[00:00:03]
>> GOOD AFTERNOON, AND WELCOME TO THE
[1. Notice and Return]
AUDIT COMMITTEE MEETING OF THE DALLAS INDEPENDENCE SCHOOL DISTRICT BOARD OF TRUSTEES.WE HAVE ALREADY DONE THE PLEDGE OF ALLEGIANCE AND THE SALUTE TO THE TEXAS FLAG IN THE PREVIOUSLY HELD MEETING 5 MINUTES AGO.
THE FOLLOWING COMMITTEE MEMBERS ARE IN ATTENDANCE.
[3. Acknowledgements]
DISTRICT 3 DAN MICK, DISTRICT 6 JOYCE FOREMAN.ALSO IN ATTENDANCE ARE NON VOTING COMMITTEE MEMBERS, MONICA FRAZIER AND CHRIS LEWIS.
THANK YOU FOR BEING HERE. ALSO AN ATTENDANT IS DISTRICT 2 TRUSTEE THIS TIME YES IT'S SARAH WEINBERG.
OUR SUPERINTENDENT OF SCHOOLS, DR. STEPHANIE ELLY CALDE JOINS US, AND I AM EDWIN FLORES, COMMITTEE CHAIR.
DO I HAVE TO READ THE WHOLE WARNING EVEN IF WE DON'T HAVE SPEAKERS? DO I HAVE TO READ THE WHOLE WARNING? IN ORDER FOR THE BOARD TO HOLD THIS MEETING IN AN EFFECTIVE MANNER, I WANT TO LET IT BE KNOWN THAT THIS MEETING WILL BE CONDUCTED IN AN ORDERLY FASHION AND ASK THE PUBLIC TO ABIDE BY THE RULES OUTLINED IN BOARD POLICY, BED LOCAL PERTAINING TO PUBLIC PARTICIPATION.
IT IS A CRIMINAL OFFENSE FOR A PERSON WITH THE INTENT TO PREVENT OR DISRUPT A LAWFUL MEETING TO SUBSTANTIALLY OBSTRUCT OR INTERFERE WITH THE ORDINARY CONDUCT OF A MEETING BY PHYSICAL ACTION OR VERBAL UTTERANCE AND THEREBY CURTAIL THE EXERCISE OF OTHERS FIRST AMENDMENT RIGHTS.
SPEAKERS ARE CAUTIONED THAT WHAT THEY SAY COULD VIOLATE THE RIGHTS OF OTHERS UNDER THE LAW OF DEFAMATION OR INVASION OF PRIVACY AND IF THEY'RE UNSURE OF THE LEGAL EFFECT OF THEIR REMARKS, THEY MAY WANT TO SEEK LEGAL ADVICE PRIOR TO THE UTTERANCE.
ANY PERSON WHO BECOMES BOISTEROUS DISTRUPTOR OR FAILS TO ABIDE BY THE RULES OF THIS ASSEMBLY, WHILE ADDRESSING THE BOARD OR WHILE ATTENDING THIS MEETING, SHALL BE ASKED TO LEAVE, FAILURE TO LEAVE WHEN REQUESTED TO DO SO MAY RESULT IN THE PERSON BEING ESCORTED FROM THE MEETING AND SUBJECT TO ARREST.
OUR AGENDA NOT CALLS FOR THE PUBLIC SEGMENT FORM OF OUR MEETING.
HOWEVER, I WAS INFORMED, NO ONE SIGNED UP TO SPEAK.
[5. Action Items/Reports]
WE NOW MOVE TO THE ACTION ITEMS, 5.1, CONSIDER AND TAKE POSSIBLE ACTION TO APPROVE THE MINUTES OF FEBRUARY 14, 2024.>> WE HAVE A MOTION AND A SECOND.
TRUSTEES, ARE THERE ANY CORRECTIONS? IF NOT, ALL THOSE IN FAVOR, PLEASE GUESS YOUR VOTES BY RAISING YOUR RIGHT HAND.
>> WE HAVE JUST ADOPTED A MOTION APPROVING THE MINUTES OF FEBRUARY14TH, 2024.
THE NEXT ACTION ITEM OR NOT AN ACTION ITEM, IT'S A REPORT ON DISTRICT FINANCIAL UPDATE IN FISCAL YEAR 2023/ 2024 EXTERNAL AUDIT.
DOCTOR ALFRED STEVENS, CFO FINANCIAL SERVICES.
>> GOOD AFTERNOON. TRUSTEE FLORES, ALL TRUSTEES ASSEMBLED AND DR. EZALDE.
I'LL FIRST BEGIN WITH THE FINANCIAL UPDATE.
ARE THERE ANY QUESTIONS REGARDING THE DISTRICT'S FINANCIALS?
>> MY LIGHT OFF. IT'S JUST FOR CLARIFICATION, PLEASE.
I'M LOOKING AT PAGE 1 AND I'M LOOKING AT THE BEGINNING FUND BALANCE FROM 2023.
THEN THE PROJECTED FUND BALANCE FOR 2024, THE ASSIGNED FUND BALANCE AND THE NON ASSIGNED FUND BALANCE.
IT TOTALS OUT TO ENDING UP WITH 473 MILLION.
I GUESS THE QUESTION IS, DID WE SPEND DOLLARS FROM THE CURRENT FUND BALANCE? DID WE MOVE ANY OF THAT OVER TO THE GENERAL FUNDS?
>> NO FUND BALANCE HAS BEEN MOVED OVER TO THE GENERAL FUND FOR EXPENDITURE PURPOSES.
>> OKAY. BUT WHEN I LOOK AT 2023, I LOOK AT A BILLION, WHICH IS THE TOP NUMBER.
THEN WHEN I PUT IT ALL TOGETHER, SEEMS LIKE IN THE 2024 WITH THE ADDITIONAL FUND BALANCE AMOUNT, WE WOULD HAVE HAD ADDITIONAL DOLLARS.
MAYBE I'M JUST NOT READING IT CORRECTLY.
>> AT THE VERY TOP WHERE YOU SEE THE ONE BILLION THAT YOU'RE REFERENCING, WHICH STARTS WITH THE BEGINNING ASSIGNED UNASSIGNED, AND THEN THE TOTAL FUND BALANCE.
THAT'S WHERE WE STARTED THE 23/24 SCHOOL YEAR.
THEN YOU'LL SEE WHAT OUR PROJECTED REVENUES ARE FOR THIS CURRENT SCHOOL YEAR AND THEN YOU'LL SEE WHAT OUR PROJECTED EXPENDITURES ARE FOR THIS CURRENT SCHOOL YEAR.
IF WE EXPEND THE FULL 2,015,980,000 BUDGET,
[00:05:07]
THAT MEANS THAT WE WILL HAVE TO USE OUR FUND BALANCE TO BALANCE THAT BUDGET TO FILL IN THAT GAP BECAUSE THE REVENUE IS LESS THAN THE EXPENDITURES. I'M SORRY.>> I'M LOOKING AT JUST THAT FIRST COLUMN, TRYING TO GET A CLEAR UNDERSTANDING OF THE FIRST COLUMN.
IF WE START OUT WITH A BILLION IN 2023, THAT'S WHERE WE START, THIS IS 2024.
>> WE'RE STILL IN THE 23 /24 SCHOOL YEAR.
>> CORRECT SO WE ARE PROJECTING THE ENDING FUND BALANCE OF $812 MILLION?
>> YES. YOU'LL SEE THE NUMBER RIGHT ABOVE THAT.
YOU SEE THAT CHANGE, WHICH SAYS 193,179,000?
>> THAT IS THE DIFFERENCE BETWEEN THE PROJECTED REVENUE OF 1.8 BILLION AND THE PROJECTED TOTAL EXPENDITURES OF 2 BILLION SO THE NET DIFFERENCE BETWEEN THE TWO IS THE 193 MILLION.
>> OKAY. MAYBE WE NEED TO JUST SPEND SOME TIME TOGETHER BECAUSE IT IS SOMEWHAT CONFUSING TO ME TO UNDERSTAND THIS PARTICULAR PIECE.
LOOKING AT THE OVERALL FUND BALANCE THAT WE HAVE, THEN WHEN YOU GET TO THE END OF THE UNASSIGNED FUND BALANCE, IT'S ON THE $473 MILLION SO MAYBE WE JUST NEED TO SPEND SOME TIME.
>> TO GET A BETTER UNDERSTANDING OF WHAT THAT ACTUALLY MEANS.
>> WE WILL NOW GO ON TO 5.3 REPORT ON EXTERNAL E-RATE AUDIT COMPLETED BY REGIS & ASSOCIATES, PC CONDUCTED FOR UNIVERSAL SERVICE ADMINISTRATION COMPANY.
>> BEFORE WE GO THERE, TRUSTEE FLORES, THERE'S ONE OTHER PIECE THAT I'D LIKE TO GO OVER.
AS IT RELATES TO THE FINANCIALS.
I ALSO WOULD LIKE TO SHARE THAT LAST MONTH, THE BOARD APPROVED OUR EXTERNAL AUDITORS AND WE WILL BEGIN THAT WORK TO CLOSE OUT THE 23/24 SCHOOL YEAR.
WITH THAT IN MIND, WEAVER AND TIDWELL WILL BEGIN THEIR INTERIM WORK STARTING THIS MONTH AND I WANTED TO JUST BRIEFLY GO OVER THE SCOPE OF THAT PROCESS.
AS YOU ALL KNOW, WE ARE REQUIRED TO HAVE AN EXTERNAL REVIEW OF OUR FINANCIAL STATEMENTS AND OUR FINANCIALS EACH YEAR AND ALSO COMPLETE A SINGLE AUDIT.
WEAVER AND TIDWELL WILL BE PERFORMING THAT WORK FOR US.
AT THE CONCLUSION OF THEIR REVIEW OF OUR FINANCIAL STATEMENTS AND OUR PROCESSES AND PROCEDURES, THEY WILL THEN PRESENT A REPORT TO THIS COMMITTEE THAT WILL AFTERWARDS GO TO THE FULL BOARD FOR APPROVAL.
WHEN WE THINK ABOUT, AS I SAID, THE PLANNING PROCESS, WE ARE BEGINNING HERE IN THE INITIAL PLANNING, WHICH BEGINS WITH THE INTERIM FIELD WORK THAT TAKES PLACE.
THEY'RE ON SITE REQUESTING DOCUMENTS, MEETING WITH DIFFERENT TEAM MEMBERS AND DIFFERENT DEPARTMENTS TO ACQUIRE INFORMATION.
THEN THEY'LL COME BACK IN JUNE AND JULY, AND DO MUCH OF THAT SAME WORK AND THEN THEY'LL GO BACK, COME BACK AND DO SOME FINAL FIELD WORK.
THEN AT THE CONCLUSION OF THE PROCESS IN NOVEMBER IS WHEN WE'LL HAVE THE REPORT PREPARED TO SHARE WITH THE BOARD OF TRUSTEES.
I JUST WANTED TO TAKE A MOMENT TO EXPLAIN WHAT THAT PROCESS IS GOING TO LOOK LIKE AS WE PREPARE FOR INTERIM AND FINAL AUDIT TO CLOSE OUT THE 23/24 SCHOOL YEAR. ANY QUESTIONS?
>> I SEE THE SUPERINTENDENT HAS.
>> WE HAD A CONVERSATION ACTUALLY YESTERDAY THAT I WANTED TO ADD AND IF YOU WILL ALLOW ME TO.
>> AT THE END OF EACH OF OUR EXTERNAL AUDITORS, THEY GO THROUGH AND I'M NOT GOING TO USE THE RIGHT TERM BECAUSE THAT'S NOT MY WORK, BUT THE MATERIAL WEAKNESSES AND SO ON AND SO FORTH.
