budget-and-finance-committee-meeting

ORLEANS PARISH SCHOOL BOARD BUDGET & FINANCE COMMITTEE Orleans Parish School Board 3520 General DeGaulle Drive, Suite 4050 New Orleans, LA 70114 March 14, 2013 4:00 PM (Notice: This meeting may be convened up to 30 minutes prior to the posted schedule to facilitate the orderly conduct of business)

Committee Members: Ms. Leslie Ellison, Chair Mr. Woody Koppel Mr. Nolan Marshall

Mr. Ira Thomas, Ex-Officio Mr. Seth Bloom

AGENDA Call to Order

Ms. Leslie Ellison

Adoption of the Agenda Additions/Deletions/Modifications FINANCE ACTION ITEM(S) 1. Option to Exchange and Transfer Property

Stan Smith

2. OPSB Lease Renewals

Stan Smith

3. Budget Amendment Capital Project #2

Wayne DeLarge

4. 2013-14 Certified School Personnel Salary Scale

Dr. Armand Devezin

5. Resolution 06-13 RE: One App Study Resolution

Leslie Ellison

6. Chevron Project Lead the Way & McDonogh 35 High School

Gail Audrict

PURCHASING ACTION ITEMS Consent Agenda: (No Items Submitted)

ADOPTION OF CONSENT AGENDA DISCUSSION/INFORMATION ITEM(S) Status Reports: In accordance with the Americans with Disabilities Act, if you need special assistance at a public meeting of the Orleans Parish School Board, please contact the Board Office at 504-304-5678, or by email at BoardOffice@nops.k12.la.us , describing the assistance that is necessary.

7. a. Budget Timeline Fiscal Year 2014 b. February 2013 Financial Report

Wayne DeLarge

8. New Orleans Sewerage and Water Board Meeting Update

Wayne DeLarge

9. 2013-14 Employment Outlook

Dr. Armand Devezin & Wayne DeLarge

10. Sequestration Potential Effects

Wayne DeLarge & Nicolette London

11. Timbers III HVAC

Leslie Rey

ADJOURNMENT

In accordance with the Americans with Disabilities Act, if you need special assistance at a public meeting of the Orleans Parish School Board, please contact the Board Office at 504-304-5678, or by email at BoardOffice@nops.k12.la.us , describing the assistance that is necessary.

OPTION TO EXCHANGE AND TRANSFER THIS OPTION TO EXCHANGE AND TRANSFER (this “Agreement”) is made and entered into effective as of the Effective Date (as defined hereinafter) between the Housing Authority of the City of New Orleans, a political subdivision of the State of Louisiana, organized and existing under the laws of Louisiana (hereinafter referred to as “HANO”) and the Orleans Parish School Board, a political subdivision of the State of Louisiana, organized and existing under the laws of Louisiana (hereinafter referred to as “OPSB”), each, a “party” and collectively, the “parties.”

RECITALS A. OPSB is the owner of certain parcels of land and improvements in New Orleans, Louisiana (the “OPSB Properties”) described on Exhibit “A” attached hereto.

B. HANO is the owner of certain parcels of land and improvements in New Orleans, Louisiana (the “HANO Properties”) described on Exhibit “B” attached hereto. The OPSB Properties and the HANO Properties are sometimes collectively referred to as the “Properties” and any of the Properties, individually, is a “Property.”

C. The OPSB Properties are located in proximity to other properties owned or operated

by HANO or are within areas in which HANO desires to develop or operate properties in order to further its mission; D. The HANO Properties are in proximity to existing schools such that their acquisition could enhance or enlarge the operations of the existing schools, both direct run and charter; E. HANO and OPSB each desire to obtain an option from the other to exchange all or a part of the OPSB Properties for all or a part of the HANO Properties on the terms and conditions hereinafter documented.

NOW, THEREFORE, in consideration of the mutual undertakings of the parties hereto, it is hereby agreed as follows: 1.

Option to Purchase/Exchange.

A. Grant of Option. In consideration of the OPSB Option, OPSB hereby grants to HANO the sole and exclusive right and option (the “HANO Option”) to purchase the OPSB Properties subject to the terms and conditions contained in this Agreement. In consideration of the HANO Option, HANO hereby grants to OPSB the sole and exclusive right and option (the “OPSB Option”) to purchase the HANO Properties subject to the terms and conditions contained in this Agreement. The HANO Option and the OPSB Option are sometimes collectively referred to as the “Options” and individually, as to a particular Property, as an “Option.”

B. Term of Options. The Options conferred upon each party shall commence on the Effective Date and continue until December 31, 2014 (the “Option Period”). Upon the expiration of the Option Period, the Options shall automatically terminate, and the parties hereto shall have no further obligations to the other (except for any obligations or liabilities that expressly survive termination of this Agreement), without any further action of either party hereto, unless an Option is exercised as hereinafter provided.

C. Exercise of Option. Each party may exercise an Option as to any one of the Properties by notifying the other party, in writing on or before the expiration of the Option Period.

As to each of the Properties, the date of written notice shall be the “Option Exercise Date.” Separate notices shall be given for each Property for which an Option is being exercised, with the notices given at any time during the Option Period. The party which has given notice that it is exercising an Option is referred to herein as “Transferee,” and the party receiving the notice is referred to herein as “Transferor. Any Property for which an Option has been exercised is a “Subject Property.”

