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School Board focuses on Sixteen Section lands, liability insurance
by By Joseph McCain
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The Louisville Municipal School Board of Trustees addressed issues on liability insurance and sixteen section lands along with a number of other concerns in its Jan. 12 meeting.

After questions arose in a previous meeting about requiring Sixteen Section leaseholders to have liability insurance coverage, Dr. Roland Byrd of Renasant Insurance discussed with board the requirements and costs along with his recommendations.

Byrd outlined the district is covered under its present liability policy for leased properties and he added that to require all Sixteen Section land lessees to add liability coverage in order to hold a lease while a boon for local insurance agencies it could put an extra financial strain on lease holders when not necessary.

"As long as leaseholders are following regular lease actions like farming, hunting, fishing and living on the property, my advice would be not to require it on all leases," said Byrd.

Board member Bobby Moody noted that the question arose since many large companies require insurance as part of hunting leases.

"It is good business," said Byrd but noting it added an often steep expense to the lessee.

Moody also reiterated his concerns about ensuring that all loggers who bid for Sixteen Section projects have a certificate of workmen's compensation and do not hire illegal immigrants.

Hal Overstreet, Sixteen Section Manager, noted that all contracts do have a clause that all companies must met federal department of labor laws which would cover both aspects.

The board also reviewed the idea of the best investment of Sixteen Section land whether in timber or farm residential.

"The question is: Are we getting the best use of our Sixteen Section leases," Dr. Wade said.

Dr. Bob Daniels, a former Mississippi State University professor who does consulting on land use in Mississippi, addressed the board with a proposal to help better manage and set rates for Sixteen Section property in Winston County.

Daniels presented a cost analysis that he noted would hopefully show a methodology to best use of Sixteen Section lands.

Daniels estimated that the four examples he examined from the district could earn with timber on them roughly $48 to $57 per acre.

Board member Moody noted that he could not see how the investment in timber could be justified if all the factors were considered.

"Worst investment is the timber industry," said Moody.

Daniels noted he used prevelant prices of $28.54 a ton $15.88 ton for chip and $8.99 for pine pulpwood. He noted his calculations did include the necessary maintenance and care for the land and trees.

Board member Moody voiced his concerns that the economic indicators did not take in to account the lost ad valorem and school taxes gained if the lands were leased to residential and farmers.

Moody also noted that timber prices are depressed at present and prices are not certain for the future.

Daniels replied, " The South is the most timber producing region in the world and in my opinion the market will return and be there." He added that opportunities may soon come in the form of biomass and other energy plans.

"It is a long-term investment and like any investment carries risk," said Daniels. "It is a 30 to 35 year investment."

Daniels also clarified that no one was looking to change all Sixteen Section leases to timber.

"Some is well suited to timber and some suited for other uses," said Daniels. "This way (with an economic analysis) you can maximize the earning potential of the leases and provide as much funding as you can for the children with proper investment."

Overstreet added that 50 percent of the leases that are set up as farm residential are not farmed by the lessees.

"The lessees are not putting the leases to the best use economically," said Overstreet.

"We have farm residential leases growing timberland," said Overstreet. He added that this could be better managed by the school district.

Closing out the information only discussion, Dr. Wade noted, " We have a major challenge ahead of us."

The challenge upcoming is in the form of hundreds of leases coming up for renewal soon and the district must find a diversified and most efficient manner to manage and charge for the leases especially with continued cuts in education funds.

While discussing land issues, Dr.Wade outlined the cutting on Sixteen Section lands has caused a few problems and the district needed ways to best notify leaseholders that loggers will be on the leased property.

"We do send out letters but may need to look at a better way to communicate to the loggers and leaseholders," said Wade.

In other matters:

¥ Athletic Director Brad Peterson and Baseball Coach Justin Reed discussed with the city's offer to turn over the baseball field in Ivy Park over to the school.

Peterson noted that it would be best if the school district took ownership of the field.

The district would be responsible for the lights and water cost but would also have discretion on repairs and use of the field.

The school district and athletic boosters for LHS have already been doing most of the upkeep and improvements on the field and practice areas.

The trustees voted for a resolution to request the city transfer ownership of the high school field to the school district.

Delays in the past on some repairs have occurred due to the time to take communicate to the city and get approval.

¥ Approved consent agenda which covered approval of Dec. 8 meeting minutes, disposal of fixed assets, four new substitute teachers, Benchmark as a sole source provider of bookroom collections, removal of obsolete and unusable equipment, accepted donation, and a new bus turnaround.

¥ Tracy Luke discussed the claims docket with the board. Upon the board's review Moody questioned the amount paid to the Mississippi High School Athletic Association.

Moody also brought up payments to Oswalt Construction and Shelton Jones.

Wade noted that the final payments were still owed but the project was finally completed and the final inspection had been done.

"They (Jones) did a poor job of management of this project," said Moody noting the months that passed after expected completion date before all was finally completed.

Wade explained that for future ambitious projects a better timetable should be developed.

¥ Luke noted that the general fund balance was down but hoped tax collections would pick up in January.

Presently at 45 percent of expenditures budgeted and 39 percent of collected revenues budgeted.

She also noted the district will soon be facing the 3 percent cut from the state with more cuts in the future.

Wade added that the state may forestall accreditation requirements in order to hold down costs for districts across the state.

The district is looking at 3 percent state cuts in February and 5 percent in July.

¥ Dr. Nola Bryant discussed the recent state testing results and the scores for the district as well as each school. Dr Bryant explained that while the district received Academic Watch that the Growth rates and the Quality Distribution Index (QDI) were important part of the results to review.

Bryant explained how graduation rates effected the QDI and that for every diploma graduate the school received the highest points and received a negative score for each dropout but that the QDI takes into account those students receiving alternative certificates or GED's for school completition.

The board also discussed setting up Noxapater and Nanih Waiya Attendance Centers into elementary divisions and high school divisions in order to have the schools more reflective of the individual grades rather than average together for the whole attendance center.

"We are proud. We are making gains and hope we are on the right track," said Bryant.

Dr. Wade also explained that the model will most likely be refined in the future for the state.

For more on the accountability results for the schools visit www.mde.k12.ms.us/ors or examine the Winston County Journal article "Schools receive new accountability ratings," in the December 30 edition.

¥ Dr. Wade discussed with the board the possibility of future cuts from the state in education dollars and the possible need to reduce district staff. He requested that a new staff reduction policy be reviewed and placed into effective. According to the discussion, the present policy notes that the "lasted hire is first fired". Dr. Wade noted this policy is not feasible since a school district must have certain teachers such as English teachers therefore staff reduction must been done according to what is best for the educational benefit of the students.

¥ Approved a request from board members Moody and Edwards to provide information on all ongoing litigation involving the district.

The next LMSD Board of Trustees meeting is set for Feb. 9 at 5:30 p.m. in the school's central office board room..

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