AGENDA Regular Board Meeting Friday, December 6, 2019 7:30 AM 4260 54th Street, San Diego, CA, 92115 Teleconference Locations: 200 Redwood Shores Pkwy, Redwood City, CA 94065 I. Call to Order II. Public Comment AGENDA ITEMS: Any person may address the Board concerning any item on the agenda and may, at the discretion of the Board, be granted (5) minutes to make a presentation to the Board at the time a specific item is under discussion. Additional time may be granted if circumstances permit. The total time per agenda item devoted to presentation to the Board shall be determined based on the number of speakers wishing to address the board. However, this time will not exceed one-half (1/2) hour unless additional time is granted by the Board. All presentations shall be heard by the Board prior to the formal discussion of the agenda topic under consideration. III. Presentations (20 mins) A. Teacher/Student Update B. School Climate Update C. School Relocation Project Update D. Update on SDUSD and Wilkinson Audit IV. Approve Minutes (5 mins) A. October 16, 2019 Special Board Meeting B. November 15, 2019 Special Board Meeting V. Board Development A. Consent Agenda- Board Elections (10 mins) 1. Re-elect Regina McDuffie for 2-year term effective December 6, 2019 2. Re-elect Edrienne Brandon for 2-year term effective December 6, 2019 3. Re-elect Edrienne Brandon as Treasurer for 1-year term effective December 6, 2019 4. Re-elect Merdin Mohammed as Secretary for 1-year term effective December 6, 2019 VI. Discussion/Action Items (30 mins) A. Fiscal Update (Alexis McKeon) 1. Review 2019-20 Budget to Actual 2. Balance Sheet 3. Cash Projections 4. Check Register 5. Income Statement B. Approve 2018-19 Final Audit Report C. Discuss and Approve changes to Employer Contributions for Health Benefits D. Adopt Revised 2019-20 Budget E. Approve 2019-20 First Interim Report F. Approve Revised Employee Handbook G. Approve Revised Attendance Policy 1 AGENDA Regular Board Meeting Friday, December 6, 2019 7:30 AM 4260 54th Street, San Diego, CA, 92115 Teleconference Locations: 200 Redwood Shores Pkwy, Redwood City, CA 94065 H. Adopt Academic Integrity Policy I. Adopt City Heights Prep Charter School Scholarship Policy J. Adopt Student Repeated Course Policy K. Adopt Transcript Revision Policy VII. Adjournment NOTICES I, Elias Vargas, School Director, herby certify that this agenda was posted as regulated by law on Tuesday, December 3, 2019, by 7:30 a.m. City Heights Preparatory Charter School does not discriminate on the basis of disability in the admission or access to, or treatment in employment in its programs or activities. Dr. Elias Vargas, School Director, has been designated to receive requests for disability-related modification or accommodation in order to enable individuals with disabilities to participate in City Heights Preparatory Charter School’s open and public meetings. Please notify Dr. Elias Vargas at (619) 795-3137 twenty-four (24) hours in advance, or as soon as possible, prior to disability accommodation being needed in order to participate in the meeting. 2 CITY HEIGHTS PREPARATORY CHARTER SCHOOL FINANCIAL OVERVIEW OCTOBER 2019 Income Statement Net Income City Heights Prep had an excess of expenses over revenues of $249,293 as of October 31, 2019. An operating deficit of $345,571 is forecasted for FY 2019‐20. A surplus of $55,209 was budgeted as of the most recently board adopted budget. Reasons for the variance between forecasted and budgeted net income are described below. Revenue As of October 31,2019, City Heights Prep had total revenues of $382,111 and is forecasted to have total revenues of $1,727,017 at the end of FY 2019‐20. This decrease of $188,419 or 10% is attributed to a decrease of Average Daily Attendance (ADA) of 15.68 from the original adopted budget.d Budgete ADA was based off enrollment of 140 students and an attendance rate of 93% for total budgeted ADA of 129.50 for FY19‐20. Actual enrollment as of November 20, 2019 (most recent data) was 118 students and ADA of 113.82. Forecasted revenues were adjusted in each category to reflect decrease in anticipated ADA and enrollment. 