BUT SEPARATE FROM THAT, WE ALSO HAVE RECOMMENDATIONS THAT THEY GIVE US.
>> WHAT I WOULD LIKE TO ASK IS THAT MY EXPECTATION WOULD BE THAT WHILE THOSE ARE NOT, AND WE KNOW WE'VE IMPROVED GREATLY OVER THE LAST DECADE ON OUR FINANCIALS.
BUT ON THOSE RECOMMENDATIONS, HERE WERE THE RECOMMENDATIONS THAT THEY HAD FROM THE LAST EXTERNAL AUDIT THAT THEY JUST DID THIS PAST YEAR AND IF THEY COULD INCLUDE THOSE IN TERMS OF HOW ARE WE DOING SPECIFICALLY NOT JUST TO THE WORK OBVIOUSLY THAT THEY HAVE IN THEIR SCOPE, BUT ALSO A FOLLOW UP TO THOSE RECOMMENDATIONS THAT THEY'VE GIVEN US.
HOW ARE WE DOING WITH THOSE RECOMMENDATIONS? DOES THAT SEEM LIKE A REASONABLE REQUEST, DR. ALFRED STEVENS?
>> ONE FOR THE FIRST QUESTION IS,
[00:10:03]
WHAT PART DOES INTERNAL AUDIT PLAY WITH THE AUDITING, WITH THE EXTERNAL AUDITOR?>> TRUSTEE FOREMAN, ROBERT RUBEL, CHIEF AUDITOR FOR THE BROADCAST.
WE ALLOW SOME TIME AND ALLOCATE SOME TIME TO ASSIST THE EXTERNAL AUDITORS.
OVER THE LAST FEW YEARS, WE'VE ASSISTED IN IDENTIFYING AND LOCATING FIXED ASSETS.
FROM THEIR SAMPLE, THEY SELECT APPROXIMATELY 45-50 ITEMS AND WE'LL GO OUT TO THE SCHOOLS, TO ALL THE LOCATIONS THAT WE HAVE UP ON ROOFTOPS AND IDENTIFY THAT ASSET.
THEY HAVE ITEMS CAPITALIZED ARE OVER $5,000, SO THESE ARE LARGE DOLLAR ITEMS. AIR CONDITIONING UNITS ON TOP OF SCHOOLS.
THAT'S HOW WE'VE MAINLY ASSISTED OVER THE LAST FOUR OR FIVE YEARS I'VE BEEN HERE.
>> WELL, I THINK YOU'VE PROBABLY HEARD THIS FROM ME ALSO.
WE'VE HAD THE SAME EXTERNAL AUDITING FIRM FOR THE LAST NINE YEARS WITH NO MATERIAL FINDINGS.
WE'RE GOOD, BUT I HAVE SOME CONCERNS THAT WE HAVE THE SAME COMPANY COMING BACK AND WE HAVE NO WAY OF DETERMINING IF WE'RE GETTING ALL THAT WE SHOULD.
I'M GLAD THE SUPERINTENDENT AGREED TO PUT THE RECOMMENDATIONS IN BECAUSE THEY ALWAYS DO THE RECOMMENDATIONS OUTSIDE OF THE AUDIT REPORT.
THAT SKEWS THINGS AS FAR AS I'M CONCERNED.
I'M NOT AN AUDITOR, BUT I'M SMART ENOUGH TO KNOW THAT WE'RE NOT PERFECT AND IF WE'VE GOT SOME THINGS WE NEED TO LOOK AT, WE NEED TO LOOK AT THOSE THINGS.
I'M GLAD THE SUPERINTENDENT HAS AGREED ON THOSE RECOMMENDATIONS.
>> THANK YOU. WE'LL NOW MOVE ON TO 5.3 REPORT, AN EXTERNAL E-RATE AUDIT COMPLETED BY REGIS & ASSOCIATES PC CONDUCTED FOR UNIVERSAL SERVICE ADMINISTRATION.
>> THANK YOU, CHAIRMAN FLORES, TRUSTEES, AND SUPERINTENDENT.
ONE OF MY GOALS OVER THE LAST FEW YEARS IS TO BRING EXTERNAL AUDIT REPORTS TO THE COMMITTEE FOR THEIR REVIEW.
THIS IS AN EXAMPLE, A VERY POSITIVE AUDIT THROUGH E-RATE.
WE'VE INTERNALLY WORKED ON E-RATE FOR A NUMBER OF YEARS AND I WOULD PRESENT THIS AND TRY TO ANSWER QUESTIONS.
WE HAVE INFORMATION TECHNOLOGY HERE, THE E-RATE PERSONNEL THAT MAYBE KNOW A LITTLE BIT MORE THAN I DO AND THEY MIGHT BE ABLE TO ANSWER ANY OTHER QUESTIONS.
>> CAN YOU GIVE US JUST A TWO SECOND HIGH LEVEL OVERVIEW?
>> YES, SIR. I THINK THE KEY POINT IS, IS ALL THE WORK THAT THEY DID, THEY LOOKED AT ALL THE FUNDING, ALL THE FORMS THAT ARE DONE, AND THEY HAD NO AREAS OF NON-COMPLIANCE WITH FCC RULES.
THAT'S A PRETTY STRONG STATEMENT IN MY OPINION.
AS YOU CAN SEE ON PAGE 4 HIGHLIGHTS THE AMOUNT OF MONIES THAT ARE DISPERSED BACK, A LOT OF MONEY IN THE PROGRAM AND THAT'S THE INCENTIVE TO FOLLOW ALL THE RULES AND BE IN COMPLETE COMPLIANCE SO THAT WE'RE AFFORDED REIMBURSEMENT THROUGH THE PROGRAM.
>> JUST A COMMENT. THIS IS ABSOLUTELY GOOD NEWS.
WHEN I FIRST GOT ON THE BOARD, THE BIGGEST FINANCIAL ISSUE IN THE DISTRICT WAS THE FAILURE TO COMPLY WITH E-RATE RULES AND REGULATIONS, AND IT COST THE DISTRICT OVER $100 MILLION.
WE WERE, "IN E-RATE JAIL FOR A NUMBER OF YEARS." THE FACT THAT WE HAVE GOTTEN OUR SYSTEMS IN PLACE TO WHERE WE DON'T HAVE THESE COMPLIANCE PROBLEMS WITH E-RATE, I THINK IS REALLY A TESTAMENT TO A LOT OF GOOD WORK BY THE ADMINISTRATION, BY INTERNAL AUDIT, AND BY OUR EXTERNAL ASSISTANCE OVER THE YEARS.
BUT WHEN I HEAR THE TERM E-RATE, I DO REMEMBER THE HEARTBURN THAT
[00:15:01]
I FELT FOR A NUMBER OF YEARS WHEN I FIRST GOT ON THE BOARD.>> ANY OTHER COMMENTS OR QUESTIONS? I WAS JUST GOING TO HIGHLIGHT THAT THIS IS ACTUALLY REGIS ASSOCIATES ON BEHALF OF THE UNITED SERVICE ADMINISTRATION COMPANY.
>> YES. THIS WAS E-RATES AUDIT PAID BY THEM TO COME AND AUDIT US.
>> CONTRACTED? ABSOLUTELY. YEAH, TRULY INDEPENDENT.
WE HIRE WHITLEY PENN TO DO COMPLIANCE REVIEW, INTERNAL AUDITS DONE, COMPLIANCE REVIEW, AND THIS IS THEN AN ADDITIONAL THIRD PARTY.
THIS IS IF THERE HAD BEEN ISSUES, THEY WOULD HAVE TAKEN MONEY BACK AND THIS WOULD HAVE HAD SERIOUS CONSEQUENCES.
MY HATS OFF TO LEADERSHIP, SUPERINTENDENT, SHAWN'S GROUP, CHIEF, FOR THEIR DILIGENCE.
IF YOU HAVEN'T DONE YOUR E-RATE TRAINING, IT'S OUT THERE AVAILABLE RIGHT NOW.
>> I HAVE, EVEN THOUGH IT'S NOT GOING TO BE GOOD FOR A COUPLE OF WEEKS.
WELL, THAT'S GREAT. OF COURSE.
>> I GIVE OUR INSTRUCTIONAL TECHNOLOGY FOLKS SOMETIMES A HARD TIME AND I KNOW OUR BOARD AND COMMUNITY EXPECT REALLY GOOD WORK AS WE SHOULD.
BUT I DO WANT TO TAKE A MINUTE TO AT LEAST THANK CHIEF BRINKMAN AND HIS TEAM BECAUSE I CERTAINLY GO TO THEM WHEN THERE'S A PROBLEM.
I WANT TO THANK THE INSTRUCTIONAL TECHNOLOGY TEAM, WE DON'T GIVE THEM A LOT OF SHOUT OUTS.
BUT WHEN WE TALK ABOUT IN THE SHADOWS, IT'S NOT A PROBLEM UNTIL IT'S A PROBLEM AND THEN WE'RE CALLING INSTRUCTIONAL TECHNOLOGY ALL THE TIME WHEN SOMETHING ISN'T WORKING, AND SO I WOULD LIKE TO THANK AGAIN, SEAN BRINKMAN AND HIS ENTIRE TEAM FOR THE WORK THAT THEY'RE DOING.
THEY'RE ALSO THE DEPARTMENT THAT HAD THE LARGEST NUMBER OF POSITIONS THAT WERE ELIMINATED OVER THE LAST TWO YEARS AND I WANT THEM TO HEAR ME SAY THAT OUT LOUD BECAUSE I THINK SOMETIMES THEY THINK I DON'T KNOW WHAT ALL THEY'RE CUTTING OVER THERE.
THANK YOU TO THAT TEAM FOR CONTINUING TO DO REALLY GREAT WORK.
>> GREAT. THANK YOU. NOW MOVING ROUND ALONG, WE'RE GOING TO MOVE ON TO THE INTERNAL AUDIT REPORTS.
>> THANK YOU, TRUSTEE. WE GOT SEVEN REPORTS TO PRESENT TO THE COMMITTEE TODAY FOR YOUR REVIEW AND POSSIBLE ACCEPTANCE.
THE FIRST TWO ARE THE SEYMOUR PROJECTS, THOMAS JEFFERSON AND WALT HILL INTERNATIONAL ACADEMY.
WE BECAME INVOLVED IN THIS PROCESS OVER THREE YEARS AGO.
THIS IS THE FINAL CLOSEOUT ON THESE TWO PROJECTS, THEY'VE BEEN OBVIOUSLY PUT IN SERVICE, EXCUSE ME.
OUTSIDE CONSULTANT THAT HAD HELPED US THROUGH THIS OVER THE LAST FEW YEARS I BELIEVE ONLINE TODAY, WASN'T ABLE TO COME IN PERSON, BUT I THINK THE KEY WAS THAT WE WERE INVOLVED IN THE BEGINNING AND WE GOT EXPERTS INVOLVED IN THE BEGINNING AND WAS ABLE TO PROVIDE CONTINUOUS INPUT TO THE CONSTRUCTION TEAM THROUGH THAT NEGOTIATION PROCESS, HIS VAST EXPERTISE IN CONSTRUCTION AROUND THE STATE AND AROUND THE COUNTRY, ESPECIALLY IN K12 AND HIGHER EDUCATION, YOU KNOW, BUILDING THESE TYPES OF BUILDINGS.
IF YOU LOOK ON PAGE ACTUALLY,303.
IT'S FAIRLY SHORT REPORT, BUT IT SHOWS THROUGH REAL TIME INPUT AND OBSERVATION WHERE WE MADE SUGGESTIONS.
WE MAKE SUGGESTIONS AND RECOMMENDATIONS TO THE CONSTRUCTION TEAM IN THEIR NEGOTIATIONS, IN THEIR AI CONSTRUCTION DOCUMENTS.
