LINCOLN PARISH SCHOOL BOARD
Ruston, Louisiana
REGULAR SESSION
Tuesday, December 3, 2002 6:00 p.m.
The Lincoln Parish School Board met in Regular Session on Tuesday, December 4, 2001 at 6:00 p.m. at the Lincoln Parish School Board, 410 South Farmerville Street, Ruston, Louisiana. Members present were President Rob Shadoin, Mr. Billy Abrahm, Mr. Otha Anders, Dr. Marty Beasley, Ms. Lisa Best, Ms. Mattie Harrison, Mr. Jim Kessler, Mr. George Mack, Mr. Joe Mitcham, Ms. Jo Tatum, and Mr. David Wright (arrived after the meeting began).
Mr. Curtis Dowling was absent.
Mr. Shadoin called the meeting to order and the invocation was given by Mr. Mitcham. Mr. Shadoin led in the Pledge of Allegiance to the American flag.
Upon a motion by Mr. Anders, seconded by Mr. Mitcham, the Board unanimously voted to adopt the agenda as printed.
Upon a motion by Mr. Mack, seconded by Ms. Tatum, the Board unanimously voted to approve the minutes of the Regular Session held on November 5, 2002 as distributed.
Mr. Wright arrived at the meeting.
The Board served as a Committee of the Whole and the following Personnel Committee agenda items were considered after Assistant Superintendent, Ronnie Suggs, presented 1. - 5.; Charles Owens, Director of Auxiliary Services, presented 6. - 7.; and School Food Service Supervisor, Brenda Theodos, presented 8.:
1. Retirement of the following:
Nella Faye Cooper, elementary teacher at I. A. Lewis, effective December 20, 2002.
Marcia DeMoss, coordinating teacher at Hillcrest, effective November 22, 2002.
2. Resignation of the following:
Lori May, PE/coach at Ruston High, effective November 22, 2002.
Raymond Hunt, ROTC at Ruston High, effective November 15, 2002.
Nancy Grant, elementary teacher at Cypress Springs, effective December 6, 2002.
3. Leave terminology change for Shannon Puljak, elementary teacher at Cypress Springs, from medical sabbatical to extended sick leave for the first semester of 02-03 effective November 18, 2002.
4. Sabbatical leave requests for the second semester of the 02-03 school year effective January 6, 2003 for the following:
Shannon Puljak, elementary teacher at Cypress Springs.
Shauna Vallery, elementary teacher at Cypress Springs.
Susan Feduccia, librarian at Glen View.
5. Employment of the following:
Natalie Verret as elementary teacher at I. A. Lewis effective January 6, 2003 replacing Nella Faye Cooper who retired.
Christine Ford as elementary teacher at Cypress Springs effective December 2, 2002 replacing Nancy Grant who resigned.
6. Resignation of the following:
Sharon Samuel, custodian at Secondary Alternative School, effective November 1, 2002.
Dennis Cage, custodian at Ruston Junior High, effective October 28, 2002.
7. Employment of the following effective December 1, 2002:
Yancy Crew, custodian at Ruston Junior High, replacing Dennis Cage who resigned.
Billy Hicks in a new, itinerant, maintenance position.
Ernest Jackson in a new itinerant, maintenance position.
8. Employment of Jennifer Hawkins in a new school food service technician slot because of increased participation at Ruston High effective November 19, 2002 .
Upon a motion by Mr. Kessler, seconded by Dr. Beasley, the Board unanimously voted to approve the personnel recommendations.
Juanita Duke, Business Manager, reported that November 2002 sales tax collections contained another decrease, 15.48%, compared to the same month last year. Sales tax collections at this time equal 39.51% of 01-02 year-to-date totals and are 6.52% below year-to-date collections this month last year. She told the Board that $317,576 was collected in the '67 and '79 fund and $190,545 in the '93 and '00 funds. Salary supplement checks were distributed on November 22 in the same amounts as the previous year. Audit recoveries during the month of November totaled $16,787. The parish is up 40% over last year's audit collections.
