LIBA Positions
Schools | County | CitySchools Position Statements
Congratulations on successful audit report
January 26, 2010
To: Lincoln Board of Education
From: LIBA Board of Directors
Date: January 26, 2010
Re: Congratulations on successful audit report
The LIBA Board of Directors would like to congratulate the Lincoln Board of Education and LPS administration and staff for the commendations they received from Mr. Gene Garrelts, who represents Orizon CPAs, LLC, the independent auditing firm that reviewed LPS’ financial records.
Mr. Garrelts indicated that LPS was in compliance with all federal and state standards and had no recommendations regarding internal control policies and procedures. According to Mr. Garrelts, these are significant accomplishments. As such, LIBA believes LPS deserves recognition for a job well done
Schools Position Statements
LIBA Recommendations to 2009-10 LPS Budget (Final Hearing)
June 09, 2009
To: Lincoln Board of Education Members
From: LIBA School Liaison Committee
Date: 9 June 2009
Re: LIBA Recommendations to 2009-10 LPS Budget (Final Hearing)
The Lincoln Independent Business Association (LIBA) School Liaison Committee would like to thank the Lincoln Board of Education Finance Committee for recommending a one-penny levy reduction. We appreciate this show of good faith to the already strapped Lincoln property tax payer.
We would however, encourage you to consider lowering your levy to a flat 1.03000. This would not result in any loss of state aid from your current 1.037585, and by doing so, you would save approximately $1.3 million in property taxes. We would encourage you to consider this reduction by further use of the current general fund balance.
We would also like the Board to consider eliminating the $1.4 million for fibernet from the budget. We understand a purchase has not been made with the $1.4 million that was levied last year. Since no current plan exists, we would suggest the current budget be reduced by $1.4 million. The $1.4 million that was budgeted and collected last year would be available for any proposed purchase this year and the item could be revisited during the next budget cycle.
We would also like to remind the Board that in LIBA’s April 28th, 2009 position statement, we encouraged you to review healthcare benefits and possible self insurance for the District before contract negotiations begin this fall.
Schools Position Statements
Local View: Citizens must seek property tax relief
June 03, 2009
In the May 19, 2009 edition of the LJS, the editorial board talked about the need to reduce the LPS levy. However, their intentions were misguided when they seemingly attacked the "budget hawks" for focusing too much attention on the City budget and too little on the LPS budget. Before the editorial board gets out a noose and throws the rope over a tree to hang the "budget hawks", I want to set the record straight: LIBA was there! The LJS either chose to ignore it or missed the fact altogether.
LIBA has attended the majority of LPS Board meetings this year. Since January, we have pre-sented statements at four of those meetings. In fact, on April 28th —just last month—LIBA asked the Board of Education to reduce its levy 2 cents. However, the LJS did not include our presentation in its coverage of the LPS meeting.
I agree with the LJS editorial that now is the time for property tax relief from the LPS Board. The two cents that the LJS requested was the same two cents that LIBA requested. I maintain LIBA’s position that this can be accomplished without cuts to the classroom. In fact, none of our recommendations went anywhere near a classroom. Our recommendations, at the April 28, 2009 LPS meeting and over the past several months, however have addressed the following:
LPS should review its health benefits;
include on its Legislative Agenda for next year a change in the number of hours required to receive retirement benefit;
last year, LPS levied for an additional $4 million for cash flow. Last year, LIBA asked that LPS return 2 cents of the levy to the taxpayers. Again, this year we asked that 2 cents of levy be returned to the taxpayers; and
by our calculations, the budgeted Personnel Expenses for the 2007-08 year exceeded the actual amount needed by $3.1 million dollars and in 2006-07 the amount was $3.4 mil-lion. These amounts go back into cash flow and we believe these numbers are excessive.
The full text of our position statements can be seen at www.liba.org.
The citizens of Lincoln are being told that the 2009-10 LPS budget is for maintenance and does not include “growth”. We would assert that the citizens of Lincoln have very generously pro-vided growth for the District. In a September 2005 report, there were 33,137 total “seats” available in Lincoln Public Schools. The citizens of Lincoln passed a $250 million bond issue on 14 February 2006 and added 3,255 new seats through new schools and additions to existing buildings.
According to the LPS Budget Book, 2,585 fulltime equivalent teachers were listed in 2005-06. That number was budgeted to grow to 2742 in 2008-09. That is 157 additional fulltime equiva-lent certificated staff over the last 4 years to accommodate the growth of the LPS District. During the same time period the district has grown from 32,505 students to 34,001 in 2009/2010 -an addition of 1,496 students or 1 teacher to almost every 10 new students.
In addition, LPS receives additional funds through the State Aid formula for the new schools and student growth. For the 2009-10 budget, it is anticipated that an additional $3.3 million in State Aid will be received by LPS for new schools and an additional $2.8 million in State Aid will be received for student growth. It would appear that both the Lincoln property taxpayer and the state Legislature are both helping LPS provide for growth in the District.
In LPS’ defense, the Board announced at their May 12, 2009 Budget Work Session that they would be lowering their levy by a penny. We commended them for doing so. We are encouraged to see them making an effort to rein in their budget. Unfortunately, by doing so, the Board finds themselves in somewhat of a conundrum: by lowering the levy and reducing their income from property taxes by $1.6 million, they also reduce the amount of State Aid that they will receive by over $950,000. In sum, each time LPS responsibly lowers its levy, it also loses more in State Aid.
We challenge the Public to get involved. Most of the budget information can be found on the LPS website at www.lps.org/budget. A recent article in the Journal Star indicated that fewer than 12 people attended the budget forums and that no one objected to the budget. Furthermore, while blogging is a convenient and anonymous method of venting one’s frustration, it’s not nearly as effective as presenting comments to the Board in person. Without the help of the citizens, LIBA was only able to get a penny reduction. If you really want property tax relief, the citizens must ask for it. LPS has little incentive to reduce their levy if no one other than LIBA is objecting.