THE ITEMS THAT ARE LISTED OUT, IT SHOWS YOU CLEARLY, THE COST SAVINGS AND AVOIDANCE BY WORKING WITH OUR CONSTRUCTION GROUP FROM THE BEGINNING.
IT WAS A SUBSTANTIAL AMOUNT OF MONEY THAT WE ENDED UP SAVING ON THESE PROJECTS.
I'M SORRY, 1.179 FOR TJ AND WALNUT HILL INTERNATIONAL.
I WOULD STOP THERE. IF THERE'S ANY QUESTIONS, I'LL MOVE IN AND THEN THAT WAS ONE CONTRACTOR THAT DID BOTH SCHOOLS.
>> WE'LL DO ANY QUESTIONS ON THAT PROJECT? WE'LL MOVE ON TO CAREER INSTITUTE NORTH.
CI NORTH WAS THE SECOND ONE THAT STARTED NOT LONG AFTER TJ.
I HAVE NOT TOURED THE SCHOOL, BUT I'VE HEARD REALLY GOOD THINGS ABOUT ALL THREE OF THESE AND HOPEFULLY I CAN GO OUT AND VISIT THEM ONE DAY. SAME PROCESS.
WE GOT INVOLVED IN THE BEGINNING, WE'VE MADE RECOMMENDATIONS.
TO POINT OUT, WE HAVE REPORTED OUT TO COMMITTEE OVER THE LAST THREE YEARS WITH INTERIM.
HOPEFULLY, THIS ISN'T TOTALLY NEW INFORMATION.
BUT EVEN THOUGH THE CI NORTH WAS A SMALLER TOTAL PROJECT COST AROUND 60 MILLION,
[00:20:04]
WE FOUND EVEN MORE COST SAVINGS AND COST AVOIDANCE BECAUSE WE FOUND SOME PROBLEMS THAT CAME UP THROUGH INITIAL BILLING PRACTICES THROUGH GMP ONES AND TWOS THAT WOULD HAVE COULD HAVE RUN THROUGH THE COURSE OF THE PROJECT IF IT HADN'T BEEN CAUGHT AND IDENTIFIED AND CORRECTED.I WOULD COMMEND, YOU KNOW, THE CONSTRUCTION TEAM FOR TAKING ALL THE RECOMMENDATIONS VERY, VERY SERIOUSLY, USING IT TO THE BEST OF THEIR ABILITY IN THE NEGOTIATION.
I THINK THE OUTCOME IS VERY FAVORABLE TO THE SCHOOL DISTRICT.
>> ANY QUESTIONS ON CAREER INSTITUTE NORTH REPORT?
>> A QUESTION PLEASE AND IT'S NOT NECESSARILY RELATED TO THIS INSTITUTION, BUT IT'S THE STRATEGY MOVING FORWARD FOR THESE PROJECTS TO CONTINUE TO UTILIZE THAT EXTERNAL RESOURCES TO PERFORM THE SIMILAR OVERSIGHT AT THE FRONT END OF EACH PROJECT?
HOWEVER, I THINK WITH ALL THE CONSTRUCTION DOCUMENTS BEING REVISED AND CONTINUALLY REVIEWED, THEY'RE IN MUCH BETTER SHAPE.
SO WE START OUT AT A MUCH HIGHER POINT, IF YOU WILL.
I CAN'T GUARANTEE THESE SAVINGS IN THE FUTURE, BUT WE'LL BE DILIGENT AND IF IT DOESN'T LOOK RIGHT, WE'LL QUESTION IT AND GO BACK TO THE TABLE WITH THEM.
>> BASICALLY, AS WE'VE IMPROVED THESE DOCUMENTS, THE STARTING DOCUMENT IS SO MUCH BETTER THAT THE SAVINGS WILL ALREADY BE BUILT INTO THE.
THE EXISTING. THE WORK THAT THE EXTERNAL CONSULTANT HAS DONE REALLY DIMINISHES BECAUSE WE'VE ALREADY FIXED SOME OF THESE THINGS UP FRONT.
>> TO A LARGE DEGREE, I WOULD SAY THAT'S TRUE.
BUT I WOULD CONTINUE I WILL CONTINUE TO BE VIGILANT BECAUSE OF THE SCALE OF THE BOND PROGRAM IS SO BIG.
>> ARE YOU TOGETHER, IT WAS LIKE 2 MILLION ON CI NORTH AND 1.1 MILLION ON JEFFERSON WALMUT HILL?
>> IT WAS A BIG IMPACT IT WAS IMPORTANT TO GET INVOLVED IN THE BEGINNING.
>> GOOD. APPRECIATE IT. I REMEMBER BECAUSE I WAS ON THE COMMITTEE MEETING.
I WAS ON THE COMMITTEE AT THE TIME WHEN THE SEYMOUR PERFECT, I MAY HAVE BEEN THE CHAIR.
I ASKED THE AUDIT DEPARTMENT TO I'LL START TO I THINK THERE WERE A LOT OF QUESTIONS AROUND SEYMOUR AND WHETHER IT WAS GOING TO BE THE RIGHT WAY TO GO OR NOT.
I THINK WE'RE LEGITIMATE QUESTIONS, AND I THINK WE ADDED TO HIS AUDIT REQUIREMENTS THAT WE LOOK AT THESE AND KEEP AN EYE ON THEM CLOSELY.
GLAD THAT WE DID AND FOUND THE RIGHT CONSULTANT TO HELP US SAVE SOME MONEY, BUNCH OF MONEY, $3 MILLION.
>> WE'VE LEVERAGED EVERYTHING WE'VE LEARNED WORKING WITH HIM, HE REALLY PARTNERS WITH OUR DEPARTMENT, TOO.
IT'S ABOUT LET'S GO DO IT AND IT'S A SECRET.
THE NEXT REPORT ON THE CSP AUDIT WILL SHOW THESE ARE SOME OF THE THINGS WE'VE LEARNED OVER THE COURSE OF THE LAST FEW YEARS.
THERE'S ALWAYS SOMETHING TO LOOK AT AND HOPEFULLY WE CAN SAVE MONEY EVERY STEP OF THE PROCESS.
I WILL STILL CONTINUE WITH TOWNSEND'S EXPERTISE.
MUCH LIKE RATE, WE SPENT A LOT OF MONEY AND PUT A LOT OF RESOURCES IN THE RATE BECAUSE THE DOWNSIDE RISK IS SO HIGH.
WE CAN'T AFFORD NOT TO BE IN COMPLIANCE.
>> YOU WANT TO MOVE ON TO THE NEXT ONE?
SHELLY KELLY AND WITH THE INTERNAL AUDIT DEPARTMENT.
SIMILAR TO SMRS, THIS NEXT REPORT OF THIS NEXT PROJECT HAS CONSTRUCTION COVERAGE, BUT WE LOOK AT CSP PROJECTS AND DOCS.
FOR THIS REPORTING PERIOD, SPECIFICALLY, WE LOOKED AT CHANGE CONTINGENCY USAGE ALLOWANCE.
WE TESTED, I THINK, 25 CAE'S, WHICH ARE THE FORMS THAT THE GCS USED TO SUBMIT FOR APPROVAL TO USE THE CONTINGENCY.
ALONG WITH THIS FORM, THEY'LL SUBMIT A DETAILED BREAKDOWN OF THE COSTS.
CONSTRUCTION SERVICES HAS IMPLEMENTED A PRETTY GOOD PROCESS WHERE THEY HAVE A STANDARDIZED TEMPLATE FOR THE GCS TO USE SO THAT THEY CAN EASILY VERIFY THAT THEY'RE SUBMITTING THOSE REQUIRED COSTS.
WE DIDN'T HAVE ANY OBSERVATIONS NOTICED.
JUST A COUPLE OF SUGGESTIONS ON WAYS TO ENHANCE THE TEMPLATE FOR THINGS THAT WE SAW THAT MIGHT BE CAUSING SOME CONFUSION WITH THE GCS.
BUT OVERALL, IT REALLY LOOKS LIKE THE CONTROLS THAT THEY HAVE IN PLACE ARE WORKING.
I'D BE HAPPY TO ANSWER ANY QUESTIONS.
>> THIS IS MAYBE NOT A QUESTION SPECIFICALLY FOR THE ID GROUP, BUT MAYBE FOR CONSTRUCTION SERVICES.
AS WE CONTINUE TO MOVE FORWARD, IS THERE GOING TO CONTINUE TO BE A MIXTURE OF SEYMOURS, CSP,
[00:25:05]
AND JOCK METHOD IS UTILIZED FOR THE VARIOUS PROJECTS, OR ARE WE GOING TO STICK WITH ONE OR IS IT JUST GOING TO BE EVALUATED ON A CASE BY CASE BASIS? [INAUDIBLE]>> HELLO. THANK YOU. YES. IT'S A CASE BY CASE BASIS DEPENDING ON THE TYPE OF PROJECT, WHICH EACH METHODOLOGY IS SUITED FOR.
>> MY APOLOGIES. CONTINUOUS AUDIT PAYROLL AND DISBURSEMENTS FOR Q1 AND Q FISCAL YEAR 2023/2024.
>> GOOD AFTERNOON, TRUSTEES AND SUPERINTENDENT.
EACH YEAR, WE CONDUCT THIS AUDIT AND CONTINUOUSLY REVIEW PAYROLL AND REIMBURSEMENT TRANSACTIONS ON A QUARTERLY BASIS.
INTERNAL AUDIT REVIEWED TRANSACTIONS FOR Q1 AND Q2, AND NO RECOMMENDATIONS WERE REPORTED.
>> TRUSTEES, ANY QUESTIONS? TRUSTEE FOREMAN.
ON PAGE 3, IN QUARTER 1, THE NUMBER OF EMPLOYEES WITH MILEAGE REIMBURSEMENT, THERE WAS ALMOST 200 JUMP ON THAT.
IS THAT BECAUSE OF ADDITIONAL EMPLOYEES? IT'S ON THE TABLE 1, 1, 2, 3, 4, 5.
TRUSTEE FOREMAN, I'D HAVE TO CHECK ON THAT.
QUARTER 1 WOULD START JULY, AUGUST, SEPTEMBER. IS THAT CORRECT?
>> OUR QUARTER WOULD START REALLY BEFORE THE SCHOOL YEAR.
>> I'D JUST LIKE TO KNOW, BECAUSE I'VE BEEN REALLY TRACKING MILEAGE AND LOOKING AT MILEAGE AND THE NUMBER OF PEOPLE THAT ARE RECEIVING MILEAGE, WHICH IS IN ADDITION TO THEIR PAYCHECK.
I'M JUST INTERESTED BECAUSE OF THAT LARGE JUMP. THANK YOU.
>> THE SECOND QUARTER WOULD BE-
>> OCTOBER, NOVEMBER, DECEMBER, SO MORE, WHAT I WOULD CALL [OVERLAPPING] THE ACTIVE SCHOOL YEAR, OR SOMETHING.
>> DOES THAT INCLUDE EMPLOYEES THAT RECEIVE A STIPEND? THAT'S A WHOLE ANOTHER NUMBER.
>> NO, MA'AM. THIS IS JUST SUPPLEMENTS.
>> THAT'S A WHOLE ANOTHER NUMBER WHEN IT GETS TO THE STIPENDS.
I'D LIKE TO HAVE THAT ADDED TO THIS TO BE ABLE TO REALLY UNDERSTAND WHAT WE'RE ACTUALLY SPENDING ON MILEAGE, BECAUSE FOR A STIPEND THAT IS ALSO FOR MILEAGE, JUST NOT REPORTED AS MILEAGE. THANK YOU.
>> QUICK QUESTION TO PIGGYBACK OFF OF [OVERLAPPING] TRUSTEE FOREMAN.
