MINUTES
BOARD OF TRUSTEES MEETING
ANDERSON SCHOOL DISTRICT NUMBER FIVE
Anderson, South Carolina
December 15, 2015
6:30 P.M.
The Board of Trustees of Anderson County School District Number Five met in the Offices of
the Board this date with the following members present: Dr. Sandy Addis, Mr. Rick
Bradshaw, Reverend Johnny S. Donald, Jr., Mr. John Griffith, Mrs. Ann Huitt, Mr. Harold
Kay, II, Mr. Tommy Price and Mr. Paul Zugg. Absent was Mr. Jay Blankenship.
NOTICE TO MEDIA
In accordance with the S. C. Code of Laws, 1976, Section 30-4-80(d), as amended, the
following have been notified of the time, date, place and agenda of this meeting: The
Anderson Independent-Mail, Greenville News, The Anderson Journal, WYFF, WSPA, Paul
Brown, and FOX 21.
CALL TO ORDER & WELCOME
Mr. Bradshaw called the meeting to order at 6:32 p.m. and welcomed everyone to the
meeting.
PLEDGE OF ALLEGIANCE & INVOCATION
Mr. Bradshaw led the group in the Pledge of Allegiance to the Flag, and Reverend Donald
gave the invocation.
APPROVAL OF AGENDA
With no objections and by Board consensus, the Agenda was approved as
presented.
RECOGNITION OF EXCELLENCE
Special Presentation – Mr. Wilson recognized External Affairs Director Kyle Newton to
make a special presentation. Mr. Newton presented John R. Moore, Jr. with a Resolution
honoring his many accomplishments as City Manager of Anderson, SC. Mr. Moore began his
career with the City of Anderson in 1976, became Finance Director in 1983, and was
appointed City Manager in 1991. Mr. Moore is scheduled to retire at the end of the year as
one of the longest-tenured City Managers in South Carolina history.
Southwood Academy of the Arts Chamber Choir performed several Christmas songs. The
Chamber Choir is scheduled to perform at the SCSBA Annual Convention in Hilton Head
February, 2016 and at the Carnegie Hall in New York City May, 2016. Mr. Wilson then
recognized Southwood Chorus teacher Jamie Hawkins to recognize Southwood students
McCrae Brown and Samuel Walker for being selected to participate in the South
Carolina All-State Chorus. Students are selected based on their individual performance
as well as a sight-reading exercise.
Finally, Mr. Wilson recognized Human Resources Director Sabrina McCall to recognize three
teachers who have earned National Board Certification. The teachers are: Staci Stein,
Midway Elementary School; Tiffany Peters, T. L. Hanna High School; and Andrea
Isengard, Westside High School. National Board Certification is achieved through a
rigorous, performance-based assessment of a teacher's instructive skills and content
knowledge. The certification takes one to three years to complete.
OPPORTUNITY FOR CITIZENS TO ADDRESS THE BOARD
No one signed up to address the Board.
CONSENT AGENDA
Mr. Wilson and the Administration recommended Board approval of the following Consent
Agenda item:

Minutes of the November 17, 2015 Regular Board of Trustees Meeting
Mr. Price made a motion the Board approve the Consent Agenda Item as
presented. Mr. Zugg seconded the motion, which carried unanimously.
ACTION ITEMS
Approval of Act 155 Diploma Petitions – As a result of Act 155, students can now
petition for their high school diploma if all other criteria for graduation were met. The
Administration recommended Board approval of two students who have petitioned to
receive a high school diploma bringing the district total to 59.
Mr. Zugg made a motion the Board approve the diploma petitions as presented.
Mrs. Huitt seconded the motion, which carried unanimously.
Resolution for Bond Refunding (2008) – Mr. Wilson recognized Mrs. Heard to present a
Resolution for Refunding the 2008 Bond Issuance from the 2007 Referendum. At the
December 10, 2015 Committee of the Whole Meeting, Mrs. Heard discussed the definition of
advanced refunding and the steps taken for advanced refunding. The Administration
recommended Board approval of the Resolution for Bond Refunding (2008) as presented.
