[00:00:09] THE CARROLLTON-FARMERS BRANCH ISD BOARD OF TRUSTEES TO ORDER AT 7:00 PM ON JANUARY 8TH, 2026. BOARD MEMBERS, DISTRICT STAFF MEMBERS AND MEMBERS OF THE AUDIENCE. YOU ARE FREE TO JOIN ME IN STANDING AS MARK DELEO PROVIDES THE MESSAGE, FOLLOWED BY THE READING OF THE PLEDGES BY MYSELF AND THE LEADING OF THE US FLAG BY MARJORIE BARNES. SORRY, THE LEADING. I'M GOING TO LEAD THE US FLAG AND MARJORIE IS GOING TO LEAD THE TEXAS FLAG. AND HERE WE GO. GOOD AFTERNOON. I WANT TO SAY THANK YOU TO MR. CHAPMAN, MR. SHACKMAN, FOR COVERING MY SNAFU SCHEDULING IN NOVEMBER. SO THANK YOU FOR COVERING FOR ME. I APPRECIATE THAT LAST MINUTE NOTICE. LET'S GO TO THE LORD IN PRAYER. FATHER, WE LOVE YOU THIS EVENING. WE THANK YOU FOR THE OPPORTUNITY THAT WE HAVE TO COME. WE THANK YOU, LORD, FOR THIS BODY THAT ACKNOWLEDGES THE NEED FOR DIVINE WISDOM AND GUIDANCE. WE PRAY, LORD, THAT YOU PROVIDE OVERSIGHT FOR THIS BOARD AS THEY COLLABORATE WITH DOCTOR ELDREDGE AND THE DISTRICT ADMINISTRATION AS THEY SEEK TO MANAGE AND NAVIGATE FINANCIAL SHORTFALLS, FALLING BIRTH RATES, STUDENT ENROLLMENT, CONSTRUCTION PROJECTS, ALL THAT GOES IN MANAGING A DISTRICT. WE THANK YOU, LORD, FOR JUST THE TIME AND EFFORT THESE INDIVIDUALS PUT IN TO ADVANCE THE EDUCATION OF OUR STUDENTS. WE PRAY FOR OUR PRINCIPALS. WE PRAY FOR OUR TEACHERS EMPLOYEES TO BE GOOD STEWARDS OF OUR RESOURCES, THE GREATEST OF WHOM ARE OUR STUDENTS. WE ACKNOWLEDGE THESE ARE CHALLENGING DAYS ON MANY FRONTS. WE NEED YOUR DIRECTION. WE NEED YOUR DISCRETION TO PREPARE AND EQUIP THESE STUDENTS TO FLOURISH. MAY WE BE STRETCHED AND CHALLENGED WHERE NEED BE. MAY WE EXERCISE COMPASSION AND COMMUNICATE WITH THE GRACE THAT YOU'VE EXTENDED TO US. WE PRAY, LORD, THAT YOU WOULD HELP US TO PLANT TREES UNDER WHOSE SHADE WE MAY NEVER SIT. MAY WE NURTURE THESE TENDER SHOOTS TO EXTEND OUR INFLUENCE EXPONENTIALLY. MAY WE SEE OUR ROLES AS LEGACY INVESTORS THAT CHART AN UPWARD TRAJECTORY FOR FUTURE GENERATIONS. WE THANK YOU, LORD, FOR ALL YOU DO FOR US. WE NEED YOUR WISDOM AND GUIDANCE. WE ASK IT ALL IN JESUS NAME. AMEN. THE UNITED STATES OF AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS. ONE NATION UNDER GOD, INDIVISIBLE, WITH LIBERTY AND JUSTICE FOR ALL. I PLEDGE ALLEGIANCE TO THE TEXAS ONE STATE UNDER GOD, ONE INDIVISIBLE. ALL RIGHT. WELL, WELCOME TO THE FIRST MEETING OF 2026. I'M SURE WE ARE ALL PRACTICING OUR ABILITY TO WRITE 2026 INSTEAD OF 2025, SO IT'S EXCITING TO WELCOME A NEW YEAR AFTER THE JOYFUL HOLIDAY SEASON. AND HOPEFULLY EVERYBODY IS REFRESHED AFTER THE HOLIDAY BREAK. SO LET'S KICK OFF THE SPRING SEMESTER. AS A DISTRICT, WE DEDICATE OUR EFFORTS AND RESOURCES TO OUR GOAL OF HIGH EXPECTATIONS FOR ALL. THE BOARD USES THIS GOAL TO GUIDE EVERY DELIBERATION, DECISION, AND ACTION AS ELECTED TRUSTEES. THE BOARD IS RESPONSIBLE FOR PROVIDING OVERSIGHT, SETTING A STRATEGIC DIRECTION OF THE DISTRICT, AND ENSURING ACCOUNTABILITY ALL IN THE SERVICE OF STUDENT ACHIEVEMENT. YOU WILL WITNESS THE BOARD CONDUCTING ITS WORK IN OPEN SESSION, EXCEPT FOR SPECIFIC ITEMS THAT MAY BE DISCUSSED IN CLOSED SESSION, AS PERMITTED UNDER TEXAS GOVERNMENT CODE SECTION 551, COMMONLY KNOWN AS THE OPEN MEETINGS LAW, THESE ITEMS TYPICALLY INVOLVE PERSONNEL MATTERS, CONSULTATION WITH OUR ATTORNEY, OR REAL ESTATE TRANSACTIONS. AS WE MOVE THROUGH THE AGENDA TONIGHT, IT IS IMPORTANT TO REMEMBER THAT WE ARE IN THE BUSINESS OF SUPPORTING KIDS. WITH THAT IN MIND, WE ASK THAT EVERYONE PRESENT AND MODEL RESPECTFUL, RESPONSIBLE AND CONSTRUCTIVE BEHAVIOR AS THIS MODEL IS WHAT WE EXPECT OF OUR STUDENTS. FOR THE RECORD, BOARD MEMBERS PRESENT ARE KIM BRADY, ILIANA GARZA ROJAS, MARJORIE BARNES, CAROLYN BENAVIDES, PAUL GILMORE, RANDY SCHEKMAN, AND MYSELF, CASSANDRA HATFIELD. WE CONSTITUTE A QUORUM AND WE MAY CONDUCT BUSINESS ON BEHALF OF [2. Special Presentations and Recognitions] THE DISTRICT. OUR NEXT AGENDA ITEM IS ITEM NUMBER TWO. SPECIAL PRESENTATIONS AND RECOGNITIONS. MISS RODRIGUEZ, I'LL TURN IT OVER TO YOU. THANK YOU. GOOD EVENING, PRESIDENT HATFIELD. ESTEEMED BOARD MEMBERS AND DOCTOR ELDREDGE. TONIGHT, WE'D LIKE TO TAKE A MOMENT TO RECOGNIZE TAMARA HARRINGTON AND JOEY RODRIGUEZ FOR THEIR OUTSTANDING WORK AS FACILITATORS IN DRIVING MEANINGFUL STUDENT OUTCOMES FOR NEARLY ONE YEAR. TAMARA, I WANT TO ALWAYS SAY TAMARA, TAMARA AND JOEY HAVE CONSISTENTLY GONE ABOVE AND BEYOND TO SUPPORT OUR [00:05:05] BOARD AND STAFF. THEIR DEDICATION, PREPARATION, AND THOUGHTFUL GUIDANCE HELP TURN GOALS INTO ACTION AND ENSURE THAT STUDENT SUCCESS REMAINS AT THE CENTER OF EVERY CONVERSATION. THROUGH THEIR COLLABORATION, PROBLEM SOLVING, AND UNWAVERING COMMITMENT, THEY HELP CREATE THE CONDITIONS FOR GROWTH AND ACHIEVEMENT ACROSS OUR ORGANIZATION. THEIR SUPPORT DOES NOT GO UNNOTICED, AND THE IMPACT IS REFLECTED IN THE PROGRESS WE SEE EVERY DAY. PLEASE JOIN ME IN EXTENDING A GRATITUDE FILLED THANK YOU ON BEHALF OF THE BOARD AND THE DISTRICT TO TAMARA AND JOEY FOR THEIR LEADERSHIP, DEDICATION AND CONTINUED COMMITMENT TO SERVING STUDENTS. THANK YOU VERY MUCH. THROUGH OUR PARTNERSHIP WITH CHICK FIL A TRINITY MILLS, WE HONOR THOSE WHO DEMONSTRATE EXCELLENCE WITH THE CFB CHAMPION AWARD. THIS MONTH, WE HAVE THE SPECIAL OPPORTUNITY TO HONOR OUR VERY OWN KIM HALL, COUNSELOR AT MCKAMY ELEMENTARY. FOR THE PAST EIGHT YEARS, SHE HAS LED THE DISTRICT'S DAY OF GIVING AN ANNUAL TRADITION, PROVIDING MORE THAN 500 FROZEN TURKEY DINNERS TO FAMILIES ACROSS CFBISD, SHOWCASING THE POWER OF OUR COMMUNITY COMING TOGETHER. HER IMPACT EXTENDS FAR BEYOND ONE EVENT, HALL LAUNCHED THE MCKAMY PANTRY, GIVING STUDENTS DAILY ACCESS TO SNACKS AND FAMILIES ACCESS TO MEALS WHEN THEY NEED THEM MOST. SHE ALSO PARTNERS WITH THE METRO MOBILE PANTRY TO BRING FRESH PRODUCE TO CAMPUSES, AND HAS EXPANDED THE MCKAMY FOOD PANTRY TO SUPPORT OTHER CAMPUSES. KIM HALL IS MORE THAN A LEADER. SHE IS A TRUE CHAMPION FOR OUR SCHOOLS AND COMMUNITY. PLEASE JOIN ME IN CONGRATULATING OUR CFP CHAMPION KIM HALL. AND BOARD MEMBERS. IF Y'ALL WANT TO MAKE YOUR WAY TO THE CENTER OF THE DAIS THAT WE. YOU'LL BE PART OF THE PICTURE AS WELL. WHO'S NOT GOING TO BE. YOU GOT THE PURPLE TIE. WE GOT A BIG GROUP. THERE WE GO. COME HERE. THANK YOU. AND FOR OUR FINAL RECOGNITION EACH JANUARY, WE HONOR OUR SCHOOL BOARD MEMBERS WHO SELFLESSLY SERVE OUR COMMUNITY. TRUSTEES ARE ELECTED OFFICIALS WHO DEDICATE THEIR TIME AND ENERGY TO ENSURING THE SUCCESS OF ALL STUDENTS AND STAFF. THESE LEADERS COMMIT THEMSELVES TO THIS IMPORTANT WORK ON A VOLUNTEER BASIS. TRUSTEES. AS PART OF THE SPECIAL RECOGNITION, OUR CAMPUSES HAVE SHOWN THEIR APPRECIATION WITH SPECIAL GIFTS IN THE PACKAGES THAT YOU SEE ACROSS THE ROOM, AND WE HAVE ALSO INVITED OUR CFB STUDENT AMBASSADORS, MARCONI RUIZ FROM CREEKVIEW HIGH SCHOOL AND VALERIE TRAN FROM NEWMAN SMITH HIGH SCHOOL, WHO WILL SHARE A FEW REMARKS IN YOUR HONOR. AND JUST NOTICE THEIR NEW JACKETS. THE FIRST. THE 2026 SCHOOL BOARD RECOGNITION THEME IS OUR FUTURE IS PUBLIC. THIS THEME IS PARTICULARLY FITTING FOR THE SEVEN INDIVIDUALS WHO BELIEVE IN THE POWER OF PUBLIC EDUCATION AND SERVE ON OUR BOARD