Board Meeting Dates

Additional Details

Finance Committee Meeting

AGENDA

Monday, November 19, 2012

7:30 AM

DeLayo-Martin Community Room, Alice and Bruce King Educational Complex, 6400 Uptown NE

Albuquerque, New Mexico

Albuquerque Public Schools

Minutes of the Finance Committee

November 19, 2012

_________________________________________________________________________________________

A Finance Committee meeting of the Albuquerque Public Schools Board of Education was held on Monday, November 19, 2012, beginning at 7:30 a.m., in the Alice and Bruce King Educational Complex, DeLayo-Martin Community Room, 6400 Uptown Blvd., NE.  Attending were:  Marty Esquivel, Lorenzo Garcia Kathy Korte (via telephone), Analee Maestas, David Peercy and David Robbins.

Absent:  Paula Maes

1. I. Call to Order

Mr. Esquivel called the meeting to order at 7:33 a.m.

a.   Adoption of the November 19, 2012, Agenda and Approval of the October 15, 2012, Minutes

Mr. Robbins motioned for approval of the agenda and minutes with Ms. Korte seconding the motion in the affirmative.  Motion carried.

1. II.Consideration for Approval of Budget Adjustments for Grant Management
   1. a. Elementary Breakfast Grant, $601,292
   2. b. Elementary School Counselor Expansion, $399,730
   3. c. GO Bonds-La Cueva, $114,549
   4. d. GO Bonds-James Monroe, $59,090
   5. e. Running Start for Careers, $45,000
   6. f. Impact Aid-Special Education, $44,651
   7. g. GO Bonds-Ernie Pyle, $40,785
   8. h. Kirtland Korner, $14,302
   9. i. GO Bonds-Early College Academy, $11,225
   10. j. Homeless Project Tutors, $10,000
   11. k. Elementary Breakfast-El Camino Real, $7,742
   12. l. Impact Aid-Indian Education, $3,748
   13. m. Elementary Breakfast-Christine Duncan, $783

Ms. Teresa Scott presented the budget adjustments.

Mr. Robbins motioned for approval of the Budget Adjustments for Grant Management with Mr. Garcia seconding the motion in the affirmative.  Motion carried.

1. III. Consideration for Approval of Grant Management Inter-function Transfers for October 2012
2. IV. Consideration for Approval of Grant Management Intra-Function Transfers for October 2012

Dr. Peercy motioned for approval of the items 3 and 4 with Dr. Maestas seconding the motion in the affirmative.  Motion carried.

1. V.Consideration for Approval of Budget Adjustment Request for School Bus Rental Fee
   1. a. Sena School Bus Co., $39,644
   2. b. Albert Sanchez Bus Company Inc., $59,466
2. VI.Consideration for Approval of Consideration for Approval of Supplement to School Bus Fleet Service Contract
   1. a. Sena School Bus Co., $39,644
   2. b. Albert Sanchez Bus Company Inc., $59,466

Dr. Winter presented items 5 and 6.  The two bus companies are purchasing buses as per the approval of rental fee by the Public Education Department.

Mr. Garcia motioned for approval of items 5 and 6 with Dr. Maestas seconding the motion in the affirmative.  Motion carried.

1. VII. Consideration for Approval of Cash Disbursements for October 2012

Mr. Heckart presented the cash disbursements for October.

Mr. Garcia motioned for approval of the Cash Disbursement for October 2012 with Mr. Robbins seconding the motion in the affirmative.  Motion carried.

1. VIII. Consideration for Approval of Statement of Equipment Taken Out of Service June 1-June 30, 2012

Mr. Moya presented the standard list of equipment taken out of service from June 1-30, 2012.

Dr. Peercy motioned for approval of the Statement of Equipment Taken out of Service June 1-30, 2012, with Mr. Garcia seconding the motion in the affirmative.  Motion carried.

1. IX. Consideration for Approval of Operational Fund Inter-Function Transfers for October
2. X. Consideration for Approval of Operational Intra-Function Transfers for October

Dr. Peercy motioned for approval of items 9 and 10 with Mr. Robbins seconding the motion in the affirmative.  Motion carried.

1. XI. Consideration for Approval of Letter from APS Board to Native American Community Academy (NACA) Requesting Corrective Action Plan for FY12 Audit Findings

Mr. Mark Tolley presented a letter requesting approval of corrective action due to the number and nature of findings.  NACA is being asked to present to the Board a plan on how they will address the findings.

