New Superintendent and 3/24/2025 Regular Meeting

WELCOME Dr. Tamara Champa! The last 3 weeks have been encompassed by a review of Superintendent applications, discussions, school board meetings, 4 semi-finalist interviews, followed by 2 finalist interviews. Our finalist candidates each spent long arduous days touring our schools and the community, meeting with various groups (students, chamber members, community members, staff/teachers/principals, cabinet members), and then survived dinner with the school board members. Following this long day, they each endured a 25 question interview with all school board members. Our final candidates are both very capable, intelligent, well versed in superintendent duties and requirements, friendly and approachable. However, in evaluating what Owatonna Public School District needs moving forward, Dr. Champa stood well above the other 23 candidates. We are eager to work together and make strides forward, focusing on Every Learner Every Day, developing critical thinking lifelong learners skilled in academic studies for success in the pathways they choose. Dr. Champa will begin her preparations now for transitioning to Owatonna schools, but her official start date is July 1, 2025.

Our most recent regular school board meeting on 3/24/2025 took place at the chamber board room at 5:30pm. Much information was presented and many votes taken, all approved 7-0.

A representative from Ehlers Public Finance Advisors presented our Sale Day Report for the recently approved bond, which covers 2 previously discussed projects: 1. HVAC systems at McKinley at Owatonna Education Center, and some asbestos removal 2. OMS pool project. Project bids came in $1.1 million less than expected. The principal amount is $7,055,000 and total net principal with interest $9,560,193, with final closing date of 4/17/2025. Detailed documents can be viewed in the school board agenda notes for this meeting. This bond was approved 7-0.

Also presented was the draft from the City of Owatonna regarding “proposed tax increment financing.” As stated in the document:

The City Council (the “Council”) of the City of Owatonna, Steele County, Minnesota, will hold a public hearing on April 15, 2025, at approximately 7:00 p.m., at City Hall, 540 West Hills Circle in the City of Owatonna, Minnesota (the “City”), relating to the proposed establishment of Tax Increment Financing District No. 3-18 (Economic Development) within Development District No. 3, and the proposed adoption of a Tax Increment Financing Plan therefor, all pursuant to and in accordance with Minnesota Statutes, Sections 469.124 through 469.133 and Sections 469.174 through 469.1794, inclusive, as amended, for the proposed approximate 9,000 square-foot expansion of a manufacturing facility within the City.

The detailed draft can be found on the district website, agenda meeting notes. To clarify, Superintendent Elstad stated that this essentially means that the school district will forgo a small percentage of tax money to the city for maintaining and building the city’s business. This was for general information, no voting at this time.

Mr. Elstad noted that he has received some questions regarding federal funding and at this time, there are no known changes. He mentioned a feedback portal where concerns can be documented: https://mn.gov/indian-affairs/resources/news-and-updates.jsp?id=1193-673818

Our enrollment report shows growing enrollment, mainly due to the Owatonna Online program.

Policies approved 7-0 tonight had no major changes: 519, 624, 709, 522, 516, 621, 906. Policy 522 is regarding Title IX which reverts back to the 2020 version of this policy. This revision erases the changes made in 2024 that were directed by the Biden administration.

Several other votes taken:

  1. 2024-2025 Amended Budget, no recent changes
  2. Resolution relating to the termination and non-renewal of the teaching contract of probationary teachers (confidential list reviewed at the meeting by school board members.) These are positions ending to ease the budget deficit in the next year, totaling 7.35 FTEs.
  3. Revised 2025-2026 school calendar, allowing 2 additional days for staff development (October 20 and February 16). Our teachers appreciated these additional days this school year due to the extensive training for the READ Act.
  4. McKinley Ventilation Improvements (covered by bond)
  5. Owatonna Education Center Ventilation Improvements (covered by bond)
  6. Gifts to the district.

Take care. Soli Deo Gloria!

3/10/2025 Special Mtg & Work Session

Our work sessions are now held at the District Office on School Street; therefore, the Special Meeting was also held there just prior to our work session. The Special Meeting was held to approve the previously discussed pool remodel project. This project has been delayed due to much higher-than-expected project bids in the past. The project is now covered by the new bond and work will begin after draining the water at the end of the month. The project was approved for a total cost of $1,157,410, with a completion date of mid-August 2025. Our facilities director, Bob Olson, can answer any question or concerns you may have.

HIGHLIGHTS for the work session:

Washington Elementary report

Lincoln Elementary report

Amended 2024-2025 Budget review and introductions with our new Finance Director

SAFF legislative work – Superintendent Elstad to testify at the Capitol 3/11/2025

Superintendent search update – 24 candidates!