Wanda Caffrey is chairwoman of the LIBA School Liaison Committee.
Schools Position Statements
LIBA Recommendations to LPS 2009-10 Budet
April 28, 2009
To: Lincoln Board of Education Members
From: LIBA Board Members
Date: 28 April 2009
Re: LIBA Recommendations to LPS 2009-10 Budget
Superintendent Gourley, President Larsen and members of the Lincoln Board of Education, LIBA is here tonight to propose the following considerations as you work on the 2009/2010 budget.
Lincoln residents are doing their best to live within their means during this difficult economic time when residents are losing their jobs and salaries are stagnant. We would ask that our local governments restrain spending during this time and that any increased spending must be an irrevocable commitment or a critical need.
If commitments exceed funding then cuts should be made. If there is excess funding after meeting commitments, then LIBA believes that this funding should be used for one time spending, not for new programs or additional staff or the levy should be lowered.
LIBA would like to address the Board regarding the use of federal stimulus money. Beyond any stimulus funds that you receive replacing State Aid, we encourage you to use stimulus money for one-time expenditures only. It does not seem prudent to commit to long-term obligations that will be funded with one-time monies.
In other areas of concern, we understand that LPS employees who either work 17.5 hours weekly or are identified at .4 FTE certified staff are eligible for health benefits. We would strongly encourage you to review this policy before it comes time to renegotiate these benefits.
We would also ask that this Board investigate options to the current arrangement with the Educators Health Alliance – possibly self insuring for health insurance as the District does property casualty coverage. LIBA has been told in the past that this option is being investigated but, we have seen no report on this option. We would ask that the Board investigate this before the next contract negotiations.
By our calculations, the budgeted Personnel Expenses for the 2007-08 year exceeded the actual amount needed by $3.1 million dollars and in 2006-07 the amount was $3.4 million. These amounts go back into cash flow and we believe these numbers are excessive.
Year Budgeted Acutal Excessive
04-05 213,311,410 209,579,219 3,732,191
05-06 221,159,390 219,545,287 1,614,103
06-07 234,040,840 230,638,643 3,402,197
07-08 247,045,920 243,916,912 3,129,008
08-09 258,524,070
Although permitted under state statute, LIBA believes it is inappropriate to pay the salary of the LEA President with taxpayer funds unless that President is also an active full time teacher. The President of the Police Union is out there in a squad car and the President of the Fire Union is out there fighting fires. (LIBA first raised this question several years ago, today the district is reimbursed for the salary portion of the LEA President, however, taxpayers still bear financial commitments in the form of employment taxes, insurance, retirement and other benefits.)
While our next recommendation is not something that can be immediately addressed, it is something we believe you should strongly consider for the future. We understand that through legislation established in 1945 under the Nebraska Public Employees Retirement System (NPERS), any per-manent, ongoing, regular employee working a minimum of 15 hours receives retirement benefits. The City of Lincoln requires their employees to work 20 hours before receiving retirement benefits. We urge the District to place this item on your Legislative Agenda and request a more reasonable minimum requirement for new employees. This benefit has significant budget implications and is currently over $15 million dollars of expense for the District at the current rate which might be increased in the future to compensate for the losses of the Pension Fund.
In closing, last year, LIBA asked you not to include in your budget an additional $4 million that was intended for cash flow needs. The end of March is traditionally your lowest cash balance month. On March 31, the General Fund balance was still over $9 million. We previously requested that you give the Lincoln Property Taxpayer their 2 cents of levy back. We will ask again, please give the taxpayers back their 2 cents! Our 2 cents worth of advice is worth over $3 Million Dollars to the taxpayers of Lincoln!
Schools Position Statements
LB 612
February 18, 2009
TO: Nebraska Retirement Systems Committee Senator Dave Pankonin, Chairperson
From: Wanda Caffrey, LIBA School Liaison Chair
Re: LB 612
Good afternoon, Chairman Pankonin and Members of the Retirement Committee. For the record my name is Wanda Caffrey.
I am here today to testify in a neutral capacity on LB 612 on behalf of LIBA, the Lincoln Independent Business Association. LIBA has reviewed this bill and would like to point out what we believe may be some possible unintended consequences that may affect the taxpayers of Lincoln Public School Systems (LPS).
Let me explain.
The 2008/2009 Budget for Lincoln Public School Systems indicates that total salaries for this year are $208,285,060. All permanent public school employees who work at least 15 hours a week on an ongoing basis are required to contribute 7.28% of their salary to NPERS.
As the bill is currently worded, it would appear that since LPS has recently added language to the contracts of its Executive Committee that would “reimburse” these LPS Executives for their contribution to the NPERS System, then LPS would also have to reimburse every employee of the district in a like manner.
Therefore, it would appear that LPS would be required to contribute somewhere in the neighborhood of $15,000,000 if they are required to reimburse all employees for the NPERS contribution as well.
This would seem to be an unfunded mandate and I wonder if the State will be providing additional State Aid to compensate the taxpayers of Lincoln for this mandate. LIBA would like to ask that this committee consider the following amendments which would prohibit school districts from making any reimbursements for the employee contribution to NPERS. These reimbursements are nothing more than additional salary. In the spirit of transparency, LIBA feels that if a school district decides to increase an Executives salary, then they should call it a salary increase and not try to disguise it as a reimbursement.
Schools Position Statements
Technology Long-term Plan
February 10, 2009
To: Lincoln School Board Members
From: LIBA Board of Directors
Date: 10 February 2009
Re: Technology Long-term Plan
The Lincoln Independent Business Association would like to thank the Lincoln Board of Education for engaging in an open dialogue two weeks ago when LIBA asked several questions regarding the purchase of computers. We appreciate the thoughtful discussion that ensued following our testimony.
