Illinois State Board of Education Finance and Audit Committee met Nov. 1.
Here are the minutes provided by the committee:
I. Roll Call
Chairperson Chris Benson brought the meeting to order at 9:35 a.m. Roll call was taken, and a quorum was present with four members. Chair Benson and Dr. David Lett were physically present; Dr. Nike Vieille and Roger Eddy attended via video conference.
Committee Members Present
Chairperson Chris Benson
Roger Eddy
Dr. David Lett
Dr. Nike Vieille
Committee Members Absent
None
Other Board Members Present
Dr. Steven Isoye, Chair of the Board
Staff
Dr. Carmen I. Ayala, State Superintendent
Kirsten Parr, Board Services Coordinator
Kim Clarke, Executive Assistant to the State Superintendent
Dr. Brenda Dixon, Research and Evaluation Officer
Carisa Hurley Davis, Director of Early Childhood
Amanda Elliott, Executive Director of Legislative Affairs
Dr. Jason Helfer, Deputy Instructional Education Officer
Krish Mohip, Deputy Operational Education Officer
Christine Paxson, Director of ESSA/IL-EMPOWER
Melissa Oller, Operating Officer
Tassi Maton, Internal Audit Officer
Robert Wolfe, Financial Officer
Derrick Langwith, Director of ROE/ISC
Luke Corry, Senior Policy Specialist in Finance
Scott Harry, Director of Budget
Enkhzul Lee, Director of Federal and State Monitoring
Norma Moore, Supervisor in Early Childhood
Dr. Sean Clayton, Director of Assessment
Irma Snopek, Policy and Communications Officer
Jeremy Duffy, Legal Officer
II. Public Participation
There was no public participation.
III. Approval of Minutes: October 6, 2022
Dr. Lett made the motion for the Finance and Audit Committee to approve the October 6, 2022, meeting minutes. Mr. Eddy seconded the motion, and it passed by a unanimous roll call vote.
IV. Closed Session
Dr. Lett moved that the Finance and Audit Committee go into closed session for the following exception item:
A. Litigation, when an action against, affecting or on behalf of the particular public body has been filed and is pending before a court or administrative tribunal, or when the public body finds that an action is probable or imminent, in which case the basis for the finding shall be recorded and entered into the minutes of the closed meeting. (5 ILCS 120/2(c)(11))
He further moved that committee members may invite anyone they wish to be included in the closed session. Dr. Vieille seconded the motion, and it passed by a unanimous roll call vote.
The open meeting recessed at 9:38 a.m. The open meeting reconvened at 11:06 a.m.
V. Presentation
A. Evidence-Based Funding Spending Plan and Redesign
Mr. Corry presented on this item.
Mr. Corry discussed the context of the Evidence-Based Funding (EBF) Spending Plan as based on the ISBE Strategic Plan and as guided by an advisory group that represents districts across the state. He shared the statutory requirements for utilizing EBF and the guiding principles developed by the advisory group. The principles of the group include highlighting resource allocation for addressing equity concerns and aligning academic and fiscal programming efforts for effective usage.
He shared that in fiscal year 2024, the EBF Spending Plan will be integrated into a district’s annual budget to help consolidate reporting and encourage use of EBF alongside all other sources of revenue. He said that the redesigned plan retained the structure of the current plan but had been changed to help focus on cost-factor prioritization and planning, namely with tier-based funding.
He discussed the project timeline over the past year, noting engagement with the advisory group and other stakeholders. He said that plans were in process for more internal agency feedback and that efforts were underway for a full implementation of the FY 2024 plan, with a release of the budget template set for May 2023.
Dr. Lett asked about the composition of the advisory group. Mr. Corry said there were about 28 members, including districts’ program and finance leaders as well professionals involved with the plan and advocates from student-focused groups. Dr. Lett asked about obtaining a full list of members, and Mr. Corry said he could provide it.
Dr. Lett asked if the recommendations were driven by statute, and Mr. Corry said they were. It is required that EBF Spending Plans have an annual review that is focused broadly on student growth plans, use of state funding, and funding specifically attributable to student groups that is mentioned in the statute.
Chair Benson thanked Mr. Corry for the presentation.
VI. Discussion
A. FY 2024 Budget
Mr. Wolfe shared information on engagement with the public at budget hearings. There were 249 requests, noting major requests of $550 million for EBF and $120 million for early childhood programs. He noted that historical context and more information was available in the memo to the Committee, and more information would be in a memo for the November Board meeting. He shared that a recommendation would be presented for Board action in January. He discussed potential outcomes with changes with revenue sources. He said that plans for detailing allocations were underway.
Chair Benson asked about the status of member initiatives. Mr. Wolfe said that some were written in statute, but most were not. He noted that there had been programs in the past which were operational for multiple years and had stopped operating when no longer sponsored in a member initiative.
