Detroit FRC School District Meeting Minutes November 13, 2023

Detroit Financial Review Commission

SCHOOL DISTRICT REGULAR MEETING

Monday, November 13, 2023

Following the City’s Regular Meeting

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

Microsoft Teams

MINUTES

1. Call to Order
   1. Chairman, Kevin A. Smith called the meeting to order at 1:16 p.m., and welcomed the new State Budget Director Jen Flood to the meeting.
2. Roll Call
   1. Let the record show that a quorum was present.
3. Approval of proposed Minutes from the FRC’s October 30, 2023, School District Monthly Meeting
   1. Motion made by Commissioner Berry and supported by Commissioner Rose to approve the draft minutes of the Commission’s October 30, 2023, School District Meeting. With one requested amendment to the meeting minutes, (change the spelling of “Hakeem” to “Hakim”) the Commission approved the minutes of the October 30, 2023, meeting as presented.
4. Executive Director’s Report
   1. Patrick Dostine, Executive Director, informed the meeting that in reviewing the community district’s monthly report, ending September 30, 2023, DPS and DPSCD remain in good standing with the Financial Review Commission and remain in compliance with all statute relative to their waivers. Mr. Dostine also recognized the district’s seven consecutive years of balanced budgets.
5. Old Business
   1. None
6. New Business:
   1. Consideration of 2024 Regular Meeting Schedule (FRC School District Resolution 2023-1)
      1. Motion made by Commissioner Flood and supported by Commissioner Berry to approve the FRC’s 2024 Regular Meeting schedule (FRC School District Resolution 2023-1) The Commission approved School District’s Resolution 2023-1 as presented.
   2. School District’s Year-Four Waiver Renewal Request – Presentation
      1. Jeremy Vidito, CFO gave a detailed presentation to the Financial Review Commission. The presentation included an overview of: DPSCD’s staffing levels and union agreements; student enrollment and FTEs; a summary of the adopted FY 23 budget; DPSCD funding comparison; general fund expenses and revenue; FY24 School staff & resource allocations and the five-year budget forecast. Mr. Vidito also stated that the district has maintained a balanced budget for the past seven years.  He further reported that the district will maintain a rainy-day fund, while it assigns remaining unrestricted general fund reserve to the facility master plan to address the$700M commitment by the school board, and the nonmajor fund decreased is based on spend down of capital projects fund. Mr. Vidito informed the meeting that the FY23 audit identified 1 material weakness finding as a result of inaccurate payroll processing.  The district will implement process improvements in coordination with the human resources department to address the identified issues. He addressed questions from the commission.
7. Public Comment
   1. None
8. Next Meeting Date
   1. School District Regular Meeting: Monday, December 18, 2023, following the city meeting, beginning no earlier than 1:05 pm. using Microsoft Teams.
9. Adjournment
   1. Motion made by Commissioner Rose and supported by Commissioner Berry to adjourn. The Commission approved the motion to adjourn.
   2. There being no further business, the meeting adjourned at 1:59 p.m.

Roll Call:

Members Present – 6

• Hakim Berry
• Jen Flood
• Jay Rising (non-voting on DPSCD matters)
• Ron Rose
• Kevin A. Smith
• John Walsh

Members Absent – 4

• Dr. Barnwell
• Angelique Peterson-Mayberry
• Mary Sheffield
• Dr. Nicholai Vitti

Detroit Public Schools Community District (DPSCD) 2023-1 (Approval request for FRC/ DPS/DPSCD’s 2024 meeting schedule) Roll Call:

• Hakim Berry - Yes
• Jen Flood - Yes
•  Ron Rose - Yes
• Kevin A. Smith - Yes
•  John Walsh - Yes
• Dr. Barnwell - Absent
• Angelique Peterson-Mayberry - Absent
• Dr. Nicholai Vitti - Absent