Mar 20, 2022 March 20, 2022 Study Session - 8:00 a.m.

[00:00:05]

>> ERIC LALIBERTE: OKAY. WE ARE READY IT GET STARTED.

AUDIO IS ON. JUST WAITING FOR THE VIDEO TO START. OKAY.

[1. Facility Planning]

>> ALL RIGHT, SO GLAD TO BE BACK HERE TODAY TO JUST DISCUSS AND SHARE WITH YOU INFORMATION ABOUT REALLY FACILITY PLANNING.

WANT TO DO A REVIEW TODAY OF THE 2022 LEVY MEASURE THAT JUST PASSED AND PROVIDE UPDATES RELATED TO EFFORTS THAT ARE CURRENTLY UNDER WAY AND SOME ADDITIONAL CONSIDERATIONS THAT ARE CURRENTLY BEING DISCUSSED AS WE THINK OF MOVING THOSE PROJECTS FORWARD AND THE CAPACITY WITHIN THAT LEVY.

AS WE THINK ABOUT MOVING AHEAD WITH A BOND MEASURE IN 2024, THERE ARE A COUPLE OF TERMS THAT -- I PUT THIS IN THE SITUATION RECOMMENDATION IN BOARD DOCS.

I USE THE TERM "RECOVERY." WASHINGTON SCHOOL DISTRICT PASSED ONE BOND MEASURE IN THE LAST 11 YEARS.

AND I THINK ABOUT WHERE WE WOULD HAVE BEEN HAD THE BOND PROGRAM BEEN SUCCESSFUL OVER THAT PERIOD OF TIME, WE WOULD BE IN A MUCH DIFFERENT PLACE IN TERMS OF THE ACTUAL PHYSICAL SPACE THAT STUD STRENTS TO LEARN ACROSS OUR DISTRICT, IN ALL REGIONS OF THE DISTRICT. THAT'S WHY I USE THE TERM "RECOVERY." BECAUSE IT ISN'T JUST ABOUT FUTURE PLANNING BUT PLANNING FOR STUD INCIDENTS THAT ARE HERE TODAY. SOME OF THAT IS OVERCROWDED SCHOOLS AND THE USAGE OF CURRENT PORTABLE CLASSROOMS. WHEN WE THINK OF WHAT A PORTABLE CLASSROOM MEANS A COOL SCHOOL, YOU START ADDING FOUR, SIX, EIGHT, 11 ON YOUR CAMPUS YOU ARE ADDING WINGS TO YOUR CAMPUS WITHOUT.BEING CONNECTED TO THE PHYSICAL STRUCTURE. SCHOOL SITES WEREN'T DESIGNED TO HAVE THAT MANY ADDITIONAL CLASSROOMS WHEN YOU THINK OF THE PROVISION OF A GYMNASIUM, ADMINISTRATION SPACE.

ALL OF THESE THINGS ARE IMPACTED WHEN WE CONTINUE TO USE PORTABLE CLASSROOMS AS THE STRATEGY TO ACCOMMODATE GROWTH.

SO THAT'S WHY I USE THE TERM "RECOVERY." THE NEXT TERM I USE IN THE SITUATION RECOMMENDATION IS "NEW." WE HAVE A NEED FOR NEW STUDENT SPACE ACROSS THE SCHOOL DISTRICT.

THAT MEANS NEW SCHOOLS LOCATED IN VERY TARGETED AREAS KNOWING THAT WE HAVE DENSITY THAT IS CURRENTLY BEING BUILT OUT.

AND WE KNOW FUTURE DENSITY THAT WE CAN EXPECT IN THE YEARS TO COME. AND THEN THE LAST TERM I USED IN THE SITUATION RECOMMENDATION WAS REPLACE.

WE CURRENTLY HAVE WHAT WE WOULD CONSIDER FIVE AGING SCHOOLS THAT DO NOT MEET OUR EDUCATION SPECIFICATION.

AND SO IN THAT, EVALUATING THOSE SCHOOL SITES AND THOSE CAMPUSES TO DETERMINE THE BEST METHOD TO UPDATE THOSE SCHOOLS BE IT REMODEL AND REPLACE. AS YOU KNOW THE TYPICAL EVALUATION PROCESS HAS LED US TO A REPLACE PROFILE FOR OUR SCHOOL SITES, JUST GIVEN EVERYTHING THAT IS INVOLVED WITH A REMODEL. SO THOSE ARE THE TERMS THAT I USE. THOSE AREN'T THE TYPICAL TERMS THAT WE USE, BUT BEING VERY SPECIFIC WHAT THE WORK IS AS WE MOVE AHEAD. SO EXCITED ABOUT REALLY THIS LONG-TERM PLANNING AS WE THINK ABOUT HOW DO WE PREPARE THIS SCHOOL DISTRICT FOR, YOU KNOW, 50 AND 75 YEARS IN THE FUTURE KNOWING THAT THERE WILL BE ONGOING AND CONTINUED GROWTH ACROSS LAKE WASHINGTON. SO WE INVITED OUR STUD EXEMPTS FROM BLACKWELL ELEMENTARY BACK TO REPRESENT US TODAY.

AND SO WE APPRECIATE OUR SUCCESS BEING DIRECTLY LINKED TO HER SMILE THAT WAS SHOWN ACROSS OUR COMMUNITY DURING THE LEVY CAMPAIGN. SHE DID A TREMENDOUS JOB AND WE ARE GLAD TO HAVE HER BACK AS WELL.

SO TODAY, A COUPLE OF PIECES. VERY LARGE BUCKETS, IF YOU WILL, REALLY A REVIEW OF THE BUILDING EXCELLENCE PLAN BECAUSE THE LEVY IN 2022 WAS JUST ONE STEP IN THE OVERALL PROGRAM AS WE THINK ABOUT THAT WAS REALLY ABOUT CRITICAL CAPACITY NEEDS. SO STUDENT SPACE NEEDS THAT ARE IMMINENT, IF YOU WILL. NEXT IS JUST AN UPDATE OF THE OVERALL CONSTRUCTION LEVY. AS YOU KNOW THERE ARE SOME

[00:05:04]

SO HERE YOU CAN SEE SESSION OUTCOMES.

JUST WANTING TO MAKE SURE THAT THE BOARD UNDERSTANDS CURRENT AND FUTURE EFFORTS RELATED TO IT THE IMPLEMENTATION OF THE BUILDING EXCELLENCE PLAN. THE BUILDING EXCELLENCE PLAN IS TWO COMPONENTS. A CONSTRUCTION AND FUNDING PLAN THAT WE MARRIED TOGETHER AS WE THINK OF HOW WE MOVE CAPACITY FORWARD HERE IN THE DISTRICT. NEXT THE BOARD UNDER STANDS THE MULTIPLE VARIABLES RELATED TO DECISIONS ABOUT FUTURE FUNDING MEASURES BECAUSE AS YOU KNOW NOTHING IS SIMPLE, NOTHING IS EASY AND OUR DATA IS ALWAYS CHANGING SO WE CAN MAKE THE BEST DECISIONS WE CAN WITH THE DATA WE HAVE AVAILABLE TO US.

AND TIMING OF FUNDING MEASURES. BARBARA HAS A SLIDE DECK FROM D. A. DAVIDSON THAT WILL WALK THROUGH THAT WILL PROVIDE DATA AROUND TIMING OF BOND MEASURES. AS WE THINK OF 2024, THERE ARE UNIQUE ASPECTS IN THIS YEAR AND WOULD LIKE TO HAVE THOSE

DISCUSSIONS AS WELL. >> SIRI BLIESNER: WE WILL FROM

A POWERPOINT. >> SUPERTENDENT HOLMEN: YES, WE WILL. I WILL DO IT IN A COUPLE OF MINUTES. AS ALWAYS WANTS TO GROUND US ON HOW DOES THIS WORK MOVE FORWARD AND REALLY WHEN WE THINK ABOUT THE VALUES THAT WE ASPIRE TO, THESE ARE SOME OF THE VALUES THAT I THINK ABOUT ARE WORK RELATED TO FACILITY MANAGEMENT, CAPACITY DEVELOPMENT. IT ALWAYS HAS TO BE ALIGNED WITH OUR MISSION AND VISION BECAUSE THAT REALLY IS THE FOUNDATION OF OUR WORK ENSURING THAT STUDENTS HAVE FULL ACCESS TO THE ARRAY OF SERVICES AND SUPPORTS SO THEY CAN REACH THE -- THE HIGH EXPECTATIONS THAT WE HAVE FOR THEM FOR GRADUATION AND BEING FUTURE READY. AND ENSURING THAT ALONG WITH THAT COMES A HIGH QUALITY EDUCATION FOR EVERY STUDENT ACROSS LAKE WASHINGTON SCHOOL DISTRICT.

AND THE CONCEPT THAT WE ARE PART OF A -- OF A LARGER COMMUNITY IN THAT AS WE DEVELOP EXCELLENT SCHOOLS, THAT THAT TRULY IS PART OF AN EXCELLENT COMMUNITY.

AND YOU REALLY CAN'T HAVE ONE WITHOUT THE OTHER.

AND EACH MAKES THE OTHER STRONGER AND SO THAT IS A VALUE THAT I KNOW THE BOARD HAS EXPRESSED OVER TIME.

THE EFFECTIVE USE OF COMMUNITY FUNDING TO MEET THE NEEDS OF OUR STUDENTS. AND I USE THE TERM "EFFECTIVE." BECAUSE WHEN I THINK OF ALL THE DIFFERENT WAYS THAT WE CAN JUST MAINTAIN OUR STANDARD PROFILE OF SCHOOLS AND CONTINUE TO DO THAT. I AM NOT SURE THAT WILL MEET THE DEFINITION OF EFFECTIVE ANY LONGER.

AND BEING VERY THOUGHTFUL OF HOW WE USE THE FUNDING WE RECEIVE TO MEET THE NEEDS OF OUR STUDENTS, AND IN THIS REGARD, IN TERMS OF THE CAPACITY AND SCHOOL DEVELOPMENT. EFFECTIVE USE OF SPACE.

AND WHEN I THINK ABOUT THAT, WE HAVE CURRENT SPACE ACROSS THE DISTRICT. HOW ARE WE THINKING OF THOSE IN NEW AND CREATIVE WAYS WHICH KIND OF GO TO THAT NEXT IDEA OF PARTNERSHIPS. REALLY TO DEVELOP INNOVATIVE AND UNIQUE SOLUTIONS TO A PROBLEM THAT NOT MANY SCHOOL DISTRICTS HAVE FACED GIVEN OUR UNIQUE VARIABLES HERE ACROSS THE DISTRICT. AND FINALLY TRANSPARENCY THROUGH THESE PROCESSES. BECAUSE THESE ARE NOT LOW DOLLAR ITEMS THAT WE ARE TALKING ABOUT.

AND SO WE ARE SEEKING TO PARTNER WITH OUR COMMUNITY.

AND WE WANT TO BE TRANSPARENT IN THE FUNDING THAT WE ARE SEEKING, HOW THOSE FUNDS ARE USED TO ENSURE THAT THERE IS TRANSPARENCY AND AN UNDERSTANDING IN THAT.

AND SO A FEW CONSIDERATIONS AS WE THINK ABOUT TODAY.

THE DISTRICT DOES STRIVE FOR EXCELLENCE IN ACCOMPLISHING HIGH GOALS AND EXPECTATION FOR STUDENT PROGRAMMING AND OUTCOMES. EVERY TIME WE TALK ABOUT BOARD POLICY YESTERDAY, I -- I CAN POINT TO MANY TIMES DURING THE DAY THAT THIS WAS TRUE. THE EXPECTATIONS OF THE BOARD

[00:10:03]

WHEN WE THINK OF EVERYTHING THAT WE ARE TRYING TO ACCOMPLISH IN OUR FACILITIES, THAT WE ARE ABLE TO DO THAT EFFECTIVELY. AND WE ALSO KNOW THAT WE ARE RAPIDLY GROWING. WE ALSO KNOW THAT WE HAVE AN EXPERIENCE ACROSS THE GLOBE. THE PANDEMIC HAS CHANGED TH THINGS. AND WE DON'T KNOW EXACTLY WHAT THAT CHANGE MEANS FOR THE LONG TERM OF PUBLIC SCHOOLS, BUT WE KNOW THAT THERE HAS BEEN AN IMPACT.

WE ALSO KNOW THAT WE LEARNED SOME SKILLS ALONG THE WAY THAT CAN HELP INFORM WHAT EDUCATION LOOKS LIKE FOR STUDENTS.

SO ALL OF THAT KIND OF COMBINED HELPS US TO CONSIDER OUR FACILITY NEEDS. WITH THAT, I WILL HAND IT OVER TO ASSOCIATE SUPERINTENDENT BARBARA POSTHUMOUS.

I THINK MOST OF YOU OR ALL OF YOU KNOW DIRECTOR OF SUPPORT SERVICES BRIAN BUCK AND HERE TO PARTNER WITH US IN THE PRESENTATION TODAY. BARBARA, I WILL HAND IT OVER TO

YOU. >> GREAT.

THANK YOU. WE ARE EXCITED TO HAVE BRIAN -- I FORGOT ABOUT THE MIC. GOOD MORNING, EVERYONE.

GOOD MORNING. EXCITED TO BE HERE AND HAVE BRIAN HERE TO TALK ABOUT ALL THE GREAT WORK THAT HE AND HIS TEAM HAS BEEN DOING PLANNING FOR OUR LEVY AND OUR CONTINUED BUILDING EXCELLENCE PLAN. SO WANT TO REMIND EVERYONE FIRST WHAT OUR BUILDING EXCELLENCE PLAN IS.

WE SPENT EIGHT MONTHS PRIOR TO THE LEVY, FEBRUARY ELECTION PLANNING AND DETERMINING WILL BE ON THE ELECTION AND PART OF WHAT AS JON SAID PHASE ONE OF OUR BUILDING EXCELLENCE PLAN.

WE HAVE A THREE-PHASE PLAN. LEVY $295 MILLION.

STEP TWO WILL BE A POTENTIAL BOND IN 20 24 ABOUT $971 MILLION AND TO FUND THE AGING SCHOOLS.

AND STEP 3 WILL BE A RENEWAL OF THE CAPITAL CONSTRUCTION LEVY IN 2028 FOR APPROXIMATELY $705 MILLION.

THAT WILL CONTINUE TO ADDRESS CAPACITY NEEDS AND ADDRESS AGING FACILITIES. SO THIS SLIDE SHOWS ALL OF THE IDENTIFIED PROJECTS TO -- TO ACCOMMODATE BOTH OUR GROWTH, OUR PAST GROWTH, FUTURE EXPECTED GROWTH, AND OUR AGING FACILITIES. SO I WON'T GO THROUGH EVERY PROJECT ON HERE. WE WILL TALK ABOUT THE DIFFERENT PHASES AS WE -- AS BRIAN GOES THROUGH THE PRESENTATION, BUT THIS JUST SHOWS YOU THE KIND OF CUMULATIVE NEED IN OUR DISTRICT IN ORDER TO HOUSE STUDENTS AND DEAL WITH OUR AGING SCHOOLS. SO IT IS ABOUT $1.9 MILLION -- $19 MILLION DOLLARS OR 1.9. I WILL TURN IT OVER TO BRIAN.

AND BRIAN WILL GO OVER WHAT -- NOW THAT OUR LEVY PASSED, WHAT WE HAVE BEEN DOING AS FAR AS GETTING READY FOR THE PROJECTS ON THAT LEVY. AND BEFORE, I WILL JUST TALK OF THE BUDGET, THE $295 MILLION IS MADE UP -- WE HAVE FIVE PROJECTS OR -- SORRY, EIGHT PROJECTS BECAUSE FIVE LINE ITEMS. THREE ADDITIONS AT THREE MIDDLE SCHOOLS. FIN HILL, KIRKLAND AND REDMOND.

NEW ELEMENTARY SCHOOL ON THE REDLAND CAMPUS.

AND $295 MILLION BUDGET INCLUDES FOR EVERY TIME WE PUT PROJECTS TOGETHER, WE KNOW THERE IS CONSTRUCTION INFL INFLATION. WE KNOW WE NEED A BUILDING CONTINGENCY FOR UNFORESEEN THINGS SUCH AS CONCRETE STRIKES WOULD BE ONE EXAMPLE OF THAT. AND SO WE HAVE PROPERTY FUNDS BUILT IN. SO THAT IS THE INITIAL PLANNING FOR BUDGETS. WE KNOW THAT ONCE WE GET CLOSER WILL BE TOWARD THE DESIGN PROJECT AND THAT WILL BE REQUIRED OVER TIME. BRIAN, I WILL TURN IT OVER TO

[00:15:02]

YOU. >> THANK YOU.

SO AS WE LOOK AT THE PLANNING AND DESIGN PROCESS FOR THE MIDDLE SCHOOL ADDITIONS, WE HAVE DONE FEASIBILITY STUDIES AND PURSUING THE GG CM DELIVERY MODEL WHICH IS SIMILAR TO THE PRODUCTS IN THE 2016 BOND. WE SELECTED OUR ARCHITECT AND STARTING ON PREDESIGN SERVICES AT THE MIDDLE SCHOOLS.

FOR THE NEW ELEMENTARY SCHOOL IN THE REDMOND CAMPUS FEASIBILITY STUDIES AND AT THIS TIME WE ARE LOOKING AT WHAT DELIVERY METHOD TO DO. THIS IS BUILD OR THE GGCM MED ODD THIS OR A DESIGN-BUILD OPTION AS WELL AS AN ALTERNATIVE DELIVERY MODEL. AT THE HIGH SCHOOL, CAPACITY ON THE EAST SIDE, WE HAVE -- WE HAVE GONE THROUGH FEASIBILITY OF ADDITIONS AND ALSO SECONDARY CAPACITY ON-SITE 59.

WE HAVE SELECTED AN ARCHITECT FOR THE SITED 59 PREDESIGN.

AND WE ARE STARTING TO DO -- TO BEGIN PREDESIGN SERVICES THERE.

ON THE WEST SIDE, WE ARE REALLY AT SITE SELECTION REVIEW AT THIS . AND FROM PROGRAMMATIC STANDPOINT WE ARE LOOKING AT THE CASH FLOW.

>> WHAT SITE 59 IS. >> IN SAMMAMISH, UNDEVELOPED SITE. IT IS ON -- IT IS NOT ON THERE.

IT IS UNDER DEVELOPMENT. >> WE HAVE GOT SLIDES.

>> WE HAVE GOT MORE LALIBERTE LAL OKAY, STORY.

>> OKAY. ON THE MIDDLE SCHOOL ADDITIONS.

AGAIN, WE HAVE DONE FEASIBILITY FOR EACH.

THIS IS AT FINN HILL MIDDLE SCHOOL, KIRKLAND MIDDLE SCHOOL AND REDMOND MIDDLE SCHOOL. WE HAVE PRELIMINARY DESIGN CONCEPT MEETINGS IN JANUARY AND FEBRUARY.

LIKE I MENTIONED, WE ARE STARTING OUR PREDESIGN SERVICES FOR THOSE PROJECTS WITH TA TARGETED OPENING IN DADE IN FALL 2024. THIS IS FROM OUR FEASIBILITY STUDY. OUR INITIAL CONCEPT DESIGN OF FINN HILL MIDDLE SCHOOL IS A SINGLE-STORY ADDITION OF EIGHT CLASSROOMS TO HAVE UP TO 200 STUDENTS.

IN ADDITION IS ON THE NORTH SIDE OF FIN HILL AND EXPANDS ANOTHER CLASSROOM WING TO THE NORTH.

FOR KIRKLAND MIDDLE SCHOOL, THE INITIAL CONCEPT DESIGN IS A T TWO-STORY EDITION. EIGHT CLASSROOMS FOR A CAPACITY OF 200 STUDENTS AND THIS JOINS AN EXISTING OR ADJACENT TO AN EXISTING TWO-STORY CLASSROOM WING.

AND FOR REDMOND MIDDLE SCHOOL, A TWO-STORY ADDITION FOR EIGHT CLASSROOMS. UP TO 200 STUDENTS FOR ADDED CAPACITY. AND YOU CAN SEE THERE IT IS KIND OF NEAR OR JETS OUT NEAR THE LIBRARY.

>> CHRIS CARLSON: BRIAN. >> SUPERTENDENT HOLMEN: BRIAN, TALK TO THE PROCESS HOW YOU GOT TO THIS POINT OF YOUR TEAM'S ENGAGEMENT. WHO WAS INVOLVED IN THIS.

HOW DID WE LAND ON THESE AS THE SELECTED CONCEPT DESIGNS.

>> GO WITH OUR FEASIBILITY STUDIES AND SITE CONSTRAINTS AND CODE CONSTRAINTS RELATED TO EACH SITE AND PROVIDED OPTIONS OF WHAT IS POSSIBLE ON THE SITE IN TOTAL.

AND THEN WE KIND OF NARROWED DOWN WHAT OUR OPTIONS ARE FOR THESE -- FOR THIS CLASSROOM SPACE.

SO AS YOU CAN SAY WE ARE ON THE REDMOND MIDDLE SITE AND THEY IDENTIFIED OTHER AREAS IN THE FUTURE THAT CAN BE TURN INTO CLASSROOMS INSIDE THE BUILDING -- THE EX-KOOIS ING BUILDING, IDENTIFIED -- EXISTING BUILDING IDENTIFIED CORE EXPANSIONS IN THE FUTURE THAT LOOK THROUGH BROADLY ALL THE POTENTIAL GROWTH AT A SCHOOL BEFORE WE DECIDE TO PUT THE CLASSROOM EDITION. THIS CLASSROOM ADDITION IS EIGHT CLASSROOMS AND WE LOOK AT THE POTENTIAL ADDITIONS THAT CAN HAPPEN AT THAT SCHOOL AND WE ARE NOT CREATING FUTURE CORE

EXPANSION OR OTHER GROWTH. >> ERIC LALIBERTE: WHO IS

[00:20:02]

INVOLVED? >> ABSOLUTELY.

SO OUR TEAM GOES THROUGH THAT PROCESS AND WE COME TOGETHER WITH OUR MIDDLE SCHOOL LEADERS, THE PRINCIPAL AND ADMINISTRATION AT REDMOND MIDDLE AND DIRECTOR OF SCHOOL SUPPORT AND DALE AND YOUR TEAM HERE.

>> LEAH CHOI: I HAD A QUICK QUESTION.

I WAS LOOKING AT THE CAPACITY PROJECTIONS HANDOUT YOU GUYS GAVE. AND SO I WAS WONDERING HOW -- HOW IS THE DECISION MADE ABOUT WHICH SCHOOL THESE ADDITIONS ARE ADDED TO SINCE IT LOOKS LIKE THERE IS AN ADDITION FOR KIRKLAND, CORRECT. AND LOOKING AT THE NUMBERS, I NOT SURE WHY THAT SCHOOL WAS CHOSEN AND WHAT WAS THE PROCESS

BEHIND IT. >> I WILL GIVE ONE ANSWER AND BARBARA WILL GIVE A ABSOLUTE OPPOSITE ANSWER BUT HOPEFULLY NOT. KIRKLAND MIDDLE SCHOOL, THERE ARE TWO THAT ARE FEEDING, ROSE HILL MIDDLE SCHOOL IS PROJECTED TO BE AT OR OVER CAPACITY QUITE SUBSTANTIALLY.

WE HAVE HAD TO ADD PORTABLES ALREADY TO THAT CAMPUS AND WE ALSO KNOW THAT UNFORTUNATELY WE HAVE WORK TO DO WITH THE BOUNDARIES IN THE OVERALL AREA TO MAKE SURE THERE IS ENOUGH STUDENT CAPACITY IN THE OVERALL AREA DOING AN ADDITION AT ROSE HILL WHEN KIRKLAND IS THE SIZE IT IS TODAY DOESN'T MAKE GREAT PROGRAMMATIC AND ADDING TO K KIRKLAND AND I SHIFTING SOME OF THE POPULATION TO THAT SCHOOL SO IT CAN BRING A LITTLE MORE BALANCE ACROSS BOTH SCHOOLS THAT IT FEEDS INTO THE HIGH SCHOOL. KIND OF A THINKING BEHIND THAT.

>> I THINK JON COVERED IT AND, AGAIN, NOT GOING THROUGH EVERY MIDDLE SCHOOL IN THE LIST. WE WILL GET TO THIS LATER THIS PRESENTATION, BUT SOME OF OUR OTHER SCHOOLS ON THERE COUNTRY AS KAMIAKIN AND EVERGREEN PART OF OUR AGING FACILITIES AND CAPACITIES WILL BE INDICATED ONCE AGING FACILITIES ARE ADDRESSED. OUR GOAL TO GET THE SMALLER MIDDLE SCHOOLS UP TO KIND OF THE STANDARD CAPACITY OF 900.

>> OKAY. SO OUR NEW ELEMENTARY ON THE REDMOND ELEMENTARY CAMPUS. ON THE RIGHT, YOU CAN SEE THE EXISTING SCHOOL SITE. REDMOND IN THE DOWNTOWN AREA CONTINUES TO GROW. WITH THE EXPECTATION OF UP TO 600 NEW STUDENTS IN THE DOWNTOWN AREA IN THE NEXT THREE YEARS. WHAT WE ARE LOOKING AT IS THE UNDER DEVELOPED PORTION OF LAND THERE BETWEEN OLD REDMOND SCHOOLHOUSE AND THE REDMOND ELEMENTARY CAMPUS.

SO HE -- IN OUR FEASIBILITY STUDY, THIS IS JUST A CON SEPTEMBER DESIGN THAT SHOWS A SEPARATE STRUCTURE.

TWO SCHOOLS ON ONE SITE. WE HAD PRELIMINARY DESIGN MEETINGS IN DECEMBER. AND TO BE DETERMINED IS AN ARCHITECT AND ENGINEERING SELECTION WITH PREDESIGN SERVICES. TARGETED OPENING BE ON THIS IS FALL OF 2025. SO DECISIONS AND, AGAIN, DEVELOPMENT OF ACADEMIC PROGRAMMING IN THE DESIGN OF THIS SCHOOL. OTHER CURRENT CONSIDERATIONS THAT GRADE CONFIGURATIONS WITHIN EACH CAMPUS AND OPPORTUNITY FOR SCARED COMMONPLACE BEYOND THE CAMPUSES. NEXT IS TO DIG IN ON CONTROL

DURING OUR DESIGN PROCESS. >> MARK STUART: WE ARE TALKING OF TWO SEPARATE ELEMENTS IN JAY JAY SENT PROPERTY, CORRECT.

AS OPPOSED TO ONE BEING BUILT AND REPLACING THE OTHER.

I WANTED TO TO MAKE SURE. >> SUPERTENDENT HOLMEN: CURRENTLY -- A COUPLE OF SLIDES PREVIOUS TO THIS, THE NUMBER OF STUDENTS THAT ARE GOING TO GROW IN THE REDMONDCAM ELEMENTARY BOUNDARY REALLY REQUIRES 20 ADDITIONAL --

>> MARK STUART: I AM NOT QUESTIONING IT.

I WANTED TO MAKE SURE I UNDERSTOOD IT CORRECT.

WHEN WE DID JUANITA, A BUILDING HERE THAT WE STORE DOWN.

AND I WANTED TO MAKE SURE. >> SUPERTENDENT HOLMEN:

[00:25:03]

CORRECT. >> I WANT TO ADD WE MENTIONED STAKEHOLDER ENGAGEMENT DURING THE DESIGN PROCESS ON THIS SLIDE, BUT THAT IS REALLY GOING TO BE HAPPENING FOR ALL OF OUR PROJECTS SO THAT IS PART OF THE PROCESS OF WHEN WE BE SIGN AND BUILD ALL OF OUR SCHOOLS TO ENGAGE, YOU KNOW, STAFF MEMBERS, COMMUNITY, AND GET FEEDBACK ALL THE WAY DURING

THE PROCESS. >> AND SO -- SORRY, I AM STILL TRYING TO WRAP MY HEAD AROUND TWO ELEMENTARYS.