CAN YOU GIVE ME A LITTLE BACKGROUND AS FAR AS WHAT THE POLICY IS FOR REIMBURSABLE MILEAGE? IS COMMUTE MILES REDUCED? JUST GIVE SOME CONTEXT, BECAUSE THIS APPEARS JUST TO BE AN ANALYSIS.
THERE COULD BE SOME ITEMS IN THERE THAT MAY NOT BE REIMBURSABLE THAT WE'RE NOT LOOKING AT, SO I'M JUST WANTED A LITTLE BACKGROUND ON THAT.
>> SURE. AS AN EXAMPLE IS IF YOU'RE CENTRAL STAFF BASED HERE, YOU WOULD GO FROM HOME TO HERE, AND THEN IF YOU HAVE TO GO TO A CAMPUS OR ANOTHER LOCATION, THEN THAT MILEAGE IS REIMBURSABLE.
THEN WHEN YOU SUBMIT YOUR EXPENSE REPORT ONLINE, THERE'S LINE ITEMS SPECIFIC LIKE FROM HERE TO EACH CAMPUS.
SO YOU JUST HAVE TO SELECT WHICH ROUTE YOU TOOK OR WHICH LOCATION YOU WENT TO.
>> I HAVE A QUICK QUESTION. UNDER NUMBER 6 ON PAGE 5 OF EIGHT UNDER THE DUPLICATE VENDORS, I NOTICE THAT THE GROUP OF NUMBERS OF THE NUMBER OF VENDORS, ALL THREE NUMBERS DROPS DRAMATICALLY FROM Q1-Q2 DUPLICATE.
IS THERE ANY REASON FOR THAT TIMING OR OTHERWISE? THAT SEEMS LIKE A LOT OF DUPLICATES GOING TO A REASONABLE AMOUNT OF DUPLICATES.
>> WE WOULD HAVE TO FOLLOW UP ON THE REASON FOR THE DECREASE.
>> ANY OTHER QUESTIONS ON THIS AUDIT? IF NOT, WE'LL MOVE ON TO THE CONTINUOUS AUDIT SR FUNDING.
[00:30:07]
>> I'M NOT SURE THIS REPORT HAS ANYTHING REALLY NEW TO REPORT ON.
WE DO THIS, WE'VE BEEN DOING IT FOR A COUPLE YEARS NOW, AND WE'RE CONTINUING TO TEST TRANSACTIONS, BOTH PAYROLL AND NON-PAYROLL, AND THE SELECTIONS ARE MADE FROM THE DRAWDOWN REQUEST FOR REIMBURSEMENT.
THERE WERE NO OBSERVATIONS NOTED.
AGAIN, THERE'S CONTROLS IN PLACE, SEVERAL LAYERS OF REVIEW AND APPROVAL, TO MAKE SURE THAT THESE EXPENDITURES ARE ALLOWABLE.
I'D BE HAPPY TO ANSWER ANY QUESTIONS, THOUGH.
>> YEAH. THIS WAS ANOTHER ONE WHEN WHEN THIS STARTED, WE SAID, GUESS WHAT? YOU ALL NEED TO FIGURE OUT HOW TO LOOK AT THIS, SO WE APPRECIATE YOUR WORK.
THE WHOLE TIME WE'VE BEEN RECEIVING SR FUNDINGS TO MAKE SURE WE'RE DOING A GOOD JOB WITH THAT TAXPAYER'S MONEY.
NO MORE QUESTIONS, THEN WE'LL MOVE ON TO THE CAMPUS-BASED CONTROLS AUDIT.
>> SORRY, I'M RICHARD SIU WITH INTERNAL AUDIT.
SIMILAR TO THE CONTINUOUS PAYROLL AND DISBURSEMENT, EACH YEAR WE DO CONDUCT CAMPUS-BASED CONTROL AUDITS.
THIS YEAR WE WENT TO SIX CAMPUSES AND WE REVIEWED THE ACTIVITY FUNDS, PAYROLL OVERTIME, ATTENDANCE FOR CREDIT, CAFETERIA OPERATIONS.
AS NOTED IN THE REPORT, THERE WERE SOME OBSERVATIONS FOR ACTIVITY FUNDS, PAYROLL, AND ATTENDANCE FOR CREDIT.
>> THERE'S A SUMMARY SHEET THAT SHOWS WHERE WE'VE IDENTIFIED OBSERVATIONS IN THE APPENDIX 1.
THESE HAD AND HAVE BEEN COMMUNICATED TO THE PRINCIPALS.
A RESPONSE WAS NOT NEEDED FOR THIS SUMMARY REPORT, BUT WE'LL BE GLAD TO ANSWER ANY QUESTIONS.
WE'VE COMMUNICATED THIS THROUGH SCHOOL LEADERSHIP.
>> JUST A QUICK QUESTION. WHERE IN THE REPORT DOES IT IDENTIFY SPECIFIC SCHOOLS AND WHERE THERE MIGHT BE ISSUES?
>> ON APPENDIX 1, THE SCHOOLS ARE LISTED ACROSS THE TOP, AND THE TESTING AREAS ARE LISTED DOWN ON THE LEFT SIDE.
PAGE 11 OF 13 IS WHERE APPENDIX [OVERLAPPING] 1 STARTS.
>> THERE YOU GO. THANK YOU SO MUCH.
>> A LOT OF INFORMATION IN THAT TABLE.
>> WAS THIS A SAMPLE AUDIT OR RANDOM AUDIT, OR DID YOU DO THE AUDIT OF THESE CAMPUSES WHERE THERE WAS PARTICULAR ISSUES?
>> JUST REAL QUICK. THESE ARE THE SIX SCHOOLS SINCE WE LAST HAD AN AUDIT REPORT?
>> WE HAVE OTHERS THAT WE'RE FINISHING UP NOW.
THEY'LL BE REPORTED OUT IN SEPTEMBER? YES, SIR.
>> IF NOT, WE'LL MOVE ON TO HOUSE BILL 1416 TUTORING AUDIT.
>> GOOD AFTERNOON, TRUSTEES, SUPERINTENDENT.
MY NAME IS SAM WILSON, AUDIT MANAGER WITH THE OFFICE OF INTERNAL AUDIT.
I'M HERE TO DISCUSS HOUSE BILL 1416, TUTORING AUDIT.
HOUSE BILL 1416 WAS PASSED BY OUR STATE LEGISLATURE REQUIRING THE DELIVERY OF ACCELERATED INSTRUCTION FOR CERTAIN STUDENTS WHO HAD NOT MET SATISFACTORY PERFORMANCE LEVELS ON STAR OR EOC ASSESSMENTS.
THIS ACCELERATED INSTRUCTION OR TUTORING HAS BEEN DEEMED CRITICAL IN HELPING OUR STUDENTS RAISE THEIR KNOWLEDGE BASE AND HOPES IT RESULTS IN IMPROVED ASSESSMENT SCORES.
THE FOLLOWING RECOMMENDATIONS WERE NOTED REGARDING THIS AUDIT.
HB 1416 TUTORING HOURS SHOULD BE CORRECTLY IDENTIFIED.
AUDITORS NOTED THAT THERE'S AN OPPORTUNITY TO REFINE THE QUERY CRITERIA FOR IDENTIFYING STUDENTS THAT MEET THE HOUSE BILL 1416 REQUIREMENT IN ORDER TO ENSURE ALL STUDENTS WHO NEED TUTORING ARE RECEIVING TUTORING.
TUTORING SERVICES ALREADY BEGUN TO OUTLINE CRITERIA FOR THE UPCOMING SCHOOL YEAR TO ENSURE THAT TUTORING HOURS ARE CORRECTLY IDENTIFIED MOVING FORWARD.
PROOF OF SERVICE PROCESSES COULD BE STREAMLINED.
[00:35:02]
AS NOTED IN THE REPORT, THERE'S CURRENTLY A SIGNIFICANT ADMINISTRATIVE BURDEN TO DOCUMENT HOUSE BILL 1416 TUTORING SERVICES.TUTORING SERVICES HAS ALREADY IMPLEMENTED AN EFFECTIVE PLATFORM FOR TRACKING AND MANAGING TUTORING HOURS.
AS SUCH, AUDITORS RECOMMENDED USING THIS PLATFORM AS THE DOCUMENTATION OF SERVICES RENDERED.
SOME ADDITIONAL CONTROLS WERE RECOMMENDED TO PROVIDE FOR PROPER VERIFICATION AND ACKNOWLEDGMENT OF SERVICES.
WITH THE IMPLEMENTATION OF THESE CONTROLS, AUDITORS BELIEVE TUTOR TRACK CAN EFFECTIVELY SERVE AS THE DOCUMENTATION FOR PROOF OF SERVICES AND HAVE A MAJOR IMPACT ON DECREASING THE LABOR BURDEN AND ALLOW THE DEPARTMENT AND TUTORS TO FOCUS ON COMPLETING THE HOURS AND PROVIDING STUDENTS WITH THE EFFECTIVE ACCELERATED INSTRUCTION.
THE THIRD MONITORING CONTROLS FOR STUDENT WAIVERS COULD BE ENHANCED.
HOUSE BILL 1416 REQUIRES WAIVERS FOR STUDENTS WHO ATTEND IN SESSIONS OF FOUR OR MORE PARTICIPANTS.
THE DEPARTMENT HAS DONE AN EXCELLENT JOB TO IDENTIFY AND TRACK STUDENTS FOR WHICH A WAIVER HAS NOT BEEN OBTAINED AND HAS EVEN PUT IN SYSTEM CONTROLS TO PREVENT STUDENTS WITHOUT A WAIVER FROM BEING ADDED TO A QUALIFYING SESSION.
HOWEVER, THESE CONTROLS ARE MOST EFFECTIVE IF A SESSION IS PRE-SCHEDULED.
AS THE ULTIMATE GOAL IS FOR THE STUDENTS TO RECEIVE THE HOURS, THE OFFICE OF INTERNAL AUDIT RECOMMENDED ADDITIONAL MONITORING CONTROLS TO IDENTIFY STUDENTS WHO ARE REPEATEDLY ATTENDING SESSIONS OF FOUR OR MORE WITHOUT A WAIVER, ALONG WITH SOME ADDITIONAL COMMUNICATION SUGGESTIONS TO STUDENTS AND PARENTS IN ATTEMPTS TO INCREASE WAIVER SUBMISSIONS.
LASTLY, FURTHER STRATEGIES COULD BE DEVELOPED FOR INCREASING STUDENT PARTICIPATION RATES.
AUDITORS NOTE THERE'S A SIGNIFICANT OPPORTUNITY TO INCREASE TUTORING PARTICIPATION RATES AMONG STUDENTS THAT COULD BE ACCOMPLISHED BY FURTHER MONITORING AND ASSESSING REASONS FOR LOW PARTICIPATION RATES, ENHANCING CAMPS TUTORING PLANNING PROCESSES, AND ENHANCING PARENT INVOLVEMENT.
I'M AVAILABLE FOR ANY QUESTIONS.
>> TRUSTEES, ANY QUESTIONS? TRUSTEE FORMAN.
DO WE KNOW THE TOTAL NUMBER OF STUDENTS THAT HAVE BEEN TUTORED FOR THIS SCHOOL YEAR?
IT LOOKS LIKE 787,000. COME ON.
>> THAT'S NUMBER OF HOURS. WE COULD GET YOU A LISTING.
>> I'M NOT LOOKING FOR HOURS, I'M LOOKING FOR STUDENTS.
>> THE NUMBER OF STUDENTS, AS I SAY [OVERLAPPING].
>> THEN AFTER THE NUMBER OF STUDENTS, HOW ARE WE MEASURING THE EFFECT OF TUTORING? WE'VE HAD THIS CONVERSATION. PLEASE.
>> YES. THANK YOU, TRUSTEE FORMAN FOR THAT QUESTION.
