Shannon Bush

The Finance Committee meeting focused primarily on reviewing the annual financial audit. Key discussion points included the entity's modified cash basis of accounting, explaining how it differs from accrual accounting, particularly concerning fund balances for the 2023-2024 fiscal year. The committee reviewed findings on the financial statements, clarifying that the audit was a required financial statement audit, not a performance audit. Discussions also covered significant fund balance adjustments, including an 'air correction' of approximately $10.7 million in the general fund credited to the capital projects fund, which was necessary to reclassify EMINS search tax and prevent the capital projects fund from showing a negative balance. The status of restricted bond proceeds from the 2024 bond issuance and the health of the self-insured healthcare trust fund (ending the year at $6.3 million) were detailed. Additionally, the transfer of funds between operating funds (Fund 1 and Fund 2) to cover state funding shortfalls for certified teacher expenses was confirmed as normal procedure. The current general fund reserve ratio was noted as 10.02%, below the board policy of 20% and the auditor's recommendation of 25%.

The St. Joseph School District's Career Ladder Plan outlines a voluntary performance-based program designed to enhance student educational experiences by providing salary supplements to teaching staff for additional responsibilities and voluntary efforts. It details a three-stage compensation structure (Stage I, II, III) based on required hours of involvement, eligibility criteria for certified educators, and a range of approved activities such as externships, mentoring, tutoring, and professional development. The plan also covers the development, assessment, and appeal processes, emphasizing direct alignment of activities with district improvement goals.

The Finance Committee meeting focused on reviewing financial reports and budget projections, following up on discussions from the previous month. Key topics included a detailed breakdown of changes in purchase services expenditures over the last three years, particularly related to the Early Learning Center and federal reimbursements. The discussion extensively covered district funding based on weighted Average Daily Attendance (WADA), noting a decrease of 771 in weighted ADA since the 2019-2020 period, which impacts state payments. The committee reviewed the operating fund balance (reserve ratio), which dropped significantly to 10.02% for the current period (2024-2025) due to the non-receipt of expected federal funds in the initial budget calculation. The presentation also detailed assessed valuation trends compared to neighboring districts, noting slower growth. Furthermore, the discussion addressed federal funding consistency, specifically Title money, and emphasized the importance of timely reimbursement requests to maximize interest earnings on expended funds.

The Finance Committee meeting focused on internal controls and budget planning for the future. The committee reviewed a newly implemented electronic staff hiring justification form designed to ensure necessary approvals from the principal, assistant superintendent of academic services, director of human resources, and superintendent before filling any vacant position or creating a new FTE. This process aims to reduce FTE count by identifying opportunities for staff reassignment or reducing positions from full-time to part-time where possible. The latter part of the meeting involved brainstorming session with attendees regarding strategies to increase revenue and reduce expenses for the upcoming fiscal year (FY27) to reach a 20% reserve ratio, focusing on potential revenue streams like corporate sponsorships and grant opportunities, and expense areas such as central office lean management and optimizing square footage.

The work session covered several operational and planning topics. Initial discussions focused on approving the agenda and addressing revisions to salary schedules to comply with the new Missouri minimum wage increase to $15 per hour, affecting support, educational, adult education, and operational staff, with an estimated cost of $2,000 for the remainder of the school year. A review of the district's transfer policy followed, addressing boundary changes resulting from the transition from three to two high schools, emphasizing that transfer requests beginning in January will be handled by a district-led committee to ensure capacity limits are maintained and grandfathering is not possible. Furthermore, the group discussed adopting a new emergency operation plan tool from the Missouri School Board Association and CES, which utilizes a mobile app to pre-format plans, noting that this is a non-budgeted, three-year commitment that would replace the existing Raptor software contract, resulting in significant savings. Finally, a draft of the 2026-2027 workday calendar for 260-day staff was presented, detailing holiday schedules, paid time off, and input gathered from staff regarding spring break placement.