##VIDEO ID:7TAS15ISLbU## would be great thank you oh there we go thank you good morning everyone my name is Brenda mcke I am the director of Supply Chain management for Adams 12 uh what that means basically is I am over the purchasing and warehousing um departments for Adams 12 hi everybody I'm Molly brand I'm our chief operating officer here in Adams 12 Fest star schools honored to serve in that role and and moved into the role about nine months ago and I oversee kind of the operations of the district so everything from school nutrition programs our licensed Child Care based programs Transportation Safety and Security custodial Grounds Maintenance and construction facility design aka the bond and 2.5 monitoring report that will'll review portions of today as part of the internal monitoring report that I report to the board and I did that last week at the board meeting and the document for all the members is available on the share drive and also we can share um Molly or Brenda if you want we can share the document as well yeah why don't you go ahead and share screen and we'll just run do Brenda's gonna take 2.5.5 and then I'll take the the following two that we were asked to report on today okay and I believe believe the first one on the list is 4130 um yeah just a second not on the 2.5 monitoring report by the way oh okay sorry I had that that document pulled up let me get there unless you have it Brenda sorry um I don't have it pulled up I can't give us one second so sorry guys I've got it Carolina for the 4130 if you want me to share yeah please thank you thank you Brenda oh am I showing the right thing uh yeah it's on your Gmail yeah it's not what I want let's try this again I know for some Doom is different than uh yeah I'm having a hard time sharing mine too so give me give us one second let's do this then is it now only sharing the policy Carolina um yeah let me get that yes thank you yep yep okay perfect yep according to today's agenda what we're supposed to talk about is policy 4130 which is the staff ethics and conflict of interest and nepotism policy so um and I think more specifically what they were looking at was section 5.0 yes so let me bring that up so according to section 5.0 of policy 4130 we're supposed to have a um some type of monitoring of um hang on I'm trying to bring up another thing on my phone so I can see it and that's not working either hang on just a second thank you Brenda okay there we go okay so according to PO policy uh 4135 point0 we are supposed to monitor for um employees conflict of interest potential nepotism stuff like that it's very important and particularly in the procurement World um that we present a fair and Equitable Equitable playing field for anybody when we talk about purchasing and uh procuring products um what's interesting about 5.0 is it says that all the District employees will comply but we don't actually do monitoring or making sure that employees understand that policy other than when they're hired and then it's somewhat mentioned other than what you see here it says that um yearly these people will get an annual notice that they do have to read and comply and return to HR HR is responsible for sending out these notices so you get the superintendent um all of these people that's listed and then you get like my staff in the procurement World principles assistant principles um and somebody that might have a supervisory responsibility so HR sends out those notices annually and um then we as employees if we're in this class up here we have to respond to that um so I asked Mila about that and how they keep track of all of those and she went to Nicole Stone and we came up with a couple of things um so as per 4130 in the administrative section and these these uh classes that you see covered here um they do send out an annual notice we are required as employees to sign those and send those back that we understand the nepotism policy the conflict of interest we will in our daily job duties try to portray to the best of our ability that we are um doing things without a conflict of interest we're not you know giving contracts to our brother sister mother-in-law somebody but we try to U monitor that and make sure that we understand that um in particularly in the procurement World um I always say perception is reality so for our outside customers looking in if they perception is that we have potentially given a contract to somebody because maybe Chris gdowski said hey I know a guy and will you contract with them or um you know people are always smoing the Board of Education other people so we want to make sure that um particularly in the procurement World our transactions are clear transparent we're following policy and doing all those things so I think it's really important that they do this now ironically what I don't see in this policy is that a lot of the people that aren't in this classes particularly like the classified employees that do work with purchasing are not monitored uh the same way as the staff that's mentioned here so there's nothing that talks about U monitoring for those employees so we have a lot of office managers bookkeepers um even teachers that do purchasing and other things where are um conversing and working with the public and making purchases but we don't ask them hey do you understand the policy on conflicts of interest and nepotism so um according to Nicole Stone and HR um they send out salary notifications to the classified and certified employees every year however 4130 is not specifically mentioned however going forward hopefully starting in July of 2025 they're going to add this same statement into the classified and certified employees so that they too have to certify that they understand this policy and they are doing the best of their ability to maintain um that above board um perception to the community that we're doing business the way we should we're being competitive we're being open um we're doing things that that we should um in making those purchases we're not buying from