The meeting began with a significant report from Larry Martini of Alice Insurance Agency regarding the school’s insurance coverage challenges. Martini detailed how the current policy with EMC Insurance would not be renewed as the North and South Elementary Schools failed to meet underwriting criteria, specifically pointing out issues with the roofs. Despite efforts to retain coverage, including property inspections, the schools did not meet the required standards. Martini expressed optimism about finding alternatives through a partnership with Marshall McLennan Agency, highlighting four potential options, with Gladfelter being the preferred choice. He noted that the insurance market is currently challenging, predicting a minimum 15% increase in property insurance rates, although liability coverage rates were expected to remain stable. The board engaged with Martini on the specifics of the underwriting issues and the implications for the schools.

Following the insurance discussion, the board turned its attention to the financial outlook for the school district. A preliminary budget for fiscal year 2025 was presented, revealing a projected shortfall of $42,715. The board recognized the need for conservative staffing estimates due to fluctuating student enrollment numbers, which could further impact the budget. A representative from the district provided insights into the ongoing budget planning process, acknowledging uncertainties related to staffing and student numbers. The board explored the increase in insurance costs and transportation expenses, which added pressure to the budget. Planned expenditures included capital improvements and curriculum purchases, contributing to a projected overall budget increase of $456,500.

The budget discussion also touched on the need for periodic financial reviews, with plans for the finance committee to meet and discuss strategies for maintaining financial health. The board emphasized the importance of tracking expenses against projections and proposed using visual aids to monitor trends. Adjustments to the budget may be necessary as the fiscal year progresses, particularly in light of potential negative balances in community service funds linked to preschool programs.

In addition to financial concerns, the board addressed leadership changes within its ranks. A board member, identified as Chair Netman, announced her resignation after over a decade of service. The board expressed gratitude for her contributions and outlined the process for filling the resulting vacancy. Plans were made to open applications for the position, with details to be shared on social media and the district’s website. The board considered reaching out to individuals who had previously expressed interest in board service. The timeline for applications took into account the upcoming Fourth of July holiday, with an emphasis on allowing adequate time for review before the next board meeting.

Alongside these issues, the meeting also included discussions on other school district matters. Superintendent updates highlighted upcoming training for elementary and special education staff, funded by the Minnesota Department of Education. The training, set to begin in July, is part of a 51-hour program designed to enhance educational practices. The board also discussed the Professional Learning Communities training attended by board members and district staff, aimed at improving district-wide PLC structures. The new elementary principal, with experience as an instructional coach, was noted as eager to implement these strategies.

The board reviewed the meal program at North Elementary, which reported lower-than-expected participation. The superintendent expressed a goal for the program to remain financially neutral, acknowledging its limited revenue-generating potential. Additionally, the board reflected on a recent actor threat response workshop, which highlighted the importance of secure entry systems and effective crisis communication. Legislative changes regarding parental opt-outs for emergency drills were mentioned.

The board also addressed routine administrative matters, such as approving hires for summer daycare and various contract agreements. Donations for the summer recreation program were accepted, and resolutions for membership in the Minnesota State High School League were passed. The board designated Superintendent Brownell as the official with authority for the district, a standard annual requirement.