EFFECTIVELY ONE MASSIVE ELEMENTARY BUT TWO PRINCIPALS AND TWO STUDENT BODIES THAT YOU CAN'T SWAP BACK AND FORTH IN

BETWEEN, IS THAT -- >> SUPENT HOLMEN: HAVING AN ELEMENTARY SCHOOL OF 1200 REALLY ISN'T FEASIBLE THINKING ABOUT HOW YOU LAWN MANY STUDENTS THROUGH EVEN TAKING LUNCH ALONE. THAT IS DIFFICULT.

WHAT WE KNOW IS ONE BOUNDARY OF ELEMENTARY STUDENTS -- SIRI AND I TALKED ABOUT THIS. HOW DO YOU ENSURE THAT THERE IS A DEVELOPMENT OF RELATIONSHIP ACROSS THE GREAT BRANDS IF HOW DO YOU DETERMINE THAT STUDENTS ARE PARTNERING AND ENGAGING WITH ONE ANOTHER SO AS THEY ARE TRANSITIONING THROUGH, IT ISN'T THAT THERE IS A LACK OF EXPERIENCE.

NOW HOW WE DO THAT, THAT IS IN THAT REALLY PROBLEMATIC ACADEMIC DESIGN AROUND HOW ARE WE ENSURING THAT THE PROGRAMS SUCH AS -- LIKE THE LITTLE BUDDIES PROGRAM THAT THE YOUNG ERS ARE CONTINUING TO WORK WITH A CLASSROOM WITH OLDER STUDENTS. THOSE TYPE OF THINGS DESIGNING RECESS TO INTERACT. APPEAR MAKING SURE THAT STUDENTS INTERACT AND AT THE END OF THE DAY, IF YOU WILL, TWO ELEMENTARY SCHOOLS WORTH OF STUDENTS ON THE CAMPUS AND THINKING OF THAT IN DISCREET WAYS IS ALSO POSH FOR THE MANAGEMENT OF THE CAMPUS AND OPPORTUNITY MAKE SURE THERE IS COMMUNITY CONTINUING TO BE BUILT.

>> SIRI BLIESNER: I KNOW THERE WAS DISCUSSION OF K-2 AND 3-5.

I REMEMBER HOLDING THE DISCUSSIONS -- WHEN YOU SEPARATE THAT OUT IN COMMUNITY AND TRANSITIONS AND TO MAINTAIN A K-5. AND K-5 RUNNING AS TWO SEPARATE SCHOOLS. THAT IS THE PIECE THAT I THINK HAS SOME DISCUSSION PIECE IN WHICH TO DECIDE BECAUSE I THINK THOSE DO HAVE IMPLICATIONS WITH REGARD TO THE COMMUNITY AND THAT PIECE OF THE COMPONENT THAT YOU ARE SPEAKING TO.

THE OTHER QUESTION THAT I WOULD HAVE -- AND THIS WILL BE ON ALL OF THESE IS, AS WE DO THIS AND BUILD ADDITIONS, I AM ASSUMING CONNECTIONS WITH THE CITIES WITH REGARD TO IMPACTS IN THE AREA. I THINK OF TRAFFIC IMPACTS POTENTIALLY -- I JUST KNOW THERE ARE SOME OF THE ISSUES AS WE GET MORE CROWDED IN THE CITY AND THOSE COME OUT MORE OFTEN AND IF THEY ENGAGE EARLY TO MITIGATE THEM AS SOON AS

POSSIBLE. >> WE HAVE REGULAR COLLABORATION MEET WITH OUT OUR CITY AND BRIAN AND HIS CAPITALS PROJECTS TEAM IS MEETING AS EACH PROJECT IS DESIGNED.

AS WE BECOME MORE URBANIZED WE ARE CONTINUING TO HAVE THOSE CONVERSATIONS ABOUT, YOU KNOW, AS WE BUILD MORE URBAN DESIGN SCHOOLS, THE AVAILABILITY FOR PARKING AND TRAFFIC LOOPS MAY BE LIMITED. SO HOW DO WE, AGAIN, CONTINUE TO LET PEOPLE -- LET OUR COMMUNITIES KNOW HOW THEIR ZONING CODES AND THINGS LIKE THAT IMPACT OUR INSTRUCTION.

>> ABSOLUTELY. BEING ABLE TO HOLD THOSE CONVERSATIONS NOW WITH EVEN COMMUNITIES SO THEY ARE AWARE OF THOSE THINGS AND THEY HAVE WHAT THE VISION IS AND THE GOAL IS IN DOING SO AND HOW IT WILL BE ADDRESSTHAT WILL BE GREAT.

>> MARK STUART: ONE MORE BASIC QUESTION.

THE PREMISE IS THAT TWO CAMPUSES WORTH OF FACILITY IN THE SAME SITE. THEY HAVE THEIR OWN GYM, DINING

FACILITIES SNAP ACCURATE. >> SUPERTENDENT HOLMEN: BRIAN CAN GIVE YOU MORE DETAILS AROUND THE SPECIFIC FACILITY.

WE WERE TALKING ABOUT LUNCH. SHALL WE BUILD A LUNCHROOM.

I THOUGHT PRETTY GOOD IDEA THAT YOU CAN'T RUN 1200 STUDENTS THROUGH A CURRENT CAFETERIA WITHOUT RUNNING SIX LUNCHES AND THAT -- STARTING LUNCH AT 30 MINUTES AFTER THE KIDS GET

[00:30:01]

>> OKAY. SO THAT WAS WHAT I KIND OF ASSUMED. AND MY LAST QUESTION IS JUST A CLARIFICATION SOMETHING I THOUGHT YOU SAID.

THIS IS A SHARED BOUNDARY. A SHARED PATTERN.

>> SUPERTENDENT HOLMEN: CORRECT, THE RED L BOUNDARY.

>> CHRIS CARLSON: CREATIVE. WELL, THANK YOU.

>> IF I MIGHT, THE CORE SPACES AS YOU SPEAK TO, LUNCH ROOMS, GYMS, ALL THE ABOVE, THEY HAVE TO BE DOUBLED.

WE KNOW THIS IS AN ISSUE AND WE HAVE SEEN IT CONSISTENTLY AS WE DEALT ADDITIONS. NO REASON TO UNDERBUILD THAT.

>> LEAH CHOI: AND OUT SIZE THE GYM SPACE AND MAKE SURE WE ARE UTILIZING THE ASSETS WE HAVE AND ALL WILL BE PART OF THE DESIGN AND PLANNING AND STAKEHOLDER COMPLEX.

>> SIRI BLIESNER: CORRECTLY. THE AGREEMENT OF THE CITY OF REDMOND AROUND THE GYM SPACE AND ACCESS TO IT.

AFTER SCHOOL HOURS? >> THE CURRENTS AGREEMENT IS THAT THEY ARE RELEASING THAT EXCLUSIVELY AS PART OF THEIR LEASE. WE CAN'T SPEAK TODAY WHAT HOURS THEY ARE USING. I DON'T HAVE THAT INFORMATION TODAY SPACES ARE AN ISSUE OF HOW WE PROVIDE OPPORTUNITIES OUTSIDE WILL BE HIGHLY VAL VALUABLE.

>> MARK STUART: ONE OTHER QUESTION.

ACOUPLE GIVEN THE GEOGRAPHICS OF IT WITH REDMOND EL, YOU HAVE ACCESS ON THE SIDE STREET AND NEW CONSTRUCTION WILL HAVE TO BE ON -- WHAT'S THAT, 156. AND THAT IS A MAJOR FLOW THROUGH, AS I RECALL. THAT WILL BE A BEAR OF A TRAFFIC STORM. I WOULD ASSUME.

>> SUPERTENDENT HOLMEN: YES SIMILAR TO -- YOU DRIVE THROUGH REDMOND AND SEVERAL HIGH RISES -- A SIMILAR PROFILE TO THAT.

BRIAN, I DON'T KNOW IF YOU HAVE ANY ADDITIONAL THINKING AROUND WHAT DOES BUILDING A SCHOOL ON A SITE WELL THINKING OF URBANIZED DEVELOPMENT AND HOW TO MITIGATE -- YOU CAN'T

MITIGATE EVERYTHING. >> WE WILL LOOK AT SKIEDING THE BUILDING IN THE MOST OPTIMAL SPOT NOT ONLY DURING CONSTRUCTION BUT THEN AFTERWARDS.

AND WE ARE GOING TO HAVE TO ADD PARKING AND LOOP LINKS.

AND IT IS AN OPPORTUNITY TO LOOK AT THE WHOLE CAMPUS AND DETERMINE HOW TO BETTER UTILIZE THE WHOLE CAMPUS GIVEN THAT THERE ARE THREE BUILDINGS TH THERE.

MOVING CONTINUE TO FEASIBILITY ON THE EAST SIDE.

AND FEASIBILITY OF A NEW SECONDARY BUILDING ON-SITE 59 WHICH IS IN SAMMAMISH. SO THIS TABLE KIND OF REVIEWS THE ADVANTAGES AND DISADVANTAGES AND COST IMPACT FOR EACH. AS IT RELATES TO THE ADDITION CURRENT WITH CAPACITY NEEDS IN THE SCHOOLS.

DISADVANTAGES. AS THEY INCREASE PERMANENT CAPACITY BEYOND WHAT WE ARE CURRENTLY TARGETING WITH OUR EDUCATIONAL. AND BUILDING A FIFTH COMPREHENSIVE HIGH SCHOOL IN THE FUTURE WILL REDUCE ENROLLMENT AT THESE HIGH SCHOOLS.

AND THERE IS NO EXPANSION INVOLVE COURSE SPACE EXPANSIONS WITH THESE ADDITIONS. AS IT RELATES TO COST.

THE COST PER SQUARE FOOT FOR AN ADDITION IS HIGHER DUE TO ECONOMIES OF SCALE AND CONNECTIONS TO BUILDINGS.

AS IT RELATES TO SITE 59 WHICH IS IN SAMMAMISH, IT DOES ADD A FLEXIBILITY TO CAPACITY AND SECONDARY.

IT PROVIDES FOR FUTURE CAPACITY NEEDS AFTER THE COMPREHENSIVE

[00:35:02]

DISADVANTAGES ALTHOUGH I AM NOT SURE IT IS A DISADVANTAGE IS IT IS COLLABORATING WITH OUR COMMUNITY ON A SHORT-TERM, LONG-TERM OPTION FOR THIS SITE, BECAUSE IT WILL SERVE IMMEDIATE NEEDS AT REDMOND AND EASTLAKE THAT CAN BE USED FOR OTHER PROGRAMMING AFTER THE FIFTH COMPREHENSIVE HIGH SCHOOL IS BUILT. AND, AGAIN, COST PER SQUARE FOOT. USUALLY MORE ECONOMIES OF SCALE

WITH A LARGER BUILDING. >> WHEN WE THINK ABOUT.

THIS IS LIKE GETTING THE LAST PIECE OF THE RUBIK'S CUBE ON THE RIDE SIDE OF THE CUBE. THE -- KNOWING THAT DOWN THE ROAD, THERE IS THE FIFTH COMPREHENSIVE HIGH SCHOOL.

AND HOW DO WE -- HOW DO WE MITIGATE IMPACT ON OUR HIGH SCHOOL STUDENTS IN THE SHORT TERM WHILE OVERLAYING A L LONG-TERM PLAN IN FRONTING TO USE OUR RESOURCES WELL.

EFFECTIVELY IN THE LONG TERM. AND SO THAT IS THE STRUGGLE WHERE -- WE ARE WORKING THROUGH RIGHT NOW IS, FOR US, ADDITIONS AT OUR HIGH SCHOOLS, THEY DON'T MAKE SENSE PROGRAMMATICALLY RIGHT NOW BUT THEY ALSO PARTICULARLY DON'T MAKE SENSE WITH THE FIFTH COMPREHENSIVE HIGH SCHOOL COMING ONLINE.

THERE IS A WHOLE BUNCH OF REASONS WHY ADDITIONS DON'T MEET THE TARGET BECAUSE WE THEN ARE ESSENTIALLY ACCUMULATING -- ASSUMING WE ARE OKAY WITH 2400, 2500-STUDENT HIGH SCHOOLS AND ALL OF US HAVE ARTICULATED THAT IS NOT WHERE WE WANT TO GO.

AND YET IF THAT IS THE CASE AND WE ARE NOT DOING ADDITIONS, THEN WE HAVE TO HAVE SOME RELIEF IN THE SHORT TERM BECAUSE SHORT TERM REALLY IS -- IF BOND PASSES IN '24, WE ARE BUILDING A FIFTH COMPREHENSIVE HIGH SCHOOL IN THE SHORT TERM AFTER THAT. SO WE ARE TALKING OF A HANDFUL OF YEARS THAT WE NEED CAPACITY RELIEF FOR OUR EAST SIDE HIGH SCHOOLS. THOSE ARE THE PIECES WE ARE WORKING THROUGH. THE TERM "FLEXIBLE FACILITY" IS A TERM THAT WE ARE USING IF USED FOR HIGH SCHOOL CAPACITY TODAY THEN IT ALSO GENERATES TO USE IT FOR A DIFFERENT GRADE

BAND IN THE FUTURE. >> SIRI BLIESNER: SITE 59 BETWEEN EASTLAKE HIGH SCHOOL AND L1 EASTLAKE CATHOLIC.

FOR THE EXPANSION. >> WE HAVE A PICTURE OF IT.

[INAUDIBLE] >> CORRECT.

RIGHT ACROSS THE STREET. >> SIRI BLIESNER: SO THE OTHER PIECE -- I KNOW THAT YOU WILL THINKING OF OF IT AS WELL.

INGLEWOOD IS A SIGNIFICANTLY LARGE MIDDLE SCHOOL AT THIS .IN TIME. AND WITH THE POTENTIAL OF TOWN CENTER AT THE SAMMAMISH LOCATION TO START GOING UNDER DEVELOPMENT, THAT WILL HAVE OTHER IMPACTS THAT TOE KERR.

SO THAT IS -- THAT FLEXIBLE CONCEPT IS A USEFUL OPTION TO BE ABLE TO UTILIZE. HOLY SCHOLZ IT GIVES US AN OPPORTUNITY IN THE FUTURE WHAT THE SPACE NEEDS IN SAMMAMISH.

IS IT OUR FIRST FOR RAY INTO A K-8 KNOWING THAT IT PROVIDES RELIEF AT ELEMENTARY AND MIDDLE SCHOOL AND DIFFICULT -- BUSES KIDS OFF OF SAMMAMISH DOESN'T MAKE SENSE FOR A WHOLE BUNCH OF REASONS, PRIMARILY JUST THE TIME IT TAKES TO GET OFF THE HILL. AND, SO, THAT IS ONE OF THE THINGS WE TALKED ABOUT. WE ALSO KNOW WE WILL NEED ADDITIONAL ELEMENTARY SPACE. AGAIN IT GUEST US OPPORTUNITY MAKE DIFFERENT DECISION NOTICE FUTURE WHAT STUDENTS ARE THERE AND WHAT POSITIONS LOOK LIKE THEN.

OKAY, SO WE DID FEASIBILITY STUDIES ON BOTH HIGH SCHOOLS AND SITE 59. I HAD PRELIMINARY DESIGN MEETING IN SEPTEMBER. WE HAVE AN ARCHITECT SELECTED FOR SITE 59. AND THEY ARE GOING THROUGH AND STARTING PREDESIGN ON THAT S SITE, TARGETED OPENING IS FALL 2025. THIS IS THE FEASIBILITY CONFLICT AT REDMOND HIGH SC SCHOOL.

[00:40:01]

>> CORRECT. CURRENTLY THE WINGS WOULD ATTACH IN TWO SPOTS FOR TWO CLASSROOM WINGS.

>> THAT IS SLIGHTLY DIFFERENT THAN THE BUILDING.

THAT WILL BE ON THE END. >> WILL CONTINUE FURTHER.

>> FOR EASTLAKE. FAIRLY LIMITED.

TWO-STORY EDITION FOR 12 CLASSROOMS UP TO 200 STUDENTS THESE EX-EARNSTS OF CURRENT ROOM AT EASTLAKE AND ROOM FOR

TWO WINGS AT THE END. >> WHY DOES IT SAY "DETENTION?"

>> PROBABLY STORMWATER DETENTION.

>> IN THE CONCEPT OF A SCHOOL. >> WE CLIPPED A BIGGER PIC IN THERE. STORMWATER RETENTION.

AND THEN ON-SITE 59 FOR THE TOP RIGHT, YOU CAN SEE THE TWO PARCELS THAT ARE 15 AND A HALF ACRES THAT ARE ADJACENT TO 228 IN FRONT OF THE EAST SIDE CATHOLIC WHICH IS BETWEEN E EASTLAKE HIGH SCHOOL AND SKYLINE HIGH SCHOOL.

IT IS WITHIN THE CITY OF SAMMAMISH'S TOWN CENTER PLAN.

AND THERE ARE LIMITATIONS RELATED TO WEST LANDS.

THIS CONCEPT DESIGN WAS PERFORMED IN 2017, AND YOU CAN SEE ON THE LEFT, THE WETLANDS AND THE BUFFER AREA.

LARGER AREA IS THE BUFFER. AND THE SMALLER IS THE WESTLAND ITSELF. SURE, THERE IS -- THERE ARE TWO SCHOOLS IN THIS CONCEPT DESIGN. AN ELEMENTARY AND A POTENTIAL CHOICE HIGH SCHOOL. SO -- AND SOME CORE SPACE THERE SO THIS IS AN INITIAL FEASIBILITY DESIGN AND STARTING WITH THE CITY OF SAMMAMISH. PRELIMINARY TALKS OF THE CITY OF SAMMAMISH ABOUT THE DEVELOPMENT.

>> SIRI BLIESNER: HOW MANY STUDENTS ARE YOU EXPECTED TO HAVE ON-SITE 59, REGARDLESS OF THE BUILDING?

>> THIS IS UP TO 600. >> THE CURRENT -- THE 2022 LEVY FUNDS CAPACITY FOR 600 STUDSENTS.

AGAIN THE GOAL IS TO DESIGN THE SITE SO OPTIONS FOR MULTIPLE ADDITIONAL CAPACITY AS WELL. SO -- BUT THIS PHASE WILL BUILD THE FIRST PHASE AND DEPENDING AGO ON WHAT IS NEEDING NEXT.

>> KNOWING THE FIELD SPACE WILL NOT BE THERE.

DISCUSSION OF THE EASTLAKE CATHOLIC OF ACCESSING THEIRS.

>> ALL DISCUSSIONS WILL BE O OPEN.

>> IN THIS CONCEPT DESIGN ALSO, THERE IS A FIELD THERE, BUT NOT NECESSARILY A SECONDARY HIGH SCHOOL SET-UP.

LIKE AN ELEMENTARY-LIKE FEEL. >> SIRI BLIESNER: AN INTERESTING PARTNERSHIP TO EXPLORE.

>> THE HIGH SCHOOL CAPACITY ON THE WEST SIDE IN 2017.

AGAIN, WE PERFORMED A FEASIBILITY STUDY ON THE CAMPUS OF KAMIAKIN MIDDLE SCHOOL. THE SITE OPTIONS FOR THIS WEST SIDE HIGH SCHOOL CAPACITY IS ON THE KAMIAKIN CAMPUS OR ON NEW PROPERTY OF WHICH WE HAVE NOT LOCATED.

[00:45:01]

WHAT TYPE OF POPULATION DO WE TALK MOVING IN -- WE HAVE X NUMBER OF STUDENTS IN MIDDLE, BUT HOW GIVING THEM SPACE.

>> NEW MIDDLE SCHOOLS WILL HOUSE 900 STUDENTS AND A CHOICE CAMPUS FOR 300 STUDENTS AND CHOICE CAPACITY AS WELL.

$1500, $1600 ON CAMPUS. AGAIN THIS IS MORE OF A POTENTIAL FOR AN URBANIZED DESIGN AS WELL.

>> TARGETED OPENING FOR THIS WOULD BE FALL OF 2027 WHICH CAN ALIGN TO THE KAMIAKIN PHASE TWO OF BUILDING EXCELLENCE.

OKAY. SO MOVING INTO CASH FLOW.

AND BARBARA YOU MIGHT WANT TO TAKE THIS SLIDE.

I WILL TALK ABOUT THE CASH FLOW.

AS YOU WE CALL SIMILAR CONSTRUCTION LEVY, WE ASKED OUR VOTERS FOR FUNDS OVER A S SIX-YEAR TIME PERIOD.

AND SO THAT IS THE SAME WITH THE 2022 CONSTRUCTION LEVY.

FUNDS WILL BE COMING OVER -- ACTUALLY OVER EIGHT YEARS BECAUSE IT AFFECTS HALF THE YEAR IN 2023.

AND HALF A YEAR IN '28-'29. SO WE WILL BE RECEIVING THOSE FUNDS, BUT, OF COURSE, OUR GOAL IS TO BUILD OUR CAPACITY AND OUR CAPACITY NEEDS ARE NEEDED YESTERDAY.

AND SO ONE OF THE THINGS THAT WE HAVE DONE IN THE PAST AND WE CAN DO WITH THIS PROJECT AND SO THE INITIAL ITEMS ON THE LEFT ARE THE PROJECTED EXPENDITURES, CUMULATED EXPENDITURES.

THE FIRST COLUMN IS THE REVENUE THAT IS COMING IN THROUGH THE LEVY. YOU CAN SEE OVER TIME $18 MILLION NEXT YEAR ONCE THE LEVY -- THE SPRING COLLECTION LAND GROW TO $295 MILLION BY THE ' '28, '29 SCHOOL YEAR.

AND SO THE SPENDING PLAN, YOU CAN SEE THAT REALLY THE BULK OF THE SPENDING IS TO OPEN THOSE MIDDLE SCHOOL ADDITIONS IN THE FALL OF 2024, AND BULK HAPPENS IN THE '23-'24 SCHOOL YEAR AND CONTINUES WITH THE ELEMENTARY SCHOOL CAMPUS AND NEW SECONDARY CAPACITY. JUST LOOKING AT THE CONSTRUCTION CASH FLOW ALONE, WE WOULDN'T BE ABLE TO -- WE HAVE A KOSH FLOW PROBLEM. YOU CAN SEE WE ARE ABOUT $53 MILLION SHORT IN THE '24-'25 SCHOOL YEAR.

ONE OF THE THINGS WE HAVE DONE RESOLVE THAT, GENERAL BOND, NONVOTING THAT CAN BE USED FOR ADDITION, NOT NEW CONSTR CONSTRUCTIONS. WE ARE CHECKING WITH LEGAL TO SEE IF THE REQUIREMENTS FOR THAT BECAUSE THINGS CAN CHANGE TIME. LOOKING AT A LGO AND PAID BACK -- NOT PAID BACK WITH OTHER PROCEEDS, THE PRINCIPAL PAID BACK WITH LEVY. THE INTEREST NEEDS TO BE PAID WITH ANOTHER SOURCE LIKE THE CONSTRUCTION ASSISTANCE FUNDS.

WE BRING RESOLUTION FOR BOARD ACCESS FOR $50 MILLION, MOST LIKELY IN THE '234-'24 SCHOOL YEAR AND NOT NEEDING TO DO THAT TODAY AND THAT WILL ALLOW US TO KEEP AND MAINTAIN THAT SCHEDULE. AGAIN A PUBLIC HEARING THAT REQUIRES BOARD ACTION. HOW BOND SALES WORK, YOU SELL THE BOND AT A PREMIUM SO YOU ARE SEARCH RECEIVING MORE MO MONEY, CASH UP FRONT WHAT NEEDS TO BE PAID BACK IN PRINCIPAL PRINCIPAL AND NET COST FOR THE LGO BOND SALE IS $3 MILLION.

[00:50:02]

TYING AND DETAILS ON THAT. >> CAN I SAY IT DIFFERENTLY.

WE HAVE TWO OPTIONS, DELAY CONSTRUCTION AND SPEND MORE MONEY ON THE CONSTRUCTION SITE AND LGO BONDS AND COST A TOTAL OF 3MILLION. SO KEEPING OUR PROJECTS ON TIME IS IMPORTANT BECAUSE STUDENT NEEDS AND ALSO FISCALLY START OUT BETTER TO THE LGO ROUTE BECAUSE OF INFLATION AND

ESCALATION. >> MARK STUART: THE $3 MILLION IS PROJECTED TO BE FAR LESS THAN THE INFLATION FACTOR, CORRECT? MAKES SENSE.

>> $3 MILLION FOR THE LGOS IS LESS THAN.

>> MARK STUART: EVERYBODY AT HOME UNDERSTOOD.

>> LEAH CHOI: WHAT IS THE ANTICIPATED DELAY -- TIMELINE YOU ARE USING TO GET TO $17 MILLION?

>> IT'S A YEAR -- I THINK IT WAS A YEAR.

>> LEAH CHOI: ONE-YEAR DELAY? >> ON ALL THE PROJECTS.

>> SUPERTENDENT HOLMEN: I BELIEVE OUR ESTIMATE IS -- IS

IT 8% ANNUALLY? >> YOUR CURRENTLY ESTIMATING 8%. INTERESTINGLY ENOUGH THERE ARE 2021, OUR SELF-CONSTRUCTION CASELATION WAS 10%.

WE WERE -- >> LEAH CHOI: BECAUSE OF THE

CONCRETE STRIKE? >> A LOT OF FACTORS REALLY.

MULTIPLE SPIKES DURING THAT THYME TIME AS WELL AND SUPPLY

CHAIN AND RESOURCES. >> LEAH CHOI: YOU SAID 8%?

>> YES. >> MARK STUART: THE BOND ESTIMATES FOR THE LGO ARE SHORT-TERM DEBT AND CLOSER TO THE INFLATION RATE TO WHATEVER THE LONG-TERM INTEREST RATES IS FROM TREASURY. EVEN IF WE ARE YOU OFF TO A FACTOR OF TWO $16 MILLION VERSUS $17 MILLION.

>> WE WILL NEED TO KEEP AN EYE ON INTEREST RATES AND CREEPING UP BECAUSE THESE ESTIMATES WERE DONE PROBABLY A MONTH OR SO AGO AND THINGS KEEP CHANGING. SO, AGAIN, WE WILL CONTINUE TO

REFINE THE NUMBERS. >> IS IT TRUE THE LAST THREE TIMES WE HAVE DONE CONSTRUCTION LEVEES WE HAVE USED THE LGO

STRATEGY TO FUND CONSTRUCTION? >> THAT IS TRUE.

>> THANK YOU. >> 2011 AND 2019.

>> MARK STUART: SOMETHING WEED WEED ME TO MAKE APPARENT TO OUR PUBLIC AND PARENTS. THIS ISN'T A NEW STRATEGY, WE HAVE DONE THIS BEFORE AND COST EFFECTIVE AND NOT A NEW FANTASYLAND WE ARE ENTERING IN. A TRIED AND TRUE METHOD AND VERY SUCCESSFUL FOR US. I THINK THEY NEED TO KNOW THAT.

>> IT CAN BE USED TO FUND ADDITIONS TO EXISTING CAMPUSES, IS THAT RIGHT? DOES THE REDMOND ELEMENTARY CAMPUS COUNT -- I AM TRYING TO THINK OF THE --

>> NO, WE ARE WORKING WITH LEGAL COUNCIL ON THAT.

