* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. [I. Call to Order.] [00:00:02] GOOD MORNING. ALL RIGHT, WELCOME. THE TIME IS NOW 10:01 AM ON SEPTEMBER 15TH, 2026. I'M CALLING TO ORDER THE MEETING OF THE L-A-U-S-D FINANCE CORPORATION MEETING, UH, WHICH YOU WILL LEARN ABOUT, UH, MORE ABOUT WHAT IT IS IN JUST A MOMENT. UM, I'LL GO AHEAD AND CALL ROLL, UH, MS. NEWBELL. PRESENT. DR. RIVAS? PRESENT? MR. MELVIN? HERE. HERE. UH, MS. GALLEGO? HERE. MS. EZ? MS. ORTIZ FRANKLIN. OKAY. WE HAVE AND BOARD PRESIDENT SCHON PRESENT MY BOSS. ALRIGHT. WE HAVE, WE HAVE, WE HAVE A QUORUM. UM, I'M NOT GONNA CALL UP MR. TIM RASNICK TO EXPLAIN WHAT IT IS THAT WE'RE DOING HERE FOR THIS MEETING AND THE, AND THE VERY BRIEF MEETING THAT FOLLOWS RIGHT AFTER IT. SO PLEASE COME ON UP, INTRODUCE YOURSELVES AND GIVE US A BRIEF EXPLANATION OF WHAT WE'RE DOING HERE, PLEASE. OKAY. I'M TIM RASNICK, DEPUTY CONTROLLER. UM, BASICALLY THE DISTRICT HAS TWO FINANCING CORPORATIONS. UM, THE FINANCING CORPORATION CORPORATIONS SERVICE COUNTERPARTIES IN OUR COP TRANSACTIONS. THEY'RE FUNDAMENTALLY A LEASE LEASEBACK TRANSACTIONS. SO FINANCING CORPORATIONS ARE THE COUNTERPARTY IN THAT TRANSACTION. UM, THE BOARD OF THE FINANCING CORPORATIONS ARE THE SAME AS THE BOARD OF THE SCHOOL DISTRICT. UM, AND SO, UM, THOSE TWO BOARDS ARE IDENTICAL. UH, THIS, THE BYLAWS OF THE CORPORATIONS REQUIRE AN ANNUAL MEETING, WHICH IS WHAT THIS MEETING IS. AND THE ANNUAL MEETING TYPICALLY ONLY HAS TWO ACTIVITIES. ONE IS TO ACCEPT THE MINUTES OF THE PRIOR MEETING, AND THE SECOND IS TO ELECT THE BOARD, UH, OR ELECT THE OFFICERS, UM, OF THE CORPORATION, WHICH ARE SPECIFIED IN THE BYLAWS. AND IF THERE'S ANY OTHER QUESTIONS, I'D BE HAPPY TO ENTERTAIN THEM. , I, I ACTUALLY DO MAYBE FOR THE FIRST TIME, AT LEAST IN 10, NINE OR 10 YEARS, HAVE A QUESTION DURING THIS QUICK MEETING, UM, THAT MAYBE IS, IS MORE ACCURATELY ADDRESSED TO MR. UM, BRAVO CARINI. BUT REALLY WHAT I WOULD JUST LOVE IS A REPORT, UM, ON OUR, OUR COOPS. UM, I KNOW THE BOARD HAS TALKED AND, AND YEARS AGO FOR THE PUBLIC, WHEN WE DIDN'T HAVE MEASURE US PASSED, WE, WE ISSUED, UM, CERTIFICATES OF PARTICIPATION TO FUND SOME IT PROJECTS, SOME GREETING PROJECTS, UM, THAT IS ON THE GENERAL FUND. UM, AND THEN WE PASS MEASURE MEASURE US, AND WE HAVE BOND DOLLARS THAT WE'RE GONNA BE TALKING ABOUT. AND PART OF THE AGENDA FOR OUR REGULAR BOARD MEETING TODAY IS ON THE, UM, STATE, UM, GRANT POTENTIALLY FOR FACILITIES. UH, AND SO EVEN THOUGH SOME OF THESE PROJECTS ARE ALREADY EARMARKED OR SOME UNDERWAY, I WOULD BE CURIOUS NOW, GIVEN THE FINANCES OF THE DISTRICT, WHERE WE MIGHT BE ABLE TO KIND OF RE RETURN SOME FUNDS TO THE GENERAL FUND BY EITHER TRANSFERRING SOME OF THESE PROJECTS TO BONDS OR JUST INDEFINITELY CANCELING OR PAUSING, WHAT HAVE YOU. UM, AND SO JUST AS IT RELATES TO