Central to the discussion was the district’s financial strategy concerning long-term facilities maintenance and bond sales. A detailed presentation by Matt Hammer, a financial advisor from AERS, highlighted the district’s need for approximately $5.8 million in funding for critical projects such as the McKinley school renovation and asbestos abatement. An additional $1.9 million, sourced from voter-approved funding since 2019, would supplement these efforts, bringing the total bond funding to $7.77 million. This financial plan is designed to address aging infrastructure and ensure the district maintains operational functionality.

Hammer explained that the district receives around $2 million annually for maintenance projects, based on the average age of the buildings. However, with the high school nearing completion, this funding is expected to decrease as the average building age falls below 35 years. The legislative change since 2019 allows the district to access funds beyond the original $112 million ballot authority, providing an additional $1.97 million for projects focused on indoor air quality improvements, fire suppression, and asbestos removal.

The board also discussed the implications of the bond plan on the district’s tax base. With an anticipated 8% growth in the tax base due to new developments and existing property improvements, the tax burden on current property owners is expected to be offset. For example, the proposed bond plan would result in an estimated annual tax increase of $3 for a residential homestead valued at $250,000 and $65 for commercial properties valued at $500,000. The discussion acknowledged changes in homestead exclusions and tier classifications for agricultural properties, affecting the overall tax burden.

Further discussions centered on the bond amount required for projects at the McKinley school and the Owatonna Educational Center (OEC), with an emphasis on the pool project costs. The board underscored the importance of utilizing the remaining bond authority to fund these critical projects, emphasizing that failure to do so could compromise the district’s ability to maintain facilities and services.

In addition to financial strategies, the board addressed operational changes, including the temporary closure of the district office on Bridge Street for server relocation. This closure, lasting from Wednesday morning through July 2, will affect phone and Wi-Fi access across district buildings. Staff will work remotely, relying primarily on email communication during this period.

The board also approved the scope of work for indoor air quality projects at McKinley Elementary and the Owatonna Education Center, alongside pool restoration.

Membership approvals were another focal point of the meeting. The board approved the Minnesota State High School League membership for the fiscal year. The discussion included clarification on the selection process for representatives to the high school advisory committee.

Additionally, the board renewed its membership with the Schools Advocating for Fair Funding organization, emphasizing its advocacy for equitable funding across school districts, especially those with lower tax bases. The $7,000 membership fee was justified by the benefits of data comparison, professional development, and legislative advocacy.

Policy revisions were also on the agenda, with the board approving a second reading of previously reviewed policies. A member raised a query regarding public data requests, specifically about costs involved in obtaining additional copies beyond the initial free one. It was clarified that subsequent requests would require advance payment.

The meeting concluded with the approval of the preliminary budget for the 2024-2025 school year and the schedule for the upcoming school board meetings. A notable change was the rescheduling of the November meeting due to Veterans Day.