In response to that discussion we would offer the following. First, we want you to know that we support responsible technology purchases and upgrades of computers, projectors, smartboards, etc., for our students and teachers. We recognize that such purchases are necessary for our students to successfully compete in today’s workforce.
Second, we would expect that significant purchases like the ones we discussed two weeks ago (laptop computers for over $1 million) should be part of a long-term, or comprehensive, plan that prepares for such purchases and is placed on your agenda for a first and second reading rather than as a consent item.
We believe the creation and adherence to a comprehensive plan is common practice for many public entities when planning for costly future expenditures. Cities and counties may often have multi-year plans for roads and bridges, and perhaps on a smaller scale, have a plan to phase vehicles in and out of their departments. LPS has shown past success with long-range planning in its 10-year facilities plan.
We encourage LPS to start developing a comprehensive plan, which demonstrates how many computers, projectors, smartboards, etc., LPS anticipates it will need, how much it will cost, and what outcomes it hopes to achieve. The development of this plan should include open Board discussions and opportunities for public input. We realize that LPS would need to be willing to adjust the plan based on financial resources available each year.
LIBA recognizes the need for technology, but also expects that it be purchased in an efficient and organized manner.
Schools Position Statements
LPS Laptop Computer Expenditures & Policy Questions
January 27, 2009
To: Lincoln School Board Members
From: LIBA School Liaison Committee
Date: 27 January 2009
Re: Laptop Computer Purchases
In review of tonight’s agenda materials, LIBA is surprised to see three items in the consent agenda for the purchase of computers at a total cost of $1,721,308.56. We would request that these items be removed from the consent agenda and follow the process of a first and second reading allowing for public input.
At the June 24 LPS Board meeting, Board Member Richard Meginnis made the recommendation that an IT Steering Committee be formed to examine the computer needs of the District follow-ing this Board’s approval of a Budget that included $703,990 to be spent on computers for teach-ers and another $1,000,000 to be spent on computers for students to use for online assessments.
In July of 2008, I wrote a guest editorial on behalf of LIBA that supported establishing this committee with the hope that it would establish and define a policy that:
A. Defines the District’s goal – together with a long-term plan for achieving it-of providing an educationally sufficient ratio of PCs per student
B. Establishes a standard configuration for PCs purchased for instructional use as well as teachers’ use
C. Establishes a long term plan for how to fund the district’s computer needs.
We had asked that the Lincoln Board of Education hold off on the purchase of the PCs budgeted in the 2008-09 budget until the board, with the help of its Technology Advisory Committee, has established a policy on instructional PC acquisition in the District.
Tonight we have a few questions that we would like to ask concerning the computer purchases listed on the agenda.
Has the Board and Technology Advisory Committee established a policy on instructional PC Acquisition? Can we get a copy of the report?
An Additional question is does the State still intend to BETA test the online Assessments this year? If not, do we still need to spend $1,000,000 for student computers which were represented to us as being needed for online State Assessments.
In review of the Agenda materials, it appears that the computers will be purchased with 3 year operating system maintenance agreements. Exactly, what does that agreement cover and does the District still intend to hire another IT person when they already employ 46 people in the IT department and another 27 IT people in the ESU budget now.
While we understand the need to get laptops into the hands of our teachers as soon as possible, we would again respectfully request that this action follow the process of a first and second read-ing allowing for public input.
Questions?
Is it possible for the board to address the questions that we have asked here tonight?
Schools Position Statements
LPS Administrator Pay Reform
January 13, 2009
To: Lincoln Board of Education Members
From: LIBA Board of Directors
Date: January 13, 2009
Re: LPS Administrator Pay Reform
The Lincoln Independent Business Association (LIBA) Board of Directors and School Liaison Committee renew our call for reform in the Lincoln Public Schools (LPS) admin-istrator pay process. The Board of Education’s December vote to approve administrator contracts and to bypass second reading does not meet the community’s expectations for our school district and highlights the need for reform.
In May of 2008, LIBA encouraged the LPS Board to establish performance-based pay for the Superintendent and the Executive Committee, using district-wide measures of student achievement and operational efficiency of the District. Establishing a formal process for determining these central administrators' compensation that is open to the public, pro-vides clear expectations to administrators, and reflects the goals and standards of the community is in everyone’s best interests.
We suggest that the Board take the next step and create a compensation committee, which would include members of the public and the Board, to establish performance-based criteria for compensating the central administrators, and report that criteria to the public by September 1, 2009. The district’s performance during that school year (i.e., 2009-10) should determine the compensation for the following fiscal year. This process should be ongoing, with specific, measurable goals set each year by the Board with each year's total compensation based on the previous year's results. Increases should be an all inclusive total compensation package, and the formula used to determine the increases should be available for public review.
Second, we would also like the Board to consider amending its policies that address sec-ond reading procedures. We are concerned about the Board’s recent trend of waiving second reading on important decisions. We recognize there may be an occasional need to forego second reading, i.e., in an emergency situation; however, making this a common practice inhibits public input and board discussion.
We ask the Board to consider the following policy changes: first, have one policy for second readings and second, consider requiring a two-thirds supermajority vote to waive second reading. This is consistent with Robert’s Rules of Order, which requires a two-thirds vote to “suspend the rules”. The public expects all government bodies to adhere to Robert’s Rules of Order, which helps to ensure transparency.
Implementing these two reforms, the Board would be making important steps towards greater transparency, restoring public confidence in our school system and improving op-portunities for community involvement in its processes.
Thank you for your time and consideration.