D. Condition to Exercise of Option. HANO and OPSB acknowledge and agree that HANO’s exercise of the HANO Option as to any Property is expressly conditioned on HANO obtaining: (i) written determination, on the basis of a federally required environmental review (and an approval of the request for release of funds and approval of the responsible entity’s certification, if applicable) that the purchase of the OPSB Properties (or any of them) may proceed in accordance with 24 CFR Part 58 or 24 CFR Part 50, as applicable; and (ii) all necessary approvals from the U.S. Department of Housing and Urban Development, and HANO will not exercise the HANO Option as to any Property unless the foregoing conditions are satisfied.

E. Purchase and Sale. In the event that an Option is exercised as to any Property within the time specified in this Agreement, Transferor shall sell to Transferee, and Transferee shall purchase from Transferor, the Subject Property on the terms and conditions hereinafter set forth.

2.

Value. The value of the Properties shall be the prevailing market value of the Properties determined by a prevailing market value appraisal as follows (the “Prevailing Market Value”).

(A) Prior to an Option Exercise Date, Transferor shall give Transferee written notice of its designated appraiser as to the Subject Property. If Transferee does not accept such appraiser, it will so notify Transferor in writing within ten (10) business days after receiving Transferor’s designation, and in that notice, will provide Transferor with the name of a disinterested appraiser that it wishes to use to perform such appraisal. If Transferor does not accept the appraiser named by Transferee, then Transferor will so notify Transferee in writing within ten (10) business days after receiving Transferee’s notice. If either party fails to give the other party notice that it does not accept the appraiser named by that other party at the required time, then the party failing to give that notice will be conclusively deemed to have accepted the appraiser named by the other party. If one appraiser is accepted by both parties, then that appraiser will perform an appraisal to determine the Prevailing Market Value of the OPSB Properties and the parties will share the expense of this appraiser.

(B) If a single appraiser is not accepted by both parties in accordance with (A) above, then within 30 days of Transferor’s notice not to accept the Transferee’s appraiser, a third appraiser shall be chosen by the mutual consent of the parties. The third appraiser shall perform an appraisal and the determination of such appraiser shall be binding and conclusive upon the parties. The cost of conducting a third appraisal shall be shared equally by the parties. Neither party shall exercise an Option until the Prevailing Market Value of the Subject Property has been determined.

3.

Payment of Purchase Price. Transferor shall transfer the Subject Property to Transferee by Credit Sale, with the Prevailing Market Value being evidenced by a promissory note payable to Transferor bearing 5% interest per annum payable on April 30, 2015. Either party shall have the right to prepay any promissory note issued hereunder in full, without penalty, at any time prior to the maturity date.

4.

Delivery of Documents and Records. Within ten (10) business days following an Option Exercise Date, Transferor shall give Transferee accurate and complete copies (to the extent available to Transferor) of any and all of the following relating to the Subject Property: (1) (2) (3) (4)

(5) (6) (7) (8)

(9) (10)

All surveys; All title opinions, commitments or policies, including exceptions and copies of referenced documents; As-Built Plans, architectural and engineering drawings, specifications, construction plans, floor plans and inspection reports or assessments; All environmental studies, audits, reports, testing, and governmental notices or correspondence relating to the possibility or existence of environmentally hazardous materials in, on or under the Subject Property; Any notices or correspondence that have been received by Transferor from public authorities which concern or involve the Subject Property; All appraisals of the Subject Property; Servitudes, easements, covenants, conditions and restrictions affecting the Subject Property; All agreements with all other entities relating to or in any way affecting the Subject Property, its condition or use or in any way obligating or benefiting the Subject Property owners, including any leases and subleases or agreements with any adjacent or other property owners and all Amendments, Addenda, Modifications, and Exhibits; Termite inspections, reports, contracts and certificates; A list with summary explanation of any and all pending or threatened claims or litigation.

If any of the above items are available to Transferor and are not delivered to Transferee within ten (10) business days following an Option Exercise Date, the Inspection Period (as defined below) shall be extended to end sixty (60) days following delivery of the last document.

5.

Inspection Period.

During the period commencing with the Effective Date and for sixty (60) days following each Option Exercise Date (the “Inspection Period”), Transferor shall have the right to enter upon the Properties upon reasonable prior notice to Transferee, for the purpose of conducting inspections, soil tests, environmental audits and such other investigations as Transferor deems necessary to determine the fitness of the Properties for Transferee’s intended use, at Transferee’s sole cost and expense.

6.

Condition of Properties. Transferee’s obligation to close is expressly contingent upon Transferee’s satisfaction with the results of the inspection and tests conducted during the Inspection Period, as well as improvement costs surveys or feasibility studies for Transferee’s intended use. Within twenty-four (24) hours following the expiration of the Inspection Period, as the same may have been extended, Transferee shall notify Transferor that: (A) Transferee is satisfied with the results of the Inspection Period investigations and this condition is satisfied in which case this Section is of no further effect; or (B) Transferee is dissatisfied with the results of the Inspection Period investigations and elects to terminate its Option to purchase the Subject Property, in which case the Option shall terminate and this Agreement shall be null and void, but as to the Subject Property, only.

If Transferee fails to give the notice required in this Paragraph within twenty-four (24) hours after the expiration of the Inspection Period, Transferee shall be deemed to have waived any right to refuse to go forward with its acquisition of the Subject Property by reason of the condition of the Subject Property, and this Agreement shall remain in full force and effect.

7.

Title.