WE ARE SURVEYING THE CAMPUSES TO DETERMINE IF THEY FEEL LIKE THE QUALITY OF THE TUTORING IS WHAT THEY NEED FOR THEIR STUDENTS.
THEN WHAT WE'LL DO THIS YEAR AS WE'VE ROLLED OUT THIS TUTORING PROCESS, WE'LL BE LOOKING AT THE STUDENT OUTCOMES AS IT RELATES TO THE TUTORING SESSIONS THAT THEY RECEIVED.
IS THERE AN ACTUAL IMPACT ON STUDENT OUTCOMES FROM THE TUTORING THAT THEY'RE RECEIVING FROM THE DIFFERENT VENDORS AND/OR TEACHERS?
>> BECAUSE WE ARE TRACKING STUDENT BY STUDENT, IT SHOULD BE SUPERINTENDENT BY STUDENT OUTCOME.
WE ARE NOW TRACKING SCHOOLS, IF I'M CORRECT, STUDENT BY STUDENT.
IT WOULD MAKE MORE SENSE IF WE'RE HAVING A TUTORING COMPANY TO BE ABLE TO UNDERSTAND HOW THAT STUDENT HAS ADVANCED.
DOES THAT MAKE SENSE OR AM I JUST CRAZY?
>> NO. WE'RE DOING A RETURN ON INVESTMENT.
THE SCHOOL LEADERSHIP TEAM IS DOING EXACTLY WHAT YOU'RE DESCRIBING.
THEY'RE COMPARING WHETHER STUDENTS ARE RECEIVING IT THROUGH A PARTNERSHIP, MEANING LIKE A VENDOR OR IF IT'S A TEACHER BECAUSE WE HAVE VARIOUS DIFFERENT WAYS WHICH WE'RE DOING THAT.
THEN THEY'RE ALSO EVALUATING STUDENTS THAT ACTUALLY ARE BEING SERVED DURING THE SCHOOL DAY BY A TEACHER WHO MEETS THE CRITERIA.
IF WE PLACE OUR MOST PROFICIENT TEACHERS WITH THE STUDENTS, WE ACTUALLY THEN DON'T HAVE TO ADD ADDITIONAL HOURS AND WE WANT TO SEE ARE THE STUDENTS DOING BETTER? I DON'T THINK THEY'VE COMPLETED THAT, BUT WE WOULD BE ABLE TO BRING THAT TO YOU.
>> WELL, MY CONVERSATION WITH [INAUDIBLE] HERE, WE SAID SOME OF THE VERY SAME THINGS.
BUT WHAT MY CONCERN IS IS THAT WHILE WE'RE
[00:40:01]
INVESTING IN TUTORING AND I PREFER ACTUALLY THE TEACHERS DOING THE TUTORING.AS OPPOSED TO AN OUTSIDE SOURCE BECAUSE THEY KNOW THE KIDS.
BUT IF WE'RE USING AN OUTSIDE SOURCE, WE HAVE TO MEASURE TO MAKE SURE THAT THESE STUDENTS ARE PROGRESSING.
I'M PARTICULARLY TALKING ABOUT TIER 2 AND TIER 3 STUDENTS TO MOVE THEM FORWARD SO THAT THEY BEGIN TO GO TO MEET THE MASTERS AND ALL THOSE OTHER GOOD THINGS.
I JUST WANTED TO MAKE SURE WE WERE STILL ON THE SAME PAGE.
>> WHAT IS OUR TAKEAWAY ON HOW WELL THIS PROGRAM IS WORKING? WE HAVE LOW PARTICIPATION RATES.
I SAW THAT. HOW ABOUT, WITH RESPECT TO THE STUDENTS WHO ARE PARTICIPATING, WHAT'S THE BIG TAKEAWAY?
>> I WOULD SAY THAT OUR BIG TAKEAWAY RIGHT NOW WE ARE ABOUT 69% OF THE WEIGHT DONE WITH THE HOURS.
THE STUDENTS THAT NEED THE REQUIRED HOURS WERE BETWEEN 69 AND ABOUT 75% DONE.
WHEN WE TALK ABOUT LOW PARTICIPATION RATES, WHAT WE'RE LOOKING AT ARE LOW PARTICIPATION RATES AFTER SCHOOL, BUT WE ALSO HAVE TO REMEMBER THAT WE HAVE STUDENTS THAT ARE ASSIGNED TO TEACHERS THAT DON'T HAVE TO COME TO AFTER SCHOOL TUTORING.
WE ACTUALLY APPRECIATED THIS AUDIT BECAUSE WE ASKED FOR THE AUDIT SO WE COULD FIND THOSE GAPS, AND WE WERE ABLE TO PIVOT SOME OF OUR SYSTEMS, AND SO STREAMLINING THE WAY THAT WE ARE ALSO SCHEDULING DURING THE SCHOOL DAY TO INCREASE PARTICIPATION FROM STUDENTS.
AGAIN, AS THE SUPERINTENDENT STATED, WE HAVE AFTER SCHOOL, BUT THAT'S NOT THE ONLY THING, WE HAVE ASSIGNED TEACHERS, AND WE ALSO HAVE DURING SCHOOL TUTORING.
SO WE'RE ABLE TO INCREASE THE PARTICIPATION RATES IN THOSE OTHER WAYS.
>> DO WE THINK THIS PROGRAM IS WORKING WELL?
>> I THINK WHAT WE'LL BE ABLE TO DETERMINE ONCE WE SEE THE OUTCOMES FROM STUDENTS IS HOW WELL IT'S WORKING AND WHERE IT'S WORKING BEST.
>> YOU'RE RESERVING JUDGMENT. IT'S TOO EARLY TO TELL.
>> BUT IF I MAY ADD, PART OF THIS IS WHETHER IT'S WORKING OR NOT, OF COURSE, IS THE MOST IMPORTANT THING.
HOWEVER, THIS WAS ORIGINALLY CALLED HOUSE BILL 4545, AND SO JUST AS A REMINDER, IT'S STILL A REQUIREMENT.
WE EVEN HAVE SOME STUDENTS THAT WE HAVE GOOD REASON TO BELIEVE THEY JUST DIDN'T DO WELL ON THE TEST FOR SOME OTHER REASON, NOT NECESSARILY BECAUSE THEY NEED TUTORING.
SOMETHING COULD HAVE HAPPENED IN A DISTRICT THIS LARGE WITH A NUMBER OF STUDENTS THAT WE TEST.
HOWEVER, WE HAVE TO ENSURE THAT WE'RE MEETING WHAT'S NOW 1416.
WE'RE DOING BOTH. FIRST AND FOREMOST, WE WANT TO KNOW WHAT IS IT THAT WE'RE INTERVENING WITH THAT IS PRODUCING THE OUTCOMES.
STUDENT CHARACTERISTICS ARE VERY DEFINED.
IF THE STUDENT DID NOT MEET THE CRITERIA ON THE STATE ASSESSMENT, THEN THEY'RE REQUIRED TO HAVE THESE NUMBER OF HOURS.
THEN SEPARATE FROM THAT IS, IS THAT WORKING? MEANING WE REALLY DON'T KNOW IF IT'S WORKING UNTIL THE NEXT TIME THEY TAKE THE ACTUAL STATE ASSESSMENT.
A WHOLE YEAR THAT ACTUALLY GOES BEFORE WE CAN ACTUALLY DETERMINE.
THE TEAM UTILIZES MAP TO SEE IF, IN FACT, THEY'RE MAKING PROGRESS JUST IN A NATIONALLY NORMED ASSESSMENT.
THEN SECONDLY, WE STILL HAVE TO KEEP TRACK OF ALL OF THE HOURS BECAUSE WE NEED TO MAKE SURE THAT WE'RE IN COMPLIANCE WITH THAT BECAUSE IT COULD COST US DOLLARS.
IF TEA THEN DECIDED WE DIDN'T MEET THE NUMBER OF HOURS, THEY COULD SAY THAT THAT COULD AFFECT SOME OF OUR FUNDING.
>> YOU'RE IN AGREEMENT WITH THE RECOMMENDATIONS?
>> ABSOLUTELY. WE HAD AN OPPORTUNITY TO CONNECT WITH THEM EARLIER ON AND WE BEGAN IMPLEMENTING MANY OF THE RECOMMENDATIONS ALREADY.
>> I JUST HAVE A QUICK CLARIFYING QUESTION.
THE REQUIREMENTS THAT THE LAW AND TEA SET OUT AS TO WHO NEEDS TUTORING, DO THOSE REMAIN STATIC OR DO THEY CHANGE OVER TIME?
>> FOR THE LAW, THAT'S STATIC.
IT'S FROM ASSESSMENT TO ASSESSMENT.
HOWEVER, FOR THE STUDENTS THAT ACTUALLY NEED TUTORING BASED ON TEACHER OBSERVATION AND STUDENT OUTCOMES THROUGHOUT THE SCHOOL YEAR, THOSE CHANGE OVER TIME.
>> YOU START WITH A POPULATION AND THEN IT EVOLVES?
>> TRUSTEES, ANY OTHER QUESTIONS? THAT'S THE END OF THE REPORTS, RIGHT?
>> NOW WE ARE GOING TO CONSIDER AND TAKE POSSIBLE ACTION TO ACCEPT AND MAKE FINAL INTERNAL AUDIT REPORTS.
DO I HAVE A MOTION TO ACCEPT AND MAKE FINAL INTERNAL AUDIT REPORTS?
>> WE HAVE A MOTION AND A SECOND.
TRUSTEES, ANY QUESTIONS OR COMMENTS? IF NOT, PLEASE CAST YOUR VOTE.
>> WE HAVE JUST ADOPTED THE MOTION TO ACCEPT
[00:45:01]
AND MAKE FINAL INTERNAL AUDIT REPORTS.THE NEXT ITEM IS 5.5, REPORT ON STATUS OF AUDIT FOLLOW UP.
>> COME IN. TRUSTEES AND SUPERINTENDENT, WE DID FIND SIX RECOMMENDATIONS THAT WERE READY FOR FOLLOW UP.
WE COMPLETED THAT AND ALL SIX HAVE BEEN IMPLEMENTED.
JUST A REMINDER, WE DO HAVE REMAINING ITEMS IN INVENTORY THAT AREN'T DUE YET, BUT WE TRACK EVERY SINGLE ONE AND WE REPORT BACK WHEN THEY'RE READY TO BE REVIEWED.
>> TRUSTEES, ANY QUESTIONS ABOUT THE SIX THAT HAVE BEEN IMPLEMENTED? THEY'RE ALL IN THE GREEN?
>> IF NOT, WE WILL MOVE ON TO THE 5.6, REPORT ON DISTRICT HOTLINE.
>> I'M GOING TO MOVE CHAIRS. I FEEL LIKE I'M SITTING ON THE FLOOR.
I HAVE ISA HERNANDEZ, MY MANAGER IN INVESTIGATIONS AREA TO REPORT ON HOTLINE STATUS.
>> YES. 5.6, REPORT ON THE HOTLINE.
PAGE 1 SHOWS THE TOTAL HOTLINE REPORTS RECEIVED IN THE CURRENT 2024 FISCAL YEAR.
THE PERIOD IS FROM JANUARY THE 20TH, 2024 TO APRIL 19TH, 2024.
FOR THIS PERIOD, 898 CASES WERE RECEIVED.
MOVING ON TO PAGE 2, IT SHOWS THE HOTLINE REPORTS RECEIVED BY FISCAL YEAR 2019-2023.
PAGE 3 SHOWS THE OPEN HOTLINE REPORTS AGING.
THE REPORT SHOWS 172 OPEN CASES AS OF APRIL 19TH, 2024, AND THAT IS WITH TWO CASES ASSIGNED TO THE OFFICE OF INTERNAL AUDIT, FOUR CASES ASSIGNED TO THE POLICE DEPARTMENT, 110 CASES ASSIGNED TO LEGAL SERVICES, TITLE IX AND EQUAL OPPORTUNITY COMPLIANCE, AND 56 CASES WERE ASSIGNED TO THE PROFESSIONAL STANDARDS OFFICE.
