St. Mary's County Board of Education Joint Meeting Agenda June 18, 2019

COMMISSIONERS OF ST. MARYS COUNTY AND ST. MARY S COUNTY BOARD OF EDUCATION JOINT MEETING TUESDAY, June 18, 2019 9 AM 10:30 AM

Agenda 9:00 AM OPENING REMARKS James R. Guy, Commissioner President Karin M. Bailey, Chairman, Board of Education 9:10 AM OPEB FUNDING Tammy McCourt, Asst Superintendent of Fiscal Services & HR Jeannett Cudmore, CFO 9:25 AM CIP PROJECTS Kim Howe, Director of Capital Planning 9:35 AM BETHUNE ACCEPTANCE/DISPOSAL Kim Howe, Director of Capital Planning Brandy McKelvey, Paralegal 9:45 AM NEGOTIATED AGREEMENTS Dr. Scott Smith, Superintendent 10:00 AM FY20 BUDGET APPROVAL Commissioners of St. Mary s County 10:25 AM CLOSING REMARKS James R. Guy, Commissioner President Karin M. Bailey, Chairman, Board of Education 10:30 AM ADJOURN

Other Post Employment Benefits Tammy McCourt, Assistant Superintendent of Fiscal Services & HR Jeannett Cudmore, Chief Financial Officer

Capital Improvements Program Kimberly Howe Director of Capital Planning

FY 2020 State Capital Update Funding has been unpredictable this year with numerous changes occurring Source IAC Proposed November 2018 IAC Proposed June 2019 Difference New Bonds 280,000,000 251,800,000 (28,200,000) Other Sources 57,809,000 99,000,000 41,191,000 Total State 337,809,000 350,800,000 12,991,000

FY 2020 Approved SCIP State Funded Projects School Project Funding Year FY 2020 Funding Balance Remaining Park Hall E.S. Roof/HVAC 3 of 3 $1,253,080 $0 Hollywood E.S. Roof/HVAC 3 of 3 $1,177,280 $0 Great Mills H.S. Partial Roof 2 of 2 $883,000 $0 1stof 2 years Green Holly E.S. Partial Roof $1,323,019 $934,921 Park Hall E.S. State Reloc Full Funding $143,840 $0 Dynard E.S. Roof/HVAC Deferred $0 $2,898,000 Total $4,780,219 $3,832,921

Future Projects Continued focus on including additional systemic renovations and infrastructure projects Roof/HVAC, including oil tank and generator replacement Chiller Replacements Paving Flooring PA and Fire Alarm Systems FY 2020 FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 Deferred Projects 1,060,865 10,812,952 136,713 0 1,432,058 41,526,698

Potential State Changes Knott Commission Educational Specifications Work Group final draft ready to be published for LEA review Total Cost of Ownership Revised State Rated Capacities Additional funding for efficient projects Will be phased in over a long time Funding Work Group just starting this month Facilities Assessment will be a major focus Report due by December 1, 2019 will most likely be extended based on late start Kirwan Commission IAC feels legislature will address this first and then facilities There are no capital funds associated with Kirwan

Potential State Changes Fenced legislative funding (additional CIP funding) Requires the Governor to approve a budget amendment if not approved it goes away Dedicated Purpose Account $37 million $9.285 million is restricted for forward funded projects that can only be reimbursed with PayGo funds $27.7 million for the remainder of state projects Revenue Stabilization Account $90 million for the entire state Healthy School Facility Funding (SB 611) Procedures not completed yet but funds will available July 1 Requires funding in FY 2020 and FY 2021 To address lead in water, lack of air conditioning, unreliable or insufficient heating, temperature regulation, and indoor air quality Potential revision of state percentages coming in FY 2021

Bethune Acceptance / Disposal Kim Howe Director of Capital Planning Brandy McKelvey Paralegal

Next Steps School system staff is working on removing the final information/technology components by the end of the month School system staff is continuing to work with the County legal department on the documents required for transfer of the property Board of Education presentation for approval on June 26, 2019 Requires completion of a Quit Claim Deed and Lease Transfer by the County School system staff is continuing to work on removal of the generator from the Bethune facility for use at another school There were no bids received on the initial procurement solicitation School system staff is working on other procurement options Move would occur before August 16, 2019 or the generator would transfer with the property

Negotiated Agreements Update Dr. J. Scott Smith Superintendent

Legal requirement to negotiate 6-408 and 6-510 of the Education Article of the Annotated Code of Maryland Mandatory topics (ex: salary, benefits, hours, working conditions) Illegal topics (ex: school calendar, class size) Permissive topics (ex: mutually agreed upon topics that are neither mandatory nor illegal)

Negotiating Team The Board of Education approves negotiating team members. Parameters are set by the Board and the negotiations team provides regular updates during the process. Negotiating Team: Dale Farrell, Ed Law, Tammy McCourt, Jeff Walker

Salary Comparison Certified Teacher SMCPS Charles Calvert Montgomery STEP 1 $46,500 $48,000 $45,496 $49,013 STEP 5 $51,327 $53,502 $54,022 $54,383 STEP 10* $60,395 $66,250 $68,117 $74,276 STEP 15* $68,331 $75,874 $78,966 $88,983 * with Master s Degree

Salary Comparison Certified Teacher SMCPS Charles delta Calvert delta STEP 1 $46,500 $48,000 $1,500 / 3.2% $45,496 ($994) / 2.1% STEP 5 $51,327 $53,502 $2,175 / 4.2% $54,022 $2,695 / 5.2% STEP 10* $60,395 $66,250 $5,855 / 9.7% $68,117 $7,722 / 12.8% STEP 15* $68,331 $75,874 $7,543 / 11% $78,966 $10,635 / 16% * with Master s Degree

Approximating Costs Compensation Element SALARY FICA Cost STEP for EASMC (2,151 employees) $2,697,817 $206,383 $2,904,200 STEP for SMASA (131 employees) $274,704 $21,015 $295,718 COLA 1% $1,296,126 $99,154 $1,395,279 Salary Parity 3% increase $3,888,378 $297,462 $4,185,838 TOTAL COST $8,781,035