None

Public hearing called to order at 6:10 p.m.

Dr. Brann called for comments.

Da Vinci Design Principal Russell Stoll started off the LCAP Update presentation, sharing the successes and challenges toward implementing the Local Control and Accountability plan. Design has achieved excellent rates for cohort graduation (97%), A-G eligibility (95%), and CTE pathway completion (78% vs. State average 13%). ADA increased almost a full percentage point. Challenges include students reporting that they feel less trust from adults. A new administrator at Design, the Dean of Student Success and Culture Korina Barefield will help support students. Dr. Brann inquired about the increased ADA for 2022-23 = upwards of 93%. Mental and emotional health issues more than physical health issues have been a factor. The staff supports students in this area.

Michelle Rainey, Da Vinci Connect Executive Director, shared that Connect's graduation rate is 96%, and attendance stands at 96.5% for K8 and 98% for High School. 81% of all Connect high school students participate in dual enrollment. Challenges include disparate test scores for a few subgroups, dual enrollment course transferability, reliability, and availability, and a higher number of suspensions than the previous year. Dr. Webber inquired about dual enrollment. Ms. Rainey responded that the Southern New Hampshire University courses are rigorous but not reliably transferable.  The staff are working with SNHU to solve the problem. Other institutions like El Camino College and Arizona State University also present dual enrollment challenges. Staff is counseling students with multiple factors in mind. 

Mr. Boston inquired about dual enrollment. Ms. Rainey noted that while some students seek the concurrent high school diploma/Bachelor's degree opportunity, other families are attached to the traditional four-year college experience and seek transferability. Colleges evaluate the courses to determine the number of course credits that will be awarded. Ms. Rainey went on to share the story of a student who achieved her AA degree along with her high school diploma, stayed for an additional year to complete her bachelor's degree with SNHU, and is working on her substitute teaching credential in order to work as a substitute next year so that she can obtain her teaching credential with Alder University, all for free through Da Vinci Schools.

Mr. Andrew Daramola gave the Communications update. He shared the successes at DVC: the Financial Literacy program, Media Production, and Marketing pathways; a new English Language Learner support program, and an improved Graduation rate (97.8%) and A-G completion rate (98.5%). Challenges include student collaboration and conflict resolution, especially in 9th grade, and  Math and ELA learning loss for entering students compared to previous years. DVC is planning peer counselor training for 11th and 12th grade student Wolf Pack leaders to work as peer mediators beginning with the 9th grade overnighter and throughout the year. Regarding learning loss, a math coach will work with the math department and academic coaches, and there will be increased tutoring, seminars, and test prep opportunities. Dr. Wunder added that the Statewide A-G completion rate is 48.4%, and graduation rate is 86%.

Ms. Saya Wai gave the update for Science. Successes include a Math co-teaching model for Algebra 1 which provides more targeted student support, a restructuring of the counseling program so that more counselors are available for summer and all are able to do more in-depth work with students. Staff have focused on intervention and targeted support during the school day as opposed to pre- and post-school day. Real World Learning opportunities have continued to grow. Challenges include COVID-induced increased SEL needs, attendance challenges and content and skill level differences. DVS Culture and Leadership structure are being revamped, with more community building through leadership. EL/Multilingual passports, a parent/teacher/student cohesion team, and exploration of additional seminar options are also parts of the upcoming plans.

Dr. Brann called for public comments again before closing the public hearing.

Dr. Webber shared that the graduation ceremonies (she attended all of them) were very moving, celebratory events. She noted that students selected the staff speakers, and one of the speakers who especially impressed her was Mr. Travis Wimer.

Mr. Boston seconded Dr. Webber's sentiments about graduation ceremonies, congratulated all of the students who graduated, and thanked all the teachers and staff.

Ms. Heimov acknowledged Dr. Jennifer Hawn, saying that it has been a pleasure to work with her and wishing her the very best in her new position. 

Mr. Ochoa thanked the staff for their hard work in producing the graduation ceremonies.

Mr. Santiago echoed the other board members' sentiments on graduation ceremonies, and he acknowledged Dr. Hawn's work.

Mr. Meath echoed all the trustees' comments.

Dr. Brann shared that he had witnessed the first day of summer camps at Da Vinci Schools, and that the students were very excited, including Dr. Webber's daughter, who is one of the camp leaders. Da Vinci's goal has always been to help students on their way to a happy, productive life.  He also wished Dr. Hawn well in her new role as the Superintendent of Piedmont Unified School District. He appreciated her professionalism and service of four years.

Dr. Wunder shared that 150 9th graders from DVC, DVD, and DVS attended orientation on Tuesday, and 150 younger students are attending summer camps largely run by high school students overseen by staff. Next week Aviation summer camp starts, along with the summer trades Welding program and Stellar camp in partnership with the L.A. Air Force Base.

Dr. Wunder thanked Chief Financial Officer Mr. Michael Amato for his work on the budget and tracking one-time monies and the advancement team's successful grants. The work is complicated and unending across five schools, and Dr. Wunder is grateful for Mr. Amato's financial leadership.

Dr. Jennifer Hawn thanked Dr Brann and the Da Vinci Schools Board of Trustees for their support, as well as the leadership team, the teachers, and the students. The small but mighty HR team (Dr. Hawn, Martha Prieto and Christina Lopez) is transitioning over to Ms. Veronica Rodriguez. 

