LINCOLN PARISH SCHOOL BOARD
Ruston, Louisiana
REGULAR SESSION
Tuesday, February 3, 2015 6:00 p.m.
The Lincoln Parish School Board met in Regular Session on Tuesday, February 3, 2015, at 6:00 p.m. at the Lincoln Parish School Board, 410 South Farmerville Street, Ruston, Louisiana. Members present were Mr. Otha Anders, Mr. Michael Barmore, Mr. David Ferguson, Mr. Danny Hancock, Ms. Mattie Harrison, Ms. Lynda Henderson, Mr. Trott Hunt, Mr. George Mack, Jr., Mr. Joe Mitcham, and Ms. Susan Wiley.
Ms. Lisa Best and Mr. Curtis Dowling were absent.
President Anders called the meeting to order. The invocation was given by Mr. Mitcham, and Ms. Henderson led in the Pledge of Allegiance to the American Flag. Mr. Anders welcomed board members, staff, members of the media, and special guests to the meeting.
Upon a motion by Mr. Hancock, seconded by Mr. Barmore, the Board unanimously voted by roll call to adopt the agenda as amended adding one item of New Business: Boundary Agreement.
Upon a motion by Ms. Abrahm, seconded by Mr. Hunt, the Board unanimously voted to approve the minutes of the Regular Session held on January 6, 2015, as presented.
Chairman of the Executive Committee, Joe Mitcham, said the committee met on January 23, 2015, to consider procedures and a timeline to search for a new Superintendent to replace Danny Bell who was retiring October 9, 2015, after ten years as Superintendent and forty years in education. He noted the administration had developed the following timeline after consultation with Jon Guice, attorney with Hammonds, Sills, Adkins & Guice:
1. Application period 2/4-25/15
2. Application review, selection of candidates to be 3/10/15
interviewed
3. Interviews of applicants, selection of 3/16-18/15
candidates for second interviews or negotiations
4. Second interviews and selection of candidate for
negotiations (if needed) 3/23/15
5. Negotiations 3/24/15
6. Formal selection of superintendent 4/07/15
Minimum requirements were certification or eligible for immediate certification as Superintendent of Schools in Louisiana; minimum of 10 years in PreK-12 education, including 5 years administrative and/or central office experience; 5 years teaching experience preferred; a minimum of a masters’ degree, and experience working with school and district budgets a plus. He also suggested moving the March 3, 2015, board meeting to March 10, 2015, in order to make the timeline work and adding Special Called Sessions on March 16 – 18, 2015, for the entire Board to interview selected applicants in Executive Session. If the top two applicants received a tie vote or if the Board needed more time to make a decision, second interviews or another meeting of the Board would be scheduled on March 23, 2015. The applicant receiving the majority vote of the total membership of the Board would be the candidate selected for negotiations with the Executive Committee on March 24, 2015. A beginning salary of $120,000, which was negotiable, was proposed along with a starting date of July 1, 2015, and a two-year contract. Formal selection of the new superintendent would take place in Open Session at the April 7, 2015, meeting of the Board barring unforeseen extenuating circumstances if the full board approved the procedures and timeline. Mr. Mitcham summarized other items the administration had proposed including publishing the job advertisement in the Ruston Daily Leader, the Shreveport Times, and the Monroe News-Star. He closed by saying that Danny Bell would be available for consultation as needed during the process.
Superintendent Bell communicated it was very difficult to work out the schedule; he emphasized the importance of Board members placing the dates on their calendars so everyone could make them a priority.
Mr. Mitcham shared the Executive Committee’s recommendation to approve the search procedures and timeline in the pursuit of the next superintendent.
Upon a motion by Ms. Henderson, seconded by Mr. Hancock, the Board unanimously voted to approve the superintendent search procedures and timeline as explained above.
A Building and Grounds Committee meeting was held immediately before the board meeting at 5:15 p.m. Chairman of that Committee, Trott Hunt, reported that they reviewed a five-year capital outlay plan that the superintendent had developed with input from the principals and Architect Mike Walpole. After the Ruston School District #1 bond monies were utilized, slightly less than $2,000,000 was projected to be spent each year. The plan was not set in stone but was a guideline spending plan to manage resources and get projects done. He reiterated that the large expenditures would be brought to the full Board by the Committee.
Independent Auditor with Allen, Green & Williamson, Amy Tynes, presented an audit report for the year ending June 30, 2014. She called attention to two reports, the Comprehensive Annual Financial Report and the Single Audit Report. Ms. Tynes briefly went over the results of the audit.
