School District of the City of Muskegon Heights

Receivership Transition Advisory Board Meeting

Wednesday, April 21, 2021

Virtual Meeting via Microsoft Teams

MINUTES

Draft

1. Call to Order
   1. Chair Jessica Thomas called the meeting to order at 4:03 p.m.
   2. In accordance with Public Act 228 of 2020, this meeting will be held by remote participation. 
2. Roll Call

Members Present-3

• Dr. Dale K. Nesbary - Muskegon, MI
• John Schrier - Muskegon, MI
• Jessica Thomas, Birmingham, MI

Members Absent -2

• Dr. Patrice Johnson
• Clinton Todd

A quorum was present.

3. Approval of RTAB Minutes
   1. Motion made by Mr. Schrier and seconded by Dr. Nesbary to approve the draft minutes of the RTAB March 17, 2021 meeting. The RTAB members unanimously approved the meeting minutes as presented.
4. Communications
   1. Chair Thomas informed the meeting that communication was received from Muskegon Heights Public Schools Board of Education after distribution of the meeting packets.  She stated that the communication will be circulated to the board.
5. Old Business
   1. Chair Thomas stated that an item was posed previously regarding the dissolution of the RTAB board and reported that some items are needed specific to the conditions that must be met prior to the dissolution of a Receivership Transition Advisory Board.  She further stated that it is her intention to make a request to the district to provide documentation showing that those conditions have been met.
   2. Chair Thomas invited the members of the RTAB to provide additional comments regarding the status of the RTAB and recommendation memo.
   3. Dr. Nesbary stated he would like to see the district's financial tracking that demonstrated positive outcomes for the past 24 months.
   4. Mr. Schrier stated that there are 4 questions he would like legal counsel to advise on:
      1. What are the statutory conditions for dissolution of the RTAB?
      2. Have those conditions been met?
      3. If the answer to question 2 is yes, what is the process for dissolution of the RTAB?
      4. If the answer to question 2 is yes, he would like legal counsel's recommendation on any conditions that should be imposed as part of the proposed dissolution of the RTAB.
   5. Chair Thomas noted that written documentation will be obtained from the district, including the requests of the RTAB Board member.    
6. New Business
   1. District Financial Update
      1. Budget to Actual Revenue and Expenditure Report
         1. Mr. Lewis reported that the district received its final tax disbursement from the City of Muskegon Heights for the current fiscal year and noted that the remainder of the disbursements will be received from Muskegon County in June 2021. He also reported that expenses were tracking as projected and there are no substantial changes since the budget amendment.
      2. Cash Flow Statements
         1. Mr. Lewis reported that cash flow continues to remain stable for the coming year.
      3. Liabilities Report
         1. Mr. Lewis reported that there are no changes from the prior report.  He stated that payments on the debt service will be made on Friday and presented a question regarding future debt restructuring for the District.
         2. Chair Thomas stated that she will do some research as it relates to the question to determine if it is possible and if there will be any financial implications.
      4. Debt Schedule
         1. Mr. Lewis reported that the debt schedule is for the qualified zone academy bonds and the last payment is expected to be made in December 2022.  He further stated that when the payment is completed, there will be an increase in revenues in the amount of $182,000 year after year.
7. Public Comment
   1. Trinell Scott - Board President, Muskegon Heights Public School District
8. Board Comment
   1. None
9. Adjournment
   1. There being no further business, Chair Thomas adjourned the meeting at 4:22 pm.