OF TRUSTEES. WE WANT TO THANK THE SCHOOL BOARD FOR YOUR DEDICATION TO MAKING CFB ISD A PLACE WHERE WE CAN LEARN, GROW, AND THRIVE. YOUR COMMITMENT TO OUR EDUCATION AND FUTURE IS INSPIRING. THE TIME AND EFFORT YOU PUT INTO LISTENING TO OUR VOICES AND CONSIDERING OUR NEEDS DOES NOT GO UNNOTICED. YOU MAKE US FEEL VALUED AND HEARD AND THAT MOTIVATES US TO LEARN AND BE BETTER CITIZENS. THANK YOU FOR MAKING TOUGH DECISIONS THAT ENSURE OUR SCHOOLS REMAIN SAFE, SUPPORTIVE AND WELL RESOURCED LEARNING ENVIRONMENTS. WE KNOW THIS WORK [00:10:04] ISN'T EASY, BUT WE SEE THE POSITIVE IMPACT IN OUR CLASSROOMS AND ACROSS OUR CAMPUSES. TRUSTEES. PLEASE JOIN US ON THE FLOOR AS WE ANNOUNCE YOUR NAME TO BE RECOGNIZED FOR YOUR SERVICE TO OUR CFB FAMILY. IT IS GOOD. CASSANDRA HATFIELD. KIM BRADY, VICE PRESIDENT, TERM 2025 TO 2028. ILIANA GARCIA ROJAS, SECRETARY. MARJORIE BARNES, MEMBER. CAROLYN BENAVIDEZ, MEMBER. PAUL GILMORE, MEMBER. RANDY SCHEKMAN MEMBER. AND IF Y'ALL CAN PLEASE COME TO THE MIDDLE SO WE CAN GET A BIG GROUP PHOTO. WE WANT TO THANK YOU FOR THE SERVICE THAT Y'ALL PROVIDE US EVERY SINGLE DAY. PEOPLE DON'T KNOW HOW MUCH Y'ALL DO FOR OUR DISTRICT. AND SO WE'RE SHOWING OUR GRATITUDE AND APPRECIATION THIS MONTH. BUT WE SHOW IT EVERY DAY. SO THANK YOU. THIS GROUP DOES NOT DO VERY WELL WITH RECOGNITIONS BECAUSE WE LIKE TO RECOGNIZE OTHERS. SO THANK YOU VERY MUCH FOR THE RECOGNITION. BUT I ALSO WANT TO ACKNOWLEDGE THE GREAT CFB CHAMPIONS THAT WE HAVE TONIGHT IN THE GREAT WORK THAT HAPPENS AT MCKAMY AND FOR KIDS BECAUSE OF THE WORK THAT YOU DO. AND THEN TO TAMARA AND JOEY, THANK YOU SO MUCH FOR SUPPORTING US AS WE GO THROUGH AND WORK ON GOALS TO CONTINUE TO STRENGTHEN THIS DISTRICT, BECAUSE THAT'S ONE OF OUR MAIN FOCUSES, IS MAKING SURE THAT WE HAVE THE DIRECTION, THE DISTRICT IN MIND, AND WE'RE KEEPING THAT TOP AND PRESENT. AND SO WE REALLY APPRECIATE THE WORK THAT YOU ALL DO. AND WITH THAT, I'LL MOVE TO ITEM TWO B, WHICH IS THE PRESIDENT'S REPORT. AND RIGHT ALONG WITH THE THEME OF THIS MONTH, IN AN EFFORT TO SHARE INFORMATION WITH OUR COMMUNITY ABOUT THE ROLE OF A SCHOOL BOARD TRUSTEE, WE, THE BOARD WILL BE HOSTING A COMMUNITY SESSION ENTITLED WHAT DOES A BOARD MEMBER DO? THIS SESSION WILL TAKE PLACE ON JANUARY 29TH FROM 6 TO 7 P.M. RIGHT HERE IN THE BOARDROOM, BOARD MEMBERS ARE GOING TO SHARE INFORMATION ABOUT THE ROLE OF THE BOARD AND CONNECT TO THE TANGIBLE EXAMPLES OF THE WORK THAT WE DO HERE IN THE DISTRICT. SO IF YOU'RE INTERESTED IN LEARNING MORE ABOUT BOARD SERVICE OR HAVE EVER CONSIDERED RUNNING AS A TRUSTEE POSITION, THIS SESSION IS A GREAT OPPORTUNITY TO LEARN MORE ABOUT THIS VOLUNTEER ROLE. AND YOU JUST COME TO THE BOARD ROOM AND WE WILL DO A PRESENTATION AND HELP YOU LEARN MORE. THAT'LL ALSO GET POSTED ON THE WEBSITE. AND SO WE HOPE YOU'LL JOIN US JUST TO LEARN MORE ABOUT THE WORK THAT WE DO FOR THE DISTRICT. ADDITIONALLY, THIS YEAR'S SCHOOL BOARD ELECTION WILL BE HELD ON MAY 2ND AND THE FILING PERIOD OPENS FOR ON JANUARY 14TH AND CLOSES ON FEBRUARY 14TH. I MAY HAVE THE DATE WRONG BY ONE DAY. 13TH. THANK YOU AT 5:00 PM. AS PART OF THE REGULAR ROTATION, TWO SEATS ON THE BOARD WILL BE ON THE BALLOT. SO FOR MORE INFORMATION AND TO VERIFY THE INFORMATION I JUST SAID ABOUT FILING, PLEASE LOOK ON THE DISTRICT WEBSITE FOR KEY ELECTION TIMELINES. AND THAT IS CFBISD EDU AND NAVIGATE TO THE BOARD OF TRUSTEES WHERE YOU'LL FIND ELECTION INFORMATION. AND THAT CONCLUDES MY PRESIDENT'S REPORT. WE'LL MOVE ON TO COMMITTEE REPORTS BOARD SUBCOMMITTEES. SO IN ADDITION TO BEING BEHIND THIS LOVELY DAIS ONCE A MONTH FOR A REGULAR BOARD MEETING, OUR BOARD ALSO SERVES ON BOARD SUBCOMMITTEES, WHICH IS A SUBCOMMITTEE OF THE BOARD THAT WORKS COLLABORATIVELY TO SUPPORT A PARTICULAR AREA AND PREPARE DRAFT DOCUMENTS OR OTHER WORK PRODUCTS FOR THE BOARD'S REVIEW AND THE ADOPTION BY SERVING ON THESE SUBCOMMITTEES. SO YOU CAN SEE WHO SERVES ON THOSE SUBCOMMITTEES THERE ON THE SCREEN. BOARD MEMBERS, DO WE HAVE ANY UPDATES FROM OUR BOARD SUBCOMMITTEES, MISS BARNES? THE GOVERNANCE COMMITTEE MET DECEMBER 10TH AND AGAIN, I BELIEVE, DECEMBER 13TH. SOMETHING ABOUT SOMETHING LIKE THAT. ANYWAY, WE MET TWICE TO GO OVER THE 126 UPDATE, AND WE WERE ABLE TO GET THROUGH ALL OF THAT AND COMPILE OUR COMMENTS [00:15:02] AND ANY RECOMMENDATIONS WE HAVE, AND SEND THOSE BACK TO THE DISTRICT. THANK YOU VERY MUCH. SO AS YOU KNOW, THE LEGISLATIVE SESSION WAS QUITE LARGE THIS LAST SESSION. AND SO OUR ROLE IS THAT WE ENSURE THAT THE LOCAL POLICIES THAT ARE GOING TO BE CONSIDERED CONSIDERED BY THE BOARD HAS BEEN REVIEWED BY THE SUBCOMMITTEE. AND SO THAT WORK IS REALLY IMPORTANT TO THE WORK THAT WE DO. ARE THERE ANY OTHER UPDATES FROM COMMITTEES? ALL RIGHT. OUR OTHER WORLD THAT WE SERVE IS A LIAISON TO DISTRICT COMMITTEES. SO THE ROLE OF A DISTRICT LIAISON IS TO FACILITATE REGULAR AND SMOOTH COMMUNICATION TO AND FROM THE BOARD, AND TO PROVIDE SUPPORTIVE INFORMATION ON THESE COMMITTEES. THESE COMMITTEES ARE DISTRICT COMMITTEES, AND WE SERVE IN THE CAPACITY OF AN EX OFFICIO MEMBER, SO THAT WE CAN HAVE UPDATES ON THOSE PROVIDED TO THE BOARD. BOARD MEMBERS, DO WE HAVE ANY UPDATES RELATED TO STUDENT ACHIEVEMENT OR THINGS THAT WE'D LIKE TO SHARE WITH EACH OTHER ABOUT THESE COMMITTEES? ALL RIGHT. AND THE BOARD KEEPS THE MEETING MINUTES FOR THOSE OR THE BOARD. THE DISTRICT KEEPS THE MEETING MINUTES FOR THE DISTRICT LIAISON COMMITTEES. OUR NEXT UPDATE IS DISTRICT ANNOUNCEMENTS, DOCTOR ELDRIDGE. OKAY, WELL, I HAVE ONE IMPORTANT RECOGNITION, AND THAT IS WE HAD A PRINCIPAL VACANCY RIGHT AT THE BREAK. AND SO I HAVE TWO NEW PRINCIPALS HERE TONIGHT THAT I WANT TO RECOGNIZE. THE FIRST ONE, ISAIAH, WAS A PRINCIPAL AT BLAYLOCK FOR ONE SEMESTER. AND I CALLED HIM IN AND I SAID, GUESS WHAT? YOU'RE GOING BACK TO YOUR HIGH SCHOOL. AND DUE TO THE FACT THAT BLAYLOCK WAS UNDER CONSTRUCTION, HIS BOXES WERE ALREADY PACKED. SO IT KIND OF WORKED OUT. SO, ISAIAH, IF YOU WOULD STAND, PLEASE, SO WE CAN RECOGNIZE YOU AND THANK YOU FOR EVERYTHING YOU DO. I WILL TELL YOU THEY WERE YOU KNOW, THE FIRST TEXT I RECEIVED WAS FROM THE FOOTBALL COACH THAT SAID, THANK YOU, DOCTOR E, OUR MAN IS COMING BACK. SO ANYWAY, SO ISAIAH, THANK YOU SO MUCH FOR ALL THE WORK YOU DO FOR KIDS AND FOR THE LAST MINUTE. HOPE YOU GOT SOME REST AND YOU DIDN'T SPEND ALL YOUR TIME MOVING. AND THE SECOND ONE IS BRIAN ANDERSON. BRIAN, IF YOU'LL STAND HE IS THE NEW PRINCIPAL AT BLAYLOCK. HE WAS THE ASSISTANT PRINCIPAL AT CREEKVIEW. MR. ANDERSON, COULD YOU TELL ME HOW MANY STEPS YOU GOT TODAY AT YOUR NEW 15,600? HE ALWAYS TELLS ME HIS STEPS. AND I WAS LIKE, YOU KNOW, CREEKVIEW IS LARGE, BUT BLAYLOCK IS SO THANKFUL TO HAVE YOU. AND AND WE JUST APPRECIATE BOTH OF YOU FOR THE LAST MINUTE. COME TO MY OFFICE AND CONGRATULATIONS. SO I JUST AM SO THANKFUL THAT YOU'RE WITH OUR STUDENTS AND AND THAT YOU CONTINUE TO LOVE THEM AND GUIDE THEM IN THE MOST NEEDED TIME IN MIDDLE SCHOOL AND HIGH SCHOOL. SO THANK YOU. AND I WANTED TO MAKE SURE WE RECOGNIZED YOU. I ALSO WANT TO THANK OUR COMMUNITY DURING THE HOLIDAYS. IT WAS AMAZING. IT WAS OVERWHELMING TO