THIS FINANCE CORPORATION MEETING, WHO'D BE HELPFUL FOR THE BOARD AND THE PUBLIC TO GET A REPORT ON THOSE COPS AND, UH, JUST UNDERSTAND OUR FLEXIBILITY TO THE EXTENT WE HAVE ANY, TO KIND OF BRING SAVINGS BACK TO THE GENERAL FUND GIVEN THE FSP AND ALL THAT. ABSOLUTELY. OKAY. THANK YOU. OKAY. IF ANYONE DIDN'T UNDERSTAND ANYTHING ABOUT JUST WHAT HAPPENED, WHAT JUST HAPPENED, PLEASE FEEL FREE TO EMAIL MY OFFICE AND WE WILL GET YOU ALL A WRITTEN, A WRITTEN EXPLANATION IF YOU'D LIKE TO KNOW. THANK YOU SO MUCH, MR. RASNICK. UH, THE FIRST ORDER OF BUSINESS IS THE ELECTION OF THE [III. Appointment, Designation, and Ratification of Officers.] BOARD OF DIRECTORS FOR THE FINANCING CORPORATION, WHICH IS EXPLICITLY, UH, OUT OUTLINED IN THE BYLAWS. UM, AND I'M JUST GONNA READ OUT HOW THE ELECTION ACTUALLY HAPPENED. FOLKS ARE MORE OR LESS APPOINTED BASED ON THEIR POSITION ON OUR BOARD. THE PRESIDENT OF THE CORPORATION SHALL BE THE CURRENT PRESIDENT OF THE BOARD OF EDUCATION. THAT'S MR. SCOTT SCH MESEN, THE VICE PRESIDENT OF THE CORPORATION SHALL BE A VICE PRESIDENT OF THE BOARD OF EDUCATION. THAT'S DR. RIVAS. UM, THE TREASURER OF THE TREASURER OF THE CORPORATION SHALL BE THE CURRENT CHIEF FINANCIAL OFFICER OF THE DISTRICT. THAT'S MR. UH, SIMON BRAVO KARIMI, WHO WAS JUST UP HERE. AND THE SECRETARY OF THE CORPORATION SHALL BE THE CURRENT CONTROLLER OF THE DISTRICT. THAT'S MR. ERNIE THOMAS. UM, AND NOW, MAY I HAVE A MOTION, UH, TO ACCEPT THE MINUTES FROM THE LAST MEETING? MOVE IT MOVED BY MR. SCHUREN, SECOND. SECOND BY DR. REVA. UH, AND NOW I'LL TAKE THE VOTE ON THAT. UH, MS. NEWBELL? YES. DR. REVA? YES. MR. MELVIN? YES. MS. REGO? YES. UH, MS. EZ, MS. ORTIZ FRANKLIN AND BOARD PRESIDENT SHAMON? YES. OKAY. AND UNLESS THERE'S ANY OBJECTIONS, MAY WE ADJOURN THIS MEETING. MEETING SO ADJOURNED. THE TIME IS NOW 10:06 AM AND, UM, THIS IS NOT A, OH, [Additional Item 2] I FORGOT PUBLIC COMMENT. HERE COMES MR. TOSKI. MY APOLOGIZE. PLEASE COME UP. MR. TOSKI. I HAVE TWO MINUTES TO SPEAK ONCE YOU BEGIN. THANK YOU VERY MUCH. I I DO UNDERSTAND WHAT WAS HAPPENING. AND MR. RASNICK IS IN CHARGE OF YOUR DEVELOPER FEES, YOUR IMPACT FEES. THERE ARE THREE, THREE INSPECTOR GENERAL REPORTS TO YOU OVER THE YEARS. THREE OF THEM SHOWING THAT CITIES ARE NOT PAYING [00:05:01] THE MONEY TO THIS DISTRICT, AND YOU HAVE NOT SENT THEM A LEGAL NOTICE TO PAY. THERE ARE OTHER PLACES WHERE THEY'RE NOT REPORTING. EVERYWHERE YOU SEE A NEW APARTMENT BUILDING GOING UP, $5 A SQUARE FOOT SHOULD BE COMING TO THIS SCHOOL DISTRICT. WE SHOULD NOT SEND OUT MESSAGES ON VIDEO TO ALL OUR EMPLOYEES ONLY ABOUT A CUT, CUT, CUT WHEN WE'RE NOT PURSUING THE REVENUE THAT WE NEED. THERE WAS NO MESSAGE WHATSOEVER IN THAT REPORT ABOUT VOTING IN NOVEMBER TO ENSURE THAT WE GET OUR GENERAL FUNDS FROM THE STATE. THERE WAS NO MESSAGE ABOUT