A financial report for the month ending September 2002 was also presented by Ms. Duke. There was no unusual activity during the month, only the start of payments of nine, ten, and eleven month employees' salaries from the general fund. This fund balance will continue to drop until January when property tax collections will be received. Five mill maintenance and the district m & o fund balances will be pretty depleted by the time the first of the year arrives as is common. District utility bills have already begun to be paid from the '93 ad valorem fund. Sales tax funds are maintaining a steady balance and the 2000 sales tax fund will show the November 22 supplement payment soon. Again, no major activity was noted, rather the usual ones associated with the beginning of the school year.
Ms. Duke also presented a self-insured health and dental benefits program report for the period ending September 2002. Monthly collections in the health program were $379,925 which was down from $381,471 in August. The administration contributed $15,038, reinsurance paid $30,291, and $404,545 was paid for claims, bringing the total cost to $449,873. This resulted in a $69,948 loss in the health insurance program for the month of September. Total contributions and interest collections for the plan year are $4,463,722 and total costs for the year are $4,164,284 resulting in a gain of $299,438. Dental plan costs for the month of September 2002 decreased from the previous month and were $38,146, with administration paying $825 and claims totaling $37,321. Monthly collections were $31,629 which resulted in a $6,518 loss in the program for the month of September. Total dental costs paid year-to-date are $349,201, collections total $282,900, resulting in a $66,300 loss.
At the November 5, 2002 meeting of the Board, one revised policy, Parental Involvement, was presented for scrutiny until the next meeting. Parental Involvement Coordinator Sallie Evans recommended approval of the revised policy.
Upon a motion by Mr. Anders, seconded by Ms. Best, the Board unanimously voted to approve the revisions to the Parental Involvement policy (IFD).
One bid, for $3,000, was received following the advertisement to cut timber near Choudrant Elementary School. Mr. Owens recommended that the Board accept that bid.
Upon a motion by Mr. Kessler, seconded by Mr. Abrahm, the Board unanimously voted to accept the bid of $3,000 from Patrick L. Cone for the harvesting of timber on less than 2 acres of land located southwest of Choudrant Elementary School.
Mr. Owens indicated that following the Board's decision at the September 3, 2002 meeting to advertise for bids on surplus property, one bid was received on a 16 x 32 portable building located at Ruston Elementary. He suggested that the Board accept that bid.
Upon a motion by Mr. Abrahm, seconded by Mr. Wright, the Board unanimously voted to accept the bid of $525 from Latanza Woodard for a 16 x 32 portable building located at Ruston Elementary.
During the special session of the 1998 Louisiana (LA) Legislature, several changes were made to special education laws in an attempt to bring Louisiana statutes into closer alignment with the federal statutes. One of the changes, according to Gloria Roebuck, Special Education Supervisor, was deleting the exceptionality know as Hospital/Homebound as a disability category in LA special education law because it was not a federal category. The change made in hospital/homebound services by the '98 Legislature was implemented in Lincoln Parish starting with the 98-99 school year; however, the policy was never revised. She presented a revised Homebound Instruction (IDDC) policy for the Board's study until the January 7, 2003 meeting of the Board.
Superintendent Gerald Cobb said that two recent actions of the Board of Elementary and Secondary Education (BESE) have necessitated one new policy dealing with the Home Study Program (IDCH) and one revised Adult Education (IDG) policy. He called attention to those policies and asked for Board consideration of them with formal action to be taken at the January 7, 2003 meeting.
Because January 1, 2003 is the time to renew the Board's self-insurance programs and given the climate of the present insurance industry, a lot of time has been devoted by Benesys to the renewal of the program this year, Juanita Duke mentioned. Despite changes made in the program at the beginning of the year, health care and prescription drug program costs are projected to increase 27% or $1,181,000 for the twelve months of 2002. Increases in the dental program should reach $106,800 or 30%. These increases, funded by the LPSB's general fund, were attributed to the continued rise in the cost of health care and in member utilization. Ms. Duke called attention to a utilization chart showing that the average number of health claims per member per month in the first six months of 2002, 1.09, compared to the entire 2001 year, .85. Dental figures were also included, .13 in 2001 and .16 in 2002. In addition, for the twelve month period ending August 2002, on average every covered member, spouse, and dependent had 12.23 prescriptions filled for the year. The best of five proposals received for renewal of the fixed program cost were also presented, along with her recommendation to renew with the present carrier, Pan American Life, and to add aggregate coverage under the same carrier.