>> CHRIS CARLSON: I CAN MAKE AN ARGUMENT.

I THINK IT IS AN ARGUMENT. >> I DON'T DISAGREE WITH YOU.

WE ALSO DON'T WANT TO -- SEE, WE ALSO DON'T WANT TO ASK FOR MORE THAN WE NEED EITHER, SO GIVEN THE CASH FLOW NUMBERS, BUT

>> ERIC LALIBERTE: OKAY, 8:58 IT SHA JUST WAITING FOR THE VIDEO TO COME BACK ON AND THEN -- OKAY,

THERE WE ARE. >> ALL RIGHT.

ALL RIGHT, WE ARE GOING TO CONTINUE WITH PHASE TWO.

AND THE WORK THAT WE ARE DOING FOR PLANNING FOR POTENTIAL 2024 BOND. SO THE FIRST THING I WANTED TO GO OVER IS PROVIDE UPDATED ENROLLMENT AND ENROLLMENT TRENDS THAT HELP INFORM DECISIONS ABOUT OUR CAPITAL CONSTRUCTION PLANNING. EVERY YEAR FOR THE LAST FOUR OR

[00:55:03]

AS WE MENTIONED EARLIER COVID -- THE PANDEMIC HAS IMPACTED OUR TREND DATA SO IT IS HARD TO -- WE HAVE BEEN -- PREPANDEMIC, OUR TRENDS WERE PRETTY CONSISTENT.

AND POST PANDEMIC, THAT HAS BEEN IMPACTED.

BUT WE KNOW THAT CONSTRUCTION IS STILL OCCURRING.

WE KNOW THAT HOUSING GROWTH IS HAPPENING.

AND WE KNOW THAT ENROLLMENT GROWTH IS PROJECTED.

AND WE ALSO KNOW THAT OUR SCHOOLS, GIVEN THAT MOST OF THEM ARE AT CAPACITY, THEY ARE REALLY CONSTRAINED ABOUT -- YOU KNOW, THEIR RESPONSIBILITY TO FLEX AS ENROLLMENT INCREASES AND DECREASES. OUR DEMOGRAPHER.

WHEN THEY DO BOUNDARY. THEY TOLD US WHEN THEY FIRST STARTED MEETING WITH US, WHEN WE DO BOUNDARY PROCESSES WE TARGET OUR SCHOOLS AT 70% TO 80% CAPACITY.

AND WE LOOKED AT THEM SAYING THIS IS NOT POSSIBLE IN THIS DISTRICT BECAUSE EVERY SCHOOL IS AT CAPACITIES.

BUT WE -- PART OF OUR BUILDING EXCELLENT -- EXCELLENCE PLAN TO BUILD EXCELLENT CLASSROOMS SO SCHOOLS HAVE MORE FLEXIBILITY AS NEIGHBORHOODS SHIFT. WE KNOW NOT ALL OF OUR SCHOOLS ARE EVEN ABLE TO HOUSE PROGRAMS FOR THEIR OWN STUDENTS THAT LIVE IN THE NEIGHBORHOOD SUCH AS GIFTED AND SPECIAL ED.

THE THING CALLED LAKE WASHINGTON ELEMENTARY SCHOOLS.

NONE OF THOSE SCHOOLS FROM GIFTED ON THEIR CAMPUSES.

WE ALSO KNOW THAT WE HAVE 162 PORTABLES ACROSS THE DISTRICT.

HOUSING UP TO 3700 STUDENTS SO WE WANT TO, AGAIN, OVER TIME, REDUCE OUR RELIANCE ON POR PORTABLES.

WE HAD OVER THE YEARS, YOU K KNOW, SINCE OUR GROWTH -- SINCE 2008, SINCE WE HAD SIGNIFICANT GROWTH WE HAVE CONTINUED TO ADDRESS OVERCROWDING BY ADDING PORTABLES BY DOING BOUNDARY CHANGES REDUCING OUR STANDARD OF SERVICE USING ROOMS THAT WEREN'T INTENDED TO BE CLASSROOMS AS CLASSROOMS. AND THE ONLY OPTION THAT WE HAVEN'T DONE THAT COULD BE USED TO ADDRESS OVERCROWDING IS INCREASING CLASS SIZE.

BUT THAT IS AN OPTION SHOULD WE NEED TO USE IT.

WE ALSO -- AS WE TALKED EARLIER CORE SPACES ARE COMMON GYMS, LIBRARIES AND PARKING LOTS. SOME OF OUR SECONDARY SCHOOLS ARE NOT ABLE TO OFFER CERTAIN COURSES BECAUSE OF SPACE CONSTRAINTS AND SCIENCE. ALL OF THAT IS OUR CURRENT CONDITIONS. AND SO --

>> SUPERTENDENT HOLMEN: BARBARA, BEFORE YOU GO, COULD YOU JUST OFFER A TERM DEFINITIONS WHEN WE USE TERMS LIKE "PERMANENT CAPACITY" AND "TOTAL CAPACITY." CAN YOU REMAIN US ALL WHAT THOSE TERMS MEAN?

>> SURE. WE ARE GOING TO SHARE -- "PERMANENT CAPACITY"IS THE CAPACITY BUILT.

OUR CORE SPACE, CLASSROOM CAPACITY.

AND "TOTAL CAPACITY" INCLUDES CAPACITY FOR PARTABLES.

162 PORTABLES ARE INCLUDED IN TOTAL CAPACITY.

IF WE REMOVE EVERY PORTABLE FROM THE DISTRICT, THE PERMANENT CAPACITY, THAT IS REFLECTED IN PERMANENT CAP CAPACITY. SO I AM GOING TO GO THROUGH SOME VISUAL SLIDES. YOU HAVE THE DATA.

GO AHEAD, LEAH. >> LEAH CHOI: STORY, CAN YOU EXPLAIN THE THOUGHT PROCESS BEHIND WHY FLOW ANALYTICS CONSIDER 70% TO 75% TO BE AT CAPACITY.

CAN YOU EXPLAIN WHY THAT IS? >> BECAUSE YOU -- IT ALLOWS YOU TO HAVE FLEXIBILITY AS NEIGHBORHOODS GROW THE EBB AND FLOW. ALL SCHOOLS SEE INCREASE IN ENROLLMENT AND WHEN NEIGHBORS MATURE, SOMETIMES IT DECREASES.

BUT ALLOWING YOU THAT FLEXIBILITY AND ALLOWS YOU SPACE FOR PROGRAMMING AND, AGAIN, THINGS -- CHANGES THAT MAY OCCUR OVER TIME SUCH AS GIFTED PROGRAMS, DIFFERENT TYPES OF PROGRAMS FOR OTHER SPECIAL PROGRAMS.

>> SUPERTENDENT HOLMEN: I HEARD DIRECTOR CHOI'S QUESTION A LITTLE DIFFERENTLY. FLOW ANALYTICS.

IF I AM ANSWERING THE WRONG QUESTION, JUST LET ME KNOW.

FLOW AN LILTICS, THEIR TARGET FOR ANY INDIVIDUAL SCHOOL IS THAT YOU ONLY ALIGN STUDENTS UP TO 70% TO 80% OF THAT SCHOOL'S

[01:00:09]

WHAT WE FIND IS THAT SO MANY OF OUR SCHOOLS ARE AT THAT 90% TO 100% CAPACITY ALREADY, SO THERE IS REALLY NO FLEXIBILITY.

AND THINK OF OUR SCHOOLS THAT KIRKLAND, THEY CAN'T PROVIDE THE REGIONAL PROGRAMMING THAT STUDENTS SHOULD BE AFFORDED.

WHEN I SAY IN PARTICULAR OUR QUEST PROGRAM.

WE DON'T HAVE STUDENTS -- DON'T HAVE A PROGRAM LOCATED WITHIN THE KIRKLAND REGION, THE SCHOOL THAT TRANSITIONS UP TO WASHINGTON HIGH SCHOOL. THEY ARE CURRENTLY BUSED OUT OF THAT AREA TO RECEIVE THEIR PROGRAMMING.

SO THAT IS -- SO FOR US, IT WASN'T EVEN A MENTAL MODEL TO THINK OF 70% TO 80%. AND PART OF THAT IS THE ONGOING CONVERSATION AROUND. IF YOU HAVE AN EMPTY CLASSROOM, YOU DON'T NEED MORE SCHOOLS. THAT IS NOT REALLY HOW YOU RIGHT SIZE A SCHOOL DISTRICT FOR THE LONG-TERM.

AND I THINK THE MIND SET THAT WE ALL HAVE TAKEN OVER THE LAST 18 MONTHS IS HOW DO WE THINK OF THIS SCHOOL DISTRICT IN A 50 TO 70-YEAR CONSIDERATION RATHER THAN THREE TO FIVE YEARS.

>> MARK STUART: TO THAT POINT, GIVEN A MICROCOSM, IF YOU WILL, THE ELM STREET, AND BUILT 25 YEARS AGO, WHEN WE MOVED IN, VIRTUALLY ALL THE FAMILIES WERE MIDDLE TO HIGH SCHOOL-AGE RANGE. IN THE LAST FIVE YEARS, VIR VIRTUALLY ALL OF THE EMPTY NESTERS ARE GONE.

AND ALL HAVE BEEN REPLEASED WITH FAMILIES WITH TWO OR THREE KIDS ABOUT YEAH TALL. THAT TURNOVER BOOMED FOR THE ELEMENTARY SCHOOLS. I CAN'T GET OVER THE NUMBER OF KIDS SO FAR AS OPPOSED TO THOSE IN HIGH SCHOOL.

>> SO THE ONE OTHER PIECE THINK THAT THINK ABOUT THAT IS INFILL OCCURRING. ONE HOUSE ON THE LOT AND GETS SOLD AND TORN DOWN AND FOUR HOUSES WITHIN THAT LOT WITHIN OUR NEIGHBORHOOD SCHOOLS. IS BY HAVING A LOWER CAPACITY YOU CAN SOB SORB THE E-MAIL THANK IS HAPPENING.

>> LEAH CHOI: I GUESS A FOLLOW-UP QUESTION WOULD THEN BE 20% TO 30% INCREASE IN STUDENTS OVER, YOU KNOW VARIABLE X TIME FRAME. IS THAT REALISTIC FOR MOST OF OUR SCHOOLS THEN? LIKE THE EXPECTATION?

>> SUPERTENDENT HOLMEN: I WANT TO MAKE SURE I UNDERSTAND YOUR QUESTION. IS YOUR QUESTION, WITH WE EXPECTING 20% TO 30% GROWTH AT EACH SCHOOL?

>> LEAH CHOI: I AM ASKING IS IT REALISTIC FOR US TO EXPECT THAT TYPE OF AN INCREASE AT A MAJORITY OF OUR SCHOOLS IF WE ARE -- IF THE GOAL WAS TO PLAN AT A 70% CAPACITY OR 75% CAPACITY ENROLLMENT FOR EACH SCHOOL AND FUND ACCORDINGLY AND BUILD ACCORDINGLY TO ACHIEVE THAT GOAL.

IS IT REALISTIC TO SAY THAT THE MAJORITY OF THOSE SCHOOLS WILL HAVE AT SOME POINT A 20% TO 30% INCREASE IN CAPACITY -- IN

ENROLLMENT. >> SUPERTENDENT HOLMEN: WE ACTUALLY HAVE IT. INTERNALLY, WE HAVEN'T TARGETED THE 70% TO 80%. TARGETED MORE OF THE 80% TO 90% FOR OUR SCHOOLS. AND IT IS BOTH ENROLLMENT INCREASES AND PROGRAM CHANGES. SO BOTH OF THOSE ARE CONSIDERATIONS FOR HOW WE USE CAPACITY.

>> SIRI BLIESNER: ONE OTHER PIECE HANG SOMETHING CLASS SIZE REDUCTIONS PASS $AT THE LEGISLATURE AND HOW WE DO THOSE. WE HAVEN'T BEEN ABLE TO GET TO FULL STUDENT RATIO. WE UTILIZE SPECIALISTS TO GET TO THAT RATIO COMPONENT AND SOME ARE DUE WITH SPACE ISSUES AND NOT HAVING THE SPACE TO DO SO.

LONG-TERM THINKING HOW TO ADDRESS.

WE KNOW EARLY LEARNING WILL START COMING AS WELL AND PROBABLY BECOME A MANDATORY ISSUE AS WE HAVE TO THINK ABOUT THAT SPACE. WE HAVE TO THINK OF THE POTENTIAL IN FIVE TO TEN YEARS WHAT IS COMING AND WILL ALLOW

FOR FLEXIBILITY. >> ALL RIGHT, I WANT TO JUST SHARE SOME OF THE CHARTS THAT FLOW ANALYTICS HAS PREPARED FOR US. AND WE USE KIND OF A FOUR-COLOR

[01:05:04]

AND REALLY THE BLUE IS -- IS KIND OF WHAT WE CALL UNDER CAPACITY. 70.109%.

GREEN IS AT CAPACITY AT 80% TO 90% RANGE.

AND BEGINNING CRITICAL CAPACITY IS THE YELLOW 90 TO 90% AND ANYTHING ABOVE 100% IS REALLY IN THE RED CAPACITY.

SO AT THE ELEMENTARY LEVEL AGED -- THE CHART RIGHT NOW, WE ARE ASKING THEM TO DO WITHOUT PORTABLES.

BUT INCLUDES PORTABLES AND TOTAL CAPACITY RIGHT NOW.

AND WE KNOW THE LONG-TERM GOAL IS TO REDUCE OUR RELIANCE ON PORTABLES. ON THE ELEMENTARY LEVEL, WE JUST BUILT ADDITIONS AT. IN THE LAKE WASHINGTON AREA AND WE ARE NEEDING -- ALTHOUGH NOT TALKING OF BOUNDARIES TODAY, WE WILL NEED THE BOUNDARY TO REBALANCE PART OF THAT ENROLLMENT BECAUSE AS YOU CAN SEE, WE HAVE -- WE HAVE SOME SCHOOLS IN THAT AREA, YOU KNOW, TWAIN AND RUSH ARE AT CRITICAL CAPACITY. AND OTHER SCHOOLS BECAUSE OF THE ADDITIONS AND WE WILL NEED TO MAKE BOUNDARY CHANGES THERE.

WE HAVE CONTINUED GROWTH IN DOWNTOWN REDMOND.

A PINCH POINT AND MARK MENTIONED SAMMAMISH TOWN CENTER THAT WILL BE COMING ON AND WE WANT TO HAVE CAPACITY AS

WELL. >> MARK STUART: QUICK QUESTION FOR YOU ALL. I CAN SEE -- I CAN READ -- OF SMITH, RATHER, WHAT IS THE YELLOW AT THE VERY BOTTOM.

>> SORRY. >> MARK STUART: I SEE THE RED.

CARSON IN THE PINKISH AND LITTLE TINY SQUARE AT THE VERY

BOTTOM. >> ANOTHER PIECE OF MCAULIFFE.

THAT IS CALLED A PIECE OF HISTORY.

>> MARK STUART: NEVER MIND. NEVER MIND.

>> SO THEN JUST TO SHOW -- AND THEN SIX OUT OF YOU ARE EIGHT MIDDLE SCHOOLS LOW PRESSURE AT OR OVER CAPACITY BY 2031.

AGAIN, THESE PROJECTIONS GO OUT 2031.

REDMOND, THE LAKE WASHINGTON BALANCE KIRKLAND.

AND WE KNOW INGLEWOOD IS AT CAPACITY, BUT WE ALSO KNOW IT IS OUR LARGEST MIDDLE SCHOOL. SO.

>> SUPERTENDENT HOLMEN: AND ALSO WANT TO COMMENT ON, YOU KNOW, INGLEWOOD BEING AT CAPACITY.

I BELIEVE OUR NEXT SLIDE SHOWS EAST LAKE AT CAPACITY.

TO BE ABLE TO ACCOMPLISH THAT, WE HAVE -- WE HAD TO SHOEHORN CLASSROOMS INTO SPACES THAT REALLY WEREN'T DESIGN FOR IT.

BUT YES THE CAPACITY NUMBER MAY LOOK DECENT, IF YOU WILL, IT REALLY IS IS A CAMPUS THAT WAS DEVELOPED FOR MUCH LESS STUDENTS AND EVEN THOUGH LIKE AT EAST LAKE, WE HAVE AN ADDITION, WE STILL HAVE TRANSITIONED YOU KNOW, SPACES THAT WEREN'T INTENDED TO BE CLASSROOM SPACES INTO

CLASSROOMS. >> IS THERE A WAY TO VISUALIZE THAT? THAT THE SCHOOL WAS BUILT IF EX-CAPACITY. THAT IS THE CHALLENGE MISSING HERE. THE NUMBERS.

REDMOND WAS 1100 AT THIS POINT. SO YOU MISS THAT COMPONENT WHERE WE SET SORT OF THE STANDARDS OF 900 AND 1200.

HOW DO THESE PLAY OUT WITHIN THAT.

I DON'T KNOW HOW TO DO IT. >> ALL THE CAPACITIES OVER TIME AND OUR PLAN TALKS THE STRATEGIES WE HAVE DONE OVER THE LAST SIX YEARS OR SO. BUT WE CAN KIND OF VISUALLY

SHOW HOW WE -- >> CAN YOU TALK OF THE DIFFERENCE OF HOW WE DETERMINE CAPACITY AT THE ELEMENTARY LEVEL VERSUS THE SECONDARY LEVEL?

>> THE ELEMENTARY CAPACITY IS BASED ON THE AVERAGE CLASS SIZE OF 23 ACROSS THE ELEMENTARY. BUT SECONDARY, THEIR AVERAGE CLASS SIZE IN THE 30 RHINEJ AND WE DON'T DISCOUNTS THAT BY 80% BECAUSE WE KNOW STUDENTS ARE TAKING AT THE MIDDLE SCHOOL.

YOU KNOW, THEY TAKE SIX PERIODS AND TEACHERS TEACH FOR FIVE AND WE NEED SPACE FOR OUR TEACHERS TO PLAN.

AND SECONDARY AND WITH OUR NEW SCHOOLS WE BUILD SEPARATE

[01:10:03]

IN OLDER BUILDINGS, THEY WERE PLANNING IN THEIR CLASSROOMS WHEN WE DESIGNED OUR NEW BUILDINGS.

WE HAVE PLANNING AREAS FOR TEACHERS TO UTILIZE THAT AND WE ALSO KNOW THAT YOU ARE NOT UTILIZING EVERY CLASSROOM 100%

OF THE DAY. >> LEAH CHOI: CAN I ASK A CLARIFYING QUESTION. SO WITH THESE -- BECAUSE THESE ARE OUT TO 2031, THESE PRO PROJECTS, CORRECT? DO THEY TAKE INTO CONSIDERATION PLANS THAT WE KNOW WILL BE IMPLEMENTED BECAUSE OF OUR LEVY THAT JUST PASSED THROUGH LIKE 2024, '25? IS THIS INCLUSIVE?

>> THIS DOES NOT INCLUDE THE NEW CAPACITY.

YEAH. THIS DOES NOT INCLUDE THE NEW CAPACITY FOR THE 2022 LEVY. THAT WILL CHANGE SOME OF THESE NUMBERS YOUR GOAL WAS THE CURRENT STATUS AND THE PLANS PETITION PUT TOGETHER FOR THE BUILDING COMPEL LENS IN THE

PHASE THREE PLAN. >> THE NEXT IT RIGS WILL REMOVE

PORTABLES FROM THE NUMBERS. >> AND THE HIGH SCHOOL SLIDE THAT JOHN TALKED ABOUT EAST LAKE.

WHILE THEY ARE PROJECTED AT CAPACITY, THEY ARE ALREADY OVER 2200 AND THAT'S THROUGH ADDITIONS.

THAT IS THROUGH INTERIOR MODIFICATIONS.

SO THEY ARE ALREADY EXCEEDING KIND OF OUR DESIRED HIGH SCHOOL SIZE. AND -- AND PROJECTED TO, YOU KNOW -- AND THEY HAVE BEEN GROWING.

WE HAVE THAT BUBBLE, YOU KNOW. AS WE WERE GROWING IN ELEMENTARY. THAT BUBBLE HIT MIDDLE SCHOOL.

AND IT IS HITTING OUR HIGH SCHOOLS NOW.

SO THAT IS ALSO HAPPENING. >> MARK STUART: MAY I SUGGEST AS WE ARE TALKING TO OUR COMMUNITIES, AS OPPOSED OF HAVING A COLOR CODING THAT SAYS AT CAPACITY OR 80% OR 90% OF PLANNED -- WE LOOK AT ACTUAL CAPACITIES AND SHOW THEM THAT THERE ARE ALREADY IN THE RED ZONES.

BECAUSE IF I LOOK AT THIS NOT KNOWING THE DESCRIPTION AND APPROXIMATING A SKEPTICAL TAXPAYER.

I MIGHT SAY, HELL, YOU HAVE PLENTY OF SPACE.

TO BE MORE REALISTIC, WE NEED TO REALLY BUILD IN THAT ADDITIONAL SPACE HAS BEEN ADDED WHETHER WE HAVE DIVIDED ROOMS, TAKEN AWAY A SCIENCE LAB, ADDED PORTABLES.

THAT NEEDS TO BE PLAYED OUT ON THE MAP, TO BE QUITE FRANK TO SHOW IT IS MORE OF A DIRE SITUATION THAN ONE SHOWS.

IT IS MAJOR. ALL RIGHT, THE OTHER PIECE WE WANT TO SHARE WITH YOU AND WE HAVE SHARED WITH YOU IN PAST STUDY SESSIONS WHAT LAND OR WHAT PROPERTY IS CURRENTLY AVAILABLE TO BUILD CAPACITY. AND SO ON YOUR -- YOU HAVE IN YOUR PACKAGE SHARED A PROPERTY INVENTORY SHEET.

AND SO AGAIN. A LIST OF UNDEVELOPED PROPERTIES WHICH IS COMPLETELY VACANT PROPERTY AND UNDERDEVELOPED PROPERTY WHICH IS LIKE OUR REDMOND ELEMENTARY CAMPUS WHERE WE HAVE ADDITIONAL CAPACITY ON OUR PROPERTY.

AND A REMINDER. WE PURCHASED PROPERTY, YOU K KNOW, IN THE '70S BEFORE AND AFTER THAT KING COUNTY PUT TOGETHER AN URBAN GROWTH AREA THAT HAPPENED IN 1994.

THEY LIMITED DEVELOPMENT OUTSIDE -- THEY LIMITED DEVELOPMENT OUTSIDE THE URBAN GROWTH LINE.

SO IF WE HAVE A CURRENT SCHOOL THAT IS OUTSIDE THE URBAN GROWTH LINE, IT CAN BE REBUILT AND LIMITED WHAT VACANT PROPERTY CAN BE DEVELOPED. AND SO -- AND THE SIDING TASK FORCE THAT PROVIDED ADDITIONAL RECOMMENDATION.

SO WE DO ALSO HAVE SOME PROPERTY WITH SCHOOLS THAT HAVE CAPACITY FOR ADDITIONAL PROGRAM SPACE.

SO -- SO I WILL JUST VISUALLY. YOU GOT IT AGAIN ON YOUR HANDOUT, BUT IN THE SAMMAMISH AREA.

THIS IS THE LOCATION OF SITE 59 THAT BRIAN ALREADY REVIEWED.

AND THAT IS A 15-ACRE PROPERTY JUST A REMINDER THAT OUR OLD --

[01:15:02]

A TYPICAL MIDDLE SCHOOL IS ON 15 TO 20 ACRES.

A TYPICAL HIGH SCHOOL IS ON 40 ACRES.

>> MARK STUART: QUICK QUE QUESTION.

>> THAT IS BEFORE URBAN DESIGN. >> MARK STUART: THE FACT WE HAVE THOSE PROPERTIES IN THE NONURBAN GROWTH AREAS, DO WE HAVE ANY VISUALIZATION. MAP THAT SHOWS WHERE THE PROPERTIES ARE IN RELATION TO UGA.

HALF A MILE, TEN MILES. HOW FAR INTO THAT.

IF IT IS SO CLOSE THAT YOU CAN MAKE IT A CASE OF BEING ABLE TO EXPAND INTO IT IN WHEREAS, IF IT IS TEN MILES INTO IT, YOU

DON'T HAVE A PRAYER. >> LET ME THIS IS THE REDMOND.

SAMMAMISH, WE HAVE ONE PROPERTY THAT WE TO EN.

WITHIN THE UGA, IT CAN BE BUILT ON.

PROPERTY THAT IS IN THE REDMOND AREA.

SO THE GRAY AS A REMINDER AGAIN, THE GRAY IS IN THE UGA AND ALSO THE REDMOND RIDGE AREA IS WITHIN THE UGA.

SO WE HAVE -- WE HAVE OUR CABIN SITE THAT WE PURCHASED LAST MAY WHICH IS 25 ACRES. SITE 44 IS THAT NEW SITE NUMBER. WE ALSO HAVE A SMALL PROPERTY, 3.4 ACRES AS SITE 91. THAT IS ALSO WITHIN THE -- THE URBAN GROWTH BOUNDARY. TO YOUR POINT, MARK, THE CLOSEST ONE TO THE URBAN GROWTH IS THE SITE 90 WHICH IS 26 A ACRES. AND WE PER KING COUNTY.

YOU CAN NOT USE THAT FOR SCHOOL USE.

PER THE RECOMMENDATIONS OF THE SITING TASK FORCE.

WE COULD HOWEVER USE IT FOR PARK USE SUCH AS STADIUMS, FIELDS, ACTIVITY CENTERS, SCHOOL BUS BAYS.

IT CAN BE USED FOR THOSE TYPE OF THINGS.

>> MARK STUART: MY QUESTION IS LOOKING AT ALL THAT EAST CAPACITY OUTSIDE THE UGA. WE HAVE NOTHING OUT THERE.

>> NOT FURTHER OUT. >> MARK STUART: BASICALLY THE AREA WHERE THE UGA IS A SMALL LITTLE ISLAND, IF YOU WILL.

>> CHRIS CARLSON: 9 0 IS THE MISSILE SITE.

REMEDIATED BY THE MILITARY. WILL IT BE SOMETHING THAT WE WILL HAVE TO DO ADDITIONAL STUFF TO THINK ABOUT USING.

SILOS THAT WILL BE REMOVED OR FILLED IN?

>> WE WOULD HAVE TO GO IN AND DO THE DUE DILIGENCE.

THERE MAY BE REMEDIATION RE RELATING TO THE MISSILE SILOS.

THEY ARE NOT SILOS. THE MOST PART THE MILITARY DID SOME WORK. AROUND WE HAVE TORN DOWN AND REMEDIATED ANY OF THE OLD STRUCTURES THAT WERE LEFT TH

THERE. >> MARK STUART: WHEN YOU SAY -- I VISUALIZE A MISSILE SITED AS BEING INVEST CONFINED.

HOW MUCH SPACE REALLY ARE WE TALKING ABOUT WITH ACRES.

NOT UP AND DOWN BUT SIDE TO SIDE, IF YOU WILL.

>> SO ON THE SITE IN THE 26.9 ACRES THEY HAVE -- WE DO HAVE,

LIKE, THE MISSILE LAUNCH. >> MARK STUART: I AM SAYING THE SITE IS X NUMBER OF MILES. HOW BIG OF A SITE IS THAT?

>> YEAH, IT'S -- IT'S -- I THINK WHAT YOU ARE ASKING IS HOW BIG IS THE ACTUAL SITE. IT IS QUITE BIG, 26.9 ACRES.

