 30th Street, Billings, Montana, on Monday, October 09, 2006. Vice-Chair Katharin Kelker called the meeting to order at 5:32 p.m. and led those assembled in the Pledge of Allegiance. Committee members present were Peter Grass, Curt Prchal, Shanna Henry, Dan Farmer, Joan Sleeth, Katharin Kelker, Don Stanaway, Rachel Stagg, and Kari Altenburg. Also present were Superintendent Jack Copps and Chief Financial Officer Thomas Harper. Absent were Committee members K. Dale Getz and Jerome Chvilicek.

 

Communication From the Public

 

There were no public comments.

 

Committee Structure and Responsibilities

 

On August 21, 2006 the Board of Trustees approved Procedure 1130-P1 which restructured the District’s Committees to improve their effectiveness. The Business Committee was renamed the “Budgeting For Results Committee.” Members were appointed to the Committee at the Board’s September 18, 2006 meeting. Two new Committee members are Don Stanaway and Dan Farmer.

 

The Budgeting For Results Committee is charged with reviewing and evaluating the business and financial operations, facilities operation and maintenance, educational outcome measures, quality assurance (accreditation review), grant review and evaluation, and financial policies of the District. The District is launched in a new process of how to put together the School District’s budget involving a very large number of citizens in the community expressing their viewpoint about what the results should be of our educational process. We want to build our budget based on the results that the community wants to achieve. A different community group has developed six results for outcomes for the District. This Committee will be a part of helping to shape the budget so it is targeted appropriately for those results. This Committee will make recommendations to the Board in light of desired educational results, major expenditures, potential economies for the District, sources of funding, personnel policy, and general fiscal management policy. The Budgeting For Results Committee also oversees and reviews the health insurance program.

 

Consent Agenda

 

Shanna Henry moved to recommend Board approval of Consent Agenda items as follows:

1. Addition of REWARDS Special Funds Trust Account at Lincoln Center

2. Minutes of the Business Committee, August 7, 2006

3. Resolution – Intent to Dispose of District Personal Property

Dan Farmer seconded the motion. The motion carried unanimously.

 

Financial Reports

 

The Committee reviewed the unaudited Financial Reports for September, 2006. Thomas explained we are 25% through the year, and expenditures and fund balances are in line with that. 85% of expenditures are payroll related.

 

 

 

 

 

Bills Paid – September, 2006

 

Thomas explained the Procurement Card will eliminate most small dollar purchases for consumable goods. The Procurement Card has improved control procedures over our universal card since it is issued in the District’s and individual’s name. A list of warrants is e-mailed to Committee members for review, and District Clerk Leo Hudetz also scrutinizes this list before warrants are released.

 

Peter Grass moved to recommend the Board approve the bills paid as presented. Joan Sleeth seconded the motion. The motion carried unanimously.

 

Budgeting For Results

 

The Committee reviewed a Recent History of School Finance in Montana handout along with revenue comparisons by different sources for years 2000-2006. From 1991 through 2005 State funding of public education under House Bill 667 declined with a significant increase in district property taxes to make up the difference. From 1991-2003, state funding per pupil fell behind inflation about 22%, while district property taxes grew beyond inflation by 130%. In January 2002 the No Child Left Behind Act went into effect with added testing and assessment requirements and a lack of funding to cover those programs. In 2001 many school district and state associations sued the state for inadequate funding of public education. The special session of the State Legislature addressed some funding needs, but much of it was earmarked for specific areas.

 

The Budgeting For Results Committee will agenda time at each meeting for presentations/discussion on topical issues from internal/external experts in the areas that impact the Districts’ budgets. It was suggested that Rich Whitney report on District facilities. Past General Fund budgets have had little or no money for maintenance.

 

Superintendent Copps stated the community needs to reach a consensus regarding its vision in terms of school infrastructure, since the population of Billings is growing about two percent per year. The debate is the size of the schools versus educational disadvantages.

 

Thomas discussed the timeline for the Budgeting for Results process. The Budgeting for Results Guidance Team has established six District-wide results citizens expect and the indicators to measure progress. The District will design surveys to obtain baseline data to measure results to produce a District report card. This process lays out how to put together a budget around those results.

 

Some Committee members expressed concerns regarding generating ideas based on need without the supporting revenue, and replacing current resources; full and open disclosure of new ideas before implementation; and competition between schools and departments for funding programs.

 

The intent of the Board of Trustees is for this process to stimulate the broadest discussion the District has ever had regarding the budget. There will be equal opportunity for all students; and, program differences between high schools will not be allowed.

 

Discussion was held on the District’s unfunded liability, compensated absence.

 

 

 

 

Katharin Kelker, Vice-Chair

 

 

 

 

Sherrill Sullins, Recorder