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HOW SHOULD WE HANDLE APPROVAL OF THE AGENDA? I HAVE A MOTION TO APPROVE THE AGENDA.
ANY OPPOSED IS RACHEL ON? I DON'T SEE RACHEL.
IS WILLIAM ON? I DON'T SEE HIM THERE'S IPHONE ON THERE, BUT HE DIDN'T APPROVE THE AGENDA.
SO I HAVE EARL TRICIA, UM, INGRID IN RICHARD FOR APPROVAL OF THE AGENDA, CORRECT? YEAH, THAT WAS WILLIAM.
WILLIAM, DO YOU APPROVE THE AGENDA? I'M GOING TO ABSTAIN BECAUSE I DO HAVE SOME CONCERNS ABOUT POSSIBLY WE DON'T HAVE PUBLIC COMMENTS.
WELL, WE'LL GO TO THIRD QUARTER FINANCIAL REPORT.
UM, ROBIN, CAN YOU HEAR ME ALL RIGHT? YES.
UM, SO THIS EVENING WE'RE BRINGING FORWARD THE THIRD QUARTER OF FISCAL YEAR 21 FINANCIAL SUMMARY, UH, FINANCIAL REPORT, UM, AND THE SUMMARY HIGHLIGHTS SOME OF THE CHANGES, UH, UH, OUR COMPARATIVE INFORMATION WITH THE PRIOR YEAR.
UM, THE FIRST ITEM I LIKE TO BRING TO ATTENTION IS LOCAL PROPERTY TAX.
AT THE END OF THE THIRD QUARTER, 3.3% THE PRIOR YEAR AT NIGHT, SINCE THEN, UH, WE HAD RECEIVED APRIL THROUGH APRIL 15TH AND WE ARE CURRENTLY AT ABOUT 98.
SO ELECTIONS ARE LOOKING VERY GOOD REVENUES AS A PERCENTAGE OF OUR BUDGET.
AND, UH, WE DO EXPECT THERE COULD BE A, ACTUALLY AN EXCESS OF SMALL EXCESS THIS YEAR.
SO WE ARE LOOKING FORWARD TO GETTING THOSE FINAL APRIL'S NUMBERS.
UM, AND WE'LL BE TALKING TO THE BOARD REGULARLY THROUGH BUDGET CONVERSATIONS ON THOSE, WHAT THOSE REVENUES ARE, ARE A MONTHLY BASIS.
UM, SO, UH, TAN BORROWINGS ARE, UM, HAVE BEEN, UH, RECEIVED AND PAID BACK AS OF THE END OF THE THIRD QUARTER.
UM, WE WILL BE LOOKING TO BORROW, UM, LOOKING TO DO OUR CALCULATIONS CASHFLOW CALCULATIONS, COMING UP VERY, VERY SOON, AND WE'LL NEED TO SUBMIT, UH, TO THE BOARD, UH, ON WHAT THAT BORROWING WILL BE MOST LIKELY BEFORE THE END OF JUNE.
SO I WILL BE COMING FORWARD SOMETIMES YOU FOR THAT ANNUAL BORROWING REQUEST.
UH, AND ADDITIONALLY, THE $80 MILLION TAN THAT WAS UNIQUE TO THIS YEAR DUE TO THE TAX BILL DELAY.
UM, THOSE ARE OUR PAYBACK AT A SPECIFIC TIME.
THOSE HAVE BEEN RECEIVED, UH, AND DID COVER EVERYTHING.
ALL THE OPERATIONAL COSTS THAT WE HAD, UH, INCLUDING DEBT SERVICE AND THEY ARE PRESCRIBED TO BE PAID BACK, UM, ON OUR NEAR JUNE 30TH.
SO WE WILL HOLD THOSE FUNDS UNTIL RIGHT AROUND THE END OF JUNE, AND THEN WE'LL MAKE ONE PAYMENT BACK THEN.
SO THOSE WILL INDICATE IT IN OUR FOURTH QUARTER REPORT BEFORE THE END OF THE FISCAL YEAR.
IT WILL NOT REMAIN ON OUR BOOKS AT THE END OF FISCAL YEAR.
SO STATE REVENUES ARE COMING IN RIGHT ON THE MARK.
UM, ALMOST ALMOST THE SAME AS THE PRIOR YEAR.
UM, WE DO HAVE ADDITIONAL, UM, UH, E-BRAKE PLANS THAT ARE FEDERAL REVENUE SOURCES AND THEY ARE A LITTLE HIGHER THAN THIS POINT LAST YEAR E RIGHT REVENUES OR SPORADIC, UH, DEPENDING ON THE TIMING OF THE APPLICATION PERIOD FROM THE FEDERAL GOVERNMENT.
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IN A LITTLE ABOVE BUDGET ON THAT SO FAR THIS YEAR.UM, WE ARE ENTERING INTO AN APPLICATION PERIOD AND THOSE APPLICATION PERIODS ARE ABOUT ONCE EVERY FIVE YEARS.
UM, SO ON THE EXPENDITURE SIDE, WE ARE REPORTING AT ABOUT 65%, WHICH IS JUST SLIGHTLY LOWER THAN THIS POINT LAST YEAR.
UM, SO AS YOU RECALL, LAST YEAR AT MARCH 16TH, WE BROUGHT CLOSURE.
SO THEN WE DID EXPERIENCE A LARGE AMOUNT OF SAVINGS LAST YEAR, BUT IT WAS MOSTLY IN THAT LAST QUARTER OF THE YEAR.
SO UP UNTIL THIS POINT COMPARABLE, UM, WITH THE PRIOR YEAR, UM, THEN, UM, IN OUR SPECIAL REVENUES PLANS, WE ARE EXPERIENCING A FITBIT, MORE FEDERAL REVENUE IN THE CARES THAT AND S OR ACT FUNDS.
UM, SO THAT IS THAT REASONING, THE INCREASES IN THOSE FUNDS AND TO DATE, WE'VE SPENT ABOUT $7.7 MILLION OF THOSE FEDERAL FUNDS COMBINED.
UM, SO WE HAVE HAD SIGNIFICANT INCREASE IN THE SPENDING IN THOSE CATEGORIES THIS YEAR, PARTICULARLY FOR PPE AND, UM, TECHNOLOGY DEVICES FOR STUDENTS AND SANITATION AND, UH, OTHER SERVICES THAT ADDRESS LEARNING LOSS.
UM, AND AS YOU, UM, YOU KNOW, CAPITAL PROJECTS ARE UP AS WELL BECAUSE OF OUR REFERENDUM PROJECTS AND, UM, THE BORROWINGS IN THE DEBT SERVICE FUND AS WELL DUE TO THE BORROWINGS OF REFERENDUM, UH, BONDS, UM, FOOD SERVICE IS SHOWING A DECLINE THIS YEAR, PARTIALLY BECAUSE WE HAVE, UM, WE WERE, WHICH WE WERE CLOSED FOR A FEW MONTHS AND THEN GETTING INTO FISCAL YEAR.
THEN WE WENT TO, UM, MOSTLY FACE-TO-FACE WITH SOME VIRTUAL STUDENTS.
SO THE NUMBERS OF MEALS ARE SIGNIFICANTLY LOWER THIS YEAR.
UM, SO WE ARE GOING TO EXPERIENCE SOME LOWER REVENUES FROM USDA, LOWER EXPENSES FROM PAYMENTS TO OUR CONTRACTOR.
UH, BUT WE ACTUALLY DO EXPECT TO RECEIVE, UH, A GOOD PROFIT IN THAT CATEGORY THIS YEAR.
WE'RE ON TRACK TO HAVE PROFITABLE YEAR, WHICH IN TURN WILL HELP US ONLY, EVEN MORE IN OUR REPLENISHMENT.
WE USE AS PROFITS TO BUY NEW KITCHEN EQUIPMENT.
UM, SO OVENS, STEAMERS AND OTHER FOOD SERVICE EQUIPMENT, IT JUST, WE JUST REINVEST IT RIGHT BACK INTO THOSE FUNDS.
SO, UM, THAT IS, UH, A SUMMARY OF, OF THE ALL FUNDS, UH, QUARTERLY REPORT.
AND I'LL JUST OPEN IT UP FOR QUESTIONS.
CAN WE TALK ABOUT THE STUDENT ACTIVITIES? YES.
Y UM, THERE, THAT SOURCE OF FUNDS IS MADE UP IN PRIMARILY TWO AREAS AND IT'S THE TECHNOLOGY USAGE FEE AND THE FACILITIES USAGE FEE.
SO THERE'S ABOUT $200,000 IN THE FACILITIES USE FEE AREA, UM, THAT HAS BEEN COLLECTED AS A PORTION OF THE FEES THAT ARE IMPOSED ON FOLKS THAT WANT TO RENT BUILDINGS, RENT FACILITIES.
SO THOSE HAVE NOT, AS IT REMAINED PRETTY STAGNANT ALL YEAR, SINCE WE HAVEN'T HAD MUCH ACTIVITY IN RENT OUT SPACE RENTAL AREA THAT THIS TECHNOLOGY USAGE B HAS ACTUALLY DECLINED.
I THINK WE WERE AT A POINT OF ABOUT A MILLION DOLLARS LAST QUARTER.
AND SO WE ARE USING THAT TO PURCHASE.
UM, IT IS INTENDED FOR, UH, REPLACING OR REPAIRING DAMAGED DEVICES, STUDENT DEVICES, OR TEACHER DEVICES, BUT WE HAVE ALSO USED IT TO BUY SOME OF THE OTTERBOX CASES AND THE CARRYING CASES THAT ARE NEEDED FOR THE DEVICES.
SO WE'RE STARTING TO UTILIZE THOSE FUNDS TO, UM, MORE REGULARLY TO DRAW DOWN THAT BALANCE.
SO WE INTEND TO, I'VE BEEN PRESSURING, UH, TECHNOLOGY.
WHO'S ALSO UNDER MY DIRECTION TO MAKE SURE TO BRING THOSE FUNDS DOWN AND UTILIZE THAT WITHOUT BORROWING ADDITIONAL FUNDS WE WANT TO ABSOLUTELY.
AND REALLY THE PROTECTIVE STUFF.
THAT'S AN EXCELLENT INVESTMENT RIGHT HERE.
THAT'S EXACTLY WHAT SHE, SO I'M CLOSELY MONITORING THAT
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AND TALKING REGULARLY WITH THE LEADERSHIP IN TECHNOLOGY TO MAKE SURE WE'RE DRAWING THAT BALANCE DOWN TO A MORE REASONABLE LEVEL.I SEE YOU'VE TAKEN CARE OF BATTERY CREEK.
UH, WE HAVE A POSITIVE BALANCE.
WE HAVE, THERE WAS A TRANSFER ABOUT, ABOUT, UH, 35,000 THAT WAS MADE, AND IT BROUGHT THEM FROM A NEGATIVE BALANCE NOW TO A POSITIVE BALANCE.
SO IF THERE ARE ANY OTHER QUESTIONS ON THE EXPENDITURES, WE LOOKED GOOD EXPENDITURE WISE.
I DIDN'T SEE BUDDY TREMENDOUSLY OUT OF VARIOUS, UH, FOR EXPENDITURES.
UM, I DON'T KNOW WHAT YOUR END OF YEAR PURCHASING POLICY IS.
WHAT GUIDANCE DO YOU GIVE TO PRINCIPALS AND OTHER ACCOUNT MANAGERS OR ANY BALANCE THEY HAVE LEFT IN THEIR BUDGET FOR END OF YEAR? DO YOU HAVE A POLICY OR DO YOU GIVE THEM GUIDANCE ON WHAT THEY CAN SPEND IT ON OR HOW THEY SHOULD SPEND IT? UM, TYPICALLY AT THE BEGINNING, AT THE END OF THE YEAR, IT REALLY DEPENDS ON WHERE WE ARE IN THE BUDGET.
SO LAST YEAR WE FROZE BECAUSE OF PANDEMIC SITUATION.
UM, THIS YEAR WE DID NOT HAVE NOT STOPPED SPENDING AT THIS POINT.
UH, WE DO TYPICALLY, UM, UH, IN ABOUT A MONTH BEFORE TYPICALLY TELL THEM TO WRAP THINGS UP AND WE'LL BE LOOKING AT THEIR BALANCES TO SEE IF, UH, WE NEED TO REDIRECT FUNDING OR, OR, UM, OF SOME SORT FOR THE REMAINDER OF THE YEAR.
SO WE DO MONITOR THAT ON A MONTHLY BASIS.
AND, UM, HAVEN'T SENT ANY DIRECTION AT THIS POINT THIS YEAR, UM, TO THAT EFFECT, BUT THEY ARE, IT SHOULD BE WRAPPING UP THEIR THEY'RE SPENDING AT THIS POINT.
THEY KNOW THAT, UM, ANY, ANY DOLLARS THAT ARE SPENT NOW, BUT MERCHANDISE RECEIVED AFTER JULY ONE WILL BE APPLIED TO THE FOLLOWING YEAR'S BUDGET.
SO IT'S BASED ON WHEN YOU TAKE SESSION AND PUT THE ITEMS INTO YEARS, OR WHEN THE SERVICES ARE PROVIDED SERVICES, GOING TO BE PROVIDED JULY 15 AND YOU PURCHASE IT AND WANT TO SPEND, IT'S GOING TO COME OUT OF THE NEXT YEAR'S BUDGET.
SO THAT'S AN ACCOUNTING RULE, UM, SERVICES ARE PROVIDED FOR THE RECEIPT AND PUT INTO USE.
SO, UM, THAT IS AN UNDERSTANDING THAT THEY'RE VERY AWARE OF.
AND SO, UM, WE'LL BE LOOKING TO, UM, SPENDING, SPENDING STUFF IS PROBABLY TWO WEEKS PRIOR.
AND THEN AT THE END OF THE FISCAL YEAR, YES.
ANY OTHER QUESTIONS, INGRID OR EARL WILLIAM.
WELL, LET ME ASK YOU, DOES THIS NEED TO HAVE A MOTION FROM THE FINANCE COMMITTEE TO BRING US TO, TO ACCEPT THIS, TO RECOMMEND TO THE BOARD TO ACCEPT IT? OR IS THAT BECAUSE THIS IS A PE, RIGHT? YES.
SO I WAS THINKING TO KEEP THINGS CLEAN IF MAYBE JUST THE FINANCE COMMITTEE.
I WOULD RECOMMEND REMOVING THE PE LANGUAGE FROM IT.
AND JUST TO SAY, TO ACCEPT THIRD QUARTER FINANCIAL REPORTS, PUPPIES TECHNICALLY DO NOT EXIST.
UM, ALL, COULD YOU GIVE US A MOTION, A MOTION TO ACCEPT THE THIRD QUARTER FINANCIAL STATEMENT? OKAY.
I MAKE A MOTION THAT WE ACCEPT THE THIRD QUARTER FINANCIAL SHAPE, RECOMMEND APPROVAL APPROVAL, OR ACCEPTANCE LEARNING.
WE'RE ACTUALLY RECOMMENDING TO HER FOR BOARD RECOMMENDED APPROVAL.
SO IF WE COULD HAVE THAT MOTION, SAY THE FINANCE COMMITTEE RECOMMENDS APPROVAL OF THE, THE THIRD QUARTER FINANCIAL STATEMENT.
MOTION THAT WE RECOMMEND TO THE FOUR BOARD.
ROBIN, THE FINANCE COMMITTEE RECOMMENDS TO THE FULL BOARD ACCEPTANCE OF THE THIRD QUARTER FINANCIAL REPORT.
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DAVID HAS HIS HAND UP, DAVID? NO, I, I TOOK IT DOWN.I JUST WANTED TO MAKE YOUR ACCEPTANCE.
SO, UH, ALL THOSE IN FAVOR SIGNIFY BY SAYING AYE, OPPOSED MOTION PARISH.
SO WE NOW CAN GO TO THE 8%, THEIR CAPITAL BUDGET, WILLIAM WILLIAM.
I HAD MY HAND UP, BUT Y'ALL ALREADY MADE, Y'ALL ALREADY WANT TO LET HIM BEEN A VOTE ON IT, BUT ASK SOME QUESTIONS ABOUT THIS, DEFINING THIS COMMITTEE VOTING ON THAT I HAVE, I HAVE, UM, AND WE WERE IN A JOINT MEETING, BUT IT DOESN'T MATTER.
SO THE NEXT ITEM ON THE AGENDA IS, UH, TO HAVE A DISCUSSION ON THE 8% CAPITAL BUDGET.
AND, UM, SO MS. CROSBY, DID YOU PREPARE THIS POWERPOINT OR ARE WE GOING TO GO THROUGH THIS OR IS THIS MR. RYAN, MR. ROTTING? WELL, YOU KNOW, I DON'T DIDN'T KNOW EXACTLY THE ORDER.
UM, THERE'S SEVERAL TOPICS I WANT TO TALK ABOUT TONIGHT AROUND 8%.