ME. NOT ONLY DID WE HAVE SUCH GREAT THINGS THAT MCCAMEY AND GIVE TO SO MANY OF OUR FAMILIES, BUT I JUST WANT TO MENTION SOME OF OUR GREAT PARTNERS THAT HELPED US GIVE GIFTS TO KIDS, GIVE MEALS TO FAMILIES, AND JUST HELP ALL OF THOSE IN NEED IN OUR OUR CAMPUSES AND OUR COMMUNITY. BRANCHING OUT WITH LOVE. HONEYCOMB OF HEALTH, THE MAKE IT COUNT FOUNDATION, THE HEARTLAND CHURCH, VALLEY RANCH BAPTIST CHURCH, AND BENT TREE BIBLE FELLOWSHIP WERE AMAZING DONORS. THE MICHAEL FINLEY FOUNDATION IT WAS INCREDIBLE TO SEE JUST HOW EVERYBODY CAME TOGETHER AND, YOU KNOW, THE ENDLESS HOURS OF VOLUNTEERS. SO I JUST WANT TO MAKE SURE WE RECOGNIZE THE GENEROSITY OF OUR COMMUNITY. THE NEXT THING I WANT TO ALSO RECOGNIZE IS THAT OUR SCHOOL BOARD, WE'VE GIVEN YOU CERTIFICATES, BUT THAT'S NOT ENOUGH. AND AS YOU THINK ABOUT A TEAM, I HAVE SEVEN BOSSES. I DON'T KNOW ANYBODY THAT HAS SEVEN BOSSES, BUT WE ALL HAVE DIFFERENT PERSONALITIES. BUT I THINK THE ONE THING, AND I'M SO THANKFUL THAT TAMARA AND JOEY ARE HERE, IS THAT WE ALL BELIEVE IN STUDENTS, AND WE BELIEVE NOT ONLY IN THE STUDENTS, BUT WE BELIEVE IN THE STAFF AND THE FAMILIES. AND YOU CAN'T READ WHAT'S ON FACEBOOK ALL THE TIME, BECAUSE THE HARD WORK THAT HAPPENS AND THE DECISIONS WE HAVE TO MAKE ARE ALWAYS IN THE BEST INTEREST OF WHAT WE WANT TO DO FOR OUR STUDENTS AND PROVIDE THEM THE BEST. AND I CAN'T THANK THE TEACHERS AND STAFF ENOUGH FOR BEING HERE, BECAUSE IT IS A SCHOOL NIGHT AND IT'S BEEN A, YOU KNOW, IT'S HARD TO COME BACK AFTER A HOLIDAY. WE KNOW. SO THANK YOU ALL FOR EVERYTHING YOU DO, AND I'M SO GLAD YOU'RE HERE BECAUSE WE HAVE A VERY SPECIAL ANNOUNCEMENT TO MAKE. AND I THINK WE HAVE A SLIDE. AND THAT IS WE ARE IN THE TOP FIVE DISTRICT FINALISTS FOR THE H-E-B EXCELLENCE SCHOOL DISTRICT AWARD. AND OUT OF ALL THE SCHOOL DISTRICTS IN TEXAS, WE'RE IN THE TOP FIVE. AND SO MAY 3RD, WE THEY'RE GOING TO COME VISIT US. WE DO A SITE VISIT, AND WE'RE GOING TO WIN. WE'RE GOING TO WIN. WE ARE THE BEST DISTRICT. AND SO THIS IS THIS IS HUGE FOR OUR DISTRICT. AND SO THIS WILL BE OUR COMMUNICATIONS DEPARTMENT WILL BE SOCIAL MEDIA. BUT YOU ARE [00:20:03] THE FIRST ONES TO FIND OUT. WE ARE IN THE TOP FIVE OF THE BEST SCHOOL DISTRICTS ACCORDING TO H-E-B. SO THERE'S A YOU KNOW, IT'S NOT A IT'S IT'S A IT'S A TESTAMENT TO EVERYBODY'S HARD WORK AND PASSION. AND THAT'S WHAT MAKES THE FAMILY SPECIAL. SO I'M SO EXCITED. I MEAN, I JUST WANT TO JUMP UP AND GO, OH MY GOSH, WE DID THIS. SO YOU'LL SEE IT ON SOCIAL MEDIA. I'M NOT GOING TO ANNOUNCE THE OTHER OUR COMPETITION BECAUSE IT'S ABOUT US. SO ANYWAY, SO WITH THAT THAT IS THE DISTRICT ANNOUNCEMENTS. WELL THAT WAS QUITE AN ANNOUNCEMENT. CONGRATULATIONS. I THINK THE THIS TESTAMENT GOES TO THE PEOPLE IN THIS ROOM, THE STUDENTS, THE STAFF, THE ADMINISTRATION, THE WORK THAT YOU GUYS DO ON A DAY TO DAY BASIS IS WHAT REALLY MATTERS. AND WHAT WE'RE DOING IS CLOSING ACHIEVEMENT GAPS AND HELPING KIDS AND MAKING A DIFFERENCE IN THEIR FUTURE. AND THAT'S GOING TO SHINE THROUGH WHEN THEY COME SEE THE GREAT WORK HAPPENING IN THIS DISTRICT. AND YEAH, WE'RE GOING TO WIN. LET'S DO IT. OKAY. WELL OUR NEXT ITEM IS THE UPDATE FROM PTA, WHICH IS ITEM TWO E. AND I'LL TURN IT OVER TO MISS NUNEZ. TEAM BOARD. I AM DEANNA NUNEZ, AND I'M PROUD TO SERVE AS THE VP OF MEMBERSHIP FOR THE CFP COUNCIL OF PTAS. RIGHT NOW, CURRENTLY WE HAVE 5386 MEMBERS. WE ARE 87% OF LAST YEAR'S TOTAL, AND ANYONE CAN JOIN PTA. GO TO WW. OR YOU CAN BECOME ONE OF OUR CFP CHAMPION MEMBERS BY JOINING ALL OF OUR PTA HERE, OR OF ONE OF THE HIGH SCHOOL FEEDER PATTERNS AT CFB PTA. HERE ARE A FEW DATES TO REMEMBER. JANUARY 14TH AT 530 AT THE NANCY WHARTON CENTER. WE WILL BE HAVING OUR NEXT DELEGATE MEETING ALSO ON JANUARY 14TH AT 630 AT THE WHARTON CENTER. WE WILL HAVE OUR REFLECTION CELEBRATION CEREMONY. THANK YOU TO ALL THE SCHOOLS WHO PARTICIPATED IN THE NATIONAL PTA REFLECTION CONTEST THIS YEAR, JANUARY 25TH FROM 1 TO 3 AT THE CAFE BRAZIL AND JOSE WILL HAVE OUR NEXT COFFEE WITH COUNCIL. THE COUNCIL BOARD WILL BE THERE TO HELP YOU WITH ANY QUESTIONS THAT YOU MAY HAVE FOR THE SPRING SEMESTER, FEBRUARY 7TH FROM 9 TO 12 AT THE NANCY WHARTON, WE WILL HAVE OUR SPRING EXTRAVAGANZA. THIS IS OUR SPRING TRAINING EVENT FOR THE THINGS LIKE ELECTIONS AND END OF YEAR RESPONSIBILITIES. COME LEARN A LITTLE OR A LOT. AND AS YOU CAN FIND ALL OF OUR EVENTS ON OUR WEBSITE. YOU CAN PURCHASE OUR DISTRICT COUNCIL SHIRTS, JOIN A CHAMPION MEMBERSHIP, OR READ OUR SECOND ADVOCACY NEWSLETTER THAT IS THERE. EACH MONTH WE HAVE A PTA CHALLENGE AND THE JANUARY CHALLENGE IS WELLNESS WINS. HEALTHY MINDS, BODIES AND COMMUNITIES. BE ON THE LOOKOUT FOR THE MORE INFORMATION ABOUT THAT THIS WEEK. TONIGHT, I DO HAVE THE HONOR OF PRESENTING THE DECEMBER CHALLENGE AWARDS, THE GOLDEN APPLE AWARD TO OUR PRINCIPALS AND OUR PTA PRESIDENTS TO RECEIVE THE COVETED GOLDEN APPLE. 100% OF FULL TIME STAFF MEMBERS, ADMINISTRATORS, OFFICE PERSONNEL, AND FULL TIME AIDES AND COUNSELORS MUST JOIN THEIR SCHOOL'S PTA. MANY HAVE TRIED, BUT ONLY A FEW HAVE SUCCEEDED. TONIGHT, WE HAVE TEN SCHOOLS WHO WILL BE RECEIVING OUR GOLDEN APPLE AWARD, AS I CALL YOU. YOU CAN COME UP WITH YOUR PRESIDENT AND YOUR PRINCIPAL TO RECEIVE YOUR HONOR. OUR ELEMENTARY SCHOOL, WE HAVE LA VILLITA ELEMENTARY. WE HAVE KENT ELEMENTARY. I'M SORRY. ALL RIGHT. ROSEMEAD ELEMENTARY. RAINWATER ELEMENTARY. AND COUNTRY PLACE. FOR OUR SECONDARY. DO YOU WANT TO DO ELEMENTARY OR DO YOU WANT ALL OF THEM OKAY. FOR SECONDARY, WE HAVE NEWMAN SMITH. BLAYLOCK MIDDLE SCHOOL. DEWITT PERRY MIDDLE SCHOOL. THANK YOU. POLK MIDDLE SCHOOL AND EARLY COLLEGE. [00:25:09] LAST YEAR, THEY RECEIVED BANNERS AND THEIR LITTLE GOLDEN APPLES WILL BE PRESENTED TO THEM NEXT WEEK AT OUR DELEGATE MEETING. THANK YOU FOR YOUR CONTINUED SUPPORT AND ADVOCACY FOR CHILDREN. TOGETHER WE ARE PTA. OKAY, I'M SO. CONGRATULATIONS TO ALL THE HARD WORK THAT GOES INTO SECURING THE GOLDEN APPLE AND TO OUR OUR STAFF AND FACULTY FOR ENGAGING IN THAT PROCESS. AND WE COULDN'T DO SCHOOL WITHOUT PTA. SO WE'RE SO THANKFUL FOR ALL THE WORK OF OUR PTAS AT THIS TIME. WE DO WANT TO GIVE A BRIEF PAUSE. WE REALIZE IT'S A SCHOOL NIGHT, AND WE HAVE MANY TEACHERS AND STUDENTS IN THE AUDIENCE. IF YOU WOULD LIKE TO STEP OUT OF THE MEETING, NOW'S A GREAT OPPORTUNITY TO DO THAT. OF COURSE, YOU ARE ALWAYS WELCOME TO STAY. WE HAVE A GREAT FUN NIGHT PLANNED AHEAD. [3. Audience for Guests] O OUR NEXT AGENDA ITEM IS ITEM NUMBER THREE ORDINANCE FOR GUESTS. PERSONS WHO WISH TO SPEAK DURING ORDINANCE FOR GUESTS MUST HAVE ELECTRONICALLY SUBMITTED AN ONLINE FORM FOR THIS PURPOSE PRIOR TO THE DEADLINE AND CLOSING OF THE FORM AT 1 P.M. TODAY. AS OF THE POSTED DEADLINE, WE HAVE TWO SUBMISSIONS TO ADDRESS THE BOARD. BEFORE I BEGIN, I WILL REMIND OUR AUDIENCE MEMBERS OF THE BOARD'S PROCEDURES FOR HANDLING AUDIENCE FOR GUESTS. EACH SPEAKER IS ALLOWED TO SPEAK ONCE DURING AUDIENCE FOR GUESTS, AND SPEAKERS ARE DESIGNATED AS STAKEHOLDERS FOR A MAXIMUM OF THREE MINUTES AND NON STAKEHOLDERS A MAXIMUM OF ONE MINUTE TO ADDRESS THE BOARD AS DICTATED BY BOARD POLICY. LOCAL. BECAUSE THE