By Jim Westrum
MASBO - A GREAT Organization! I would like to close this membership year with a couple of reflections on our association -- the Minnesota Association of School Business Officials. Over the last several years, the board has periodically referred to the author Jim Collins’ book entitled Good to Great as a source of guidance and validation regarding MASBO’s purpose and the work that we have been doing. Within this book, Collins discusses some visible and tangible indicators that MASBO clearly demonstrates -- great organizations begin with a clear purpose and a disciplined “leap” followed by a relentless pursuit of delivering on its mission. While I am convinced that MASBO made “the leap” to greatness years ago, equally important is that we, as an organization, have continually been driving towards even higher levels of performance for our members and that we have been striving towards an even larger impact on our profession. This has only been possible because we have a highly engaged and active membership. After recently attending the spring conference, committee meetings, the School Business Officials Scholarship fundraiser, and the legislative conference, I think it is safe to say that MASBO members are enthusiastically involved in MASBO and help to make it the great organization it is today. Thank you to both active as well as associate members! A second indicator of a great organization is that it achieves lasting endurance; that it delivers exceptional results over a long period of time, beyond any single leader, great idea, market cycle, and that it bounces back stronger than ever if it encompasses any setback. MASBO has been providing its members with opportunities for over five decades and from the growth in our membership, committee membership, and conference attendance, it would appear that we are robust in this area as well. Thank you to the founders, current and past board members, committee members, and of course, our Executive Director Sue Crockett and to Donna Walseth! We are a robust organization! The final reflection is a rhetorical question that Collins believes each organization should ask itself. A great organization makes a distinctive impact. It makes such a unique contribution to its members and to the communities it touches and does its work with such unadulterated excellence that if it were to disappear, it would leave a hole that could not be easily filled by any other institution on the planet.
With these thoughts in mind, it has been my honor to serve my colleagues as we have continued this legacy, and I look forward to looking back a decade from now and seeing how MASBO has continued its relentless pursuit of advancing the knowledge and abilities of school business professionals and providing a voice and forum for the profession! Enjoy your summer! 
By Sue Crockett 
How well do you know the MASBO website? I received a call recently from a member who was looking for a sample RFP for auditors and wanted to know if I had any. “As a matter of fact,” I said, “MASBO has all kinds of sample RFP’s listed in the Helpful Resources section of the MASBO website.” I walked him through the process to search by category or by keyword and he was very impressed. “Wow,” is what I believe he uttered. He then proceeded to ask me if I could recommend any auditors? I replied, “that’s easy.” I showed him how to search the Associates Membership Directory by clicking on the category “audit and accounting services” which brought up all of our member companies that provide auditing services. Again, “wow.” I couldn’t stop myself there so I asked him to click into one of the company names. Up comes the company name, logo, description of services and contact information. “Now, if you click onto the web address,” I said, “it will take you directly to the company’s website.” It was more than he could take. He exclaimed, “This is great, I can see that you have put a lot of effort into crafting this site. What a great resource!” Are you taking advantage of the resources the MASBO website has to offer? Take a moment and go to www.mnasbo.org – Resources – Helpful Resources - and run a few searches for information you would find helpful. Then, open up the Associates page and peruse the products and services that are at your fingertips. And, as always, give me a call if you need assistance. If there is additional information you need to access, that is not already available, please let me know and I’ll get it posted on the website.
Meet & Greet MASBO’s New Members
By: Liz Olson, MASBO Membership Committee In addition to listing the new members each month in the newsletter, the Membership Committee will provide you an opportunity to get to know our new members in this special “Meet & Greet New MASBO Members” section. We encourage you to greet and introduce yourself when you see our new members at MASBO events. Please welcome: Joe Prom, CPA
Controller
St. Cloud Area School District 742 Joe began working for the St. Cloud Area School District as Controller in September 2008. Prior to working for ISD 742, he spent approximately four years with Kern, DeWenter, Viere, Ltd. in St. Cloud auditing Minnesota cities and school districts, including ISD 742. Having the opportunity to work with ISD 742 staff on audits before working for the district has made the transition into a full-time school finance position very positive for Joe. MASBO Members on the Move Phyllis Vit has left Westonka and is now with Intermediate District #287 in Plymouth,MN
MASBO Certification Program The first MASBO Certification course will be held on Wednesday, September 10th following the Tax Levy Workshop in St. Cloud. To date we have enough participants for one class. Registration for the first Certification course will be available online at the same time as the Tax Levy workshop. The cost of the course is $75 for MASBO members and $105 for non-members. The fee for the Tax Levy workshop is a separate registration fee. Certification Course topics include a brief overview of tax terminology, levy components, and timelines. The majority of the session includes how to budget property tax revenue and perform year-end reconciliations on property tax revenue. There will be a short test at the end of each Certification course. A passage rate of 70% will be required to receive credit. If you attend the Tax Levy Workshop, you'll receive 5 continuing education units (CEU's) to apply towards the additional 27 CEU's required to complete the Certification program. There is still time to send in your application to participate in the Certification Program. Materials and application can be found on the MASBO website under Events.