Schools Position Statements
Community Outrage
January 02, 2009
During a December 9, 2008 Lincoln Board of Education(Board) meeting, the Board voted 5-2 (Danek and Meginnis opposed) to approve salary increases for six LPS admin-istrators. During the meeting, Superintendent Dr. Susan Gourley led the Board to believe that LPS administrative staff would receive a total salary package increase of 4.5%, simi-lar to that of what LPS teachers receive.
During these tough economic times, it’s hard to believe that LPS administrators find it appropriate to ask the Board for what we have now learned is an 11.6% salary increase. But what is even more inexplicable, is the misleading nature by which LPS administra-tors did so. First, the contracts were seemingly rushed through the agenda process. Rather than processing through a first and second reading, the contracts were given final ap-proval on first reading, which, according to the rules, the Board can do. But nonetheless, it gives the appearance of impropriety. It is our opinion that the contracts should be made available in the Board meeting materials booklet which is available to the public on the Friday before the meeting and that the contracts should follow the process of a first and second reading, which would allow time for public comment.
Secondly, and more disturbing, is the exchange between board member, Kathy Danek and Dr. Gourley. If you watch the exchange (www.lps.org), you can hear Ms. Danek question Dr. Gourley about the value of the salary package. Dr. Gourley states, “these (contracts) provide salary increases of 4.5% in accordance with the other salary increases provided to employees in the school district.” To which Ms. Danek replies, ‘that would be the total package like we did with everyone else?” Dr. Gourley responds, “That would be as total salary package – correct.”
We understand that the teachers’ 4.5% increase included salary and benefits. However, upon closer review of Dr. Gourley’s contract, we find that her benefit increase goes well beyond the 4.5%. If you include Dr. Gourley’s base increase in salary in conjunction with her merit increase, annuity benefit, and new retirement benefit, she actually receives an 11.6% increase, or nearly $29,000. This amounts to a total salary package valued at ap-proximately $275,600. It seems to us that Dr. Gourley was at best disingenuous in her claims to the Board that she was receiving a 4.5% increase similar to that of the teachers.
Finally, we would like to point out that LIBA wrote the Board in May 2008 expressing our concern about the process by which LPS administrators negotiate their own salaries. Below is a quote pulled from that letter:
Currently, a majority of the Executive Committee is part of the team that negotiates, on behalf of the district, raises for the certificated staff. We believe this is a potential conflict of interest because the Executive Committee salary increases:
Are generally identical to the negotiated percentage increases certificated staff received; and
Are not based on any established performance standards.
As such, we offer the following:
We would encourage the Board and Superintendent to establish a formula for Execu-tive Committee raises that gives consideration to district-wide measures of student achievement. Such measures might include graduation rates, state and other stan-dardized test scores, parental grading of the district, and teacher grading of the dis-trict.
LIBA believes moving away from automatic salary increases and towards increases based on performance evaluations for the executive committee is a move in the right direction.
Lincolnites are outraged about this as they well should be. Let us remind you that LPS consumes approximately 64.5 % of every property tax dollar collected. After this deba-cle, we sincerely hope that the Board will reconsider the salary negotiation process.
Wanda Caffrey, Chair LIBA School Liaison Committee
Schools Position Statements
LPS Contracts for Goods and Services (11/20/08)
November 20, 2008
To: LPS Board Members
From: LIBA School Liaison Committee
Date: 20 November 2008
Re: LPS Contracts for goods and services
First, LIBA would like to thank Mark Shepard, LPS Associate Superintendent for Busi-ness Affairs, for attending our School Liaison Committee meeting on November 4, 2008. We appreciate his willingness to provide information and help keep the lines of commu-nication open between LIBA and LPS.
Previously, in a letter dated 6 October 2008, we had requested information based upon a review of the LPS 2008-09 Proposed General Fund Expenditure Budget; however we learned since then, that it would be more appropriate and useful to ask these same ques-tions based on the 2007-08 Annual Budget Information and Financial History (2007-08 Budget Book).
For ease of reference, please refer to the enclosed copy of page 39 of the 2007-08 Budget Book. Our question pertains to the highlighted figures:
Could you please provide copies of an annual ledger showing the detail of ex-penses coded to each of the following “Contracted” accounts by division:
Business Affairs – 048, 034, 050, 052, 053, 054, 056, 058
Human Resources – 060, 062
Supt/Board of Education – 032, 036
We realize, based on our previous request for information regarding the Human Re-sources Division, LPS has concerns about revealing confidential information. We respect that concern and recognize the time and effort it would take to ensure confidentiality. However, we believe that within the HR division, billing information must exist that does not contain confidential information.
Do contracts, entered into by HR, which most likely identifies the terms of the agreement, i.e., length of agreement and contract value, also contain employee in-formation?
Does LPS have an Excel spreadsheet that would list each contracted service and the particulars of each contract? If so, please provide us with the spreadsheet that lists all of the contracts HR has entered into without divulging employee informa-tion.
At this time, we would also request a Summary of Expenditures for each of the Middle Schools. We would like to receive this information for each middle school individually.
If you have any questions or concerns, please contact LIBA’s School Liaison Committee Chair, Wanda Caffrey, at 488-1121 or at WandaC6842@aol.com. We understand this may take some time to complete, but please respond by December 1, 2008. Also, if at possible, please export information into an Excel spreadsheet file. Hopefully, this will reduce the time and paper necessary to complete the task.
We sincerely appreciate the time and effort you have already taken to work on our previ-ous requests for information. Thank you for your time on this request as well.
Schools Position Statements
LPS Contracts for Goods and Services (10/6/08)
October 06, 2008
To: LPS Board Members
From: LIBA School Liaison Committee
Date: 6 October 2008
Re: LPS Contracts for goods and services
Upon review of the LPS 2008-09 Proposed General Fund Expenditure Budget, the LIBA School Liaison Committee had a few questions pertaining to expenditures pertaining to contracted services.