Mr. Garcia motioned for approval of the Letter from APS Board to Native American Community Academy (NACA) Requesting Corrective Action Plan for FY12 Audit Findings with Dr. Peercy seconding the motion in the affirmative.  Motion carried.

1. XII. Presentation of FY2012 Q1 Expenditure Report

Mr. Moya presented the first quarter report of this fiscal year.  Benchmarks change depending on what quarter we are in.  Typically use about 25% of actual expenditures.  Red and yellow areas are instructional materials –slightly underspent—materials ordered in September rather than spring—timing issue.  The other piece is Debt Service—interest and principal payments hit at different points during the year.   Mr. Moya is very pleased with where we are at.  With respect to expenditures and budget, they are tracking exactly where they should be.

1. XIII. Presentation of Activity Fund Audit Update

Dr. Winter began discussion by saying that the issue of non-compliant audits are being taken very seriously.  Two full-time staff works on these audits.  Superintendent Brooks has informed the middle and high school principals that they are responsible for non-compliant audits.  A meeting will be held on November 29 at which time tips will be given on better control of quality of audits.  When a non-compliant audit is received, auditors are back in 90 days to review books.  Ms. Peg Koshmider informed the committee that 30 schools do not have the computer software—only 1 school out of the 30 had a non-compliant audit due to fraud.  Ms. Koshmider wants to reassure the committee that it does not appear to be a software issue.  A list of issues will be given to the principals at the November 29 meeting.  Tips on how to follow what is going on with Activity Funds will be given, and hopefully from their perspective they will be able to monitor bookkeepers more carefully.

1. XIV. Presentation of Patient Protection and Affordable Care Act (PPACA)-Impact of Health Care Reform and APS Employee Wellness Incentive Program Update-2012 Biometric Health Screening Aggregate Results

Ms. Trybus began by saying that updates will be given on how the Health Care Reform will affect the Albuquerque Public Schools as well as update the Wellness Program.  Mr. Aaron Wells and Mr. Trent Nichols from Willis and Vera Dallas will be presenting.  Mr. Wells discussed that the law will have to be rolled out to states in tandem with the feds.  New Mexico will be impacted at the state level.  States will either form an insurance exchange or adopt the federal exchange.  The exchange will be an electronic clearing house for insurance contracts.  Individuals and small businesses can pick from a menu of contracts that have been bid out in the public sector, available for choice.  Individuals who purchase insurance could be eligible for a subsidy depending on their income level (9.5% of W-2 income).  Health Care Reform expands Medicaid eligibility.  Pay or Play mandate means that as an employer you offer health insurance to your employees or your pay the fines embedded in health care reform for not offering health insurance to your employees.  An employer gets fined when the essential minimum benefits are not met.  APS current coverage to employees is far and above the minimum essential benefits—affordable.  If an employee buys insurance from the exchange and they qualify for a tax subsidy the employer can be fined $3,000.  Employers who have at least 50 full-time employees have to pay or play.  Employers will have to communicate—reset employee expectations—increases are coming.  What is the message to employees going forward?   Ms. Vera Dallas presented the overview of the Employee Wellness Incentive Program, which was started in the 2010-11 plan year.  During the first campaign, there was over 90% participation in the Biometric Health Screenings (blood pressure, BMI, cholesterol, blood glucose and pulse/heart rate).  The 2011-12 personal health profile had 80% participation 9 (online questions about health and wellness, nutrition, tobacco use, personal safety, level of physical activity, alcohol use, stress and health history).  A combination of Biometric Health Screenings and personal health profiles was used for 2012-13, which included over 90% participation.  The results of the most recent screening indicate health risks for employees are:  51.41% at risk for diabetes, 31.83% are at risk for weight control and 4% at risk for poor nutrition.  Mr. Trent Nichols of Willis discussed that APS is about 30% low for employees receiving preventive screenings.  More detailed data will be coming.  Ms. Dallas discussed that fitness at the worksite has been offered as well as nutrition classes.  The employee wellness website has information on the latest health trends, how to eat healthy and exercises.

1. XV. Adjournment

Mr. Esquivel entertained a motion to adjourn the Finance Committee meeting at 8:27 a.m.  Dr. Peercy made a motion with Mr. Garcia seconding the motion in the affirmative.  Motion carried.  The next Finance Committee meeting will be held on Monday, December 17, 2012, at 7:30 a.m., in the DeLayo-Martin Community Room.