CAN I HAVE MY LIST HERE? ONE IS THE ACTUAL LIST ITSELF, AS IT CAME OUT OF OPERATIONS, WE'RE ACTUALLY ON VERSION FIVE, FIVE A AND FIVE B.
SO YOU HAVE EACH ONE OF THOSE.
UM, AND I BELIEVE I CAN SAY THAT THE OPERATIONS COMMITTEE IS FAVORABLE ON THOSE, IS THAT YES.
UM, WE DO NOT TAKE, UH, ANY EMOTION OR ACTION OUT OF IT, EXCEPT FOR THAT.
THERE WAS NO OBJECTION WHEN WE REVIEWED FIVE A AND FIVE B.
AND SO, UH, DEFINITELY KNOWING THAT TODAY, WE'RE GOING TO, UM, LOOK AT IT THROUGH A DIFFERENT LENS.
WE FELT CONFIDENT BRINGING THIS TO THE FINANCE COMMITTEE AND HAVING THIS DISCUSSION.
I MEAN, SO THE FIRST THING IS WE WANT TO LOOK AT THE LIST.
JUST EVERYBODY HAS UNDERSTANDING OF IT.
THE SECOND THING WE'LL TALK ABOUT IS WHICH LIST I MIGHT PUTTING THIS ONE OUT.
IF YOU WOULD PUT THE ONE THAT'S JUST, UH, THE FIVE VERSION FIVE, THAT ONE, UM, WE'RE ALSO GOING TO TALK ABOUT THE USE OF CONTINGENCY FUNDS.
I KNOW THERE'S QUITE A CONVERSATION ABOUT THAT AND HOW WE'VE ADDRESSED THAT WITH, UH, THIS LIST.
UM, A CONVERSATION ABOUT THE ROLL-UP FUNDS.
UH, ONE OF THE THINGS THE OPERATIONS COMMITTEE KIND OF TASKED, UM, CONNIE DEPARTMENT, WAS TO LOOK FOR AN EXIT, UM, HOW TO FIND ADDITIONAL FUNDS FOR, UH, WHAT WERE THE OTHER OPTIONS, ESPECIALLY I KNOW TALKING ABOUT PAYING FOR LIKE IT EQUIPMENT AND ELECTRONICS, SO THEY DIDN'T COME UP WITH SOME IDEAS.
SO ONE OF THOSE WAS THE ROLL UP FUNDS AND OTHER ONE E RATE FUNDS.
AND THEN LAST, I'LL TALK ABOUT THE PRESENTATION.
YOU KNOW, MR. GEIER IS INTERESTED IN AS FAR AS HOW LONG TO LEAVE ACCOUNTS OPEN.
SO FIRST OFF IS ABOUT THE ACTUAL LIST ITSELF.
AND I THINK NICK, UH, FILO WAS CVRE HERE.
HE CAN ANSWER ANY QUESTIONS YOU HAVE ON THE LIST.
HE ACTUALLY DEVELOPED MOST OF THIS.
UM, BUT ROBIN, IF YOU WOULD GO TO PAGE TWO OR THE SECOND PAGE, PAGE 12, AND MR. RYAN, UH, JUST INTERRUPT YOU FOR A SECOND.
UM, I JUST WANTED TO GO TO THE PUBLIC AND THE OTHER BOARD MEMBERS TO KNOW THAT ARE ON WITH US TODAY THAT THE OPERATIONS COMMITTEE HAS LOOKED AT SEVERAL VERSIONS OF THIS, UH, 8% PROJECT LISTS.
AND WE LOOKED AT IT LINE BY LINE.
I JUST WANT YOU TO KNOW IT'S NOT, IT WASN'T HOLISTIC.
IT WAS ACTUALLY DISCUSSING EACH AND EVERY PROJECT THAT IS ABOVE THE RED LINE.
I JUST WANTED TO NOTE THAT AND JUST IN EVERY BOARD MEMBER DID GET A FINDER, I BELIEVE, AND IT'S A DIFFERENT FORMAT.
AND I THINK THIS IS, WELL, I KNOW THIS THAT WOULD WANT TO DO IT GOING FORWARD.
AND IT HAS ALL THE SUPPLEMENTAL INFORMATION TO SUPPORT THE PROJECTS.
AND OUR GOAL IS TO IMPROVE THIS AS WE GO FORWARD, AS FAR AS THE, UM, SO YES, ANY OF THESE PROJECTS, AS FAR AS THE LINE, IT WILL MAX UP THROUGH A DESCRIPTION OF IT, UM, IN TAB THREE, AND THEN THIS TAB FOUR IN THE BINDER WAS ONLY ABOUT FURNITURE IN TAB FIVE WAS ABOUT BEING SO WITH THAT, UM, WHAT I, THE CONCEPT 11, IF YOU GO TO PAGE LEFT THERE YOU'RE RIGHT THERE, ROBIN.
SO MS. GOODRICH MENTIONED ABOVE THE LINE BELOW THE LINE THAT THAT'S THE CONCEPT HERE AND THIS ACTUALLY, UM, SOME OF THE MEMBERS FROM CBR HERE, HE BROUGHT IT AS IT WAS BEING USED IN CHARLESTON.
SOME OF THE LOCATIONS IN ALABAMA AND THE CONCEPT HERE IS THAT,
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UM, YOU APPROVE EVERYTHING ABOVE THE LINE AND WHAT YOU'LL NOTICE THERE, THE TOTAL FUNDING THERE IS 20 MILLION, 770 2008 74.NOW JUST KNOW THAT WE'LL TALK ABOUT THOSE OTHER FUNDS BECAUSE YOU'RE ONLY GOING TO BORROW AT $20 MILLION, WHICH IS, UM, SO THAT IS YOUR PROJECT AMOUNT LIMIT IN THIS VERSION AND EVERYTHING ABOVE IT ADDS UP TO THAT.
AND AS PROJECTS ARE COMPLETED AND ANY SAVINGS FROM THOSE PROJECTS COME BACK, THEY WILL GO INTO PROJECT CONTINGENCY AND EVERYTHING BETWEEN THE BLACK LINE AND THE RED LINE ARE THEN AVAILABLE TO BE SPENT ON PROJECT CONTAINMENTS.
SO YOU SEE, UM, ABOVE THE LINE, WE SHOULD BE USING THAT PHRASE ABOVE THE BLACK LINE IS THE BACKACHE THAT THE LIST IS IT 20 MILLION, SEVEN 72 AND BELOW BETWEEN THE BLACK AND THE RED ARE ABOVE THE RED LINE IS 25 MILLION, ONE 57 88.
UM, I DON'T WANT TO GO ON EAST LINE BY LINE DETAIL AS FAR AS THAT'S WHAT WE DID IN THE OPERATIONS COMMITTEE.
WHAT I'D REALLY LIKE TO TALK ABOUT IS THIS CONCEPT OF FUNDING AT SETTING A FUNDING AMOUNT ABOVE THE BLACK LINE, AND THEN HAVING A PROJECT LIST FOR PROJECT CONTINGENCY BELOW THE LINE.
SO WITH THAT, IS THERE ANY QUESTIONS ABOUT THAT CONCEPT BEFORE WE GET INTO THAT CONCEPT? COULD YOU, DID YOU LOOK AT USING HVAC? UH, WE HAVE ABOVE THE LINE HVAC, UH, THAT WE COULD POSSIBLY USE MONEY THAT WERE COMING FROM THE FEDERAL GOVERNMENT.
SO YOU'RE GOING TO JUMP INTO THE ROLLOVER FUND, BUT THAT'S THE THAT'S IS 700, SO WE CAN GET TO THAT.
OH, YOU'RE TALKING ABOUT THE NEXT ROUND, RIGHT AT THIS TIME WE HAVE NO, I MEAN, THAT'S WHAT WE ACTUALLY, AS SENIOR STAFF ARE GOING TO MEET AND DISCUSS AND BRAIN THE HPAC PROJECTS THAT WERE NOT FUNDING WITH 8% TO SEE HOW MANY OF THOSE WE CAN FUND WITH THE NEXT ROUND INVESTMENT, BECAUSE WE STILL HAVE MANY NEEDS OUT THERE.
THESE ARE ONLY THE PROJECTS THAT WERE IN THE, UH, FYI 2023 PROJECT LIST.
SO I'M NOT REAL CONCERNED ABOUT BEING ABLE TO FIND HPC.
IF I MAY, UM, IN THE LAST ROUND OF A REQUEST TO BUILD A S OR TO PLAN MR. AUDITING BROUGHT FOR A LISTING OF HPAC UNIT C, IT HAD BEEN APPLIED, THEY DIDN'T FIT INTO THE BUDGET FOR THE PLAN, OTHER THAN THE WELL BRANCH MIDDLEWARE, RANCHO MOLD REMEDIATION.
WE WERE ABLE TO IDENTIFY THAT AND HELP TO BE ABLE TO SPIN THAT QUICKLY.
UM, SO WE DO HAVE A LISTING OF OTHER PROJECTS THAT WILL BE, CAN BE INCORPORATED INTO THE SR THREE PLAN AS WE'RE BUILDING THAT.
SO WE ALREADY HAD, HE ALREADY HAS IDENTIFIED, I THINK ABOUT FOUR UNITS THAT ARE ELIGIBLE FOR REPLACEMENT, SOME OF WHICH MAY BE ABLE TO FIT IN THOSE FUNDS.
I MEAN, NOW THERE'S MORE FUNDING THERE WHERE WE CAN, WE CAN FIND OTHER THERE'S PLENTY OUT THERE.
WE HAD THAT CONVERSATION IN COMMITTEE.
I THINK MS. BOATWRIGHTS ASKED ABOUT THAT.
AND, UH, EVERY, EVERY ITEM THAT WE LOOKED AT, WE KEPT ASKING CAN, CAN THE WATER FOUNTAINS, CAN THE AIR CONDITIONERS, CAN ANY OF THESE THINGS BE USED WITH, ESPECIALLY THIS NEXT GROUP THAT'S COMING THROUGH? SO, UM, I JUST, YOU KNOW, WE, WE DID HAVE THAT CONVERSATION CAUSE I THINK IT'S VERY VALID.
SO THAT, AND THEN AS TELLING YOU MENTIONED THE FUNDING FROM THE WELL BRANCH OR THE REIMBURSEMENT FOR THE WELL BRANCH FOR MEDIATION, UM, THAT'S THAT SEVEN 72, EIGHT 74.
SO IN THIS PLANT, THAT AMOUNT THAT'S OVER THE $20 MILLION IS BECAUSE IN THIS LIST OR THE WELL-BRANDED PROJECTS, BECAUSE THEY WERE PREVIOUSLY APPROVED.
UM, AND NOW THAT THAT FUNDING IS AVAILABLE, THAT FUNDING COULD BE BROUGHT BACK IN HERE, WHICH INCREASES THE AMOUNT, BUT YOU'RE STILL ONLY BORROWING THE 20 MILLION.
UH, MR. SMITH, YOU HAD A QUESTION.
NO, I DIDN'T TAKE MY HAND DOWN.
I JUST WANT TO POINT OUT THAT THERE'S A SUBTLE CHANGE IN THE WAY THIS IS BEING DONE, AS OPPOSED TO HOW IT WAS DONE IN PREVIOUS YEARS, YOU KNOW, ROBERT HAD A REALLY NICE SPREADSHEET THAT HE HAD BEEN USING AND INCORPORATED A LOT OF THESE, A LOT OF THE HEIGHT, HIGH-DOSE THE
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BIG DIFFERENCES, AND IT IS SUBTLE THAT THE BOARD USED TO APPROVE PROJECTS BEING DONE.THEY WOULD APPROVE THE PROJECT TO BE DONE.
ANY MONEY LEFT OVER WOULD BE ROLLED FORWARD INTO THE NEXT YEAR.
THIS CHANGES TO WHERE THE BOARD IS APPROVING AN AMOUNT TO SPEND AS OPPOSED TO THE PROJECTS.
AND THERE WON'T BE ANYTHING DREADFUL.
UM, SO THAT'S KIND OF A SUBTLE DIFFERENCE, BUT IT'S SIGNIFICANT.
AND I THINK THERE IS A POLICY THAT SAYS, YOU KNOW, UNUSED MONEY SHOULD BE ROLLED FORWARD TO THE NEXT YEAR.
UM, SO I, I'M NOT SURE IF WE'D HAVE TO CHANGE THAT IN ORDER TO IMPLEMENT THIS APPROACH.
DAVID, THANK YOU FOR BRINGING IT UP.
THAT WAS ONE OF THE THINGS ON THE LIST, UM, THAT WE DID HAVE TO TALK ABOUT SAYING THAT THEY ON MAY 21ST, 2019.
AND THANK YOU FOR WRITING THIS OUT, MRS. CROSBY.
UM, THE BOARD APPROVED A MOTION TO ROLL ALL UNUSED 8% FUNDS FORWARD TO THE CURRENT BONDING CYCLE AND REDUCE THE CURRENT BOND ISSUANCE ACCORDINGLY.
SO, UM, I DON'T KNOW WHERE, WHERE, YOU KNOW WHAT I THINK MR. AND YOUR INTENTION WAS CANDIDATE IS HAVE THE 20 MILLION AND LOWER THAT WHAT WE'RE DOING IS SUGGESTING AN AMOUNT HIGHER THAN 20 MILLION IN LOWERING THAT KEEP YOUR BORROWING AMOUNT THE SAME AS YOU HAVE IN YOUR SO WE'RE, IT IS LIKE, YOU'D SAY A SUBTLE DIFFERENCE IN THAT.
AND THAT IS, THAT'S THE QUESTION.
IF Y'ALL WOULD LIKE US TO DO THAT OR NOT.
NOW THAT'S THE DIFFERENCE BETWEEN A AND B KNOWS THAT THE, UM, THE MONEY THAT WE'RE TALKING ABOUT IN VERSION FIVE, THAT'S REIMBURSED.
I DON'T KNOW IF YOU CALL IT ROLL OVER, BUT THAT'S REIMBURSEMENT COMING BACK IN FROM THE FEDERAL GOVERNMENT THAT WE'RE PUTTING BACK INTO YOU.
SO I DON'T KNOW IF YOU CALL THAT THAT'S A LITTLE DIFFERENT, BUT NOTICE WHEN WE GET TO VERSION FIVE B, THAT'S GOING TO BE USING THE ROLL OVER FUNDS FROM FYI 16 AND 17 HAVE BEEN CLOSED.
SOME OF THE CONVERSATION WE HAD WAS JUST THE TREMENDOUS NEED THAT EXISTS OUT THERE.
UM, DURING ONE OF OUR MEETINGS, MR. MURPHY WAS HERE AND, UM, HE SHARED WITH US A LITTLE HISTORICAL PERSPECTIVE THAT THE LIMIT OF 20 MILLION HAD BEEN SET ALMOST A DECADE AGO OF, OF, UH, CAPITAL IMPROVEMENT PROJECTS BEING SET AT 20 MILLION IN THAT OVER TIME, YOU KNOW, THE, THE BUILDINGS, EVERYTHING HAS AGED, UH, INFLATION HAS CREEPED UP OR, YOU KNOW, THE COST OF PRODUCTS AND THINGS.
SO, UM, YOU KNOW, I, I, MR. SHERPA AND YOU'RE, YOU'RE ABSOLUTELY RIGHT, THAT IT IS A SUBTLE DIFFERENCE.
AND I WOULD LIKE TO HEAR A LITTLE BIT MORE ABOUT WHAT ARE YOUR FEELINGS ABOUT THAT SUBTLE DIFFERENCE? I THINK YOU WANT TO GO TO OUR FIRST OR SURE.
I WAS JUST GOING TO SAY, I THINK MORE OR LESS, BUT TO ME, THEY WERE, THE BOARD IS STILL APPROVED.
I THINK THE DIFFERENCE, THE SUBTLE DIFFERENCES, EVEN MORE SUBTLE IN THAT, UM, THE, THE DISTRICT IS BRINGING MORE PROJECTS THAN WE CAN POSSIBLY SPEND, AND WE HAVE A SPENDING LIMIT.
SO WE'RE STILL APPROVING PROJECTS.
UH, BUT, BUT BASICALLY IT'S SORT OF LIKE WHEN YOU GIVE YOUR KID MONEY TO GO, YOU KNOW, TO A RESTAURANT, SOMETIMES YOU GIVE THEM MORE THAN THEY NEED.
AND YOU'RE LIKE, I DIDN'T WANT MY CHANGE BACK.
AND SOMETIMES YOU GIVE THEM ALL YOU HAVE, AND YOU'RE LIKE, YOU CAN ONLY SPEND THIS MUCH MONEY, YOU KNOW, SO YOU GOTTA WATCH, DON'T GET SODA, YOU KNOW, THAT TYPE OF THING.