BOARD WANTS TO HEAR FROM AS MANY AS POSSIBLE. WE ALSO WANT TO KEEP THE MEETING MOVING EFFICIENTLY. GROUPS OF FIVE OR MORE WHO WANT TO PRESENT A PARTICULAR VIEWPOINT ON A TOPIC SHOULD APPOINT ONE PERSON TO SPEAK ON THEIR BEHALF. PLEASE REMEMBER THAT THE BOARD CANNOT DELIBERATE ON ANY SUBJECT THAT IS NOT INCLUDED ON THE AGENDA FOR THIS MEETING. BOARD MEMBERS WILL LISTEN TO COMMENTS BUT WILL NOT RESPOND OR ANSWER QUESTIONS. RECOGNIZING THAT STUDENTS ARE AT THE HEART OF OUR WORK, WE ASK THAT SPEAKERS MODEL THE RESPECTFUL AND CONSTRUCTIVE BEHAVIOR WE EXPECT FROM OUR STUDENTS. PLEASE KEEP YOUR COMMENTS CIVIL AND COURTEOUS. AVOID PROFANITY AND PERSONAL ATTACKS. REFRAIN FROM DISCUSSING STUDENTS WHO ARE NOT YOUR OWN CHILD AND YELLING, DISRUPTIVE BEHAVIOR OR DISCRIMINATORY REMARKS WILL NOT BE PERMITTED. IN THE EVENT THAT YOUR COMMENT AND THE JUDGMENT OF THE PRESIDING OFFICER CONSTITUTES A COMPLAINT OR CHARGE AGAINST AN EMPLOYEE OR OFFICER, IT MAY BE NECESSARY FOR ME TO INTERRUPT YOU AND ASK YOU TO STOP AND DIRECT YOU TO THE DISTRICT'S FORMAL GRIEVANCE POLICY AND PROCEDURES. IF A SPEAKER IS SEEKING BOARD RESOLUTION ON A SPECIFIC COMPLAINT, THAT CONCERN SHOULD BE ADDRESSED THROUGH THE GRIEVANCE PROCESS, WHICH CAN BE FOUND ONLINE, INCLUDING POLICIES GBA, F AND G F. GRIEVANCE FORMS CAN BE OBTAINED ONLINE THROUGH THE DISTRICT'S WEBSITE IN COMPLIANCE WITH THE TEXAS OPEN MEETINGS ACT. PLEASE NOTE THAT AGAIN, THE BOARDS WILL NOT RESPOND TO COMMENTS DIRECTLY AND WILL ADDRESS AGENDA ITEMS AS DEEMED NECESSARY WHEN THEY'RE LISTED ON THE AGENDA, THE TIMER WILL BE SHOWN ON THE SCREEN IN FRONT OF YOU. YOU MAY BEGIN, AND WHEN YOUR YOU ARRIVE AT THE PODIUM AGAIN, THE PRESENTATION IS NOT LIMITED TO THE ALLOTTED TIME. OUR STAKEHOLDER COMMENTS WILL BEGIN AND ITS THREE MINUTES. AND OUR FIRST ONE IS BHARMAL. I APOLOGIZE IF I MISPRONOUNCED YOUR NAME. HI, MY NAME IS RADIA. I THINK VALERIE AND MARK COHEN AND DOCTOR ELDRIDGE HAD PUT IT WONDERFULLY, BUT I JUST WANTED TO TAKE A QUICK SECOND TO THANK YOU GUYS FOR EVERYTHING THAT YOU DO. EVEN NOW IN COLLEGE, LIKE CFP HAS BEEN SUCH A BIG PART OF MY UPBRINGING AND EVEN NOW, LIKE ASK MYSELF IF I'M, LIKE MAKING A HARD DECISION IF MRS. MCMILLAN WOULD APPROVE OR IF, LIKE, COACH SHARP WOULD BE PROUD OF ME. AND I THINK Y'ALL ARE TRULY THE BACKBONE OF THAT. FROM PROVIDING SCHOOLS WITH INFRASTRUCTURE, TEACHERS WITH THE RESOURCES, PARENTS WITH THE SKILLS, AND STUDENTS WITH THE MOTIVATION TO BECOME THESE INCREDIBLE, UPSTANDING CITIZENS AND LEADERS. SO THANK YOU GUYS FOR EVERYTHING THAT YOU DO, AND I ENCOURAGE YOU ALL TO KEEP UP THE INCREDIBLE WORK. THANK YOU SO MUCH FOR YOUR COMMENTS. ALL RIGHT. OUR SECOND SPEAKER IS NICHOLAS ORNELAS. NICHOLAS ORNELAS, 1117 EAST VANDERGRIFF DRIVE, CARROLLTON, TEXAS. 75006. BEFORE I ADDRESS AGENDA ITEM FIVE, THERE'S TWO THINGS. AND THE FIRST ONE JUST CAME UP, YOU CONTINUE TO REFERENCE AND CITE UNCONSTITUTIONAL SPEAKER [00:30:05] PARTICIPATION GUIDELINES. SO I'M NOT SURE WHY YOU CONTINUE TO DO THAT. AS YOU'VE CONTINUOUSLY SHOWN YOUR THE PRESIDING OFFICER'S JUDGMENT IS EXTREMELY POOR. I WANTED TO ALLOW VICE PRESIDENT BRADY SOME MORE TIME TO PROVIDE THE SOURCE SHE CITED WHEN REFERENCING THE 950 STUDENTS THAT FEEL THREATENED BY ICE, AND THAT'S WHY THEY DIDN'T RETURN TO THE DISTRICT. I SENT THE EMAIL EARLIER TODAY. I UNDERSTAND IF YOU DON'T GET IT, SO I JUST WANTED TO GIVE YOU SOME TIME. IF YOU HAVE THE SOURCE NOW, YOU COULD PROVIDE IT, WHETHER IT BE EMAIL OR IF YOU COULD COMMIT TO SENDING IT TO ME. THAT'S REALLY ALL I HAVE AND I'LL LEAVE NOW. SO DO YOU. DO YOU HAVE AN HOUR? COULD YOU COMMIT TO SENDING ME THAT, THAT SOURCE THAT YOU HAVE WHEN YOU CITE THAT? AND I KNOW YOU DON'T HAVE TO RESPOND TO ME, YOU HAVE THE OPTION TO. BUT IF YOU DO SIT THERE IN SILENCE, I'M GOING TO TAKE IT AS YOU WERE JUST PULLING THAT NUMBER OUT OF YOUR. SO ARE YOU GOING TO BE ABLE TO COMMIT TO SENDING THAT TO ME OR. EXCUSE ME, SIR, PLEASE MOVE FORWARD. CONTINUE. CONTINUE TALKING. IS THAT WHAT YOU MEAN? SO ARE YOU INTERRUPTING ME, SIR? NO YOU'RE NOT. YES OR NO? CAN I USE PROFANITY AND ATTACK A PERSON? PLEASE CONTINUE. WHAT AM I? WHO AM I ATTACKING? BUT AS YOU'VE DEMONSTRATED, YOU CAN COMMUNICATE WITH ME, RIGHT? SO, MISS BRADY, ARE YOU GOING TO COMMIT TO SENDING ME THAT SOURCE? DO YOU KNOW WHAT I'M TALKING ABOUT? NO, YOU DON'T KNOW WHAT I'M TALKING ABOUT. DON'T RESPOND. IT'S THE EMAIL THAT YOU SENT SOME OF OUR COMMUNITY MEMBERS WHEN THEY WERE ASKING ABOUT THE ENROLLMENT DEFICIT, THE 1200 STUDENTS. YOU SAID THAT DUE TO THE THREAT OF ICE, 950 STUDENTS DID NOT RETURN TO THE DISTRICT. AND I'M JUST ASKING, WHERE ARE YOU GETTING THAT INFORMATION FROM? WAS THAT BECAUSE YOU TOLD US TO GO AND LOOK OR GO LISTEN TO THE ENTIRE PRESENTATION FROM NOVEMBER, RIGHT. WE DID THAT. WE WENT THROUGH ALL THE POWERPOINTS. THERE'S NOTHING THERE CITING ICE OR A THREAT. SO IS THAT SOMETHING THAT WAS PROVIDED TO THE ENTIRE BOARD? ARE THEY IN AGREEMENT THAT 950 STUDENTS DID NOT RETURN TO THIS DISTRICT BECAUSE OF THE THREAT OF ICE? CAN ANYBODY GIVE ME THAT ANSWER? ALL RIGHT, MISS, MISS HATFIELD JUST ANSWERED ME. Y'ALL CAN ANSWER ME. OKAY. YOUR TIME IS EXPIRED. THANK YOU FOR YOUR TIME. GOOD NIGHT. OUR NEXT AGENDA ITEM IS ITEM NUMBER FOUR NON ACTION ITEMS. FOR [4. Non-Action Items for Discussion] DISCUSSION. WE WILL BEGIN WITH ITEM FOUR A BUDGET UPDATE. AND I'LL TURN THE PRESENTATION OVER TO DOCTOR ELDREDGE TO INTRODUCE THE ITEM. SO OUR TEAM HAS BEEN WORKING VERY HARD ON MAKING SURE OUR FINANCES ARE, YOU KNOW, IN ORDER. WE HAVE THE YOU KNOW, OUR HR DEPARTMENT HAS BEEN DOING A GREAT JOB MAKING SURE OUR STAFFING NUMBERS SPECIAL ED IS IS LOOKING AT PROGRAMING. WE'VE ALL BEEN PUTTING OUR RESOURCES TOGETHER, INSTRUCTION. WE'RE LOOKING AT WHAT IS THE BEST FOR ALL STUDENTS AND WHAT IS OUR BOTTOM LINE OPERATING EXPENSES THAT WE CAN ADHERE TO. AND WE HAVE, YOU KNOW, LOST STUDENTS AND WE'RE TRACKING EVERY STUDENT WE LOSE. AND WE HAVE LOTS OF PLANS TO DO. AND SO WITH THAT. CARLOS SETTLE WILL TALK ABOUT OUR BUDGET UPDATE. BUT I JUST WANT TO SAY THAT ANYTIME IT'S LIKE A FAMILY, YOU BRING YOUR FAMILY TOGETHER. AND HERE'S WHAT YOU HAVE. AND WHAT CAN WE DO WITH THE RESOURCES THAT WE HAVE AS A FAMILY TO EDUCATE AND PROVIDE AND HAVE OUR STUDENTS COME BACK FROM COLLEGE AND APPRECIATE OUR EDUCATION? I'M SO THANKFUL YOU CAME BACK TODAY, AND IT'S GOOD TO SEE YOU AND CARLA. WITH THAT, IF YOU'LL LEAD INTO OUR BUDGET UPDATE. WELL, GOOD EVENING, DOCTOR ELDRIDGE, PRESIDENT HATFIELD AND ESTEEMED BOARD. THIS FINANCE UPDATE IS GROUNDED IN BOTH REFLECTION AND RESPONSIBILITY UNDER THE COLLABORATIVE VISION 2030. PRIORITY FIVE OPTIMIZING ALL RESOURCES GUIDES HOW THE DISTRICT STEWARDS TAXPAYER DOLLARS WHILE KEEPING STUDENTS. KEEPING STUDENTS SUCCESS AT THE CENTER OF EVERY DECISION. BEFORE ADDRESSING OUR CURRENT CHALLENGES, IT'S IMPORTANT TO RECOGNIZE THAT THE DISTRICT'S HAS A VERY POSITIVE FINANCIAL TRACK RECORD. SINCE THE INCEPTION OF THE STATE'S FIRST ACCOUNTABILITY SYSTEM, THE DISTRICT HAS CONSISTENTLY EARNED THE HIGHEST FINANCIAL ACCOUNTABILITY RATINGS POSSIBLE. [00:35:01] THIS