>> TRUSTEES, ANY QUESTIONS ABOUT THE DISTRICT HOTLINE? TRUSTEE FOREMAN?
>> YES. I'M ON PAGE 3 OF 3, AND JUST CURIOUS OF THE LARGEST NUMBER OF CASES HAVE BEEN REPORTED TO LEGAL SERVICES.
THAT'S OUTSTANDING. LEGAL SERVICES, TITLE IX, EEO COMPLIANCE.
CAN WE BREAK THOSE DOWN BY THE NUMBER THAT'S LEGAL SERVICE, THE NUMBER THAT'S TITLE IX, AND EEO COMPLIANCE? BECAUSE THOSE ARE ALL DIFFERENT CATEGORIES, AND IT WOULD BE INTERESTING TO KNOW.
>> YES, WE CAN BREAK THOSE DOWN.
SUBSTANTIALLY MOST OF THOSE ARE TITLE IX.
>> I'LL BREAK THOSE OUT FOR YOU HERE.
>> JUST NEED A BREAK OUT BECAUSE I WANT TO KNOW A LITTLE BIT MORE ABOUT SOME OF THOSE TITLE IX.
>> I'LL GIVE YOU THOSE CATEGORIES THAT SHOW UP ON PAGE 2.
IT'S USUALLY STUDENT ON STUDENT THOSE TYPES OF THINGS.
>> BUT IT COULD BE ATHLETICS, IT COULD BE OTHER THINGS?
>> I WAS WONDERING IF YOU COULD GIVE ME YOUR THOUGHTS ON WHAT YOU SEE AS TRENDS IN THE TYPES OF THINGS THAT ARE COMING TO TO THE HOTLINE.
DO YOU SEE INCREASES IN PARTICULAR AREAS THAT ARE MEANINGFUL, OR DECREASES THAT YOU CONSIDER MEANINGFUL?
>> THIS LAST QUARTER, TOWARDS THE END OF THE SCHOOL YEAR, WE SEE A BIG UPTICK IN EMPLOYEE MISCONDUCT.
THOSE ARE VARIOUS ITEMS. TEND TO GO WAY UP FOR WHATEVER REASON.
I THINK THESE TITLE IX ISSUES TEND TO TREND UP AND THERE'S TWO OR THREE CATEGORIES THAT ARE LUMPED TOGETHER TO GET THAT BIG NUMBER, AND I CAN GIVE YOU THOSE BREAKDOWNS.
THOSE HAVE TRENDED UP FOR VARIOUS REASONS.
I DON'T HAVE A REALLY GOOD IDEA ON THAT OTHER THAN THEY DEFINITELY KNOW WHERE TO REPORT IF THERE'S AN ISSUE THAT COMES UP.
>> ALSO, WE'VE SEEN A BIG UPTAKE IN SEXUAL OFFENSES AS WELL.
WE'VE GOTTEN QUITE A FEW REPORTS ON THAT.
>> IF THERE ARE NO OTHER QUESTIONS, THAT'S THE DISTRICT HOTLINE.
THE NEXT ITEM IS 5.7, REPORT ON STATUS OF AUDIT PLAN AND SUFFICIENCY OF DEPARTMENT RESOURCES.
>> THE CURRENT YEAR AUDIT PLAN, PAGE 1 AND 2,
[00:50:06]
YOU CAN SEE THAT MORE THAN HALF OF THE PROJECTS HAVE BEEN COMPLETED AND LARGE NUMBER IN PROGRESS THAT WE'LL FINISH UP THIS MONTH IN MAY AND JUNE.SOME E-RATE THAT WE TEND TO START LATE IN THE YEAR.
I WAS WAITING ON THIS EXTERNAL REPORT AND SOME OTHER THINGS TO FIGURE OUT WHERE TO PUT OUR RESOURCES FOR E-RATE.
THEN AN ETHICS AND COMPLIANCE THAT WILL GET FINISHED BY THE END OF THE YEAR.
OVERALL, I THINK PLAN STATUS IS GOING VERY WELL.
WE'LL COMPLETE THE PLAN BY THE END OF THE FISCAL YEAR WITH VERY LITTLE CARRY OVER, I WOULD ADD.
THEN STAFFING, WE'RE FULLY STAFFED.
MY LATEST EMPLOYEE WOULD START IN A FEW WEEKS.
WE HAD AN OPENING AND SOME TURNOVER, BUT I DID FILL THAT SO FULLY STAFFED.
>> ANY QUESTIONS, TRUSTEE FOREMAN?
>> YES. THE LAST TWO ITEMS, WHICH IS SOFTWARE LICENSING AND FOOD AND CHILD NUTRITION, SAYS THEY WERE REPLACED.
THEY WERE REPLACED WITH WHAT AND WHY?
>> AT THE LAST MEETING, WE DISCUSSED THE FOOD AND CHILD NUTRITION, THE AUDIT THAT WAS PERFORMED BY TEXAS DEPARTMENT OF AG ON BEHALF OF THE STUDENT NUTRITION PROGRAM.
WE'VE ACTUALLY GONE BACK BASED ON YOUR QUESTIONS AND LOOKED AT THE INFORMATION REQUEST AND THEIR PROGRAM THAT THEY HAD COMPLETED SO THAT NEXT YEAR WE'LL KNOW WHAT TO CONSIDER BASED ON THEIR SCOPE OF WORK, WHETHER WE DUPLICATE IT, WHERE YOU WILL TRY TO DO SOMETHING DIFFERENT.
THAT WAS A VERY EXTENSIVE AUDIT.
WHO'S GOING TO HELP ME ON THAT ONE TOO?
>> WE REPLACED IT WITH, WHAT WAS THAT AUDIT? I'M SORRY.
>> I THINK WE REPLACED THAT ONE WITH THE EMPLOYEE BACKGROUND CHECKS, WHICH WE'LL PRESENT AT THE SEPTEMBER MEETING.
THEN WE'VE HAD SOME DISCUSSIONS WITH FOOD AND CHILD NUTRITION SO THAT WE CAN GET LOOPED IN ON THOSE EXTERNAL AUDITS AS THEY'RE HAPPENING.
>> DID WE REPLACE SOFTWARE LICENSE?
>> NO, WE ADDED TO CAMPUS BASED CONTROLS FOR SOFTWARE LICENSING.
>> WE ADDED TO THE CAMPUS BASED CONTROLS HOURS SO THAT WE COULD GO VISIT MORE CAMPUSES AND DO THOSE AUDITS FOR THE SOFTWARE LICENSING.
>> WITH THE SOFTWARE LICENSING, WHAT HAPPENED WAS JUST THAT THEY WERE IN A FOLLOW UP AND WE WERE EXPECTED TO HAVE SOME PENDING ITEMS DONE IN I THINK JUNE OF LAST YEAR, BUT THEY NEEDED TO EXTEND THAT FOLLOW UP SO WE WEREN'T REALLY ABLE TO DO THIS UPCOMING AUDIT UNTIL THEY IMPLEMENT THOSE THINGS, SO IT'S JUST A ROLLING.
>> IS IT GOING TO BE ADDED TO NEXT YEAR'S AUDIT PLAN?
>> I DON'T KNOW IF IT'S ADDED TO NEXT YEAR'S AUDIT PLAN, BUT IT'S IN THE FOLLOW UP.
WHENEVER THE FOLLOW UP IS DUE IS HOW WE'LL CHECK ON THOSE THINGS, AND THEN AFTER THAT, WE WILL ADD IT BACK.
>> I UNDERSTAND THE FOLLOW UP. WHAT IS THE FOLLOW UP?
>> THE FOLLOW UP WAS WE DID A SOFTWARE LICENSING AUDIT.
WAS IT LAST YEAR, BOB? IT WAS EITHER LAST YEAR OR THE YEAR BEFORE.
WE HAD SOME RECOMMENDATIONS FOR THEM TO IMPLEMENT A UNIVERSAL TRACKING SYSTEM, SO THAT WE COULD GAIN INSIGHT INTO WHAT SOFTWARE WE'RE USING.
THAT HASN'T BEEN IMPLEMENTED QUITE YET, BUT I BELIEVE IT WAS PRESENTED AT THE LAST AUDIT COMMITTEE THAT THEY EXTENDED THE TIMELINE A LITTLE BIT.
ONCE THEY GET THAT IMPLEMENTED, THEN WE'LL BE ABLE TO GO BACK IN AND DO JUST THAT.
>> I WASN'T HERE BECAUSE I WOULD HAVE PUSHED BACK.
[LAUGHTER] BUT I WOULD LIKE TO KNOW WHAT THE RECOMMENDATIONS ARE AND WHICH ONES HAVE BEEN COMPLETED.
>> FROM THE LAST AUDIT, YOUR RECOMMENDATIONS AND I WOULD LIKE TO KNOW WHICH ONES HAVE BEEN COMPLETED AND WHICH ONES HAVE NOT BEEN COMPLETED.
>> BECAUSE THAT'S BEEN A BIG ISSUE FOR ME.
WE'VE GOT ALL THESE DIFFERENT SOFTWARE AND ALL THESE DIFFERENT LICENSE.
I DON'T THINK ANYBODY PROBABLY HAS A COMPLETE HANDLE ON THAT.
IT WOULD BE GOOD FOR US TO BE ABLE TO KNOW EXACTLY WHAT WE HAVE AND WHAT YOUR RECOMMENDATIONS WERE AND WHICH PARTS OF THEM HAVE BEEN FULFILLED AND WHICH ONES THAT HAVE NOT BEEN FULFILLED.
>> DEFINITELY. WE'LL GET TO THAT.
>> ANY OTHER QUESTIONS ON? THAT'S 5.7.
THEN THE NEXT ITEM IS 5.8, CONSIDER AND TAKE POSSIBLE ACTION TO APPROVE THE FISCAL YEAR 2024/2025 ANNUAL AUDIT PLAN.
THESE ARE THE MEETINGS THAT YOU'VE ALL MET WITH ME AND MY TEAM TO IMPROVE
[00:55:01]
AND ENHANCE THE RISK ASSESSMENT FOR THE DEVELOPMENT OF THE '25 AUDIT PLAN.WE'VE MET WITH SENIOR LEADERSHIP ACROSS THE DISTRICT.
WE'VE MET WITH TRUSTEES, EXTERNAL MEMBERS, AND THE PROCESS BEING IN REVIEW AND EVALUATE.
WHAT WE HAVE RIGHT NOW IS IDENTIFIED RISK, ADD TO THOSE.
THEN ALL THAT INFORMATION IS CONTAINED IN OUR RISK ASSESSMENT SOFTWARE.
THAT'S PART OF OUR ELECTRONIC AUDIT WORKING PAPERS.
THAT'S ACTUALLY A CONTINUOUS PROCESS THAT WE PULL INFORMATION OUT, PULL RISK OUT WHEN WE DO A SPECIFIC AUDIT, EVALUATE.
ARE THESE THE CORRECT RISK? THEY NEED TO BE ADDED TO, DELETED FROM, AND THEN WE PUSH THAT INFORMATION BACK INTO THE AUDIT RISK ASSESSMENT SOFTWARE.
THAT PROCESS REALLY HAPPENS THROUGHOUT THE YEAR, CULMINATES IN THE ACTUAL INTERVIEWS TO GET DIRECT INPUT AND RISK CONCERNS SO THAT WE CAN GO BACK AND UPDATE THE MODEL, RUN THROUGH ALL THE NUMBERS.