Mr. Amato spoke of Second Interim Report's projected surplus of $600K, independent of the ERC $1.6M funding.  Shortly after the Second Interim report was given, the State released final funding details for the additional hold harmless funding program. The final results are $900K above Mr. Amato's conservative projection, which will allow him to push one-time grant monies to the 2023-24 year. He projects a healthy financial year. He foresees shifts in funding with State and Federal one-time funds, shifts in enrollment, and other factors for the 2023-24 year. $800K surplus will focus on Connect K8, which is located on a campus that required considerable investment of $1.1M, and has continued to grow. The campus now requires less maintenance, contributing to the surplus. Increased enrollment will stabilize Connect high school, which required $1.4M to build out. The 201 schools are also stable at break-even. The DVC SPED Futures program requires more funding, which makes DVC run at a deficit, unlike the other high schools.  

Athletics costs (AD, equipment, fees, transportation, referees, etc.) are budgeted at $674K. Transportation is a high cost - $167K total for all sports teams. Out of State, in-season tournaments are paid for by Da Vinci. If out of season, out of state, the parents fundraise. In order to save money in the future, the school has invested $82K in two 10-seat vans, but will save $27K per year. Mr. Amato is exploring larger bus options, since transporting athletes costs $50K/year, and the Track team consists of 50 to 100 athletes. Dr. Brann advised Mr. Amato to consider the regulations and laws under which school transportation operates, and not just focus on the dollar savings.

The Arts and Music program has expanded, including a new choir teacher, new equipment, performance expenses, etc. $75K is budgeted for the program for 2023-24.

One Facilities Use Agreement compliance item is to budget 2% of the 201 schools' State revenue for routine maintenance; however, Da Vinci does not spend 2% each year. Even encumbered by preventative maintenance contracts, 1.5% is typical, which means Da Vinci is overbudgeting routine maintenance. Mr. Amato underbudgets CMO fees to offset this overbudgeting. Another compliance item is the contribution of 1% of LCFF funding into reserves.

Mr. Amato's ADA percentage and enrollment projections are conservative.

Mr. Boston appreciated the financial detail, but called on Mr. Amato to keep track of the difference between the $674K spent on Athletics and the $75K spent on Arts & Music. He acknowledged the pressure from some quarters to spend on sports, but reminded everyone to not to lose track of the larger perspective of some of the other things on which Da Vinci is not spending much.

Mr. Amato shared the expenses for legal fees. He would like to protect the annual budget and student services from additional legal fees over the amount he typically includes in the budget. He will bring a proposal to the Board to re-designate funds from current reserves and the economic uncertainty "bucket."

He then went on to discuss net capital expenses which depreciate over time. Net cash reserves=gross net assets less net capital assets (big capital projects, large equipment, construction projects, etc. that depreciate over time). Net cash reserves as of June 30, 2023 are projected to be $11.25M.

Net cash reserves are designated for deferred maintenance, economic uncertainty, the soccer field, CTE Studio, etc. Soccer field funds must be re-designated, since the project has been approved to be built by Wiseburn.

Mr. Amato anticipates lower reserves at the end of 2023-24, due to new capital projects and expenses such as the security cameras, new vans, and potentially the Sandbox, etc., where the out-of-pocket costs come from undesignated reserves. ERC funds, expected in the next two months, will increase reserves by $2M.

Ms. Heimov inquired about the differences among schools. Mr. Amato shared that each site is based on enrollment, ADA, special education, expenses which are dependent on the number of students, curricula, and pathway programs. CMO fees cover a variety of expenses that are allocated to each school according to a percentage based on the expenses. 

Mr. Boston asked if a sensitivity analysis has been run on each site. ADA is $15K/student per site. The pandemic has affected ADA; we have seen small improvements.

Mr. Santiago inquired about the CTE Studio requiring a revamped budget. Mr. Amato shared that he is expecting the costs to increase for the overall project. The current designation of $1.17M represents expenses above grants of $2M, so the total project budget is currently $3.17M. Once the next cost estimate comes in, costs are expected to increase and a new designation will be proposed.

Mr. Santiago also would like music programs funded to the fullest extent, and allocate enough dollars as the program grows to support as many students as possible. Mr. Amato agreed. Dr. Wunder commented that the CTE Studio - he doesn't not want to conflate different messages or goals. DV has communicated to the Wiseburn board that they are not "on the hook" for cost overruns. The delayed construction will create increased costs. But the DV Board is not writing a blank check. Dr. Wunder feels the next step is to bring back real information.  Targeted naming rights would be a good source of revenue. Wiseburn has yet to release those rights, but the discussion is ongoing.

Mr. Amato returned to insurance costs, which are being held steady in the new school year, excepting a small $20K retraction of COVID relief.

Dr. Wunder reminded the Board that Dr. Hawn has made significant contributions to the board, and one of the most impressive is her work to keep insurance costs level.

Mr. Meath noted in regards to Mr. Boston's question on the sensitivity analysis, using round numbers, 2,000 students at $15,000 per student equates to $30M in State funding, a one percent differential from actual enrollment to ADA is worth about $300K per percent. So going up 3% to 4% equals almost $1M.

Dr. Hawn reported that the new Athletic Director position has been narrowed to two candidates and will be presented to the Board by the next meeting.  

The staff recommendation is to hold steady on the Cheer program; not pursuing a CIF status for it at this time.

Mr. Corral spoke of the current security cameras, which were not placed correctly, and were already 3 years old at installation since they were purchased prior to the building being finished.  The resolution is poor, the software is out of date. The new cameras were chosen so that they will last for the next 10 years. Dr. Webber shared that Mr. Corral and his team has done excellent research, and has contacted other school districts for references, and has obtained a 10 year warranty. He has balanced finding a solid, well-performing system with decent pricing. Mr. Corral also shared that the new system will capture license plates of vehicles coming onto campus. Dr. Brann asked Mr. Corral to coordinate with the El Segundo Police Department.

Closed session was entered at 7:59 p.m.

Public Session reconvened at 10:11 p.m.

Dr. Brann reported that no action was taken in Closed Session.