AND YOU CAN SEE ON THE DIAGRAM A LITTLE SLIVER AND A LARGER PIECE. THE LARGER PIECE IS WHERE THE

MISSILE BAYS WERE. >> MARK STUART: SWREBING A

SUBTERRANEAN SCHOOL. >>.

WE HAVE SITE 3 WITH NO USE ON THAT.

POTENTIAL CONSERVATION VALUE RIGHT NOW.

AND THAT ACRE IS 37 ACRES AND THERE IS SOME -- THE KING COUNTY, THAT IF ADDITIONAL SITE IT CAN BE USED FOR A SMALL F FIVE-ACRE ENVIRONMENTAL SCHOOL AND POTENTIAL FUTURE USE THERE.

THE OTHER -- ON YOUR HANDOUT. I DON'T HAVE THIS -- THIS MAPPED, BUT THE UNDERDEVELOPED PROPERTY.

WE TALKED ABOUT SOME OF THESE TODAY, BUT ROSE HILL ELEMENTARY

[01:20:03]

AND THAT COULD BE USED FOR ADDITIONAL PROGRAM OPTIONS THAT ARE POTENTIAL FOR, AGAIN, PRESCHOOL CLASSROOMS OR ADDITIONAL CAPACITY THERE. WE TALKED OF KAMIAKIN MIDDLE SCHOOL THAT WHEN THE SCHOOL IS REBUILT, THERE IS POTENTIAL CAPACITY THERE. AND THE EMERSON CAMPUS, ADDITIONAL CAPACITY FOR PROGRAM OPTIONS AND FACILITY REDESIGN IN THAT CAMPUS. WE HAVE TALKED OF REDMOND E L.

AND OLD DICKINSON. AS WE MOVED THE PRESCHOOL TO OLD REDMOND SCHOOLHOUSE AND REMOVED THE OLD PORTABLE STRUCTURES ON OLD DICKINSON. WE HAVE THAT CAMPUS.

OLD DICKINSON BY ITSELF AROUND 3.6 ACRES.

THE WHOLE CAMPUS IS 77 ACRES WITH DICKINSON AND EVERGREEN.

BUT WE CAN DEVELOP THAT UNDEVELOPED PORTION FOR SCHOOL SITE. AND SO THERE IS STILL LIMITATIONS ON THAT DEVELOPMENT THROUGH KING COUNTY THAT HAVE TO WORK THROUGH THE PROCESS. AND THAT IS WHAT WE HAVE NOW AND WHAT WE ARE THINKINGING OF ALL FUTURE PROJECTS.

>> MARK STUART: QUICK QUESTION.

MAYBE I AM NOT SEEING IT ON CHART.

THE NIKE SITE. IS THAT PORTRAYED IN ANY OF THOSE RED ZONES THERE? OR IS IT -- SHOULD I BE

VISUALIZING SOME PLACE ELSE? >> ARE YOU TALKING OF SITE 90?

>> MARK STUART: YES, THANK YOU VERY MUCH.

NOW I UNDERSTAND. >> THERE WAS A BILL PASSED BY THE LEGISLATURE THAT SAID THE UGA BOUNDARY LINES COULD BE MOVED IF YOU COULD FIND ANOTHER PIECE OF LAND TO SWAP WITH IT.

SO IT'S UNLIKELY THAT KING COUNTY WILL CONSIDER MAKING ANY CHANGES TO THE URBAN GROWTH BOUNDARY.

YOU KNOW, THEY HAVE NOT HAD INTEREST IN DOING THAT BUT THERE MAY BE OTHER COUNTIES LIKE SNOHOMISH AND OTHER COUNTIES THAT THAT BILL MAY ALLOW.

>> CHRIS CARLSON: TRULY A QUESTION JUST TO SEE IF IT HAS EVER BEEN PROPOSED BEFORE. F ERIGO PARK NECK TO NIKE.

INSIDE AND NIKE IS OUTSIDE. HAVE WE EXPLORED A SWAP?

>> NOT YET. >> SUPERTENDENT HOLMEN: IT WAS JUST PASSED WITHIN LAST FEW WEEKS.

BELIEVE ME, I HAD ALL SORTS OF SWAP CONVERSATIONS AND BARBARA KEEPS TELLING ME, NOPE, THAT WOULDN'T WORK.

WE WILL LAND ON ONE THAT DOES WORK.

>> AGAIN, NOW THAT THAT LEGISLATION PASSED, IT AT LEAST OPENS UP THE CONVERSATIONS. YEAH.

YEAH. OKAY.

SO THAT'S -- OKAY. SO THEN WE WANT TO JUST -- SO PHASE TWO OF THE BUILDING EXCELLENCE PLAN AS ORIGINALLY KIND OF PLANNED HAD THESE PROJECTS IN THEM.

SO WE HAVE THE FIFTH COMPREHENSIVE HIGH SCHOOL WHICH WOULD PROVIDE CAPACITY FOR 800 SECONDARY STUDENTS, HIGH SCHOOL STUDENTS, AND ALSO THEN ADDRESSING SOME OF OUR AGING FACILITIES SUCH AS ALCOTT ELEMENTARY, SUCH AS KAMIAKIN.

EVEN THOUGH THE ADDITIONS -- THAT WE HAD ADDITIONS ON THE LAKE WASHINGTON HIGH SCHOOL -- SORRY, LAKE WASHINGTON ELEMENTARY SCHOOLS, WE KNOW THAT IN THE LONG-TERM FUTURE WE WILL NEED ADDITIONAL ELEMENTARY CAPACITY IN THE LAKE WASHINGTON AREA. SO PHASE TWO HAD CAPACITY THERE. AND THEN ANOTHER AGING SCHOOL IS SMITH ELEMENTARY. AND THEN EARLY LEARNING IN THE LAKE WASHINGTON AND ROSE HILL SITE IS POTENTIAL FOR ADDITIONAL EARLY LEARNING CAPACITY.

AND WE ALSO HAD SOME REFURBISHMENT OF THE JUANITA FIELDHOUSE AND POOL AND BRIAN WILL TALK MORE LATER WITH NEW GRANT FUNDING THAT WE RECEIVED. SO THAT WAS THE INITIAL THINKING FOR THE PHASE TWO. BRIAN WILL GO IN AND -- SORRY.

>> SIRI BLIESNER: ONE QUICK QUESTION.

WHEN WE WERE BUILDING THE ELEMENTARYS, BARTON, BAKER, THE

[01:25:05]

WE UTILIZE 690 AT A SIZE. I AM CURIOUS HOW THIS PLAYS OUT

WITH REGARD TO THAT COMPONENT. >> 550 WAS BASED ON THE LOWER CLASS SIZES. IF WE LOWERED ALL OF OUR CLASS SIZES, THEN OUR CAPACITIES WILL BE REDUCED AT ALL OF OUR SCHOOLS. BECAUSE SPACE CONSTRAINTS, WE ARE NOT -- WE HAVEN'T DONE THAT AND USING THE CURRENT CAPACITIES AT OUR SCHOOLS. ALL OF OUR SCHOOLS, BARTON AND BAKER AND ME AD WERE BUILT WITH 69D 0 CAPACITY AND ROOM FOR ADDITIONS. WE ARE DESIGNING ALL OF OUR

SCHOOLS FOR ADDITIONS. >> SIRI BLIESNER: IF WE WERE IT IMPLEMENT THE MCCLEARY CLASS SIZE REDUCTION IT WOULD BE 550 WOULD BE THE CAPACITY THAT THEY WERE BUILT, CORRECT?

>> I WOULD HAVE TO DO RECALCULATIONS AND 550 IS ALSO IN OUR PREVIOUS -- OUR -- PRE2016 BOND PROGRAM.

WE WERE BUILDING OUR SCHOOLS AT THE 450 TO 550 DEPENDING ON --

>> SIRI BLIESNER: I JUST REMEMBER THIS WAS A DISCUSSION WE HAD WITH THE 2015 BOND AND GROW TO 690 IF NEEDED TO HANDLE THE CLASS SIZE AND GROWTH COMING THROUGH.

THAT IS THE QUESTION LONG-TERM, WHAT IS THE SIZE OF THOSE ELEMENTARY SCHOOLS. THE BLACK CLEARY PIECE.

IF THE LEGISLATURE DECIDES THIS IS WHAT YOU NEED TO DO PERIOD.

>> THE LEGISLATURE ALREADY HOLDS DISTRICTS RESPONSIBLE FOR CLASS SIZE IN K-3 AND MEETING THE REQUIRED CLASS SIZES IN K- YOU ARE CORRECT IF THE LEGISLATURE PROVIDES ADDITIONAL FUNDING TO REDUCE CLASS SIZE AS THAT REFLECT THE CAPACITY THROUGHOUT THE DISTRICT SIMILAR TO WHAT ALL-DAY KINDERGARTEN DID WHEN THAT WAS REQUIRED THAT THAT -- YOU KNOW, DISTRICTS ACROSS THE STATE HAD TO FIND ADDITIONAL CAPACITY TO HOUSE

ALL-DAY KINDERGARTEN STUDENTS. >> SIRI BLIESNER: THERE HAVE BEEN DISCUSSION TO MOVE TO DIRECT HEAD COUNT IN THE CLASSROOM -- AND WE USE SPECIALISTS TO GET THE RATIO WHERE IT NEEDS TO BE. I'M JUST SAYING AS WE SPEAK TO CAPACITY IN FIVE, TEN, 15 YE YEARS.

I THINK WE HAVE TO BE THINKING OF THAT COMPONENT TOO.

RIGHT NOW WE HAVE FLEXIBILITY TO GO LARGE OFFICER NEEDED BUT THAT WON'T NECESSARILY ALWAYS BE THE CASE.

>> LEAH CHOI: COULD I ASK, WHAT IS THE AVERAGE AGE OF OUR SCHOOLS THAT WE ARE PUTTING ADDITIONS OR REBUILDING?

>> I DON'T HAVE THAT OFF THE TOP OF MY HEAD, BUT WE CAN GET THAT INFORMATION. MARK.

>> MARK STUART: QUICK QUE QUESTION, A NEW COMPREHENSIVE HIGH SCHOOL. WE ARE LOOKING AT A FIFTH -- MY QUESTION IS OF THE LANDS WE OWN, THE CLOSEST WE COME TO ENOUGH TURF BUT NOT REALLY ENOUGH IS A CAB SUNSHINE IN.

>> WE WILL GET INTO. >> TALK ABOUT THAT.

>> MARK STUART: IT'S SEGUE. >> SO IN LOOKING AT THE COMPREHENSIVE HIGH SCHOOL. WE REALLY KIND OF LOOKED AT MULTIPLE SITES CADMAN, SITE 44 IS ONE.

THE EVERGREEN AND DICKINSON ELEMENTARY SITE IS ANOTHER.

AND FINDING NEW PROPERTY INSIDE THE URBAN GROWTH BOUNDARY.

AND CADMAN THAT IS -- KAMIAKIN. AND TO PURCHASE AS KAMIAKIN CONTINUES TO REDUCE THEIR PLANT THERE.

THERE IS POTENTIAL OPPORTUNITY TO PARTNER WITH MICROSOFT THERE IN FEASIBILITY ON AN ADJACENT PARCEL RIGHT NOW.

AND POTENTIAL FOR INNOVATION -- INNOVATIVE SOLUTIONS AS IT RELATES TO OFF-SITE OR CENTRALIZED ATHLETIC FIELDS.

DISADVANTAGES THAN THE USUAL SIZE OF 48 ACRES.

MAY NOT FIT THE FIELDS THAT ARE AT COMPREHENSIVE HIGH SCHOOLS.

WE DO NEED TO CHANGE SOME ZONING CODES WITH THE CITY, WHICH WE ARE WORKING ON. AND ALSO AN IDEA SITE FOR AN

[01:30:01]

IT IS LARGE ENOUGH TO HAVE A COMPREHENSIVE HIGH SCHOOL AND MAINTAIN DICKINSON ELEMENTARY IN ITS CURRENT SITE.

IT IS OUTSIDE THE URBAN GROWTH AREA AND WILL REQUIRE APPROVAL.

AND REQUIRE US TO REBUILD AND EXPAND EVERGREEN MIDDLE SCHOOL ON A NEW SITE. AND WOULD REQUIRE CONCURRENT CONSTRUCTION FUNDING AND MOVEMENT OF FIFTH COMPREHENSIVE HIGH SCHOOL AND EVERGREEN. AND THEN ONE NOTE IS UP ON UNION HILL, THE TRAFFIC IN THAT AREA IS QUITE CONGESTED AND THE INFRASTRUCTURE IS CHALLENGING FOR A COMPREHENSIVE HIGH SC SCHOOL. THEN OBVIOUSLY NEW PROPERTY, A POTENTIAL FOR US TO HAVE AN URBAN DESIGN OR ADAPTIVE REUSE.

DISADVANTAGES ARE REALLY FINDING PROPERTY INSIDE THE

URBAN GROWTH AREA. >> MARK STUART: QUICK QUE QUESTION. SINCE CAN HE KNOW KAMIAKIN IS NOT THE OPTIMAL. IF WE ARE BUILDING UP ON

KAMIAKIN, >> WE HAVE FEASIBILITY CONCEPT DESIGNS THAT YOU HAVE SEEN. SO WE WILL TOUCH ON THOSE.

>> MARK STUART: BUT THEN AGAIN IF YOU TAKE EVERGREEN AND FLIP IT OVER TO CADMAN AND TURN INTO A ELEMENTARY/HIGH SCHOOL AREA, YOU ARE GOING TO HAVE THE CAPACITY OR THE SPACE CAPACITY?

>> YEAH, THE EVERGREEN SITE IS LARGE NUV FOR A TRADITION 58 COMPREHENSIVE HIGH SCHOOL. IT HAS SOME RESTRICTIONS.

IT NEEDS TO GET APPROVAL. NOT APPROVED FOR A

COMPREHENSIVE HIGH SCHOOL. >> MARK STUART: AND THE

TRAFFIC. >> HOLDING A MIDDLE SCHOOL AND ELEMENTARY SCHOOL ON IT RIGHT NOW.

>> SUPERTENDENT HOLMEN: I THINK ANOTHER FACTOR IS CURRENTLY FUNDING FOR AF AFTERGREEN MIDDLE SCHOOL IS IN PHASE THREE OF THE PLAN. AND WE WILL HAVE TO RECONSTRUCT THE ENTIRE PHASE TWO THAT WILL IMPACT OTHER PROGRAMS.

>> MARK STUART: TRYING TO FIND OUT HOW REALISTIC IT IS.

>> SUPERTENDENT HOLMEN: WHY DID WE INCLUDE IT? WE WANTED THE BOARD TO KNOWTH OF CONSIDERATIONS WE HAVE DONE AT THAT POINT. A GOOD OPTION FOR THAT REASON BUT OTHER FACTORS. TO BE HONEST WITH YOU, THE TRAFFIC IS AS BIG A CONCERN IF ANYTHING KNOWING THAT ALL OF OUR HIGH SCHOOLS HAVE CHALLENGES.

THAT SITE PRESENTLY HAS CHALLENGES AND THEY DON'T HAVE

STUDENT DRIVERS. >> MARK STUART: WITH THE E EVERGREEN SITE, YOU HAVE PROPERTY ON THE WEST SIDE THAT SEEMS TO BE ALREADY DEVELOPED BUT UNDER UTILIZED, IF YOU W WILL, I DON'T KNOW, IT'S -- MY THOUGHT IS, I APPRECIATE THE IDEA OF BRINGING ALL THE OPTIONS.

EVEN THOUGH THERE ARE DOWN SIDES, THE IDEA IS WE ARE LOOKING AT DIFFERENT WAYS OF PAYING IT, FULL.

>> SIRI BLIESNER: I AM A LITTLE CONCERNED THAT WE SAY "OPTIMAL SIZE"IS 40 ANGERS. IT IS WHAT WE HAVE BUILT.

THERE ARE A LOT OF HIGH SCHOOLS THAT ARE NOT ON 40 ACRES.

I THINK WE NEED TO CHANGE OUR LANGUAGE OF HOW WE SPEAK ABOUT THIS SO WE CAN CREATE THE PICTURE OF BEING DIFFERENT OF WHAT A VERY EXCELLENT HIGH SCHOOL CAN BE ON 20 ACRES.

>> MARK STUART: TO THAT POINT BY BUILDING CADMAN UP TO

CAPACITY -- >> THREE MORE SLIDES.

>> SUPERTENDENT HOLMEN: EACH OF THE CONCEPTS THAT YOU WILL SEE ON CADMAN ALL INCLUDE BUILDING UP.

AND I BELIEVE WE REACH MAXIMUM HEIGHT ON -- ON THE -- ON THE

-- ON THE CONSTRUCTION SITE. >> MARK STUART: DURING THE LEVY THIS PAST FALL, THERE WERE ACCUSATIONS -- I DON'T THINK THEY ARE FOUNDED -- BUT I WANT TO PUT THEM TO REST THAT THERE WEREN'T SUFFICIENT SOIL SAMPLINGS OF THE AREA TO MAKE

[01:35:01]

AND WE HAVE THE INDEPENDENT SOIL ANALYSES, I ASSUME?

>> CORRECT. >> MARK STUART: BECAUSE OF THAT I THINK WE NEED TO MAKE THAT VERY WELL KNOWN.

BECAUSE OTHERWISE PEOPLE WILL SAY YOU ARE GOING TO KILL MY KID BY PUTTING THAT SCHOOL THERE.

>> WHAT WE FOUND DURING OUR FEES B89 PERIOD OF THE PROPERTY IS NOT UNLIKE WHAT WE EXPERIENCED AT OTHER SITES.

WE WILL HAVE TO DO FURTHER INVESTIGATION, BUT IT IS NOT -- NOTHING POPPED OUT THAT WAS USUAL.

>> MARK STUART: BY VIRTUE OF THE FACT THAT WAS QUOTE, UNQUOTE, STWRIL SITE, IT'S -- INDUSTRIAL SITE, IT'S -- I DON'T WANT TO GIVE ANYBODY AMMUNITION THAT WE DON'T HAVE TO GIVE AND TAKE AWAY PREEMPT I I HAVE ITLY.

>> LEAH CHOI: I DON'T KNOW IF YOU ARE GOING THROUGH THIS.

THE LOCATION OF WHERE THE COMPREHENSIVE SCHOOL IS AND THE CAPACITY CONCERNS IN OTHER AREAS OF THE DISTRICT FOR OUR HIGH SCHOOLS. HOW WAS THE -- WOULD THE BOUNDARIES CHANGE FOR -- TO ACCOMMODATE OR FOR THIS TO BE

HELPFUL. >> OBVIOUSLY TODAY WE ARE NOT HAVING A BOUNDARY PROPOSAL. AND WE WILL TO HAVE PUBLIC HEARINGS AND DETERMINE HOW TO REDRAW THE BOUNDARIES FOR A FIFTH COMPREHENSIVE. AND PLANNING TO THE LEVY.

KIND OF LAYING OUT THE PROJECTIONS FOR HIGH SCHOOLS AND OPTIONS. AND THOSE ARE BACK IN OUR OLD STUDY -- PRIOR STUDY SESSION SLIDES.

BUT WHEN WE BUILD NEW CAMPUSES LIKE WE DID WITH TIMBERLINE, LIKE WE DID WITH BAKER AND BARTON, WE HAVE TO GO THROUGH

BOUNDARY PROCESSES. >> WHEREVER A FIFTH IS, THERE

WILL BE A BOUNDARY PROCESS. >> SUPERTENDENT HOLMEN: TWO BOUNDARY CHANGES. ONE EAST LAKE AND REDMOND AND THE OTHER A COMPREHENSIVE. EQUITABLE DISTRIBUTION OF STUDENTS ACROSS ALL FIVE HIGH SCHOOLS AND WHAT THAT LOOKS LIKE. BOTH -- WE WILL PROVIDE THOSE SLIDES FOR YOU SO YOU CAN SEE WHAT THOSE WERE.

BUT, YES, IT WOULD BE AN ADVENTURE, THAT'S FOR SURE.

>> OKAY. SO FOR THE CADMAN SITE, THERE IS AN AERIAL THERE ON THE RI RIGHT.

WE ARE WORKING WITH THE CITY OF REDMOND DURING THEIR ZONING CODE UPDATE TO REMOVE THE GROSS AREA LIMITATION FOR EDUCATIONAL FACILITIES AND THE CAPACITY FOR EDUCATIONAL FACILITIES.

AND WE BELIEVE THESE ARE ONGOING WITHIN OUR NORMAL PROCESS NOW AND SHOULD NOT BE AN ISSUE.

DURING PERMITTING WE ALSO DISCUSSED ABOUT REDUCING BUFFER AREA BECAUSE CURRENTLY THIS IS A COMMERCIAL ZONE AND DIRECTLY TO THE SOUTH IS A RESIDENTIAL ZONE, AS WELL AS WORKING THROUGH THE TRANSPORTATION MASTER PLAN FOR THE ROADS THAT

ARE DESIGNED FOR THAT SITE. >> THE CITY HAS BEEN VERY COLLABORATIVE WITH US AND WE HAVE REGULAR COMMUNICATIONS FOR THEM. AND IT TAKES TIME FOR THE CITY TO GO THROUGH THE PROCESS WE DON'T ANTICIPATE ANY CONCERNS.

>> MARK STUART: SEEMS LIKE WITH FED EX AND UPS BEING IN THERE, THEY HAVE STARTED TO LOOK AT THE TRAFFIC FLOW IN A BIGGER WAY BECAUSE NOT THINKING OF THEM AS NEIGHBORHOODS BUT THINKING OF MAJOR VEHICLES MOVING THROUGH THERE.

>> LEAH CHOI: IS THAT RED AREA THE BUFFER ZONE?

>> NOT RED AREA WITH OUR PARCEL IN THE CADMAN SITE.

ON THE EAST SECTION OF OUR PARCEL IS WHERE MICROSOFT IS IN

FEASIBILITY. >> CHRIS CARLSON: THE MIRACLE IS THE GREEN STUFF ON THE RIGHT IS WHERE THE UGA IS.

>> YES. SO AT THE TIME DURING OUR FEASIBILITY WE DID TEST FITS. THIS IS SOMETHING OFF THIS SEEN BEFORE. TEST FIT OF A TWO TO TH THREE-STORY SECONDARY SCHOOL WITH SOME FIELDS AND PARKING.

THE NEXT ONE WE LOOKED AT IS A FOUR-STORY SCHOOL WITH SOME STRUCTURED PARKING WHICH PROVIDES SOME ADDITIONAL SPACE

[01:40:04]

AN ELEMENTARY SCHOOL AND POTENTIALLY A CHOICE SCHOOL

OPINION. >> MARK STUART: THAT OPTION

DOESN'T FEED -- >> CORRECT.

>> MARK STUART: WILL NOT FEED THE BULLDOG WHEN IT COMES TO GETTING OUR CAPACITY DOWN ON REDMOND HIGH AND EAST LAKE HIGH. IT IS A NICE IDEA BUT --

>> OKAY. SO JUST A LITTLE BIT ABOUT THE FIELDHOUSE AND POOL. IN OCTOBER, WE APPLIED FOR AN AQUATICS GRANT THROUGH KING COUNTY TO SUPPORT THE FUNDING OF LIFE CYCLE ASSETS THAT WE ARE REPLACING FOR HVAC, POOL EQUIPMENT. ADA UPGRADES AND, OF COURSE, THE ROOF. WE DO HAVE BUILDING AND SYSTEMS IMPROVEMENTS PLANNED IN OUR LEVY.

WE WERE NOTIFIED THAT WE WERE AWARDED $1.8 MILLION AS A GR GRANT. SO IN DOING THIS WORK NOW, WE BELIEVE THAT WE WILL BE ABLE TO REMOVE ABOUT $9 MILLION OUT OF WHAT WAS BEING INITIALLY ESTIMATED IN THE BOND FORCED FIELD HOUSE IMPROVEMENTS. AND WE HAVE -- WE HAVE LIFE CYCLE BUILDING IMPROVEMENT P PLANS IN 2019 AND 2022.

THIS REALLY IS JUST RENDERINGS. WE ARE TALKING OF CONCEPT DESIGN AND RENDERINGS FOR A 2024 BOND.

THIS IS JUST SHOWING YOU WHAT IS POSSIBLE FOR AN APPROXIMATELY $100,000. YOU CAN GET SOME RENDERINGS SO THE COMMUNITY CAN SEE WHAT YOU ARE ACTUALLY PLANNING TO BUILD.

AND SO WE JUST WANT TO SHOW YOU WHAT THIS LOOKS LIKE.

>> OUR PLAN IS THE NEXT TWO YEARS, WORK UP TO THE 2024 BOND TO MAKE SURE -- IS TO INVEST THE $125,000 TO DO SOME DESIGN RENDERINGS TO BETTER INFORM OUR COMMUNITY AND HAVE A VISUAL TO SEE AND UNDERSTAND WHAT WE ARE ENVISIONING FOR THESE PROJECTS AS THEY WOULD VOTE ON A POTENTIAL BOND.

>> CHRIS CARLSON: JUST TO CLARIFY.

WE ARE DOING THIS? EXCELLENT

>> I JUST WANT TO MAKE SURE. IT SAYS INVESTMENT PER PROJECT.

IT DIDN'T A $125,000 PROJECT. THAT IS TOTAL COST.

WHEN I THINK OF THE FEEDBACK WE RECEIVED FROM COMMUNITY AROUND.

WHAT ARE WE VOTING ON? ONE OF THE THINGS THAT WE CONTINUE TO HEAR. SEE AND UNDERSTAND MORE DETAIL.

AND WHAT THIS DOES IS DIFFERENT WAYS TO PROVIDE DESIGN RENDERINGS. THIS GETS DOWN TO SOME LEVEL OF PROGRAMMATIC DESIGN AS WELL ISN'T JUST AN ARCHITECT DOING A NICE DRAWING FOR US AND STAFF ENGAGEMENT TO MAKE SURE WHAT WE ARE SHOWING HAS SOME LEVEL OF FEASIBILITY AND PROGRAMMATIC DESIGN AS WELL. SO IT WILL BE A MUCH MORE THOROUGH EXPERIENCE FOR OUR COMMUNITY TO UNDERSTAND WHAT WE

ARE PROPOSING IN THE 24 BOND. >> I THINK I WILL TAKE THE NEXT ONE. OKAY.

THIS SLIDE IS A REMINDER OF WHAT PROJECTS WERE IN THE PHASE 3 PORTION. THIS WOULD BE WHEN WE COME BACK AND DO A '28 CONSTRUCTION LEVY. AND SO CONTINUE TO -- RENEWAL? RENEWAL CONSTRUCTION LEVY. CONTINUE TO ADDRESS CAPACITY AND AGING FACILITIES. SO THIS IS WHERE WE WOULD REBUILD AND EXPAND EVERGREEN MIDDLE SCHOOL.

WE WOULD EXPAND THE WEST SIDE. HIGH SCHOOL CAPACITY SO, AGAIN, BACK IN THE FALL WHEN WE LOOKED AT KIND OF THE OPTIONS AND THE NEEDS FOR HIGH SCHOOL, WE KNEW WE WOULD PROBABLY NEED TO EXPAND OUR CAPACITY ON THE WEST SIDE.

REBUILDING AND ENLARGING ROCKWELL ELEMENTARY.

TWO NEW ELEMENTARY SCHOOLS. TPD PROJECT GROWTH.

[01:45:09]

OTHER OPTIONS AND ON THE CA CAMPUS.

SO ADDITIONAL CAPACITY FOR OVER 2,000 STUDENTS.

SO THEN I JUST WANTED TO REMIND KIND OF AT -- WHEN WE PUT THE BUILDING -- BUILDING EXCELLENCE PLAN LAST FALL, WHAT WAS THE FINANCING PLAN. SO THIS SLIDE GOES THROUGH REMINDER. OUR THREE-STEP PROCESS.