SO I DON'T KNOW IF IT'S ALL THAT DIFFERENT BECAUSE THE DISTRICT IS STILL PRESENTING US WITH HUNDREDS OF MILLIONS OF DOLLARS WORTH OF PROJECTS.
AND WE'RE BASICALLY SAYING, OKAY, WE GOT 20 BUCKS.
LET'S PICK THEM WHAT WE ABSOLUTELY HAVE TO GET DONE.
UM, I DON'T THINK ANYONE'S ANTICIPATE THERE BEING A LOT OF MONEY LEFT OVER.
DAVID, DO YOU HAVE A COMMENT? YEAH, IT'S A SUBTLE DIFFERENCE.
UM, GIVE HIM MY SON 100 BUCKS TO GO OUT TO DINNER.
I TELL HIM I WANT TO CHANGE BACK OR I DON'T.
AND THAT IS THE DIFFERENCE HERE.
WE'RE SAYING WE DON'T WANT TO CHANGE BACK A LITTLE UNCOMFORTABLE WITH THAT, UM, BECAUSE I ALWAYS WANT TO CHANGE BACK.
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SO, UH, I I'M, I'M NOT SURE THAT I WOULD OPPOSE IT, BUT I'M UNCOMFORTABLE WITH IT BECAUSE I JUST FEEL BEING FISCALLY RESPONSIBLE IS WHAT WE'VE DONE AND HOLDING, HOLDING TO 20 MILLION EACH YEAR HAS, HAS SERVED US WELL AND BUILDING UP OUR 8% CAPACITY AND JUST REMIND EVERYONE, 8% IS NOT MONEY.THIS 8% IS AUTHORITY TO BORROW MONEY.
SO, YOU KNOW, THIS IS MONEY WE'RE BORROWING, UM, WHICH COSTS A LITTLE MORE THAN WHAT WE'RE SEEING.
UM, SO IT'S JUST MY NATURAL TENDENCY TO WANT TO BORROW AS LITTLE AS I CAN.
UM, AND IF I HAVE MONEY LEFTOVER TO ROLL IN INTO THE NEXT YEAR AND HAVE THOSE PROJECTS PRIORITIZED ALONG WITH NEXT YEAR'S PROJECTS AND SEE WHERE THEY FALL OUT, BECAUSE SOMETHING THAT MIGHT BE PRIORITY 25 THIS YEAR WHEN COMPARED TO THE PROJECTS NEXT YEAR MIGHT BE 27.
AND I THINK WE'VE SEEN EXAMPLES OF THAT BECAUSE WE HAVE STUFF ON HERE FROM 2014.
SO NOW SOME OF THIS STUFF IS, HAS MOVED ON AND ON AND ON AND ON, AND AN ARGUMENT COULD BE MADE WELL, THEN IT'S PROBABLY WASN'T THAT IMPORTANT IF YOU COULD GO SEVEN YEARS WITHOUT BEING DONE.
SO THAT'S JUST MY GUT FEELING.
UM, IT JUST, MY NATURAL TENDENCY TRYING TO BE A FISCAL CONCERN.
I DON'T LIKE TO BRING UP ANOTHER ISSUE AND THAT IS MILLAGE STABILITY.
UM, THERE'S GOOD THING ABOUT HAVING A SET AMOUNT IS THAT'S THE SAME MILLAGE EVERY YEAR.
IF WE ROLL OVER ROLL FORWARD AND WE DROPPED THE MILLAGE.
SO WE, SO WE DON'T HAVE TO BORROW AS MUCH THAN OUR MILLAGE IS GOING TO DROP.
AND THAT I DON'T REALLY LIKE TO SEE BECAUSE I WOULD RATHER SEE 8% MILLAGE FLAT LINE.
IF I START ADDING A CURVE TO IT, THAT'S GOING TO MAKE TALKING TO THE PUBLIC AND SAYING, WELL, WE TOOK $2 OFF YOUR BILL THIS YEAR, AND I'M GOING TO ADD $3 AND SO ON.
IF WE HAD A, IF WE HAD A LIMITED AMOUNT OF PROJECTS, THEN I SAY, YEAH, LET'S DO THAT.
BUT IF WE'VE GOT A BACKLOG IN PROJECTS, KEEPING MILLAGE STABILITY, TO ME MAKES SOME SENSE BECAUSE WE'RE GOING TO HAVE MILLAGE INCREASES IN DECREASES BASED ON REFERENDUMS THAT COME UP AND THAT'S GOING TO GO UP AND DOWN SOMEWHAT, BUT WE'RE PAYING OFF AT THE SAME TIME.
SEE, WE SAID, SO IT'S, IT'S A VERY VARIABLE ISSUE ABOUT HOW YOU SAID WHAT MILLAGE YOU NEED TO PAY ON YOUR DEBT.
AND I WOULD LIKE TO SEE MILLAGE STABILITY, BECAUSE THEN IT'S MUCH EASIER FOR THE PUBLIC'S AND OKAY, I'M PAYING 36.6 MILS OR GET SERVICE AND I'M PAYING 36.6 MEALS FOR DEBT SERVICE NEXT YEAR.
AND NEXT YEAR I WOULD LIKE, ULTIMATELY, BECAUSE WE'RE GOING TO NEED ANOTHER REFERENDUM.
I WOULD LIKE ULTIMATELY TO SAY, WE'VE GOT ANOTHER REFERENDUM FOLKS AND MILLAGE IS GOING TO STAY THE SAME BECAUSE WE'RE PAYING DOWN AND WE'RE KEEPING ONE PART STABLE AND THAT'S THE 8% STATE THERE'S.
AM I SAYING THAT RIGHT? OR, YES, WE BUILD A DEBT PLAN EACH YEAR WITH OUR FINANCIAL ADVISOR BASED ON A $20 MILLION BORROWING.
AND IF WE, IF WE CONTINUOUSLY LOWER THAT NUMBER, THEN WE HAVE A HARD TIME JUSTIFYING MILLAGE AT THE RATE IT CURRENTLY IS AT.
SO THERE'S A POSSIBILITY OF REDUCING THAT MILLAGE.
AND CERTAINLY WE DON'T WANT TO FLUCTUATION AND WOULD LOVE TO BE ABLE TO SAY IN THE EXPERT THAT WE WERE NOT INCREASING TAXES.
SO I I'M CONSTANTLY LOOKING AT, YOU KNOW, MAKING SURE THAT THE DEBT IS STREP, DEBT PAYMENTS ARE STRUCTURED AND NOT TO, TO KEEP THIS IN LINE, UH, WITH THE NEED FOR 36.3.
UM, SO IT, IT WOULD, UM, I THINK BENEFIT US IF WE COULD CONTINUOUSLY BORROW AS OPPOSED TO THAT $20 MILLION MARK AS POSSIBLE TO MAINTAIN, UH, AND NOT, UH, AS OPPOSED TO LOWERING THAT, UM, IN ORDER TO MAINTAIN THAT, UM, THAT MILLAGE RATE AT THE LEVEL, IT IS CURRENTLY ANOTHER VARIABLE, AND THIS IS THE IMPACT
[00:35:01]
OF THE REFERENDUM ON THESE LISTS.SO THAT MAKES THE VARIABLES, MILLAGE REQUIREMENTS KIND OF GOING UP AND DOWN LIKE THAT AND THE PAY OFF, BECAUSE IT'S SHORT TERM, YOU KNOW, OUR 8% OF THE SHORT TERM FIVE YEARS.
SO IT'S A BALANCING ACT TO KEEP THE MILLAGE ABOUT THE SAME.
AND AGAIN, IF WE DIDN'T HAVE A WHOLE LOT OF PROJECTS THAT WEREN'T BACKLOG, WE WOULDN'T DO THAT, WE WOULD, WE WOULD GO AHEAD AND BORROW SINCE WE HAVE ALL THESE, THE STABILITY MAKES SOME SENSE TO ME AND HOW WE PACKAGE FUTURE BOND REFERENCE.
SO IF I'M UNDERSTANDING YOU CORRECTLY, THEN IN ORDER TO MAINTAIN THAT STABILITY, THE BOARD POLICY OF REDUCING THE CURRENT BOND ISSUANCE ACCORDINGLY BASED ON HOW MUCH SAVINGS ARE PUT BACK IS PROBLEMATIC.
WELL, ACTUALLY WHAT I'M HEARING YOU SAY, THAT'S WHAT WE'RE DOING BECAUSE WE ARE FOLLOWING THEM, BUT WE'RE INSTEAD OF RECOMMENDING 20 MILLION, WE'RE RECOMMENDING MORE THAN 20 MILLION AND YOU'RE REDUCING IT DOWN TO THE 20 MILLION.
I THINK THAT'S A SMALLER POLICY NOW THAT MAY NOT BE EXACTLY WHAT THE INTENT
WHEN YOU LOOK AT WHAT IT SAYS SPECIFICALLY, I MEAN, IT SAYS ROLL ALL UNUSED 8% FORWARD TO THE CURRENT BONDING CYCLE AND REDUCE THE CURRENT BOND ISSUANCE ACCORDINGLY.
NOWHERE DOES IT SAY YOU HAVE TO BORROW ONLY HAVE $20 MILLION IN PROJECTS.
SO IF YOU'RE BORROWING, IF YOU'RE GOING MORE THAN $20 MILLION ABROAD, BROAD DECKS, AND USING THAT TO BRING IT DOWN WHEN YOU ARE DOING WHAT IT IS SAYING, WHAT YOUR POLICY SAYS, THAT IS MY INTERPRETATION.
SO I WILL LEAVE THAT UP TO Y'ALL'S DISCUSSION, BUT THAT'S THE INTENT OF WHAT WE DID.
SO I THINK THERE'S KIND OF TWO CONVERSATIONS GOING ON.
WHAT, YOU KNOW, ONE, HOW DO WE PAY FOR ALL THIS, RIGHT.
BUT THEN IT'S FROM WHAT WE'VE TALKED ABOUT IN OPERATIONS A LITTLE BIT AND LOOKING AT THE NEED SINCE IN LA.
SO WE'VE HAD THIS 20 MILLION CAT FOR 10 YEARS, RIGHT? WE'VE ADDED SCHOOLS, WE'VE ADDED NETWORK INFRASTRUCTURE, WHICH INITIALLY TOOK UP 25% OF THIS BUDGET.
WE, WE TRIM THAT DOWN A LITTLE BIT.
UM, SO I THINK THAT WE HAVE TO, WE CAN'T, WE CAN'T SAY AT 20 MILLION FOREVER, YOU KNOW, WE'RE GOING TO HAVE TO LOOK AS WE BUILD NEW BUILDINGS AND WE BUILD THAT CAPACITY.
WE UPGRADE OUR NETWORKS AND WE DO ALL THESE THINGS.
AND WE ALSO HAVE A LOT OF THIS IS MANDATORY.
THE PAINTING RESURFACING OF TENNIS COURTS, THE BUYING OF BAND UNIFORMS, THAT'S NON-NEGOTIABLE RIGHT.
IT SEEMS LIKE WHEN I'M LOOKING AT PAST YEARS, WE'RE GETTING A SMALLER AND SMALLER AMOUNT OF MONEY.
AND I THINK IF YOU'RE LOOKING AT THE REFERENDUM, THERE'S TWO WAYS TO LOOK AT IT.
ONE IS GOING TO BE THE FISCALLY CONSERVATIVE WAY.
THAT'S GOING TO COME IN AND SAY, I WANT YOU GUYS TO DO AS LITTLE AS POSSIBLE, YOU KNOW, COST ME AS LITTLE AS POSSIBLE.
BUT THE OTHER PART OF THE REFERENDUM IS THERE GOING TO BE PEOPLE WHO LOOK AT THIS AND THEY'RE LIKE, OUR SCHOOLS ARE RUN DOWN.
THEY'RE DIRTY THAT, YOU KNOW, THEY'RE, THEY'VE GOT ALL THESE PROBLEMS. WE'VE GOT A LOT OF DEFERRED MAINTENANCE ON THEM.
WHY AM I GOING TO VOTE THEM IN OTHER HUNDREDS OF MILLION DOLLARS? I THINK THAT WE HAVE TO COMMIT TO MAINTAINING THE BUILDINGS WE HAVE.
UM, IT, THAT THAT'S JUST AS IMPORTANT AS BEING FISCALLY CONSERVATIVE.
AND I THINK THAT, THAT WE CAN MAKE THAT ARGUMENT EVEN TO TAXPAYERS WHO, YOU KNOW, FEEL LIKE THEY DON'T USE THE SCHOOL SYSTEM.
THERE WERE ALL MY NEIGHBORS WHO ARE RETIREES AROUND HERE, WHO MOVED HERE LATE IN LIFE TO SAY, YOU KNOW, IF THEY'RE GOING TO VOTE YES.
TO GIVE US ANOTHER REFERENDUM.
BUT WHEN THEY SEE THE SCHOOLS OR THEY HEAR ABOUT THE SCHOOLS AND THE SCHOOLS ARE IN DISREPAIR WITH, I MEAN, SO THESE PROJECTS ON HERE CRACKED WALLS, ABANDONED WATER TANKS, YOU KNOW, THAT KIND OF STUFF.
IT, IT DOESN'T LOOK LIKE WE'RE TAKING CARE OF IT.
SO I THINK THAT, THAT, THAT WE HAVE TO LOOK AT IT FROM BOTH ANGLES.
AND, AND, UH, FROM MY POINT OF VIEW, I WOULD RATHER SEE US BE A LITTLE LESS FISCALLY CONSERVATIVE WITH A LITTLE MORE EYES TO MAINTAINING WHAT WE'RE, WHAT WE'RE BUILDING.
I WAS GOING TO SAY, I DEFINITELY AGREE WITH WHAT MR. SCRIMMAGES SAID, UM, ALONG THE LINES OF, UH, JUST A LOT OF THEM AND WHAT HE'S SAYING AS WELL AS I EVEN GO AS FAR AS TO, I THINK THAT WAS A GREAT WAY THAT MRS. BOATWRIGHT VIEWS THE, THE, BASICALLY THE EQUATION OF HER SON GOING TO THE STORE.
BUT MY PROBLEM ALONG THE LINES IS THAT I THINK THAT THERE'S A, THE MONEY IS ALLOCATED TOWARDS SOMETHING.
IT'S NOT MONEY TO BE RETURNED,
[00:40:01]
AND WE NEED TO COME BACK TO THE TABLE AND WE DECIDE WHERE, WHERE THAT MONEY GOES AT OR WHAT, WHAT IS DONE WITH THAT MONEY, BECAUSE WHAT, UH, PAST PRESENT AND THE PAST WE'VE FOUND MONEY.AND I JUST DON'T THINK THAT I WOULD WANT THAT TO HAPPEN AGAIN.
SO I THINK THAT IS VERY IMPORTANT THAT THAT WILL COME BACK INTO, WE HAVE A CONVERSATION ABOUT WHAT WE DO THAT MONEY AND MOVE FROM THERE, AS WELL AS I THINK, I THINK THAT I HEAR, AND I HEAR THIS IS WHAT MS.
BUT I THINK FOR RIGHT NOW, DUE TO THE PANDEMIC, I THINK THAT, THAT THIS COMPETITION PROBABLY COULD BE A LATER CONVERSATION.
BUT I THINK AT THIS TIME IT PROBABLY WOULD NEED, WE WOULD, IT WOULD BE SAFER AND MORE, UH, WHO SHOWED THE PEOPLE THAT WE CARE ABOUT THE MONEY.
JUST KEEP IT AT AT 20 RIGHT NOW TO, UH, UNDERSTAND WHERE WE WERE, WHERE WE GOTTEN, WHAT WE GOT GOING ON.
SO IF I CAN, THE, UM, IF I CAN CONTINUE MS. BOAT RIDES ANALOGY, UH, WHAT WE DID HERE IS YOU SAID, ALL RIGHT, YOU GAVE $20 FOR, UM, DINNER.
AND WHEN YOU, YOU GET TO KEEP THE CHAINS THAT THESE ARE THE ONLY THINGS YOU CAN SPEND THAT CHANGE, BECAUSE RECOGNIZE WHAT WE'RE SAYING HERE IS THAT YOUR $20 MILLION ROUGHLY IN PROJECTS IS ABOVE THE BLACK LINE.
ANY CHANGE YOU GET BACK, YOU CAN ONLY SPEND ON BETWEEN THE BLACK AND THE RED.
SO WE'VE ALREADY LISTED OUT WHERE YOUR CHANGE IS GOING TO GO.
AND ONE OF THE EXAMPLES HERE IS FURNITURE WHERE WE HAVE THE, UM, THE LAST FURNITURE WE ASSESSED THAT WE DID WAS TAB FOUR.
AND AT OUR CURRENT RATE OF FUNDING FOR FURNITURE, WE'RE REPLACING OUR FURNITURE ONCE EVERY 120 YEARS.
SO, AND THAT'S AT ABOUT $250,000.