Mr. Eddy asked about increases to revenue from the personal corporate income tax. Mr. Wolfe said that the increase was $681 million in FY 2023 compared to FY 2022. Mr. Eddy asked how this compared to what was budgeted. Mr. Wolfe said that he could provide more detail, but that revenue had exceeded some initial estimates and that adjustments could be necessary. He noted that more detailed information on forecasting would be provided at the December meeting. Mr. Eddy asked if any changes were expected in personal corporate property tax replacement. Mr. Wolfe said that revenue from that tax continued to grow and that it could continue to be a stronger source of funding, but that more detailed estimations would be provided in December.
Mr. Eddy asked about the total in member initiatives. Mr. Wolfe said it was approximately $20 million.
VII. Review of Contracts and Grants Over $1 Million – for November Approval
A. Contracts & Grants Over $1 Million – Approval of Invitation for Bid for Contractual Monitoring Expansion
Ms. Lee discussed this item.
Chair Benson asked to confirm that districts covered by this grant were all listed, and
Ms. Lee confirmed that all were listed.
B. Contracts & Grants Over $1 Million – Approval of the Release and Award of FY 2024 Request for Proposals Early Childhood Block Grant - Prevention Initiative 0-3, Preschool for All 3-5, and Preschool for All Expansion Years 3-5 and extension of FY 2023 current grantees of Early Childhood Block Grant - Prevention Initiative 0-3, Preschool for All 3-5, and Preschool for All Expansion Years 3-5
Ms. Hurley Davis discussed this item. There were no questions.
C. Contracts & Grants Over $1 Million – Approval of Preschool for All/Preschool for All Expansion Monitoring Ms. Moore discussed this item. There were no questions.
D. Contracts & Grants Over $1 Million – Approval of Request for Sealed Proposals for Early Childhood Community Systems Development
Ms. Moore discussed this item. There were no questions.
E. Contracts & Grants Over $1 Million – Request for Proposals for Early Childhood Block Grant: Preschool for All/Preschool for All Expansion Training and Technical Assistance: Three to Five Years
Ms. Moore discussed this item. There were no questions.
F. Contracts & Grants Over $1 Million – Approval of the 1003 School Improvement Grants Ms. Paxson discussed this item. There were no questions.
VIII. Review of Contracts and Grants Over $1 Million – for December Approval
A. Contracts & Grants Over $1 Million - Approval of the remaining Emergency Assistance to Non-Public Schools (EANS) Federal Stimulus funding for EANS Reallocation Grant
Mr. Langwith discussed this item. There were no questions.
B. Contracts & Grants over $1 Million – Approval of Senate Resolution 774 – Performance Evaluation Reform Act
Dr. Helfer discussed this item.
Chair Benson asked to confirm that this was tracking different teacher evaluation approaches across districts. Dr. Helfer affirmed this, noting the variability of expectations not only across districts but between different teaching positions. He also emphasized an interest in the conferences between evaluators and teachers and how this might improve their performance.
C. Contracts & Grants Over $1 Million – Approval of Preschool Development Grant Birth – 5, Year 3 - National Louis University
Dr. Ayala discussed this item. There were no questions.
D. Contracts & Grants Over $1 Million – Approval of Preschool Development Grant Birth – 5 3-Month Extension for the Illinois Network of Child Care Resource and Referral Agencies
Dr. Ayala discussed this item. There were no questions.
E. Contracts & Grants Over $1 Million – Approval of upward amendment and end date of the Contractual Monitoring Expansion – Monitoring of Federal and State grants
Ms. Lee discussed this item.
Chair Benson asked if the funding in this project came from Elementary and Secondary School Emergency Relief (ESSER) funds received by ISBE, and Ms. Lee confirmed it had.
F. Contracts & Grants Over $1 Million – Approval of upward amendment of the Contractual Monitoring Expansion – City of Chicago School District 299
Chair Benson asked to confirm that this had the same function as the previous grant, and Ms. Lee confirmed it did have the same function, but with a different end date.
IX. Internal Audit Updates
A. Current Audits
i. FY 2022 Financial and Compliance Audit
Ms. Maton said that KEB had entered the reporting phase of the financial audit, with plans for a draft report in mid-November. She said the work of the firm for the compliance audit was still underway, with a draft report due in January 2023.
ii. FY 2022 Statewide Single Audit
Ms. Maton said that KPNG was still in the field work phase, waiting to receive final support documentation and reviewing previously provided documents.
X. New Business: Items for the Next Agenda
Chair Benson noted that FY 2024 budget planning updates were anticipated in future meetings. XI. Next Meeting: December 8, 2022
XII. Adjourn
Dr. Lett moved to adjourn. Dr. Vieille seconded the motion, and it passed by a unanimous roll call vote. Chair Benson adjourned the committee at 11:50 a.m.
https://www.isbe.net/Documents_Board_Meetings/20221101-FA-Minutes.pdf
Alerts Sign-up