Legislative Session Recap
Valerie Dosland, Ewald Consulting
valeried@ewald.com Overall outlook
After weeks of intense around-the-clock negotiations and some long hours in the final days, leaders from the House and Senate along with Governor Pawlenty were able to reach a budget deal in the final hours of session that allowed the state to balance the budget and bring session to an end. The negotiated deal consists of $350 million in budget cuts, along with using $500 million from the state’s reserve accounts while protecting a $350 million cash flow account. Other areas that the deal addressed included $25 million in direct property tax relief, $60 million in aids to local governments, a limit on city and county property tax levies, as well as increased funding for E-12 education. Education Policy Bill
This session, the education funding and policy provisions were in separate bills. Governor Pawlenty vetoed the Education Policy bill over concerns about a provision to change how and what information on schools and student performance is reported to the public in the School Report Card. Also included in the bill was an increase to the compulsory attendance age from 16 to 18, a provision to make hockey the state sport and new graduation requirements for physical education. Article 2 – Early Childhood through Grade 12 Education,
HF1812, Budget Reconciliation Bill Text of bill
Appropriations and levy tracking: One-time per pupil increase: Adds a one-time increase of $51 per marginal cost pupil unit in basic aid. The money is not put on the formula but is distributed to each school district as general education revenue for FY 09. Operating capitol reserve account transfer: Allows a school district to transfer up to $51 per adjusted marginal cost pupil unit from its operating capital account to its undesignated general fund balance. The school board must adopt a written resolution stating the amount of the transfer and declaring that the district’s operating capital needs are being met prior to making the transfer. Permanent school fund subtraction: Eliminates the permanent school fund subtraction, starting in FY2010, which provides approximately $36 per pupil in additional revenue to school districts. Lease levy: Increases the lease levy from $100 to $150 times the district’s resident pupil units and increases the lease levy amount for members of an intermediate school district from $25 to $43 times the adjusted marginal cost pupil units. Referendum ballot language: The ballot language required for a renewal of an existing operating referendum is changed from “you may be voting for a property tax increase” to “you are voting to extend an existing property tax referendum that is scheduled to expire.” Makes the change effective for elections after June 30, 2008. Safe schools levy: Requires the additional safe schools levy authority of $3 per pupil unit that was added by the 2007 Legislature to be used only for expanding the availability of licensed school support staff. Aid payment shift: Reverses the aid payment shift for districts in statutory operating debt to align with other districts. Developmental screening aid: Increases in developmental screening aid to $75 for three-year olds, $50 for four-year olds, and $40 for five-year olds. Adult Basic Education Aid: The ABE growth factor is changed so that it is based on the average growth in state total contact hours over the prior 10 program years rather the state total contact hours in the second prior program year. Cash flow borrowing: Specifically authorizes an intermediate school district to borrow against its expected receipt of state aids, federal aids, and membership fees and tuition payments from its member districts. Allows the intermediate school district, upon its member district approval, to amend its bylaws to allow it to pledge the full faith and credit of its member districts to repay the short-term borrowing of the intermediate school district. Special education task force: Extends the special education task force for 1 year and directs the task force to submit a report to the Legislature recommending how state statutes and rules that exceed the minimum federal requirements might be amended to conform to federal requirements or made more effective as determined by a majority of task force members. Kindergarten milk aid: Increases aid by $402,000 MDE budget: The MDE budget is reduced by 4% or $892,000 Omnibus Tax Bill I
OPEB: Authorizes cities, counties, and school districts to establish trusts for the payment of post-employment health benefits required to be recognized by GASB 45. Authorizes a municipality to issue bonds to fund actuarial liabilities to pay post-employment benefits. (HF3201, Article 10) Omnibus Tax Bill II
Local collaborative time study: Allows school districts and Intermediate School Districts to levy the amount of revenue needed to replace federal funds that have been disallowed resulting from the settlement of an audit by the federal Office of Inspector General of Local Collaborative Time Study school-based services claimed in Minnesota. This is effective for taxes payable in 2009, 2010, and 2011 only. Omnibus Pension Bill