IT WOULD TAKE $2 MILLION TO FUND IT ONCE EVERY 15 YEARS ON A REPLACEMENT CYCLE.
WHICH SO THAT'S WHAT WE PUT IN HERE WAS $2 MILLION.
I DON'T THINK THERE'S ANY WAY OR CHANGE.
IT'S GOING TO GIVE US $2 MILLION FOR FURNITURE.
WE FUNDED ABOVE THE BLACK LINE, 239 MILLION, 232 3,900, $239,000 IN FURNITURE REPLACEMENTS.
AND THAT'S INTERNET ABOVE ONCE EVERY A HUNDRED YEAR REPLACEMENT CYCLE.
SO IN YOUR CHANGE, ONE THINGS WE'RE SAYING, YOU CAN SPEND IT ON HIS FURNITURE AND WE, AND RECOGNIZE IT TO MR. SMITH'S POINT.
WE'VE ALREADY LISTED EXACTLY WHAT WE CAN SPEND IT ON.
AND THE GOOD THING WHEN WE GET TO THE DISCUSSION HERE A LITTLE BIT LATER, ABOUT TIME TO SPEND MONEY, WE'VE GOT SOME THINGS LISTED HERE, LIKE FURNITURE THAT THAT IS A, DOESN'T HAVE TO BE DESIGNED AND SEND EXACT COSTS.
AND SO WE'RE BE RELATIVELY QUICK, UNFORTUNATELY.
SO ARE SOME OF THE OTHER THINGS HERE THAT, SO WITH THAT CHANGE, WE DON'T HAVE NECESSARY FULL PROJECTS.
WE HAVE ITEMS THAT CAN BE PURCHASED AND YOU KNOW WHAT THOSE ALL, AND THAT'S WHY WE'VE GOT OUR VEHICLE REPLACEMENT CYCLE BACK HERE.
AND WE, WE TYPICALLY ARE TRYING TO BUY FOUR TO FIVE VEHICLES A YEAR, AND THAT PUTS US ON A TEN-YEAR REPLACEMENT CYCLE ON VEHICLES.
SO WE HAVE OUR LIST THERE, AND YOU'RE LOOKING AT VEHICLES THAT ARE APPROACHING 200,000 MILES ON THEM.
SO I DO WANT US, THAT'S OUR ATTEMPT HERE IS TO TRY TO GIVE YOU A PROJECT LIST OR YOUR CHAIN, RIGHT.
AND I GREATLY SUPPORT THIS, UM, THIS LIST.
I THINK IT'S BEEN VERY VETTED FOR THE OPERATIONS COMMITTEE.
MY ONLY QUESTION IS THIS OKAY.
IF WE WERE TO GO, UM, CAN WE USE THE UNUSED 8% FUNDS TO DO MORE OF OUR LISTS, BUT NOT EXCEED THE 20 MILLION? OR DOES BOAT BOARD POLICY SAY THAT WE HAVE TO TAKE THAT $493, $493,106 AND REDUCE THE BORROWING? I, TO ME, IT'S, THAT'S HOW I READ THAT MOTION.
AND SO AGAIN, I, I THINK YOU KEEP IT, YOU DON'T REDUCE IT.
YOU PUSH THAT $400,000 DOWN YOUR LIST AND YOU, AND YOU PAY FOR WHAT'S NEXT ON THE LIST.
AND IF, IF SOMETHING IS MORE THAN THAT, THEN YOU GO DOWN TO WHERE YOU CAN LIKE THE PGA OR SOMETHING LIKE THAT.
RATHER THAN TRY TO, I DON'T LIKE THE ROLLERCOASTER.
[00:45:03]
I'M JUST TRYING TO MAKE SURE WE ADHERE TO THE POLICY.AND MAYBE THE INTERPRETATION OF THE POLICY IS NOT THE SAME FOR EVERYBODY.
I REALLY, I REALLY THINK WE NEED TO TAKE A STRATEGIC LOOK AT THIS LIST AND THINK OF WHAT YOU WANT TO DO.
WHAT IF YOU WERE LOOKING AHEAD FIVE, 10 YEARS, ARE, ARE WE WHERE WE SHOULD BE AND HOW WE'RE GOING TO FUND? I MEAN, WE'RE GOING TO HAVE TO HAVE ANOTHER REFERENDUM.
AND SO WHAT CAN WAIT TILL WE GET THE NEXT REFERENDUM, THAT'S HONEST.
BUT I'M ALSO LOOKING AT YOUR STRATEGIC MILLAGE RATE AND WHAT YOUR VILLAGE RATES THAT YOU'RE GOING TO BE CHARGING.
AND, YOU KNOW, THERE'S NATURAL INFLATION IN YOUR MILITARY BECAUSE IT'S A PERCENTAGE OF THE VALUE AND THE VALUE WE CAN EXPECT US VALUES AND THE PROPERTY VALUES TO GO.
SO THERE'S, THERE'S INFLATION BUILT IN TO A STABLE MILITARY.
UM, YEAH, I'M NOT GONNA ARGUE ANY MORE THE POINT.
EVERYBODY KNOWS MY POINT ON THAT ONE, BUT EXPLAIN TO ME IF YOU WILL, UM, WHAT WE'RE GOING TO DO WITH THE CHANGE IN LINE ONE 54, WHICH IS A TBD.
SO, OH, WELL, YOU'RE LOOKING AT, YES.
YOU'RE LOOKING AT THE PLAN FIRE B, BUT WE PUT THAT IN THERE, OR THAT WAS A REQUEST.
UM, SO ONE OF THE CONCERNS WAS, UM, HAVING FUNDING AVAILABLE FOR LAND.
AND SO, UM, WE, WE DON'T HAVE A PIECE OF LAND RIGHT NOW THAT WE KNOW OF THAT WE'RE PURCHASING AND WE DON'T KNOW.
UH, AND ALSO WE DON'T WANT TO EXPOSE HOW MUCH MONEY WE HAVE FOR LAND PURCHASES.
SO THIS MEANS THAT IF YOU DO HAVE MONEY LEFT OVER FROM PROJECTS THAT COULD GO TOWARDS LAND PURCHASES, LAND ASSESSMENT, THINGS, THAT NATURE.
UM, SO AN EXAMPLE IS PROBABLY NOT GOING TO BE ENOUGH TO FUND LAND.
UM, BUT YOU COULD COMBINE IT WITH SAY THE FUNDING LEFTOVER FROM BURROUGHS AVENUE AND THIS, AND MAY HAVE ENOUGH FOR A PIECE OF LAND.
SO IT JUST GIVES YOU THAT OPTION.
IF IT'S A LARGE PIECE OF LAND, YOU'RE GOING TO HAVE TO BRING IT BACK TO THE BOARD AND ASK FOR ADDITIONAL 8% BORROWING OR SOMETHING LIKE THAT, BECAUSE YOU'RE MOST LIKELY NOT GOING TO HAVE ENOUGH FUNDING THERE, BUT THERE WAS A RE AND I KNOW THERE'S BEEN A REQUEST TO HAVE SOMETHING THERE FOR LAND.
SO THAT'S WHY WE PUT IT THERE.
THIS HAS BEEN ONE OF MY BIG CONCERNS IS WE KNOW WE'RE GOING TO HAVE TO PURCHASE LAND.
AND BY JUST INCLUDING IT ON THIS LIST, IT'S KIND OF INSIGHT IN MIND THAT THAT WAS THE ENTIRE PURPOSE OF DOING THIS.
UM, AND AS ROBERT EXPLAINED, WAIT, WE KIND OF BANDIED ABOUT A LITTLE BIT.
WELL, WHAT NUMBER GOES IN THERE? WELL, WE DON'T WANT TO PUT A NUMBER IN THERE.
WE DON'T WANT TO PLAY OUR HAND.
WE DON'T WANT TO EVEN ASSIGN A VALUE RIGHT THERE.
WE JUST NEED TO KNOW THAT THAT IS SOMETHING, YOU KNOW, PERHAPS IT MIGHT BE A REFERENDUM ITEM, PERHAPS IT'S NOT, BUT IT'S SOMETHING TO KEEP IN MIND THAT IS DESPERATELY GOING TO BE NEEDED.
BUT I WOULD LIKE, BUT JUST RECOGNIZE WE CAN'T, IT'S NOT GIVING US A BLANK CHECK OR ANYTHING.
IT'S ONLY THE CHANGE THAT COULD GO TOWARDS THAT.
WHATEVER WE PUT IN PROJECT CONTINUOUSLY AFTER WE FINISHED THE PROJECTS ABOVE THE BLACK LINE, THAT'S THE ONLY THING THAT CAN GO TOWARDS THAT.
SO WE'RE NOT, THERE'S NO BLANK CHECK HERE.
IF THE OPPORTUNITY'S THERE AND YOU HAVE SOME FUNDING, YOU COULD PUT IT TOWARDS THAT SETTING.
IS THAT UNDERSTANDABLE? UM, YEAH, THAT'S UNDERSTANDABLE.
I JUST, YOU KNOW, WHEN WE SAY IT'S A 25 MILLION AND WE'RE GOING TO HAVE A TBD, I UNDERSTAND WHY IT'S A TBD, BUT, UM, YOU KNOW, 25 IS KIND OF, I UNDERSTAND I'M NOT GONNA ARGUE WITH ANYMORE.
UM, IT'S TRICKY BECAUSE I WAS KIND OF RESPONDING TO SOMETHING ELSE, BUT, YOU KNOW, I THINK ONE THING THAT ONE CONCERN I HAVE IS THAT I HEAR A LOT ABOUT THIS SECOND REFERENDUM, WHICH AS I UNDERSTAND, IT WOULD BE SOMETHING WE WOULD LOOK AT AFTER THIS ONE'S COMPLETED IN TWO PLUS YEARS.
[00:50:01]
WE'VE GOT TO GET, WE HAVEN'T HAD A GREAT TRACK RECORD OF GETTING REFERENDUMS APPROVED, AND I KNOW THAT WE'RE, UM, YOU KNOW, IN A MUCH BETTER PLACE THAN WE WERE WHEN THE PREVIOUS REFERENDUMS HAVE GOTTEN APPROVED, BUT I DON'T KNOW.I WORRY A LITTLE BIT ABOUT US SORT OF PUTTING A LOT OF STUFF OFF, UM, BECAUSE WE'RE GOING TO GET IT DONE IN THE NEXT REFERENDUM.
THAT'S NOT A FOREGONE CONCLUSION.
SO, UM, AND IT'S, YOU KNOW, AGAIN, I KNOW THE HILTON HEAD SCHOOLS, WELL, RIGHT? SO I'M NOT HILTON HEAD CENTRIC, BUT I JUST KNOW ONE OF THE SCHOOLS THEY TALK ABOUT IS HILTON HEAD HIGH, GETTING IN THE NEXT REFERENDUM, BUT WE CAN'T INDEFINITELY PUT OFF LIKE AIR CONDITIONING AND ROOFING AND THINGS THAT, YOU KNOW, MAKE THE SCHOOL FUNCTIONAL BECAUSE AT SOME POINT DOWN THE ROAD, WE'RE HOPEFUL ABOUT A REFERENDUM.
SO I JUST WANT TO SAY, I DON'T THINK WE SHOULD TOTALLY KIM PUT THAT IN THE BANK.
WELL, THERE'S ANOTHER ISSUE TOO.
UM, WE KNOW THE CITIZENS LED COMMITTEE THAT WENT OUT AND LOOKED AT OUR DISTRICT, SAID THERE WAS OVER $600 MILLION WORTH OF PROJECTS, MAJOR CAPITAL PROJECTS THAT NEEDED TO BE DONE.
BUT OF COURSE WE COULDN'T PUT $600 MILLION ON ONE REFERENDUM.
THE THOUGHT WAS THAT WE WILL SPLIT IT IN HALF AND TAKE CARE OF OUR IMMEDIATE NEEDS.
AND THEN WE KNEW THAT WE WERE GOING TO HAVE TO BUILD EXTENSIONS ON TO SCHOOLS VERY QUICKLY.
SO WE ANTICIPATED PASSING THE REFERENDUM AND WE USED 8% MONEY TO DO THE DESIGN WORK SO THAT WE WERE SHOVEL-READY AS SOON AS THE REFERENDUM PASSED.
AND I GOT TO TELL YOU FOLKS, WE'RE GOING TO HAVE TO BUILD SOMETHING AND LOFTON IN THE NEXT THREE TO FOUR YEARS.
I MEAN, BUILD IT FOR KIDS INSIDE IT IN THREE TO FOUR YEARS, GIVEN WHAT WE'VE BEEN TOLD, UH, JUST RECENTLY ABOUT THE GROWTH IN BLUFFTON.
SO, YOU KNOW, THAT'S ANOTHER PIECE THAT WE'VE GOT TO LOOK AT NOT ONLY LAND, BUT ALSO DESIGN SO THAT WE, BECAUSE WE'RE GOING TO HAVE TO MEET AN IMMEDIATE RESPONSE IN BLUFFTON.
I, THERE'S NO DOUBT ABOUT THAT.
AND IT'S JUST A MATTER OF WHERE AND WHAT, WHAT TYPE OF SCHOOL IT'S GOING TO BE, WHERE'S IT GOING TO GO? IS IT GOING TO BE ABLE TO BE BUILT AT MAY RIVER OR WHATEVER, BUT WE HAVE TO HAVE ANOTHER REFERENDUM.
I KNOW WE DON'T WANT TO TALK ABOUT IT, BUT THERE IS NO WAY WE'RE GOING TO BE BUILDING ANOTHER SCHOOL WITH 8% MONEY LIKE WE DID WITH MAY RIVER.
BUT THAT GOES TO MY POINT TOO.
YES, WE NEED ANOTHER REFERENDUM, BUT THEN WHO KNOWS, WHAT'S GOING TO GO ON IT BECAUSE BY THE TIME WE GET AROUND TO ANOTHER REFERENDUM, WE MIGHT BE BUILDING MULTIPLE SCHOOLS AND IT'S GOING TO BE HARD TO PUT SOME OF THIS UP THE PAVING, YOU KNOW, AND THOSE SORTS OF THINGS IN THAT REFERENDUM.
I JUST THINK, UM, WE'VE GOT SOME EXPLOSIVE GROWTH GOING ON IN THE BLUFFTON AREA.
UM, AND, AND, AND, AND BUFORD COUNTY AS A WHOLE.
AND THAT'S ONE OF MY CONCERNS TOO, WITH THIS 20 MILLION, THEN I'LL GET OFF OF THIS, THIS $20 MILLION CAP IS, IT SEEMS LIKE IT WAS FOR MAINTENANCE.
AND NOW WE ALSO HAD $5 MILLION, WHICH WE'VE REDUCED DOWN FOR NETWORK EQUIPMENT, AND WE WANT TO DO A BUILDINGS ASSESSMENT, AND WE WANT TO DO DESIGN WORK.
YOU SHRINKING THAT POT UNTIL YOU ONLY HAVE A FEW MILLION DOLLARS A YEAR FOR 32 SCHOOLS, PLUS DISTRICT BUILDINGS.
AND THIS AREA IS EXPENSIVE, RIGHT.
AND COSTS ARE GOING UP DRAMATICALLY.
AND HOPEFULLY THAT IS A SHORT-TERM SPIKE.
BUT I MEAN, TRYING TO BUILD RIGHT NOW IS, IS A, IS AN EXPENSIVE ENDEAVOR.
SO THAT'S WHY I SAY, I, I WORRY ABOUT TRYING TO JUST LOOK AT THIS STRICTLY FROM A FISCAL FISCALLY CONSERVATIVE STANDPOINT, BECAUSE LIKE WE TALKED ABOUT TEACHER SALARY EVERY 10 YEARS, WE'VE HAD THIS CAP, OUR SALARY HASN'T KEPT PACE.
OUR SCHOOLS HAVE KIND OF DETERIORATED.
AND IF WE'RE GOING TO MOVE THESE SCHOOLS UP AND, AND GET THEM BACK UP TO WHERE THEY WERE, IT'S, IT'S GOING TO TAKE, WE'RE GOING TO HAVE TO CONVINCE THE, UH, THE GOOD PEOPLE AT BUFORD COUNTY TO BE MORE GENEROUS WITH THE SCHOOL DISTRICT.
I DON'T THINK WE'RE GOING TO CONVINCE THEM BY, UM, YOU KNOW, CUTTING PROJECTS.
IT'S HARD TO SIT HERE PATIENTLY WITH MY HAND UP.
SO BASICALLY WE LOOKED AT TWO DIFFERENT VERSIONS.
UH, ASHLEY, I WOULD JUST SAY THAT, UM, MRS. BOATWRIGHT SET UP SOME OF WHAT I, WELL, WHAT I WAS GOING TO SAY ABOUT, ABOUT THE SO MANY DIFFERENT THINGS COMING OUT OF THIS POT, AND MAYBE WE ALSO NEED TO RECONFIGURE.