For ease of reference, please refer to the enclosed copies of the LPS 2008-09 Proposed General Fund Expenditure Budget, pages 33-34. Our questions pertain to the highlighted figures on those pages:
On page 33, LPS spent almost $1.1 million in contracted services under Instruc-tional—Media Services (046). Would you tell us what goods and/or services are provided and who provided them? and
On page 34, could you please provide copies of an annual ledger showing the de-tail of expenses coded to each of the “Contracted” accounts by division (i.e. Busi-ness Affairs Division, 034 Computing Services, 050 Accounting, etc.)?
If you have any questions or concerns, please contact LIBA’s School Liaison Committee Chair, Wanda Caffrey, at 488-1121 or at WandaC6842@aol.com. We understand this may take some time to complete, but please respond by October 22, 2008. Also, if at pos-sible, please export information into an Excel spreadsheet file. Hopefully, this will reduce the time and paper necessary to complete the task.
We sincerely appreciate the time and effort you have already taken to work on our previ-ous requests for information. Thank you for your time on this request as well.
Schools Position Statements
LPS Agenda Change
August 26, 2008
To: Lincoln Public Schools Board of Education
From: LIBA Board of Directors
Date: 26 August 2008
Re: LPS Agenda Change
At the June 24, 2008, Lincoln Board of Education (Board) meeting, the Board amended Board Policy 8441, Board Operating Procedures-Order of Business.
LIBA believes these changes are a step in the right direction for several reasons.
First, it seemingly makes Board meetings more open to and convenient for public comment. The original policy stated that if an individual wanted to testify regard-ing a non-agenda item, the individual had to wait for the Board to conduct its en-tire meeting and then could testify at the end. Now, individuals wanting to testify regarding non-agenda items may do so at the beginning of the Board meeting.
In addition, the original policy required that individuals wanting to testify regarding an agenda item had to do so at the beginning of the meeting, before the Board had any discussion. The new policy allows for individuals to testify at the end of Board discussion, which allows testifiers to incorporate comments based on Board discussion.
Finally, moving the “Request for Closed Session” to the end of the meeting is a more public-friendly policy. In sum, an individual may address the Board before it moves into “closed session”, thus eliminating the need for testifiers to sit throughout the entire Board meeting waiting to be heard. Both policy changes encourage public participation by streamlining the process.
We would like to take the opportunity to remind the Board of a position statement that LIBA delivered on May 9, 2006:
The Lincoln Independent Business Association (LIBA) is asking that the Lincoln Public School Board of Education revise its current meeting agenda to increase public participation at each meeting and to provide for more timely input on each issue.
Specifically, we ask that you alter the agenda to permit public input on discussion and discussion and action items on the agenda when those items are raised. Public input would be allowed after the matter was raised and presented by staff. The Board would then be able to follow up with staff or ask additional questions before the item is moved to a future consent agenda or acted upon at that meeting.
We believe that this step would allow individuals seeking to address specific issues a chance to make more relevant and timely contributions to your discussions. Right now, your constituents are given the choice to speak prior to the meeting, requiring them to anticipate what the Board and staff will say or suggest, or speak after the meeting when the issue may already be resolved. If public comment is provided during the discussion of the item, speakers will not be forced to anticipate the issues and can more efficiently and accurately address any issues with an item.
Over the years, we have observed a number of individuals who arrived at meetings with the clear intention of addressing an issue, only to become confused as to when they are supposed to address the Board. Many times, these individuals missed their opportunity to speak and left the meeting.
We should note that LIBA is not seeking that each member of the public be given unlimited time to discuss each issue. We would recommend that the current five-minute rule for public comment prior-to and following the meeting be followed for individual issues as well. And while we would suggest that individuals be allowed to address more than one issue per meeting, we would not disagree with limiting the speakers to the subject matter of the discussion. We would also ask that the Board continue the current practice of permitting public input on consent items prior to the consent portion of the agenda and on non-agenda items at the end of the meeting.
Schools Position Statements
Survey for LPS Board Members
August 22, 2008
To: LPS Board Members
From: LIBA Board of Directors
Date: 22 August 2008
Re: Survey for LPS Board Members
On July 6, 2008, KZUM radio interviewed Dr. Armand A. Fusco, Ed. D. on its 6:00 p.m. broadcast. Dr. Fusco, a contributing writer to the Yankee Institute of Public Policy, au-thored an article entitled, “Ending Corruption and Waste in Your Public Schools”. The LIBA School Liaison Committee (Committee) reviewed this article and found that it pro-vided some helpful information.
The Committee was particularly interested in Appendices A and B of the article that pro-vide a number of procedural steps along with several questions, which are designed to facilitate an open dialogue between the Board of Education and a group of interested citi-zens.
After much discussion, the Committee decided that having already established a working relationship with the Board, they felt comfortable asking the Board to respond to the sur-vey questions. As you will see, the questions ask about specific policies and procedures that LPS most likely already has in place. Enclosed please find a copy of Appendix B.
The Committee respectfully asks that the LPS Board review and complete the enclosed checklist. The Committee thanks you for your cooperation and service to the children and taxpayers of Lincoln. Your response can be sent to André Mick at andre@liba.org or to the following mailing address:
LIBA
620 N. 48th Ste. 205
Lincoln, NE 68504
Again, we sincerely appreciate your willingness to participate in this survey.
Schools Position Statements
LPS 2008-09 Budget
June 10, 2008
To: Lincoln Public Schools Board
From: LIBA Board of Directors
Date: June 10, 2008
Re: LPS 2008-09 Budget
Good evening and thank you for taking the time to listen to the community comments being presented tonight.