The agenda and attachments for the work session can be found on the district website: https://meetings.boardbook.org/Public/Agenda/1055?meeting=678984

Principal Libby Zeman presented with a few school staff, the Washington school report focusing on student voice, student leadership, and instruction/collaboration. Principal Justin Lang presented with a few school staff, the Lincoln school report focusing on connections, culture, and core. Similarities are noted between both school in their work toward helping students connect and develop relationships to engage them in learning. They have school counselors doing work with each classroom to improve social emotional learning. Teachers are working hard with the new phonics curriculum and are seeing great improvements in reading already when comparing assessment data.

The amended budget has several changes from the preliminary budget, but ultimately has not significantly changed the bottom line or the unassigned fund balance at 12.25% (goal 8-10%). In summary, the district is deficit spending (~ 2.4 million) this year and is preparing to make cuts for the 2025-2026 school year. Of note, our state aid for special education has just been reduced about $500,000 due to a new pro-rated amount set by legislature.

Welcome Mark Stotts, our new Director of Finance and Operations. He has worked with school districts in Albert Lea, Austin, Burnsville, and most recently Rosemount-Apple Valley-Eagan.

Superintendent Elstad has been working with SAFF, Schools Advocating for Fair Funding, and testifying at the Capitol regarding the equalization aid given to schools. Because Owatonna’s Referendum Market Value (market value of all properties) is higher (due to more industry and less homes), taxpayers in Owatonna pay more for the same levy amount compared to other districts in Minnesota. The equalization aid is given to school districts to help balance the funding and lessen the burden for taxpayers. For example, Owatonna taxpayers will pay $1408/student, while in Eden Prairie, the cost to taxpayers is $338/student, for the same levy amount. Mr. Elstad is working to improve this for us! The website https://saffmn.org/resources/comparison-data/ and a comparison chart with Owatonna http://chrome-extension://efaidnbmnnnibpcajpcglclefindmkaj/https://saffmn.org/wp-content/uploads/WDYL-Owatonna.pdf provide more details.

Each school board member spent time at the district office over the last week to review all 24 applications for our Superintendent position. Chris Picha, our director of human resources has been assisting in the process, preparing copies of applications, completing phone screening interviews, and gathering interview questions for board members to review. Schedules are being prepared for the upcoming interviews, which are open to the public. After reviewing all the ratings and comments for each candidate, Ms. Picha created a top 6 list of candidates. We took an informal vote regarding the top 6 and created our “Top 5” list of candidates that will be scheduled for initial interviews. The first interview will be this Friday, 3/14/2025! Check out the schedule on the district website for updates: https://www.isd761.org/our-district/school-board/superintendentsearch

Thank you everyone. Soli Deo Gloria!

Other weekly news…

I gave up watching the news on television several years ago, but once in a while, information comes along that is interesting, helpful, and/or deserves some thoughtful attention. Here are some things came across to me by various interactions over the last week. Please understand that these writings are never giving legal advice to the reader.

American citizens, by way of first amendment rights, cannot be compelled to certain speech that they do not agree with. If calling someone by a pronoun that differs from their biological sex violates your beliefs and moral standards, you have the right to say no to this request. Minnesota is in muddy waters with regard to all the changes recently and I am not an attorney or giving anyone legal advice, but I do understand that several factors need to be considered including federal executive orders, federal laws, MN law, MN Department of Human Rights rules, MN Department of Education rules, and any legal cases that are settled amidst all these changes.

If this is important to you, this is a federal government website to report any practices in education that you feel are illegally discriminatory: https://enddei.ed.gov/

Some Owatonna community members are in the midst of a community book study for a book titled The Anxious Generation. School board members were given this book several months ago. Two main concepts continue to remain prevalent in various new books and research reports today: our children are spending too much time on screens and do not go outside for free creative play. Our children are suffering in all ways because of this, physically, mentally, emotionally and spiritually.

A good reminder, the MISSION of PUBLIC EDUCATION in Minnesota as stated in Statute 120A.03

The mission of public education in Minnesota, a system for lifelong learning, is to ensure individual academic achievement, an informed citizenry, and a highly productive work force. This system focuses on the learner, promotes and values diversity, provides participatory decision making, ensures accountability, models democratic principles, creates and sustains a climate for change, provides personalized learning environments, encourages learners to reach their maximum potential, and integrates and coordinates human services for learners. The public schools of this state shall serve the needs of the students by cooperating with the students’ parents and legal guardians to develop the students’ intellectual capabilities and lifework skills in a safe and positive environment. https://www.revisor.mn.gov/statutes/cite/120A.03

When someone in my family, including myself, becomes upset or frustrated by something, we will sometime stop, recognize, and say, “First world problem…” Sometimes, these things that are upsetting need to be put in a list of priorities. What is truly important to us? Food for thought.