WHAT'S SUPPOSED TO COME OUT AS PART IN THIS POT OF MONEY.
AND WHAT IS IT, WHAT IS IT DESIGNED FOR? BECAUSE I, I'M KIND OF, I AM KINDA CONCERNED THAT WE ARE PULLING THINGS OUT OF HERE.
WE ADD THINGS TO THIS POT, THIS POT POP THAT THAT $20,000 PROBABLY WAS NOT DESIGNED FOR.
SO THAT, THAT IS A VERY VALID, UH, DISCUSSION,
[00:55:01]
UH, WHEN, WHEN IT, WHEN IT COUNTED, WHEN IT COMES TO THAT AND, UH, AS WELL AS ALIGNING WITH, WE CAN'T CONTINUE SAYING THAT WE'RE, WE HAVE TO HAVE ANOTHER REFERENDUM.WE HAVE TO HAVE ANOTHER REFERENDUM.
AND WE, WE, WE HAVE HAVING THESE LARGE ITEMS THAT ARE WAITING ON A REFERENDUM, BECAUSE BASICALLY LIKE YOU TELLING THE BABY THAT YOU'RE GOING TO FEED HIM, BUT ARE YOU GOING TO STOP HIM UNTIL YOU, UNTIL YOU FIGURE IT'S NECESSARILY THIS DEFEAT THE BABY, IF THE KID IS HUNGRY.
SO I MEAN, THAT, THAT IS, THAT IS A SERIOUS CONCERN OF MINE AS WELL, BECAUSE, YOU KNOW, SITTING AT THE TABLE, MAKING THOSE DECISIONS OR LISTENING TO THINGS THAT NEED TO BE DONE AND KEEP HEARING THAT, OH, WE WOULD PROBABLY HAVE TO GO WITH THE REFERENDUM OR WE PROBABLY HAVE TO WIN A REFERENDUM, BUT THAT'S, SOME OF THOSE ARE SERIOUS NEEDS.
AND WE CAN'T SAY THAT AUDIT THAT'S SO BIG.
SO WE HAVE TO HAVE A REFERENDUM, THE SAME LITTLE, THESE ARE MIDDLE SCHOOL.
THEY TH TH THESE ARE MOST GOING TO BE A NEW SCHOOL.
SO I SAID, WELL, YOU KNOW, YOU MIGHT WANT TO WAIT FOR A REFERENDUM, OR THERE ARE DIFFERENT THINGS IN THE SCHOOL, UH, TO BE FIXED.
AND NOW YOU'RE SAYING SHIT, I IT'S A WHOLE BUNCH OF STUFF.
AND THEN THE SCHOOL, LIKE BEFORE THE L FIX OF HAVING A SCHOOL CARAMEL CAN RENOVATE RENOVATED, OR SHOULD WE JUST GO AHEAD AND PUT THE WHOLE, PUT, PUT UP, PUT A WHOLE SCHOOL ON THE, UH, ON THE OTHER REFERENDUM TAKES UP HALF THE STUFF IN IT.
SO YOU, YOU KIND OF TIE BETWEEN FIXING THINGS UP IN THE SCHOOL OR HOLDING OFF ON 'EM TO BE TRYING TO, BECAUSE YOU'RE TRYING TO ACTUALLY GET THE SCHOOL ON A REFERENDUM.
SO BASICALLY IT DETER YOU THROW THE BABY WITH THE BATH WATER.
SO, UH, SO, SO, SO, SO THAT THAT'S, I STRONGLY AGREE WITH THAT.
AND THAT IS SOMETHING THAT WE MET THAT WE MAY NEED TO RE RE RE READJUST.
SO WE MAY NEED TO TAKE A LOOK AT IT AND SEE WHAT ACTUALLY GOES IN THAT 20, THAT $20,000.
THANK YOU, MR. ADI, THE NEXT STEP THEN IS TO, JUST TO, WELL, SO I THINK YOU'RE ABOUT TO TALK ABOUT, YOU LOOKED AT THE TWO VERSIONS.
SO VERSION A THAT WE JUST KINDA TALKED ABOUT, UM, JUST BROUGHT BACK THE FUNDING FOR WELL, BRANDS THAT WE GOT THERE.
WE'RE HOPING WE'RE PLANNING ON GETTING REIMBURSED.
UM, THE FIVE B VERSION ACTUALLY BRINGS IN THAT 193,000 WE'RE KIND OF DEBATING ABOUT NOW, AND WHETHER IT SHOULD GO, SHOULD GO IN, AND THAT'S WHY THAT'S IN THE ORANGE OF THE ADDITIONAL PROJECT FIVE AND FIVE ONES.
AND THEN TOTAL AMOUNT IN FIVE IS 21 MILLION, TWO 65, NINE EIGHT.
SO THAT 21 MILLION COMES BY ADDING IN THE 493, ONE OH SIX.
AND BY ALSO ADDING IN THE SEVEN 72 EIGHT SEVEN FOUR.
UM, SO THOSE ARE THE MOLD REMEDIATION FUNDS BEING RE PUT BACK IN, AND THEN ADDING, ROLLING UP THE FUNDS FROM US, CLOSING FYI 2016 FOR 2017.
SO THOSE ARE THE THAT'S, YOU KNOW, THAT'S THE DEBATE THAT Y'ALL ARE RIGHT NOW HAVING, I THINK THE OPERATIONS COMMITTEE, IF I CAN SAY THAT THE FEELING WAS THEY SUPPORT BOTH OF THESE IS WHETHER OR NOT PEOPLE SUPPORT ROLLING UP THOSE BONDS, UM, IN, INTO, UM, INTO FYI 20, 23.
SO THAT'S WHERE I THOUGHT WE WERE GOING NEXT.
AND SO THAT'S REALLY KIND OF THE DECISION IN ORDER TO MOVE FORWARD AND TALK ABOUT OTHER THINGS WE NEED TO DECIDE WHICH VERSION CORRECT.
THAT'S MY, YEAH, THAT'S HOW I SAW, UM, QUESTION IS WHICH VERSION DO YOU RECOMMEND OR SO I, I WILL GO FIRST AND JUST SUGGEST THAT I THINK THAT IT SHOULD BE A VERSION B, I THINK THAT USING THESE FUNDS, OBVIOUSLY THE REIMBURSEMENT FOR THE MOLD TO ME SEEMS LIKE IT SHOULD HAPPEN THAT WAY, THAT IT'S NOT GOING AGAINST ANY KIND OF BOARD POLICY.
SO ABSOLUTELY FOR THAT, UM, THE UNUSED 8% FUNDS I SINCERELY AND HIGHLY RESPECT MR. AVENGER AND SEE WHERE HE'S FILLING WITH A SUBTLE DIFFERENCE, BUT IT MAKES SENSE TO ME TO START CHIPPING AWAY AT THIS LARGE LIST THAT WE HAVE.
UM, SO I AM SUPPORTING FIVE B MR. SMITH, UH, MS. BELT, RIGHT? EITHER OF YOU, I SUPPORT FIVE B I THINK FOR ALL THE REASONS I'VE ALREADY HAMMERED ON ABOUT, AND WE REALLY WANTED FINANCE COMMITTEE TO, TO LOOK AT IT AND JUST GIVE US YOUR OPINION, WHICH MR. COLONEL BARR, YOU
[01:00:01]
PRETTY MUCH HAVE.I THINK THAT'S PRETTY WAY TO GO.
WHAT DO YOU THINK I DON'T HAVE A PROBLEM WITH, THAT'S FINE WITH ME.
SO YOU WOULD LIKE TO OPERATIONS COMMITTEE MEMBERS TO MAKE A MOTION TO, UM, BRING VERSION FIVE B TO THE FULL BOARD.
SO DO I HAVE AN OPERATIONS COMMITTEE MEMBER THAT WOULD BE WILLING TO DO SO? UM, YES.
WE BRING VERSION FIVE B OF THE 8% PROJECT LIST TO THE FULL BOARD.
THAT'S ENOUGH VERBIAGE CAUSE WE'RE IN QUORUM, SO WE CAN'T ACCEPT OR APPROVE IT.
WE'RE JUST BRINGING IT FOR YEAH.
AND IF WE JUST DO IT FOR THE OPERATIONS COMMITTEE, THEN IT, YOU KNOW, UM, I SEE MR. SMITH IS NOT ON, SO I'M GOING TO SECOND IT, UM, ANY MORE DISCUSSION ABOUT IT, RIGHT.
OPERATIONS COMMITTEE, ALL IN FAVOR, SAY AYE.
SO I GUESS WHAT WE DID THERE, AND I GUESS ALSO THE QUESTION WAS IN THIS FORMAT, SO WE KIND OF ADDRESSED THE NEXT THING WE KIND OF WANT TO TALK ABOUT IS THAT YOU RAISE FUNDS.
SO WHAT WE DID HERE IS WE ORIGINALLY HAD A BUDGET FOR NETWORK ELECTRONICS IN THE ML.
I DON'T REMEMBER THE EXACT AMOUNT, IT WAS 5 MILLION AND SOMETHING.
AND SO, UH, FINANCE, MS. BOATWRIGHT CHALLENGED US TO FIND OTHER WAYS TO FUND THE TECHNOLOGY.
AND THAT'S WHERE FINANCE, UH, MADE THE SUGGESTION OF USING THE RAY FUNDS, REIMBURSED FUNDS IN THE AMOUNT.
THEY FEEL COMFORTABLE WITH $1.6 MILLION GOING TOWARDS THAT.
SO WE JUST, WE WILL NEED A, IF EVERYBODY'S IN AGREEMENT AND THAT'S WHERE THIS WAS FORMATTED WAS TO USE THOSE EARACHE FUNDS.
WE WILL NEED A MOTION TO USE THE $1.6 MILLION.
WE RAISED FUNDS IN FRONT OF THE BOARD.
AND IF YOU WANT TO MAKE THAT THIS TIME OR WAIT UNTIL YOU'RE FLYING THE FULL BOARD, BUT THAT'S HOW THIS IS DESIGNED.
AND SO THAT PART OF IT, ANY QUESTIONS ABOUT THAT, UM, WE HAD THIS CONVERSATION.
WE, WE TALKED ABOUT THIS AT LENGTH TOO.
AND LIKE MR. ROTTING SAID, UH, MS.
CAN I, CAN I POP IN JUST ON THAT POINT, BECAUSE ONE OF MR. SHERBERT WILL PROBABLY, UM, HAVE A RESPONSE TO THIS AS WELL, BECAUSE I THINK IT'S WEIRD THAT WE CHARGE THE BUDGET.
WE HAVE A 20, WE HAVE $20 MILLION TO SPEND RIGHT ON THIS HUNDRED, SOME MILLION DOLLAR PROJECT LISTS.
AND WHAT I NOTICED WAS THAT IF WE DO $5 MILLION AND WE'RE ANTICIPATING GETTING 2.8 BACK TANYA, FROM THAT 5 MILLION, YES.
I KNOW WE HAVE JUST AN ESTIMATE AND IT'S 18 MONTHS AWAY.
BUT IN OTHER WORDS, WE'RE CHARGING THE BUDGET $5 MILLION FOR WHAT IS ULTIMATELY ONLY GOING TO COST US $2.2 MILLION.
SO TO ME, THIS, YOU KNOW, LIKE I SAID, I'VE TALKED ABOUT THIS A LITTLE BIT.
I'VE LOOKED AT OTHER SCHOOLS AND THEY HAVE A CAPITAL M IT BUDGET.
AND IT'S SEPARATE BECAUSE IT'S A DIFFERENT KIND OF BEAST HAS E RATE FUNDING.
BUT I DON'T THINK THAT THE, WE SHOULD TAKE $5 MILLION OUT OF THAT POT.
IF WE KNOW, ULTIMATELY IT'S ONLY GOING TO COST US 2.2 MILLION.
SO FROM THE FINANCE POINT OF VIEW MAKES SENSE TO ME AND MS. CROSBY, I KNOW THAT YOU PROVIDED US WITH THIS INFORMATION.
I DON'T KNOW IF THAT MEANT, UM, CONFIRMATION AND APPROVAL OF IT OR JUST INFORMATION.
SO ANY MORE THOUGHTS ON IT? YES.
UM, SO MY, I THINK MY ONLY CONCERN IS THAT IF, IF $3.6 MILLION ARE INCLUDED IN THE APPROVAL OF THESE PROJECTS, UM, WE'LL NEED TO HAVE A MOTION FOR APPROVAL OF THE 1.6 MILLION TO SPEND THE REMAINDER OF THE PROJECTS AS WELL.
SO I JUST WANT TO MAKE SURE THAT WE CAPTURE IN OUR ALOUD, UM, HAVE APPROVAL TO SPEND THE ENTIRE AMOUNT.
UM, BUT WITH TWO DIFFERENT FUNDING SOURCES.
SO THAT'S MY ONLY CONCERN, RIGHT? SO HAVE A MOTION TO HAVE THE E RATE REIMBURSEMENT OF $1.6 MILLION TO BE USED.
UM, IS THAT HOW YOU WANT US TO BE FINALIZED BY? SO I THINK IF YOU'VE MADE A SIMPLE MOTION,
[01:05:02]
ONE IS THAT WE SHOULD GO FORWARD.I DON'T THINK WE HAVE TO DO IT HERE.
I THINK WE COULD DO IT TUESDAY NIGHT.
UM, BUT HAVING THE CONVERSATION HERE SO THAT, UM, YES, AND THEN WE WOULD JUST IDENTIFY SPECIFIC SCHOOLS OR PROJECTS THAT EACH TO THEIR RESPECTIVE FUNDING SOURCES AND KEEP THEM SEPARATE THAT WAY.
UM, I THINK IT'S GOING TO BE IMPORTANT TO COMBINE THOSE TWO MOTIONS BECAUSE IF THE BOARD IS VOTING ON FIVE B, THEY NEED TO KNOW THAT THAT'S ONLY VALID IF THEY, IF THEY HAVE A SECOND PART, WHICH IS THE RIGHT FUNDING, RIGHT.
I MEAN, IT'S NOT VALID IF YOU DON'T GET, SO YOU MIGHT WANT TO THINK ABOUT MAKING IT ONE MOTION SO THAT, THAT CONNECTION IS QUITE CLEAR.
THANK YOU FOR THAT WORK ON THAT.
SO THE NEXT PART IS THE NEXT WORD IS, OH, YES, I GET, YES, WE CAN GO TO ROSE AVENUE.
SO THE, UM, AS MS. BOAT WRITES THAT EARLIER, WE HAD BUILDING ASSESSMENTS IN HERE, WHICH SUGGESTIONS WERE MADE THAT, UM, TO TRY TO FIND ANOTHER SOURCE OF THE 8% TO FUND THAT, UM, THESE BUILDING ASSESSMENTS OR HAVE MULTIPLE NEEDS.
BUT ONE OF THE THINGS IS IT'S LEADING UP TO THE NEXT REFERENDUM TO, TO KNOW WHAT PROJECTS AND HAVE A THIRD PARTY LOOK AT.
IT'S SOMETHING I KNOW WE HAVEN'T DONE IN THIS DISTRICT SINCE 2011.
SO IT'S MORE THAN TIME FOR THAT TO HAPPEN.
EVERYTHING WE'VE DONE TO DATE HAS BEEN, UH, INTERNAL STAFF, UH, DOING THAT WORK.
SO, UH, ONE OF THE THINGS THAT WAS SUGGESTED WAS TO USE THE FUNDING THAT WE RECEIVED, NOT FUNDING, BUT FUNDS FROM THE SALE OF BOROUGHS AVENUE.
UM, THERE WAS SOME CONVERSATION BACK AND FORTH ABOUT, UH, COULD WE REDUCE THE AMOUNT OF BUILDINGS THAT WE LOOKED AT? SO THE ORIGINAL AMOUNT WAS THE 875,000 DELIVERY REDUCE THAT DOWN TO 630.
AND THAT WAS DONE BY TAKING OFF MAY RIVER, UH, RIVER RIDGE ACADEMY, BETTERING CREEK HIGH SCHOOL, HILTON HEAD, MIDDLE SCHOOL HAVE HIGH SCHOOL AND ROBERT AND ROBERT SMALLS, ALL THE PROJECTS THAT ARE, YOU KNOW, MAJOR RENOVATIONS THAT ARE GOING ON RIGHT NOW.
AND I THINK IT WOULD BE FOR THE ELEMENTARY SCHOOL.
SO, UM, THE ONE THING IS I HAVEN'T HAD THE CHANCE YET TO LOOK AT, I WOULD LIKE TO BRING SOME OF THAT, NOT AS A FULL ASSESSMENT, BUT AS A SCHEDULE OF MAINTENANCE OF LARGE MAINTENANCE PROJECTS.