Retirement earnings limitations for part-time and substitute teachers: The maximum exempt income limit is increased to $46,000. 430(b) vendors: Makes the selection of 403(b) vendors subject to collective bargaining. The school district and the exclusive representative of the employees must consider all of the following: (1) the vendor's ability to comply with all employer requirements imposed by section 403(b) of the Internal Revenue Code of 1986 and its subsequent amendments, other provisions of the Internal Revenue Code of 1986 that apply to section 403(b) of the Internal Revenue Code, and any regulation adopted in relation to these laws; (2) the vendor's experience in providing 403(b) plans; (3) the vendor's potential effectiveness in providing client services attendant to its plan and in relation to cost; (4) the nature and extent of rights and benefits offered under the vendor's plan; (5) the suitability of the rights and benefits offered under the vendor's plan; (6) the vendor's ability to provide the rights and benefits offered under its plan; and (7) The vendor's financial stability. 430(b) contributions: Increases the limit on the employer contribution to one-half of the available elective deferral permitted each year under the Internal Revenue Code, instead of being limited to $2,000 each year; and requiring these supplemental plans to disclose fees and historic rates of return. Omnibus Data Practices Bill
Violation of data practices act: Increases the penalty for a willful violation of the data practices act. Provides that a government entity is liable for exemplary damages of between $1,000 and $15,000 for each violation. Current law sets the damage range between $100 and $10,000 per violation. Data sharing: Permits specified educational data to be shared between the Department of Education and the Minnesota Office of Higher Education for purposes of analyzing and improving instruction in public schools. Any analysis or report on the data must only contain summary data. Third party vendors: Permits a school hiring authority to contract with an eligible third-party to conduct criminal background checks required by law and specifies certain requirements for the contractual arrangement. Requires that a school district inform an applicant for employment or a volunteer position if the application was denied following the results of a criminal background check. An individual who is a current employee or volunteer must also be informed if their status is terminated because of the results of a background check. Miscellaneous Legislation
Conflict of interests and contracts: Provides for an exception to a state law prohibiting a public official from participating in making contracts where the official has a personal financial interest in or benefits from the contract. Certain circumstances must be met: (1) the employee spouse receives no special monetary or other benefit that is substantially different from the benefits that other members of the group of employees receive under the contract; (2) a majority of school board members vote to approve the contract; (3) the school board member spouse refrains from voting; and (4) the school board publicly establishes the facts of the contract at the board meeting where the contract is approved. (HF2785/SF2653) ECFE teacher licensure: Allows a school district to request a waiver or variance from the Board of Teaching. (HF2617/SF2796) Closed meetings: All closed meetings, except those closed as permitted by the attorney-client privilege, must be electronically recorded at the expense of the public body. Unless otherwise provided by law, the recordings must be preserved for at least three years after the date of the meeting. (HF3367/SF3120) Primary elections: Permits school boards to decide whether to hold a primary election to select nominees for the board. The school board must adopt a resolution no later than June 1 of any year, and is effective for all future elections until the resolution is revoked. (HF3172/SF2574) Background checks: School districts are required to request a BCA background check on all individuals who are offered employment in a school and on all individuals, except enrolled student volunteers, who are offered the opportunity to provide athletic coaching services or other extracurricular academic coaching services to a school, regardless of whether any compensation is paid. (HF2657/ SF2597 and SF2369/HF2782) Permanent school trust: Requires the Commissioner of Natural Resources to biannually report to the School Fund Advisory Committee and the legislature on the management of the school trust lands that shows how the commissioner will:
(1) manage the school trust lands efficiently; (2) reduce the management expenditures of school trust lands and maximize the revenues deposited in the permanent school trust fund; (3) manage the sale, exchange, and commercial leasing of school trust lands to maximize the revenues deposited in the permanent school trust fund and retain the value from the long-term appreciation of the school trust lands; and (4) manage the school trust lands to maximize the long-term economic return for the permanent school trust fund while maintaining sound natural resource conservation and management principals. (HF3625 /SF3056)
Changes Affect School District Purchasing for 2008-9 Included in the MASBO Legislative Conference materials from Tom Deans, was Chapter 207 - Contracting Threshold Limits that are effective August 1, 2008: If the contract is estimated to exceed $100,000, sealed bids must be solicited.
If the contract is estimated to be between $25,000 and $100,000, it may be awarded by sealed bids or by direct negotiation after receiving two or more quotations.