THERE'S A LOT OF STUFF THAT YOU DON'T SEE BEHIND THE SCENES IN QUANTIFYING THAT DATA ON IMPACT AND PROBABILITY, AND THEN PRODUCING, WHAT IS REQUIRED BY AUDIT STANDARDS IS A RISK BASED AUDIT PLAN.
YOU SEE THE AREA, AS WE CALL THEM DIMENSIONS NOW, PRIMARY, SECONDARY DIMENSIONS IN THE TABLE.
FROM THOSE WE DEVELOP AN AUDIT PLAN THAT'S ON PAGE 4 OF 11.
EVEN WITH ONE FEWER STAFF PERSON, WE'RE STILL ABOUT 19,000 HOURS OF AUDIT WORK EACH YEAR.
WE'RE TRYING TO PICK UP A FEW MORE HOURS PER PERSON TO BE ABLE TO SUSTAIN THAT LEVEL OF SERVICE TO THE DISTRICT.
OVERALL CONSENSUS, SECURITY REMAINS A VERY HIGH RISK.
WE'VE IDENTIFIED SOME ISSUES IN CAMPUS BASED CONTROLS, SO WE CONTINUE TO PUT RESOURCES INTO THOSE AREAS, VISIT MORE CAMPUSES.
REALLY, WE'RE HELPING EDUCATE PERSONNEL AT THE CAMPUS ALONG WITH OTHER ADMINISTRATIVE DEPARTMENTS.
ANYTHING THAT WE CAN DO TO HELP OUT, THAT'S WHAT WE'RE TRYING TO DO.
WE OBVIOUSLY REPORT BACK TO THE COMMITTEE ON WHAT WE FIND.
CONSTRUCTION CONTINUES TO BE BECAUSE OF THE AMOUNT OF MONEY, A VERY HIGH RISK AREAS.
YOU CAN SEE SOME OF THE OTHER ITEMS THAT ARE LISTED.
TO TRUSTEE FOREMAN'S, THIS FOOD QUALITY AND HUMAN FOOD, CHILD NUTRITION IS BACK ON THE PLAN FOR NEXT YEAR.
I THINK THAT WAS A SUGGESTION THEY HAD HAD.
IT AFFECTS A LOT OF STUDENTS, SO WE WANT TO CONTINUE TO EVALUATE.
ARE WE MEETING THE NEEDS OF THE STUDENTS IN THOSE AREAS OF FOOD, CHILD NUTRITION? SUPPLEMENTAL EARNINGS WOULD BE UNDER THE PAY ROLL.
THAT'S ALWAYS A HIGH RISK AREA BECAUSE IT'S OVER A BILLION DOLLARS OF THE EXPENDITURES OF THE SCHOOL DISTRICT.
SO PAYROLL EITHER SUPPLEMENTAL OVERTIME PAY, THERE'S SOME AREA OF AUDIT COVERAGE IN THAT EVERY SINGLE YEAR.
WE DO HAVE THE FIVE-YEAR HISTORY THAT YOU CAN LOOK AND SEE THAT, WHAT HAVE WE COVERED? WHAT HAVE WE BUILT IN THE FORM OF AUDITS OVER THE LAST 3-5 YEARS? IN MY OPINION, IT IS FAIRLY COMPREHENSIVE.
I JUST LIKE TO GET A CLEAR UNDERSTANDING OF WHAT FACILITIES ACCESS IS.
THAT'S A HIGH NUMBER OF HOURS.
FOR SECURITY ISSUES, WE HAVE PEOPLE ALREADY LOOKING AT THAT.
WHY WOULD THAT BE A HIGH PRIORITY?
>> SURE. I THINK THE HIGH NUMBER OF HOURS, TYPICALLY, OUR STANDARD HOURS ARE AROUND 1,000.
THERE'S SITUATIONS WHERE WE GO IN THERE AND WE SEE OBVIOUSLY SOMEONE'S COVERED THIS.
THERE'S GOOD CONTROLS IN PLACE, AND IT DOESN'T TAKE THAT LONG AND THEN THAT'S WHEN YOU'LL SEE REPLACEMENT AUDIT.
THERE'S ALWAYS ROOM FOR THAT TO CHANGE.
I'LL SAY IN ASPECT OF HIGH RISK FOR FACILITIES ACCESS, AGAIN, I THINK IT GOES ALONG WITH THE SECURITY AND WE WOULD LIKE TO TAKE A LOOK AT THE SYSTEM THAT THEY'RE USING FOR THE BADGING AND SORTS OF THINGS LIKE THAT.
IT MIGHT NOT NECESSARILY EVEN BE THAT THERE'S A SECURITY RISK AT PLACE, BUT MAYBE THERE'S EFFICIENCIES THAT CAN BE GAINED, THINGS LIKE THAT.
[01:00:03]
IT'S JUST AN AREA THAT WE REALLY HAVEN'T LOOKED AT AS ON A WHOLE, WHERE WE HAVE SECURITY COVERAGE ON THE AUDIT PLAN EACH YEAR, WHERE WE HELP OUT WITH THE INTRUDER AUDITS AND THINGS LIKE THAT, REALLY ACCESS TO THE FACILITIES, WE HAVEN'T LOOKED AT ON A WHOLE WHEN YOU LOOK AT THE LAST FIVE-YEAR ROLLING SCHEDULE.>> THAT WOULD INCLUDE KEY CONTROL AND BADGE ACCESS.
>> TWO BIG AREAS THAT MY EXPERIENCE ARE TRICKY TO MANAGE.
>> YES. AS WE'RE VISITING THESE CAMPUSES DOING CAMPUS-BASED CONTROLS, WE NOTICED THAT THOSE CAMPUSES USE DIFFERENT THINGS FOR COMMISSIONS, WHETHER THAT BE FOR FUND RAISING, WHETHER THAT BE FOR VENDING MACHINES.
AGAIN, WE WANT TO TAKE A LOOK RATHER THAN ONE OFF CAMPUSES.
AS A WHOLE, WHAT ARE OUR PRACTICES? DO WE HAVE ANY ROOM FOR GROWTH? ARE THEY GETTING THE BEST VALUE ON THOSE? ARE THEY EVEN COLLECTING THE COMMISSIONS, THINGS LIKE THAT.
>> YOU'RE MEANING COMMISSIONS FROM VENDORS THAT MIGHT HAVE A SOFT DRINK MACHINE ON THE CAMPUS OR SOMETHING LIKE THAT?
>> THAT'S GOING TO TAKE 700 HOURS. I'M JUST SAYING. [OVERLAPPING]
>> I KNOW THE HOURS MAY SEEM A LOT.
>> THERE'S SO MANY OTHER THINGS THAT WE COULD BE FOCUSED ON THAT WOULD MAKE A LOT MORE SENSE TO ME AS A TRUSTEE.
STUDENT DEVICES AND ASSET MANAGEMENT.
I THINK WE LOOKED AT THAT LAST YEAR, DIDN'T WE? SUPERINTENDENT. THAT'S ONE THAT WE'VE LOOKED AT, BUT YOU HAVE A LARGE NUMBER OF HOURS THERE.
I'M JUST TELLING YOU THIS BECAUSE FOR ME, THERE ARE A LOT OF THINGS WE REALLY NEED TO BE DOING AND WE DON'T NEED TO DUPLICATE OR REPEAT THE SAME WORK THE NEXT YEAR, MIGHT BE THE YEAR AFTER.
BUT THE SAME YEAR, IT'S JUST A LOT OF STUFF.
I WANT TO LOOK AT PROCUREMENT, PERIOD. IT'S NOT ON HERE.
THERE ARE A LOT OF THINGS THAT WE NEED TO LOOK AT AND THIS JUST DON'T SEEM LIKE WE'RE GETTING THERE.
WHAT IS THE DALLAS ISD POLICE DEPARTMENT QUARTERMASTER?
>> THE QUARTERMASTER UNIT IS THE DEPARTMENT OR THE UNIT IN THE POLICE FORCE THAT ISSUES OUT UNIFORMS, BADGES, GUNS, RADIOS, TASERS, THINGS OF THAT NATURE.
COMING FROM THE CITY OF DALLAS, DOING AN AUDIT OF THE QUARTERMASTER UNIT THERE, WE FOUND SIGNIFICANT PROBLEMS WITH THEIR INVENTORY CONTROLS.
WE FELT THAT IT WOULD BE A GOOD USE OF OUR TIME TO LOOK AT THAT, ESPECIALLY WHEN YOU CONSIDER THAT WE'VE GOT SOME HIGH RISK ITEMS IN THERE LIKE FIREARMS.
>> HOW MANY POLICE DO THE CITY OF DALLAS HAVE?
>> I DON'T KNOW THAT NUMBER RIGHT OFF HAND.
>> HOW MANY DO WE HAVE? I'M JUST SAYING WE NEED TO FOCUS ON THINGS THAT ARE GERMANE AND MAKE MORE SENSE TO THE DISTRICT.
I'M JUST GOING DOWN WHERE I'VE GOT SOME CONCERNS.
I KNOW YOU DO THE SUPERINTENDENT EXPENSES, WE GET THOSE, AND WE DON'T HAVE ANY ISSUE.
I KNOW THEY'RE GOING TO GO AHEAD AND APPROVE THIS, BUT I JUST THINK THAT THERE MIGHT NEED TO BE SOME RETHINKING OF SOME OF THESE ITEMS BECAUSE WE'VE GOT SOME MORE PRIORITY ITEMS, AND I THINK TRUSTEES HAVE EXPRESSED MANY OF THEM.
>> TO YOUR POINT EARLIER, WE ARE IN THE MIDDLE OF VENDOR MANAGEMENT AUDIT NOW, WHICH IS THE PROCUREMENT PROCESS AND MANAGEMENT OF THE DIFFERENT VENDORS THAT WE USE.
>> MY PROCUREMENT ISSUE IS DIFFERENT THAN VENDOR MANAGEMENT.
IT IS THE WHOLE PROCUREMENT PROCESS AND HOW DO WE MAKE IT WORK WITHIN THIS DISTRICT? ARE WE ACTUALLY USING STANDARD PROCUREMENT PRACTICES OR HAVE WE CREATED OUR OWN PRACTICES? HAVE WE CHANGED POLICY TO BE ABLE TO GIVE AN ADVANTAGE SOMETIMES TO THE ADMINISTRATION IN TERMS OF WHAT THEY WANT TO GET DONE? BY THE WAY, I WANT TO MAKE IT CLEAR THE POLICY WAS CHANGED BEFORE THIS SUPERINTENDENT CAME.
THIS IS NOT AT THE SUPERINTENDENT, BUT IT IS TRYING TO MAKE SURE THAT WE GET PROCUREMENT CORRECT.
[01:05:05]
>> I WOULD LIKE TO ADD THAT AS YOU ALL CONSIDER, WHILE I'M CERTAINLY NOT A MEMBER OF ANY BOARDS FROM THE SUPERINTENDENCY, WE WOULD NOT ONLY NOT OPPOSE, WE WOULD SUPPORT LOOKING AT PROCUREMENT SPECIFICALLY AS OUTLINED BY TRUSTEE FOREMAN, AND I'LL TRY TO RESTATE THAT AND CORRECT ME IF I DON'T STATE IT PROPERLY, BUT THE PURCHASING, THE PROCUREMENT PROCESSES OF HOW WE GO ABOUT SECURING WHAT WE'RE GOING TO BUY, WHERE WE'RE GOING TO BUY IT FROM, BECAUSE WE WANT TO GET BETTER.
IF WE ARE DOING SOME THINGS THAT WE SHOULDN'T BE DOING, THEN WE WANT TO FIX THEM.
WE'RE NOT HIDING ANYTHING AND WE CAN'T IMPROVE IF WE DON'T ACKNOWLEDGE WHAT OUR AREAS OF IMPROVEMENT ARE.
OUR TEAM, CHIEF ALFRED STEVENS HAS NO OPPOSITION, IN FACT, SUPPORTS THIS AS DO I.