IN OTHER WORDS, LOOK AT ALL THE BIG PROJECTS THAT MAY RIVER WINS, YOU KNOW, PUT THE ROOF IN THERE, PUT THE SPACE, HE JUST A GENERAL TIMING IN THERE.
UM, SO I, I DO WANT TO GO BACK AND LOOK AT ADDING NERVES.
SO I WOULD LIKE TO DO A MOTION THAT WOULD ALLOW US TO USE THE CAPITAL FUNDS FROM THE SALE OF BOROUGHS AVENUE IN A MOUNTAIN, NOT TO EXCEED THAT EIGHT 75, IT'S GOING TO FALL SOMEWHERE CLOSER TO THE SIX 30, BUT IT'D BE BETWEEN THE 630,000 AND THE SIX 30, RIGHT.
SIX 30, NINE, SIX 39 AND THE EIGHT 75 IT'S RIGHT HERE, BECAUSE WE DID HAVE THAT CONVERSATION ABOUT TAKING OFF SOME OF THOSE NEWER SCHOOLS.
WHY WOULD WE NEED THAT? UM, BUT THEN, BUT THEN ROBERT, I THOUGHT MADE A GOOD POINT.
UM, WELL, FIRST OF ALL, HAVING THE ASSESSMENT IN THE FIRST PLACE BY A THIRD PARTY, UM, I THINK THAT MAKES A LOT OF SENSE.
SOMEBODY COMING IN AND TAKING A LOOK AT ALL THE BUILDINGS THAT WE HAVE AND, UM, GIVING, UH, AN OBJECTIVE VIEW OF WHAT'S NEEDED, UM, AND THEN DEVELOPING THAT MAINTENANCE SCHEDULE.
AND SO YOU, YOU WERE ASKING FOR NOT TO EXCEED EIGHT 75.
AND THE USE OF BURN, THE BIG QUESTION FINANCE.
IT ALSO IS THE USE OF THROWS THAT THE SALE FUND FUNDS FROM THE SALE OF BOROUGHS AVENUE FOR THAT PURPOSE AND WHAT THE FEELING IS THERE.
I THOUGHT WE PASSED A MOTION WHEN WE SOLD THAT PROPERTY, THE DEBT PROCEEDS WERE GOING TO BE PUT IN THE BANK, SO TO SPEAK FOR LAND PURCHASE, THERE WAS SOME DISCUSSION OF THAT, BUT THE ACTUAL VIRGIN, UH, VERBIAGE IS FOR DISPARATE CAPITAL PROJECTS ACCOUNT.
IS THIS A GAP WITH PROJECTS HAVE BEEN AUGUST, 2020.
I KNEW THAT THE BOARD OF EDUCATION THROUGH THE ADMINISTRATION TO DEPOSIT PROCEEDS OF THE SALE OF THE BOROUGHS PROPERTY IN THE DISTRICTS CABINET PROJECT.
SO IT COULD BE USED FOR THAT PURPOSE, BUT THERE ARE OTHER UNDERSTAND, OH, I JUST WANTED TO
[01:10:01]
MAKE SURE THAT WE WEREN'T.UM, I MEAN, THIS DOES NOT TAKE UP ALL THE DOLLARS FROM THE SALE, NOT CHAPTERS IT'S 600,000 TOTAL.
SO IF IT'S THE SIX VERSUS IF IT'S THE AGE, RIGHT.
UM, MOLLY, ANY COMMENTS, UM, REGARDING THIS I WASN'T THERE WHEN Y'ALL MADE THE MOTION, SO I DON'T KNOW WHAT THE INTENTION WAS, BUT I WOULD LIKE, YOU KNOW, I THINK IT'S A GOOD USE OF, UM, THE SALE PROPERTY.
WE'RE GOING TO NEED TO BUY SOME LAND, BUT WE'RE GOING TO NEED MORE MONEY.
SO THAT WE'LL BE LOOKING FOR, IF THERE ARE NO OTHER, I DON'T SEE ANY OTHER HANDS UP.
SO I MEAN THAT, I GUESS THE ASSESSMENT WAS ONE THING WE THOUGHT WAS NEEDED.
WE FOUND ANOTHER FUNDING SOURCE.
SO WE'LL BE LOOKING, I DON'T KNOW IF WANT TO PUT THAT ALL IN ONE MOTION OR HAVE THAT AS A SEPARATE MOTION, YOU KNOW? YEAH.
SORRY, I'M TRYING TO RAISE MY HAND.
UM, CAN WE JUST TAKE THAT OUT ENTIRELY OUT OF THIS AND SAY, AND NOT MAKE AN 80% PROJECT OR WOULD THAT, DO YOU THINK THAT WOULD JEOPARDIZE IT? NO, WE DON'T.
IT'S ACTUALLY IN THE, WE PUT IT IN THE REMOVE COLUMN.
SO COULD WE JUST MAKE A MOTION THAT SAYS WE'D LIKE TO USE, YOU KNOW, AN AMOUNT NOT TO EXCEED OF THE BOROUGHS MONEY AND NOT JUST MAKE A SIMPLE MOTION LIKE THAT? OKAY.
I THOUGHT MAYBE WE WERE TRYING TO MAKE IT COMPLICATED, COMPLICATED IF WE MADE IT ALL IN ONE MOTION, BUT AS TANYA SAID, IT PROBABLY IS BETTER SUITED TO BE A SECOND MOTION AND IT'S OKAY.
I JUST WONDER THE REASON I THOUGHT MAYBE WE WERE TRYING TO MAKE IT MORE COMPLICATED, SORT OF IS THAT IF AS A STANDALONE, IF IT WOULD HAVE LESS SUPPORT BECAUSE THE TENT WAS TO TAKE IT OUT TO FREE UP, FIND ANOTHER SOURCE OF FUNDING FOR IT.
SO WE'D HAVE MORE MONEY AVAILABLE FOR, YOU KNOW, UH, THE 8% PROJECTS.
SO DO YOU THINK THAT, THAT IT WOULD MAKE IT MORE OF AT RISK AT A STANDALONE SORT OF COMING OUT OF THERE? TONYA? I THINK IF I MAY, I'M PICTURING HOW, WHEN WE WILL ACTUALLY, UM, GET THE ASSESSMENT AND A DOLLAR AMOUNT OF QUOTE FROM A VENDOR, WE'RE GOING TO NEED TO COME BACK TO THE BOARD FOR APPROVAL OF A CONTRACT, BECAUSE IT'S GOING TO EXCEED THE BOARD'S THRESHOLD FOR 189,000.
WE COULD JUST WAIT UNTIL THEM GOING TO NEED TO APPROVE IT.
WE CAN SAY THAT IT'S WHAT THE BOROUGHS AVENUE PROCEEDS IF THAT TIME.
THE KIND OF THE REASON IS AS MS. BOATWRIGHT SAID, YOU KNOW, KIND OF THIS IS, THAT WAS PART OF OUR DECISION ON HOW WE DEVELOPED THIS 8% LIST KIND OF PUT A BOW AROUND IT, BUT YES, WE WILL HAVE TO COME BACK.
THERE'S WHENEVER WE GET THAT CONTRACT, THE WHOLE BOARD NEEDS TO KNOW THAT.
I DON'T THINK I HADN'T HEARD ABOUT USING THAT BEFORE.
SO I THINK THE WHOLE BOARD NEEDS TO HEAR ABOUT THAT TO SEE, MAKES SENSE TO ME.
BUT I THINK JUST TO INFORM THEM, YOU MAY NOT NEED A MOTION BECAUSE IT'S ALREADY, YOU'VE ALREADY GOT THE FLEXIBILITY IN THERE FOR CAPITAL PROJECTS.
SO I COULD, I COULD JUST IN MY REPORT SAYING THAT THAT WILL BE COMING IN FRONT OF THE FULL BOARD FOR, YOU KNOW, AT A LATER TIME, BUT TO THE SAME EXTENT, IF PEOPLE ARE, UM, GREATLY AGAINST IT, THERE'S NO REASON FOR US TO GO OUT AND FORMALIZE ASSESSMENT CONTRACT.
THAT COULD BE THE DISCUSSION REPORT, ANYBODY THAT HAS AN OBJECTION TO THAT, THE KEY REASON.
AND I DO THINK, SORRY, I'M NOT RAISING MY HAND, BUT JUST TO JUMP IN, I DO THINK THAT WHEN YOU MAKE YOUR REPORT TO SAY THAT THIS WAS SOMETHING THAT THE OPERATIONS COMMITTEE IDENTIFIED AS A NEED FOR AN 8%, BUT WANTED TO, YOU KNOW, FREE UP JUST SO THAT THEY UNDERSTAND THAT IT WAS, YOU KNOW, KIND OF A SACRIFICE ON MR. AWNINGS TO TAKE IT OUT OF THAT.
BUT, YOU KNOW, THERE WAS SOME, UM, YEAH.
THE LAST ITEM, ROBYN, IF YOU CAN PULL UP THE PRESENTATION, THE POWERPOINT, THE JEW JOINT OPERATIONS FINANCE COMMITTEE.
SO THIS IS, UH, I'D LIKE TO DISCUSS, UM, HOW WE, UH, CLOSE OUT PROJECTS AND HOW WE'VE DONE THEM IN THE PAST FOR THE MOST PART.
SO I KIND OF MADE IS 8%, UH, TRANSPARENCY
[01:15:01]
MANIFESTO.UM, THESE WERE THE THINGS I'M TRYING TO ACCOMPLISH.
UM, SO MY GOAL, YOU COULD CALL IT GOALS.
UM, WE NEED TO MAKE IT WHERE THE BOARD OF THE PUBLIC SHALL UNDERSTAND EVERYTHING IS PURCHASED.
YOU KNOW, THE EVERYTHING MUST BE ABLE TO BE TRACKED.
UH, WE GOTTA FOLLOW THE PROCUREMENT RULES.
UM, WE NEEDED TO UNDERSTAND THE TIMEFRAMES AND WE NEED TO UNDERSTAND HOW WE SELECT THE PROJECTS AND THEN HOW WE PRIORITIZE THEM.
IT'S KIND OF THIS WHOLE PROCESS, BUT, UM, THAT'S MY GOAL.
SO, UH, IF YOU GO TO THE NEXT SLIDE, SO THE NEXT SLIDE SHOWS JUST HOW WE HAVE SPENT THE MONEY THAT WE'VE BEEN GIVEN TO US AS AN 8%.
UM, OUR GOAL NOW IS THE $20 MILLION.
AND FOR THE MOST PART, WHAT I'M TRYING TO DO, AND AS WE SHARED BEFORE IS TO SPEND ALL OF IT.
AND ACTUALLY IN THE PAST, WE'VE HAD A PRETTY GOOD TRACK RECORD AT THAT AS YOU'VE SEEN WE'VE, WE HAVEN'T GONE OVER EXCEPT FOR THAT 0.5, FIVE.
AND I THINK THAT'S A ROUNDING ERROR, BUT THE, UM, WE'RE IN THE 98, 97, 99% OF WHAT WE'RE SPENDING, BUT THE WAY WE ARE SET UP, IF YOU'LL GO TO THE NEXT SLIDE IS WE'RE NOT SPENDING IT IN ONE YEAR, TWO YEARS, THREE YEARS.
OUR AVERAGE NOW TO SPEND THE HUNT TO GET CLOSE TO A HUNDRED PERCENT HAS BEEN SEVEN YEARS.
WE'RE GOING BACK ALL THE WAY TO 2011 AND WHAT I'M SHOWING YOU THERE ON THE RIGHT.
AND YOU'LL HAVE TO LOOK AT THE PAPER COPY.
UM, CAUSE I KNOW IT'S PROBABLY HARD TO SEE ROBIN, CAN YOU BLOW THAT UP A LITTLE BIT IF PEOPLE DON'T HAVE PAPER COPIES? YUP.
SO THE COLUMN ON THE LEFT IS THE, THE YEAR OF THE ACCOUNT, I GUESS YOU'D SAY.
AND THEN ALONG THE TOP ARE ALL THE PHYSICAL FISCAL YEARS THAT THE MONEY WAS SPENT.
SO IF YOU LOOK AT THE TOP ONE, WHICH IS 2011, YOU CAN SEE IT WAS SPENT, UH, ALL THE WAY FROM, UH, FISCAL YEAR, 2009, 2010, ALL THE WAY UP TO 2016, 17.
SO THAT WAS A SEVEN YEAR PERIOD THAT, AND I KNOW YOU DON'T LIKE IT, BUT WHAT I'M SHOWING YOU IS WHAT WE'VE DONE, HOW WE ARE BUILT.
UM, AND THEN WHEN YOU GET DOWN TO THOSE INGRAINED, THOSE ARE THE ONES THAT CURRENTLY ARE STILL, WE'RE STILL SPENDING OUT OF THOSE ACCOUNTS.
THOSE HAVE NOT BEEN CLOSED AS OF YET, THOSE PROJECTS HAVE NOT BEEN FINISHED.
SO WHAT I'M TRYING TO DO IS WORK FROM A SEVEN YEAR EXPENDITURE FOR THE MOST PART, DOWN TO A FIVE.
UM, IF YOU GO TO THE NEXT SLIDE AND THERE'S IN THE WAY WE ARE BUILT, LET ME, YOU KNOW, THERE'S A REASON FOR THIS.
AND SO YOU SEE THERE, THE PERCENTAGE THAT WE'RE SPENDING OF THE FUND EACH YEAR AND THE HIGHEST YEAR OF EXPENDITURE RIGHT NOW IS THE THIRD YEAR PART OF THAT IS BECAUSE, YOU KNOW, YOU'RE, YOU'RE APPROVING IT RIGHT NOW.
SO THIS YEAR, THE ONLY MONEY WE'RE GOING TO SPEND IS TECHNOLOGY AND DESIGN.
AND THAT'S WHERE YOU'RE SEEING THEIR TECHNOLOGY CAN GO OUT AND BUY THEIR EQUIPMENT.
AS SOON AS Y'ALL ARE BREWING, THEY'LL GO OUT, BUY THE NEXT YEAR'S AMOUNT OF EQUIPMENT.
AND THEN WE SELECT ON THE CA ON THE PROJECT SIDE, WE'LL SELECT ARCHITECTS AND STARK OUR DESIGN WORK IN THE FALL.
NOW THAT, THAT STUFF'S APPROVED, HAVE IT LINED UP FOR THE SUMMER, WHICH IS ACTUALLY NEAR TWO.
AND WE'LL REALLY START THAT WORK IN YEAR TWO AND FORTH IN UNFORTUNATELY MOST OF THOSE PROJECTS, UM, WE DON'T CLOSE OUT TO ALMOST THE NEXT SONG AND, YOU KNOW, THE BULK OF IT'S FINISHED.
UM, THERE'S A, UH, YOU KNOW, SUBSTANTIAL COMPLETION DAYS, TYPICALLY IN AUGUST, A LOT OF TIMES FINAL COMPLETION, DEPENDING ON THE PROJECT WILL RUN TILL DECEMBER.
NOW THAT IS SOMETHING WE NEED TO WORK ON TIGHTENING UP.
WE'RE CONSTANTLY WORKING ON TIGHTENING THAT UP AND THEN THE CLOSEOUT TIME RUNS INTO SPRING.
AND IT'S, IT'S SOMETHING WE'RE PUSHING TO TIGHTEN THAT TIMEFRAME YET, BUT THAT MONEY ACTUALLY DOESN'T COME BACK UNTIL ALMOST YEAR THREE.
AND WHAT, WHEN I SAY, BUT I COME BACK WHEN I'M TALKING ABOUT REALLY IS THE CONTINGENCY FUNDS IN A WAY WE'RE SET UP, WE'RE SET UP WITH A 5% CONTINGENCY ON EVERY PROJECT.
SO BY YEAR THREE, WE MAY GET THAT MONEY BACK FROM W WELL, WE WILL GET IT, BUT IT WILL BE ALMOST YEAR THREE BEFORE THOSE FUNDS.
AND THEN THAT IS SPENT KIND OF, UH, AS YOU SEE ON OTHER ITEMS SUCH AS VEHICLES, FURNITURE AND THINGS OF THAT NATURE.
AND THEN SOME OF THE PROJECTS TAKE TWO YEARS, WE'VE HAD SOME ROOFING PROJECTS AND A LOT OF OTHERS.
SO YOU'RE REALLY NOT CLOSING OUT A TWO YEAR PROJECT.
[01:20:01]
YEAR FOUR, AND THAT'S WHAT YOU'RE SEEING THERE IS YOUR PERCENTAGE IS REALLY DROPPING OFF BY YEAR FIVE, SIX AND SEVEN.UM, THEN YOU'RE KIND OF USING YOUR CHAINS ON OTHER PROJECTS, WHETHER THEY'RE ON THE LIST, SUCH AS FURNITURE, BECAUSE WE HAVE AN ENDLESS NEED AS YOU SEE THE THINGS LIKE FURNITURE OR THINGS, OR VEHICLES OR THINGS OF THAT NATURE.
