The meeting began with the board chair addressing a petition from the previous meeting that sought to add an optional levy to the ballot. The board’s attorney had informed them that there is no legal mechanism to place this optional levy on the ballot, thus rendering the petition invalid. This announcement clarified the position and explained that the board would not be able to proceed with the petition as originally intended.

During the public input section, a district representative voiced frustration and confusion over the attorney’s assertion. The representative emphasized the need to present an amended petition with changes requested by the attorney, arguing that every taxpayer should have the right to vote on school levy issues. “We believe that every taxpayer should be able to vote on issues that directly impact them,” the representative stated. The representative also addressed concerns about potential staff cuts if the petition led to changes, stressing that the petition reflected community voices and should not be perceived as a threat to educators.

The board’s finance committee provided a report, revealing that the district’s financial numbers were scrutinized in a recent meeting. The revised budget was pegged at approximately $11.9 million, with actual expenses at around $11.6 million. The committee also discussed policies related to the inventory of fixed assets and health and safety, with ongoing discussions about the use of district facilities.

Superintendent Dr. Kristine J. Wehrkamp Herman introduced a new communications plan, developed with input from staff and community surveys. This plan aims to enhance stakeholder engagement and improve communication channels within the district. Additionally, a strategic planning meeting was scheduled for September, encouraging community participation to review and adjust the strategic plan as needed.

The business manager presented an update for fiscal year 2024, noting an enrollment of around 910 students. General fund revenues were reported at 90% of the revised budget, with expectations that revenues would meet or exceed projections. However, expenditures were approximately 4% over budget, primarily due to contracted services for students, highlighting the need for ongoing adjustments to align expenditures with the budget.

Dr. Joel Swansson, the principal, spoke about the upcoming inservice week for teachers, which included AI training, academic vocabulary sessions, and training on a new data warehouse system, Prolific. Swansson also reported an increase in summer school credit recovery, with 29 credits recovered and an expectation to exceed 30 by summer’s end. Tony Newman, the elementary school principal, echoed these preparations and noted that 33 students registered for summer school, with an average attendance of 27.

During the consent agenda, Director Randy Hackett moved to approve items including previous meeting minutes, financial claims, resignations, new hires, and handbooks. A discussion followed regarding the contract with Tyler Technologies for busing services and the effectiveness of the Ride 360 app. Clarifications were sought on whether additional services were included in the contract and if a new app, My R2, would be utilized.

The board also discussed the K2 Towers proposal, with a motion made to deny their request to continue operations without payment. The board considered the implications, noting that K2 Towers would either need to renegotiate payment or remove the tower from district property. The need to ensure compensation for the tower’s presence was emphasized, though some suggested waiting for a response from K2 Towers before making a final decision.

Financial matters were further discussed, focusing on the district’s revenue rankings in Minnesota. It was noted that Royalton ranked sixth from the bottom, receiving less per adjusted daily membership compared to the state average. The superintendent highlighted the challenges of managing budgets with such limited revenue.

The board received a presentation from PMA Financial, outlining their services in managing public funds and investments for school districts. PMA emphasized the importance of cash flow and investment management to maximize earnings while ensuring funds’ safety. The service includes daily cash projections and investment strategies to enhance the district’s budget.

The potential refinancing of bonds issued in 2015 was also discussed. The first opportunity for refinancing would be February 1, 2025, with projected gross savings of approximately $745,000. The board was informed that the savings would be realized through reduced payments over the bonds’ remaining life, although market interest rates could affect this figure. The projected savings were net of all associated costs, and a minimum savings threshold of $400,000 was established to justify proceeding with the refinancing.