Soli Deo Gloria!

2/24/2025 Regular Meeting

Our regular monthly recorded school board meeting began with all 7 members present at 5:30pm.

HIGHLIGHTS for tonight’s meeting:

Mission Moment: Superintendent Elstad recognized the work of our 4 Instruction Coaches at the elementary schools. These coaches assist our teachers with curriculum and teaching methods, essentially coaching teachers to do the best work they can.

Bond presale report was given by Matt Hammer from Ehlers. The upcoming bond totaling $7.77 million is for financing health and safety projects previously approved by the board. The bond will be brought to the board for final approval at the next regular meeting on March 24, 2025.

First reading policies: 519, 624,709, no questions or comments discussed

Second reading and approval of several policies, of which I asked to separate policies 601 and 606.5 from the rest. The group of policies approved together by 7-0 vote include 418, 603, 604, 609, 613, 606, 619, 707.

I asked to separate policies 601 and 606.5 as these are policies that I had previously voted no and continue to vote no for the reasons listed:

601 School District Curriculum and Instructional Goals: definitions in the policy, specifically E. “Culturally Sustaining” and I. “Institutional Racism,” make opinion statements rather than fact, making this policy one that I am not comfortable approving. Stated in E. “Culturally sustaining” is the phrase “…communities continue to be harmed and erased through the education system.” Definition I. “Institutional Racism” implies that institutional racism exists, and this concept is a theory/opinion that I do not agree with.

606.5 Library Materials: while I believe the recent updates offer improvements, I still believe that this policy lacks input and oversight by the school board. Final responsibility for selection of library materials is given to the Library Media Specialist, with oversight from the superintendent. The school board is left unaware (and has no input) of any and all selection of materials, and if any material is presented for an informal or formal reconsideration process (and thus reported to the state) the board is still unaware of these materials. Mr. Elstad assured that if there were any major issues, the board would be notified. However, in 4 months we will welcome a new superintendent, and this will bring several unknowns. This policy does now include a statement allowing parents to request certain library materials NOT be available to their children (such as Being Jazz, Maus, Sold, Tricks, just a few in our OMS and OHS libraries). Therefore, if parents know of a specific book or library material that they do not want their child to have access to, they can request this at the school.

Policies 601 and 606.5 were approved by 6-1 vote.

Achievement and Integration (A&I) grant: Owatonna schools qualify for this grant as we are considered a “racially isolated” district. This grant money will be applied to 3 specific goals for our Free and Reduced Lunch Population (FRLP) qualifying students: graduation rates, participation in rigorous coursework, and improved MCA Reading scores.

The board approved 7-0 the resolution to make recommendations for reductions in staff/programming. Due to the financial deficit going into the next few years, Superintendent Elstad previously presented a report recommending a $1.8 million reduction in programs/staff for the 2025-2026 school year. Tonight’s resolution authorized the superintendent and administration to make recommendations for reductions in programs and positions. In working with each school’s principal, decisions will be made and staff will be notified in the first few weeks of March. The specifics will be outlined in the personnel report for the March 24th regular meeting.:

Superintendent Search: there were no internal applicants, so the process was opened for external applicants to apply. Mr. Sebring explained the process. The closing date for applications is Friday 2/28/2025. Each school board member will review applications in the district office next week. At the March 10th work session, we will determine which applicants (no names will be given) will be invited for a first interview. The first interviews will take place March 17-18 and 2 applicants will be chosen for a final interview to take place on March 19-20. A final decision will be made in the evening on March 20, 2025. Chris Picha is compiling a list of interview questions, and any school board member may submit questions to Ms. Picha for review. In one month’s time, we will hopefully know who our next superintendent will be.

That’s for tonight folks. Take care.

Soli Deo Gloria!

Life is Real

IN LOVING MEMORY ~ Cyrus James Hedlund, born 2/10/2025, 1#3oz, 11.5″ He has mommy’s mouth and daddy’s nose, 10 perfect little fingers and 10 perfect little toes.

Last week was a whirlwind that began when I was woken by a phone call at 1:52am on February 10, 2025. My daughter in law stated that there might be an emergency. She was 23 weeks along her in pregnancy and after telling me a few symptoms, I advised that my son take her to the Grand Forks hospital. After several hours, a short text and a phone call from my son, we painfully learned that Cyrus James was stillborn at 7:52am. Upon arriving to Grand Forks that afternoon, I walked into the hospital room to see them holding their sweet boy for the first and last time. The sorrow in their faces was almost unbearable, but their faith amazing.

