June 5 Special Board Meeting Highlights

Transportation – School Bus Purchase

Chief Financial Officer Ryan Boser explained that the school division recently underwent an RFP process for PRPS school bus transportation services. The process resulted in contract proposals for 87 routes coming back with an 8% to 200% increase compared to current costs. The average increase was 55%. It was noted that the significant increases are not able to be managed within the current transportation funding allocation.  

Administration and the Board of Trustees investigated several options to navigate the funding challenge and will be moving towards a division-owned bus fleet, which is common in rural school divisions. The rationale is to make PRPS more economically efficient by running operations internally. This requires PRPS to find funding to secure buses. Options were explored, including obtaining a bank loan, a line of credit, and/or leasing buses. PRPS was successful, following multiple meetings with government, to secure funding from Alberta Education to purchase buses. In the first year, the board will purchase/operate 39 bus routes and award bus contracts to large contractors for 30 routes and 12 routes to independent contractors. The total number of routes will be reduced from 87 to 81 for the 2024-2025 school year.

The board approved the purchase of 38 buses for $5,892,006.80 plus GST. The division already owns one new school bus. The interest free loan is an advance on PRPS transportation funding, which would be paid back over the next 10 years with payments coming directly off each year’s transportation grant. Estimated cost savings in the first year, compared to full contracted services, is $689,000.

2024 – 2025 Preliminary Budget Approval

Chief Financial Officer Ryan Boser presented the 2024-2025 Preliminary Budget for approval. It was noted that assumptions for the preliminary budget were made based on securing funding for the purchase of buses for the school division. Highlights of the budget include primary instructional grants remaining the same, a slight enrollment increase (35.5 FTE), an increase in Alberta Education operational funding of $1,384,402, an increase in insurance premiums of 5% for liability and property and 3% for vehicles, and ASEPB benefit increases of 10%.

Budgeted amounts for the 2024-2025 year include the following:

·      Instruction Surplus $905,185

·      Operations & Maintenance Deficit ($876,887)

·      Transportation Deficit ($405,608)

·      Administration Surplus $92,970

·      External Services (Teacherages) Surplus $3,254

Overall, the division is projecting a deficit budget of $281,086. As of August 31, 2024, the Division has an expected accumulated Operating Reserves of $2.185 million, or 3.77% of total expenditures.

2024 – 2027 Education Plan Approval

Superintendent Reagan Weeks shared highlights and changes in the 2024-2027 Education Plan for PRPS. The division will continue with the same goals and objectives in the final year of the plan. Progress is measured through assurance measures, with the spring measure showing PRPS exceeding the province in eight of twelve measures. The remaining measures, related to diploma and PAT exams, will be added in November.

A new addition to the plan, requested by the Board of Trustees, is the stakeholder engagement statement. Another adjustment is a modification to the Capital Plan, prioritizing the modernization of Parkside School, with full design funding secured and hopes for construction funding soon, estimated at $20,095,967.

The strategic priorities are Ignite Minds, Kindle Hearts, Forge Futures, and Truth and Reconciliation. "Ignite Minds" focuses on classroom core coursework, with an emphasis on writing and primary literacy. "Kindle Hearts" aims to create meaningful connections with students. "Forge Futures" has shown positive results over the past five years. The work on Truth and Reconciliation continues, with acknowledgment of the need for growth despite considerable efforts.