A significant portion of the meeting was devoted to evaluating insurance options presented by Pete, a representative detailing the intricacies of selecting a suitable plan for the district. The board’s current provider, EMC, proposed an increase in costs, including a $5,200 rise in work comp insurance. The total increase would amount to approximately $21,640 if the district chose to continue with EMC. The board explored alternatives, considering the financial implications of varying deductible levels, such as a 1% wind and hail deductible potentially escalating to $600,000 based on property values.

Pete highlighted the significance of maintaining cyber coverage, noting schools are increasingly targeted by cyber attacks. He advocated for keeping EMC due to their comprehensive offerings for educational institutions, calling it a “Cadillac option.” The board weighed the potential impact of changing providers on future insurance rates and relationships. After extensive discussion, the decision leaned towards continuing with EMC, but not without recognizing the financial challenges posed by the increased premiums.

In addition to insurance deliberations, the board approved a preliminary budget for the 2025-2026 school year, proposing a budget of $9.7 million. Notable points in the budget included a projected increase in kindergarten enrollment and a 2.74% rise in state aid, amounting to just under $646,000. Despite optimistic revenue projections due to enrollment growth, the board acknowledged uncertainties in budget amendments, contingent on pending legislative decisions. Rising expenses, particularly an increase in the pension contribution rate to 9.8%, posed additional challenges. The board also addressed the implications of unfunded mandates, especially concerning special education aid, which is expected to see a 10% cost increase.

The board expressed frustration over state-imposed funding restrictions, particularly concerning food service surpluses. Despite positive fund balances due to automatic lunch reimbursements, regulations strictly limited the use of these funds to food service-related expenses. This restriction prevented the district from reallocating funds to other essential needs, such as installing a new sink in a serving area or purchasing a sound system for the lunchroom. The board hoped that widespread advocacy might eventually lead to legislative changes, allowing more flexibility in fund allocation.

The meeting also included discussions on policy updates and significant events within the district. Updates to handbooks were deemed necessary to align with guidelines from the Minnesota School Boards Association, prompted by recent legal interpretations. The board reflected on successful recent events, including concerts tied to parent engagement initiatives, which received positive feedback. Other notable events included a third-grade zoo project and a market day, both of which attracted a turnout from parents.

The board recognized the achievements of the district’s sports teams, particularly the baseball team, which advanced in the postseason, and celebrated the participation of track and field qualifiers in the state meet. Additionally, summer programs aimed at providing targeted services for students needing extra support were discussed, along with the importance of continued professional development for staff.

The need for additional special education staff was noted due to a recent retirement. Transportation challenges were briefly addressed, with an emphasis on improving compensation for bus drivers to reflect their critical role in student safety.