THE FEBRUARY '22 CONSTRUCTION ELEVEN THANK YOU PASSED, BOND IN '24. AND THE RENEWAL IN '28.

THE CURRENT TAX RATE INFORM '21 WAS $1.15 PER THOUSAND OF AV AND THEN THE INCREASE WHEN WE PASS THE 2022 LEVY WHICH BEGINS IN THE 2023 CALENDAR YEAR IS ABOUT.

ON A HOME VALUED AT $1 MILLION. AND THIS LEVY STAYS THAT RATE PER THOUSAND STAYS THE SAME WITH THE 2024 BOND.

AND THEN WHEN THE LEVY WOULD BE RENEWED IN 2028, THE TAX RATE WAS ESTIMATED TO INCREASE BY $.15 OR $150 A YEAR FOR A HOME VALUED AT $1 MILLION. AND I WANT TO REMIND FOLKS THAT THE RATE PER THOUSAND IS LEVY AND PRIOR BONDS AND ALL OF THE DEBT AND LEVY RELATED TO CONSTRUCTION.

SO THAT IS A REMINDER AS WE GET CLOSER TO DEVELOPING THE BOND PROPOSAL, WE WILL CONTINUE TO WORK WITH OUR BOND UNDERWRITER TO UPDATE THINGS AND WE KNOW THAT INTEREST RATES ARE CHANGING. AND SO --

>> SUPERTENDENT HOLMEN: ALREADY ONE ITEM MODIFIED ON THAT LIST WHICH IS THE JUANITA POOL AND FIELDHOUSE WITH SOME OF THE PIECES THAT BRIAN PRESENTED LOWER THE TOTAL AMOUNT THAT WOULD BE ASKED FOR ON A BOND.

A NUMBER OF FACTORS THAT PLAY INTO WHAT THIS WILL LOOK LIKE.

>> SIRI BLIESNER: SO ONE THING I AM JUST GOING TO THROW OUT.

AS YOU LOOK AT THE AGING FACILITIES, I KNOW THERE ARE TWO THAT ARE LEFT IN PHASE THREE.

EVERGREEN AND ROCKWELL. THE EXPERIENCE WITH THE HIGH SCHOOL AND ONE LEFT TO GET THROUGH ON TO THE BOND WAS CHALLENGING AND PROBLEMATIC IN MANY WAYS, SO AS THIS GOES FORWARD AND YOU THINK ABOUT IT WHAT IS THE POTENTIAL.

TO POTENTIALLY PUT EVERGREEN AND ROCKWELL INTO PHASE TWO SO THE AGING BUILDINGS ARE ADDRESSED COMPLETELY IN ONE

SWELL SWOOP. >> THE OTHER PIECES I WANT TO BRING TO YOU ARE WHAT ARE THE OTHER FUNDS WE HAVE REMAINING TO SUPPORT CONSTRUCTION PROJECTS, PREDESIGN AND PLANNING. SO WANTED TO GIVE YOU A QUICK FINANCIAL UPDATE ON THE 2016 BONDS.

WE ARE SO CLOSE TO GETTING THOSE CLOSE THE OUT.

WE STILL HAVE JUANITA TO FINALIZE.

BUT -- SO OUR -- THE VOTERS PASSED A $398 MILLION BOND -- BOND. AND THAT ALLOWED US TO -- TO HAVE -- STATE CONSTRUCTION FUNDS, IMPACT FEES AND INTEREST EARNINGS AN ADDITIONAL $60 MILLION BECAUSE OF THAT BOND.

AND SO WE -- WE HAD $458 MILLION IN TOTAL REVENUE FOR THOSE PROJECTS. WE SPENT $429 MILLION ON THE CONSTRUCTION AND $430 MILLION. AND REMAINING -- AND $21 MILLION WE USED FOR THE PROPERTY PURCHASE.

CADMAN. AND SO WE HAVE ABOUT $7 MILLION REMAINING FROM OUR 2016 BOND. AND THEN AS FAR AS OUR 2019 LEVY, AGAIN $120 MILLION S SIX-YEAR CAPITAL PROJECT LEVY.

WE ALSO HAVE $32 MILLION IN CONSTRUCTION ASSISTANCE FUNDS, BOND FUNDS, IMPACT FEES. SO $152 PROGRAM REVENUE.

WE STILL HAVE OUR CORE ADDITIONS, ADDITION AT CARSON.

SO WE ARE NOT -- WE ARE ANOTHER YEAR OR TWO AWAY FROM FINALIZING THESE NUMBERS AND RIGHT NOW WE ARE ESTIMATING ABOUT $139 MILLION. SO WE ANTICIPATE HAVING $13

[01:50:04]

SO THE OTHER -- SO THEN WE WANTED TO TALK TO YOU ABOUT ELECTION TRENDS FOR SPECIAL ELECTIONS.

THE MAJORITY OF DISTRICTS RUN THEIR LEVY AND BOND ELECTIONS IN WHAT IS CALLED A SPECIAL ELECTION WHERE THE NOVEMBER ELECTION IS A GENERAL ELECTION. SO WE ASKED D. A. DAVIDSON OUR BOND UNDERWRITER TO PROVIDE SOME STATISTICS AROUND ELECTION AND VOTING HISTORY, ETCH WHEN IT COMES TO BOND, CAPITAL CONSTRUCTION MEASURES. THAT -- THIS IS THE PRESENTATION THEY PUT TOGETHER, AND SO THIS SLIDE SHOWS THE SCHOOL ELECTION, VOTING HISTORY.

I INCLUDED -- EVEN THOUGH -- THIS IS NOT REALLY WHAT WE ARE TALKING ABOUT TODAY, BUT JUST SHOWING THE VOTER HISTORY AND -- OVER 80%. AND SORRY, MY EYES ARE BAD AND I CAN'T READ. THESE CHARTS FROM HERE.

I NEED TO GET MY GLASSES, BUT THEY ARE ABOUT -- AGAIN, 80% MEASURE AND YOU CAN SEE THEY DREW A LINE AFTER THE SIMPLE MAJORITY WAS PASSED IN 2007 -- YEAH, THANK YOU.

SORRY. AND SO -- SO THIS SLIDE IS THE CAPITAL -- GO TO THE NEXT SLIDE, BRIAN.

READING OFF BRIAN'S SCREEN, CAPITAL PROJECTS LEVY AND YOU CAN SEE IN THE HIGH A 80S, LOW 90S FOR MOST CAPITAL PROJECT LEVEES. AND THEN THE NEXT SLIDE IS SCHOOL BONDS. YOU CAN SEE THE CHANGE IN THE PERCENTAGES FOR BONDS IS AGAIN IN THE 2010.

HIGH 60S MORE RECENTLY IN THE 50S AND THEN 30S AND IN THE

LAST ELECTION, 18% PASSED. >> SUPERTENDENT HOLMEN: JUST TO BE CLEAR THIS IS SHOWING THE PERCENT OF MEASURES PASSING.

NOT THE AVERAGE APPROVAL. AND SO -- SO YOU CAN SEE IN 2011, 15% OF OVERALL MEASURES THAT WERE ISSUED PASSED.

33 MEASURES ON BALLOTS ACROSS THE STATE OF WASHINGTON THAT YEAR. AND SO YOU CAN -- IT IS A V

VARIED HISTORY. >> ALL RIGHT.

AND THIS CHART SHOWS KIND OF THE STATISTICS FOR WHEN YOU SUBMIT A PROPOSITION TO THE VOTERS.

IN FEBRUARY -- IN THE YELLOW BAR IS THE EPNO.

AGAIN, PASSING RATES, NOT PERCENTAGE PASSED BUT PASSING RATES. THE GREEN IS CAPITAL LEVEES.

AND THE BOND IS BROWN EPNOS HAVE A PASSING RATE AND 58% IN AUGUST. 80% IN NOVEMBER WITH CAPITAL LEVYS. AGAIN 90% IN FEBRUARY AND IN THE 70S AND 80S IN THE OTHER ELECTION CYCLES 48% IN FEBRUARY. 42% IN APRIL.

14% IN AUGUST AND -- SIRI? >> SIRI BLIESNER: WHEN WE WENT

TO ALL MAIL ELECTION? >> YES, THAT -- DO THE ALL

MAIL, YEAH. >> MAIL-IN BALLOTS?

>> SIRI BLIESNER: WHEN WE SHIFTED TO ALL MAIL-IN BALLOTS AND NO LONGER. 2010ISH.

AROUND THERE. >> DID I -- LET'S SEE.

I WANTED TO MAKE SURE I WENT TO THE RIGHT SLIDE HERE.

AND THIS IS JUST KIND OF LOOKING AT NOVEMBER ONLY.

THE RESULTS IN -- DURING A PRESIDENTIAL ELECTION.

MIDTERM ELECTION WHICH WILL BE HAPPENING THIS NOVEMBER AND JUST THE PERCENTAGES OF PASSING VERSUS FAILING.

WE KNOW THAT MANY SCHOOL DISTRICTS HAVE BEEN MOVING TO A NOVEMBER BOND ELECTION. AND SOME HAVE EVEN MOVED THEIR EPNO ONE DISTRICT -- ONE IS MOVING TO NOVEMBER.

[01:55:01]

45% OF PRESIDENTIAL NOVEMBER ELECTION.

30% IN THE MIDTERM AND THEN OTHER, 36%.

AND THEN THE NEXT -- THIS SLIDE SHOWS JUST RECENT KING COUNTY SCHOOL DISTRICT. OR -- WHICH MEASURES HAVE PASSED SINCE 2000. WHEN THEY RUN THEM IN NOVEMBER, SEVEN OUT OF TEN ISSUES HAVE PASSED IN THE NOVEMBER ELE ELECTION. SO THE RED IS -- INDICATES IT DID NOT PASS. I KNOW HIGHLIGHT -- REBAND THEIRS AND PASSED IN A LATER ELECTION.

THIS SLIDE, AGAIN, HAS A LOT OF DETAIL ON IT AND BASICALLY SHOWS NOT JUST SCHOOL DISTRICTS BUT CITY MEASURES THAT WERE RUN IN NOVEMBER AND THE PASSAGE HISTORY AND PERCENTAGE.

AUBURN, KENT, HIGH LINE AND ISSAQUAH DID NOT PASS THEIR BOND OTHERS TUCK WHALE, BOTHELL HAVE ALL BEEN SUCCESSFUL.

YOU MAY RECALL MASHER VIEW HAD A SUCCESSFUL MEASURE.

PORTLAND PUBLIC SCHOOLS. THEY HAD OVER $1 BILLION BOND MEASURE ON THE NOVEMBER 2020 BALLOT WHICH PASSED IN NOV NOVEMBER. SO SOME VERY SUCCESSFUL LARGE PONDS PASSING IN NOVEMBER. AND THEN THIS SLIDE SHOWED THIS IS A SLIDE RUNNING THE CAPITAL LEVY.

I DIDN'T THINK I HAD THAT IN HERE.

CAPITAL LEVY AND BOND WITH EXPIRING EPO.

SO BASICALLY WHEN YOU RUN MULTIPLE MEASURES VERSUS SINGLE MEASURES IS WHAT THIS SLIDE IS SHOWING.

AND SO WHEN YOU RUN A SINGLE MEASURE, IF IT IS A CAPITAL PROJECTS, THAT 80% OF THEM PASSED.

IF IT IS MULTIPLE PROJECTS, 9 90%, 95% OF THEM PASSED.

WITH BONDS, 41%. I DON'T KNOW WHY THAT BAR IS NOT ALL GREEN. IT -- AND THEN 50% PASSED WITH.

41% SINGLE RUN BY ITSELF AND 57% WHEN RUN IN COMBINATION.

OKAY. AND THEN THIS -- I WILL GO

BACK. >> ERIC LALIBERTE: I KNOW YOU DIDN'T MEAN TO INCLUDE THIS SLIDE, SO I AM GOING TO ASK A QUESTION ABOUT IT. MULTIPLE MEASURES PASS AT HIGHER RATE WHEN SINGLE MEA MEASURES.

>> THAT'S CORRECT. >> ERIC LALIBERTE: NOT WHAT I WOULD HAVE EXPECTED FROM THE DATA.

>> YES. OKAY.

AND THEN THE LAST -- YOU YES, IT IS MY LAST SLIDE.

JUST WALLING'S PASSAGE RATE HISTORY.

AND -- AS JOHN MENTIONED WE PASSED ONE BOND OUT OF -- YOU KNOW OUR 2016 BOND AND IT WAS RUN AS A SINGLE MEASURE THAT HAPPENED TO BE RUN IN APRIL OF 2016 AT THAT TIME.

AND THEN THESE NEXT TWO SLIDES ARE WHO WE WORK WITH -- THEY WORK WITH MULTIPLE PEOPLE AND THEY ARE DISCLAIMERS.

AND SO -- -- SO JUST WANTED TO -- YOU KNOW, WHAT CONSIDERATIONS SHOULD BE MADE RELATED TO THE TIMING OF FUNDING MEASURES AND JUST GET FEEDBACK ON THAT.

>> ERIC LALIBERTE: SO ONE THING WE HAVE LOOKED AT BEFORE WAS THE CHANGING TAX RATE BASED ON HOW WE -- HOW WE DO THIS.

AND THE TIMING. ONE OF YOUR SLIDES HAD -- I AM TRYING REMEMBER WHERE IT WAS. 53 -- THANK YOU, CHRIS.

I HAD THE QUESTION ON THAT SLIDE.

SO THAT SHOWED AN INCREASE -- IT SHOWED A HIGHER TAX RATE PER 1,000 STARTING IN 2029. BUT I GUESS MY QUESTION IS, IF

[02:00:01]

I RECALL WHEN WE WERE LOOKING AT THE TABLE BEFORE, THERE WAS SOME -- A PERIOD OF TIME WITHIN THIS THAT IT WENT -- IT WAS GOING TO GO UP AND BACK DOWN. LIKE A TWO-YEAR BUBBLE.

HAVE WE BEEN ABLE TO ADDRESS THAT?

>> I KNOW BACK IN THE FALL, WE LOOKED AT MULTIPLE SCENARIOS AND YOU MAY HAVE BEEN REMEMBERING A DIFFERENT SCENARIO WHERE WHAT DOES IT TAKE TO GET THE MONEY BY 2031 VERSUS 2034. THIS SCENARIO THAT WE RECEIVE ALL THE FUNDS BY 2034 THAT WE NEED TO CONSTRUCTION CONSTRUCTION. AND, YES, WE -- THERE IS A T TWO-YEAR BUMP. THIS IS A LEVEL -- AT LEAST IN THIS SCENARIO RUNNING THE 2024 BOND DOES NOT CAUSE A TAX RATE INCREASE. IT IS WHEN YOU COME IN AND DO THE RENEWAL OF THE CONSTRUCTION LEVY THAT THERE IS A SMALL BUMP

OF 15. >> ERIC LALIBERTE: THANK YOU.

I THINK WHAT I AM PROBABLY REMEMBERING IS THE COLLECTING OF FUNDS BY 2031. OKAY.

GOOD. AND OBVIOUSLY -- I AM ASSUMING IT IS TRUE TO SAY IF WE COLLECT THE FUNDS SOONER WE WILL BE ABLE TO FINISH THE PROJECTS SOONER.

>> CORRECT. SO, YES, YOU COULD -- YOU COULD RUN HIGHER AMOUNTS AT A HIGHER TAX RATE TO COLLECT THE FUNDS SOONER OR GOOD -- I THINK I MAY HAVE SAID THIS BACK THEN.

I LIKE -- THIS MAKES MORE SENSE TO ME.

>> MARK STUART: I UNDERSTAND THE REALITY OF PUTTING IT AT $1 MILLION. I THINK THAT CAUSES A LOT -- PUTS GAPS. OH, THAT CAN'T BE MY HOUSE.

THEY DON'T REALIZE. IF WE ARE --

>> YOU WANT TO -- I WASN'T SURE IF YOU WANTED TO COO ESPECIALLY

IT ON THAT SLIDE. >> SORRY ABOUT THAT.

THERE WE GO. IF WE HAD ON THAT THIRD COLUMN, A THIRD AND A FOURTH, HALF A MILLION OR EVEN THREE QUARTERS.

BUT EVEN THE IDEA OF BEING ABLE TO GRADUATE TO PEOPLE -- I DON'T THINK THAT A LOT OF FOLKS, THEY REALIZE THEIR HOME VALUE HAS GONE UP. YOU DON'T WANT TO THINK OF -- AT THAT POINT, IF YOU WILL. BECAUSE ALL WE ARE SEEING IS THE $150 OR $120. SO IF WE HAD GRADUATED.

WHAT HAS HAPPENED THREE QUARTERS -- HALF IN ONE AND THREE QUARTERS AND ONE. I THINK IT WOULD HELP.

SECOND OF ALL, ONE OF THE THINGS THAT HAS BEEN VERY SUCCESSFUL FOR ME IN THE PAST WHEN I TAUGHT INCREASES IN COSTS FOR VARIOUS PROJECTS, WHETHER IT WAS INCREASING IN INSURANCE PREMIUMS, INSURANCE IN DOCTOR FEES, WHATEVER, PUT IT IN RELATIONSHIP TO SOMETHING TANGIBLY OR RETAIL TO GET OUR ARMS AROUND SUCH AS -- I TRIED THIS DURING THE LAST -- THE EXTRA $180 BASICALLY IS ONE EXTRA LATTE A MONTH.

ONE PER WEEK. A CUP OF COFFEE AROUND STARBUCKS AND PEOPLE CAN WRAP THEIR HEAD AROUND THAT INSTEAD OF WRAPPING THEIR HEAD AROUND OH, MY GO GOSH, $150.

>> AS WE GET CLOSER TO THE 2024 INFORMATIONAL CAMPAIGN, WE WILL LOOK AT DIFFERENT OPTIONS OF SHOWING THE VALUE OF THE HOME AND JUST TO ADDRESS. WE HAVE TO -- PVC HAVE CERTAIN RULES AND TO COMPARE INCREASES OF A CUP OF COFFEE OR THE PRICE OF A LUNCH OR THINGS LIKE THAT. WE HAVE TO MAKE SURE WE ARE FOLLOWING RULES WHEN WE TALK ABOUT THAT.

SO -- SO I WANT TO GO BACK TO -- AND UNLESS THERE ARE OTHER QUESTIONS OF THE FINANCING, I WANT TO GO BACK TO THE QUESTION IN THE TIMING AND WHAT CONSIDERATIONS.

SO SIRI, WERE YOU FIRST FOR CHRIS FIRST.

>> CHRIS CARLSON: I WAS FIRST BUT I HAVE ALREADY GONE.

>> SIRI BLIESNER: HE IS FIRST? >> CHRIS CARLSON: I WAS GOING TO CHIME IN ON THAT. FOR ME THE MORE COMPLICATED YOU MAKE THIS SLIDE, THE LESS INFORMATION WILL GET TRANSMITTED. AND TO ME, MOST PEOPLE ARE GOING TO SAY MY HOUSE IS WORTH MORE OR LESS THAN $1 MILLION AND THEY ARE GOING TO KNOW THEY WILL INCREASE THEIR TAXES BY MORE OR LESS AND SOMEWHERE AROUND $100 TO $150.

I HEAR YOUR POINT AND IT DOES GET OUT FURTHER.

[02:05:05]

>> MARK STUART: MY 40 YEARS OF PUBLIC RELATIONS EXPERIENCE.

I CAN TELL YOU THAT YOU CAN DO THAT AND STILL -- YOU DON'T HAVE A -- A COMPLICATED CHART LIKE MOST OF THE CHARTS WE HAVE UP HERE. ADDING ONE MORE COLUMN IS NOT GOING TO STUFF PHI PEOPLE. CARLSON CHARLESTON IS A

CONVERSATION DOWN THE STREAM. >> SO TO RESPOND TO THE QUESTION AT HAND, I APPRECIATE THE INFORMATION THAT WAS PROVIDED AND SORT OF LAYING THAT OUT.

IT DID APPEAR THAT DURING A -- BECAUSE 2024 WOULD BE A PRESIDENTIAL ELECTION. AND FEBRUARY STILL SEEMS TO DO BETTER COMPARED TO WHAT WAS THERE FOR THE OVERALL NUMBERS.

WHAT CONSIDERATIONS YOU GIVE? WELL, THIS IS SUCH A MOVING -- THE CONTEXT OF WHICH WE ARE GOING TO BE WORKING ON A POLITICAL LANDSCAPE WITH REGARDS TO A BOND CAN CHANGE WITHIN THE NEXT TWO YEARS AS WELL.

AND I THINK WE HAVE TO BE AWARE OF THAT AND WHAT IS HAPPENING WITH THAT. I ALSO THINK ASSESSED VALUE AND WHAT HAPPENS WITH THAT WITHIN OUR COMMUNITY IS ALSO GOING TO BE SOMETHING THAT WILL POTENTIALLY IMPACT TIMING OF WHAT WE DO. AND THE BOND REALLY IN SOME REGARDS. I KNOW WE DO A CONSERVE I HAVE VALUE INCREASE WHICH IS GREAT. COULD POTENTIALLY GO UP MORE THAN THAT AND POTENTIALLY THE O'ER DIRECTION AND PROVIDES THINGS I THINK ABOUT FROM THE TIMING PHASE FROM THERE.

THE CONTEXT IS STILL UNKNOWN. I THINK THE ELECTIONS THIS FALL OF 2022 IS MIDYEAR, BUT I THINK IT GIVES SOME INSIGHT IF THERE IS ANYTHING ON THERE AT THIS POINT IN TIME AND WHAT IS HAPPENING. I DON'T KNOW -- SO I AM GOING TO LEAVE IT -- I APOLOGIZE IT IS NOT MORE INSIGHTFUL THAN THAT AT ALL, BUT TURMOIL IS NOT NECESSARILY THE RIGHT WORD BUT THE FLEXING OF WHAT IS OCCURRING RIGHT NOW MAKES IT VERY DIFFICULT TO BE ABLE TO GIVE REALLY SOLID

CONSIDERATIONS. >> ERIC LALIBERTE: TWO CONSIDERATIONS I HAVE ON TIMING ARE, ONE, WHICH ONE IS GOING TO WORK. RIGHT.

AND THEN, TWO, IF IT DOESN'T WORK, WHAT OPTION AT DO WE H HAVE. YOU KNOW, WE TALKED ABOUT -- WE TALKED ABOUT BEFORE -- YOU IF WE TRIED THIS BOND.

IT DOES NOT ACHIEVE THE 60% REQUIRED.

IS THERE A FALLBACK. I THINK WE TALKED ABOUT IT AND WE ALL TALKED ABOUT IT. THE CONSIDERATION IS, IF THERE IS LESS OPTION AT IF YOU RUN IT NOVEMBER THAN FEBRUARY.

AND DOES IT GIVE US ONE MORE LAYER OF AN OPTION.

I DON'T KNOW THE ANSWER OF THAT AND I WOULD LIKE TO KNOW.

I HAVE BEEN SKEPTICAL OF OUR ABILITY TO ACHIEVE 60% ON THIS.

SEEK THE MOST RECENT RESULTS IN THE CLIMATE WE WERE IN, THE CONTEXT WE WERE IN AND ALL OF THAT THAT WE CAPITAL LEVY ACHIEVED 59%. AND SO I AM --

>> THE TECHNOLOGY. >> THE TECHNOLOGY LEVY.

>> RECEIVED 59%. >> ERIC LALIBERTE: WHAT IS WHAT I MEANT TO SAY. I DON'T KNOW WHAT HAPPENED THERE. THE TECHNOLOGY REACHED 59%.

THAT GIVES ME -- I AM LESS SKEPTICAL.

I AM MORE HOPEFUL. AND HAVING THE LONG RUN, HAVING THE ABILITY TO DO A CAMPAIGN -- MY VIEW IS THESE SCHOOLS, THESE PROJECTS NEED TO BE BUILT AND BUILT AS FAST AND AS SOON AS WE CAN. WELL, ALSO NOT IMPACTING THE TAX RATE TOO MUCH. I USED THE WORD "IMPACTING."

>> MARK STUART: DON'T DO YOU THAT.

I WILL SMACK YOU. >> ERIC LALIBERTE: YEAH, SO -- I DON'T HAVE A SENSE OF -- FEBRUARY THROUGH NOVEMBER, MOST LIKELY IF IT WILL PASS. IT IS HARD TO TELL.

SO THE CONSIDERATION FOR ME WOULD BE IF -- IF RUNNING IT IN FEBRUARY PROVIDES US WITH MORE -- MORE FALL BACK OPTIONS THAN I WOULD BE MORE INCLINED TO GO THAT ROUTE THAN NOVEMBER.

[02:10:05]

>> DID YOU STILL HAVE YOUR -- >> FIRST I WANT TO SAY THANK YOU FOR PROVIDING THE DAVIDSON REPORT AND MY INTUITION MATCHES IT AND THINGS THAT TELL ME MY INTUITION WAS WRONG.

DAY AND I LIKE IT. PROVIDES A LOT OF INFORMATION WHEN IT COMES TO RUNNING THINGS TOGETHER.

RUNNING THINGS ON THE SAME BALLOT VERSUS THAT MEANS A LOT.

THE PRESIDENTIAL ELECTION KIND OF LIKE -- DOESN'T MAKE A LOT OF DIFFERENCE BUT KIND OF SURPRISING TO ME.

IT IS DATA. I AM NOT GOING TO ARGUE WITH IT. THE -- THE QUESTION I HAVE ACTUALLY COMES BACK TO SLIDES 53, WHICH IS THE -- THE -- IF THIS PASSES, IT DOESN'T CAUSE A BUMP IN THE RATE, BECAUSE SOMETHING ELSE IS SUNSETTING. THAT YOU MANAGE TO ENGINEER THIS SO IT IS REPLACING SOMETHING THAT IS GOING AWAY.

AND THAT CANNOT BE EMPHASIZED ENOUGH.

THAT THIS IS KEEPING THINGS STABLE, EVEN THOUGH THE BOND IS GOING TO LOOK LIKE A BIG NUMBER ON PEOPLE'S BALLOTS, THIS IS A LONGER-TERM LOAN AND DOESN'T CHANGE YOUR TAX RATE.

THE LEVYS THAT ARE SHORTER T TURNS CAUSING TAX INCREASES.

THE BOND KEEPS THINGS STABLE AND HAS A BIG ADVANTAGE IF I RECALL CORRECTLY. AND ALLOWS US TO COLLECT UP FRONT RATHER THAN HAVING THE LGO, STABILIZING FLOW PROBLEMS THAT COME FROM LEVYS. I AM HIS TANT AND I UNDERSTAND THE VANN ADVANTAGES TO THIS ARE HUGE.

SO ITS '-- I AM -- I AM SUPPORTIVE.

>> AND I JUST WANT TO CLARIFY THAT WHEN YOU HAVE -- WHEN VOTERS APPROVE A BOND, YOU ARE STILL -- IN ORDER TO STRUCTURE -- TO STRUCTURE YOUR TAX RATE, YOU ARE STILL SELLING THOSE BONDS.3 USUALLY A PORTION EVERY YEAR TO KEEP THAT TAX RATE LEVEL. SO YOU ARE NOT GETTING -- IF A $900 MILLION BOND, YOU ARE NOT SELLING $900 MILLION THE NEXT

DAY. >> BUT SOMETHING WHERE YOU DON'T HAVE THIS CHALLENGE THAT WE HAVE WITH THE LEVY WHERE YOU HAVE A $50 MILLION GAP BETWEEN WHEN WE NEED TO BUILD AND WHEN

WE NEED TO COLLECT. >> ERIC LALIBERTE: A DIFFERENCE IF WHEN WE START COLLECTING IF WE PASS SOMETHING IN FEBRUARY THAN PASS IT IN NOVEMBER.