7 CITY HEIGHTS PREPARATORY CHARTER SCHOOL FINANCIAL OVERVIEW OCTOBER 2019 Expenses As of October 31, 2019, City Heights Prep had total expenses of $731,404. Total expenses at the end of FY 2019‐20 are forecasted to be at $2,072,588 which is $212,361 or 11% higher than budgeted expenses of $1,860,227. $46,014 increase in forecasted salaries due to actual contract salaries offered and positions filled. (1000’s and 2000’s) $16,834 increase in forecasted employee benefits. Actual year to date costs are trending higher than budget due to first open enrollment which reflected the revised employer contribution plan adopted last January. (3000’s) $67,000 increase in forecasted books and supplies expenses due to final technology costs for Project Lead the Way costing more than original estimate and anticipated purchases for furniture and technology related to the facility relocation. This increase in cost is offset by a decrease in forecasted food service costs of $19K due to lower enrollment. (4000’s) $72,492 increase in forecasted services and other operating expenses due to the following‐ o Conferences and professional development costs trending higher than budget ($7,350) o Increase in anticipated operation and housekeeping costs attributed to the facility relocation including utilities, landscaping, and the breakdown of the portables at the current location ($22,500) o Increase in forecasted rent costs due to double payments of portable rents during the facility relocation process in additional to slight increase in overall lease costs at new location ($18,968) o Software license costs trending higher than budget ($18,100) 8 CITY HEIGHTS PREPARATORY CHARTER SCHOOL FINANCIAL OVERVIEW OCTOBER 2019 Balance Sheet Cash As of October 31, 2019, City Heights Preparatory Charter School’s cash balance was $1,518,822. The school is projected to have an ending cash balance of $1,274,796 for the fiscal year ending June 2020. ADA Budgeted ADA of 129.50 is based on budgeted enrollment of 140 and a 93% attendance rate. 9 CITY HEIGHTS PREPARATORY CHARTER SCHOOL BUDGET VS. ACTUAL FOR THE PERIOD ENDED OCTOBER 31, 2019: Year to Date Year to Date Year to Date Board Approved Budget $% Budget Budget Budget Budget Remaining Remaining 2019‐20 2019‐20 Variance 2019‐20 2019‐20 2019‐20 REVENUE 8011‐8096 Local Control Funding Formula Sources 8011 Local Control Funding Formula 133,492 122,488 11,004 569,064 435,572 77% 8012 Education Protection Act EPA 5,954 6,476 (522) 25,902 19,948 77% 8019 Charter Schools General Purpose ‐ Prior Year ‐ ‐ ‐ ‐ ‐ 0% 8096 In Lieu of Property Taxes 193,501 206,868 (13,367) 795,647 602,146 76% Total 8011‐8096 Local Control Funding Formula Sources 332,947 335,832 (2,885) 1,390,613 1,057,666 76% 8100‐8299 Federal Income 8181 Federal Special Education (IDEA) Part B, Sec 611 ‐ ‐ ‐ 15,875 15,875 100% 8182 Special Ed: IDEA Mental Health ‐ ‐ ‐ ‐ ‐ 0% 8220 Child Nutrition Programs ‐ Federal ‐ 14,000 (14,000) 140,000 140,000 100% 8291 Title I, A Basic Grants Low‐Income 20,080 ‐ 20,080 89,583 69,503 78% 8292 Title II, A Teacher Quality 1,543 ‐ 1,543 8,862 7,319 83% 8294 Title III, LEP, Immigrant 3,842 ‐ 3,842 8,374 4,532 54% 8295 Title IV, Part A 2,500 ‐ 2,500 ‐ (2,500) 0% 8297 All Other Federal Revenue ‐ ‐ ‐ ‐ ‐ 0% Total 8100‐8299 Federal Income 27,965 14,000 13,965 262,694 234,729 89% 8300‐8599 State Income 8311 Special Ed ‐ AB602 ‐ ‐ ‐ ‐ ‐ 0% 8520 Child Nutrition ‐ State ‐ 1,260 (1,260) 12,600 12,600 100% 8550 CA Clean Energy ‐ ‐ ‐ ‐ ‐ 0% 8560 State Lottery Revenue 928 ‐ 928 26,418 25,490 96% 8590 Mandated Block Grant ‐ ‐ ‐ 3,166 3,166 100% 8591 SB740 ‐ ‐ ‐ 117,893 117,893 100% 8592 Mental Health‐SPED ‐ ‐ ‐ 6,475 6,475 100% 8593 College Readiness ‐ ‐ ‐ ‐ ‐ 0% 8594 Mandated Costse‐ On Time Funding ‐ ‐ ‐ ‐ ‐ 0% 8599 All Other State Revenues ‐ ‐ ‐ ‐ ‐ 0% Total 8300‐8599 State Income 928 1,260 (332) 166,552 165,624 99% 8600‐8799 Local Income 8660 Interest / Dividend Income 2,216 3,750 (1,534) 15,000 12,784 85% 8662 Net Increase (Decrease) in Fair Value of Investments ‐ ‐ ‐ ‐ ‐ 0% 8690 All Other Local Revenue 352 ‐ 352 ‐ (352) 0% 8698 Grants ‐ ‐ ‐ ‐ ‐ 0% 8699 Fundraising 252 ‐ 252 ‐ (252) 0% 8670 Donations 16 2,000 (1,984) 10,000 9,984 100% 8792 Transfers of Apportionments ‐ Special Ed 17,434 19,762 (2,328) 70,578 53,144 75% Total 8600‐8799 Local Income 20,271 25,512 (5,241) 95,578 75,307 79% TOTAL REVENUE $ 382,111 $ 376,603 $ 5,507 $ 1,915,436 $ 1,533,325 80% EXPENSES 1000 Certificated Salaries 1110 Teachers' Salaries 107,185 106,545 640 390,664 283,479 73% Actual contract salaries slightly lower 1175 Teachers' Salaries ‐ Stipend/Extra Duty 4,326 5,000 (674) 15,000 10,674 71% 1200 Certificated Pupil Support Salaries 23,373 22,667 707 68,000 44,627 66% 1300 Certificated Supervisor and Administrator Salaries 56,523 45,333 11,190 136,000 79,477 58% Executive Director Bonus, Raise 1900 Other Certificated Salaries 11,500 9,545 1,955 35,000 23,500 67% Actual contract salary higher than original budget Total 1000 Certificated Salaries 202,907 189,090 13,817 644,664 441,756 69% 2000 Classified Salaries 2100 Instructional Aide Salaries 41,369 35,983 5,387 107,948 66,579 62% 3 additional aides hired 2200 Classified Support Salaries 9,586 8,182 1,404 30,000 20,414 68% Stipends 2300 Classified Supervisor and Administrator Salaries 28,467 29,067 (600) 87,200 58,733 67% 2400 Clerical/Technical/Office Staff Salaries 25,104 24,849 256 81,416 56,312 69% 2900