friends and excuse me family um and those type of things so that's really what policy 4130 speaks to is about um making sure that we are as a district being above board Fair competitive and dealing with those type of things so specific to 5.0 we are monitoring and having uh certain staff as per the policy um sign a document and return it every year that we understand the policy and then going forward probably uh in July of 2025 they're going to add the classified and the certified staff that have that same public outfacing dealing with purchasing and other things where we want to make sure that they understand and know this policy this policy could even apply to HR where I'm trying to you know hire some somebody and uh it's somebody's brother and by the way we want to make sure that we don't have people in um supervisory positions that are uh potentially hiring their brother or brother-in-law or whatever else so those are the things that we look at at 4130 but specific to 5.0 those are the things that are happening today and potential going forward so that's my update on 4130 um section five does anybody have questions a good question yes is there requirements how many employees need to be selected um of the people that fall in these bullet points all of them have to do an annual certification that they know policy 4130 and comply with it and and regular certified and classified staff C currently there is not a policy for that and I say regular because when you read the classified employees with the title of supervisor or supervisor responsibilities that typically does not cover those positions like bookkeepers and office managers Etc who do p purchasing and those type of things with the public um so we have no way to monitor them currently other than when they're first hired on they have to know that this is part of the district policy um but um numbers I do not know how many numbers would would comply in in um this section thank you any other questions on policy 4130 okay hearing none kolina I'm going to stop sharing my screen okay and then the next um Brenda do you think that you just covered I know you cover 5.0 there is also 2.55 conflict of interest and purchasing is there something that you want to add to that before we um or Molly before we move forward I don't know if you cover that one too um 2.55 let me look at it I think it kind of applies the same way okay because I believe it's part of the document too right so again 2.55 again talks about following our purchasing policies which go from 3,300 to 3340 um and then also includes the policy 4130 that we just talked about okay so I think you guys have that on the attachment that kolina put in the calendar invite so I'm not gonna share my screen on that one um but when it comes to 2.5.5 what we say is we're not going to make any purchases that are not prudent uh for Adams 12 uh use uh we're going to follow the policy of conflict of interest and not be purchasing from potential family members or somebody else and we're going to make sure that we follow the district policy uh concerning purchasing so um that has um translates into policies 3320 which talks about um our purchasing um levels so per uh policy 3320 anything under $10,000 um a school district person who has been delegated the purchasing Authority can make those purchases um they don't have to come to us in purchasing however they need do need to follow uh policy and and being prudent and um open and competitive with the market so under $10,000 they can do it themselves so to speak we do ask but it's not a policy we do ask that um services are put on a contract we ask that um the staff potentially not sign those contracts until um procurement has looked at it however that is not in policy um that's just highly encouraged which say uh P protects the district against um you know people signing contracts where um they potentially maybe don't have the authority to do so or there's lines in there that as a district we cannot agree to um typically those things are like indemnification and point of law limits of liability those are things that the typical staff member in the schools would look at and go I don't know what that means sometimes we don't know that what that means we try hard to read those contracts and go over so U per policy uh then anything between the $10,000 and $100,000 um purchase has to have an informal bid process meaning again the program is delegated such that they can go out and get those two quotes but they need to have at least two quotes and show those to us to make sure that uh they are following policy purchases exceeding 100 Grand uh do have to have a minimum of three written or electronic submitted proposals and typically those are the ones that are coming to the purchasing department and the senior buyers are taking th care of those through a competitive bid process now all of that said um that is uh 3320 in section one I believe it is however in section five of 3320 um Capital Construction and Facilities maintenance does have different thresholds than everybody else so um Brenda I'm sorry we have a question okay Mike yeah hi Brenda um I remember last year when we were talking about this policy I think we noted that there were a few cases you know IMM material not the larger contracts but smaller contracts where the procurement process wasn't necessarily adhered to uh exactly based on the letter of the law um and I think we talked about would there be an opportunity to take a look at you know where those uh incident has occurred and by you know whether it was by function or by school you know some sort of way to identify was there a need or an opportunity for more training um to avoid those issues uh is there a followup on that did we is there a way to look where well I gu two questions one did we did we do that is there a monitoring of where those infractions occurred uh and are there any more to speak of this year or was there 100% compliance this year uh Mike to answer the first part of your question no I did not follow