This is an excerpt from a letter I wrote to Cyrus James that was read at his funeral:

“You are loved beyond measure by so many grandmas, grandpas, great grandparents, uncles, aunties, cousins and dear family friends.   But most of all, deeply loved by your mommy and daddy that miss you with aching hearts.  They will cherish you forever, knowing that you will be a big brother someday.  We are broken and hurting but not destroyed.  Our hope is in Jesus, in joining you in Heaven one day, knowing that God is love and always good.  We miss you baby, we love you so very much.  We cry tears of sadness and pain, but also of joy and love.  Thank you for reminding us how precious every life is.  God doesn’t make mistakes, we will trust Him.  I love you beautiful boy of my boy.  Goodbye for now Cyrus James.

Because of the Lord’s great love, we are not consumed. For His compassions never fail. They are new every morning. Great is thy faithfulness. Lamentations 3:22-23

Sorrow reminds us what is good, reminds us that this world is not our home and the things of this world will fade away. Our hope is a gift given to us by a loving heavenly Father who gave His own son to die so that we may be saved. Soli Deo Gloria!

1/27/2025 Regular Meeting

Our regular meeting took place per usual beginning at 5:30pm. These are the HIGHLIGHTS of the meeting! Several recognitions were noted including our student ExCel Award winners and Triple “A” Award nominees, and our principal Justin Kiel won a leadership award for his work at McKinley Elementary School. Congratulations!!

Our enrollment summary is notable for increasing enrollment in our district, primarily in the Owatonna Online program which is attracting students from across the state. OPS enrollment is up to 5121 total, 357 in Owatonna Online (up from 215) as of the recent report. Hopefully this will help with looming budget deficit.

Superintendent Elstad reported that he is beginning to work again in his legislative efforts with Mr. Sexton and Mr. Jasinski. He specifically works toward equalization of funding, addressing the many unfunded mandates passed by legislation last year, and working to increase funding for special education and our Grow Your Own program.

In the Admin Report (see link on the website agenda), several principals mentioned that students are finishing, or have finished, their winter Fast Bridge reading and math assessments. I asked if we could get an update and Mr. Elstad noted that he will discuss this with Mrs. Sullivan, our director of teaching and learning.

Several policies were reviewed for a first reading: 418 Drug-Free Workplace/School, 601 School District Curriculum and Instructional Goals, 603 Curriculum Development, 604 Instructional Curriculum, 605 Library Materials, 609 Religion, 613 Graduation Requirements.

In light of a recent personal discussions regarding legalized marijuana and children’s exposure to secondhand smoke/vapor, I asked about our policy coverage to protect students from the odor that makes its way into our classrooms. Because marijuana has the potential to cause negative cognitive effects and physical symptoms such as headaches and nausea, a strong odor is disruptive to the classroom environment, for students and staff. This could fall under policies 418, but also 807 Health and Safety, or 533 Wellness. Mr. Elstad noted that policy 504 Student Dress and Appearance also covers this issue. MN Statute states that it is illegal to use marijuana in a vehicle and in a place where a minor could inhale the smoke/vapor. In this case, as mandated reporters, any public school staff could call Child Protection Services and file a report if they feel that a child’s health may be compromised.

Regarding the Library Materials policy which was recently created and approved by the board, a revised version was needed due to recent legislation. This new version has an added paragraph that states any parent or guardian may request that a specific book included in “library materials” not be seen or checked out by their child and the school must comply. Another new paragraph states that, “the school board must report…” to the MN Dept of Education any book or material that is challenged in the district. As previously when this policy was first created, I mentioned that the absence of school board involvement in the selection materials and reconsideration process seems lacking to me, and I would like the school board to be involved in the processes. Mr. Elstad confirmed that the district does report all challenged material to the MN Dept of Education already. I requested that the board be notified when this occurs and what the challenged material is. The policy committee members confirm that they will review and discuss at the next policy committee meeting.

The last highlight is an update for the Superintendent search. The school board had a Special Meeting 1/22/2025 to discuss the process. Sheri Allen from TeamWorks assisted our discussion and led us in conversation regarding identifying ideal characteristics for our next SI and how we may elect to proceed. At this Regular Meeting, we voted to start the process with an internal search, accepting applications from only our school district. If needed, we will then open the process to include external applicants. Initial interviews are planned for 2/13/2025 and then follow up interviews on 2/18/2024. A community survey will be sent to parents/guardians soon, if not already. Please watch for this and fill it out to help the board in selecting the next Superintendent for OPS! June 30, 2025 will be Mr. Elstad’s last day and we expect to have our next Superintendent hired by then.

In follow up to the last post, also watch for the email notification of the MN Student Survey. You may opt your children out from this survey if desired. Please contact the principal of your school to do so.