The proposal for fixed costs represented a total annual cost of approximately $616,175, which is an increase in fixed cost of about $45,635 to the Board. Ms. Duke called attention to several informative charts covering current health plan costs by category for 01/02-10/02, prediction of plan costs for 2003, summary of funding for increased self-insured health plan costs from 97-02, current health insurance premiums by employee class, projected increase in health premiums for 2003 by employee class, projected new premiums effective for health coverage beginning 1/1/03 by class, comparison of proposed 2003 health premiums to current state group plan, health insurance plan recommendations, and proposals for renewal of group life insurance. She summarized information from each of the charts and noted that medical claims have doubled since 1996 to over $5 million. She predicted that they will double in a shorter length of time in the future and that plan costs for 2003 will increase by another $1 million. Ms. Duke reviewed the administration's summary of recommendations for self-insured benefits renewal for 2003 as follows:
1. Renew Specific re-insurance with Pan American with a $90,000 Stop Loss Limit at an cost of approximately $397,486.
2. Purchase aggregate Reinsurance coverage with attachment of $7,268,356 at an annual cost of $25,728 or $2.00 per member per month (pmpm)
3. Increase employee dental premiums approximately 20.57% to cover increased cost and utilization.
4. Increase health insurance premiums approximately 48% overall to cover increased cost and utilizations.
Employees will pay approximately 11.55% or $336,500.
LPSB will pay approximately 88.45% or $2,578,000.
5. Health Plan Changes:
a. Increase out-of-pocket (OOP) claims limit from $7,500 to $10,000. (Total member out of pocket will increase from $1,150 to $1,400 per year before the plan begins paying claims at 100%.)
b. Establish separate $50 co-pay for MRI/CT scans applied before deductible and co-insurance.
c. Cover testing for sleep apnea limited to cases medically necessary; $1,500 lifetime maximum; preauthorization required.
6. Prescription Drug Changes:
a. Implement Mandatory Generic Program
b. Provide coverage for oral contraceptives
c. Establish use of the Specialty Pharmacy Program - with effective date delayed until Spring.
d. Establish a Pharmacy Disease Management Program - with effective date delayed until Spring.
7. Group Life Insurance:
Authorize a change in group life carrier to Met Life. This is due to the incumbent, Hartford, quoting a 35% premium increase. The majority of member premiums will be reduced as a result of the change. The premium structure for life insurance will change from a composite to an age-banded plan.
Ms. Duke recommended that the Board approve the recommended group health, dental and life plan changes and premium increases to be effective for coverage beginning January 1, 2003.
While Board members were reluctant to have to raise insurance rates and cut the plans in some areas, it was the overwhelming consensus that Lincoln Parish School Board's self-insurance program is still extremely reasonable for very good coverage.
Upon a motion by Mr. Abrahm, seconded by Ms. Tatum, the Board unanimously voted to approve the recommended group health, dental, and life insurance plan changes and premium increases to be effective for coverage beginning January 1, 2003.
Because of the scope of the chiller installation project at Ruston High School and for reasons of liability, the administration feels that a mechanical engineer should be hired. Mr. Owens supplied background information on Fred Newton of Fred Newton and Company, Inc. out of Shreveport because they have extensive experience in this type of project. He requested permission to employ Fred Newton at 8% of the total contract cost, which would be an approximate cost of $400,000. Mr. Owens indicated that he plans to have the project completed by the beginning of the 03-04 school year.
Upon a motion by Mr. Wright, seconded by Ms. Harrison, the Board unanimously voted to authorize the President and Superintendent to employ Fred Newton as mechanical engineer after evaluating project cost data to ensure that costs are within the proposed budget and probable funding.
In the Report of the Superintendent, Dr. Cobb said that as predicted with the recent passage of constitutional amendment number three, Lincoln Parish will be penalized
about $71,000 in Minimum Foundation Program (MFP) cuts.
There being no further business, the meeting was adjourned at 7:28 p.m.
__________________________________ ___________________________
Gerald W. Cobb, Secretary Robert E. Shadoin, President