Agenda and Notes - May 17, 2018

Agenda

 

State College Area School District


OUR MISSION:  To prepare students for lifelong success through excellence in education.


May 17, 2018, Board Finance and Audit Committee Meeting
11:45 a.m. - Meeting Room A, Panorama Village Building
240 Villa Crest Drive
State College, PA  16801

I.    Call to Order

II.   Final Budget 2018-2019 (attachment)

            -- Analysis of quartiles of assessed values (attachment)

III.  Local auditor renewal - Baker Tilly

IV.   Development

           -- SCASD Education Foundation Budget 2018-19 (attachment)
           -- Development effort review (attachment)

V.   Future Meeting Agenda Items

           -- Budget development process - review

VI.  Public Comment

VII. Adjournment


NOTES

May 17, 2018, Board Finance and Audit Committee Meeting Notes 
11:45 a.m. - Meeting Room A, Panorama Village Building                 
240 Villa Crest Drive       
State College, PA  16801

I.        Call to Order
In Mr. Fozard’s absence, Ms. Concepcion began the Board Finance and Audit Committee meeting at 11:54 a.m. and turned the meeting over to Mr. Brown to begin the budget development update.

Present
Committee Members:​  Amber Concepcion, Dan Duffy, Laurel Zydney
Committee Member absent:  Scott Fozard
Others:​  Gretchen Brandt, Randy Brown, Marie Caster, Jim Leous, Bob O’Donnell, Donna Reinhardt, Donna Watson

A copy of all materials distributed to board members for discussion is included with the official notes, unless otherwise indicated.

II.       Final Budget 2018-2019
Mr. Brown reported there was nothing new in the Final Budget document that that hadn’t already been presented, and he asked if Board members wanted anything additional included.  Committee suggestions and comments were to add dollar figures on second pie chart along with percentages; fourth bullet on page 1 should read “Total increased cost…”; breakout general staff development and curricular development showing programs it is related, i.e., when new curriculum is approved, what staff development is going to be needed to support that curriculum; and, what are discretionary items in contracts, i.e., supplies, and how to explain in budget.  Mr. Brown responded that is a conversation to work through in Committee, and explained what could be discretionary even within contracts. Mr. Brown reviewed the analysis of quartiles of assessed values and stated additional information will be presented Monday night.

III.      Local Auditor Renewal
Mr. Brown is scheduled to meet with the local auditor from Baker Tilly to discuss different mandates, increased level of focus and scrutiny, and gain an understanding of their scope of management.  General practice is to review every three to five years and our agreement with Baker Tilly was for three audit years. He stated a desire to bring forward a request for reappointment. Committee member questioned whether there are larger audit firms in town and Mr. Brown responded Baker Tilly’s size really helps our district as they have a large team of experts in all areas of finance. He noted he will explain the value of a firm like Baker Tilly when bringing the proposal to the full board.

IV.       Development
SCASD Education Foundation Budget 2018-19
Mr. Brown reminded all of the Maroon and Gray Society Banquet Saturday evening.  He was excited to report over $30,000 in support and sponsorships. Dr. O’Donnell reported there was an anonymous donor who pledged to match donations received during the event up to $10,000.  Mr. Brown reviewed the March Foundation financial report noting expenses related to M&G would be a maximum of $2,000, and most of the donations for M&G have come in during April and May. He reported the $120,000 goal will be met after the M&G Society Banquet, and Centre Gives contributions and stretch pool will be close to last year’s amount, between four and five thousand dollars.

Development Review
Dr. O’Donnell reported he invited Mr. Dave Lieb, Senior Associate VP for Development at Penn State, to speak to the Committee on May 23.  He reviewed Mr. Lieb’s background and the conversations with himself and Mr. Brown early on when exploring the possibility of starting a Foundation. Dr. O’Donnell would like to revisit what is being done, give the Committee an opportunity to discuss processes, ups and downs, and give Mr. Lieb an opportunity to weigh in on our direction and explain why annual campaign is important for growing connections. Committee discussed the data we get back is important, how to target communications and mailings, building a database for future connections, how to evaluate efforts, where did we start, how successful are we, and how have our communications been successful.  Mr. Brown responded that one, need to evaluate success of development efforts already occurred, two, how to evaluate contractor (Paul Olivett), and three, how to evaluate other contractor (Affinity Connection). Dr. O’Donnell stated the Board’s decisions short term are whether to continue budgeting $120,000 annual support, and Mr. Olivett’s contract renewal.

Mr. Brown responded to questions about EITC, stating funds need to be spent by April 30 and reports are due to the State in May; Elementary STEM and Oracle Academy are currently-approved initiatives; funds remain in the Foundation until approved to spend, then transfer is made to the District; applications for EITC-approved programs are with a two-year approval, and Mr. Brown believes we are at the end of a two-year approval; and applications to add programs can be done while in an existing approval cycle.  Requests to spend are presented to the Foundation Board from Dr. O’Donnell and himself; suggested this might be something to have as a standing agenda item on Finance Committee.

Committee members discussed itemizing line items in the Foundation budget for Affinity Connection current services and Executive Director; request input from Mr. Lieb on standard for invoices; language in item #2 in Mr. Olivett’s agreement; is development budget weighted correctly, i.e., spending for magazines; resources for M&G event; and using District website for solicitations.  Dr. O’Donnell believes the M&G event is drawing more people and more resources, and e-blasts and mailings have been effective. He feels we should be using our Print Shop for magazines and mailings; Mr. Brown has reduced the number of mailings to save costs. Discussion about recognizing volunteers, inviting representatives from PTOs, Boosters, etc. to Board meetings on a rotation basis, and possibility that Affinity could help those groups be more efficient and take some work off their plate.  

Dr. O’Donnell asked Committee members to organize questions for Mr. Lieb and they could be sent to him ahead of time or asked at meeting. He suggested they reflect on the original proposals.

V.        Future Meeting Agenda Items
-- Budget development process - review

VI.       Public Comment
-- Jim Leous spoke about his experience and background with development efforts, both with outside employers and within the District, and spoke positively about Mr. Olivett’s Agreement.
-- Gretchen Brandt spoke about a minimum dollar amount for a donor to meet with Mr. Olivett.

VII.      Adjournment
Ms. Concepcion adjourned the Board Finance and Audit Committee meeting at 1:15 p.m.

Submitted by,

 

Marie Caster
Acting Board Secretary