DO WE COLLECT THE FOLLOWING JANUARY.

A DIFFERENCE IN TERMS OF THE FUNDS COMING IN?

>> YES, WHEN YOU PASS IN NOVEMBER, YOU THEN CAN LEVY YOUR DEBT SERVICE IN THE NEXT FISCAL YEAR.

SO, LIKE, IN NOVEMBER OF '24, YOU WOULD THEN -- WOULD YOU LEVY YOUR DEBT SERVICE IN '23. I THINK ABOUT -- AND THEN -- AND SINCE WE WOULDN'T -- IT DOESN'T EFFECT YOUR DEBT SERVICE UNTIL -- UNTIL THE -- 'TIL '25.

THAT IS THE OTHER REASON YOU ARE ABLE TO KEEP YOUR TAX RATE LEVEL AND YOU HAVE TO -- -- LET ME BACK UP.

YOU DO NOT HAVE TO WORRY SO MUCH OF A NOVEMBER ELECTION AND WORKING DIRECTLY WITH THE COUNTY TO MAKE SURE THAT THE TAX IS LEVIED FOR NEXT YEAR. IF YOU PASS A CONSTRUCTION LEVY IN NOVEMBER THAT YOU ARE IN INTENDING TO COLLECT FOR '23.

YOU HAVE TO WORK CLOSELY. SORRY, '24.

AND YOU WANT TO COLLECT THAT IN '25.

YOU NEED TO WORK CLOSELY WITH THE KING COUNTY COLLECTOR'S OFFICE THAT ONCE IT PASSES YOU HAVE THE ABILITY TO GET THAT AROUND AND PASSES IN THE COLLECTION.

I HOPE I DIDN'T CONFUSE YOU. >> CHRIS CARLSON: YOU DID NOT CONFUSE ME, BUT I AM NOT TOTALLY UNDERSTANDING.

>> SUPERTENDENT HOLMEN: LET ME SEE IF I CAN SIMPLIFY.

>> JON WILL EXPLAIN -- >> SUPERTENDENT HOLMEN: I AM NOT SURE I CAN. I AM FUZZY AS WELL.

BOND MEASURE PASSES IN '24. NOVEMBER OF '24.

WHEN WILL WE -- WHEN ARE WE PROPOSING TO DO OUR FIRST BOND SALE. THAT IS HELPFUL FOR ME.

>> THE BOND IN THE SPRING OF '25.

>> YOU GET YOUR FIRST CASH INFLUX IN THE SPRING OF '25.

>> WHEN WILL TAXES START TO BE COLLECTED TO PAY THOSE BONDS?

>> WHEN YOU DO A BOND SALE OF THE SPRING OF '25, THE FIRST PRINCIPAL AND INTEREST PAYMENTS ARE NOT DUE UNTIL THE -- I JUST WANT TO MAKE SURE THAT -- UNTIL THE '26 CALENDAR YEAR.

THAT IS WHEN DO YOU A LEVY. >> AND DOES -- DOES PASSING IT IN FEBRUARY OF '24 CHANGE THAT AT ALL?

THE TIMING? >> SUPERTENDENT HOLMEN: LET ME ASK IF WE PASS IT IN '24, WHEN WILL BE FIRST BOND SALE BE,

[02:15:02]

FEBRUARY OF '24? >> PASS IT IN NOVEMBER '24.

>> PASS IT IN FEBRUARY OF '24. >> FEBRUARY '24, THEN MOST LIKELY OUR FIRST BOND SALE WILL BE IN '24.

AND SORRY, YEAH, WE HAVE TO -- >> SUPERTENDENT HOLMEN:

COLLECT IN '25. >> PROBABLY.

YOU HAVE TO DO A SCENARIO BASED ON THAT.

>> SUPERTENDENT HOLMEN: THE ASSUMPTIONS ON SLIDE 53 ARE IN

THE NOVEMBER ELECTION. >> THAT IS TRUE.

>> THE ASSUMPTION IS A SPRING '25 BOND SALE.

YOU CAN HOLD AND SELL, CORRECT? >> YES.

ANNUAL BOND SALE '25, '26, '27, '28 AND '29.

THE CADENCE OF BOND SALES. >> SUPERTENDENT HOLMEN: SO EARLIER TO MAINTAIN THE PROFILE OF TAX RATE AND IMPLICATIONS.

DOESN'T MATTER WHEN WE PASS THE BOND, THE SALE WILL REMAIN S SAME. WE WANT TO INCREASE THE TIMELINE FOR THE SALE, THEN THAT WILL POTENTIALLY AFFECT THIS IF COLLECTIONS START IN '25.

>> ERIC LALIBERTE: SORRY I AM MONOPOLIZING BUT I HAVE ONE FOLLOW-UP ON THAT. REQUIREMENT FOR BOND ELECTIONS.

NOT ONLY ACHIEVE 60% BUT A REQUIREMENTS, IS THAT CORRECT.

THAT DOES NOT APPLY TO LEVY FUNDING MEASURES, CORRECT?

>> CORRECT. >> ERIC LALIBERTE: THE TURNOUT IS BASED ON PRIOR PRESIDENTIAL -- THE LAST NOVEMBER ELECTION.

IS. >>THAT IS A CONSIDERATION IN SENSE IF YOU WERE TO RUN IN FEBRUARY OF '24, A BOND IN FEBRUARY '24, YOUR TURNOUT WILL BE BASED ON NOVEMBER '23 WHICH IS NOT NEITHER A MIDYEAR OR PRESIDENTIAL.

IF YOU WERE TO RUN IN FEBRUARY OF '25, FOR EXAMPLE, THAT WOULD PROBABLY NOT BE WISE BECAUSE IT IS FOLLOWING A PRESIDENTIAL ELECTION WHERE THERE IS A HIGH TURNOUT REQUIREMENT.

WE HAVE THOUGH -- I WOULD SAY WE HAVE NOT HAD ANY PROBLEMS MEETING OUR TURNOUT REQUIREMENTS SO FAR.

I WILL HAVE TO ANALYZE WHAT A PRESIDENTIAL WHICH IS 2020 BUT

WOULD MEET OUR TURNOUT. >> ERIC LALIBERTE: I WANT TO WRAP MY HEAD AROUND THIS. THAT DOES NOT APPLY TO LEVY TURNOUT REQUIREMENTS. RUN LEVY IN FEBRUARY 2025, THE

TURNOUT FOR FEBRUARY '24. >> SUPERTENDENT HOLMEN: CAN I MAYBE SPEAK TO SOMETHING THAT YOU JUST SAID.

SO ONE OF YOUR CONSIDERATIONS WAS WHICH OPTION PROVIDES MORE FALL BACK OPTIONS. IF -- IF WE WERE LOOKING TO START PROJECTS IN '25, AND THE FALL BACK IS A LEVY, THEN NOVEMBER '24 BOND PROVIDE ANY R THAT BECAUSE A LEVY IN '25

COLLECTION BEGINS JANUARY '26. >> MARK STUART: TWO THINGS.

ONE, YOU WERE TALKING ABOUT THE NEARLY 60% OF TECH SERIOUS CONSTRUCTION LEVY AT 50-PLUS, ONE OF THESE SITUATIONS, TECH WHICH IS MOBILE AREA BUT STILL EVERYONE HAS A HIGH BELIEF IN TECH. SO I THINK SEE A TECH LEVY PROBABLY NEVER HAVING A PRO PROBLEM.

BUT CONSTRUCTION LEVY, YES. A BOND, YES.

SO TO READ ANY OF THE PERCENTAGES INTO HOW WILL THAT TRANSLATE INTO A PWOOND, IT -- IT IS NIGHT AND DAY.

WHAT IT DOES TELL ME THAT IN ORDER TO PASS A BOND, IT IS NOT JUST THE IDEA OF HOW MANY DOLLARS MORE IT WILL COST ME PER MONTH OR YEAR, A VALUE PROPOSITION.

WE NEED TO START TALKING OF OUR VALUE PROPOSITION NOW TO BE QUITE FRANK. WE NEED TO BE TALKING ABOUT -- EVERY TIME THERE IS POSITIVE INFORMATION COMING OUT OF THIS AREA THAT WE ARE NOT JUST PUTTING IT ON OUR WEB SITE.

NOT JUST PUTTING IT. WE NEED TO PROACTIVELY GO OUT THERE AND PUSH IT, WHETHER IT IS A NEWS STORY, FEATURED MATERIAL, WHATEVER. WE HAVE TO GO OUT AND PUSH THAT AND PUSH IT HARD. IT IS NOT A.

THE WORLD OF EXTERNAL COMMUNICATIONS IS NIGHT AND DAY FROM INTERNAL COMMUNICATIONS. SO WE -- WE NEED TO BUILD INTO

[02:20:03]

A SUBSTANTIAL ONE. YOU DON'T GO A TREE SERVICE.

YOU GO TO AN ELEMENT OF WHATEVER.

BECAUSE THAT IS WHERE YOU WILL GET THE BIGGEST BANG FOR YOUR BUCK. IT WILL BE MORE BUCK, BUT AND THIS VALUE PROPOSITION. CASE IN POINT.

THE YOUNG LADY THAT WON THE QUARTER MILLION DOLLARS.

THAT NEEDS TO HAVE A PUSH THAT MEANT A CALL TO EVERY NEWS OUTLET IN THE MARKET. FOR THAT MATTER EVEN BEYOND THE MARKET EVEN PUTTING OUT OF RELIEF.

AND THE WHOLE PLACE IS FLOODED WITH INFORMATION AS WE ALL K KNOW. AND THE ONLY NOISE THAT GETS MADE IS THE NOISE YOU PUSH. SO --

>> ERIC LALIBERTE: I THINK YOU COVERED THE VERY LAST SLIDE OF THE PRESENTATION. WE ARE PAST TIME WHAT WE HAVE BUDGETED, BUT I WANT TO MAKE SURE THAT EVERYONE HAS A CHANCE TO TALK TO THE CONSIDERATIONS FOR THE TIMING.

SO DIRECTOR BLIESNER, DO YOU HAVE SOMETHING.

>> SIRI BLIESNER: WE TALK OF TAX RATE AND THE LEVELNESS OF THIS. I BELIEVE THE LAST ELECTION CYCLE IF THEY DO HAVE QUITE THE INCREASE ON THERE.

AND SO I THINK WE NEED TO ALSO QUESTION OUR ASSUMPTIONS THAT WE ARE AT AND HAVE SOME CONVERSATION WITH THAT AS WELL.

THAT POTENTIALLY IS A SLIGHTLY LARGER BOND THAT MIGHT INCREASE THAT ACTUALLY POTENTIALLY HAVE GREATER LIKELIHOOD TO PASS AT 60% THAN IF WE TRY TO KEEP IF AT A CERTAIN RATE.

I JUST WONDER IF WE NEED TO QUESTION OUR ASSUMPTIONS THAT WE HAVE. AGAIN, BECAUSE OF CONTEXT AND THE REALITY THAT WE ARE IN. I ALSO HEARD THAT THE LIKELIHOOD OF GETTING THE 60% REGARDLESS DUE TO THE CLIMATE WHICH WE ARE THIS IS JUST LOWER.

I THINK THERE IS A LOT OF PLAYS THERE WE HAVE TO PAY ATTENTION TO. I THINK THAT TIMING PIECE, I THINK BUILDING THE SOONEST WE CAN IS THE COMPONENT.

THE GROWTH IS COMING AND NO REASON TO BELIEVE THAT -- THE ECONOMICS ARE SHOWING THAT THE GROWTH MANAGEMENT PLANS ARE SEEING THAT. WE SEE IT.

THE SOONER THE BETTER. >> CHRIS CARLSON: I HAVE THE INTERSECTION BETWEEN SEVERAL THINGS WE ARE DISCUSSING THIS WEEKEND THAT I AM GOING TO FORGET IF I DON'T STAY NOW.

WE HAVE 29 ELEMENTARY SCHOOLS. THOSE 29 ELEMENTARY SCHOOLS DO NOT INCLUDE A SINGLE SCHOOL THAT IS NAMED FOR A NATIVE AMERICAN. OUR ONE NATIVE AMERICAN BUILDING THAT IS KAMIAKIN, IT IS NAME FOR A CHIEF TOWN IN THE YAKIMA VALLEY. IN THE RESEARCH I HAVE BEEN DOING A VERY HIGH-PROFILE CHIEF FROM THE SNOQUALMIE PAT KANIM.

SO WHENEVER THE NOMINATIONS FOR NAMING NEW BUILDINGS FOR ELEMENTARY THAT WE ARE BUILDING DE NOVO, I WOULD LIKE TO THROW

THAT NAME IN THE HAT. >> ERIC LALIBERTE: LAST QUESTION ON TIMING. SORRY, I SHOULD HAVE BEEN ABLE TO ANSWER THIS FOR MYSELF BUT I HAVEN'T BEEN ABLE TO FIND IT.

THE LEVYS AND THE -- THE LEVY MEASURES THAT WE JUST PASSED.

TECHNOLOGY LEVY AND EPNO LEVY, THIS WILL BE BACK FOR RENEWAL -- WHAT YEAR. THREE YEARS.

>> OR FOUR YEARS. WE COULD COME BACK IN THREE

YEARS. >> ERIC LALIBERTE: BUT THE CURRENT PLAN IS TO BRING THEM BACK IN 2026.

>> YES. >> ERIC LALIBERTE: OKAY.

I AM JUST TRYING TO THINK FOR MYSELF.

I REALLY CAN'T THINK -- TO ME THE THOUGHT IS AT THIS TIMING OF -- WELL, NO MATTER -- NO MATTER WHEN WE RUN IT, WE RUN A BOND IN 2024, IT WILL BE A SINGLE -- THE ONLY THING WE HAVE ON THE BALLOT, RIGHT? IS THAT -- I MEAN --

>> AS OF TODAY, YES. >> ERIC LALIBERTE: OKAY.

THAT IS THE CORRECT ANSWER. AND -- IS THERE ANY -- DOES -- WOULD -- WOULD RUNNING IT IN FEBRUARY -- WOULD SUCCESSFULLY PASSING IT IN FEBRUARY OR NOVEMBER HAVE ANY IMPLICATION ON -- ON ANYTHING FOR THE OPERATIONS LEVY? DOES THAT TIMING -- DOES THE TIME OF.

>> THE OPERATION LEVIES ARE ASSUMED EVERY FOUR YEARS.

AND SO WHEN YOU SEE A TAX RATE CHANGE, IT IS ASSUMED THAT IT

[02:25:02]

>> ERIC LALIBERTE: OKAY. THAT IS HELPFUL.

>> AGAIN, WE DON'T KNOW WHAT LEGISLATIVE THINGS CAN HAPPEN IN THE FUTURE. SO ANYTHING --

>> AS ERIC MENTIONED, THERE IS ONE LAST SLIDE.

WE ARE WORKING ON A COMMUNICATION PLAN -- NOT ONLY FOR OUR CURRENT CONSTRUCTION PROJECTS AS WE -- WE HAVE BEEN DOING SINCE 2016, BUT AS OUR -- YOU KNOW, OUR BUILDUP TO A POTENTIAL 2024 BOND. SO WE WILL BE ISSUING AN RFP FOR -- FOR STRATEGIC CONSULTANTING FOR THE BUILDING EXCELLENCE PROGRAM IN THE CAPITAL PROJECTS DEPARTMENT.

A POSITION, A COMMUNICATIONS POSITION THAT WAS VACATED THIS FALL. PERSON RESIGNED AND NOBODY WILL BE WORKING WITH THE CONTRACT IRTO -- TO DO PROJECT REPORT UPDATES TO CONTINUE THAT WORK. AND THEN WE WILL CONTINUE TO DEVELOP THE STRATEGY TO ENGAGE OUR COMMUNITY IN OUR PROJECTS AND PROGRAM. SO THOSE ARE THE -- THOSE ARE THE -- YOU KNOW, CONTINUED WORK TO BE DONE ON THAT.

>> SUPERTENDENT HOLMEN: I AM GOING TO SAY YOUR SECOND BULLET POINT A LITTLE DIFFERENTLY. OUR COMMUNICATION DEPARTMENT RECEIVED A DIRECTORSHIP IN ANOTHER SCHOOL DISTRICT.

SO THAT IS WHY SHE TRANSITIONED OUT OF THAT POSITION.

>> THANK YOU, JON. THAT WAS A MUCH BETTER WAY OF SAYING IT. SO -- ABOUT A TIMELINE FOR COMMUNICATION STRATEGY.

AND ALSO INTERESTED. >> THE TIMELINE.

>> I AM ALSO INTERESTED IN KNOWING WHAT WE ARE PLANNING ON DOING DIFFERENTLY CONSIDERING OUR PAST SUCCESS RATE IN

PASS BONDS. >> SUPERTENDENT HOLMEN: I THINK PRIMARY IN THAT IS SEEKING OUTSIDE CONSULTATION AND SUPPORT FOR THAT STRATEGY. FOR ME TO A PARTICULAR LATE THE DIFFERENCES IN THE STRATEGY WOULD JUST BE MY THINKING.

I DON'T THINK THAT WOULD BE FRUITFUL AT THIS POINT.

BUT TRULY WHY WE ARE SEEKING OUTSIDE SUPPORT, BECAUSE BECAUSE WE HAVE A COMMUNICATION DEPARTMENT THAT HAS FULL-TIME WORKLOAD OF -- OF EVERYTHING. AND THEY SUPPORT OUR INFORMATIONAL CAMPAIGN AS WELL IN REALTIME SEEKING OUTSIDE CONSULTATION AND SUPPORT WILL HELP WITH US A PLAN THAT DIFFERENT THAN WE HAVE DONE IN THE PAST.

TIMELINE, RFP, YOU PUT A REQUEST FOR PROPOSALS OUT TYPICALLY FOR FOUR TO SIX WEEKS SO AGENCIES IN -- CAN PROVIDE THAT INFORMATION TO YOU. YOU GO THROUGH A SELECTION PROCESS AND BY THE END OF THE SCHOOL YEAR, YOU HAVE FOLKS IN

PLACE. >> AS WE MENTIONED TOO, THE CAPITAL PROJECTS TEAM WILL BEGIN TO LOOK AT THE DESIGN -- DESIGN CONCEPTS. CONCEPTUAL DESIGN.

THAT IS SOMETHING THAT WILL BE DIFFERENT THAN WHAT WE HAD

BEFORE. >> MARK STUART: A POINT AND IT MAY JUST BE IS HE MANICS ON HOW YOU LAID IT OUT THERE, BUT AS YOU LOOK AT THE COMMUNICATION STRATEGIC CONSULTING, THE CAMPAIGN HAS NO NOT BE ABOUT BUILDINGS.

IT HAS TO BE OF THE VALUE PROPOSITION OF THE EDUCATION BEING DELIVERED TO THEIR KIDS. BECAUSE THE KIDS WILL SELL THE BOND. AND THE BUILDINGS WON'T.

I THINK WE HAVE TO -- YES, YOUR INFORMATIONAL CAMPAIGN WILL BE ABOUT -- IF WE HAVE X NUMBER OF BUILDINGS, X NUMBER OF STUDENTS

BUT THE STRATEGICER. >> SITUATION CAMPAIGN TALKS OF THE VALUE PLOP SIGNIFICANCES OF WHAT IS MY STUDENT GETTING OUT OF THIS DISTRICT. AND WHAT ARE GRADUATES OF THIS DISTRICT BRINGING TO THE OVERALL COMMUNITY.

BECAUSE THAT -- THAT TRANSCENDS -- IT COSTS ME $5 BUCKS MORE A MONTH. BECAUSE YOU GOT TO GO FOR THE HEART. THERE IS NO SAY -- YOU EITHER ENTER THE HEAD THROUGHOUT HE HEART.

AND ONCE -- SETTLE THE HEART, THE HEAD WILL FALL RIGHT BE

BEHIND. >> CHRIS CARLSON: I WAS MIRELY GOING TO ECHO THAT THE BUILDING EXCELLENCE PLANS LEAD WITH THE COMPELENS AND THE BUILDING COMES LATER.

LALIBERTE LAILZ GUESS THIS 'CURD TO ME.

THE LAST TIMING. WHAT IS THE TIMING OF THE INFORMATIONAL CAMPAIGN AND HAD YOU DOES THAT LOOK FEBRUARY

[02:30:03]

I CAN THINK OF POTENTIALLY IT BENEFITSED NOVEMBER WERE REALLY RUNNING A FOCUSED INFORMATIONAL OF CAMPAIGN DURING NEVER MIND.

I FORGET WHEN SUMMER OCCURRED. THE TIMING VIS-A-VIS ELECTION.

>> SUPERTENDENT HOLMEN: 20234, 0 MONTHS OUT FROM A ELECTION.

A FEBRUARY SELECTION COINCIDES WITH THE INFORMATIONAL CAMPAIGN RUNNING IN THE MIDDLE OF THE WINTER BREAK.

WE JUST EXPERIENCED THAT AND IT IS DIFFICULTY BECAUSE FOLKS LY DON'T PAY MUCH ATTENTION BEFORE AND PEOPLE PAY IT IN JANUARY AND PEOPLE FEEL IT IS TOO LATE. APRIL IS 24 MONTHS OUT.

NOVEMBER IS 31 MONTHS OUT. >> ERIC LALIBERTE: TO ME ENOUGH RUNWAY FOR ALL THIS. THE VOTE -- I WANT -- AT SOME POINT WE CAN BRING THIS BACK. WHEN THE REAL FOCUSED A REAL FOCUSED PART OF THE INFORMATIONAL CAMPAIGN.

WE WILL HAVE AN INFORMATIONAL PART RUNNING IMMEDIATELY AND WILL BE A VERY FOCUSED TIME AND I KIND OF WANT TO KNOW THE

TIMING OF THAT. >> TYPICALLY THREE TO FOUR MONTHS PRIOR TO THE ELECTION. THE HEAVY FOCUS.

OBVIOUSLY A LOT OF WORK BEFORE THAT, BUT, YEAH.

>> ERIC LALIBERTE: ANY -- WE ARE 15 MINUTES OVER BUDGET.

ANYTHING ELSE FOR THE GOOD OF THE ORDER? YES. SO -- WE WILL TAKE A 15-MINUTE

>> WE WILL START AGAIN WHEN THE VIDEO POPS ON.

[2. Budget Outlook and Planning]

AND BUDGET OUTLOOK. >> THE FINAL TOPIC ON OUR AGENDA FOR EXTENDED STAY IS BUDGET OUTLOOK LEGISLATIVE UPDATE. THE 2022 LEGISLATIVE SESSION CONCLUDED ON MARCH 150. WITH THAT, THERE ARE SOME BUDGET IMPLICATIONS AS WELL AS SOME OTHER IMPLICATION.

UPDATE AND DIVES INTO HOW THAT WILL IMPACT OUR BUDGET OUTLOOK, PROVIDE A BRIEF GLIMPSE OF OUR PROJECTED BUDGET OUTLOOK KNOWING THAT WE HAVE FURTHER BUDGET WORK TO DO THIS SPRING.

>> THERE ARE USUALLY NOT A LOT OF CHANGES IN THE SECOND YEAR OF THE BIANNAL. AND NEXT YEAR WILL BE THE BULL BIANNUAL. THE FIRST AREAS OF PRIORITY YOU WERE CONSIDERED URGENT. EQUITABLE COVID SUPPORT AND TECHNOLOGY. AND SO AS A REMINDER, OUR DISTRICT RECEIVED A LOT LOWER HE ISER DOLLARS THAN MANY OF OUR OTHER SCHOOL DISTRICTS THAT WERE SIMILAR IN SIZE AND DID NOT RECEIVE ADDITIONER ESSER FUNDING TO BE ASSOCIATED WITH

[02:35:02]

THEY WILL SUNSET. THE LEGISLATURE HAVE POSSIBLE ENROLLMENT STABILIZATION F FUNDING THAT WILL RECEIVE THE FISCAL YEAR FOR THE 2021, '22 SCHOOL YEAR AND TO STABILIZE.

15% OF -- 50%, SORRY, OF THE ENROLLMENT LOSS OF '21, '22 AND '19 AND '20. THE LEGISLATURE PROVIDED A SMALL INCREASE OF FUNDING THROUGH MATERIALS, SUPPLIES AND OPERATING COSTS. THAT WAS NOT NEW THIS LEGISLATIVE SESSION. THEY PROVIDED IT IN THE SECOND YEAR OF THE BIANNUAL BUDGET AND WE KNEW THIS WAS COMING.

AND SO IT IS ABOUT 25 PER PUPIL OR $750,000.

AND AS A REMINDER, WE ARE SP SPENDING OVER $25 MILLION A YEAR ON TECHNOLOGY IN BOTH THE GENERAL FUND AND THE CAPITAL FUND AND THE STATE GIVES US ABOUT $4 MILLION A YEAR.

$750,000 WHILE APPRECIATED IS -- WILL BE, YOU KNOW, JUST GOING TO OFFSET THOSE LOCAL COSTS.

BECAUSE THEY ARE SEVERELY UNDERFUNDED.

SO JUST SOME BILLS RELATED TO ACADEMIC SUCCESS AND HOLDING US HARMLESS. AS I MENTIONED, THE -- THE 50% STABILIZATION. THAT BILL DID PASSED AND THE ESSER BUDGET PROVISION FAILED AND WE DID NOT RECEIVE ANY ADDITIONAL ESSER FUNDS. THERE WAS A BUDGET BILL OUT THERE TO RECOMMEND IMBURSE SCHOOL DISTRICTS FOR THE ACTUAL COST OF TRANSPORTATION FOR HOMELESS, SPECIAL ED AND FOSTER STUDENTS. MCKINNEY VENTO COSTS.

THAT BILL DID NOT PASS AND THEY PUT A SMALL AMOUNT OF MONEY IN THERE AS A SAFETY NET SO YOU CAN -- DISTRICTS CAN APPLY IF THEY HAVE HIGHER COSTS IN TRANSPORTATION THAT THEY ARE BEING FUNDED FOR. AND THE CHALLENGE IS -- YOU KNOW, IN TALKING WITH MY COLLEAGUES, SEATTLE SCHOOL DISTRICT SAID THEY, ALONE, COULD EAT UP THAT WHOLE AMOUNT THAT THE LEGISLATURE PROVIDED. JUST WITH THEIR COSTS ALONE.

SO THE AMOUNT THAT THE LEGISLATURE PROVIDED WON'T BE SUFFICIENT TO COVER THE WHOLE STATE.

MORE TO COME ON THAT. THE SHORT TERM PRIORITIES THAT WERE IDENTIFIED WAS TO CONTINUE TO LOOK AT SPECIAL EDUCATION AND FULLY FUND THE COST OF SPECIAL EDUCATION.

WE FUND ALMOST $19 MILLION OUT OF OUR LOCAL LEVY.

AND SO -- NO CHANGES WERE MADE IN SPECIAL ED ALLOCATIONS DURING THE SUPPLEMENTAL BUDGET. THEY DID -- THE OTHER SH SHORT-TERM REQUEST THAT WE HAD WAS TO PROVIDE ADDITIONAL FUNDING FOR SOCIAL-EMOTIONAL LEARNING.

AND THE LEGISLATURE DID PROVIDE ADDITIONAL SUPPORT FOR SOCIAL EMOTIONAL LEARNING. THEY INCREASED THE THE PROO TYPICAL STAFFING ALLOCATION FOR WHAT THEY DESIGN AS PHYSICAL, SOCIAL AND EMOTIONAL SUPPORT STAFF THAT IS PHASED IN OVER THREE YEARS. SO WE WILL GET THE FIRST OF THAT THREE-YEAR PHASE IN THE '22-'23 SCHOOL YEAR.