Mr. Price made a motion the Board approve the Resolution for Bond Refunding
(2008) as presented. Dr. Addis seconded the motion, which carried unanimously.
Affiliation Agreement – Mr. Wilson stated that an affiliation agreement between Anderson
County School Districts three, four, and five was presented and discussed at the December
10, 2015 Committee of the Whole Meeting. The affiliation agreement is to develop and
maintain a career and technology center to serve the school districts, under terms and
conditions as the school districts see fit. The Administration recommended Board approval
of the affiliation agreement as presented.
Mrs. Huitt made a motion the Board approve the Affiliation Agreement among
Anderson County School Districts three, four, and five to develop and maintain a
Career and Technology Center to serve the districts and to authorize the
Superintendent and Board Chairman to sign the agreement on behalf of District
Five. Mr. Kay seconded the motion, which carried unanimously.
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SUPERINTENDENT’S REPORT
Financial Audit Presentation for FY 14-15 – Mr. Ken Meadows of Greene, Finney &
Horton, CPA’s reviewed some highlights of the Financial Audit for year ended June 30, 2015.
He stated that the district is responsible for financial statements and effective internal
controls surrounding the financial statements. Greene, Finney & Horton is responsible for
providing reasonable assurance that financial statements are materially correct.
Mr.
Meadows reported that the district received an “unmodified opinion,” which is the best
opinion the school district can receive.
Mr. Meadows reported that the district’s General Fund balance increased by approximately
$2.0 million to approximately $20.3 million. The non-spendable fund balance for prepaids
and inventories is approximately $200,000; the assigned fund balance for future year’s
budgeted expenditures is approximately $300,000; and the unassigned fund balance is
approximately $19.7 million, which is approximately 21% of 2015 actual expenditures and
approximately 20% of 2016 budgeted expenditures. Mr. Meadows further stated that major
reasons for maintaining a healthy fund balance include cash flow through second half of
calendar year, significant emergencies/unanticipated expenditures, potential for better
interest rates on debt issues, future capital expenditures or significant repairs and
maintenance, and potential shortfalls from the state due to budget cuts or changes in
legislation, etc.
Next, Mr. Meadows reported that the district’s General Fund revenues increased by
approximately $4.3 million to approximately $94.6 million primarily due to an increase in
state revenues and in property tax revenues. Compared to budget, district revenues are
approximately $1.5 million over budget primarily due to higher than expected state
revenues and property tax revenues.
The General Fund expenditures increased by approximately $800,000 to approximately
$95.7 million primarily due to an increase in instruction due to higher salaries and fringe
benefits. Compared to budget, district expenditures were approximately $1.3 million under
budget primarily due to lower than budgeted salaries and fringe benefits, partially offset by
higher than budgeted capital outlay and repairs and maintenance.
Mr. Meadows discussed other funds which include Debt Service (approximately $5.1 million
fund balance); Capital Projects (approximately $400,000 fund balance); Special Revenue
(i.e., Special Projects and EIA) with approximately $4.2 million in carryover funds; and Food
Service (approximately $1.1 million fund balance).
Next, Mr. Meadows called attention to Accounting and Financial Reporting for Pensions
(GASB 68), implemented this year and Pension Transition for Contributions Made
Subsequent to the Measurement Date (GASB 71), an amendment of GASB 68. Under GASB
68/71, school districts are required to record its pro-rata portion of the net pension liability
and deferred outflows/inflows of resources associated with these plans.
Capital assets decreased by approximately $1.5 million to approximately $188.7 million due
to a depreciation expense of approximately $5.3 million offset by construction in progress
on various projects of approximately $3.1 million. Long-term obligations decreased by
approximately $1.1 million to $139 million due to general obligation bonds, capital lease,
and compensated absences. Total debt service payments for 2016 are expected to be
approximately $8.3 million.