One last note, I do not have any children of my own at the middle school these days, but I have been notified that the driving around the school has become very unsafe. The principal is working to make this safer, but until major changes take place, please be careful, slow down, and follow driving rules so NO ONE is hurt.

Well, a long post, even just for the HIGHLIGHTS. Thank you for reading. Please keep in touch.

Soli Deo Gloria!

Correction

As I was reading this week’s post, I realized I made a typo in stating McKinley’s theme. The theme should have read, “Be you, Be HERE, Belong.” I giggled when I read that I instead typed, “…Be her…” I am exhausted this week and so, typos are more easily showing up.

As life goes, there are always changes and adjustments that we need to make. I am quickly learning that 2025 is starting with a busy bang and so I will be needing to simplify a bit. Therefore, moving forward, I will be creating blog posts that are more focused, highlighting what I believe to be the most important points of each school board meeting, rather than a basic replay and summary of what the meeting included. The regular school board meetings on the fourth Monday of the month are recorded and can be found on YouTube if desired. Thank you for understanding!

1/06/2025 Organizational Meeting and Work Session

The first meeting of 2025 began at 5:30pm with the annual organizational meeting. However, the most important announcement was given at the end of the evening work session with Superintendent Elstad’s announcement of his retirement at the close of the school year in June 2025. The announcement was heartfelt. Thank you Mr. Elstad for pouring your heart and soul into your work for our schools, staff, students, and community. Your hours of hard work are recognized and appreciated, and you will be missed. The school board will have a special meeting in the next few weeks to discuss a plan for moving forward to hire a new superintendent.

Welcome to our new board members recently elected: Ron Kubicek and Andrea VanGelder!

The annual organization includes several votes as outlined. More detailed notes and attachments can be found through the district website – School Board – Meetings – Agenda-with links.

  1. Election of Officers
    • Mark Sebring was nominated and voted to continue as board chair.
    • Lori Weisenburger was nominated and voted to continue as vice chair.
    • Tim Jensen was nominated for clerk, and I nominated myself for clerk; Mr. Jensen achieved the majority vote and is the board clerk for 2025.
    • Jolayne Mohs was nominated and voted to continue as treasurer.
  2. School board committee assignments are made by Chair Sebring and presented for vote, approved 7-0.
  3. Julie Sullivan, director of Teaching and Learning, is authorized as the district’s Title I contact person for funding, 7-0 vote.
  4. The Owatonna People’s Press is voted to continue as the district’s official newspaper, 7-0.
  5. The 2025 school board meeting schedule is approved with the decision to have work sessions (second Monday of each month) at the district office meeting room which is more conducive for roundtable discussions, while the regular recorded meetings (fourth Monday of each month) will continue in the chambers room at the Charles S Crandall Center. The exceptions are July and December when only one regular meeting is held each month. Vote approved 7-0.
  6. Legal counsel for the district is approved to continue through Dorsey and Whitney, and also Ratwik, Roszak, & Maloney. Legal counsel is used only by district administration after superintendent approval. Vote approved 7-0.
  7. District depositories for school district revenue is approved to continue with Bremer Bank and PMA Financial Network, Inc. Approved 7-0.
  8. Financial Institutions designated to oversee investment of assets will continue to include Wells Fargo Bank NA, US Bank, Wells Fargo Investment Service, Inc., PMA Financial Network, Inc., and Bremer Bank, vote approved 7-0.
  9. The district designates the director of finance and operations to deposit and withdraw money on behalf of the district. Currently this position is posted for hire since Lori Volz resigned last month. The Superintendent oversees this also.
  10. The district designates the use of a check signing machine and cosigners to be the board chair, clerk, and treasurer, vote approved 7-0.
  11. The annual board allowance was established last year at $3700/year per board member with additional $600/year for the chair. The proposal is for a 4% increase consistent with average increase in salaries, raising this to $3850/year, and the additional $600/year for the chair. Mr. Sebring also proposed that our vice chair be considered for an additional $450/year due to the added workload of vice chair designated tasks. I suggested that in light of the $1 million budget deficit in the coming year, the board consider foregoing any increase in allowance. Vote was taken to approve the increased allowance, passed 6-1, as I voted no.
  12. The district appoints the superintendent as the deputy treasurer as a means to provide an “internal check” on the district’s finances.

The organizational meeting adjourned and the work session began just before 6pm.

Presentation was given by Justin Kiel and a few of his staff/teachers at McKinley Elementary School with a yearly update. The school theme this year is Be you, be her, belong. They integrate various programs such as co-teaching, positive referrals, “good news” calls to parents, “toot your own horn” as a way to recognize teachers, and student connection days. They are working to increase family engagement by providing a home activity night.