HISTORY REFLECTS DISCIPLINED GOVERNANCE, CONSERVATIVE FINANCIAL PLANNING, AND A LONG STANDING COMMITMENT TO TRANSPARENCY AND LONG TERM STABILITY. THAT STRONG FOUNDATION MATTERS, ESPECIALLY NOW. PUBLIC AND EDUCATION. PUBLIC EDUCATION IN TEXAS IS EXPERIENCING A CONVERGENCE OF PRESSURES LARGELY OUTSIDE LOCAL CONTROL. STATE FUNDING HAS REMAINED STAGNANT, WHILE FIXED COSTS SUCH AS PAYROLL, BENEFITS, UTILITIES, TRANSPORTATION AND CONTRACTUAL SERVICES CONTINUE TO RISE. AT THE SAME TIME, THE DISTRICT IS EXPERIENCING ENROLLMENT VOLATILITY, DRIVEN BY DEMOGRAPHIC SHIFTS AND INCREASED COMPETITION FROM CHARTER SCHOOLS, PRIVATE SCHOOLS, HOME SCHOOLING, AND MICRO SCHOOL MODELS. COMPOUNDING THIS CHALLENGE IS RECAPTURE, WHICH GROWS EVEN AS ENROLLMENT DECLINES, REQUIRING THE DISTRICT TO SEND MORE LOCAL DOLLARS BACK TO THE STATE WHILE SERVING FEWER STUDENTS. THESE DYNAMICS REQUIRE US TO THINK DIFFERENTLY, MAINTAINING FINANCIAL STABILITY UNDER THESE CONDITIONS CANNOT RELY ON PAST PRACTICES ALONE. SO WE'D LIKE TO TALK ABOUT OUR NEW APPROACH. HISTORICALLY, SCHOOL DISTRICTS, LIKE MANY ORGANIZATIONS, HAVE RELIED ON TRADITIONAL BUDGETING. THIS APPROACH LOOKS AT LAST YEAR'S BUDGET AND ADJUSTS INCREMENTALLY ONE WAY OR THE OTHER. WHILE FAMILIAR, THIS METHOD TENDS TO PROTECT PROGRAMS BASED ON HISTORY RATHER THAN IMPACT, AND IT OFTEN RESULTS IN ACROSS THE BOARD REDUCTIONS INSTEAD OF THOUGHTFUL STRATEGIC DECISIONS IN AN ENVIRONMENT OF STRUCTURAL REVENUE CHALLENGES, THAT APPROACH IS NO LONGER SUFFICIENT. PRIORITY BASED BUDGETING REPRESENTS A DELIBERATIVE, A DELIBERATE SHIFT IN MINDSET. THE APPROACH ALIGNS RESOURCES DIRECTLY WITH THE DISTRICT PRIORITIES ESTABLISHED BY THE BOARD. EVALUATING PROGRAMS NOT PEOPLE, AND EXPLICITLY CONNECTS SPENDING TO STUDENT OUTCOMES. IT ALLOWS US TO ANSWER A CRITICAL QUESTION ARE WE INVESTING IN WHAT MATTERS MOST FOR STUDENTS? GIVEN THE RESOURCES WE HAVE TODAY, NOT THE RESOURCES WE WISH WE HAD? IMPORTANTLY, PRIORITY BASED BUDGETING IS NOT A REACTION TO CRISIS. IT IS A PROACTIVE STRATEGY BUILT ON THE DISTRICT'S HISTORY OF STRONG FINANCIAL GOVERNANCE. THE PRIORITY BASED BUDGETING PROCESS IS STRUCTURED, TRANSPARENT AND DATA DRIVEN. FIRST, THE DISTRICT PRIORITIES ARE CLEARLY DEFINED BY THE BOARD AND ALIGNED TO THE DESIRED STUDENT OUTCOMES. SECOND, ALL PROGRAMS ARE INVENTORIED, INCLUDING ASSOCIATED COSTS AND PERFORMANCE DATA. UNDERSTANDING NOT JUST WHAT WE DO, BUT WHAT EACH PROGRAM COSTS AND WHAT OUTCOMES IT DELIVERS. THIRD, THE PROGRAMS ARE SCORED AND RANKED USING CONSISTENT OBJECTIVE CRITERIA, AND FINALLY, RESOURCES ARE ALLOCATED BY FUNDING HIGHER PRIORITY PROGRAMS FIRST. AND THIS FRAMEWORK ENSURES THAT DIFFICULT DECISIONS, WHEN NECESSARY, ARE MADE THOUGHTFULLY AND CONSISTENTLY, NOT REACTIVELY. PROGRAMS ARE EVALUATED USING MULTIPLE WEIGHTED CRITERIA. SOME OF THESE EXAMPLES ARE LISTED HERE, LIKE. MISSION ALIGNMENT WOULD ASSESS HOW DIRECTLY A PROGRAM SUPPORTS THE DISTRICT CORE MISSION. STUDENT IMPACT EXAMINES MEASURABLE OUTCOMES FOR STUDENTS. COST EFFICIENCY CONSIDERS RESULTS RELATIVE TO THE FINANCIAL, INVESTMENT, COMPLIANCE, AND MANDATES. ENSURE LEGAL AND ACCESS REQUIREMENTS ARE MET, AND ALTERNATIVE AVAILABILITY EVALUATES WHETHER SERVICES COULD BE REASONABLY PROVIDED BY ANOTHER METHOD. TOGETHER, THESE CRITERIAS PROMOTE BALANCED, DEFENSIBLE, AND STUDENT FOCUSED DECISIONS. THE CHALLENGES FACING TEXAS SCHOOL DISTRICTS ARE REAL, BUT THEY ARE NOT INSURMOUNTABLE. PRIORITY BASED BUDGETING PROVIDES A DISCIPLINED, VALUES DRIVEN APPROACH TO FINANCIAL DECISION MAKING. IT'S NOT ABOUT CUTTING FOR THE SAKE OF CUTTING. IT'S ABOUT INVESTING WITH PURPOSE. USING DATA TO PROTECT HIGH IMPACT PROGRAMS, STRENGTHEN ALIGNMENT TO DISTRICT PRIORITIES, AND RESPONSIBLY ADJUST AREAS WHERE OUTCOMES DO NOT JUSTIFY COST. BY ALIGNING OUR RESOURCES WITH WHAT MATTERS MOST, DISTRICTS CAN NAVIGATE UNCERTAINTY WHILE CONTINUING TO SERVE STUDENTS EFFECTIVELY TODAY AND INTO THE FUTURE. THIS ISN'T JUST ABOUT SURVIVING TODAY'S BUDGET CONSTRAINTS. IT'S ABOUT THRIVING AND ADVANCING THE MISSION. SO WE HAVE A TIMELINE THAT WE ARE FOLLOWING, AND THE LAST TWO MONTHS HAVE ENCOMPASSED A GREAT DEAL OF STUDY AND ANALYSIS. MEETING WITH DEPARTMENT LEADERS TO IMPLEMENT THIS NEW APPROACH TO OUR BUDGET. FROM HERE, STRATEGIC DECISIONS REGARDING STAFFING RATIOS AND TRAINING CAMPUS LEADERS ON THIS METHOD WILL KEEP THE BUSINESS OFFICE VERY BUSY. NOW THAT WE HAVE COMPLETED THE AUDIT, WHICH YOU'LL HEAR ABOUT LATER IN THE AGENDA, THE FOCUS IS ON LONG TERM SUSTAINABILITY RATHER THAN SHORT TERM SOLUTIONS, ENSURING THAT CURRENT DECISIONS SUPPORT STUDENTS WHILE PRESERVING FINANCIAL FLEXIBILITY FOR FUTURE YEARS. AT THE NEXT [00:40:05] SCHEDULED BOARD UPDATE IN MARCH, THE BOARD WILL BE ABLE TO REVIEW A MID-YEAR LOOK AT WHERE THE FINANCIAL STATUS OF ALL BOARD APPROVED BUDGETS FOR DEBT SERVICE, CHILD NUTRITION AND THE GENERAL FUND, AS WELL AS AN UPDATE ON A DRAFT FOR THE FY 27 BUDGET. DECISIONS MAY THROUGH AUGUST WILL RESUME THE DISTRICT'S TYPICAL CADENCE OF FINALIZING DRAFT TO ADOPTION FOR THE BUDGET IN AUGUST, AND THIS TIMELINE IS STRUCTURED TO PROVIDE YOU WITH REGULAR UPDATES AND MULTIPLE OPPORTUNITIES FOR INPUT BEFORE FINAL DECISIONS ARE REQUIRED OF YOU. THESE SPECIFIC BOARD UPDATES THROUGHOUT THE PROCESS, DESIGNED IN MARCH, APRIL, AND MAY, WILL PRESENT THE FRAMEWORK, OPTIONS AND KEY INFORMATION BEFORE DECISIONS. OUR JOB IS TO SHOW YOU THE DATA, OUTLINE THE IMPLICATIONS OF VARIOUS SCENARIOS, AND PROVIDE THE FINANCIAL ANALYSIS YOU NEED TO MAKE THE VERY BEST DECISION FOR THE DISTRICT GOING FORWARD. THROUGHOUT THIS PROCESS, THE DISTRICT REMAINS COMMITTED, COMMITTED TO TRANSPARENCY, DATA DRIVEN DECISION MAKING, AND EARLY COMMUNICATION OF POTENTIAL CHANGES. THE EMPHASIS REMAINS AGAIN ON FINANCIAL STABILITY, PRESERVING THE QUALITY OF INSTRUCTION AND MAINTAINING TRUST WITH THE COMMUNITY. THE DISTRICT'S HISTORY OF A TOP TIER FIRST RATING DEMONSTRATES A PROVEN ABILITY TO MANAGE RESOURCES RESPONSIBLY. OUR BUDGETING METHOD REPRESENTS THE NEXT EVOLUTION OF THAT STEWARDSHIP, ENSURING THAT EVEN IN CHALLENGING FISCAL ENVIRONMENTS, STUDENT OUTCOMES REMAIN THE CENTRAL FOCUS. OUR COMMITMENT REMAINS THE SAME TIMELY AND ACCURATE DATA SO USERS CAN MAKE INFORMED DECISIONS AND KEEP STUDENTS FIRST. AND WITH THAT, I'LL YIELD THE FLOOR FOR ANY QUESTIONS. THANK YOU, MISS SETTLE. BOARD MEMBERS COMMENTS. QUESTIONS ABOUT TONIGHT'S BUDGET UPDATE. OKAY, WELL, I'LL HAVE A FEW COMMENTS IF NOBODY ELSE HAS ANYTHING TO SAY. I WANT TO THANK YOU FOR BRINGING THIS TO US WITH THE THE STRUCTURE BEHIND IT. SO YOU GO BACK A FEW SLIDES TO THE ONE BEFORE THE CRITERIA. I THINK WHAT'S REALLY IMPORTANT ABOUT THIS IS ONE OF THE THINGS YOU SAID IS THAT THE RESOURCES WE HAVE TODAY, NOT THE RESOURCES WE WISH WE HAVE AND THE REALITY THAT WE'RE LIVING IN RIGHT NOW IS WHAT WE HAVE TO DO IS SUPPORT STUDENTS IN GROWING AND BECOMING THE CITIZENS THAT WE WANT THEM TO BE IN OUR COMMUNITY AND BEYOND. BUT WE CAN'T DO IS USE THE RESOURCES FROM YESTERDAY TO DO IT. AND SO CHANGES ARE GOING TO HAVE TO HAPPEN. WE CAN'T YOU KNOW, IT'S KIND OF LIKE AT