through with that and have any type of monitoring of that I believe we have some generic things that that are out there um and then the second part of your question um people are becoming more aware and asking more questions and working more closely with the purchasing department so I am not currently aware of anything that would have happened outside of policy at this point in time doesn't mean it wasn't out there and we didn't see it but in my opinion we're doing a better job with training and communication and talking with staff and and they're working more closely with us on any of those type things happening so one more question do we have a like one of those Anonymous ethics hotlines and and do people ever call in and Report stuff on that I don't know the answer to that Mike Molly do you know I don't know that we have a quote kind of like a hotline thing where people can call in and say hey uh so and so is doing whatever I don't know for certain I do know that complaints come in on various um whether it's ethics or code of contact I know because I have gotten you know things sent to me from those who receive it like Hey we're going to be looking into this situation can you send us any documentation you have so I do know that that happens and I believe on our website Brenda it shows the legal department as that person I I honestly don't know the answer to that Molly so we can look into it I'll have to get back to you on that one for sure yeah I mean look I think in my own personal experience I'm a big fan of the Ethics Hotline because it basically it's when somebody starts to have a word about something they can call in you know these things are super cheap to administer and then they basically get a code they give them a code number and then they don't have to report who they are and then they can call back in later get that code and then can find out what the resolution of the issue was um and for management and administration it's a good way to get a read on are there areas that we have to either you know improve Communications or training to ensure compliance with stuff uh before it becomes at a level where somebody decides to take more aggressive actions um because you know if you don't have one of these things oftentimes by the time you find out it's some sort of formal official Complaint or it's you know reported to a regulatory body or it's you know a legal action so um it's nice to be able to get a read on stuff before it becomes something that's bigger and allows you as Administration to manage it before you know it kind of gets to be a bigger thing so maybe it's something that's not relevant to the you know report today um but something to consider uh as just a general policy in the future uh because it could help you guys get an early read on areas that might be a concern that um would be solved before it became a bigger issue absolutely Mike I think that's an excellent idea and I will look into that I know budgets are tight but I mean literally I think they charge you like 50 bucks a call something like that I mean I've done this a couple times where we've implemented a company hasn't been at and you literally spend like $5,000 a year on it tops so it's one of those where it's a it looks like really good governance and then B it it is good information for for management as well and Mike if you have a a name of a company or something that actually does that could you email that to me I will yeah I'll find out um okay couple of them that we've used and I'll let you know okay that would be great thank you so much thanks y okay so that was 2.5.5 and now we have 2.5.8 um Brenda you can still see my screen correct yes ma'am okay um it's Brenda and Molly whenever you're ready thank you so I'll go ahead and start on this one and Brenda can fill in on anything I don't mention so um you can see on the screen and at the bottom of page three of the attachment in the calendar invite that 2.5.8 is really about how we interpret as the district must or shall seek approval from the board for any property uh acquisition and excess uh and I'm going to talk acquisition first and then I'll talk disposition but in excess of $500,000 whereas it is outs it is not already um budgeted like in their annual budget wasn't an approved budget request right it was outside of the board or the board the bond or outside of a M Levy override expenditure okay so knowing those are the three things we can spend anything above and beyond $500,000 that is not budgeted part of the bond part of the mill then needs to go through an approval process with the board we do have that approval process in place um it looks we go to the board with what's called a decision information report and that's how we talk about the what the why for the purchase and then they get a there's a motion the board takes to approve those I will say in the monitoring period which was July 1 2023 no July 1 2024 through hold on let me just make sure I think I'm doing it backwards July July 1 2023 to June 30th 2024 yes I'm always having to remember we're in the rear uh Brenda and I took three different approaches to verify that did we have uh purchases over 500,000 and were they approved that were not part of a a approved budget in the bond or the midle levy override so we did we had three purchases and here are the three ways we found that out one we had our um assistant to the Board of Education pull all of the board agendas from the monitoring period she looked through and pulled out any purchases that were discussed or approved via decision information report that's how we found the three then as another cross Trek we pulled Brenda had Finance pull for us a list of of purchases over $500,000 we cross check that to any budget approval a bond or Mill expense once those were ruled out we compared that the that report and the dirs were are in match and then finally we took a final step just to make sure there wasn't something out there that we didn't catch in those two reporting we took a final step of emailing