(A) Each party shall convey to the other title to the Properties in full ownership by Special Warranty Deed and Credit Sale, subject only to the lien, if any, securing taxes not yet due and payable, if any, but otherwise free of all Defects (as defined below). Within thirty (30) days following each Option Exercise Date, (i) Transferee shall obtain and deliver to Transferor, at Transferee’s expense, a title insurance commitment (the “Commitment”) issued by a title insurance company of Transferee’s choice (the “Title Company”), setting forth all exceptions, claims or defects revealed by such Title Company’s title examination of the Subject Property, and a current as-built survey of the Subject Property prepared and certified by a Louisiana registered land surveyor (the “Survey”), and (ii) Transferee shall deliver to Transferor written notice (the “Notice of Defects”) of each exception, claim or defect revealed by such Commitment and such Survey to which Transferee objects. “Defects” shall mean and include any and all liens, privileges, mortgages, judgments, servitudes, and encumbrances, other than the following, which shall not be Defects: (a) utility servitudes and other servitudes reflected in the public records and reasonably acceptable to Transferee; (b) ordinary zoning restrictions for the zoning district in which the Subject Property is 4

located that are not presently in violation and do not unreasonably impair Transferee’s intended use of the Subject Property; (c) any mineral rights containing a waiver of surface rights; and (d) taxes for current year not yet due and payable.

(B) If Transferee delivers a Notice of Defect to Transferor, Transferor shall thereupon use its best efforts to remove or cure the Defect(s) to Transferee’s reasonable satisfaction as promptly as possible. If Transferor is unable to cure the Defect(s) to Transferee’s reasonable satisfaction within thirty (30) days of receipt of the Notice of Defect (such period, subject to any mutual extension thereof, the “Title Curative Period”), Transferee shall have the option either to waive the Defect(s) and accept the Subject Property subject thereto, or to terminate its Option to purchase the Subject Property, in which case the Option shall terminate and this Agreement shall be null and void, but as to the Subject Property, only. Transferee must make such election by notice to Transferor within three (3) days after the expiration of the Title Curative Period, as extended. Upon Transferor’s removal or cure of the Defect(s) during the Title Curative Period, the transfer of the Subject Property shall be closed as otherwise provided in this Agreement.

(C ) Each party’s conveyance of a Property will be made without any warranties or representations of title, except as to Transferor’s acts and deeds. In the act of sale, Transferee will expressly waive any cause of action against Transferor that Transferee may have for rescission of the sale of the Subject Property, in whole or in part, or for the return of the Prevailing Market Value, in whole or in part, arising out of any eviction of Transferee, in whole or in part, the sale of the Properties being entirely at Transferee’s sole peril and risk. Transferor shall grant to Transferee full substitution and subrogation in and to all rights or actions of warranty which Transferor has or may have against any and all of Transferor’s predecessors in title, if any. Without limiting the generality of the foregoing, the Properties will be sold “AS-IS”, “WHERE-IS”, without any warranties or representations whatsoever, express or implied, including, without limitation, any warranty or representation with respect to the condition of the Properties or any of its components, parts or contents or with respect to fitness or suitability of the Properties or any of their components, parts or contents for Transferee’s intended use or any other particular use, purpose or condition. Transferee will specifically waive all claims and all causes or rights of action which Transferee has or may have against Transferor with respect to the Properties including any and all claims that it may have to rescind or resolve the sale effected thereby or to demand a reduction, setoff or diminution of the Prevailing Market Value or any part thereof based upon the existence of any redhibitory or other vices or defects. Transferee shall further waive any claims that Transferee has or may have in “quanti minoris” or for reduction of the Prevailing Market Value paid herein, or any other rights provided in Louisiana Civil Code Articles 2520 through 2548, inclusive. This clause will be included in the Special Warranty Deed and Credit Sale at Closing.

8.

Continuing Right of Entry. During the period commencing with the Effective Date, until the Closing Date for each Property, Transferee and its agents shall have the right to enter upon the other party’s Properties upon reasonable prior notice to and arrangements with the other party, to conduct due diligence activities, including inspections, soil tests, environmental audits and such other investigations as Transferee deems necessary to determine the fitness of the Properties for

5

Transferee’s intended use, at Transferee’s sole cost and expense, and to show the other party’s Properties to prospective tenants.

9.

Representations and Warranties. HANO hereby represents, warrants and covenants to OPSB, as to the HANO Properties, and OPSB hereby represents, warrants and covenants to HANO, as to the OPSB Properties, that the following are true as of the date of this Agreement, that neither party will take any elective action to cause such representations and warranties to become untrue, and the party making such representations and warranties shall immediately notify the other in writing if any of the following cease to be true at any time prior to the Closing. In the event any of a party’s representations and warranties stated below prove to be untrue as of the Closing Date, the other party shall have the option of terminating this Agreement.

(A) Properties.

There are no pending or threatened claims or legal actions affecting a party’s

(B) The party making the representations and warranties is the legal and equitable owner of its Properties, with full right to convey the same, and without limiting the generality of the foregoing, it has not granted any option or right of first refusal or first opportunity to any party to acquire any interest in its Properties.

(C) There are no pending condemnation actions or special assessments of any nature which would affect the Properties of the party making such representations and warranties, and said party has not received any notice of any condemnation actions or special assessments being contemplated.

(D) The party making the representations and warranties has received no notice of any encroachments either from adjacent lands onto its Properties or from its Properties onto adjacent lands.

(E) As of the Closing, there will be no outstanding written or oral contracts or obligations in connection with a party’s Properties which will be binding on the other party after the Closing.

10.

Closing Date. The Closing for each Property shall be held on a date (the “Closing Date”) chosen by Transferee, upon ten (10) days prior written notice to Transferor, but in no event later than ninety (90) days following the expiration of (i) the Inspection Period, as the same may have been extended, or (ii) the Title Curative Period, as the same may have been extended, whichever occurs later. Any extension of the above Closing Date must be in writing and signed by both Transferor and Transferee. Until the Closing, neither party shall enter into any new agreements of any kind or nature affecting its Properties unless those agreements are approved, in advance and in writing, by the other party.