I HAVE ANOTHER SLIDE THAT WE WILL GO INTO MORE DETAIL.

WE ALREADY FUND A SIGNIFICANTLY MORE FTE AND WE WILL CURRENTLY MEET THE ANTICIPATED COMPLIANCE REQUIREMENTS EVEN THREE YEARS OUT SO SCL REMAINS UNDERFUNDED BY THE STATE.

SO I WILL JUST SHOW THE SLIDE. SO THIS IS SOMETHING WE DEVELOPED IN THE FALL WITH THE LEGISLATIVE PLATFORM.

WE SPEND RIGHT NOW $21 MILLION ON SESSION AND EMOTIONAL SUPPORT STAFF. PSYCHOLOGISTS, MENTAL HEALTH, STAFF AND STUDENT SAFETY SUCH AS CAMPUS SECURITY, FAMILY ENGAGEMENT COORDINATORS. SO WE ARE SPENDING $21 MILLION.

AND CURRENTLY THE STATE IS FUNDING 8.3.

THE BLUE BOX. ON A FTE BASIS, THE STATE IS FUNDING 78 FTE AND WE ARE HIRING 183 FTE RIGHT NOW.

SO WHEN THE STATE -- ADDITIONAL FUNDING FOR 2022-'23 GAVE US

[02:40:03]

THAT WILL BRING THAT BLUE BOX UP TO THAT NEW LINE AND ON THE FTE SIDE, IT WILL INCREASE SLIGHTLY THE FTE THE STATE IS FUNDING. WE ARE STILL SPENDING BEYOND THAT. THE '24-'25 POTENTIAL FUNDING LEVELS, AGAIN, THOSE HAVE TO BE APPROVED IN THE NEXT BIENNIAL BUDGET, WILL BRING THE STATE FUNDING UP TO THE NEXT BLUE LINE. AND THE COSTS WILL CONTINUE TO INCREASE DUE TO INFLATION BUT JUST SO -- AS A REMINDER, THE -- SO WE NEED TO CONTINUE TO BALANCE HOW WE KIND OF SPEND OUR STATE AND LOCAL DOLLARS. THAT WILL BE IMPORTANT BECAUSE FOR EVERY NEW STATE DOLLAR WE SPEND ON STATE PROVIDED FTE WE HAVE TO FIND ADDITIONAL LEVY FUNDS.

BECAUSE THE STATE DOES NOT PROVIDE SUFFICIENT COST TO COVER THE FULL COST OF A STAFF MEMBER.

[INAUDIBLE] >> SO -- SO OUR TOTAL FTE? THAT IS TO BE DETERMINED. JOHN, YEAH, THAT IS TO BE

DETERMINED. >> SIRI BLIESNER: SO CURRENTLY WITH THAT WE MEET THE REQUIREMENTS FOR FUNDING.

>> WE ARE MEETING THE REQUIREMENTS FOR THE STATE.

WE DON'T HAVE THE FULL RULES YET.

WE HAVE AT THE END OF THE MONTH AND EARLY APRIL.

THE STATE IS WORKING ON THE COMPLIANCE RULES.

>> I THINK WHAT WE DO WITH THIS ALSO IS IN CONCERT WITH WHAT WE DO WITH OUR LONG-TERM BUDGET KNOWING THAT THE STATE IS ALREADY KIND OF INDICATED WHAT THE THREE-YEAR PLAN WILL BE.

WE ALREADY EXCEED THE TH THREE-YEAR PLAN IN TERMS OF OUR LOCAL STAFFING LEVELS. AND WE ALSO HAVE AN OPPORTUNITY TO MEET SOME NEEDS AND GOALS THAT WE HAVE AS A DISTRICT.

SO IT IS BALANCING BOTH OF THOSE THINGS.

UNDERSTANDING THE LONG-TERM BUDGET IMPLICATIONS UTILIZING A NEW REVENUE STREAM TO BE VERY STRATEGIC.

AND SO WHAT THAT FTE, WHICH POSITIONS, THAT IS TO BE

DECIDED. >> AS THAT IS A CHANGE TO THE THE PRO TYPICAL SCHOOL MODEL, AN ONGOING REVENUE STREAM.

NOT A ONE-TIME. >> CORRECTED,

>> '22-'23 FUNDING AND THE LEGISLATURE AND GOVERNOR WILL NEED TO AGREE ON A BUDGET THAT CONTINUES TO FUND THESE AS

PRIORITIES. >> THAT'S WHY I USED THE TERM "POTENTIAL"BECAUSE WE WON'T KNOW UNTIL THEY PASS THE NEXT BUDGET CYCLE -- THE NEXT BU BUDGET.

>> THEN JUST BILLS AROUND -- WELL BEING 5509 AND HOUSE BILL 1664, THE BILL THAT CHANGED THE THE PRO TYPICAL FUNDING MODEL AND THERE WAS ALSO A BILL RELATED TO PARAEDUCATOR TRAINING AND WE WILL TALK MORE ABOUT THIS LATER.

THIS BILL DID NOT IT CHANGED THE TIMING WHEN PARAEDUCATORS NEED TO BE TRAINED AND THE LEGISLATURE DID PASS -- ADDITIONAL DAYS OF TRADING. SO MORE INFORMATION NEEDED ON THIS. WE TESTIFIED AGAINST THIS PARAEDUCATOR TRAINING BILL DUE TO THE TIMING ISSUES AND THE DELIVERY METHOD. THEY WERE DESCRIBING DESCRIPTIVE AND TIMING AND DELIVERY METHOD AND WE WANT TO MAKE SURE THAT THE DISTRICT WILL HAVE THE FLEXIBILITY OF WHICH DISTRICT WHEN AND HOW TO DELIVER THAT TRAINING.

THOSE ARE BILLS RELATED TO THAT.

ALSO ASKED TO FULLY FUND SEV, THE BENEFITS BOARD AND NO CHANGES IN THE THE PRO TYPICAL MODEL BECAUSE RIGHT NOW THE STATE FUNDS THE THE PRO TYPICAL MODEL AND THEY MANDATE ADDITIONAL THAT SUBSTITUTES AND OTHER EMPLOYEES ARE COVERED BY SEV AND DON'T FUND YOU FOR THOSE EMPLOYEES.

NOTHING CHANGED ON THAT. NO CHANGES TO CERTIFICATION SYSTEMS IN THIS LEGISLATIVE SESSION.

[02:45:07]

A 557% INFLATIONARY ADJUSTMENT IPD OR COLA, FUNDING IS TO THE THE PRO TYPICAL MODEL WHENEVER THERE IS A STATE IPD FOR EVERY 1% THAT REQUIRES THE DISTRICT TO FIND ANOTHER MILLION PLUS IN LOCAL FUNDING SET PREMIUM INCREASE AND REQUIRES LOCAL INVESTMENT AS WELL. SO -- AND THEN THE THIRD CATEGORY, THE LONG-TERM WAS REQUESTING ADDITIONAL UPDATES RELATED TO CONSTRUCTION. REQUESTING AN UPDATE OF THE STATE FORMULA FOR SCHOOL CONSTRUCTION ASSISTANCE.

NO CHANGE TO THAT 1979 FORM HA AND CONSTRUCTION UNDERFUNDED BY THE STATE. WE REQUESTED A SIMPLE MAJORITY FOR SCHOOL BONDS, AND WHILE THERE WAS A BILL AND SOME CONVERSATIONS AROUND SIMPLE MAJORITY, IS IT DID NOT MANUFACTURE OUT OF THE LEGISLATIVE SESSION.

STILL HAS TO PROVIDE SALES TAX WHICH IS LARGE IMPACT IN THIS STATE. SPECIFIC BILLS RELATED TO CONSTRUCTION. ONE OF WHICH PASSED.

THREE HAVE FAILED. THERE WAS, AGAIN, AS I MENTIONED, THE RESOLUTION TO CHANGE THE BOND PASSAGE REQUIREMENT. THAT DID NOT MOVE OUT OF SESSION. BRIAN WAS WORKING WITH THE COALITION ON THE NEXT THREE BILLS RELATED TO HOUSE BILL 1280 THAT DID PASS. GREENHOUSE GAS EMISSIONS REDUCTION BILL. IT REQUIRES AGENCIES TO ANALYZE LIFE CYCLE COSTS AND INCLUDE PROVISIONS AND DESIGN FOR ALL ELECTRIC ENERGY SYSTEMS AS AN ALTERNATIVE.

JUST AT LEAST YOU HAVE TO LOOK AT THEM AS AN ALTERNATIVE.

YOU DON'T ACTUALLY HAVE TO BUILD THE FINAL BUILDING THAT WAY, BUT YOU NEED TO AT LEAST ANALYZE THOSE COSTS.

HOUSE BILL 1770 WHICH WOULD HAVE PUT IN NEW REQUIREMENTS FOR ENERGY CODES AND HAD SOME SIGNIFICANT COST IMPACTS TO US DID NOT PASS. AND THEN SENATE BILL 5202 CREATED A DEPRECIATION FUND IN -- WITHIN THE GENERAL FUND FOR PREVENTIVE MAINTENANCE AND THAT FAILED.

WE TESTIFIED AGAINST THAT BILL AS WELL BECAUSE WE DIDN'T NEED ADDITIONAL. IT INCLUDED ADDITIONAL COUNTING REQUIREMENTS THAT WE DIDN'T THINK WAS NECESSARY.

>> JUST A CLARIFICATION. WHEN WE SAY PASSED FOR HOUSE BILL 1280 THAT PASSED THE HOUSE, IS THIS A SENATE BILL?

>> THE BILL NUMBER THAT I LISTED THERE IS KIND OF THE ORIGINAL BILL, AND IT PASSED OUT OF BOTH SIDES, YEAH.

>> MARK STUART: THANK YOU. >> AND SO AND THEN THE NEXT TWO SLIDES. WATCHING BILLS THAT WILL PUT UNFUNDED MANDATES ON US AS SCHOOL DISTRICTS ACROSS THE STATE. AND THE MAJORITY OF THOSE BILLS FAILED AND STILL SOME BILLS THAT PASSED EXPANDED ELIGIBILITY AND THE HOUSE BILL 1732 WAS THE LONG-TERM CARE PROGRAM THAT IMPLEMENTED A NEW PAYROLL TAX ON ALL EMPLOYEES IN WASHINGTON STATE. THAT BILL PASSED AND DELAYED THE PAYROLL DEDUCTIONS UNTIL JULY OF '23.

BILL 1807 WAS ABOUT CIVICS EDUCATION AND MANDATED A YEAR LONG COAST THAT DID NOT GO THROUGH.

AND THEN THERE WAS A BILL THAT WAS ABOUT VACATION LEAVE.

MAINLY FOCUSED ON STATE EMPLOYEES, BUT ALSO WOULD HAVE REMOVED THE LIMIT ON SICK LEAVE CASH-OUT OF RETIREMENT AT SCHOOL DISTRICT STAFF. AND THAT BILL DID NOT PASS.

AGAIN, THAT WILL HAVE SIGNIFICANT COSTS ON SCHOOL DISTRICTS. SO THEN THE NEXT THREE WOULD HAVE REQUIRED PUBLIC AGENCIES IF -- IF LOSING A LAWSUIT OF

[02:50:06]

SO THAT BILL DID NOT PASS. AND THEN THE LAST BILL THAT DID PASS, 5649 EXPANDED. HAD A SMALL EXPANSION FOR THE WASHINGTON STATE MEDICAL FAMILY LEAVE AND AS WE SHARED BEFORE, THE PROGRAM HAS -- WAS PREDICTED TO BE INSOLVENT IN THE NEXT FEW MONTHS. THE LEGISLATURE HAD TO INFUSE MORE MONEY INTO THE FAMILY LEAVE PROGRAM.

WHEN THEY DON'T HAVE ENOUGH MONEY.

THIS IS THE SUMMARY OF H HIGH-LEVEL LEGISLATIVE IMPACTS AND THEN MOVE INTO THE BUDGET. MARK HAS A QUESTION.

>> MARK STUART: REAL QUICK QUESTION ON 5649, THE INCREASED ELIGIBILITY. GIVE US A FOR INSTANCE.

>> I BELIEVE WHAT ACTUALLY CHANGED IS IF YOU -- IF YOU ARE ON A -- IF YOU ARE CARING FOR A FAMILY MEMBER AND THIS FAMILY MEMBER PASSES AWAY GIVES YOU BEREAVEMENT LEAVE.

THAT IS THE EXPANSION THAT THEY MADE.

SO -- OKAY. ALL RIGHT.

SO MOVING INTO THE BUDGET OUTLOOK.

AND I WANT TO FOCUS ON KIND OF THIS YEAR, WHAT IS '21-'22 LOOK LIKE, BUT JUST TO START WITH, I WANT TO REMIND -- YOU KNOW, KIND OF WHAT OUR LONG-TERM PICTURE IS AND THIS IS A CHART THAT SHOWS KIND OF OUR PAST REVENUE.

THE BLUE LINE IS REVENUE, THE GREEN LINE IS EXPENDITURES.

AND WE -- YOU KNOW, AFTER MCCLEARY, WE PURPOSELY BUILT UP OUR FUND BALANCE UNTIL WE KIND OF NEW WHAT THE -- THE IMPACT OF MCCLEARY WOULD BE. '18, '19, '20, REVENUES WERE HIGHER THAN EXPENDITURES. LAST YEAR THEY WERE RIGHT ON.

OUR REVENUE AND EXPENDITURES. THIS YEAR BECAUSE OF THE -- BECAUSE OF THE, YOU KNOW, HIGHER FUND BALANCE, WE PURPOSELY BUT A BALANCE. WE FUNDED FOR EXPENDITURES TO EXCEED OUR REVENUE AND WE ALSO KNOW GOING FORWARD STATE FUNDING CONTINUES TO NOT KEEP UP WITH THE REQUIRED COST.

AND SO YOU CAN SEE GOING FORWARD THAT REVENUES ARE LESS THAN EXPENDITURES AND A NEGATIVE FISCAL GAP AND WE WILL

GO INTO MORE DETAILS ON THAT. >> JUST REAL QUICKLY.

THIS INCLUDES THE ELEVEN THANK YOU JUST PASSED.

INCORPORATED INTO THE GRAPH? >> YES.

JUST TO BREAK OUT -- JUST A REMINDER OF WHAT FUND BALANCE MEANS. WHAT IS FUND BALANCE.

FUND BALANCE IS OUR CARVE IN THE BANK.

IT IS WHAT YOU HAVE CURRENTLY IN THE BANK.

AND -- AND IT -- IT ENCOMPASSES REQUIRED RESERVES FOR EMERGENCIES AND DIFFERENT WITH REVENUES VERSUS EXPENDITURES.

REMINDER THAT OUR '21, '22, , THAT IT ESTIMATED THAT WE WILL BEGIN THE SCHOOL YEAR AT -- OR WE DID BEGIN THE SCHOOL YEAR AT 107. WE WILL START WITH THE BOTTOM, THE TOTAL THERE. BUDGETED ABOUT -- 101.3 MIL MILLION. THE 107 MILLION IS MADE UP OF FIVE DIFFERENT CATEGORIES. OUR -- THE BOARD HAS A MINIMUM FUND REQUIREMENT WHICH IS 5% OF OUR REVENUES OF THE PRIOR YEAR.

SO THAT IS 23 MILLION IS A MINIMUM FUND BALANCE REQUIREMENT. THEN EACH YEAR, WE LOOK AT WHAT

[02:55:04]

WE HAVE GRANTS THAT ENCOMPASS MULTIYEARS.

SO THOSE WHO HAVE TO BE CARRIED OVER IN RESERVE.

WE HAVE PROGRAMS SUCH AS OUR SKILL CENTER THAT -- THAT HAVE TO BE RESERVED FOR THAT SPECIFIC PROGRAM.

WE HAVE OUR BUILDING BUDGET THERE.

THEY ARE ALLOWED TO CARRY OVER THEIR BUILDING BUDGET.

SO THAT IS MADE UP IN THAT 1 14.1.

THE $4.1 MILLION, WE HAVE -- THAT IS FOR INVENTORY AND PREPAID ITEMS, AND SO THAT IS A -- PORTION OF THAT IS WITH INVENTORY AT HAND AND ACCOUNTING REQUIREMENT AND IT IS INVENTORY ON HAND AT THE END OF THE FISCAL YEAR THAT YOU CAN'T SPEND. SO WE ARE REQUIRED TO RESERVE THAT. AND THEN THE OTHER PORTION IS FOR ACCOUNTS PAYABLE. BILLS THAT WERE PREPAID.

KIND OF A BILL THAT WAS PREPAID IN THE SUMMER AND REALLY RELATES TO THE BEGINNING OF FISCAL YEAR SO WE ARE REQUIRED TO RESERVE THAT AS PART OF OUR GUN BALANCE, AND THEN THAT GETS THEN RECORDED AS AN EXPENDITURE DURING THE FISCAL YEAR.

WE ALSO THROUGH CONVERSATION WITH THE BOARD SET ASIDE $40 MILLION DUE TO COVID AND DUE TO THE UNKNOWN IMPACT OF ENROLLMENT. AND THE PANDEMIC COSTS.

AND THEN WE HAD A BALANCE OF $25 MILLION UNASSIGNED.

THAT IS THE MAKE-UP OF THE $107 MILLION OF FUND BALANCE.

WE ARE ESTIMATING AS I MENTIONED, WE ARE PLANNING ON SPENDING DOWN SOME OF THAT FUND BALANCE.

AND THIS IS THE LAST COLUMN THERE IS JUST AN ESTIMATE OF KIND OF WHERE THOSE CATEGORIES WILL BE AT THE END OF THE YEAR.

BUT WE ARE ESTIMATING AROUND $70 MILLION TO END THIS SCHOOL YEAR WITH -- IN FUND BALANCE. AND WE WERE BUDGETING ABOUT $76 MILLION. SO THAT IS JUST A BREAK-OUT OF FUND BALANCE AND WE WILL KEEP GOING JUST OUR ASSUMPTIONS RELATED TO THE BUDGET OUTLOOK IN THE LEFT IS WHAT WE THOUGHT IN JUNE. PLANNED TO USED 25 MILLION IN FUND BALANCE. WHAT IS ACTUALLY HAPPENING IS WE ARE PLANNING ON USING THE $25 MILLION IN FUND BALANCE.

WE PLAN ON NO STATE LEGISLATIVE CHANGES.

WE DID RECEIVE $5 MILLION AND WE BELIEVE THAT WILL GET ALLOCATED IN PROBABLY JULY. AND WE ORIGINALLY ASSUME PANDEMIC COST OF 4.1 MILLION. IF YOU REMEMBER SPEND OUR HE ISER FUNDS OVER TWO YEARS, OUR PANDEMIC COSTS ARE ACTUALLY RUNNING AROUND $17 MILLION. AND SO THAT IS GOING TO REQUIRE ADDITIONAL USE OF FUND BALANCE. WE ASSUME NO ADDITIONAL RELIEF FOR COVID IMPACTS AND DID NOT RECEIVE THE ESSE R FUNDS AND RECEIVED A $1 MILLION GRANT FROM THE DEPARTMENT OF HEALTH TO SUPPORT OUR PANDEMIC COSTS. SO WE ESTIMATED OUR ENDING FUND BALANCE AT 76. WE ARE RIGHT NOW ESTIMATING OUR FUND BALANCE AT AROUND 70 AND A CONSERVATIVE NUMBER MEANING WE KNOW WHEN WE DO OUR MIDYEAR KIND OF REVIEW AND KIND OF FINALIZING THAT. WE ESTIMATE THAT ALL BUILDINGS WILL SPEND THEIR BUDGETS -- ALL DEPARTMENTS WILL SPEND THEIR BUDGETS. WE KNOW WE TYPICALLY SPEND LESS THAN WE ESTIMATE. AND SO WE WILL HAVE REQUIRED COMMITTED CARRYOVERS. THAT $70 MILLION MAY INCREASE BY 1% TO 2%, $5 MILLION TO $10 MILLION.

JUST A REMINDER THAT OUR BUDGET IS COMPRISED -- THE MAJORITY OF OUR BUDGET IS COMMITTED TO STAFF SALARY AND BENEFITS.

MAKING A CHANGE WITHIN THE BUDGET.

IT'S HARD TO MAKE A LARGE SCALE CHANGE WITHIN THE BUDGET THAT DOESN'T IMPACT STAFF SALARIES AND BENEFITS.

THE REMINDER OF THE BUDGET IS FOR SUPPLIES AND MATERIALS, PURCHASE SERVICES, CONTRACTUAL ITEMS AND A SMALL AMOUNT FOR TRAVEL AND CAPITAL OUTLAY. WE HAVEN'T -- MARK.

>> MARK STUART: QUICK QUESTION AND MAY BE ON A SUBSEQUENT SLIDE. STAFF SALARIES AND BENEFITS.

HOW DOES THAT BREAK UP ADMINISTRATIVE, TEACHING AND

WHATEVER. >> I DON'T HAVE THAT PIE CHART IN THIS PRESENTATION. WE HAVE IT IN OUR BUDGET DOCUMENT. BUT WE HAVE --

>> MARK STUART: OFF FEEL FOR IT.

>> 76% TO 80% ON TEACHING AND REST IS MAINTENANCE.

>> MARK STUART: I DIDN'T NEED A REAL PIE.

JUST GIVE ME A FEEL FOR IT. OKAY.

THANKS. ALL RIGHT, SO -- SO THIS WAS

[03:00:05]

AND WE UPDATED THESE ESTIMATES WITH OUR PRELIMINARY MIDYEAR PROJECTIONS AND WE WILL CONTINUE TO UPDATE IT.

AND THEN THE DATA TO THE RIGHT IS PRELEGISLATIVE CHANGES.

THIS IS BEFORE THE LEGISLATIVE CHANGES.

SO I WILL JUMP TO SO THE 21-22 BUDGET COLUMN.

THE '21-'22 ESTIMATED COLUMN. I TALKED THROUGH THE BEGINNING FUND BALANCE AND OUR ENDING FUND BALANCE ESTIMATES, SO YOU CAN SEE THE -- THE REVENUE CHANGES AND THE EXTENDTURE CHANGES AND I WILL TALK MORE BEFORE THE DIFFERENCES BETWEEN OUR ACTUAL AND BUDGET. AND GOING FORWARD FROM '22-'23.

AS WE SPEND THAT FUND BALANCE DOWN, WE STILL IN QUINT THAT LINE ITEM, YOU WILL SEE THE $511 MILLION IN EXPENDITURES, THE 522, THE 536. ALL OF THESE EXPENDITURES EXCEED OUR REVENUES BUT DON'T EXCEED OUR TOTAL RESOURCES.

WE ARE USING OUR CURRENT FUND BALANCE AND SPENDING THAT DOWN.

AND WE WILL SEE IN THE LAST YEAR IN THE '24 '25 SCHOOL YEAR ENDING FUND PAL WITH NO CHANGES $18 MILLION.

AND THIS IS BELOW OUR REQUIRED RESERVE.

AT SOME POINT, WE WILL HAVE TO BRING OUR EXPENDITURES BACK ON LINE WITH OUR REVENUES TO MAINTAIN OUR MINIMUM RESERVES.

I ALSO WANT TO SHOW YOU THE SAME TABLE WITH THE LEGISLATIVE CHANGES IN IT IS YOU WILL SEE HOW THIS CHANGES.

ONE THING I WANTED TO MENTION NOR YEAR.

AS YOU CAN SEE THE CURRENT ESTIMATED EXPENDITURES ARE EXCEEDING OUR BUDGET EXPENDITURES, AND THAT IS MAINLY BECAUSE OF THE PANDEMIC COSTS THAT WE TALKED ABOUT.

WE ALSO HAVE RECEIVED SOME ADDITIONAL GRANTS THAT REQUIRE US TO SPEND MONEY IN THE GENERAL FUND AND RECEIVE REVENUE FOR THOSE. AND IT IS ACTUALLY A TRANSFER FROM THE TECHNOLOGY, THE CAPITAL FUND, AND WE WILL GET YOU. WE HAVEN'T ACTUALLY SHARED THE DETAILS OF -- WE WILL SHARE THAT IN BOARD BRIEFS THIS WEEK.

WE ARE RECEIVING $4.3 MILLION IN NEW FUNDING TO SUPPORT OUR TECHNOLOGY COST SO IT WILL OFFSET OUR TECH LEVY EXPENDITURES. SO THAT IS AN IMPACT OF -- INTO OUR GENERAL FUND. SO WE ARE GOING TO BE COMING TO THE BOARD IN PROBABLY MAY OR EARLY JUNE WITH A BUDGET EXTENSION WHICH REQUESTS AUTHORIZATION FOR BUDGET LEVEL AND AGAIN, WE HAVE THE FOUND DO THAT.

SO THAT IS WHAT WILL BE COMING TO YOU.

WE DID THAT TWO YEARS AGO WITH THE BOARD AS WELL IN THE GENERAL FUND. SO -- OKAY --

>> MARK STUART: BUDGET ASSUMPTIONS AND ESTIMATES.

THIS INCLUDES BUDGET FOR THE EMERSON SCHOOL -- FOR THE EMERSON DAY CARE? WE ARE NOT CUTTING THAT OUT.

>> IS THE EMERSON DAY CARE, THE PAYROLL IS A SELF-FUNDED PROGRAM AND THAT WILL COME TO THE BOARD IN THE NEXT MONTH OR TWO AROUND THE FEES ASSOCIATED WITH THAT.

SO THIS IS -- THIS DOESN'T PEAK TO THE EMERSON DAY CARE.

>> MARK STUART: OKAY. >> THIS WAS THE ORIGINAL BU

BUDGET. >> MARK STUART: SELF-FUNDING DOESN'T HAPPEN AND IT GOES A AWAY.

>> SAY THAT AGAIN? >> SELF-FUNDING DOESN'T COME IN AND IT GOES AWAY? HOLY SCHOLZ WITH ALL OF OUR SELF-FUNDED PROGRAMS, IT IS FUNDING -- WELL, WE ALSO BELIEVE THAT THERE IS INTEREST. AND SO, I THINK WHAT WE HEARD FROM OUR COMMUNITY THAT THERE IS INTEREST AND THROUGH THEIR PROPOSAL OF A SELF-FUNDED PROGRAM, THEY KIND OF MAPPED UP THOSE DOLLARS. WE ARE WORKING ON THE DOLLAR AND CENTS AND BASED ON THAT WILL BRING A PROPOSAL AROUND A

FEE INCREASE. >> MARK STUART: THANK YOU.

[03:05:02]

>> JUST TO -- AGAIN, THESE WERE ORIGINAL ASSUMPTIONS FOR THE FOUR-YEAR BUDGET OUTLOOK AND WE WILL GET INTO THE LEGISLATIVE CHANGES AND HOW THE ASSUMPTIONS HAVE CHANGED.

THE FOUR-YEAR OUTLOOK THAT I JUST SHOWED YOU WAS BASED ON INFLATIONARY ADJUSTMENTS FOR 2022-'23 AND 2% GOING FORWARD.

ESTIMATED A SLIGHT BENEFIT INCREASE.

NO PENSION CHANGES. DIDN'T HAVE ANY.

ASSUMED NO LEGISLATIVE BUDGET CHANGES.

IT ASSUMED NO ADDITIONAL ESSER FUNDS AND SUPPORT SUNSET.