If the contract is estimated at $25,000 or less, it may be made either upon quotations or in the open market. The State of Minnesota Department of Materials Management has just announced that there will be no fee for 2008-09 to be a member of their Cooperative Purchasing Venture (CPV). The following announcement was issued by MMD: Cooperative Purchasing Venture Membership Fee Eliminated The Cooperative Purchasing Venture annual membership fee of $500 has been eliminated for the coming year, Fiscal Year 2009. One aspect of the Governor's Drive to Excellence program is for the purchasing function to act as an enterprise across governmental boundaries. By uniting in enterprise contracts and by doing as many enterprise-wide contracts as is feasible we expect increased purchasing volume to allow us to negotiate better pricing for all members. By eliminating the membership fee, we hope to remove a barrier to participation in the CPV program for those who can't afford the fee, or have had problems getting the fee approved. More members mean an increase in the size of the enterprise purchasing base with reduced prices for all who participate. Thanks to the combined purchasing power of its many members, Minnesota's CPV program has grown and is becoming increasingly successful in its mission of making great values available to all levels of government. In addition, legislative changes in 2007 make CPV membership available to certain non-profits as well. This helps expand our collective purchasing power and helps us leverage better contract pricing. Form Required
Even though there is no annual membership fee for the coming year, all entities still need to submit a subscription form with their current contact information. This form is found on the MMD web site at http://www.mmd.admin.state.mn.us/pdf/CPVSubscribe2.pdf, and should be submitted as soon as possible. The form is used to reset your permit number for the upcoming fiscal year. If an entity does not submit a form, it will not be an active member of the CPV, and will not have access to the secure information on our web site reserved for active CPV members. Questions about the CPV program can be directed to Paul Stembler at 651-201-2401 or paul.stembler@state.mn.us, or Sherry Brown at 651-201-2404 or sherry.brown@state.mn.us. Debbie Grant, RSBO
Procurement/Purchasing Specialist
NE Metro School District 916
e-mail: deborah.grant@nemetro.k12.mn.us
Communication & Engagement Committee News
Submitted by Kristin Hanson and Jodie Zesbaugh Reminder: Applications Due July 1st for ASBO’s Bridges to the Future Scholarships The Bridges to the Future Scholarship Program is a wonderful opportunity for new and aspiring school business officials to network with colleagues, participate in professional development, and explore the variety of school business management resources ASBO International offers.
ASBO International and MetLife award 20 scholarships of $2,000 for attendance to the association’s Annual Meeting and Exhibits and Leadership Conference, which will be held in Denver, Colorado on November 7th – 10th, 2008. For additional information regarding ASBO’s Bridges to the Future Scholarship Program, including requirements, application form, brochure and a list of the recent Bridges to the Future Scholarship recipients (including Tina Burkholder from ISD #877, Buffalo-Hanover-Montrose Schools!), please go to the following webpage: http://asbointl.org/index.asp?bid=7850. ASBO’s Facilities Masters Award Program - Applications Due August 1st Educational facilities have a critical impact on student learning and performance. Gain valuable insight into how your facility operations measure up and be recognized among the best of the best! The Facilities Masters Award Program: Facilities for Enhancing Student Performance, sponsored by SchoolDude.com, recognizes school districts that meet the national best practices criteria for an outstanding facilities maintenance program. The award program is built upon best practices identified in the Planning Guide for Maintaining School Facilities. Becoming a recognized facilities master enhances the credibility of the school system and its business staff and highlights the critical link between facilities and student achievement.
Recipients of Facilities Masters Award receive: - A handsome plaque and certificate
- National recognition for the district's achievement
- A sample press release to send to local media outlets
- Recognition on the ASBO Website and in ASBO publications
- Recognition from the program sponsor SchoolDude.com
- Expert recommendations based on "best practices"
For additional information regarding ASBO’s Facilities Masters Award Program, including a brochure, application form, program criteria and a list of the recent recipients, please go to the following webpage: http://asbointl.org/index.asp?bid=15466.
If you have any comments or questions for the MASBO Communications and Engagement Committee, please feel free to contact our Chairperson, Tina Burkholder at tburkholder@buffalo.k12.mn.us.
Attendance Record Set at MASBO’s 58th Annual Spring Conference Hats off to all who contributed in making the 58th Annual Spring Conference a tremendous success! A record 630 attendees participated in educational sessions and events supporting the conference theme “Striving for Balance” Thank you…
Attendees
Conference Sponsors
Exhibitors
Moderators
Program & Event Planners
Speakers Enjoy photos of the event. (click here) 
Ben Hawkins share his SBO award with fellow district members.
Biannual MASBO Retirees Summer Gathering Calling all MASBO retirees, past Presidents, and Board Members! Extraordinary hospitality and merriment will be had at this gathering. A lot of you new retirees don't know about this event. The gathering provides an opportunity for all past MASBO members to get together for a casual and fun day. All you need to do is register, show up, and have some fun! When: August 2, 2008, 3:30 p.m. Where: Carter Christie's
6002 150th St SE
Prior Lake, MN 55372 952-447-5710
Link to map: Meal: Steak, potatoes, salad, bread and beverages (including mixes, beer & wine). You may also bring your own beverage of choice. Cost: $12.00 per person (Enclose checks payable to John Siffert.) RSVP by July 28, 2008, to: John Siffert,
1483 Pulaski Rd
Buffalo, MN 55313
(763) 682-1796
jsiffert@hotmail.com | 