6

11.

Governmental Approvals. Each party will obtain all governmental approvals necessary to transfer the Properties to the other party. HANO will obtain the approval of the HUD Special Application Center to transfer the HANO Properties to OPSB. In the event any of the foregoing is not obtained as to a Subject Property prior to the date of the Closing for that Property, Transferee shall have the option of terminating its Option to purchase the Subject Property, in which case the Option shall terminate and this Agreement shall be null and void, as to the Subject Property, only.

12.

Expenses of Closing.

(A) “Closing” means the settlement of the respective obligations of Transferee and Transferor to each other under this Agreement, including the conveyance of, and delivery and possession of the Subject Property by Transferor to Transferee. The Subject Property shall be free of encumbrances other than those accepted in advance by Transferee.

(B) The Closing shall be held before a notary public selected by Transferee. At the Closing, Transferor and Transferee shall execute an act of sale prepared by the closing attorney, pursuant to which Transferor shall sell the Subject Property to Transferee, together with such other documents as may be customary or necessary to consummate the conveyance of the Subject Property in accordance with the provisions of this Agreement. All of the closing documents shall be in form and substance reasonably acceptable to Transferor and Transferee.

(C) At the Closing, all real estate taxes and all rents from the Subject Property shall be prorated to the date of the Closing. All keys in the possession of Transferor shall be turned over to Transferee.

(D) Transferor shall be responsible for and shall pay the following items in connection with this Agreement: 1. The Louisiana documentary transaction tax in connection with the conveyance of the Subject Property; 2. The cost of all certificates; 3. All attorneys’ fees or other expenses incurred by Transferor, including cancellation of any inscriptions, etc.

(E) Transferee shall be responsible for and shall pay the following items in connection with this Agreement: 1. Recording fees;

7

2. Costs for all tests and studies conducted on the Subject Property at Transferee’s instruction; 3. Premium for title insurance and survey; 4. All attorneys’ fees or other expenses incurred by Transferee and the fees of the closing notary/attorney.

(F) Failure of Transferor or Transferee to appear at the Closing, unless all necessary Closing related documents have been executed and placed in escrow in advance, shall be deemed an immediate default without the necessity of notice, demand, or tender of the Prevailing Market Value.

13. Risk of Loss; Damage to Properties. Except for loss or damage caused by the other party’s due diligence activities, all risk of loss of the a party’s Properties (including but not limited to loss by fire, or other casualty, or condemnation) shall remain with such party until the Closing. If all or a portion of the Properties is damaged prior to Closing, the other party may elect to terminate this Agreement, in which event this Agreement shall be null and void. A party’s election to terminate shall be made by written notice on or before the last date on which closing may occur. If Transferee goes forward with the sale, the Prevailing Market Value for a Property shall be reduced equitably to reflect the damage to the Subject Property.

14.

Default; Remedies.

(A) If HANO should breach this Agreement by failing to acquire the OPSB Properties or failing to convey the HANO Properties (other than a refusal to acquire for a reason permitted by this Agreement), OPSB shall be entitled to specific performance of HANO’s obligation to acquire the OPSB Properties, or convey the HANO Properties, as the case may be, or, at OPSB’s option, to terminate this Agreement and to be paid by HANO a sum to reimburse OPSB for its actual out-ofpocket costs, including reasonable attorney’s fees, incurred by reason of HANO’s default as liquidated damages arising out of HANO’s default.

(B) If OPSB should breach this Agreement by failing to acquire the HANO Properties or convey the OPSB Properties (other than a refusal to acquire for a reason permitted by this Agreement), HANO shall be entitled to specific performance of OPSB’s obligation to acquire the HANO Properties, or convey the OPSB Properties, as the case may be, or, at HANO’s option, to terminate this Agreement and to be paid by OPSB a sum to reimburse HANO for its out-of-pocket costs, including reasonable attorney’s fees, incurred by reason of OPSB’s default as liquidated damages arising out of OPSB’s default.

15. Right to Accelerate Exercise of Option. Notwithstanding anything herein to the contrary, if either party receives a bona fide, arms length offer to purchase a Property, prior to the Option Exercise Date for such Property, which such party desires to accept (the “Offer”) the party receiving 8

the Offer shall serve a notice of the Offer upon the other party. The other party shall then have thirty (30) days from receiving the notice to exercise its Option to purchase the Property on which the Offer has been received as set forth in Section 1(C) hereof, or the Option to purchase said Property shall be deemed terminated and this Agreement shall be null and void, but as to said Property, only.

16.

True-Up. On April 30, 2015, the parties shall compare and offset the balances each owes the other under the promissory notes issued under Section 3 hereof, and the amount found owing by one party to the other shall be paid (a “True-Up�). Either party shall have the right to prepay any promissory note issued in full, without penalty, at any time prior to the maturity date.

Notwithstanding the foregoing, in the event that no Closing has occurred within a continuous 180 day period at any time while this Agreement is in effect, then either party shall have the right to notify the other party that it desires an interim True-Up, in which event the parties shall complete the True-Up within thirty (30) days following the notice.

17. Broker. Neither OPSB nor HANO has engaged a Broker. Each party hereto represents to the other that it has not incurred, directly or indirectly, any liability on behalf of the other party for the payment of any real estate brokerage commissions, finder’s fees or other compensation to any agents, brokers, salesmen, or finders by reason of the consummation of the transactions contemplated by this Agreement.

