February 2021 Regular Board of Education Meeting

Royden Smith arrived late at 7:03 pm

No questions or discussion.  Sent to vote.

Treasurer Schumacher reported as follows:

On January 22, 2021, Governor DeWine signed an executive order that formalizes the budget reductions for FY2021. We are pleased to report that the cuts to the Department of Education's budget are not as significant as the cuts in FY2020. This means schools will receive funding at levels above what they have expected for this fiscal year. The Governor's executive order releases $152 million in funding back to traditional school districts. This lowers the reduction to the state foundation funding formula from $277.2 million to $125.2 million. The simulations look like the schools are getting back approximately 54% of their original cuts.

Shelby City Schools

10,481,371.72             ($291,976.11)             $160,130.75                ($131,845.36)

Lexington Local Schools

$10,335,659.52           ($477,811.04)             $262,049.66                ($215,761.38)

• The opportunity grant amount will increase from $5,931.24 to $5,979.92 for Community Schools and Independent STEM schools. This is a revised reduction of $40.08 per pupil, compared to the $88.76 per pupil reduction executed in FY20.
• Non-public schools will see a combined $4.9 million increase in their FY2021 non-public administrative cost reimbursement payments and Auxiliary Services payments.
• The Department will fully fund the half-mill maintenance equalization payment scheduled for June, 2021.
• Additional funding will be released to support the 22+ Adult Diploma program.

 

On Monday, February 1, Governor Mike DeWine released his biennial budget proposal for fiscal years (FY) 2022 and 2023. The proposal maintains foundation funding at FY19 levels and does not implement a school-funding formula. DeWine told reporters it was a “specific decision not to change the funding formula” and acknowledged the General Assembly’s efforts to develop a new formula. Right before the biennial budget was introduced, Reps. Jamie Callender (R-Concord) and Bride Rose Sweeney (D-Cleveland) introduced House Bill (HB) 1, which would enact the Fair School Funding Plan, or HB 305 from the last legislative session.

Testimony on the governor’s budget proposal began yesterday in the House Finance Committee and will continue over the next several weeks. Once the bill text becomes available, OASBO will provide a webinar to members to provide an overview of the proposal.

• Student Wellness and Success Fund – provides $1.1 billion over the biennium with $500 million being proposed for FY22 and $600 million proposed for FY23. This represents a $300 million increase over the biennium.

On February 12, we received our second installment of the Student Wellness and Success Funds ($208,805.43).  The estimates for Pioneer published by ODE for the proposed FY22-23 budget are FY22 $541,655 and FY23 $647,215.  Estimates for fiscal years 2022 and 2023 are based on fiscal year 2020 Enrolled ADM for joint vocational school districts. Changes in Enrolled ADM in fiscal year 2022 will impact the actual payments that joint vocational school districts receive. Of course, the proposal also states that “no traditional school district, joint vocational school district, or community school will receive less than $45,720 in fiscal year 2022 and $56,160 in fiscal year 2023, or 100% of what they received in the prior fiscal year.”  So, even if our enrollment goes down, we should still receive the same amount of Student Wellness and Success Funds we received in FY21.

The budget proposal also includes:

“Investing in Ohio” Initiative – provides $16 million to support 70,000 students earning industry-recognized credentials and $290 million to expand access to broadband services;

Charter Schools – $20.6 million for charter school facilities and $54 million per year, up from the current $30 million per year, for an incentive fund for charter schools that meet certain quality criteria;

EdChoice Expansion (i.e., Income-based EdChoice Vouchers) – $92.18 million per year, a $7.1 million increase per year, for the EdChoice expansion program, which has increased from 200 percent of the federal poverty level to 250 percent.  Any questions.

On Wednesday, February10, Greg, Mary Dixon and I attended Legislative meetings with Representatives Riordan McClain and Marilyn John.  In those meetings we discussed 2 fiscal matters. The firs asks were in reference to CTE High School funding 1.  We asked that legislators Maintain base aid for JVSDs, Comprehensives and Compacts;  2.  Maintain career-technical education “weighted” funding outside the cap; and 3.  Establish state programs to secure innovative approaches to career exploration.

 

The second ask concerned Adult Education.  We asked for a restoration of OTC funding to (pre-Pandemic) levels included in the last biennial budget—which will ensure their continued ability to successfully provide in-demand adult technical training in response to the state’s diverse regional workforce needs. CTE also asks that the state enhance funding for the Adult Diploma Program, which offers much-needed financial support to adults seeking a high school diploma and technical certificate / credential. OTCs also seek to extend a (reduced) phase-in for performance funding over the biennium so that no OTC receives less than 50% of the average allocation of the past three years.

 

That is everything I have to discuss that has been going on in the CTE world.  We have also been busy in the office.

 

We submitted the County budget after January’s meeting.  The County will hold its budget meetings in February, so we should have that approval by the end of March.

We will be making our annual transfers to the 034 Maintenance Fund and the Permanent Improvement fund in February and March.

Food Service – I had a conversation with Mr. Fortman in which he has intentions of cutting costs by attrition, but that will not be until after next school year.  One part-time position may be vacated after this year.  After listening to many seminars in the past couple of weeks.  I have learned that it might be a possibility that we can may be able to use come of the GEER monies to make food service whole this year. I received a call from Jason Friday that he had word he would be receiving some monies from the USDA to help cover costs this year.  He is not sure how much and should be receiving it early this summer. I will keep you updated on all that is going on.

We received the second half Casino monies - $68,370.  This is up from the August distribution of $32,767.  I also learned through some of these seminars that the State General Fund budget for schools will decrease about $29M  dollars for K-12 in the second year of the biennial budget due to a forecast of increase in casino monies.  I am looking into this because I also remember that those casino monies were not to be like the Lottery monies which are used to fulfill the education budget.  They were originally touted to be additional monies to the schools, and if this is the case, they are being used the same way the Lottery monies are being used.

It has definitely been an interesting few weeks.

Of course, everything else is normal course of business.

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Superintendent Nickoli reported as follows:

Sophomore virtual visitations are in progress and have been going very well.  Some might be missed due to full-time online learning and a solution to this problem is being sought.

Legislative Seminar went well.  Mary Dixon, Linda Schumacher and I Mr.Nickoli had virtual visits with Representatives Marilyn John and Riordan McClain.

Other news in the District includes February is Career-Technical Month,  the OSBA "Virtual" Spring Conference is March 10, and both the Ralph Phillips Business partner of the year Dinner and the Pioneer All-Board Dinner are postponed.

In personnel news, the retirement of Assistant Director, Jim Calhoon was announced.  He will fulfill his contract up until July 31, 2021.  Mr. Nickoli thanked him for all of his hard work and dedication.  He will be missed.

Mr. Nickoli suggested that due to the inclement weather, they postpone the executive session.

 

No questions or discussion.  Sent to vote.

Executive Session was canceled.