WE WANT TO GET BETTER IN EVERY ASPECT OF OUR WORK, AND TO WHATEVER THAT WOULD MEAN TO THE REMAINING BOARD MEMBERS, THE ADMINISTRATION SUPPORTS IF POSSIBLE, PRIORITIZING THAT OVER MAYBE SOME OF THE OTHER ITEMS THAT YOU ALL HAVE ON YOUR LIST FOR WHATEVER MY OPINION IS WORTH.
>> ABSOLUTELY. I'D BE GLAD TO MODIFY THE PLAN AND REALLOCATE SOME OF THE HOURS.
I CAN'T DO IT ON THE FLY RIGHT HERE.
>> IT WAS HELPFUL THAT YOU GAVE US THAT TIMELINE BECAUSE ACTUALLY THE PURCHASING PART OF PROCUREMENT HASN'T BEEN REVIEWED SINCE 2020, 2021 SO IT MIGHT BE HELPFUL, REALLY, FOR US, IF YOU LOOK AT THAT TIMELINE.
ESPECIALLY AS YOU ALL ARE LOOKING AT THE VENDOR PART, WELL, NOW IF WE CAN GO BACK TO THE PROTOCOLS AND THE PROCESSES THAT WE USE, YOU CAN SEE THAT THAT WASN'T AND IT'S BEEN SEVERAL YEARS. THANK YOU.
>> GLAD TO MODIFY THAT IF IT'S ACCEPTABLE TO THE COMMITTEE, AND JUST LET ME REALLOCATE THE HOURS.
THERE MIGHT BE SOME WHERE WE CAN TAKE A LITTLE HARDER LOOK AT AND CUT SOME OF THOSE HOURS.
I THINK WE CAN SQUEEZE IT IN. IT'S OKAY.
>> SORRY. BEFORE DAN, CAN I ASK A QUESTION REAL QUICK? JUST MORE OF A PROCEDURAL QUESTION.
DOES THIS NEED TO BE APPROVED AT THIS AUDIT COMMITTEE MEETING? IF YOU WOULDN'T HAVE AN AUDIT PLAN, IF WE DIDN'T APPROVE IT.
WE APPROVE IT TODAY, YOU WOULD COME BACK WITH AN AMENDED ONE FOR NEXT AUDIT COMMITTEE MEETING?
>> CORRECT. I THINK YOU WOULD APPROVE IT TODAY WITH THIS ADDITION INSTRUCT ME TO RE-ALLOCATE THE HOURS AND I'LL BRING THAT BACK AT THE NEXT COMMITTEE, AND SO THIS IS WHERE WE ENDED UP.
>> NO OBJECTIONS. MY QUESTION WAS ALONG THE SAME LINES AS AS YOURS.
MY THOUGHT WAS THAT WE'D GO AHEAD AND APPROVE THIS WITH THE UNDERSTANDING AND KNOWLEDGE THAT AT THE NEXT AUDIT COMMITTEE, WE'D BE REVIEWING AND APPROVING AN AMENDED PLAN SO THAT WE DON'T HAVE THIS.
>> NEBULOUS NUMBER FORGE AROUND.
>> ANY OTHER QUESTIONS OR COMMENTS ABOUT THE AUDIT PLAN? IF NOT, DO I HAVE A MOTION TO APPROVE THE 2024, 2025 ANNUAL AUDIT PLAN WITH THE UNDERSTANDING THAT IT'LL BE BROUGHT BACK WITH AN AMENDED VERSION?
>> WE HAVE A MOTION AND A SECOND.
ANY OTHER COMMENTS? IF NOT ALL OF THOSE IN FAVOR?
>> WE HAVE JUST ADOPTED THE MOTION TO APPROVE THE FISCAL YEAR 2024, 2025 ANNUAL AUDIT PLAN WITH THE PROVISO THAT THEY'LL COME BACK NEXT MONTH NEXT MEETING WITH THE AMENDMENT.
NEXT ITEM IS CONSIDER AND TAKE POSSIBLE ACTION TO APPROVE THE FISCAL YEAR 2024, 2025 OFFICE OF INTERNAL AUDIT BUDGET.
>> TRUSTEES ON PAGE 1 OF 1, WE PRESENTED THE BUDGET CURRENT YEAR AND PROJECTED FOR '25.
YOU SEE WE PARTICIPATED IN DISTRICT WIDE, COST REDUCTION.
LAST YEAR REFLECTS ACTUAL OUR STAFF COUNT OF 18.
I CAN'T GIVE YOU THE ACTUAL PERCENTAGE REDUCTION, BUT THE CURRENT NUMBER IS 2.2 MILLION $331,700 FOR MY OPERATING BUDGET NEXT YEAR.
[01:10:02]
I'D ASK SUBMIT THAT FOR APPROVAL.>> I WAS GOING TO MAKE THE MOTION TO APPROVE THE BUDGET.
>> DO I HAVE A MOTION TO APPROVE THE FISCAL YEAR 2024, 2025 OFFICE OF INTERNAL BUDGET?
>> WE HAVE A MOTION AND A SECOND.
ALL THOSE IN FAVOR RAISE YOUR HAND?
>> WE HAVE JUST ADOPTED THE MOTION TO APPROVE THE FISCAL YEAR 2024, 2025 OFFICE OF INTERNAL OFFICE BUDGET.
THE NEXT ITEM IS CONSIDER AND TAKE POSSIBLE ACTION TO RECOMMEND TO THE BOARD OF TRUSTEES AMENDMENT TO BDB EXHIBIT BOARD INTERNAL ORGANIZATION, INTERNAL COMMITTEES.
>> THANK YOU, TRUSTEES. BDB AND ALL THESE POLICIES ARE REQUIRED TO REVIEW ANNUALLY WITH THE AUDIT COMMITTEE.
BDB WOULD GO TO THE FULL BOARD, BUT I BRING IT HERE FIRST.
THIS WOULD ALSO HAVE TO GO THROUGH POLICY COMMITTEE BEFORE BEING PRESENTED TO THE FULL BOARD.
YOU CAN SEE THERE'S MINOR CONFORMING CHANGES.
SPECIFICALLY, THE FINANCIAL REPORT IS NOW CALLED THE ANNUAL COMPREHENSIVE FINANCIAL REPORT, THE ACFR.
THERE'S SOME SMALL ADDITIONS ON PAGE 405.
>> TRUSTEES, ANY QUESTIONS? IF NOT, DO I HAVE A MOTION TO RECOMMEND TO THE BOARD OF TRUSTEES AMENDMENT TO BDB EXHIBIT BOARD INTERNAL ORGANIZATION AND INTERNAL COMMITTEES?
>> NO. ABSTAINING ON THIS ONE.
ALL THOSE IN FAVOR, PLEASE CAST YOUR VOTE BY RAISING YOUR HAND.
>> MOTION PASSES. TWO VOTING YES, WITH ONE ABSTENTION.
>> YOU HAVE JUST ADOPTED THE MOTION TO RECOMMEND TO THE BOARD OF TRUSTEES AMENDMENT TO BDB EXHIBIT BOARD INTERNAL AUDIT ORGANIZATION AND INTERNAL COMMITTEES.
THE NEXT ITEM IS CONSIDER AND TAKE POSSIBLE ACTION TO RECOMMEND TO THE BOARD OF TRUSTEES AMENDMENT FOR CFC LOCAL AUDITING AUDITS, ACCOUNTING AUDITS.
>> VERY SIMILAR TO THE PRIOR POLICY, THIS WOULD GO TO THE FULL BOARD FOR APPROVAL AFTER I TAKE IT THROUGH POLICY GROUP FOR SPECIFIC READING.
THE CONFORMING LANGUAGE ON PAGE 1 OF 1 IS THE PURPOSE OF INTER-AUDIT DUE TO INTERNAL AUDIT STANDARDS CHANGING AND GOING INTO EFFECT JANUARY 1 OF '25, AND THIS WAS OUR NORMAL POLICY REVIEW TIME.
I'M SUBMITTING THIS FOR EARLY ADOPTION BY THE TIME WE ROUTE IT THROUGH, IT'LL OBVIOUSLY BE LATER IN THE YEAR OR THIS SUMMER, EXCUSE ME.
THE SPECIFIC LANGUAGE, YOU CAN SEE IS PRESENTED IN THE PARAGRAPH UNDER OFFICE OF INTERNAL AUDIT.
STRENGTHEN THE DISTRICT'S ABILITY TO CREATE PROTECT TO SUSTAIN VALUE PROVIDING THE BOARD AND MANAGEMENT WITH INDEPENDENT RISK BASE AND OBJECTIVE, ASSURANCE ADVICE INSIGHT AND FORESIGHT.
I DIDN'T MAKE IT UP THAT STRAIGHT FROM IA STANDARDS.
I WOULD REQUEST THAT BE APPROVED SO THAT WE'RE IN COMPLIANCE WITH STANDARDS.
OUR NEXT QAR SCHEDULED FOR SUMMER OF '25, IT JUST MAKES IT EASIER.
>> TRUSTEES, WILL HAVE A MOTION TO RECOMMEND TO THE BOARD OF TRUSTEES AMENDMENTS TO CFC LOCAL ACCOUNTING AUDITS.
ALL THOSE IN FAVOR OF RAISE YOUR HAND?
>> MOTION PASSES. TWO VOTING YES, WITH ONE ABSTENTION.
>> YOU'VE JUST ADOPTED THE MOTION TO RECOMMEND TO THE BOARD OF TRUSTEES AMENDMENT TO CFC LOCAL ACCOUNTING AUDITS.
THE NEXT ITEM IS TO CONSIDER AND TAKE POSSIBLE ACTION TO APPROVE AMENDMENT TO CFC EXHIBITS ACCOUNTING AUDITS.
>> SIMILAR TO THE PREVIOUS POLICY, THE AUDIT COMMITTEE CAN APPROVE THE INTERNAL AUDIT CHARTER, CFC EXHIBIT.
THIS IS THE CONFORMING LANGUAGE TO ALIGN WITH THE NEW IA STANDARDS GOING INTO EFFECT JANUARY OF 2025.
TRUSTEES, ANY QUESTIONS? DO I HAVE A MOTION TO APPROVE AMENDMENTS TO CFC EXHIBIT ACCOUNTING AUDITS?
SO, I GUESS, THAT SHOULD HAVE BEEN RAISED.
HAS BEEN MOVED BY TRUSTEE MICCICHE, SECONDED BY TRUSTEE FLORES, WE APPROVE AMENDMENT TO CFC EXHIBIT ACCOUNTING AUDITS.
[01:15:04]
ALL THOSE IN FAVOR?>> I WANTED TO ASK OUR COMMUNITY MEMBERS, DO YOU THINK THIS IS THE RIGHT THING TO DO TO CONFORM OUR POLICIES WITH THE NEW STANDARDS?
>> YES. IT'S A MASSIVE UNDERTAKING THAT WE'RE ALL TAKING ON DOING THE GAP ANALYSIS AND MAKING SURE THAT WE'RE ALIGNING WITH THE NEW GLOBAL STANDARDS.
>> NO OTHER COMMENTS? ALL THOSE, PLEASE CAST YOUR VOTE BY RAISING YOUR HAND.
>> MOTION PASSES. TWO VOTING YES, WITH ONE ABSTENTION.
>> WE HAVE JUST ADOPTED THE MOTION TO APPROVE AMENDMENT TO CFC EXHIBIT ACCOUNTING AUDITS.
DO WE HAVE A CLOSED SESSION? WE DO NOT HAVE A CLOSED SESSION.
THE TIME IS NOW 3:16 APPLE STANDARD TIME, AND THIS MEETING IS ADJOURNED.
* This transcript was compiled from uncorrected Closed Captioning.