SO I WANT TO SHOW YOU THAT THAT'S HOW WE'RE FUNCTIONING TODAY.
UM, AND IF YOU GO TO THE NEXT SLIDE AND ACTUALLY THAT JUST KIND OF SUMMARIZES WHAT I, UM, JUST WENT OVER, BUT, UM, SO OUR GOAL AND WHAT I WOULD LIKE TO BE MAKE OUR GOAL IS TO CLOSE THEM OUT IN FIVE YEARS.
AND NOW THAT YOU HAVE THOSE BELOW THE LINE PROJECTS, AND WE KIND OF TALKED ABOUT, UM, THAT'S WHEN WE'LL PROBABLY BE SPENDING THE MONEY ON IN YEAR FOUR AND FIVE.
AND, UM, BUT WE CANNOT GO OVER THAT CAP.
SO REALLY IN YEAR FOUR OR FIVE IS WHEN WE ARE IN OUR ANALOGY, SPINNING THE CHAIN ON FURNITURE AND VEHICLES AND, UM, LAND, IF IT COMES UP OR SOMETHING OF THAT NATURE.
SO THAT IS WHAT I'M PRESENTING.
I'D LIKE TO DO A, UM, A EMOTION.
IF YOU WERE WORKING FOR GENERAL MOTORS, AND YOU SAID THAT YOU WOULD NOT BE WORKING FOR THEM LONG, UNDERSTOOD, UM, OR ANY OTHER MAJOR CORPORATION, UM, WHEN YOU HAVE CLOTHES OUT, YOU HAVE CLOTHES OUT.
WHEN, WHEN THE HVAC IS PUT IN THERE AND USE YOUR, TURNS IT ON YOU CLOSE OUT.
NOW THERE'S ALWAYS PUNCH LISTS AND THERE'S ALWAYS WARRANTY AND OTHER THINGS LIKE THAT.
BUT I UNDERSTAND THAT TWO YEARS, I CAN UNDERSTAND THE THREE YEARS, FOUR YEARS, YOU KNOW, THAT'S A MANAGEMENT ISSUE TO ME THAT, THAT WE'RE NOT EXPECTING THIS TO BE DONE.
NOT THERE THERE'S GOING TO BE EXCEPTIONS.
YOU KNOW, THERE'S GOING TO BE EXCEPTIONS.
I CAN UNDERSTAND THAT, BUT THE STANDARD FOUR YEARS INDUSTRY-WISE IS NOT ACCEPTABLE.
THEY WILL NOT KEEP MONEY TIED UP IN A PROJECT LIKE THAT.
YOU GET IT DONE, YOU CLOSE IT OUT AND WE GET TO WORK.
SO I, I FIND IT VERY HARD TO UNDERSTAND THAT IF NONE OF THIS REFERENDUM, YOU BETTER BE CLOSING THE MOUTH.
AND THAT'S WHY WE TRACK FEEL, NOTICE WE MAKE A BIG EFFORT TO LOOK AT HOW WE'RE TRACKING OUR EXPENDITURES, BECAUSE IF WE GET OFF TRACK ON THAT, WE'RE NOT GOING TO MEET THAT FOR YOU.
UM, IN THAT'S A DIFFERENT ANIMAL.
AND I THINK, UM, FOR RIGHT NOW, WE'RE ON TRACK WITH THAT AND WE'RE DOING EVERYTHING WE CAN TO STAY ON TRACK WHAT I AM.
WHAT DO YOU THINK, DAVID, WHAT'S YOUR EXPERIENCE? I AGREE WITH WHAT YOU'RE SAYING.
UM, IF YOU CAN CLOSE IT OUT IN ABOUT THREE YEARS, BUT THEN, YOU KNOW, I'M COMING FROM A DIFFERENT BACKGROUND THAN EDUCATION.
WHAT IF YOU CAN'T CLOSE OUT IN THREE YEARS, YOU'VE GOT A MANAGEMENT ISSUE.
UM, YOU'RE JUST NOT MANAGING THE PROJECT PROPERLY.
AND A LOT OF TIMES YOU HAVE TO TAKE THAT MONEY AND GET IT REAUTHORIZED.
AND THAT'S, YOU KNOW, FROM AN OPTICS POINT OF VIEW, YOU DON'T WANT PEOPLE TO THINK THAT YOU ARE FLUFFING UP PROJECT EXPENSES SO THAT YOU HAVE A LITTLE SLUSH FUND.
UM, AND UNFORTUNATELY THAT WHEN YOU DON'T CLOSE THEM OUT QUICKLY OR FAIRLY QUICKLY, THAT'S KIND OF WHAT IT LOOKS LIKE.
UM, SO THAT THAT'S SOMETHING TO AVOID.
SO I'D SUGGEST WE HAVE, YOU KNOW, I CAN GO WITH FOUR YEARS BASED ON YOUR EXPLANATION, ROBERT, BUT THEN WE GOT IN, WE NEED TO CLOSE SOME OUT AND IF THERE'S STUFF LEFT OVER, THEN IT NEEDS TO COME BACK TO THE BOARD AND SAY, LOOK, THIS IS STUFF WE DIDN'T GET DONE.
AND THEN WE CAN ANALYZE THAT FROM A LESSONS LEARNED POINT OF VIEW.
I MEAN, ONE OF, I WAS LIKE, IF I COULD SAY, YOU KNOW, ONE OF OUR, THE DIFFERENCES IS, YOU KNOW, UM, MOST OF THIS WORK IS SUMMER WORK.
[01:25:01]
WE WORK ALL YEAR PREPPING FOR SUMMER AND IF YOU DON'T GET IT IN THIS LIGHT, WELL, YOU KNOW, THIS SUMMER IS UNPRECEDENTED.THIS IS GOING TO BE VERY HARD TO GET A LOT DONE, A LOT OF THIS STUFF DONE, BUT IN A NORMAL SUMMER, UH, WITH THOSE 10 WEEKS THAT THAT'S OUR, THAT'S OUR SHOT TO GET IT DONE.
AND THEN WE, UM, WAITING FOR THE NEXT SUMMER, IF YOU DON'T GET IT COMPLETED, BUT I, I UNDERSTAND YOUR CONCERNS AND I WANT TO ADDRESS, THAT'S WHY WE'RE HAVING THIS CONVERSATION.
I WAS GOING TO MAKE THAT SAME COMMENT, ROBERT, CAUSE YOU AND I TALKED ABOUT THIS A LITTLE BIT, UM, IN TERMS OF, IT'S HARD TO, BECAUSE IT'S DIFFERENT THAN SCHOOLS ARE DIFFERENT THAN GM, RIGHT? BECAUSE YOU'RE TRYING TO DO ALL THIS CONSTRUCTION AROUND LITTLE KIDS AND, YOU KNOW, 400 GOVERNMENT REGULATIONS.
AND SO I AGREE WITH, WITH, UH, COLONEL GEIER AND MR.
I THINK, ESPECIALLY AS WE LOOK AT, I REALLY HOPING THAT AS, UM, FRANK, UH, DR.
RODRIGUEZ GETS, YOU KNOW, COVID BEHIND HIM AND REALLY GETS, UH, ESTABLISHED HERE IN THE DISTRICT THAT HE'S GOING TO HAVE GREAT PLANS AND I WANT TO FUND THEM.
SO I WANT TO CONVINCE EVERYBODY THAT, THAT THE SCHOOLS ARE A WORTHY INVESTMENT.
SO OPTICS, I THINK ARE IMPORTANT.
SO TO THAT END, I TOTALLY AGREE WITH COLONEL GUYER AND MR.
THE ONE CAUTION I HAVE IS THAT A LOT OF TIMES THIS IS SORT OF A COMMON THEME IN BOTH EDUCATION AND HEALTHCARE, IS THAT PEOPLE IN PRIVATE INDUSTRY COME IN AND SAY, WELL, YOU KNOW, IF YOU RAN YOUR BUSINESS LIKE THIS, YOU'D BE OUT OF BUSINESS.
IT'S DIFFERENT BECAUSE IF YOU, THESE ARE, YOU KNOW, THESE ARE TOTALLY DIFFERENT ANIMALS, RIGHT THERE.
THERE'S A TREMENDOUS, UH, HUMAN IMPACT THERE'S GOVERNMENT REGULATIONS.
AND SO WHEN YOU START LOOKING AT COST BENEFIT AND, YOU KNOW, TRYING TO COMPARE HOW GE DOES, I THINK WE NEED TO HAVE A LITTLE, UM, NOT COMPASSION, A LITTLE BIT OF SLACK IN THE SYSTEM FOR THE FACT THAT, THAT THIS IS JUST A VERY DIFFERENT BEAST.
UM, BECAUSE I DO THINK THAT A LOT OF WE'VE GOTTEN INTO A LOT OF TROUBLE IN THIS COUNTRY.
I THINK OVER THE LAST COUPLE OF DECADES WHERE PEOPLE COME IN AND THEY'RE LIKE, WELL, I'M GOING TO RUN THIS LIKE A BUSINESS AND SCHOOLS ARE NOT A BUSINESS AND HEALTHCARE IS NOT A BUSINESS, AND IT'S ALL FINE AND GOOD TO TALK ABOUT, YOU KNOW, COST BENEFIT ANALYSIS UNTIL YOU'RE THE ONE THAT NEEDS, YOU KNOW, SURGERY OR CHEMOTHERAPY.
SO I, I, I JUST, I W I AGREE WITH THEM, BUT I ALSO WANT TO CAUTION.
I THINK THAT WE HAVE TO BE, UH, AWARE THAT THIS IS A DIFFERENT SORT OF VENUE.
I RAN A SCHOOL FEDERAL GOVERNMENT.
I HAD A YEAR FOR CONSTRUCTION, AND I, YOU KNOW, I HAD TO DEAL WITH THAT.
AND I HAD TO, I HAD TO PUT STUDENTS OTHER PLACES WHILE CONSTRUCTION WAS GOING ON.
I KNOW IT'S DIFFICULT, BUT PROJECT MANAGEMENT, I THINK YOU'RE LEARNING A LOT BY THIS REFERENDUM.
AND IF I WAS TO TAKE THIS AND SHOW THIS TO OUR CHAIR AND SAY, THIS IS WHAT WE'RE DOING ON 8% MONEY YOU'VE BEEN RUNNING COCA-COLA I DON'T UNDERSTAND IT'S NOT SCHOOLS, BUT HE WOULD, I THINK HE WOULD TELL YOU THE SAME THING.
HE WOULD YOU TO FIND A WAY TO CLOSE OUT.
AND IT'S, YOU KNOW, I COULD SEE THE FOUR YEARS, I, I CAN SEE FOUR YEARS.
IT HURTS ME, BUT I CAN SEE FOUR YEARS, BUT FIFTH, SIXTH, AND SEVENTH, THAT'S A STRETCH FOR ME.
AND, UM, IF YOU, IF YOU HAVE TO KEEP DOING THOSE LITTLE THINGS THAT LONG FOR THAT LITTLE BIT OF MONEY, BUT A LITTLE BIT OF MONEY ADDS UP, UM, I JUST, TO BE HONEST, I THINK HIS NEW PROCESS OF KIND OF HAVING A LIST BELOW THE LINE WILL ASSIST US IN SPENDING IT FASTER, BE QUITE HONEST.
SO I CAN SEE THAT I WAS HOPING FOR FIVE, BUT I WILL WORK TOWARDS FOUR.
I MEAN, I IT'S, EVERYBODY'S IN AGREEMENT.
I CAN, THERE'S GOING TO BE EXCEPTIONS.
I MEAN, THERE'S GONNA BE, THERE'S GOING TO BE EXCEPTIONS, BUT THAT'S, THAT'S A REASONABLE GOAL.
AND IF YOU HAVE TO MAKE AN EXCEPTION, JUSTIFY THE EXCEPTION.
WELL, THAT'S KIND OF WHAT I WAS, AND I DON'T KNOW IF YOU'D WANT TO DO IT, HAVE IT SPELLED OUT IN EMOTION OR JUST HAVE IT AS OUR, THE WAY WE WOULD DO IT, THAT WE WOULD DO IT FOR YEARS.
AND IF NOT, WE'D HAVE TO BRING IT BACK.
[01:30:01]
SO IF IT'S AN OPERATIONAL EXPECTATION, DOES THAT GO TO POLICY OR DOES THAT COME AS A MOTION? I WAS JUST GOING TO SAY THAT THAT MIGHT BE INTERESTING FOR YOU TO BRING UP, UM, AND ASK FOR IT TO BE SENT TO THE POLICY COMMITTEE VERSUS A MOTION OUT OF OPERATIONS COMMITTEE.UM, ACTUALLY THE OPERATIONS COMMITTEE COULD MAKE REQUEST TO THE BOARD TO HAVE IT SENT TO THE POLICY COMMITTEE.
THAT'S JUST WHAT I WAS GOING TO SAY.
SO, UM, SO OPERATIONS COMMITTEE MEMBERS, DO YOU WANT TO GO AHEAD AND MAKE A MOTION TO, UH, HAVE A OPERATIONS COMMITTEE, UM, BRING FORWARD TO THE BOARD OR REQUEST TO SEND THAT TO POLICY? AND I ASKED THAT WE HEAR FROM MR. STRINGER BEFORE WE MAKE A MOTION, JUST CAUSE I THINK HE'S GOT, HE WAS TRYING TO JUMP IN.
I WAS TRYING TO JUMP IN ON THAT.
I'M ON THE POLICY COMMITTEE AND I'D PREFER THAT YOU JUST HAVE THE BOARD MAKE A MOTION AND NOT WAIT FOR THE POLICY COMMITTEE.
AND THEN IF THE POLICY COMMITTEE THINKS THAT IT SHOULD BE REWORDED, THEY CAN DO THAT.
BUT THEN IT TAKES EFFECT RIGHT AWAY.
AND THE POLICY COMMITTEE DOESN'T HAVE TO WORRY ABOUT THE WILL OF THE BOARD.
WE WILL HAVE A BOARD THAT'S ALREADY BEEN EXPRESSED.
UM, SO IT JUST MAKES IT EASIER AND IT'S MUCH QUICKER.
UM, THEN LET'S DO IT THAT WAY.
I DO THINK THE, WELL, THE BOARD NEEDS TO COME FIRST.
SO ARE WE MAKING A MOTION THEN JUST TO BRING THIS CO THIS DISCUSSION BEFORE THE BOARD, OR WE MAKE A RECOMMENDATION OF FOUR YEARS BEFORE THE BOARD, BECAUSE I CAN BE ON BOARD WITH FOUR YEARS.
IF ASTRONOMY IS ON BOARD FOR IS I COULD BE ON, I I'M DEFINITELY ON BOARD WITH FOUR YEARS.
LIKE I SAID, I, I, I SUPPORT WHAT COLONEL GARNER, MR. STRIPPING ARE SAYING AS FAR AS CLOSING OUT.
SO WHICH, WHAT, WHAT DO WE NEED TO DO HERE? WELL, I THINK I WOULD FEEL MORE COMFORTABLE WITH, UM, WITH A MOTION BEING MADE IN OPS COMMITTEE TO THEN BRING THAT TO THE FULL BOARD.
SO MR. SMITH OR MS. BOATWRIGHT, WOULD YOU LIKE TO MAKE A MOTION TO THAT END? ACTUALLY, I HAD MY, I HAD MY HAND UP, I WAS GOING TO, I WAS GOING, I HAD A QUESTION BEFORE THAT, BUT I WAS WAITING ON WAYNE TO GET CAUGHT, CAUGHT UP.
I, I, UH, HAVE TROUBLE WITH KEEPING TRACK OF THE ELECTRONIC HANDS HERE.
I CAN'T SEE YOUR FACE ON ZOOM.
WELL, I WAS JUST WONDERING, WAS IT GOING TO BE LIKE I'M IN THE MARKET? MY QUESTION WAS WHAT, THE, WHAT THE PAST PRACTICES OF BEFORE, LIKE HOW, LIKE HOW THEY'RE DOING RIGHT NOW AS IN REMODELING REMODELING RIGHT NOW, EVEN THOUGH THE STUDENTS STUDENTS ARE IN THERE.
WAS, WOULD IT BE ALONG THE TIMELINE OR SOMETHING ALONG THE TIMELINE OR SOMETHING LIKE THAT? WELL, I MEAN, BUFORD HILL IS A, A REFERENDUM PROJECT.
AND IT HAS TO BE DONE IN THE FOUR YEARS AND WE'RE, YOU KNOW, IT STARTED, WE STARTED ON IT AS SOON AS THE REFERENDUM PASSED BACK IN NOVEMBER, DECEMBER OF 19, OR LET'S JUST SAY JANUARY ROUNDED UP, UM, OF 20.
SO WE'RE RIGHT NOW IN YEAR, UM, FOR A LITTLE OVER WE'RE NEAR TWO AND WE'RE GOING TO FINISH THIS FALL.
