The Becker School Board spent much of Monday’s meeting going over the 2016 audit,  truth in taxation and solar farms.

 

Joe Prom, director of business services assisting said the district has signed an agreement with US Solar to subscribe in two Community Solar Gardens — one in Sartell and the other in Sauk Rapids. The agreement allows the district to subscribe to up to 6,000,000 kWh of electricity, which is approximately 105% of the district’s annual consumption.

 

Prom said the district’s subscription rate is a flat rate of $0.1174 per kWh for 25 years. He said the district will pay this amount to US Solar on a monthly basis for their share of the energy produced by these CSGs. In turn, the district will receive a monthly bill credit from Xcel Energy for this same energy. 

 

The current bill credit is the same as the district’s subscription rate, however this is expected to increase by at least 2.5% annually (as the cost of power increases) while the district’s subscription rate will remain the same for 25 years.

 

Prom says there are no “out-of -pocket” costs to the district; the district will only pay for energy that they receive bill credits for. 

 

The CSGs the district is subscribing to are anticipated to be producing energy by the fall of 2017. Anticipated cumulative savings over 25 years are approximately $5 million, assuming a 2.5% inflationary increase in the cost of power (district’s bill credit) and a 0.5% degradation in the amount of power the district’s panels are able to produce annually. 

 

The district’s initial savings will be about $15,000-$20,000 annually.

 

Nancy Schulzetenberg of Bergan KDV presented the audit with Prom.

 

Schulzetenberg said the components of the audit includes an opinion on the school district’s basic financial statements. It is also a  report on the results of an audit performed in accordance with government auditing standards that disclosed one internal control finding.

 

Another component was a report on the results of testing on Minnesota Legal Compliance where they discovered no compliance findings.

 

The final two components included required communication and a financial analysis.

 

Schulzetenberg went over pupil unit(s) and funding, resident average daily memberships, resident ADM, weighted pupil units, the general fund budget and operations and the food and community service funds.

 

Prom opened a public hearing that is required annually. He outlined two major requirements for the truth in taxation law which includes, counties sending out “proposed property tax statements” in November, based on preliminary tax levies set by all jurisdictions and holding a public hearing to certify the final levy.

 

Monday, Prom presented information on the current year budget and actual revenues and expenses for the prior year. He also presented information on the proposed property tax levy and allowed the public to make any comments or ask questions.

 

Dr. Stephen Malone said all school board members are registered for the MSBA Conference being held Thursday - Friday, Jan. 12-13. The theme this year is “Courageous Leadership.” The keynote speakers are Alan Blankstein and Alan Page. 

 

Malone gave a Becker Innovates update, an MMR progress update, a high school program review committee update and the funding for activities not sponsored by the MSHSL.

 

Malone said the next school board meeting will be Jan. 9 because Jan. 2 is a legal holiday.

 

The next Becker School Board meeting is Jan. 9 at 6:30 p.m.