IT ALSO ASSUMES THAT OUR ENROLLMENT INCREASE IS WAS FAIRLY FLAT. WE DO THAT IN THE BUDGET AND CONSERVATIVE AS FAR AS OUR REVENUES SO ABOUT 150 FTE FROM CURRENT BUDGET AND ASSUMED THE LEVY PASSED AND SO THEN I WANT TO BRING WHAT IS HAPPENING FOR 2022-'23 BASED ON THE LEGISLATIVE CHANGES. SO WE TALKED ABOUT WE ARE G GETTING IN '21-'22, $5 MILLION IN ENROLLMENT STABILIZATION TO SUPPORT PANDEMIC COST AND SHORTFALL THAT IS THERE.

WE DID NOT RECEIVE ANY ESSER RELIEF.

SO THIS CHART SHOWS ALL THE IMPACTS -- THE END BUDGET CHANGES FOR 2022-'23 DUE TO THE LEGISLATIVE IMPACT.

AS MENTIONED THE INFLATIONARY ADJUSTMENTS IS 5.5% FOR 2022-'23 THAT THE LEGISLATURE PROVIDED SO WHILE THAT WILL INFUSE ADDITIONAL REVENUES INTO THE SYSTEM BECAUSE THE STATE WILL FUND THIS ADDITIONAL 5.5% INCREASE.

IT IS ABOUT $14 MILLION. WE ARE ACTUALLY REQUIRED TO SPEND $19 MILLION TO $20 MILLION, $5.6 MILLION, $6 MILLION, BEYOND THAT MONEY BECAUSE WE FUND POSITIONS THAT THE STATE DOESN'T HAVE VIED. AND SO EACH 1% COSTS US ABOUT $1 MILLION. SO THE IMPACT -- THE NET IMPACT ON THE BUDGET IS REALLY A NET DECREASE OF $6 MILLION.

THE SEV, A 6% INCREASE OF SEV COST.

THE STATE GIVES US FUNDING AND WE ARE REQUIRED TO SPEND SLIGHTLY MORE THAN WHAT THE STATE GIVES US ABOUT A $200,000 IMPACT. THE THE PRO TYPICAL STAFFING ALLOCATION THINK THAT SHARE WITH YOU IS ADDITIONAL FUNDS OF $378 MILLION. AND THEN WHEN -- WHEN THERE IS INFLATION, THEY ALSO PROVIDE AN UPDATE TO NONSALARY AND MATERIAL SUPPLIES AND OPERATING COSTS.

SO WE ARE GETTING 5.5% THERE AND 25 IN TECHNOLOGY, $3.3 MILLION FOR US. OUR PARAEDUCATOR TRAINING I MENTIONED. THE STATE.

THE LEGISLATURE PROVIDED FUNDING FOR AN ADDITIONAL TWO DAYS OF TRADING IN FIRST YEAR. WE ARE TRYING TO DETERMINE IF THAT IS A REQUIREMENT. IS THAT OPTIONAL.

RIGHT NOW EVEN WITH THE TWO DAYS OF TRAINING, THAT COSTS ARE SUPPORT THE TRAINING FAR EXCEED WHAT THE STATE IS REIMPWURTION US FOR. IF WE ARE REQUIRED TO DO TWO ADDITIONAL DAYS, WE MOST LIKELY WILL HAVE LOCAL COSTS THAT WE HAVE TO INFUSE IN ORDER TO PROVIDE THOSE FOUR DAYS OF TRADING THAT IS TBD, AROUND 1.3 AND 1.7 MILLION IN NET BENEFIT DUE TO THE LEGISLATIVE CHANGES. WHAT YOU WILL HEAR IS ALL THE MONEY INFUSE FLOODS K-12. THE REALITY IS WE ARE ALSO REQUIRED TO SPEND DOLLARS. AND, OKAY, SO LET'S SEE.

THEN THIS -- AND IN ADDITION, WE HAVE AS WE DO EVERY YEAR, WE HAVE GOT TO LOOK AT WHAT THE DISTRICT IMPACTS ARE SO CONTACTS WITH ADDITIONAL GROUPS AND HANDBOOKS AND WE ALSO NEED TO MAKE SURE OUR STAFFING IS IN LINE -- IN LINE WITH OUR ENROLLMENT. WE WERE OVERSTAFF THIS YEAR DUE TO TYPICAL LEVELS BECAUSE OF THE -- THE -- THE ONLINE SCHOOL AND WHAT -- AND ALL THE CHANGES THAT HAPPENED IN THE LAST TWO WEEKS OF AUGUST. AND SO WE NEED TO REALIGN OUR STAFFING. AND WE -- I TALKED ABOUT THE

[03:10:01]

OUR KINDERGARTEN REGISTRATION ARE DOWN SLIGHTLY FROM THE YEAR BEFORE. AND SO WE ARE DOING EXTRA COMMUNICATION TO MAKE SURE WE GET THE WORD OUT TO OUR FAMILIES OF HOW IMPORTANT IT IS FOR THEM TO TELL US NOW IF THEY HAVE GOT A KINDERGARTEN COMING SO WE CAN PLAN APPROPRIATELY FOR STAFFING AND CONTINUE TO MONITOR OUR REGISTRATION.

WE HAVE REGISTRATION FOR ELEMENTARY AND SECONDARY INITIAL BY THE END OF THE MONTH.

THIS IS UPDATED FOR YOUR OUTLOOK WITH THE LEGISLATIVE CHANGES THAT I MENTIONED THE 2022-'23 BUDGET COLUMN AND 2022-'23 ESTIMATED COLUMN HAVEN'T CHANGED BUT YOU CAN JUST SEE THE OTHER COLUMNS, THE REVENUE IS HIGHER THAN ORIGINALLY PLANNED. BUT THE FUND BALANCE IS SLIGHTLY HIGHER DUE TO THE LEGISLATIVE CHANGES.

JUST A REMINDER. LONG-TERM.

WE PROVIDE -- NO SIGNIFICANT NEW EXPENDITURES OR BALANCE NEW EXPENDITURES WITH OTHER CHANGES IN THE BUDGET.

AND SO JUST A REMINDER. WE NEED TO DO A BUDGET EXTENSION FOR THIS YEAR. AND FUND BALANCE, WE ARE STILL MONITORING WHERE THE FUND BALANCE WILL BE BASED ON THE IMPACTS -- FINAL IMPACTS FOR THIS YEAR.

>> I THINK THERE IS A GOOD DEMONSTRATION AND ASSUMPTION OF THE '24-'25 OF THE ENDING BALANCE BEING 25.6.

THIS DOESN'T ACCOUNT FOR INCREASING STAFFING LEVELS IN THE NEW DOLLARS WE ARE RECEIVING IN THE STATE FOR THE SOCIAL, PHYSICAL, EMOTIONAL HEALTH.

SO REALLY THE INCREASE IN THE PROTOTYPICAL FUNDING MODEL.

THAT IS THE CHALLENGE WE FACE IS -- THIS JUST MEETS OUR REQUIRED ENDING FUND BALANCE. YET WE ARE RECEIVING AN INFUSION OF A SIGNIFICANT CHUNK OF DOLLARS THAT REALLY, I FEEL, COMPELLED TO RESPOND TO, YET ANY RESPONSE TO THOSE DOLLARS, YOU KNOW, ADDING ADDITIONAL POSITIONS MEAN WE ARE GOING TO HAVE TO -- SEVERING A BALANCE SCALE AS WE MOVE AHEAD.

WE NO LONGER HAVE THE FUND BALANCE TO LIVE BEYOND OUR MEANS. THAT WILL BE -- ALL OF OUR WORK WILL BE TO DO THOSE RIGHT SIZING OF BUDGETS OVER TIME.

SO THAT WE CAN FUND OUR PRIORITIES.

>> FOLLOWING UP ON THAT. THE PATH FROM '24-'25.

2025-'26 IS WHAT WE WOULD SPECIFIED AS A 5%.

AND TRYING TO HIT A SOFT LANDING.

ASSUMPTIONS. BUT ASSUMPTIONS FOR THE '23, '24, THESE YEARS ARE BAKING IN NEGOTIATIONS BECAUSE WE HAVE OPEN CONTRACTS THAT ARE NEGOTIATED IN BETWEEN THERE OR EXTRAPOLATING FROM THE ONE WE GOT.

>> CONSIDERATION IN THE BUDGET. AND SO I THINK THERE IS FURTHER CONVERSATION TO BE HAD AROUND THAT.

>> NEXT YEAR IS WHEN I WILL BE VERY INTERESTED IN THE LAST

NUMBER. >> LEAH CHOI: FOR THE '23, ' '24, '25 YEARS, ARE WE LOOKING FOR 176% INFLATIONARY ADJUSTMENTS OR CHANGING THAT BETWEEN DISCREPANCY OF THE 5.5.

>> THAT IS A GOOD QUESTION. THE 1.6 WAS FOR '22-'23.

THAT WAS OUR ESTIMATE. BEYOND THAT -- UPDATE 5.5% IN 2022-'23. AND BEYOND THAT, IT GOES BACK TO THE ESTIMATED -- I THINK RIGHT NOW, THE OSPI PUTS ESTIMATES FOR THE FUTURE. THEY TELL DISTRICTS WHAT THEY THINK IT WILL BE AND THE 2% TO 2.1% RANGE.

IF THEY SAY ALL OF A SUDDEN IT IS NOT AND MUCH HIGHER, THIS IS NOT BUILT IN HERE. WE HAVE BUILT IN A 2 TO 2.1%

[03:15:01]

INCREASE IN THE FUTURE. >> SO HOW CAN OUR ESTIMATE BE OFF TO 1.5. THAT IS A QUESTION I'M SURE IS IN THE ROOM. THAT IS THE ACTUAL NUMBER THAT THE CURRENT BIENNIAL BUDGET FUNDED FOR THE 2022-'23 SCHOOL YEAR. WE WHEN SAY ESTIMATE, THAT IS THE ESTIMATE THAT THE LEGISLATURE COMMUNICATED TO SCHOOL DISTRICTS THEY WOULD BE FUNDING AND THEN THE SHORT SESSION THAT THEY DON'T DO THE BUDGET WORK, THEY DETERMINE TO INCREASE THAT DUE TO CURRENT CONDITIONS.

SEEING THAT WE ESTIMATED IT MADE IT SOUND LIKE IT IS SOMETHING WE DID. THE NUMBER THAT WAS COMMUNICATED TO SCHOOL DISTRICTS AROUND WHAT ACTUAL WILL BE FOR 2022-'23 AND THEN IT CHANGED.

>> LEAH CHOI: THE SAME WITH THE 2% GOING FORWARD.

THAT THE STATE IS PRO PROVIDING US.

OSPI IS PROVIDING TO US. >> DO WE EVER TAKE THE INITIATIVE TO ESTIMATE A DIFFERENT NUMBER, BY CHANCE?

>> THIS IS -- WHAT HAPPENED THIS BIYEN FELL IN BUDGET HAS NOT -- I HAVE BEEN DOING THIS FOR 30 YEARS, AND THIS THE FIRST TIME IT HAS BEEN THAT SIGNIFICANT.

>> SUPERTENDENT HOLMEN: THERE IS ADDITIONAL DETAIL AROUND IPD AND HOW IT -- AND HOW WE CAN -- ON AN ONGOING BASIS FUND IT WITHIN OUR BUDGET BECAUSE IT IS AN INCREASE EVERY YEAR.

GENERALLY THE WAY WE ARE ABLE TO FUND THE COST BEYOND -- BEYOND WHAT IS FUNDED BY THE STATE IS BECAUSE OUR LEVY ALSO INCREASES ESSENTIALLY ON AN INFLATIONARY ADJUSTMENT THAT IS SIMILAR TO WHAT IPD IS. AND SO IT TYPICALLY ISN'T A BUDGET IMPACT. THIS WAS MUCH DIFFERENT.

SO WE WILL -- I AM ASSUMING OSPI DOES ADDITIONAL WORK AROUND IPD AND WE COMMUNICATE SOMETHING DIFFERENT -- IS THAT

TRUE? >> IF SOMETHING SHOULD CHANGE.

AGAIN, THEY ARE UPDATING THEIR ESTIMATES ON A QUARTERLY BASIS.

AND THEY CONTINUE TO UPDATE THEM.

SO, YOU KNOW, IF ALL OF A SUDDEN THE 2% BECOMES A DIFFERENT NUMBER. THEY WILL UPDATE US ON THAT AND

WE CHANGE OUR ASSUMPTION. >> I HAVE ONE MORE SLIDE TO SAY WHAT IS THE NEXT STEP. SO WE ARE GOING TO CONTINUE TO MONITOR OUR REVENUES AND EXPENDITURES.

FINALIZING THE MID-YEAR REVIEW TO SEE IF ANYTHING UNEXPECTED OR THAT WILL IMPACT THE ENDING FUND BALANCE ESTIMATES.

AND WE ARE RIGHT NOW PLANNING FOR NEXT YEAR.

WE LOOKED AT THE LEGISLATIVE IMPACTS, BUT STILL HAVE QUESTIONS, OSPI IS GETTING US INFORMATION AT THE END OF THE MONTH. WE WILL FINALIZE OUR ENROLLMENT ASSUMPTIONS AS MENTIONED. WE WILL GET SOME REGISTRATION AT THE END OF THE -- END OF MARCH.

WE ARE DOING ADDITIONAL COMMUNICATION WITH OUR KINDER GARDEN FAMILIES OR FUTURE KINDERGARTEN FAMILIES TO ASK THEM TO REGISTER. AND WE WANT TO BRING OUR STAFF IN ALIGNMENT WITH OUR ENROLLMENT AND WE ARE GOING TO CONTINUE TO ASSIGN OUR -- ALIGN OUR EXPENDITURES WITH THE RESOURCES WE HAVE WHICH INCLUDE OUR FUND BALANCE.

>> SO REALIGN IS GOING BACK TO OUR ENROLLMENT.

>> ENROLLMENT, RIGHT. >> MARK STUART: 245 LOOKING AT LESS STAFF, MORE STAFF. WHAT ARE WE LOOKING AT?

>> SUPERTENDENT HOLMEN: A LONG ANSWER TO THAT QUESTION.

SO RIGHT NOW. IF WE TAKE ELEMENTARY.

STAFFED IN ELEMENTARY AND THE LAST TWO WEEKS WE HAD AN INCREASE OF ALMOST 800 ELEMENTARY SCHOOL STUDENTS IN OUR ONLINE. RATHER THAN REDOING STAFFING ACROSS THE DISTRICT, WE ESSENTIALLY ADDED 30 TO 40 STAFF. AND -- BUT THAT IS NOT SUSTAINABLE OVER TIME. AND WE ARE GOING TO HAVE TO RIGHT SIZE THAT STAFFING LEVEL. WHAT WE ALSO KNOW IS ON AN ANNUAL BASIS, WE RECEIVE BETWEEN 50 AND 75 RESIGNATION OR RETIREMENTS AT THE ELEMENTARY SCHOOL LEVEL.

AND SO IT DIDN'T ABOUT NEEDING TO, YOU KNOW, REMOVE STAFF.

THERE IS A NATURAL ATTRITION THAT OCCURS.

AND SO IT'S -- IT IS NOT BACKFILLING THOSE 30 TO 40

[03:20:01]

OUR ENROLLMENT REALLY DID NOT TAKE THE KIND OF HIT THAT MOST DISTRICTS DID. IN FACT IF I RECALL.

WE GOT BACK TO NORMAL. >> WE ARE ALMOST NOT QUITE TO WHERE WE WERE IN THE 20 19 2020 SCHOOL YEAR.

BUT WE SAW ONE OF THE SMALLEST ENROLLMENT DECLINES IN KING

COUNTY DURING THE PANDEMIC. >> MARK STUART: WE HAD A

DECLINE OF -- >> WE HAVE DOWN ABOUT 500.

>> MARK STUART: NOW BACK UP TO THE -- WITHIN -- YOU SAID -- WE WERE DOWN 500 AT ONE POINT OR STILL DOWN AT THE 500 LEVEL.

>> WE WERE -- >> I BELIEVE WE WERE DOWN

ALMOST 1,000 AT ONE POINT. >> THE CHALLENGE -- THE CHALLENGE -- WE WERE DOWN A GREATER NUMBER FROM WHAT WE PROJECTED. WE PROJECTED GROWTH.

SO WE PROJECTED GROWTH. WE WERE DOWN FROM THAT GROWTH, BUT YOU COMPARE IT TO WHERE WE WERE ACTUALLY, IT IS ABOUT 500.

BUT WHERE WE THOUGHT WE WERE GOING TO GROW, WE WERE DOWN

MORE THAN THAT. >> LOOKING AT THE GROWTH PATTERN AND THE THREE COMMUNITIES AND THE UNINCORPORATED AREA. THAT WILL PROBABLY DISAPPEAR

QUICKLY, I WOULD ASSUME. >> SUPERTENDENT HOLMEN: WE BELIEVE SO. AND WITH KINDERGARTEN ENROLLMENT COMING IN AND ALL OF OUR FAMILIES THAT ARE EXCITED TO ENROLL THEIR KIDS IN KINDERGARTEN.

ANY OTHER QUESTIONS? >> YEAH, SO -- THANKS FOR THE LEGISLATIVE UPDATE. THAT WAS HELPFUL TO GET SORT OF BREAK-UP OF EVERYTHING GOING ON AND THE DIFFERENT IMPACTS.

YOU LOOK AT THIS FUND BALANCE IN THE SLIDE PRIOR, THE ENDING FUND BALANCE IS DECREASING AT A GREATER RATE EACH YEAR, $8 MILLION FROM 2022 '3. AS WE GO FORWARD TO DEVELOPING THIS BUDGET THAT TO ME IS HIGHLY CONCERNING BECAUSE THAT IS SHOWING AN INCREASED DEFICIT GOING ON AND THAT NEEDS TO SHIFT AS GO FORWARD WITH THAT BUDGET PIECE.

SO I AM ASSUMING THAT THESE DO NOT TAKE INTO ACCOUNT THE REALIGNING OF STAFFING. OR DOES IT?

>> TAKES ALL OF THOSE ASSUMPTIONS INTO ACCOUNT.

SO THERE IS MUCH BUDGET WORK TO BE DONE.

>> ADDITIONAL EFFORTS TO BE ABLE TO ALIGN IT.

WE HAVE A 5%. HOW DOES THAT PLACE NOW.

IS 5% STILL CONSIDERED A REASONABLE RESERVE? OR SHOULD IT BE 8% AT THIS POINT IN TIME AS WE LOOK AT POTENTIAL VARIANCE COMING THROUGH AND THINGS THAT CAN IMPACT IT. ARE WE BETTER TO HAVE A HIGHER RESERVE FUND MANDATE OR NOT AND I WOULD BE INTERESTED TO EXPLORE THAT SOME TO MAKE SURE WE ARE BEING FISCALLY.

AND WE HAVE BEEN ABLE TO FUND A LOT OF WHAT WE DID.

THE ONLINE SCHOOL BECAUSE WE DID HAVE RESERVES AS THE CAPACITY TO DO SO. SO I JUST WANT TO MAKE SURE WE ARE MAKING THE RIGHT DECISION AND THAT 5% STILL HOLDS.

>> SUPERTENDENT HOLMEN: CHRIS? >> CHRIS CARLSON: I THINK WE ARE WINING DOWN ON IMPORTANT TOPICS, AND I JUST WANT TO POINT SOMETHING OUT. THAT NEW EYES HELP US NOTICE.

CAN YOU FLIP BACK TWO SLIDES. 24 PART OF THE REASON -- EYES WITH THICKER GLASSES IS TRYING TO READ IT OFF THERE AND CHALLENGING FOR ANYONE ONCE YOU DROP BELOW 18 POINT.

YOU LOOK AT THE SECOND TO BOTTOM BAR FROM 2.4 DAYS, YOU CAN READ IT ON YOUR SCREEN. TURN AROUND AND READ IT UP THERE. OUR PROJECTOR.

IT IS TO THE POINT WHERE THE PIXELS ON THE A & S THAT IT IS HARD TO READ IT PERIOD. I WANTED TO POINT THAT OUT AS -- I NEVER NOTICED THAT BEFORE BECAUSE I DON'T LOOK AT THAT THING VERY OFTEN, BUT SHE IS RIGHT.

SO ANYWAY. >> ERIC LALIBERTE: DIRECTOR

[03:25:03]

THAT IS BAKED IN OUR OE-5 POLICY.

THAT -- IS THERE -- IS THERE A STATUTORY, REGULATORY OVERLAY THAT REQUIRES DISTRICTS EITHER HAVE POLICY OF FUND BALANCE AND OR SPECIFY WHAT THAT IS. AND I WILL REPRESENT IT BASED

ON MY GOOGLE SEARCH. >> I AM NOT AWARE OF A

REQUIREMENT. >> SO I BELIEVE WITH DIRECTOR PWLISLER. AS A BOARD, WE HAVE THIS PO POLICY. WE HAVEN'T REALLY TO THINK ABOUT IT IN A WHILE SINCE I HAVE BEEN ON THE BOARD.

I THINK IT -- I THINK AS A BOARD, WE NEED TO PUT SOME

THOUGHT TO THAT. >> SIRI BLIESNER: ON MY QUICK GOOGLE SEARCH SITTING THROUGH -- AND SPEAKING OF THE RESERVE AND SOME OF THE POLICIES WE HAVE IN PLACE AROUND THOSE.

COMPLETELY. SUCH AS IF YOU GO DOWN BELOW HOW DO YOU REPLENISH. SORT OF THOSE OTHER PIECES.

>> I KNOW SOME OF THE OTHER -- OTHER STATES OR DIFFERENT JURISDICTIONS MAY HAVE HIGHER FUND BALANCE REQUIREMENTS BECAUSE THEY ARE ALSO RESPONSIBLE FOR PENSION LIABILITIES AND THINGS LIKE THAT.

SO EVERY STATE AND JURISDICTION IS DIFFERENT AS WELL.

>> SIRI BLIESNER: I LIKE TO CONFIRM THAT WE MADE AN EDUCATED DECISION ON THAT AS OPPOSED TO LET HISTORY HOLD.

>> ERIC LALIBERTE: AGREED. >> CHRIS CARLSON: NOT LIKE WE NEED TO DO THAT FOR THIS BUDGET.

BUT JUST WE HAVE TO HAVE THE CONVERSATION BEFORE QUESTION

GET TO THE NEXT BUDGET. >> ERIC LALIBERTE: CORRECT.

A GOOD ISSUE TO FLAG AND SOMETHING IN THE NEXT -- SOMETHING WE SHOULD START THINKING ABOUT NOW.

>> LEAH CHOI: HOW MUCH OF THE FUND BALANCE DID WE USE FOR THE ONLINE SCHOOL PROGRAM? BALLPARK?

>> SO -- YEAH, I AM TRYING TO THINK.

WE WERE ABOUT 30 STAFF DOCTOR 30 OVER STAFF.

SO ABOUT THREE -- WELL, PLUS ALL THE ADMINISTRATIVE SUPPORT.

SO.OKAY. IF THE DETERMINATION I TRYING CONDITIONING PLANS FOR THE STUDENTS TO FALL INTO ONE O THAT CATEGORY?

>>> WE NEED TO FIND CONTINGENCY PLANS BECAUSE PROVIDING AN ONLINE SCHOOL IS ONE OPTION. AND IF WE CANNOT RUN AN ONLINE SCHOOL, WE DON'T HAVE ANOTHER ONLINE OPTION FOR THEM.

SO WE WOULD NEED TO WORK WITH THOSE FAMILIES INDIVIDUALLY TO DETERMINE WHAT THAT MEANS FOR THEIR STUDENT.

>>> OKAY. >>> -- OR THEIR FAMILIES.

>>> ALL RIGHT. SO I KNOW YOU'RE LOOKING AT THE SORT OF HOW THE RIGHT SIZE AND ITS COMPONENTS.

WHAT IS THE TIMELINE AS TO WHEN THE BOARD WILL BE SEEN THAT INFORMATION COMING BACK AND HAVING NO DISCUSSIONS IN REGARD

TO THAT? >>> I THINK IT'S REALLY OVER TH NEXT FEW YEARS. I DON'T THINK IT IS JUST THIS YEAR. IT'S THROUGH EVAPORATION PROGRA EVALUATION, UNDERSTANDING, IF W JUST TAKE THE ADDITIONAL PROTOTYPICAL STAFFING DOLLARS, IF WE WANT TO USE THOSE TO FUND ADDITIONAL POSITIONS, THEN THAT CAUSES, YOU KNOW, MORE SHIFTS I

[03:30:07]

>>> SO I WOULD BE INTERESTED IN KNOWING WHAT WILL BE EXPECTED FROM THIS YEAR AND THEN THE NEX YEAR AND THEN THE THIRD YEAR AN THAT SO AS YOU GO LOOKING AT THAT BUDGET, BECAUSE THAT IS A COMPONENT OF THINKING THROUGH I THAT LONG-TERM COMPONENT.

AND ALSO CAN DRIVE HOW WE HOLD CONVERSATIONS WITH THE

LEGISLATURE AS WELL. >>>

>>> SO I THINK THOSE ARE SOME O THE PIECES THAT ARE VALUABLE PIECE AND THERE'S CONSIDERATION TO MAKE FOR DOING CUTS IMMEDIATELY VERSUS WAITING A COUPLE OF YEARS BECAUSE WAITING A COUPLE OF YEARS WILL GIVE US BETTER PICTURE FOR WHAT THE FUTURE LOOKS LIKE, HOW DOES ENROLLMENT BOUNCE BACK? WHAT HAS THE LEGISLATURE DONE? SO THERE'S THING THAT WILL OCCU IN THE NEXT COUPLE OF YEARS THA ARE JUST UNKNOWNS RIGHT NOW.

>>> ABSOLUTELY. AND WE'VE WORKED IN THIS WORLD QUITE A BIT, IN THE SENSE THAT WE'VE DONE UNKNOWNS.

BUT USUALLY WE WORK THROUGH THE PLANNING PROCESS, FIGURING OUT WHAT'S OUR BEST ASSUMPTION THAT WE MAKE IN ORDER TO BE ABLE TO BEST SERVE OUR STUDENTS AND COMMUNITY IN THAT TIMEFRAME AND

STILL MAINTAIN STABILITY. >>> CORRECT.

>>> SO, I GUESS WHAT I'M SAYING IS, I DON'T WANT TO SAY WE JUST GOING TO PUT IT OFF FOR TWO YEARS, I'D LIKE TO KNOW WHAT WE PLAN TO DO IN TWO YEARS THAT WOULD MAKE THAT CHANGE.

BECAUSE I THINK THAT IS A PIECE WE NEED TO BE HOLDING THAT DISCUSSION, BECAUSE IT TAKES TIME FOR THOSE THINGS TO GO

THROUGH. >>> I HAVE ON MY WORK PLAN -- WAIT, I'M LOOKING AT AN OLD WOR PLAN.

I HAVE ON MY WORK PLAN FOR PRIO YEAR THAT AT LEAST THIS LAST YEAR WE HAD ADDITIONAL BUDGET PLANNING AND PROCESS IN LATE MA OR EARLY JUNE STUDY SESSIONS. IS THAT STILL THE EXPECTATION FOR THIS YEAR? OKAY.

GREAT. >>> WE ARE TWO MINUTES PAST THE ENDING TIME. ANYONE ELSE WITH ANYTHING? THE BOARD WILL MEET LATER AGAIN THIS MONTH ON MARCH 28.

A STUDY SESSION AT 5:00 P.M. HERE AT THE RESEARCH CENTER, FOLLOWED BY A BOARD MEETING AT 7:00 P.M. ALSO HERE AT THE RESOURCE CENTER. AND THEN WE HAVE A MEETING SET FOR APRIL 18

* This transcript was compiled from uncorrected Closed Captioning.