In the Comprehensive Annual Financial Report (CAFR), the LPSB received an unmodified opinion, a clean opinion, which meant no items were considered suspicious or significant enough to cause the financials to not be stated correctly. Total revenues in the General Fund were almost $48 million, which was an increase from last year of $1.5 million. More MFP monies were received and because of HB1, additional funding was sent by the state to the school systems for salaries and other activities. Total expenses were right at $48.9 million; this too was an increase of about $2.8 million from last year. Again part of that was the additional monies received from the state that had to be spent on salaries and benefits. Before any funds were transferred out of the General Fund, the revenues were less than the expenses by $853,000. About $2.3 million was transferred out of the General Fund, and with that transfer the Total Fund Balance decreased by $3 million. She reminded the Board that they had moved monies to parish-wide capital projects in 2013 and 2014. The General Fund’s beginning fund balance was $21.2 million, and the ending fund balance was $18.2 million after the loss of $3 million. Approximately $9.8 or 54% of that was unassigned and unrestricted. That percentage decreased from 67% of the Total Fund Balance two years ago and 61% last year. About $1.9 million was being placed in an investment account for the QSCB revenue bonds. Internal Service Funds, including self-insurance activities, had a deficit of $43 million because of other post-employment benefits and GASB standards and requirements. She predicted the system’s $48 million liability for annual post-employment benefits (OPEB) will eventually grow to an actuarial estimate of $121 million over the 30 year amortization. GASB standards also want government pension benefits and that liability to be shown. Ms. Tynes predicted a significant amount of the unfunded pension liability would be shuffled to the school system, and that could not be amortized. As the school system would never have enough money to take cover all of the “promises” it had made to its retirees, she thinks there is hope that the state would step in at that point. All that is known is that the GASB standards want to see the government’s accounting have more of a business look.
Moving on to the Single Audit Report, Ms. Tynes said the main federal programs tested were the special education cluster and Title II programs. About $6.6 million was received in federal dollars. They audited two sections, the financial aspect and state compliance. An unmodified, clean opinion was issued with no significant deficiencies or findings regarding internal controls or state compliance of the two programs audited; however, a management letter was issued regarding test of work orders, Title II reporting, and timecard falsification. She summarized the corrective action planned in each instance, and stated the status of the issues would be reviewed during the next audit engagement. In closing, Ms. Tynes said Lincoln Parish is a very large school system that has a very good financial report. Her firm appreciates the staff who works with them very well.
In her Personnel Report, Mary Null, Director of Curriculum, Instruction, and Special Programs verbalized:
1. Resignation of Sandra Simmons, special education teacher at Ruston High, effective January 22, 2015.
2. Point of Reference/Transfer of Lauren Pigue from teacher to curriculum strategist at Cypress Springs effective February 2, 2015.
3. Employment of Priscilla Smith as teacher at Cypress Springs effective February 2, 2015, replacing Lauren Pigue who transferred.
According to George Murphy, Business Manager, sales taxes amassed for the period ending January 31, 2015, were $1,842,668 which was 40.86% higher than the same month last year. Year-to-date the collections were up 23.91% or over $2 million. This unusual occurrence was because of oil and gas activity. He will study the figures over the next few months, and if the excess remains, he’ll bring a recommendation to the Board regarding it. There were no recoveries through audits during the month, and that fund was down 34% year-to-date. Collections in the ‘67 and ‘79 fund were $837,577, and $1,005,091 was generated in the ‘93 and ‘00 fund.
In the end of December 2014 financial report, Mr. Murphy said a little over $13 million was unassigned. That has dropped into the $9 million category, which means the Board may want to seriously consider projects in the future that would cut into that balance as eventually those monies would be depleted. The Total Fund Balance for December 2014 was still good at $31,382,065. Not much change was noted from the previous month. Sales tax funds were doing well. Some ad valorem tax funds still showed deficits because monies were not received from the sheriff until January.
In the health plan update for December 2014, Mr. Murphy reported that the fund was up $97,563 for the month and $764,172 year-to-date. At the conclusion of three years with Blue Cross Blue Shield, he attributed the positive financial condition of the health care fund to the better discounts they are able to negotiate with the providers.
Property to the west of the new track facility and the softball field at Choudrant High School is owned by Mr. Bud Morrison. Superintendent Danny Bell reported that during a recent survey it was discovered that the Board’s property line was actually east of Mr. Morrison’s fence. He agreed to call the property line his fence line; therefore, Mr. Bell recommended the approval of a Boundary Agreement that was prepared by the Board’s attorney, Jeff Robinson.