First, let me begin by saying we appreciate LPS’ efforts to find efficiencies in its budget, specifically redrawing boundaries and creating new bus routes. However after meeting with LPS administration and reviewing the material we’ve received, LIBA is here to ask that LPS staff and the Board of Education work together to find more efficiencies and lower the levy.
LIBA uses a long-standing “growth plus inflation” formula to calculate maximum govern-mental increases. This year, in light of the downturn in the economy and the substantial increase in state aid revenues, we would ask LPS to budget and spend less than the “growth plus inflation” goal and lower the levy.
We understand there is a direct relationship between LPS’ levy rate and the amount of state aid that LPS receives. This year, LPS is going to receive a total of $64.5Million in state aid. That is a $13.2Million increase over last year.
The Board must be mindful of the fact that LPS will also receive over $168Million in property taxes, not including an additional $1.5Million in property taxes received for ex-emptions. This budget proposes an increase of almost $5.4Million in property tax re-ceipts.
While your adjusted budget is going up 5.64%, we feel you must account for the added $4Million in tax dollars that you want to set aside for cash flow. Taxing the community $4Million to save in an account for cash flow seems excessive.
In sum, the 2008-09 budgeted revenue is $297.3Million. This is a 7.5%, or $20.8Million increase from last year’s budgeted revenues.
LIBA also recommends that LPS go through a formal RFP process and explore all op-tions before undertaking an $11Million dollar capital purchase for its own private fiber network. LIBA requests that a full study of current usage and future needs be con-ducted. Once the study is complete then a full RFP process should be done to arrive at the most cost effective and efficient solution.
LIBA is not only concerned about this $300Million budget, but also the budget process. LPS provided the budget information a mere 11 days in advance of this hearing. In fact, we would not have had the information 11 days ago without an assertive request. In the absence of an LPS proposed budget book, LPS provided eight pages of summary infor-mation 11 days before the public hearing. In comparison, we receive a proposed budget book from the City that contains hundreds of pages with line items included. If LPS truly wants public input at this public hearing, 11 days is not an acceptable length of time to adequately prepare thoughtful input.
Also unsettling is the policy change that now requires LIBA to pay for information that has been historically provided.
To recap, LPS will receive:
$11.4Million more in state aid
$1.8Million more in a state aid corrections
$5.4Million more in property taxes
$2.2Million more in other receipts
===
$20.8Million more than last year.
On top of those increases, this is the second year in a row that LPS exceeded LIBA’s growth plus inflation formula. Keep in mind, this formula is a philosophical cap that should only be reached when all other options have been exhausted. This year, the amount is over $860,000. Last year it was $4Million (over 2 cents of levy).
LPS asked the community for new schools, now we are asking for 2 cents. LPS doesn’t have to do this at the expense of the teachers. Rather, we are asking LPS to work hard, dig deep, and leave no stone unturned to find 2 cents to give back.
At a time when the economy is in a downturn, this is the day to give taxpayers relief.
At a time when the people who are paying into the LPS tax system are pinched finan-cially, this is the day to give taxpayers relief.
Schools Position Statements
Performance-based Salary Increases for LPS Executive Committee
May 13, 2008
To: LPS Board Members
Cc: Dr. Susan Gourley, Superintendent
From: LIBA Board of Directors and School Liaison Committee
Date: May 13, 2008
Re: Performance-based salary increases for LPS Executive Committee
The Lincoln Independent Business Association (LIBA) Board of Directors and School Liaison Committee would like to offer the following suggestions regarding the method salary increases are determined for the Superintendent and the Superintendent's Executive Committee (as defined by your Policy 2120). In sum, we believe salary increases should take into account established performance standards and achieved goals.
Currently, a majority of the Executive Committee is part of the team that negotiates, on behalf of the district, raises for the certificated staff. We believe this is a potential conflict of interest because the Executive Committee salary increases:
Are generally identical to the negotiated percentage increases certificated staff re-ceived; and
Are not based on any established performance standards.
As such, we offer the following:
We would encourage the Board and Superintendent to establish a formula for Executive Committee raises that gives consideration to district-wide measures of student achieve-ment. Such measures might include graduation rates, state and other standardized test scores, parental grading of the district, and teacher grading of the district.
LIBA believes moving away from automatic salary increases and towards increases based on performance evaluations for the executive committee is a move in the right di-rection. We thank you for your time and hope you will consider this idea.
Schools Position Statements
LPS Legislative Proposals
November 13, 2007
To: Lincoln Public Schools Board Members
Cc: Dr. Susan Gourley, Superintendent of Schools
From: LIBA Board of Directors
Date: November 13, 2007
Re: LIBA Recommendations to LPS Regarding 2008
NASB (Nebraska Assc. of School Boards) Legislative Proposals
Having reviewed the NASB’s 2008 legislative agenda, the LIBA Board of Direc-tors recommends that the Lincoln Public School Board (LPS) oppose the pro-posed tax increases and associated levy overrides. NASB offers seemingly le-gitimate reasons as why such increases or overrides would be necessary: safety, salary and fringe benefit increases, and the ability to meet state standards. How-ever, LIBA believes all of these goals can be achieved and standards met without raising taxes or overriding levies, while at the same time ensuring the safety of our children, adequately compensating our teachers and staff, and complying with state law.
The LIBA Board of Directors also opposes Lincoln Public Schools’ (LPS) specific legislative guidelines that indicate a desire to remove any tax lids and fund locally determined needs through unfettered spending.
In 2006-07, Lincoln Public Schools (LPS) received over 64.5% of all property taxes collected in the district. LPS also received millions of dollars in state aid and other sources. Together, these three sources produced total general fund revenues of over $269 million. Based on these figures, it cost taxpayers ap-proximately $8,285 per year to educate each student.