18. Notices All notices required by this Agreement shall be in writing, and shall be delivered by personal delivery, facsimile transmission, an overnight delivery service, or U.S. Mail sent certified with return receipt requested to the following addresses, or to such other addresses as either party may designate to the other party in writing: If to HANO: Housing Authority of New Orleans 4100 Touro Street New Orleans, Louisiana 70122 Attention: Administrative Receiver Telephone: (504) 670-3300 Fax: (504) 286-8788 With Copy To: Staci A. Rosenberg Rosenberg & Clark, LLC 400 Poydras Street, Suite 1680 New Orleans, Louisiana 70130 Telephone: (504) 620-5400 Fax: (504) 684-1438 9

If to OPSB: ___________________ ___________________ ___________________ ___________________ ___________________ Notices are effective on the earlier of the date received, the date of the delivery receipt, or the third day after postmark, as applicable. Notices may be given by a party’s attorney and will be effective if so given, as if given by the party itself.

19. Attorneys’ Fees. Should either party employ an attorney or attorneys to enforce any of the provisions hereof, including but not limited to any indemnities set forth herein, or to protect its interest in any matter arising under this Agreement (other than in the preparation for and consummation of the Closing), or to recover damages for the breach of this Agreement, all reasonable costs, charges, and expenses, including attorneys’ fees, expended or incurred in connection therewith by the party prevailing in any final judgment shall be paid by the other party.

20.

Assignment. This Agreement shall apply to and bind the respective successors, executors, administrators and assigns of HANO and OPSB. Neither party may assign its rights under this Agreement to any third party without the consent of the other.

21.

Survival of Provisions. All representations and warranties by the parties contained herein or made in writing pursuant to this Agreement are intended to and shall remain true and correct as of the Closing of each Property, shall be deemed to be material, and shall survive the execution and delivery of this Agreement and the Closing of each Property. All indemnifications given in this Agreement and all covenants made in this Agreement which remain executory at the Closing of each Property shall survive the execution and delivery of this Agreement and the Closing of each Property. As of the Closing of each Property, this Agreement shall have no further force or effect as to the Subject Property, except with respect to those provisions which are specifically designated to survive Closing of each Property.

22.

Miscellaneous. This Agreement constitutes the entire agreement of HANO and OPSB concerning the sale of the Properties. This Agreement may only be amended by a written document executed by HANO and OPSB. Should any provisions of this Agreement prove to be invalid or illegal, such invalidity or illegality shall in no way affect, impair or invalidate any other provision hereof, and such remaining provisions shall remain in full force and effect. Time is of the essence with respect to the performance of every provision of this Agreement in which time of performance is a factor. Any executed copy of this Agreement shall be deemed an original for all purposes. This Agreement may be executed in counterparts, which counterparts shall together 10

constitute one Agreement if signed by both HANO and OPSB, and may be executed in whole or in part by means of signatures transmitted by facsimile. This Agreement shall be construed and enforced in accordance with the laws of the State of Louisiana. The language in all parts of this Agreement shall in all cases be construed as a whole according to its fair meaning, and not strictly for or against either HANO or OPSB. The captions used in this Agreement are for convenience only and shall not be considered in the construction or interpretation of any provision hereof. When the context of this Agreement requires, the neuter gender includes the masculine, the feminine, a partnership or corporation or joint venture, and the singular includes the plural.

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK.]

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23.

Effective Date. This Agreement shall become effective upon the date it is last executed by HANO or OPSB. WITNESSES:

HANO: HOUSING AUTHORITY OF NEW ORLEANS

By: _____________________________ Name: David Gilmore Title: Administrative Receiver Date:

WITNESSES:

OPSB: ORLEANS PARISH SCHOOL BOARD

Name: Title: Date:

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EXHIBIT “A” Description of OPSB Properties The OPSB Properties shall include all of OPSB’s right, title, and interest in and to all buildings, landscaping, plants or shrubbery and other improvements situated thereon; all members and appurtenances pertaining thereto, including any right, title and interest of OPSB in and to adjacent streets, roads, alleys, and rights-of-way, if any; all fixtures, equipment, and machinery forming a component part of the buildings and other improvements situated on the OPSB Properties.

List of Properties [Detailed information needed.]

Israel Meyer Augustine Middle School located at 425 South Broad Street, New Orleans, Louisiana 70119 Mundy School Bell School and Bell Annex Lafon Hoffman Lockett Derham Henderson

13

EXHIBIT “B” Description of HANO Properties The HANO Properties shall include all of HANO’s right, title, and interest in and to all buildings, landscaping, plants or shrubbery and other improvements situated thereon; all members and appurtenances pertaining thereto, including any right, title and interest of HANO in and to adjacent streets, roads, alleys, and rights-of-way, if any; all fixtures, equipment, and machinery forming a component part of the buildings and other improvements situated on the HANO Properties.

List of Properties [Detailed information needed.]

Christopher Park Fisher Bayou Road

14

W:\WPDATA\HANO\Augustine\HANO OPSB Sale v7.doc

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Orleans Parish School Board Property Committee Budget and Finance Committee Lease Renewal

The following leases are up for renewal in the next few months.

Property

Lessor

Occupant

Expiration

St James Major Archdiocese Moton Charter July 31, 2013 West Bank Swing M Space

Alice Harte

July 31, 2013 M Space

Audubon

March 2014 East Bank Swing Almonaster

M Space

Cresent Leadership December 2013

Administration Recommendations

Not renewing the lease on the Almonaster modulars, allowing Crescent Leadership Academy to negotiate direct with M Space for this modular campus.

