Detroit Financial Review Commission

SCHOOL DISTRICT REGULAR MEETING

Monday, July 27, 2020

Following the City’s Regular Meeting

(Begins no earlier than 1:05 p.m.)

Using Microsoft Teams

MINUTES

Approved August 31, 2020

1. Call to Order

• Madame Chair, Rachael Eubanks called the meeting to order at 1:09 p.m.

2. Roll Call         

Members Present – 7

• Rachael Eubanks
• Chris Kolb
• David Nicholson
• Ron Rose
• Iris Taylor
• Nicholai Vitti
• John Walsh

Members Absent – 3

• Stacy Fox
• Brenda Jones (non-voting)
• Dave Massaron (non-voting)

Let the record show that Seven (7) Commission members eligible to vote were present. A quorum was present.

3. Approval of proposed Minutes from the FRC’s June 29, 2020 School District Monthly Meeting
   1. Motion made to approve the draft minutes of the Commission’s June 29, 2020 School District Meeting as presented. Motion moved and supported; the Commission approved the minutes of the June 29, 2020 meeting as presented.
4. Old Business – None
5. New Business
   1. DPS Financial Report
      1. Chief Financial Officer Jeremy Vidito presented the Financial Report for DPS. He noted that in March the District received $1.2 million in 13 mills receipts bringing the year-to-date total to $69.3 million. The current 13 mill tax receipt reserves are $4.1million.
      2. The District also received $1.0 million in 18mills receipts bringing the year to date total to $59.9 million. The ending general fund cash balance for May was $3.1 million, and the projected ending balance for June 30, 2020 is $3.0 million. He addressed questions from the Commission.
   2.  Presentation of the Community District’s Monthly Financial Report
      1. Chief Financial Officer Jeremy Vidito presented the monthly financial report and stated that year to date revenues through May are running $8.6 million slightly ahead of budget and local revenue ahead due to higher than expected Local and State revenue from additional grant awards and reimbursements. He further stated that year-to-date expenses are $41.7 million behind budget, which is as a result of school closure in response to the COVID-19 pandemic and Executive orders, and purchase services are running behind forecasts
      2. Mr. Vidito also reported that at the end of May 31, 2020 District’s cash balance is $75.2 million and the projected year-end cash balance for FY 2020 is $6.0 million; the internal service fund cash balance is $17.9 million and the projected year-end cash balance for FY 2020 is $15.0 million; the rainy-day fund cash balance is $36.3 million; the MILAF investment account cash balance is $74.1 million, and the total available general fund cash is $229.0 million. The District’s capital projects fund cash balance is $11.0 million. The District’s food service fund cash balance is $22.1 million, and the legal reserve fund cash balance is $1.2 million. He addressed questions from the Commission.
   3. Consideration of the Community District’s June 29, 2020 Contract approval requests per MCL 141.1636 (6) (FRC School District Resolution 2020-17)
      1. Public Act 181 of 2014 requires the Financial Review Commission to review and approve contracts meeting any of the three criteria: 1) the contract exceeds $750,000; the contract has a term exceeding 2 years; and 3) multiple contracts within a single entity that exceed $750,000 in aggregate.
      2. Chief Financial Officer, Jeremy Vidito gave a brief overview of the Community District’s Three (3) contract approval requests and addressed questions from the Commission. All contracts have been reviewed by the FRC Advisory Subcommittee on Contracts and Procurement.
      3. Motion made to consider and approve the Community District’s July contract approval requests (FRC School District Resolution 2020-17). Motion moved and supported. The Commission approved School District Resolution 2020-17.
6. Public Comment
   1. Michelle George
7. Next Meeting Date
   1. School District Regular Meeting: Monday, August 31, 2020, following the City Meeting, beginning no earlier than 1:05 pm, remotely using Microsoft Teams.
8. Adjournment
   1. Motion made to adjourn. Motion moved and supported; the Commission approved the motion to adjourn.
   2. There being no further business, the meeting adjourned at 1:26 p.m.

Signed by Beverly Greaves

Date: __7-27-2020__

Beverly C. Greaves- Secretary