YOUR HOUSE, YOU CAN'T LIVE IN A BUDGET SHORTFALL FOREVER OR YOU WON'T HAVE A HOUSE ANYMORE. AND WHAT WE GET TO DO IS WE GET TO MAKE SURE WE SERVE THE KIDS EVERY DAY TO THE HIGHEST QUALITY. AND WHAT THIS DOES, IN MY OPINION, IS, IS GOING TO ALLOW US TO REEVALUATE SOME THINGS. AND BECAUSE OF THE WORK OF THIS BOARD AND WHAT WE HAVE DONE THE LAST SEVERAL MONTHS TO ALIGN OUR PRIORITIES, WE HAVE A VEHICLE TO DO IT THAT'S ALIGNED WITH THE COMMUNITY VALUES. SO IF YOU HAVE NOT BEEN WATCHING THE BOARD WORK STUDIES, I WANT YOU TO GO BACK TO IT WAS EITHER AUGUST OR SEPTEMBER, ONE OF THOSE TWO. I FEEL LIKE IT MIGHT HAVE BEEN SEPTEMBER WHEN WE STARTED REALLY WORKING ON ADDING AN ADDITIONAL STUDENT ACHIEVEMENT GOAL VERY PURPOSELY, AND THEN SETTING GUARDRAILS THAT SAY WITHIN THESE GOALS THAT WE WANT TO ACHIEVE FOR KIDS, FOR STUDENT ACHIEVEMENT, THESE ARE THE BOUNDARIES THAT WE'RE NOT GOING TO GO OUT OF. AND THESE ARE THE THINGS THAT ARE MOST IMPORTANT TO THIS COMMUNITY. BASED ON CV 2030, WE HAVE LAID THE FOUNDATION AS A BOARD FOR THIS WORK BECAUSE WE KNOW THAT WE HAVE TO LIVE WITHIN OUR MEANS. AND SO I'M ASKING FOR THE COMMUNITY MEMBERS THAT ARE LISTENING OR THAT ARE IN THE ROOM. IF YOU HAVE NOT LISTENED TO THE WORK STUDIES, GO BACK AND LISTEN TO THE WORK THAT THIS BOARD IS DOING AS TRUSTEES OF THIS DISTRICT TO LEAD US IN THE DIRECTION THAT IS ONE OF OUR PRIMARY RESPONSIBILITIES. BECAUSE WE SET THE BAR, WE SET THAT FRAMEWORK, AND THEN THE DISTRICT HAS TO GO WITHIN THAT FRAMEWORK AND ALLOCATE THE RESOURCES TO THAT. AND THAT IS WHAT WE HAVE ASKED THEM TO DO. THAT'S WHAT THEY HAVE TO DO AS A DISTRICT EMPLOYEES IS TO HELP US ALIGN. BUT THE BOARD HAS SET THE CHARGE FROM THE TOP OF WHAT WE'RE FOCUSED ON. SO I JUST IMPLORE THIS COMMUNITY THAT IF YOU'RE LISTENING TO THIS, GO BACK AND TAKE THE TIME TO LISTEN TO THE WORK THAT IS HAPPENING SO THAT THIS WORK CAN GO FORWARD AND MISS SUBTLE, THANK YOU VERY MUCH FOR PROVIDING THIS UPDATE TO THE PUBLIC AND TO THE BOARD SO THAT WE CAN GO FORWARD WITH A STRATEGY IN MIND, KNOWING THAT YOU CAN'T STAY THE SAME, YOU GOT TO CHANGE. SO ANY OTHER COMMENTS, BOARD MEMBERS? ALL RIGHT. WE'LL MOVE TO THE NEXT [5. Consent Agenda] AGENDA ITEM. OUR NEXT AGENDA ITEM IS THE CONSENT AGENDA. AND THAT IS AGENDA ITEM NUMBER FIVE. IT'S A MECHANISM BY WHICH THE BOARD CHOOSES TO APPROVE A NUMBER OF ROUTINE ITEMS, TOGETHER WITH A SINGLE VOTE, IN COMPLIANCE WITH THE TEXAS OPEN MEETINGS ACT. THE PUBLIC NOTICE FOR THIS MEETING INCLUDES A LIST OF CONSENT AGENDA ITEMS, AND THE BOARD HAS BEEN GIVEN [00:45:04] AMPLE INFORMATION ABOUT THESE IN ADVANCE PRIOR TO ANY ACTION TAKEN ON THE CONSENT AGENDA, BOARD MEMBERS MAY REQUEST WITHDRAWAL OF INDIVIDUAL ITEMS FOR CLARIFICATION AND OR DISCUSSION. BOARD MEMBERS ARE THERE ANY ITEMS YOU WISH TO REMOVE FROM THE CONSENT AGENDA AT THIS TIME? RIGHT. SEEING NONE AND HEARING NONE, DO I HAVE A MOTION REGARDING THE CONSENT AGENDA? HAVE A MOTION FOR MISS BRADY. I MOVE THAT WE APPROVE THE CONSENT AGENDA AS PRESENTED. NOW I HAVE A MOTION FOR MISS BRADY. DO I HAVE A SECOND? HAVE A SECOND FOR MR. GILMORE. IS THERE ANY DISCUSSION WITH NO DISCUSSION? ALL THOSE IN FAVOR, RAISE YOUR HAND. OPPOSED BY A VOTE OF SEVEN IN FAVOR? ZERO OPPOSED. THE MOTION CARRIES, AND I [6. Items for Discussion and/or Action] BELIEVE WE HAVE SOME NEW CONSTRUCTION PROJECTS STARTING THIS SUMMER. OUR NEXT AGENDA ITEM IS ITEM NUMBER SIX, WHICH IS ITEMS FOR ACTION AND OR DISCUSSION. OUR NO ITEMS WERE REMOVED FROM THE CONSENT, SO WE'LL SKIP SIX A AND PROCEED TO SIX B. SIX B IS CONSIDERED AN APPROVED. THE DISTRICT'S ANNUAL COMPREHENSIVE FINANCIAL REPORT FOR THE PERIOD ENDING AUGUST 31ST, 2025. MISS SETTLE, YOU'RE UP AGAIN. IT'S YOUR NIGHT TO SHINE. WHEN YOU CONSIDER THE AMOUNT OF WORK THAT GOES INTO PREPARING AN ANNUAL COMPREHENSIVE FINANCIAL REPORT. IT'S NICE WHEN YOU CROSS THE FINISH LINE. THE BUSINESS TEAM DID BEGIN THIS WORK LAST SPRING, AND TONIGHT CULMINATES MONTHS OF THAT COMMITTED EFFORT, AS IT HAS BEEN BEEN, AS THIS REPORT HAS BEEN PREPARED FOR YOUR APPROVAL. BUT I'D LIKE TO TAKE JUST A MOMENT TO RECOGNIZE PATTY ESPINOSA IN THE AUDIENCE AS THE DIRECTOR OF FINANCE. AND AND HER TEAM, AND WHO HAS COLLABORATED ACROSS THE DISTRICT TO MAKE THE COMPLETION OF THIS AUDIT POSSIBLE ON A VERY COMPRESSED TIMELINE. THROUGH HER PROFESSIONALISM, DEDICATION AND COLLABORATION WITH THE ENTIRE DISTRICT, THE HER EFFORTS SUPPORT THE SOUND FINANCIAL STEWARDSHIP AND ACCOUNTABILITY THAT REINFORCED THE DISTRICT'S ONGOING FOCUS OF EFFECTIVE, STUDENT CENTERED RESOURCE MANAGEMENT. BUT AT THIS TIME, I'D LIKE TO INVITE MR. ROGER TOVAR, THE AUDIT PARTNER WITH WHITLEY PENN, TO PRESENT THE RESULTS OF THE AUDIT. OKAY. GOOD EVENING, BOARD OF TRUSTEES. SUPERINTENDENT, I DO HAVE A PRESENTATION TONIGHT THAT'S GOING TO GO OVER THE AUDIT RESULTS FOR FISCAL YEAR 2025. SO AS MENTIONED, MY NAME IS ROGER TOVAR. I'M WITH WHITLEY PENN. AND WE WERE ENGAGED TO PERFORM YOUR FISCAL YEAR 25 FINANCIAL STATEMENT AUDIT. I'M SORRY I'LL START OFF WITH THE PURPOSE OF THE AUDIT. SO THE PURPOSE OF A FINANCIAL STATEMENT AUDIT IS FOR US TO ISSUE AN OPINION ON THE FINANCIAL STATEMENTS, ON YOUR FINANCIAL STATEMENTS. SO ON THIS SLIDE YOU CAN SEE THERE'S THREE OPTIONS THAT WE HAVE AS FAR AS THE OPINIONS THAT WE CAN ISSUE. THE FIRST ONE THERE IS A DISCLAIMER THAT ONE OFFERS NO ASSURANCE ON YOUR FINANCIAL STATEMENTS. A QUALIFICATION IS LIMITED ASSURANCE. IT USUALLY MEANS THAT WE QUALIFY THE OPINION FOR SPECIFIC AREA, SPECIFIC ACCOUNT OR SOMETHING SIMILAR TO THAT. AND THEN AT THE VERY BOTTOM ON THE VERY BOTTOM THERE YOU SEE THE UNMODIFIED OPINION. SO THAT IS THE HIGHEST LEVEL OF ASSURANCE THAT YOU CAN OBTAIN ON A FINANCIAL STATEMENT AUDIT SUCH AS THIS ONE. THE AUDIT PROCESS, AS MISS SUBTLE MENTIONED, IT'S A IT'S A LONG PROCESS. IT'S A FEW MONTHS LONG. SO WE START OUR PROCESS STARTS IN THE SUMMER WITH THE PLANNING OF THE AUDIT. WE'LL COME OUT HERE AND DO A SITE VISIT LATER IN THE SUMMER, AND WE'LL START LOOKING AT YOUR INTERNAL CONTROLS. FROM THOSE INTERNAL CONTROLS, WE'LL SELECT SOME OF THOSE KEY CONTROLS AND PERFORM EITHER A TEST OF ACTUAL CONTROLS OR A WALKTHROUGH OF THOSE CONTROLS. THE SECOND TIME WE'LL COME OUT ON SITE, THAT'S A STEP NUMBER FOUR ON THE SLIDE, AND WE'LL START PERFORMING THE SUBSTANTIVE TESTING AT THAT POINT, WHICH WILL BE TESTING YOUR ACCOUNT BALANCES, WHICH THEN LEADS OVER TO NUMBER FIVE, WHICH IS US. US ISSUING THE OPINION ON THE FINANCIAL STATEMENTS. AS FAR AS THE INTERNAL CONTROLS THAT I MENTIONED EARLIER. SO THESE HERE THAT YOU SEE ON THE SLIDE ARE THE KEY CONTROLS THAT WE CONSIDER SIGNIFICANT AS FAR AS HOW THEY RELATE TO THE AUDIT. SO WE SELECTED OTHER REVENUES, WHICH IS MAINLY YOUR CHILD NUTRITION REVENUE NON PAYROLL AND PAYROLL. SO OBVIOUSLY THE PAYROLL IS THE MAIN EXPENDITURE FOR THE SCHOOL DISTRICT. SO WE TEST CONTROLS OVER YOUR PAYROLL AS WELL AS YOUR NON PAYROLL EXPENDITURES. WE'LL ALSO WE ALSO LOOKED AT IT AND SOME OF THE DATA THAT GET SUBMITTED [00:50:02] OVER TO T PROCUREMENT IS ANOTHER BIG AREA COMPLIANCE AREA. SO WE LOOK AT THAT ONE AS WELL. AND THEN