SCHOOL BOARD OF THE CITY OF VIRGINIA BEACH

MINUTES OF SCHOOL BOARD

BUDGET WORKSHOP #3

FY 2008/09 & 2009/10

FEBRUARY 26, 2008

 

The School Board of the City of Virginia Beach held a budget workshop on Tuesday, February 26, 2008 at the School Administration Building. 

MEMBERS PRESENT:

Mr. Daniel D. “Dan” Edwards, Chairman

 

Ms. Rita Sweet Bellitto, Vice Chairman

 

Ms. Emma L. “Em” Davis

Mr. Lyndon S. Remias

Ms. Patricia G. Edmonson

Ms. Sandra Smith-Jones

Mr. Edward F. Fissinger, Sr.

Mr. Michael W. Stewart

Mr. Dan R. Lowe

Ms. Carolyn D. Weems

 

Dr. James G. Merrill, Superintendent

Members ABSENT:         Mr. Todd C. Davidson

 

Chairman Edwards convened the Board in Room 113 at 6:03 p.m.  All Board members were present with the exception of Mr. Davidson who was sick with the flu and absent from the workshop.

1.         Workshop Overview/Comments:  Chairman Edwards reported budget scenarios being considered by the House and the Senate were unfavorable for school divisions.  He noted the Board was not in a position to discuss the Capital Improvement Program (CIP) at this time until after a meeting with the City is held on Friday, February 29, but noted changes to lottery proceeds would have a huge impact on the program. 

2.         Brief Update on State Budget and Local Budget Information:  Mr. Farrell E. Hanzaker, Chief Financial Officer, briefly commented on the House and Senate budget proposals noting both scenarios provide a reduction in the retirement rate.  Other issues being considered that would greatly impact the school division were lottery proceeds and a change in benchmarking.  Regarding local revenue, he reported although the tax assessor had not completed projections, the City had confirmed a revenue shortfall to the school division for 2008/09 between $1.3 – 1.5 million.  He noted a loss of $6.5 – $7 million was anticipated for the current year and explained a preliminary mid-year analysis indicates reversion funds will be in excess of $6 million with the first $6 million of reversions taken by the City and the remainder reallocated to the division upon request.       

3.         Review of Updated Budget Options for Board Consideration:  Mr. Hanzaker presented three options for the Board to consider for the use of $900,000 in net funds made available by an estimated savings from a reduction in the retirement rate of $1.8 million, and changes in high school summer school tuition rates of $500,000 which offset a $1.4 million City Revenue Sharing Formula (RSF) revenue shortfall.  Options included expanding extended day kindergarten (EDK) classes, initiating an elementary behavioral intervention program, and earmarking funds for results from the special education audit report.

            Dr. Christine W. Caskey, Assistant Superintendent for Curriculum and Instruction, reviewed a recommendation to finance space for 20 students at the Pendleton Child Service Center at a cost totaling approximately $400,000 to be used as an intervention program for elementary students with severe behavioral needs.  Lengthy discussion ensued and Administration agreed to provide the Board additional information on early intervention programs already in place that would be engaged prior to a referral for placement by the Office of Student Leadership.

            Following discussion on the options, majority of the Board supported moving forward with the option that would provide $400,000 to expand the extended day kindergarten (EDK) program by 7 classes based on priority need; provide $400,000 to initiate an elementary behavioral intervention program; and earmark $100,000 to initiate recommendations from the special education audit report.

            With regard to $13,000,000 needed for market adjustments and internal equity adjustment for the Unified Pay Scale contained in the prioritized list of additional needs not funded in the budget, the Board concurred that the item should be moved to the bottom of the list noting the change should not be regarded as a reflection of the priority of the initiative, but as an acknowledgment that its inherent cost could not be accomplished in next fiscal year’s operating budget. They further resolved to expend considerable time and effort in the coming year to determine possible solutions to the recommendation.

4.         Revise/Re-prioritize Additional Needs (page 60):  The prioritized itemized list of additional needs was revised to reflect changes mentioned above by moving market adjustments to the bottom of the list, reducing the extended day kindergarten (EDK) program by $400,000, moving the preschool initiative up to follow the EDK program, and removing the $400,000 elementary behavioral intervention program item funded by available funds described above. 

5.         Address Board Member Questions, Other Issues/Items:  Administration responded to Board questions.  Discussion concluded at 7:50 p.m.

6.         Other Issues/Items:  Ms. Toni Patterson, Director of Organizational Development, presented an overview of the upcoming Strategic Planning Focus Group sessions including information on the role of Board members, the focus group design, and suggested notes for the Board to use for opening each session.  In addition, the Board requested a copy of the moderator’s discussion guide and a list of individuals scheduled to attend. 

There being no further business before the Board, Chairman Edwards adjourned the workshop at 8:08 p.m.

 

Respectfully submitted,

                                                                       

                                                                                                                                         

Approved:                                                                    Dianne P. Alexander, Clerk of the Board

 
                                                                       
Daniel D. Edwards, Chairman