SO IT'S GOING TO TAKE US ABOUT, UM, DID, DOES THAT ANSWER YOUR QUESTION, MR. SMITH? AYE, AYE.
IS ANYBODY ELSE'S HAND UP? UM, IF I COULD I SEE TANYA WHERE THEY'RE LOOKING AT THE, UH, THE, UH, THE QUARTERLY, QUARTERLY FINANCIAL REPORT, WHICH MEANS WHAT MAKES ME THINK, LOOKING FOR WHAT THE IMPACT IS.
AND IT DOES MAKE ME QUESTION WHAT THE IMPACT IS ON CURRENT PROJECTS AND FUNDING.
SO I WOULD REQUEST, HOWEVER, IT'S MADE THAT EITHER IT'S STARTS WITH THAT BY 2023, OR IT STARTS AFTER A YEAR OR SOMETHING LIKE THAT, JUST SO WE MAY HAVE INTENTION TO USE THE MONEY AFTER THAT, ALL OF A SUDDEN YOU CAN SLAM THE DOOR ON.
SO WHAT I WAS LOOKING AT IS TO WHAT OPEN PROJECTS MEAN IS OPEN.
[01:35:01]
ARE, ARE ISSUED IN CLOSED, AND WE HAVE PASSIONATE FANS, AND AGAIN, THE 2023 PROJECTS, FOR EXAMPLE, WHAT DOES OPEN PROJECTS MEANS? SO RIGHT NOW WE HAVE 2023 PROJECTS, BUT A WELL-BRANDED PROJECT, NO REMEDIATION PROJECTS, BUT THERE WERE NO FUNDS BORROWED FOR THEM YET.AND THERE WILL BE FAR AS HERE IN THE NEXT WEEK MONTHS.
WE HAVE APPROVED CONTRACTS APPROVED.
WELL THAT THAT'S A WHOLE NOTHER CONTRACT.
APPROVES MAY HAPPEN ALL OVER THE PLACE.
SO WHEN I'M TALKING, WHAT I ROBYN, WHEN I SHOW THE EXPENDITURE ON WHAT I'M THINKING IS WHEN YOU APPROVE THE LIST.
SO LIKE, IF YOU APPROVE THE LIST, MAY, UH, MAY 18TH.
THAT MEANS FOR MAY 18, WE HAVE FOUR YEARS TO CLOSE OUT ALL.
I SEE WHEN YOU APPROVED THE LIST, YOU HAVEN'T, I HAVEN'T, YEAH, I HAVEN'T EVEN STARTED IT'S WHEN IT'S, WHEN YOU SPEND THE FIRST DOLLAR IS WHEN THE PROJECT REALLY STARTS.
BUT THE PROBLEM IS YOU GOTTA REALIZE THAT LIST HAS 35 PROJECTS.
SO IF I GO UNDER THAT, WE'VE MADE CLOSE EVERYTHING OUT WITHIN TWO, THREE YEARS, TWO, THREE YEARS, BECAUSE WE SPENT A YEAR, WELL, THE FIRST TIME THAT WE SPEND IS GOING TO BE ON DESIGN SERVICES.
SO WE GOTTA, YOU KNOW, WE CAN'T HIRE AN ARCHITECT REALLY, UNTIL YOU WERE PUTTING YOUR FUNDING.
SHE WON'T LET ME, I CAN TELL YOU THAT.
AND SO WHEN YOU EXTEND THE FIRST DOLLAR, THAT'S WHEN THIS PROJECT STARTS, IT'S LIKE, THAT'S NOT, YOU KNOW, I GET IT.
AND THAT'S WHY WE NEED THAT'S WHERE WE MAY HAVE A LITTLE DISCONNECT IS THAT MY THOUGHT IS WHEN YOU APPROVE IT.
AND THAT SEEMS LIKE A LOT LARGER TIMEFRAME THAN ACTUALLY WHEN YOU START SPENDING IT, THAT WOULD BE A MANAGEMENT NIGHTMARE.
I CAN JUST TELL YOU ON MY SIDE, JUST BECAUSE THERE'S SO MANY PROJECTS, I LIKE THE CLEANLINESS OF WHEN YOU APPROVE IT, I CAN KEEP TRACK OF THAT.
AND FOUR YEARS FROM THEN, SHE'S GOING TO SHUT THE DOOR ON ME AND SAY, YOU CAN'T SPEND THAT ANYMORE.
THAT'S EASY ON A MANAGEMENT SIDE.
THAT'S EXTREMELY EASY FOR ME TO MANAGE.
IF IT'S ON A PROJECT BY PROJECT LEVEL, AND I MAY NOT START A PROJECT, UM, ACTUALLY THE FIRST FUNDS.
SO TWO YEARS AFTER YOU PROVED IT, WELL, NOW YOU JUST GAVE ME FOUR YEARS AFTER THAT.
SO YOU MAY BE OPEN FOR SIX YEARS AND I CAN'T SHUT DOWN THAT FUNDING SOURCE UNTIL THAT ONE PROJECT IS DONE.
SEE YOU TELLING ME THAT YOU BORROW MONEY FOR A PROJECT AND IT'S SITTING AROUND WAITING FOR YOU TO EXTEND IT.
IT'S MORE COMPLICATED IN THAT TINY, WHEN YOU DO THE BOND, YOU GET THE MONEY.
THAT'S THE THING THAT'S BEEN STARCH.
SO WHEN, WHEN DOES, FROM THE TIME YOU GET THE MONEY IN THE BANK, HOW SOON IS THAT MONEY? OBLIGATED DEPENDS ON THE PROJECT, BUT WE FUND WHEN I'M BORROWING MONEY THIS YEAR, IT'S FUNDING APPROVALS THAT YOU MADE LAST YEAR AT THIS TIME.
SO WE USE THERE'S VERY LITTLE SPENDING OR MOSTLY DESIGN AND JUST, UH, ONLY TECHNOLOGY PURCHASES FOR THAT FIRST YEAR.
AND THEN I'M BORROWING THE BULK OF WHAT I'M BORROWING IS FOR THE LAST SUMMERS PROJECTS.
THAT'S PARTIALLY WHY YOU'RE APPROVING NOW IF 2023 PROJECTS.
THAT'S NOT THE WAY BUSINESSES WORK.
NOT GOVERNMENT WORKS, RIGHT? WHEN YOU, WHEN YOU START, UM, GOING TO CONGRESS AND ASKING FOR APPROPRIATION, THAT'S NOT THE START OF THE PROJECT THEY STARTED.
THE PROJECT IS WHEN THE FUNDS ARE APPROVED AND WHEN THE FUNDS ARE EXPENDED, THAT'S WHEN THE PROJECT STARTS.
AND I THINK BECAUSE OTHERWISE YOU'VE GOT ARBITRARY.
OTHERWISE YOU'RE BORROWING MONEY.
IT'S JUST SITTING THERE GAINING INTEREST.
WE HAVE NOT HAD AN ARBITRAGE LIABILITY IN MANY, MANY, MANY YEARS.
SO WE CAN SHOW, I MEAN, WE'VE GOT A BIGGER PROBLEM.
IT JUST RAISED, INSTEAD, I SEE WHERE THE CONFLICT, I SEE THE COMPLICATION, BUT YOU GOTTA, YOU GOTTA UNDERSTAND, WE CAN'T BORROW MONEY AND PUT IT IN THE BANK INTEREST.
IS THERE SOMETHING YOU'RE DOING WITH THE REFERENDUM? RIGHT.
WE'RE, WE'RE TRACKING, SHE'S ONLY BORROWING MONEY WHEN, BASED ON OUR NEEDS FOR THAT
[01:40:01]
COMING, BUT THE REFERENDUM, SO YOU'RE HAVING MULTIPLE BOND ISSUES OR, UH, OR THE A YEAR'S WORTH OF BONDS.YOU'RE, YOU'RE NOT, YOU'RE, YOU'RE NOT BORROWING THE 20 MILLION AT ONE TIME.
THAT'S OFFSET AGAINST THE INTEREST OF THE BORROWING.
SO THERE ISN'T A NEGATIVE LIABILITY OR, OR A LIABILITY THERE.
SO WE HAVE ALL RECHARGED, UM, ANALYSIS EVERY YEAR.
SO THERE HASN'T BEEN A LIABILITY.
UH, INGRID, DID YOU WANT TO SAY SOMETHING? I JUST HAVE A QUESTION.
WE ARE NOT THE ONLY DISTRICT THAT USES 8% FUNDS FOR THIS KIND OF STUFF.
SO WHAT ARE OTHER, DO WE KNOW WHAT OTHER DISK NOW I KNOW CHARLESTON, I'M PRETTY SURE THAT CHARLESTON DOESN'T DO THE BOND BORROWING BECAUSE THEY HAVE NOW, UH, THE, UH, EDUCATIONAL, SPECIAL PURPOSE LOST THE LOCAL SALES TAX.
SO I DON'T THINK THEY'RE ISSUING DEBT LIKE WE ARE ANYMORE.
AND I DON'T KNOW IF MORE DISTRICTS, I THINK MORE DISTRICTS HAVE MOVED TO THAT MODEL, BUT THERE'S GOTTA BE A LOT OF DISTRICTS IN SOUTH CAROLINA THAT ARE BORROWING MONEY FOR 8% PROJECTS.
AND I'M WONDERING, ARE WE, OR IS THERE A STANDARD ACROSS THAT, THAT WE ARE OUT OF LINE WITH, OR ARE WE, IS EVERYONE KIND OF ON THE SAME PAGE AND MR. CARNEGIE WAS THE FIRST ONE TO NOTICE IT.
SO AS FAR AS CHARLESTON GOES, JUST SO YOU KNOW, THEY DO BORROW 8% FUNDS THEY'RE RIGHT NOW BORROWING ABOUT.
AND I HAD THE NUMBERS EXACTLY IN HERE SOMEWHERE, LIKE FIND IT REAL QUICK, ABOUT 40000008%.
AND THEN THEIR REVENUES THAT THEY GET FROM THE SALES TAX IS ABOUT 45.
AND THEN THEY'RE UPPING THEIRS TO, UM, THE NEXT ROUND OF BORROWING.
THEY'RE GOING TO GET 65 MILLION A YEAR IN SALES TAX.
AND THEY'RE STILL GOING TO PLAN ON BORROWING ABOUT 20 MILLION, UM, IN 80%.
SO THEY'RE 8% ABOUT ONE US, BUT IT'S SUPPLEMENTED THEIR TOTAL COST OF THEIR CAPITAL.
THEY HAVE A WHOLE LOT LARGER POT TO SPEND FROM PROPORTIONATELY TO US BASED ON THEIR SALES TAX.
AND THEN IT ALSO, IT ALSO FUNDS THEIR LARGE CAPITAL.
THAT'S JUST THEIR MAINTENANCE CABINETS.
THEN THEY HAVE THE LARGE CAPITAL ON TOP OF THAT.
THAT'S LIKE NEW SCHOOLS AND ALL THAT THAT'S FUNDED OUT OF THE SALES STACK.
SO THE SALES TAX, IT'S A GREAT WAY TO FUND, BUT WE WON'T GO THERE.
I WAS JUST WONDERING THAT OTHER PLACES ARE DOING THIS SAME THING.
DO WE NOT KNOW HOW THEY, I MEAN, OTHER CFOS ARE BORROWING MONEY AND I'M SURE ARE, ARE THEY DEALING WITH THE SAME ISSUES OR DO THEY HAVE A STANDARD THAT WE CAN LOOK AT AND SAY, THIS IS HOW OTHER DISTRICTS ARE DOING IT.
SO WE DON'T FALL INTO THE PITFALLS THAT COLONEL GYRES POINTED OUT.
LIKE PEOPLE I'LL DO A PO YOU KNOW, I GO TO PINTEREST AND I'M LIKE, OH, I CAN REPLICATE.
LIKE, SO I'VE STARTED, THIS IS SORT OF THE PINTEREST APPROACH TO THAT MANAGEMENT.
GEIER, THAT'S A LITTLE ODD, BUT I WAS LOOKING TO SEE WHAT OTHER PEOPLE ARE DOING AND SEE IF WE'RE ALIGNED WITH WHAT THEY'RE DOING.
SO ROBIN, IF YOU CAN GO TO THAT NEXT SLIDE, I THINK IT IS NO, UH, NO, GO BACK ONE MAYBE.
SO I THINK THE ANSWER IN, IN, IN, UH, IS THAT WE'RE ACTUALLY SPENDING EVERY YEAR CLOSE TO THE AMOUNT WE'RE BORROWING.
SO IT'S, IT'S ON A YEAR TO YEAR.
I CAN SEE HOW THAT I CAN SEE WHAT INTERESTING SAYING THE DESIGN WERE CORRECT, BUT AT THE SAME, BUT WHEN YOU PLAY THAT FIRST DOLLAR IN DESIGN, THAT'S THE START OF THE PROJECT.
SO, WELL, MAYBE WE SHOULD CONTINUE THIS CONVERSATION AND LET TANYA, AND I PUT OUR HEADS TOGETHER.
CAUSE I THINK I'M, WELL, I NEED TO HAVE A BETTER UNDERSTANDING.
I DON'T THINK IT'S AS BAD AS YOU'RE THINKING, BUT YOU'RE UNDERSTANDING THE GOOD NEWS.
I THINK YOU'RE UNDERSTANDING MY NOW WHY I'M SAYING STRETCHES OUT.
AND IF WE'RE WANTING TO PUT A LIMIT ON IT, NOW WE NEED TO HANDLE THE FINANCING TO MAKE SURE THAT WE'RE NOT LETTING MONEY SIT AROUND IT.
AND I THINK THE ANSWER TO THAT IS IT'S NOT, THERE IS A LITTLE BIT SITTING AROUND, BUT NOT NEAR AS BAD AS YOU THINK IT IS.
UM, BUT SO MY ONLY ISSUE WAS IF WE'RE GOING TO PUT A LIMIT, I WANT TO HAVE IT BE MANAGEABLE.
AND THAT'S HOW IT BASICALLY NOW DO WE WANT TO GO BACK TO THAT CONVERSATION? IT MIGHT BE A CONVERSATION TO HAVE ANOTHER CONVERSATION.
MR. SMITH, MR. SMITH, IS YOUR HAND STILL UP? I'M SORRY.
[01:45:02]
NO, MY HANDS IS DOWN.SO I THINK, I THINK THAT'S BE A GOOD CONVERSATION TO HAVE, UM, A COMMON UNDERSTANDING OF WHEN IT STARTS, WHEN IT STARTS.
SO, UM, SO I AM NOT GOING TO BRING FORTH EMOTION ON TUESDAY BECAUSE I DO BELIEVE IT NEEDS TO GO INTO COMMITTEE AND HAVE A FURTHER DISCUSSION IF NOT EVEN ANOTHER JOINT COMMITTEE MEETING SO THAT, SO THAT WE ALL UNDERSTAND IT.
UM, SO I WON'T BRING THAT MOTION FORWARD AS WE WERE DISCUSSING ABOUT PUTTING A TIMELINE ON IT.
UM, WHAT ELSE IS ON YOUR LIST? AND THAT WAS IT.
SO, UM, WE COMPLETED, YOU KNOW, SO WHAT WERE, WELL, I'LL LET YOU START, I MEAN, WE'RE BRINGING FORWARD THE 8% PROJECT LIST.
THAT'S GOING TO BE THE VERSION B.
SO THAT'S THE ONLY ONE WE'RE GOING TO PUT IN, UM, UH, MORE DOTS.
WE'RE NOT EVEN GOING TO BRING FORWARD, BRINGING, UH, BEFORE, UM, WE'RE GOING TO INCLUDE WITH IT.
UH, THE RATE FUNDS WOULD BE ROLLED IN AS PART OF THAT, THE USE OF CONTINGENCIES IN THAT 8%.
UM, AND THAT'S REALLY, UH, AND THEN THE BOROUGHS AVENUE WE'RE GOING TO BRING IN A LATER DATE.
I'M GOING TO MENTION IT, BUT WE'RE GOING TO NOT HAVE AN EMOTION RIGHT NOW.
THE TWO OF THE TWO THINGS WE'LL GET IN AS DAVID SUGGESTED, YO, FIGURE OUT A WAY TO HAVE FURTHER CONVERSATION ABOUT THE START AND STOP A SHIP WITH THE INTENT OF PUTTING SOMETHING OUT THERE FOR BEFORE YOUR TIME.
SO GIVEN THAT, UM, ARE THERE ANY OTHER COMMENTS BY ANY OF THE BOARD MEMBERS OR ANYONE IN ATTENDANCE? AND I THINK THAT WE CAN SAY THIS MEETING IS ADJOURNED ALL IN FAVOR, EVERYBODY.
THANK YOU VERY MUCH FOR YOUR INPUT GREATLY.