Because the district receives a significant amount of federal revenue, auditors are required
to do a single audit. The auditors looked at the USDA programs to make sure that the
district is in compliance with federal requirements. There were no reportable findings,
significant deficiencies, or material weaknesses were noted.
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In summary, Mr. Meadows stated that the district is in good financial condition as of yearend. He also noted that the district has continued to receive the Government Finance
Officers Association (GFOA) and Association of School Business Officials (ASBO) Awards for
Excellence in Financial Reporting – 16 and 14 years in a row, respectively.
Procurement Audit Presentation for FY 14-15 – Mr. Meadows discussed the
Procurement Audit Report for year ended June 30, 2015. He stated that the auditors
reviewed formal sealed bids and proposals greater than $50,000; informal bids less than or
equal to $50,000; small dollar purchases less than $2,500; major construction projects;
sole source and emergency procurement transactions; minority business utilization plan and
reports; procurement ratifications; surplus property sales; and trade-in transactions. He
reported that there were no findings noted. The auditors also observed the physical
inventory of the warehouse.
In summary, Mr. Meadows stated that the district had very good organization and
management of procurement operations and that the overall opinion on the Procurement
Audit is an “unmodified opinion,” which is the best opinion the school district can receive.
Instructional Highlight – Anderson V Charter School – Mr. Wilson recognized Principal
Katie Brown to highlight programs offered at the Anderson Five Charter School. The
Anderson V Charter School is where no two learning experiences are the same. In the first
three years, the charter school graduated 132 students and applications have increased
every year. The charter school also offers “Jump Start” – a Middle School Early Start
program, an Adult Education Charter Diploma program, a Personalized Learning Center, and
a Bridge Academy Virtual program.
Financial Reports – Mr. Wilson recognized Mrs. Heard to present as information the
monthly Financial Statements and the Pupil Activity Reports for the month ending November
30, 2015. With regards to revenue, Mrs. Heard reported that this is still a very lean time for
the district. We will see a large amounts of tax collections in December and in January.
Also, the district is receiving revenue from the state as anticipated. With regards to
expenditures, everything is going as normal and there are no major unanticipated
expenditures. She further stated that the school accounts are looking good, and that the
district is in good standing as compared to this same time last year.
With regards to the one cent sales tax collection, Anderson Five received approximately
$715,000 for the month of October. Of that, approximately $170,000 will go towards our
debt service to reduce the bond indebtedness on property taxes. The amount available for
our capital projects is approximately $570,000.
Construction Update – Mr. Wilson recognized Mr. Grant to present as information an
update on current construction projects and proposed construction projects. Mr. Grant
reviewed Phase I, Phase II, and Phase III as follows:
Phase I – Currently Under Construction
High School Stadiums – have final punch list, anticipate completion of this project in
January 2016
High School Tracks – stripes will be down for practice in mid-January 2016, remaining
work will begin in mid-April 2016, plan to complete by August 2016
Hanna Roof – repairs will be completed December 2015
Westside Roof – repairs will be completed by March 2016
McCants Roof – repairs will be completed by April 2016
Hanna & Westside Field Houses/Band Buildings – construction started in August 2015,
will be completed by August 2016
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Phase II – Design Development Phase
Project Challenge Playhouse – bids will be considered in March 2016
Robert Anderson Middle School Expansion – bids will be considered in March 2016
Food Service Infrastructure improvements at Calhoun & at Nevitt Forest – bids will
be considered in March 2016
Phase III – Schematic Design Phase
Lakeside Middle School Demolition Design – propose completion by December 2016
bids will be considered in March 2017
Anderson Institute of Technology Construction Design – proposed completion by
December 2016, bids will be considered in March 2017
ADJOURNMENT
There being no further business, Mr. Price made a motion the Board adjourn.
Reverend Donald seconded the motion, which carried unanimously.
(8:04 P.M.)
CHAIRMAN
SECRETARY
DATE
DATE
Recording Secretary
As Approved By Superintendent
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