Negotiate a renewal of the St James Major lease for a period of one year.

Negotiate a renewal of the lease on the West Bank swing space for a period of 10 months to coincide with the projected occupancy of Alice Harte.

Negotiate a renewal of the lease on the East Bank swing space for a period of 3 months to coincide with the projected occupancy of Audubon Broadway.

CAPITAL PROJECTS BUDGET AMENDMENT BY FUNDING SOURCE AS OF MARCH 19, 2013 APPROVED BUDGET

CDBG

Alice Harte Elementary

TOTAL

AMENDMENTS

PROPOSED AMENDMENT #2

$

-

$

18,299,554

$

18,299,554

$

-

$ 18,299,554

$

18,299,554

FY 2013 CAPITAL PROJECTS BUDGET AMENDMENT #2

1 of 3

CAPITAL PROJECTS BUDGET AMENDMENT BY FUNDING SOURCE AS OF MARCH 19, 2013 APPROVED BUDGET

OTHER

AMENDMENTS

PROPOSED AMENDMENT #2

General Meyer

$

25,000

$

25,000

$

50,000

McMain - Special Education Resource Classroom

$

-

$

50,000

$

50,000

Mahalia Jackson

$

350,000

$

108,000

$

458,000

Timbers

$

1,000,000

$

25,725

$

1,025,725

$

350,000

$

158,000

$

508,000

TOTAL

FY 2013 CAPITAL PROJECTS BUDGET AMENDMENT #2

2 of 3

CAPITAL PROJECTS BUDGET AMENDMENT BY FUNDING SOURCE AS OF MARCH 19, 2013 APPROVED BUDGET

FEMA

St James - Moton

AMENDMENTS

PROPOSED AMENDMENT #2

$

25,000

$

25,000

New PK8 Lake Forest Blvd

$

24,552,958

$

1,164,617

$

25,717,575

McDonogh 35 New School

$

60,104,122

$

9,942,849

$

70,046,971

McMain Renovation

$

12,926,863

$

4,127,648

$

17,054,511

Alice Harte New School

$

43,953,995

$

(30,180,048)

$

13,773,947

Audubon Renovation

$

14,500,000

$

351,912

$

14,851,912

Jo Ellen High School - New Karr High

$

30,512,616

$

1,312,796

$

31,825,412

Lusher Elementary

$

3,071,837

$

304,892

$

3,376,729

Fortier High School

$

14,538,242

$

4,084,047

$

18,622,289

Warren Easton Refurbishment

$

3,480,114

$

341,800

$

3,821,914

Contents - 5th floor

$

25,000

$

25,000

$

50,000

McMain Clinic

$

500,000

$

22,390

$

522,390

TOTAL

$ 207,665,747

FY 2013 CAPITAL PROJECTS BUDGET AMENDMENT #2

$ (8,499,487)

$ 199,166,260

3 of 3

ORLEANS PARISH SCHOOL BOARD RESOLUTION NO. 06-13 The following resolution was offered by

seconded by

:

To urge and request the Orleans Parish Schools Board to direct the Interim Superintendent through appropriate staff to collect statistical and anecdotal data in a study of the implementation of the One App (Common Enrollment Process) to determine its effectiveness in serving the students, families, and taxpayers of New Orleans and to make recommendations to the OPSB for modifications and continued implementation.

WHEREAS, the Orleans Parish School Board, as a legislative body has the authority and responsibility to determine and establish written policies and resolutions and to evaluate their effectiveness in its legal areas of responsibility and to ensure that schools and school services are operated in the best interest of the children and taxpayers within the provision of Louisiana law; and, WHEREAS, the Orleans Parish School Board, at its Business Meeting, on the 19th day of June 2012, passed and adopted Resolution No. 14-12 stating the intent of the Orleans Parish School Board to work toward and to operate a Parish-wide uniform student enrollment process; and, WHEREAS, the Orleans Parish School Board committed in Resolution No. 14-12 to working with stakeholders to facilitate a smooth and appropriate transition from multi-agency control of elementary and secondary school enrollment for Orleans Parish students to a process managed by the Orleans Parish School Board; and, WHEREAS, on October 16, 2013, the Orleans Parish School Board approved participation by its traditional schools in the OneApp process for the 2013-2014 school year; and, WHEREAS, the appropriate means to protect the rights and authority of schools under the jurisdiction of the Orleans Parish School Board is for the Orleans Parish School Board to manage a common application process.

NOW, THEREFORE, BE IT RESOLVED that the Orleans Parish School Board directs the Interim Superintendent, through appropriate staff, to collect statistical and anecdotal data in a study of the implementation of the One App (Common Enrollment Process) to determine its effectiveness in serving the students, families, and taxpayers of New Orleans and to make recommendations to the OPSB for modifications and continued implementation; and, BE IT FURTHER RESOLVED that the Orleans Parish School Board does commit, to the study of the One App (Common Enrollment Process), the consideration of recommendations deriving from the study to be provided by the Interim Superintendent, and a reporting to the citizens and taxpayers of the results and recommendations of the study with the intent of Page 1 of 3

providing students, parents, citizens, and taxpayers with a fair, equitable, and parent friendly process for enrolling students in New Orleans Public Schools; and, BE IT FURTHER RESOLVED that this Resolution shall become effective upon the date of adoption by the Orleans Parish School Board.