YOUR FEDERAL AND SPECIFIC TESTS MAINLY OVER YOUR FEDERAL FUNDING. THE SUBSTANTIVE PROCEDURES THAT I PART THAT WERE PART OF THAT PLAN THAT WE SAW EARLIER CAN INCLUDE SEVERAL WAYS THAT WE GO ABOUT TESTING YOUR ACCOUNT BALANCES SO WE CAN PERFORM SOME ANALYTICAL PROCEDURES THERE, WHICH COULD INCLUDE A FLUX ANALYSIS ON SOME SORT OF RATIO ANALYSIS, DEPENDING ON THE ACCOUNT BALANCE THAT WE'RE TRYING TO TEST SOME PREDICTIVE TESTING. USUALLY THAT'S OVER SOME OF YOUR REVENUES. VOUCHING CONFIRMATIONS WOULD WITH OUTSIDE PARTIES, SUCH AS CONFIRMING YOUR CASH, YOUR INVESTMENTS, YOUR BONDS. AND THEN LASTLY THERE, WE ALSO RELY A LOT ON INFORMATION THAT WE CAN OBTAIN DIRECTLY FROM DEA, SUCH AS PAYMENT REPORTS, WHICH HELPS US AUDIT YOUR YOUR FUNDING THAT COMES THROUGH DEA. THANK YOU. GOT IT. AS FAR AS THE RESULTS FOR THE ACTUAL AUDIT. SO HERE WE ARE. WE DID ISSUE AN UNMODIFIED OPINION OVER YOUR FINANCIAL STATEMENTS. SO AGAIN GOING BACK TO THAT SLIDE, THAT IS THE HIGHEST LEVEL OF ASSURANCE THAT YOU CAN OBTAIN ON A FINANCIAL STATEMENT AUDIT. WE ALSO HAVE NO FINDINGS RELATED TO FINANCIAL REPORTING OR ANY FINDINGS RELATED TO COMPLIANCE. SO OVERALL YOUR FINANCIAL STATEMENTS OUR OPINION IS UNMODIFIED OPINION AND NO FINANCIAL STATEMENT FINDINGS. SORRY. WE ALSO PERFORMED A SINGLE AUDIT. SO THIS IS THE AUDIT OVER YOUR FEDERAL FUNDING. TYPICALLY THIS GETS TRIGGERED IF THE SCHOOL DISTRICT RECEIVES OVER $750,000 IN FEDERAL FUNDING. THE SCHOOL DISTRICT RECEIVED OVER $24 MILLION IN FISCAL YEAR 25. SO THIS YEAR, THE MAJOR PROGRAM THAT WE AUDITED WAS CHILD NUTRITION, THE CHILD NUTRITION CLUSTER, OVER OUR OPINION OVER THAT MAJOR PROGRAM WAS UNMODIFIED AS WELL. AGAIN, THAT IS THE HIGHEST LEVEL OF ASSURANCE THAT YOU CAN OBTAIN. WE ALSO HAVE NO INTERNAL CONTROL FINDINGS RELATED TO THAT PROGRAM OR ANY COMPLIANCE ISSUES THAT WE THAT WERE NOTED DURING THE AUDIT. THE DISTRICT ALSO QUALIFIED AS A AS A LOW RISK AUDIT. T. THE NEXT COUPLE OF SLIDES ARE GOING TO GO OVER YOUR ACTUAL FINANCIAL STATEMENTS. THIS IS A HIGH LEVEL OVERVIEW. SO THIS IS YOUR GOVERNMENT WIDE FINANCIAL STATEMENTS. SO THIS INCLUDES ALL YOUR FUNDS AS WELL AS YOUR LONG TERM LIABILITIES AND YOUR LONG LIVED ASSETS WHICH IS YOUR CAPITAL ASSETS. SO YOU CAN SEE ON ONE SIDE OF YOUR FINANCIAL STATEMENTS THERE YOU HAVE YOUR TOTAL ASSETS. THAT IS APPROXIMATELY $1.7 BILLION. WITHIN THAT AMOUNT, YOU HAVE YOUR CAPITAL ASSETS, WHICH MAKE UP $773 MILLION. THE OTHER LARGE, THE THE OTHER PORTION OF THAT CONSISTS MAINLY OF YOUR CASH AND INVESTMENTS, WHICH IS 863.4. YOU DEFER OUTFLOWS AND INFLOWS, RELATE TO YOUR PENSION AND OPEB LIABILITIES FOR THE MOST PART. AND THEN ON THE LIABILITY SIDE, YOU HAVE A TOTAL OF APPROXIMATELY $1.2 BILLION. THE MAJORITY OF THAT IS 961.1 IN BONDS PAYABLE AND BONDS AND PREMIUMS. AND THEN THE TWO OTHER BIGGER PORTIONS THERE WILL BE YOUR PENSION LIABILITY AND OPEB LIABILITY, WHICH IS WHICH WAS 107.5 AND $65 MILLION AT THE END OF THE YEAR. ONCE YOU NET THOSE THOSE ITEMS AT THE VERY BOTTOM THERE, YOU CAN SEE YOUR TOTAL NET POSITION AT THE END OF FISCAL YEAR 2025. SO THAT WAS $460.1 MILLION. THE OTHER SIDE OF THOSE FINANCIAL STATEMENTS IS GOING TO SHOW YOU THE REVENUES AND EXPENSES FOR THE SCHOOL DISTRICT. AGAIN, THIS IS SCHOOL DISTRICT GOVERNMENT WIDE. SO YOU HAVE YOUR TOTAL REVENUES OF $413 MILLION FOR FISCAL YEAR 25. WITHIN THAT, YOU HAVE PROGRAM REVENUES OF 39.8. AND THEN YOUR GENERAL REVENUE IS 373.2, WHICH, YOU KNOW, WITHIN THAT AMOUNT YOU HAVE YOUR PROPERTY TAXES AND YOUR STATE AID. ON THE OTHER SIDE OF YOU HAVE YOUR EXPENSES. THAT WAS $402.2 MILLION FOR FISCAL YEAR 25. ONCE YOU NET THOSE TWO, YOUR CHANGE IN NET POSITION WAS 10.8 10.8. AND THAT WAS AN INCREASE IN FISCAL YEAR DURING FISCAL YEAR 2025. AND NOW I'LL GO OVER SPECIFICALLY IN THE GENERAL FUND. SO THIS HERE SUMMARIZES YOUR GENERAL FUNDS, YOUR ACTUAL REVENUES IN THE GENERAL FUND FOR THE FISCAL YEAR 2025 WERE $292.1 MILLION, WHICH WAS UNDER YOUR FINAL AMENDED BUDGET BY 14.4. THE EXPENDITURES IN THE GENERAL FUND FOR FISCAL YEAR 2025 WERE $307 MILLION, WHICH WAS UNDER YOUR FINAL BUDGETED EXPENDITURES BY 29.8. YOUR FUND BALANCE IN THE GENERAL FUND IN FISCAL YEAR 25 SAW A DECREASE OF $14.6 MILLION. AT THE END OF THE FISCAL YEAR. YOUR GENERAL [00:55:01] FUND FUND BALANCE IS SITTING AT $119.5 MILLION. THIS HERE IS JUST A BREAKDOWN OF YOUR REVENUES IN THE GENERAL FUND. SO YOU CAN SEE THERE YOUR $292 MILLION FOR FISCAL YEAR 2025. 80% OF THAT IS MADE UP OF PROPERTY TAXES. THE SECOND LARGEST THERE WILL BE YOUR STATE AID, WHICH WAS ABOUT 10%, WHICH WAS $29.5 MILLION. AND THEN YOUR OTHER REVENUES THERE. YOU CAN SEE THE BREAKDOWN THERE ON THE GRAPH. NEXT SLIDE. AND THIS IS A SIMILAR PRESENTATION, BUT THIS IS ON YOUR EXPENDITURE. SO THIS IS HAS A LITTLE MORE ACTIVITY. SO YOU CAN SEE THERE YOUR EXPENDITURES FOR FISCAL YEAR 25 WERE $307 MILLION. 61% OF THAT WAS CONSTRUCTION AND RELATED SERVICES. SUPPORT SERVICES NON-STUDENT WAS $43.2 MILLION, WHICH WAS ABOUT 14%. AND THEN YOUR SUPPORT SERVICES FOR STUDENT WAS 11%, WHICH WAS ABOUT 33.6. AND THEN YOU CAN SEE THEN THERE THE REST OF THEM, WHICH WAS ALL THE OTHER ONES, WERE UNDER 10% INDIVIDUALLY. THEN THIS GRAPH HERE SHOWS YOU YOUR UNASSIGNED AND AND UNASSIGNED AND ASSIGNED FUND BALANCE. SO THIS IS ANY ANY FUND BALANCE IN THE GENERAL FUND THAT'S NOT RESTRICTED OR COMMITTED FOR ANYTHING. SO YOU CAN SEE HERE OVER THE LAST FIVE YEARS YOU CAN SEE THE TREND HOW IT GOES BACK. AND THIS IS COMPARING YOUR YOUR AVAILABLE FUND BALANCE TO YOUR OPERATING EXPENDITURES. IN FISCAL YEAR 2025, THAT AMOUNT WAS $89.8 MILLION, WHICH IS ROUGHLY ABOUT 29% OF YOUR OPERATING EXPENDITURES, WHICH NETS TO ABOUT 105 DAYS OF OPERATIONS. YOU CAN SEE THE TREND THERE FOR THE LAST FIVE YEARS, AND YOU CAN SEE THE DISTRICT HAS BEEN AROUND 30% OVER THE LAST FIVE YEARS. THIS YEAR WAS 29%, AN INCREASE OF 1% OVER LAST YEAR. AS FAR AS FINANCIAL STATEMENTS, THAT'S PRETTY MUCH THE SUMMARY THAT I HAVE FOR YOU. THE NEXT FEW SLIDES ARE GOING TO GO OVER SOME REQUIRED COMMUNICATIONS. SO FIRST YOU KNOW WE HAVE AN ENGAGEMENT LETTER. AS I MENTIONED EARLIER, WE WERE ENGAGED TO PERFORM THE THE FINANCIAL STATEMENT AUDIT. WITHIN OUR AUDIT PLAN, THERE WAS TWO RISKS THAT WE INCORPORATED INTO OUR PLANNING, WHICH WERE MANAGEMENT OVERRIDE OF CONTROLS AS WELL AS REVENUE RECOGNITION. SO AGAIN, I GO BACK TO THE FACT THAT WE DIDN'T HAVE ANY ISSUES. ANY FINDINGS RELATED TO YOUR INTERNAL CONTROLS. WE ALSO LOOKED AT OVER SOME OF YOUR ACCOUNTING POLICIES. WE CONSIDER THOSE TO BE IN ACCORDANCE WITH INDUSTRY STANDARDS. WE DID NOT HAVE ANY DISAGREEMENTS OR DIFFICULTIES WITH MANAGEMENT DURING THE AUDIT, AND WE ARE INDEPENDENT OF THE DISTRICT AS A FIRM AND INDIVIDUALLY. AS FAR AS MY TEAM MEMBERS. WE'RE ALSO NOT AWARE OF ANY SITUATION IN WHICH MANAGEMENT CONSULTED WITH OTHER ACCOUNTANTS. RELATED ANY REPORTING MATTERS. WE ALSO DISCUSSED DURING THE AUDIT SEVERAL THE APPLICATION OF ACCOUNTING PRINCIPLES AND THINGS LIKE THAT. OUR RESPONSE TO THOSE INQUIRIES WAS NOT A CONDITION TO OUR RETENTION AS AUDITORS. AS FAR AS SIGNIFICANT ESTIMATES ON YOUR FINANCIAL STATEMENTS, THERE