Again, the LIBA Board wants to emphasize its support of quality education, which encompasses not only the fundamentals, but also includes safety, quality pay, and adherence to state standards. LIBA also recognizes that our community can only continue to thrive if we have well-educated children.
The LIBA Board believes that LPS, as well as the NASB, are responsible to pro-vide this education at a reasonable cost, without raising taxes or overriding lev-ies. With total revenues of over $269 million for a fiscal year, it seems that this would be reasonable request.
Lincoln Board of Education Agenda Materials, 23 October 2007, p. 76-84. Lincoln Board of Education Agenda Materials, 23 October 2007, p. 93-94. Lincoln Public Schools 2006-2007 Annual Budget and Financial History, p. 3. Lincoln Public Schools 2006-2007 Annual Budget and Financial History, p. 29. Cost per student is calculated by dividing the total general fund revenues by the number of students attending LPS during the 2006-07 school year. In the 2006-07 school year, LPS indicated 32,457 students were enrolled.
Schools Position Statements
LPS Budget
April 23, 2007
LIBA is here today in keeping with our tradition of presenting our position of the LPS Annual Budget at the Board’s first reading and discussion of the budget.
LIBA would like to take this opportunity to thank the LPS staff members that have provided time and data regarding the new LPS budget.
LIBA has a long-standing “Growth plus Inflation” formula to calculate governmental increases. The projected student growth is 1.1% and the Midwest inflation rate is 2.5%*, therefore we would like to see the district stay within a 3.6% increase. This year, you are growing your budget at 4.8% which exceeds the formula by 1.2%.
Governor Heineman has asked local taxing authorities to lower their levy when the state is able to offer financial assistance. LPS anticipates an increase in State Aid and you appear headed toward a lower levy. We commend you for following the Governor’s recommendation.
This will be the second year in a row that LPS has lowered it’s levy. Again, we want to commend you for this action. Thank you for appropriating your increase in state aid in such a manner that the taxpayers might see relief.
LIBA would like to encourage you to continue to find efficiencies and savings within the LPS District. We value education, however, there continues to be a growing support in the community for tax relief. With that in mind, we would request that you work toward a 3.6% increase in your general fund budget.
*U.S. Dept of Labor Bureau of Labor Statistics consumer Price Index for All Urban consumers, all items, in the U.S., Midwest and selected Midwest City Size Class B/C (50,000 to 1.5 million) Annual Average Percent Change for 2006.
Schools Position Statements
School Boundaries
January 05, 2007
Contact:Coby Mach
Executive Director
466-3419
RE: Lincoln Public School
Date: January 5, 2007
The Lincoln Independent Business Association endorsed your efforts to pass the School Bond Election. While making it’s endorsement in January of 2006, LIBA stressed that the Board of Education should design and implement, with public input, a complete revision to the current attendance areas for elementary and middle schools.
This is critical to allow attendance at neighborhood schools and to balance attendance in these schools.
LIBA urges you to thoughtfully promote a policy that will fix the current problem of unbalanced attendance areas and lay a strong foundation so that we don’t repeat this problem in the future.
Finally, we wish to thank you for addressing these issues in such a timely manner.
Coby Mach
For the Board of Directors
Schools Position Statements
Board of Education Agenda Design
May 09, 2006
To: Lincoln Board of Education
Susan Gourley
From: LIBA Board of Directors
RE: Board of Education Agenda Design
Date: May 9, 2006
The Lincoln Independent Business Association (LIBA) is asking that the Lincoln Public School Board of Education revise its current meeting agenda to increase public participation at each meeting and to provide for more timely input on each issue.
Specifically, we ask that you alter the agenda to permit public input on discussion and discussion and action items on the agenda when those items are raised. Public input would be allowed after the matter was raised and presented by staff. The Board would then be able to follow up with staff or ask additional questions before the item is moved to a future consent agenda or acted upon at that meeting.
We believe that this step would allow individuals seeking to address specific issues a chance to make more relevant and timely contributions to your discussions. Right now, your constituents are given the choice to speak prior to the meeting, requiring them to anticipate what the Board and staff will say or suggest, or speak after the meeting when the issue may already be resolved. If public comment is provided during the discussion of the item, speakers will not be forced to anticipate the issues and can more efficiently and accurately address any issues with the item.
Over the years, we have observed a number of individuals who arrived at meetings with the clear intention of addressing an issue, only to become confused as to when they are supposed to address the Board. Many times, these individuals missed their opportunity to speak and left the meeting.
We should note that LIBA is not seeking that each member of the public be given unlimited time to discuss each issue. We would recommend that the current five-minute rule for public comment prior-to and following the meeting be followed for individual issues as well. And while we would suggest that individuals be allowed to address more than one issue per meeting, we would not disagree with limiting the speakers to the subject matter of the discussion. We would also ask that the Board continue the current practice of permitting public input on consent items prior to the consent portion of the agenda and on non-agenda items at the end of the meeting.
A copy of the model agenda we are suggesting has been distributed to you, and we hope that you will give it serious consideration.
Schools Position Statements
LPS Teacher Pay
January 24, 2006
RE: LPS Teacher Pay
Date: January 24, 2006
The Lincoln Independent Business Association (LIBA) was organized to monitor the work of government bodies and work with those bodies to make Lincoln a model community. As part of that effort, LIBA strongly supports the Mission of Dr. Susan Gourley to move the Lincoln Public School system from Good to Great.
LIBA has previously complimented the Board and the Administration on this years budget and the steps LPS has taken to make the budget easier to follow and to control spending. But LIBA feels that there are additional suggestions we can offer to assist you in moving from Good to Great.
Since the Board is currently negotiation with the teacher's union and salary takes up such a large portion of the Districts budget we feel it is appropriate for LIBA to make the following observations and recommendations related to this process.