This resolution having been submitted to a vote, the vote thereon was as follows: YEAS: NAYS: ABSENTS: ABSTENTIONS: PASSED AND ADOPTED AT THE ORLEANS PARISH SCHOOL BOARD BUSINESS MEETING held at McDonogh 35 High School, 1331 Kerlerec Street, New Orleans, Louisiana, on the 19th day of March, 2013.

ORLEANS PARISH SCHOOL BOARD

________________________________ Ira H. Thomas, Sr., President

Page 2 of 3

CERTIFICATE STATE OF LOUISIANA PARISH OF ORLEANS I, the undersigned Secretary-Treasurer of the Orleans Parish School Board, State of Louisiana, do hereby certify that the foregoing two (2) pages constitute a true and correct copy of Resolution No. 06-13 adopted by said Orleans Parish School Board on March 19, 2013 .

IN FAITH WHEREOF, witness my official signature and the impress of the official seal of the School Board at New Orleans, Louisiana, on this

the day of

(SEAL) Stanley C. Smith, Secretary-Treasurer

Page 3 of 3

, 2013.

ORLEANS PARISH SCHOOL BOARD 3520 General De Gaulle Blvd. Suite 5055

New Orleans, Louisiana 70114

504-304-5680

BUDGET TIME LINE FOR FISCAL YEAR 2014 GENERAL FUND

April 15-24, 2013 June 3, 2013

Administrative Reviews of Departments Budgets General Fund Budget made Available for Public Inspection

June 18, 2013

Public Hearing on Fiscal Year 2014 General Fund Budget

June 18, 2013

General Fund Budget Presented to Board for Adoption

August 26, 2013 Consolidated Budget made Available for Public Inspection September 12, 2013 Public Hearing on Fiscal Year 2014 Consolidated Budget Consolidated Budget Presented to Board for Adoption during Special September 12, 2013 Board Meeting September 30, 2014

Consolidated Budget Submitted to State Superintendent of Education

“A Bright New Day in Education”

Orleans Parish School Board Balance Sheet For the Eight Months Ended February 28, 2013

General Fund Assets Cash Buildings and Improvements Accumulated Depreciation-Buildings and Improvements Land Due from Other Funds Due from Other Agencies Prepaid Insurance Assets Total Liabilities Accounts Payable Deposits Payable Due to Other Funds Due to Other Agencies Payroll Liabilities Deferred Revenues Note Payable-Revenue Anticipation Note ("RAN") Liabilities Total Fund Balance Fund Balance Fund Balance Total Liabilities and Fund Balance Total

1 of 3

$

Debt Service Enterprise Fund 7,000,684 $ 0 0 0 351,519 0 0 7,352,203 $

770,655 4,890,176 (183,209) 1,440,992 0 0 0 6,918,614

$

1,062,263 $0 $ 0 0 30,642,428 (22,049,814) 663,531 0 2,345,119 0 555,920 0 36,947,781 0 72,217,042 $ (22,049,814) $

1,633 47,238 (135,507) 0 0 0 0 (86,636)

$

48,043,627 48,043,627

$

120,260,669

$ $

20,680,813 $ 0 0 0 97,702,270 1,427,017 450,569 120,260,669 $

29,402,017 $ 29,402,017

$

7,005,250 7,005,250

$

$

6,918,614

7,352,203

Orleans Parish School Board Statement of Revenues and Expenditures For the Eight Months Ended February 28, 2013

General Fund Budget Revenue Ad Valorem Tax Ad Valorem Tax-Debt Service Sales & Use Taxes Charters & RSD Interest Income Medicaid Reimbursement Miscellaneous Revenue Minimum Foundation Program ("MFP") Non Public Textbook Revenue Sharing Professional Improvement ("PIP") Revenue Indirect Cost Reimbursements Fund Transfers Revenue Total Expense Alternative Learning Institute Total Audio Visual Department Total Ben Franklin Elementary School Total Bethune Elementary School Total Board Office Total Central Office Total Charter Office Total Curriculum & Instruction Total Disadvantaged Business Enterprise Total Exceptional Children Services Total Facilities Total Finance Total Human Resources Department Total Information Technology Total Insurance Department Total Legal Department Total Mahalia Jackson Total Maintenance Total McDonogh 35 Career Academy Total McDonogh 35 Senior High School Total McMain Senior High School Total Recovery School District Total Special Revenue Total Summer School Total Superintendent's Office Total System Wide Expenses Total Youth Study Center Total Expense Total Excess Revenue over Expenditures

Debt Service

Y-T-D

$

8,010,171 $ 0 3,724,869 2,257,375 46,860 88,153 1,388,724 7,934,096 51,687 1,945,857 29,315 1,476,749 0 26,953,856 $

4,155,086 0 2,012,434 223,164 353,140 (88,153) (440,724) 4,342,048 439,395 307,560 327,448 1,023,251 3,000,000 15,654,649

$

437,281 $ 259,710 4,777,807 2,851,708 265,122 629,835 676,288 814,838 175,305 1,221,950 397,564 1,758,606 717,795 1,748,517 2,976,278 1,225,609 1,441,744 273,777 991,872 6,233,705 5,834,163 80,450 0 326,897 378,706 5,105,252 396,577 41,997,356 $

212,276 $ 95,267 2,912,127 1,748,161 615,740 288,607 187,762 506,013 70,941 707,671 253,584 936,679 380,413 1,207,200 2,263,675 479,400 963,205 131,202 675,385 3,855,034 3,639,152 83,445 0 37,440 220,372 2,731,537 169,681 25,371,966 $

$

611,149

$ 12,165,257 0 5,737,303 2,480,539 400,000 948,000 12,276,144 491,082 2,253,417 356,763 2,500,000 3,000,000 42,608,505