ARE THERE ARE A COUPLE. THE ONE THAT WE CONSIDER TO BE SIGNIFICANT. WAS THE ESTIMATE RELATED TO YOUR STATE FUNDING TO YOUR STATE AID. AND THEN LASTLY, SO THERE WERE TWO NEW PRONOUNCEMENTS THAT WERE APPLICABLE FOR FISCAL YEAR 2025. THE FIRST ONE THERE IS GATSBY 101, WHICH DEALS WITH YOUR COMPENSATED ABSENCES. YOUR SECOND ONE'S, GATSBY 102. GATSBY 102 WAS NOT APPLICABLE TO THE DISTRICT. GATSBY 101 WAS APPLICABLE, BUT IT WAS NOT MATERIAL TO YOUR FINANCIAL STATEMENTS. SO WE DID IMPLEMENT IT. IT WAS IMPLEMENTED. IT'S REFLECTED ON YOUR FINANCIAL STATEMENTS, BUT YOU'RE NOT GOING TO SEE A RESTATEMENT OF LAST YEAR BECAUSE IT WAS NOT MATERIAL. AND THAT'S THE PRESENTATION I HAVE FOR YOU TONIGHT. YOU HAVE ANY QUESTIONS? HAPPY TO ANSWER. THANK YOU, SIR, FOR YOUR PRESENTATION. BOARD MEMBERS, ANY QUESTIONS OR COMMENTS? MISS BARNES? I HAVE A QUICK QUESTION. ON PAGE 12. YOU WERE TALKING ABOUT EXPENDITURES. IT MIGHT HAVE BEEN ON THE OTHER ONE AS WELL, BUT CAN YOU GIVE ME AN EXAMPLE REAL QUICK BETWEEN THE DIFFERENCE BETWEEN SUPPORT SERVICES NON STUDENT BASED AND SUPPORT SERVICES STUDENT, I DIDN'T HOW DO YOU HOW DO YOU. SO THE STUDENT SERVICES WILL BE OBVIOUSLY EXPENSES THAT ARE DIRECTLY RELATED TO YOUR STUDENTS. YOUR NON-STUDENT SERVICE WILL BE ANYTHING THAT HAS TO DO WITH PARENTS STAFF, COMMUNITY ANYTHING ELSE THAT'S NOT STUDENT DIRECTLY. ALL RIGHT. THANK YOU SO MUCH. ANY OTHER QUESTIONS OR COMMENTS OKAY. THANK YOU VERY MUCH. AND CONGRATULATIONS TO THE DISTRICT ON AN UNMODIFIED CLEAN OPINION OF THE EXTERNAL AUDITOR. THAT IS GREAT NEWS AND THANK YOU TO [01:00:02] MR. SHACKMAN, MISS BRADY AND MR. GILMORE, BECAUSE THEY SIT ON THE SUBCOMMITTEE THAT LOOKS AT THE AUDIT. AND SO THEY'VE BEEN FOLLOWING THIS PROCESS THROUGH. SO THANK YOU FOR SERVING IN THAT CAPACITY. THANK YOU VERY MUCH. WITH THAT WE WILL THIS ITEM IS MARKED FOR POSSIBLE ACTION. DOES THE BOARD WISH TO TAKE ACTION? MR. SHACKMAN Y'ALL ARE ALL WAVING YOUR HAND. YEAH WE SAT ON THIS COMMITTEE. NOW WE WANT TO DO SOMETHING. THERE YOU GO. RIGHT. IT'S EXCITING NEWS TO GET ONCE AGAIN, HIGH PRAISE FROM EXTERNAL AUDITORS WHO LOOK AT DISTRICT FINANCES. AND WITH THE REPORT THAT WE HAVE RECEIVED, I RECOMMEND THAT WE APPROVE AND ACCEPT THE AUDIT REPORT AS PRESENTED. ALL RIGHT. I HAVE A MOTION FOR MR. SHACKMAN. DO I HAVE A SECOND? I HAVE A SECOND FOR MR. GILMORE. I SAW FIRST ALL THOSE IN FAVOR? ALL THOSE OPPOSED? SEVEN IN FAVOR. ZERO OPPOSED. THE MOTION CARRIES. OUR NEXT AGENDA ITEM IS SIX C, CONSIDER AND APPROVE A NOMINATION TO THE DENTON CAD, WHICH IS THE DENTON COUNTY APPRAISAL DISTRICT. I FEEL LIKE WE JUST DID THIS. SO WE DID THE DALLAS COUNTY APPRAISAL DISTRICT. WE DID DENTON COUNTY APPRAISAL DISTRICT. IT'S A TWO STEP PROCESS. SO WE'VE BEEN TALKING ABOUT THE APPRAISAL DISTRICT A LOT, BUT THE DENTON COUNTY APPRAISAL DISTRICT BOARD OF DIRECTORS HAS RECEIVED A NOTIFICATION OF RESIGNATION FROM BOARD MEMBER ROBB ALTMAN OF PLACE FIVE, AND IT'S EFFECTIVE IMMEDIATELY. SO IN ACCORDANCE TO TEXAS PROPERTY CODE, A VACANCY ON THE DCAD BY AN APPOINTED MEMBER FALLS UNDER A SPECIFIC STATUTE THAT STATES THAT WE, AS THE BOARD, MAY NOMINATE A CANDIDATE TO FILL THE VACANCY AND SUBMIT THE NAME TO THE CHIEF APPRAISER. THE CHIEF APPRAISER WILL THEN, IN TURN, DELIVER ANY NOMINATIONS BACK TO OR TO THE DCAD BOARD OF DIRECTORS, WHICH THEY WILL THEN VOTE ON. THE NAMES WITH THE MAJORITY VOTE WILL FILL THAT VACANCY. SO AGAIN, THIS IS IT LOOKS LIKE IT'S A ONE STEP PROCESS BECAUSE THE NAMES ARE GOING TO GO TO THE DCAD BOARD OF DIRECTORS, AND THEN THEY ARE GOING TO VOTE. SO WE CAN CHOOSE TO NOMINATE SOMEONE TO FILL THE VACANCY. IT IS NOT REQUIRED. BUT I THOUGHT WE NEEDED TO PLACE THIS ON THE AGENDA. SO IF THERE'S ANY DISCUSSION ABOUT THIS, MR. CHAIRMAN, I SAW YOUR HAND. DO YOU HAVE COMMENTS OR THOUGHTS ON THIS? YES. WHEN THIS CAME UP ON THE AGENDA, I REACHED OUT TO MY JENNIFER, WHO IS THE INDIVIDUAL THAT WE NOMINATED TO FILL A TERM ON THE BOARD AND ASK HIM FOR INFORMATION. SO WE DIDN'T HAVE IT WHEN THE AGENDA WAS PRINTED. HE REFERENCED MR. JAMES LAWRENCE TO ME. JAMES HAS SUBMITTED REFERENCE INFORMATION. IT IS IN THE PACKET TONIGHT. WE JUST GOT IT. SO IT WASN'T SOMETHING WE COULD SUBMIT OUT THERE. JAMES IS AN EXPERIENCED PROFESSIONAL BUSINESSMAN AND LEADER, A RETIRED ARMY OFFICER. HE WOULD DO WELL AND I BELIEVE THAT IT WOULD BE IN OUR BEST INTEREST TO APPOINT HIM AS OUR NOMINEE. AND THAT WOULD ALSO BE THE CITY OF CARROLLTON. ON TUESDAY OF THIS WEEK AT THEIR MONTHLY MEETING, APPOINTED HIM TO BE THEIR NOMINEE AS WELL. SO I WOULD RECOMMEND THAT WE JOIN WITH OUR FELLOW CAROLINIANS AND APPOINT MR. JAMES LAWRENCE AS OUR NOMINEE FOR DENTON COUNTY APPRAISAL BOARD. OKAY, FELLOW CAROLINIANS, I LIKE THAT. BOARD MEMBERS. ANY QUESTIONS? COMMENTS, DISCUSSIONS? MISS GARZA ROJAS, IS THERE ANYBODY ELSE THAT WE HAVE FOR THE NOMINATIONS, OR IS IT JUST THIS PARTICULAR INDIVIDUAL? SO THIS IS COMING TO US FROM LIKE MR. SHACKMAN IS FROM MR. JENNIFER IF I DON'T IF I UNDERSTAND CORRECTLY MR. SHACKMAN. YES AFTER A CONVERSATION WITH HIM. SO THAT'S REALLY UP TO US. LIKE WE HAVE TO WHEN IT GETS POSTED ON THE AGENDA. IT'S OUR JOB TO SEE IS THERE SOMEONE THAT WE THINK IS SOMEONE THAT WOULD BE REPRESENTATIVE OF MR. SHACKMAN HAS BROUGHT THIS TO US. I WAS ADVISED THAT MR. LAWRENCE HAS INDICATED HIS WILLINGNESS AND DESIRE TO SERVE. THANK YOU. ANY ADDITIONAL COMMENTS? QUESTIONS? OKAY, SO WITH THAT, THIS ITEM IS MARKED FOR POSSIBLE ACTION, I ASSUME. MR. SHACKMAN, WOULD YOU LIKE TO ENTERTAIN THAT? SURE. I'LL BE HAPPY TO DO THAT. I WOULD MAKE A MOTION THAT WE APPROVE. JAMES LAWRENCE, AS CANDIDATE FOR DENTON COUNTY APPRAISAL BOARD. ALL RIGHT. I HAVE A MOTION FOR MR. SHACKMAN. DO I HAVE A SECOND? HAVE A SECOND FOR MISS BRADY. IS THERE ANY DISCUSSION? NO DISCUSSION. ALL THOSE IN FAVOR? ALL THOSE [01:05:01] OPPOSED? BY MOTION OR BY A VOTE OF FIVE IN FAVOR TO OPPOSE THE MOTION CARRIES. ALL RIGHT. OUR [7. Closed Meeting as Authorized Under Texas Government Code, Including but Not Limited to Section 551.071 – Consultation With Attorney; 551.072 – Real Property; 551.074 – Personnel Matters; 551.076 – Security Devices; 551.082 – School Children/District Employee Disciplinary Matter or Complaint; 551.0821-Personally Identifiable Student Information; 551.084 – Investigation] NEXT AGENDA ITEM IS AGENDA ITEM NUMBER SEVEN, WHICH IS TO CONDUCT A CLOSED MEETING AS AUTHORIZED UNDER THE TEXAS GOVERNMENT CODE, INCLUDING BUT NOT LIMITED TO, SECTION 551 .071 CONSULTATION WITH ATTORNEY 551 .072. REAL PROPERTY 551 .074. PERSONNEL MATTERS 551 .076. SECURITY DEVICES 551 .082. SCHOOL CHILDREN DISTRICT EMPLOYEE DISCIPLINARY MATTER OR COMPLAINTS 551 .0821 PERSONALLY IDENTIFIABLE INFORMATION AND 551 .308 FOR INVESTIGATION. THIS IS ITEM SEVEN A WE'RE GOING TO CONDUCT THE SUPERINTENDENT'S SUMMATIVE EVALUATION THIS EVENING. THE BOARD IS NOW GOING TO MOVE INTO CLOSED SESSION. AND AUDIENCE MEMBERS, YOU ARE WELCOME TO HANG OUT IN THE AUDIENCE WHILE WE GO BACK TO THE CONFERENCE ROOM FOR DELIBERATIONS. THE TIME IS NOW * This transcript was compiled from uncorrected Closed Captioning.