1. LIBA notes that the average salary for a teacher with LPS was $45,773 in 2003-2004. This compares to a state-wide average of $38,352. And while much has been made of the National Education Associations survey showing Nebraska overall as ranked 42nd in the nation, the average LPS salary if LPS were a state would rank 18th on the NEA list. Further the average LPS salary is higher than the median wage ($28,508), the mean wage ($34,670), and the average experienced employeeā€¯ wage ($43,354) for the Lincoln metropolitan area. Overall, the average LPS salary is in the top 20% of wages for the Lincoln metropolitan statistical area. LIBA believes that this salary level is a very reasonable place for LPS teacher salaries and strongly suggests that any salary increase focus on keeping this competitive salary level.
2. LIBA would suggest that the Board and LEA begin working on a plan to incorporate a method for rewarding individual employees for their exceptional performance. Now is the time to develop and implement a plan that establishes the Rewards Based Upon Performanceā€¯ standard established in the current labor contract with Lincoln teachers. We feel that it is important for employee compensation to serve as both a way to pay employees for their work and an incentive for them to continually improve their performance.
3. Finally, LIBA would suggest that this Board seeks more public input into the issue of teacher compensation. We are not suggesting public participation in the negotiations. We are suggesting a public discussion about salaries prior to any serious negotiations between LPS and LEA. Of all of the LPS budget items, salaries have the largest impact. Yet no meaningful public discussion has ever been held on salary issues and how the compensation system operates prior to negotiations. LIBA feels that having such a discussion is one additional step the board could take to gather public input and improving public trust in the budget process.
Education is critical to our community. To continue the improvement of the District and its budget process, LIBA believes that future raises should be openly discussed with the public prior to starting labor negotiations. We also believe that performance based pay needs to be integrated into employee compensation. LIBA believes that the District can transition from Good to Great and that these suggestions will help involve the community, increase trust, and encourage continued performance improvements.
Schools Position Statements
LPS School Bond
January 12, 2006
RE: LPS School Bond
Lincoln, Nebraska - January 12, 2006 - The Board of Directors for the Lincoln Independent Business Association is following recommendations from its School Liaison Committee and Budget Monitoring Committee, and is announcing its endorsement of the Lincoln Public Schools Bond Election.
LIBA does not make this endorsement lightly. The Board and its committees carefully considered all aspects of the proposal, and reached this decision after much deliberation. In the end, the decision to support this proposal comes from respect for the process followed by the Student Housing Task Force in establishing student needs and on promises made by the Board in how it will implement the bond issue.
LIBA Executive Director, Coby Mach, said LIBA recognizes that our growing city needs more schools, more student seats in some existing schools, and to renovate some of our older schools. We believe the Student Housing Task Force did an admirable job in identifying those needs and in developing a financing plan that makes those improvements bearable. This is an important issue for our kids and for the growth of our community, said Mach. We believe that the conditions adopted by the Board of Education for the bond Issue creates sufficient controls to earn our endorsement. Those critical conditions include:
1. Setting a flat tax levy rate. This will guarantee that the levy rate that is funding this bond issue will decrease as valuations increase on our homes or as additional homes are added to the tax roles.
2. Creating a public oversight committee similar to the Student Housing Task Force to ensure that projects to be funded by the bonds are completed efficiently, within budget, and following the recommendations made by the Task Force.
3. The Board design and implement, with public input, a complete revision to the current attendance areas for elementary and middle schools. This is critical to allow attendance at neighborhood schools and to balance attendance in these schools.
LIBA wants to congratulate the Student Housing Task Force for its hard work on this issue, and salute the board for listening to this group. It is our hope that this is another step in the direction of increased cooperation between the Board and the public in resolving key issues facing the district.
Schools Position Statements
Lincoln Board of Education
September 06, 2005
The Lincoln Independent Business Association would like to make a few comments regarding the 2005 2006 LPS budget.
First, LIBA asked Associate Superintendent for Business Affairs Denny Van Horn to prepare a consolidated budget. We wish to thank to Mr. Van Horn for accommodating that request and for preparing the materials for early review by the public. He has been very helpful and open during the entire budget process. I am told by several accountants, that at one time, the LPS budget was the most controversial in the city. But, with Mr. Van Horns help, it has become one of the easiest to follow.
We do feel that LPS came through the budget process managing very well within the lid. We feel that, for the most part, you did an exemplary job of communicating with citizens throughout the year.
We would encourage you to continue a focus on public communication. Recently, this body held a meeting in Nebraska City upon short notice. LIBA would like to formally request 14 days advance notice when this body is going to meet in another city.
LIBA also feels that you need to prepare for the future recommendations from the LPS Student Housing Task force. You must be ready to discuss their proposals and have a plan for having a public discussion of the issue. This should be handled more deliberately and carefully than you handled the $30 Million dollar bonding of levy income from a few weeks ago. Four days notice is just not enough time to handle issues of this magnitude.
At the end of the budgeting process, LPS found itself with additional funds totaling $919,630. LIBA hoped that a portion of these funds would be set aside for future needs. However, we do agree it is appropriate to use some of those funds to create a Safety & Security Department.
While we can't argue with the need to be more safe and secure, going from a budget of $0 to a budget of $227,000 seems like a large leap. We won't disagree with hiring the Safety Specialist, but giving him/her an office assistant might have been premature. Looking at this from another angle, we certainly commend the district for keeping the salary for the office assistant well within reason. We also see the need for a Background Investigator and background checks.
Additionally, as long at the district chose to spend the surplus funds, LIBA finds it appropriate that some of those dollars were used for new teachers, especially given last year's cuts and this year's growth.
Again, thank you for your hard work on managing expenses this year. We look forward to a year with improved communications and continued fiscal discipline.
Return to Top