$ $

$

Variance

$

1,581,890

$

2 of 3

Y-T-D

$

$0 2,211,967 17,610,892 0 22,598 0 2,824 19,848,282

225,005 164,443 1,865,680 1,103,547 (350,618) 341,228 488,526 308,825 104,364 514,280 143,980 821,927 337,382 541,317 712,603 746,209 478,539 142,575 316,487 2,378,671 2,195,011 (2,995) 0 289,457 158,334 2,373,715 226,896 16,625,390

$

$0 0 0 0 281,774 0 0 0 0 0 0 28,142,780 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 28,424,554

(970,741)

$

(8,576,273)

Special Revenue Budget

Y-T-D

Variance

32,435,413

26,408,646

6,026,767

$ 32,435,413

$ 26,408,646

$ 6,026,767

Orleans Parish School Board Statement of Revenues and Expenditures For the Eight Months Ended February 28, 2013

Enterprise Fund Budget

Y-T-D

Variance

Revenue Interest Income Miscellaneous Revenue Rental Income Revenue Total Expense Benefits Construction Services Custodial Services Disposal Services Electricity Lawn Care Materials & Supplies Other Fees Other Professional Services Property Insurance Repairs & Maintenance Salaries Water/Sewage Expense Total

$0 0 1,708,216 $ 1,708,216

$

588 207 1,045,151 $ 1,045,946

$

$ 31,556 0 178,000 23,000 425,000 34,000 55,000 0 238,257 196,000 320,000 93,500 63,000 $ 1,657,313

$

10,941 9,823 125,667 10,827 125,534 19,004 540 17 152,171 53,059 102,396 32,690 17,840 $ 660,510

20,615 (9,823) 52,333 12,173 299,466 14,996 54,460 (17) 86,086 142,941 217,604 60,810 45,160 $ 996,803

Revenues over Expenditures

$

$ 385,436

$ (334,533)

50,903

3 of 3

(588) (207) 663,065 662,270

FEDERAL PROGRAMS CONSULTATION MEETING MARCH 14, 2013 NICOLETTE LONDON

SEQUESTRATION Sequestration, as defined by the Congressional Budget Office, is an enforcement mechanism by which the President orders the cancellation of budgetary resources in amounts sufficient to eliminate a deficit.

In this case, a budget sequester is when funds that would otherwise be spent under current law are reserved, and are used instead for deficit reduction.

If the Joint Select Committee does not report a reduction in the budget deficit and Congress has not enacted legislation to reduce the budget deficit by more than $1.2 trillion dollars, then the Budget Control Act would go into effect on January 3, 2013 (March 1, 2013 was the actual effective date).

• The LDOE has strongly advised LEAs to plan for up to a 9.10% reduction per grant in the FY 2013 allocation.

• Title I reduction: $1,489,974.03 • Begin the year as if school budgets are based on a $790.00 per pupil allocation.

• Funds cut from schools will be returned if sequestration doesn’t occur.

• Revise budgets – due date July 31, 2013.

• Reduction of set-asides= technology software, personnel.

• February, 2013 – funds returned to schools

• Title II reduction: $294,928.45 • Begin the year with the same allocation.

• Supplemental school allocation will be given if sequestration doesn’t occur.

SEQUESTRATION: POTENTIAL AFFECTS IN FISCAL YEAR 2013 March 1, 2013 –automatic cuts: • Now estimated at approximately 5-8% cut across the board.

• Potential loss of approx. $38,000.00 to $100,000.00 at school level depending on the poverty enrollment of the school.

• Potential loss of approx. 1-2 teachers depending on the poverty enrollment of the school.

March 7, 2013 TIMBERS III HVAC REPAIRS Requestor: Herman K. Taitt, Jr., Executive Director of Operations Advertisement Dates: The Times Picayune Wednesday, November 21, 2012 Wednesday, November 28, 2012 Wednesday, December 05, 2012 OPSB Website - continuously November 21 through December 20, 2012 Publicly Opened: December 20, 2012 Vendors Receiving Bid Package: 7

Vendors Responding: 5

Principals of the Company: ARC MECHANICAL CONTRACTORS, INCORPORATED (SLIDELL, LA) President: Chester A. Cabirac Background Information: On November 21, 2012 the OPSB Purchasing Department released Invitation to Bid (ITB) no. 2012-0524-0001 for the HVAC repairs at Timbers III. The ITB was advertised in the Times-Picayune and posted to the OPSB website. A pre-bid conference was held on December 6, 2012.

On December 20, 2012 at 2:00 P.M. a public bid opening was conducted at the OPSB offices by the Purchasing Department.

The bid results were as follows: Contractor Bernhard Mechanical Contractors Arc Mechanical Contractors GCA Education Services Gootee Construction Blanchard Mechanical Contractors

Bid 791,000.00 828,000.00 831,980.00 833,000.00 918,000.00

It should be noted that the bid submitted by Bernhard Mechanical Contractors has been determined to be non-responsive due to their not submitting the Attestation form within the time period as called for in Section 6.2.4 of the Instructions to Bidders.

In addition, Arc Mechanical Contractors has submitted DBE Form 1 and has committed to achieving a DBE participation goal of 35%.

RECOMMENDATION:

That the Orleans Parish School Board accepts the lowest responsive bid from Arc Mechanical Contractors in the amount of $828,000.00 and authorize the OPSB General Counsel to prepare a contract. In addition, OPSB Administration requests that the OPSB approve a 10% contingency for any unforeseen conditions. Additional work will not be performed until approved by the OPSB Executive Director of Operations by way of a field change order.