Maggie Goldade with teacher AJ, presented an annual update for our preschool program, Little Learners and Bright Beginnings. They have worked to increase preschool enrollment and to increase early childhood screenings which help to identify and meet developmental needs prior to starting kindergarten. With recent legislative changes, this voluntary pre-kindergarten program will no longer be free of charge unless children or families meet certain guidelines. A preschool open house is scheduled for 1/28/2025, anyone can attend!

Two members of Steele County Public Health presented information regarding the Minnesota Student Survey. This is a voluntary survey given to students in grades 5, 8, 9, and 11. Schools can choose to opt-out, as well as parents or students can choose to opt-out if desired. The survey is given every 3 years. The survey addresses demographics, school attendance, but mainly health behaviors and risks. Past survey results can be viewed on the MN Department of Health site: https://www.health.state.mn.us/data/mchs/surveys/mss/datatables.html#educationalsetting

Please check out the district website as noted above for the meeting video and agenda attachments.

Stay safe and warm. Soli Deo Gloria!

12/9/2024 Regular Meeting

Our last school board meeting of 2024 was held with all 7 board members present, this being the last regular meeting for Eric Schuster and Deborah Bandel. Eric served 12 years and Deborah 4 years on the school board. Recognition and words of thanks were given. Thank you, Eric and Deborah, for your service!

This meeting’s agenda summary: mission moment, public forum, annual audit presentation, truth in taxation presentation, reports (enrollment, committee meetings, administrative report from Superintendent Elstad), approval of the consent agenda (previous meeting minutes, personnel report), board votes including the audit, tax levy certification, Bridge Street property realtor, gifts to the district, and lastly policy revisions including policy 522 Title IX Sex Nondiscrimination.

Owatonna Public Schools’ Activities Director, Marc Achterkirch, was recognized for Mission Moment. Mr. Achterkirch taught math for many years and then in 2018, took the position as activities director. Elstad commended the outstanding work that he’s done for our schools and students, being recognized as the Region 1AA Activities Director of the year. Mr. Achterkirch noted that one of the highlights with this role has been hosting the adaptive floor hockey event, stating that it exemplifies Owatonna and demonstrates how “special and unique” Owatonna is. This role allows him to work with many other schools and districts and he credits Owatonna for providing above and beyond what many other schools have. He also recognized the many other staff that have helped him in his work, specifically his assistant Nancy Benson. Thank you!

No public forum comments.

The annual audit report was given by Mary Reedy, CPA, CGFM, from CliftonLarsonAllen LLP for school year ending June 30, 2024. Essentially, OPS is given a “clean” audit opinion with no compliance issues and no material weaknesses. In summary, the 2023-2024 enrollment ended with an estimated average daily membership (ADM) of 4877.79 students, which is up from 2022-2023 at 4825.69. OPS district’s total ending unassigned fund balance increased to $11,134,033.00, which is 14.81% of the general fund expenditures. Goal is to keep the unassigned fund balance 8-10%. The report notes, “A district’s fund balance is an important aspect in considering the district’s financial well-being…The district has continued to do a good job of financial planning…” However, Mary noted that while our ADM has remained consistent over the past 5 years, and actually increased by 1.07% last year, our expenditures increased by 12.29%. The increase in expenditures is widespread over many categories, but is primarily due to increased salaries/benefits and purchased services (which is typical for school districts). Administrative expenditures are down from 2.7% to 2.5% of the total. A summary of this report can be viewed from the agenda posted for this meeting on the district website. The audit was formally approved by the board in a 7-0 vote.

Lori Volz, our director of finance and operations, presented the Truth in Taxation report which can also be viewed from the agenda as noted above. Ms. Volz noted that state funding has continued to lag behind the general inflation rate since 2003. Special Education expenses, specifically, have consistently been underfunded by the state. School district funding is highly regulated and required to be divided into 6 separate funds: general, food service, community service, building construction, debt service, and internal service. A chart was reviewed showing 2023-2024 beginning fund balances, revenues, expenditures and final fund balances at 6/30/2024, then a future projected 2024-2025 budget including revenues, expenditures and projected fund balances for 6/30/2025. Basically, our district’s fund balance is estimated to decrease from $33.1 million in June 2024 to $24 million in June 2025. To aid the district in funding, our district’s proposed tax levy payable 2025 is an increase of 5%. A detailed chart and explanation of the changes were discussed, and slides can be reviewed as noted above. The tax levy was formally approved in a 7-0 vote.

No significant changes in the enrollment report and no discussion regarding the consent agenda.