all the Chiefs and asking them are you aware of any purchases or dispos positions of property um in greater than 500,000 not in not already approved in budget already approved in bond or already improved in milk and uh got confirmation from every Chief in all of their areas after checking with their department leaders and uh validating that no we did not except for the three we are reporting in this monitoring report I'll give you a little detail about what the three purchases were so uh in August 16 2023 uh one of the dirs was a cyber security vendor uh to reduce unstructured data risk so that is one of them the other is um in December of 23 a replacement of a Northland High School track and uh track and field and then the other one was on June 5th and 24 during the monitoring period we had some construction at Thunder Vista that we needed to do for some broken pipes so those were the three dirs that were approved by the the board and met this this uh threshold of $500,000 or more not budgeted part of a bond or a Mill and um we are in compliance therefore with 2.5 um point8 any questions on that one yeah Molly just real quick question I just add of curiosity I know there was like a of drama with the track at uh where is it Mountain Range uh where like something about like the replacement of the track like what did the vendor we used like when they used the road raater to tear it up or something they messed it up was that part of a bond or something or is that part was that a purchase that just didn't fall within this year yep it uh we had that as part of a bond and approved through LR pack so the the the if you remember the North Stadium track I wasn't coo at that time but um there had been water seeping into them through the track and so when they went to resurface we did have um a Machinery kind of fall kind of through the track in like the loose terms and then that caused some extensive repair over there yes so you are correct got it and I remember there was I think some dispute with the vendor that did it right but it's all fixed now yep nice good Mike I don't think and Molly correct me if I'm wrong but I don't think there was a dispute I don't think the vendor did anything wrong what we found is that the um water table or drainage or something was maybe not properly done back when the track was built so as we were doing this resurfacing and getting it started um by doing that milling and putting that milling machine on the track um it did quote fall through and we have pictures of that um we do and so it was it turned out to be additional scope to the vendor that was doing um the work at the stadium but it wasn't a um problem because of the work the vendor was doing it was a pre-existing condition we didn't know was there until the work started and whoops we just lost a machine in a hole and now we've got to excavate and do some other things so um yeah it it wasn't a result of uh bad operations on the part of the vendor doing the work it was exist pre-existing conditions that we did not know about got it okay and but interesting on on this policy 258 it only applies to things that are outside of bond measures right and because that was part of the bond measure that's not even part of this discussion right got it okay you absolutely correct yep all right that clarifier Brenda perfect yeah and if I remember right Molly we did still notify the board on that one just because of the cost of the repair that uh added to a change order to the contract so I do believe we we still followed policy sort of Mike we didn't have to report that particular change order to the contract but I do believe it was reported to the board and the superintendent got it thanks and I did check it was also reported to LR Pac our long range planning advisory committee which is another board um committee so yes a lot of commen report too I gotta remember them all cover our BAS thank you moving on at 2.5.1 uh lots of words not a lot of movement here um really this one is similar to the one above it set except it's about shall not dispose um so the first uh section of the language we take to mean that the district does not relinquish property ownership without assurance that the value received is considered to be at market value unless a proposed purchase and excessive market value disclosed and approved by the board um so again not a lot to report here um the district did not dispose of any property during the monitoring period and therefore complies with the standard of that statement I also broke down um the policy wording under number three which is we interpret that uh language to mean that the district does not relinquish property ownership if conditions would cause uh remaining property to have an economic disadvantage to the district um if ownership would cause remaining property conditions to pose hazards or use uh for the district's use of the property or are financially infeasible to remedy so again really easy to report on this because we did not dispose of any property during the monitoring period therefore we comply um with the district during this monitoring standard any other questions you have for us that's easy when there's no dispositions yeah there really wasn't yeah I think that might be different we're looking at both land we're looking at not just property but real estate acquisition um during this next Bond and this next monitoring period we'll see where that ends up falling and where that lands but that is to help support the phasing in transition and ultimate uh Campus of Thorton high school so those things are discussions in process and uh if that happens during this monitoring period which we hope to have that um then we'll report on that next year for you and follow the policies as set out for 2.5 great thank you you're welcome do you guys have any additional question for Molly or for Brenda no okay um than guys thank you thank you Molly Brenda would you be okay staying for a little bit longer yes ma'am okay thank you Molly again I appreciate it thanks thanks by