Mr. and Mrs. Dana Arazi, Connect parents, made a comment regarding a work journal compliance matter.
Dr. Brann requested a report from staff regarding the situation.

Mr. Meath acknowledged the hard work of all Da Vinci staff during this difficult year.
Mr. Santiago concurred with Mr. Meath.
Dr. Brann commented that it had been an unprecedented year, that he is proud of everyone's efforts, and that he looks forward to the next school year.

Brief discussion on graduation ceremonies ensued.
Dr. Wunder commented that Da Vinci staff is sprinting uphill for the next three weeks with the end of the year activities.  He also commented that early indications are that Da Vinci Connect High School will receive full WASC accreditation.  He also commented that the team, including Wiseburn leaders Dr. Silvers and Ms. Harbeck, is working on building next year's K-12 music program.

Mr. Amato shared the April 2021 balance sheet and profit & loss statements.  Dr. Wunder added that the line of credit increase with Banc of California has been renewed.

Mr. Amato continued with the P&L, saying that there are no material differences between the projections and actuals to report as the organization heads into the end of the year.  Mr. Meath inquired about accounts payable.  Mr. Amato explained that in early 2020, he had done a lot of work on assuring accuracy, and is confident that accounts payable will be properly booked.

Mr. Amato briefly commented on the California State-funded program Expanded Learning Opportunity Grant Plans (ELOP) funds.  The program was only recently announced and each school has created a plan for use of the funds which are presented for the Board's approval.

Regarding the Governor's May Budget Revise, Mr. Amato noted the COLA increase for LCFF  funding is 5.07%, including a 4.07% base and 1% supplement. The revised budget also included a 4.05% increase for COLA to SPED revenue and a 1.7% increase in mandated block grants and child nutrition funds.

Discussion on LCFF deferrals ensued.  In Mr. Denniston's view, the Governor is betting that voters care more about universal Transitional Kindergarten (TK) programs than eliminating all education deferrals.

Mr. Amato also noted that future planned LCFF COLA increases for the 2022-23 are proposed to be 2.8% and 3.11% in 2023-24.  Mr. Denniston reminded the board that these are only proposals, and the State is proposing universal TK for all 4-year-olds by 2024-25.  There is no additional money to pay down retirement (CalSTRS and PERS).  Mr. Denniston anticipates the State will allocate more funds for summer school which will help to alleviate learning loss.

Mr. Denniston further discussed the Governor's proposal triggering a potential cap on school district reserves of 10% (that does not apply to charters). This is a large change since the current statewide average is 20%.  10% is too low for school districts, especially given deferrals.  Further brief discussion ensued.

Mr. Amato went on to discuss the PPP loans, saying that the Banc of California is seeing longer timeframes for organizations to receive their loan forgiveness.  Mr. Amato is not concerned as forgiveness can be received up until the audit is complete in October. 

The Line of Credit increased from $1.5MM to $2.5MM, and interest rate decreased from 5% to 4.75%.

Da Vinci's share of ESSR III stimulus funds were estimated early on to be $1.6MM. The CDE recently released preliminary estimates which were higher.  Da Vinci Connect's and Communications' allocations increased significantly.  Brief discussion ensued on the funds and the timing of their use.  The funds require the school sites to submit a written plan 90 days from now.

Mr. Amato commented on Deferred Maintenance, saying that wording of the Facilities Use Agreement has been agreed upon with Wiseburn saying that there is no need to open a separate bank account just for deferred maintenance funds.  For the period from FY17-18 through the end of FY20-21 $545,742 of Da Vinci reserves will be designated for unrestricted deferred maintenance.  Each year beginning with the FY21-22 budget, 1% of LCFF unrestricted reserves will be transferred to deferred maintenance.

The Board thanked Mr. Amato for his work.

Mr. Bravo introduced the new Athletic Director, D.R. Moreland, and the interim Athletic Director, Tori Grafeman.  Discussion on athletics ensued, and the Board members welcomed Mr. Moreland and thanked him and Ms. Grafeman.

Mr. Bravo commented on the film shoot occurring on campus and the graduation ceremonies.  Graduation plans have been submitted to the L.A. County Department of Public Health (required for events of 250 people or more). 

Mr. Bravo also commented that the Black Box theater is complete, and a brief video of the space being used was shown.  A video wall was installed as well as a new stage, camera, sound and baffle system.  Seating capacity for the space is 400; but less with the COVID-19 restrictions.  

Ms. Morgan expressed her enthusiasm for the completed project, and thanked Ms. Levenson, Mr. Bravo and the staff for their hard work.  Dr. Webber agreed, saying that the facilities are world-class, and the school is ideally located for not only students but members of the public to appreciate.

Brief discussion among Dr. Brann, Dr. Hawn, and Dr. Wunder on the difficulty in filling speech language pathologist positions ensued.

Brief discussion by Dr. Wunder, Dr. Silvers, and Dr. Brann on the 201 N. Douglas Street move-in date and the proration of the first year's deferred maintenance amount.

Item was tabled, as the lease agreement had not yet been produced.

The Board entered Closed Session at 7:20 p.m.

Public Session resumed at 8:58 p.m.
Dr. Brann reported no action was taken in Closed Session.