Within the realm of school budgets and methods for districts to raise funds for major projects, there is a surplus levy. In layman’s terms, a surplus tax allows a school board to create funds — through using a portion of all of the maximum tax levy — to pay off existing debts that a district may have.

As of late, it’s been a popular way to save property owners interest costs on bonds and prepare for a future infrastructure project. With some endeavors looming on the horizon, the Webster City Community School District’s Board of Directors explored that possibility.

A surplus levy presentation by Matthew Gillaspie, managing director of Piper Sandler & Company, was one of the main highlights from the Webster City school board’s latest meeting, which took place this past Monday in the board room at the Webster City Schools Administration Building, 820 Des Moines St., Webster City.

“I’d like to think of this as the ability to catch extra capacity to pay off debts,” Gillaspie said. “It saves the district money, but it can only pay the debt down.”

In this year alone, 71 school districts saved taxpayers nearly $9.6 million. In 2024, 36 schools could already save their tax base more than $6.8 million.

Along with talking money, the Webster City school received updates from its successful mentoring program, approved a snow date makeup schedule and agreed to pacts with the Iowa Communications Network, the University of Northern Iowa and Morningside University.

The meeting lasted for one hour, 34 minutes.

Before approving the agenda, Dr. Mandy Ross — WCCSD superintendent — shifted the Wellness Action Plan and Policy toward the front of the agenda.

Em Loughery presented updates from the Mentoring Program. Overall, there are 25 matches within the program, which consists of fourth, fifth and sixth graders.

“We exceeded our goal this year,” Loughry said. “We want to reach out to our fourth graders. We are back and we’ll keep growing from there.”

The most referrals come from sixth grade.

“They’re definitely our highest number of matches,” Loughry said.

According to Loughry, the adjustment of mentoring from the aftermath of COVID-19 has been “phenomenal.” This is due to email mentoring, a pen pal program and Zoom meetings, compared to sticking to face-to-face meetings.

“It’s actually worked out well,” Loughry said. “I’ve had some students who have thrived. I’ve tried my best to keep the relationships growing. It’s something that I’m really proud of, and something that really sets us apart from other districts.”

Students have also been providing Loughry with plenty of feedback.

“We don’t make matches to make matches,” Loughry said. “We want them to be meaningful.”

Loughry relayed that the future of the program is “very bright.” There also could be plans to include second and third graders, as well as mentors for high school freshmen.

“Endless possibilities is what we have,” Loughry said.

The board thanked Loughry for the updates, and the progress that the program has made since its inception.

“Loughry is definitely the right person,” Ross said. “She has definitely knocked it out of the park.”

Before the regular meeting, the board met with Stratford’s Board of Directors for an informal meeting. There, ideas were exchanged between members.

The board’s initial proposal for the Webster City Education Association was then addressed. It is a one year contract with an advance on step with a $200 on the base.

According to the proposal, it reflects a 6.45 percent increase in single health insurance that is covered by the district.

The board followed this up by receiving the initial proposal from the Webster City Education Services Association.

It is also a one-year contract with a 6.45 percent increase, with electronic job postings.

The 2023-2024 budget was presented, led by Mat Gillaspie of Piper Sandler & Company of Des Moines.

Gillaspie outlined reasons why schools implement surplus levies, from keeping a consistent tax levy rate to pay off debt to paying off debt to raise general obligations bonds for future projects. Gillaspie provided examples, mainly from the Northeast Hamilton Community School District.

“Northeast Hamilton had debt, but they paid it off early,” Gillaspie said.

Gillaspie brought up how Webster City can pay off its current debts, which could be paid off in 2026.

“If you pay them off, they have to be paid off as a whole,” Gillaspie said. “Once this bond is paid off, it’s no longer Northeast Hamilton and Webster City. It’s all together.”

Ross also weighed in on surplus levy.

“It loosens up the PPEL and SAVE funds,” Ross said. “It opens up some possibilities for us to get some things done.”

Examples of schools who have used the surplus levy to pay off projects along with Northeast Hamilton were Ames, Johnston and Fairfield.

“It’s a very meaningful tool, and it doesn’t cost you anything,” Gillaspie said. “You’re not taxing anyone anymore than what they’re already taxed.”

The board thanked Gillaspie, and moved to action items. The first item that the board addressed was a proposal to allow the Webster City High School band and choir for a trip to St. Louis.

More than $5,000 has already been raised toward the trip, and is well on its way to accomplishing its goal. The board accepted the proposal, and was provided the skinny on the Wellness Action Plan and Policy.

The plan and policy were approved, with the school board announcing a public hearing date for the 2024 fiscal year budget for its next meeting on April 10. The surplus levy resolution was then voted upon, and was unanimously passed.

The Iowa Local Government Risk Pool Agreement was approved, before the board approached the topic of the Snow Day Makeup Proposal.

While May 26 still served as the final day of classes for students, four days (April 5, April 19, May 3 and May 17) were converted from early dismissals to full days of school. Teachers will have four makeup days (June 1 and June 2) and paraeducators will have five days to make up (June 1, June 2 and two timesheet days).

The board then moved through its items at a swift pace, accepting a Wellness Action Plan and Policy, agreements with the Iowa Communications Network, a field experience contract with UNI and a clinical experience placement contract with Morningside.

The AEA Purchasing Agreement was accepted, before the district accepted donations, fundraising requests and personnel moves. One of those items included the resignation of WCHS head wrestling coach Chad Hisler.

Hisler will continue to coach boys’ track, and remain as an assistant football coach.

Ross spoke on the board planning calendar, before the board expressed praise from its informal meeting with Stratford’s school district.

Before adjourning, the board approved consent items. The next school board meeting is scheduled for 6 p.m. at the school administration office’s boardroom.