Upon a motion by Mr. Hancock, seconded by Mr. Barmore, the Board unanimously voted to approve the Boundary Agreement between the Lincoln Parish School Board and Mr. Bud Morrison regarding property to the west of the new track facility at Choudrant High School and authorize the president to execute the same on the Board’s behalf.
Two reasons prompted David Crowe, Coordinator of Auxiliary Services, to present change order #1 on the Choudrant High track project. The issues prompting it were the discovery of a bury area of debris or debris pit that would need to be removed from under where the bleachers would be located ($6,009.10) and added clearing and grubbing in the area on the western side between the deed line and the proposed boundary line ($1,880.60). The additional monies being requested were $7,889.70, but no extra time was needed.
Paul Riley, Engineer with the Riley Company, was present to answer questions and provide additional information.
Upon a motion by Mr. Hancock, seconded by Mr. Hunt, the Board unanimously voted to approve change order #1 for the Choudrant High School track project adding $7,889.70.
A change order was also proposed by David Crowe for the Cypress Springs project. This one would not change the cost but would add five days to the project.
Mike Walpole, Architect, summarized the five items comprising the change order that were: modifications to the north side of Saratoga Street ($3,500.00), adding a fire sprinkler to the janitor’s closet ($1,851.00), modifying furnace vents on the Mathy’s addition ($1,570.00), adding fire dampers in ceilings ($2,810.00), and a credit for miscellaneous allowance ($9,731.00). He explained that item #1 had been approved by the Board, but the actual paperwork on it had not been done.
Upon a motion by Mr. Hunt, seconded by Ms. Abrahm, the Board unanimously voted to approve change order #4 for the Cypress Springs project resulting in no change to the contract sum and increasing the contract time by five days.
The first change order on the Glen View project was the next item on the agenda. Mr. Crowe asked Mr. Walpole to expound on it.
Mike Walpole said they needed to demo an existing grease trap ($1,669.40) and change some 4” pipe to 6” pipe including the conflict box material and labor ($4,381.35).
David Crowe recommended the approval of the change order that would add $6,050.75 and increase the contract time by ten days.
Upon a motion by Mr. Hunt, seconded by Mr. Mack, the Board unanimously voted to approve change order #1 on the Glen View project increasing the contract amount by $6,050.75 and the contract time by ten days.
It was time to vote on four policies that Mary Null had recommended for revision at the January meeting. She asked the Board to approve the proposed Debt Limitation (DE), Tax and Bond Elections and Sales (DFD), Cash Management and Investments (DFL), and Purchasing (DJE) policies.
Upon a motion by Ms. Henderson, seconded by Ms. Abrahm, the Board unanimously voted to approve the following revised policies: Debt Limitation (DE), Tax and Bond Elections and Sales (DFD), Cash Management and Investments (DFL), and Purchasing (DJE).
In a Report of the Superintendent, Mr. Bell said:
1. A survey on board packet distribution had been placed in portfolios after a member suggested a change from the printed and mailed format to those sent electronically. He asked board members to complete the survey and turn it in to Becky Gemelli before leaving.
2. There is a second board meeting this month on February 18, 2015. Lunch will be served at I. A. Lewis at noon immediately followed by the meeting at 12:30 p.m. Several items have already been placed on the agenda.
3. The LSBA convention is coming up, and all members have planned to attend. He commended the board members for registering because all of the required training hours can be attained during the convention including the hour of Campaign Finance training needed once per term and annual hour of Ethics training. Convention information was placed in portfolios. Because Shreveport is considered local by the IRS, there are some unusual travel guidelines pertaining to it. On Monday night Hammonds, Sills, Adkins & Guice and Taylor & Sons Insurance Agency are hosting a special dinner, and board members are invited. He asked those wanting to accept the invitation to RSVP to Becky by next Tuesday so preparations can be made.
4. The March 3 board meeting needs to be moved to March 10 in order for the superintendent’s search timeline to work properly. He urged board members to place the new meeting date on their calendar.
Mr. Anders thanked those who attended the recent Student of the Year/Teacher of the Year gala, and said Committee Assignments were included in packets. If any problems were noted, they should be shared with Becky. He encouraged all board members to attend all of the committee meetings. Much information is gathered and questions answered in those meetings.
There being no further business, upon a motion by Mr. Hancock, the meeting adjourned at 7:08 p.m.
______________________________ ______________________________
Danny L. Bell, Secretary Otha L. Anders, President