One of our student school board representatives, Ayoub Farah, gave a report regarding concerns and comments from student groups at the middle and high schools. Our student representatives will continue to discuss various topics with students and present information to the board for discussion and review. Ayoub was recognized and commended for being nominated for the Excel Award. Great work Ayoub! During the Admin Report, SI Elstad also recognized Lori Volz for her hard work and service as our director of finance and operations, with her last day of employment being 12/13/2024. Best wishes and thank you Lori! We also have a new finance Controller who recently began working at OPS, welcome Linda Guenther!

For 2024, OPS was the campaign leader for the United Way of Steele County, raising just over $19,000, which exceeded the goal of $15,000. SI Elstad commented how Owatonna has again shown its generosity and support for others, in addition to the “Gifts to the District” that were also approved at the meeting.

The Facilities Committee reported on 2 proposals from real estate companies that were received by the district to assist with selling our property at 515 West Bridge Street. They recommended Hamilton Real Estate Group, and this was approved in a 7-0 vote.

Lastly, several policies were presented for a second reading and approval by the board. The policy committee also discussed policy 903 based on public forum comments made at the last meeting by concerned parents of a special education student. The committee determined that the policy is best practice as it is currently written and will not recommend any changes at this time. Most of the policies presented for approval needed basic updated definitions and minimal changes based on updated statutes. These included policies 102, 104, 207, 413, 414, 415, 416, 419, which were approved by vote 7-0. However, policy 522 was completely rewritten and based off the model policy written by the Minnesota School Board Association. This policy titled Title IX Sex Nondiscrimination has 2 attachments: Title IX Complaint Form 2024 and Title IX Grievance Procedures 2024. I asked for this policy to be removed from the grouping as a separate vote. I have concerns that this policy as it currently states, does not allow for the protection of all students. This concern stems from section I. under the General Statement of Policy which states, “In the limited circumstances in which Title IX or its regulations permits different treatment or separation on the basis of sex, the school district must not carry out such different treatment or separation in a manner that discriminates on the basis of sex by subjecting a person to more than de minimus harm, except as permitted by 20 United States Code, section 1681(a)(1) through (9) and the corresponding regulation… Adopting a policy or engaging in a practice that prevents a person from participating in an education program or activity consistent with the person’s gender identity subjects a person to more than de minimus harm on the basis of sex.”

Recently, I requested the policy committee consider adding a statement to this policy which I feel establishes a foundation for better protection of all students (considering physical safety of biological males and females playing sports together, considering physical/mental/emotional safety for students in sensitive areas – females using male locker rooms or males using female locker rooms). The benefits of allowing these actions are speculative and have been harmful in previous instances around the country. My recommendation was the addition of, “When making decisions regarding student participation in a given activity or sport, considerations will be made for the physical, mental, and emotional safety of all students in effort to prevent subjecting any student to more than de minimus harm. This consideration includes practice and participation in activities and/or sports, and the use of facilities typically divided for biological male and biological female use.” However, the policy committee felt that this was too dangerous to state and could cause legal problems in the future. Therefore I could not vote for this policy. Policy 522 was approved by 5-2 vote, with Deborah and myself voting nay.

December 2-6, 2024 our schools celebrated Inclusive Schools Week with various activities. Ask your students about what they did and learned (I only knew of this from my son’s teacher last week.)

Coffee with the Superintendent: Thursday December 12, 2024, 8:30am, district office

Links to other helpful information:

CACR presentation: https://www.isd761.org/district-services/teaching-learning/cacr

DDE survey results: https://sites.google.com/isd761.org/dde-survey-reports-public/home

Board meeting videos: https://www.youtube.com/@owatonnapublicschools/videos

United States Department of Education Student Privacy Policy Office: https://studentprivacy.ed.gov/sites/default/files/resource_document/file/A%20parent%20guide%20to%20ferpa_508.pdf

Merry Christmas! I pray that you take time to enjoy the moments and smiles, and look upon the goodness of the Lord in the land of the living. Psalm 27:13

Soli Deo Gloria!

11/25/2024 Regular Meeting

Our school board meeting began on time with all 7 members present, plus our two student representatives, and Superintendent Elstad.

MISSION MOMENT: We had many students and parents present for the meeting as Superintendent Elstad recognized our elementary school patrols for their hard work and commitment to safety. The patrol captains from each elementary school stood together and introduced themselves, and then they grouped together for a photo. Thank you, students and the advisors that help them, especially when it’s so cold!

Lori Volz, our director of finance and operations, along with SI Elstad, presented the financial forecast which was first presented to the finance committee members last week (Jolayne, Lori W., and me). Essentially, the district will have a financial shortage in revenue that, if left unattended, will cause great detriment to the district in the coming years. There are four main reasons for this:

  1. ESSR funding (which was federal grant money given to the district during fiscal years (FY) 2021-2024 due to the COVID-19 pandemic) has ended. The district was able to retain 10 teacher positions during the pandemic that otherwise we would have lost, and also able to hire 12 teachers to grow our online program. From FY 2024 to FY 2025 , there will be $3 million less federal funding.
  2. Special education expenses have increased, in part due to the increase in the number of special education students, which is now 17% of our student body, and the staff/programming required for them. While the district receives annual funding for special education, there has always been a gap in which the district’s general fund needs to cover the costs (cross subsidy). The special education expenses have increased from $9.9 million in 2015 up to $17.5 million in the current school year.
  3. Increased salary and benefits costs due to new staffing positions (those providing direct student teaching/needs), increases in contract negotiations, new mandates approved by the legislature for Earned Safe and Sick Time and new unemployment costs, increased cost of benefits, and general inflation. In the last 10 years, the district has hired 47 new staff, which SI Elstad reports have been all for direct student teaching and care, none of which have been administrative. Summary data regarding state and district expenditures can be found on the MN Report Card website. This shows that the state average district admin expense is 5% (of total general fund), OPS is 4.96%. The state average school-level admin expense is 3.67% and OPS is 3.47%. State average teacher and special ed teacher expenses are 39.29% and 18.56% respectively, while OPS is 42.5% and 21.23% respectively.
  4. Student enrollment is declining. As noted previously, our kindergarten and first grade class sizes are much smaller than our current 11th and 12th grade class sizes. We are told that this is a nationwide trend with decreased birth rates.

Other comments from the presentation note that our Owatonna Online program is growing, and while we first used ESSR funds to hire the teachers for this program, we are now seeing net earnings of $1 million, with the goal to continue to grow this program.

Based on the information given, Ms. Volz projects a $1.7 million budget deficit for the school year 2025-2026. Our current unassigned fund balance (“cushion”) is currently at 12.89% which, if needed, would cover 1.5 months of district expenses. The district’s goal is to maintain the unassigned fund balance at 8-10%. I noted that last spring we received a report regarding referendums in area districts (Big 9) comparing Owatonna to other districts. We are second from the lowest with our current operating levy at $529.14 per pupil unit. Austin is the lowest at $512.70 and Northfield is the highest at $2064.34. Budget cuts and a new referendum/levy will be discussed at future meetings.

The enrollment report is reviewed with no major changes.

Committee meeting minutes, previous board meeting minutes and special meeting minutes are reviewed without discussion.

Several policies were presented for a first reading and discussion including: 102, 104, 207, 413, 416, 419, 522. Policy 522 Title IX Sex Nondiscrimination is noted to be completely replaced due to the many changes and is modeled after the MN School Board Association’s policy 522. I asked for clarification on a few of the statements listed under General Statement of Policy. First was letter H. and Chris Picha (director of human resources) confirmed that the legal rights of a parent or guardian are held in higher regard than Title IX rules, thereby allowing parents and legal guardians to make decisions for their minor student.

The second clarification was letter I. which I read aloud and can be heard on the recording. The last sentence of this paragraph states that if a district prevents a student from participating in the activity consistent with their gender of choice, this subjects that student to harm (“more than de minimus harm”) which is not allowed under the new interpretation of Title IX rules. I noted that as of August when I last researched Title IX, congress had not formally approved this new Title IX interpretation and definition of sex (only the original Title IX in 1972 was formally approved, protecting women in sports). So, in essence, one could argue that this interpretation does not need to be upheld and actually violates the original definition of Title IX. However, that aside, as our policy is now written in draft, I suggested to the board that we consider a statement to protect the safety of those students that will feel unsafe in these circumstances (specifically biological women being forced to use bathrooms, locker rooms, and play sports with biological males). These students would be subjected to more than “de minimus harm” in this situation. We need to provide a statement in this policy that will protect all students, on either side. Providing safety for students does not mean discrimination in all circumstances. Simply stated, we have many rules and regulations to protect us (driving, alcohol consumption, work related rules/regulations, hunting, gun safety and licensing, pet management, disposal of chemicals/medications/caustic substances, etc.)

The consent agenda is approved without questions or discussion.

December 9, 2024 is our last board meeting of 2024 and will be a regular meeting as it is our only board meeting in December. There will be an audit presentation and Truth in Taxation presentation.

Happy Thanksgiving Owatonna. I hope that you are able to enjoy time with family or friends, but if not, then I hope for you peace and relaxation! May we all be grateful for the good things in our lives, even the smallest of those.

Soli Deo Gloria!