THE GOVERNOR HOLDING BACK MONEY. YOU KNOW, THAT YOU HIRED THE FMA PEOPLE TO SPEAK TO YOU, AND THEY DIDN'T EVEN TALK TO YOU ABOUT $5.9 BILLION. SO SET UP A HOTLINE. LET THE PEOPLE OF THIS DISTRICT SEND IN A, A MESSAGE THAT THEY SEE A BUILDING GOING UP IN THEIR NEIGHBORHOOD WITH 150 APARTMENT BUILDINGS. AND TO MAKE SURE MR. ROSTOCK GOT FROM THE CITY OF LA OR FROM THE CITY OF HUNTINGTON PARK, OR THE CITY OF SAN FERNANDO, THE MONEY THAT WE DESERVE. THANK YOU MR. MELVOIN, FOR BRINGING UP THE COOPS. THERE IS STILL A GENERAL FUND TICKET BEING PAID TO THE COOPS AND A TRIPLE THE SIZE ONE FOR THE JUDGMENT OBLIGATION BONDS. WE ARE PAYING OUT 50, $70 MILLION OF GENERAL FUND EACH AND EVERY YEAR. THERE IS REVENUE TO BE HAD AND HIRING A COMPANY LIKE ALVAREZ MARSALA WITHOUT DOING ANY DUE DILIGENCE IN ST. LOUIS, IN NEW ORLEANS, IN ALL OF THESE CITIES IN BRAZIL, THIS IS ONE OF THE MOST CORRUPT CORPORATE TAKEOVER COMPANIES. WHOEVER PUT THAT ON THE AGENDA, WHOEVER DID THAT, RFP SHOULD BE SENT WHEREVER MR. RICHARD NIXON WENT. OH, THANK YOU FOR YOUR TIME. ALL RIGHT, THE NEXT SPEAKER IS OPHELIA RYAN, YOU'RE ON THE LINE WITH US. OPHELIA RYAN, PLEASE PRESS STAR SIX TO UNMUTE YOURSELF AND YOU'LL HAVE TWO MINUTES TO SPEAK ONCE YOU BEGIN. OPHELIA RYAN. HI. CAN YOU HEAR ME? ABSOLUTELY. PLEASE GO AHEAD. THANK YOU. GOOD MORNING. I'M HERE TO ASK YOU TO URGE YOU TO REJECT THE PROPOSED ARI AND MARSHALL CONTRACT. THIS IS ABOUT WHO DO WE TRUST TO SOLVE LAD'S PROBLEMS AND HOW WE SPEND SCARS PUBLIC EDUCATION DOLLARS. L-A-U-S-D HAS ALREADY PROFESSIONALS WITH EXPERTISE IN ENROLLMENT, BUDGETING, STAFFING, OPERATIONS, ATTENDANCE, SCHOOL PROGRAMS, AND COMMUNITIES. SO WHAT'S EXACTLY, WHAT, WHAT IS IT THAT ALVAREZ AND MARSHALL IS GOING TO DO THAT WE CANNOT DO INTERNALLY? WHY CAN'T OUR STRATEGIC ENROLLMENT OFFICE AND DISTRICT STAFF LEAD THIS WORK? WHAT OTHER ALTERNATIVES WERE CONSIDERED? WHAT ARE THE SPECIFIC DELIVERABLES AND HOW WILL IT, WILL WE MEASURE THE OUTCOME? THE BENEFIT THEY ARE KNOWN FOR DOUBLING OR DOUBLING THE ESTIMATES THEY SHARE, THEY SHOW AT THE BEGINNING. SO HOW MUCH IS THIS GONNA COST US, INCLUDING EXTENSIONS AND ADDITIONAL SERVICES WHEN THEY CHARGE OVER $500 PER HOUR? L-A-U-S-D HAS COMPLETED AN EXTENSIVE STRATEGIC PLANNING PROCESS INVOLVING MORE THAN 70 ENGAGEMENT SESSIONS WITH FAMILIES, EDUCATORS, LABOR PARTNERS, AND COMMUNITY ORGANIZATIONS. THE BOARD HAS APPROVED OUR STRATEGIC PLAN IN WHICH IT EMPHASIZED COLLABORATION, ENGAGEMENT, AND INVESTING IN STAFF. SO WHY ARE WE CONSIDERING PAYING AN OUTSIDE MANAGEMENT FIRM TO HELP DETERMINE SOLUTIONS WHEN OUR COMMUNITIES AND OUR OWN EMPLOYEES HAVE ALREADY HELPED IDENTIFY OUR PRIORITIES? EVERY DOLLAR SPENT ON OUTSIDE IS A DOLLAR THAT CANNOT BE GOING INTO CLASSROOMS, STUDENT SERVICES, SCHOOL PROGRAMS, AND STRENGTHENING LAD'S OWN WORKFORCE. I'M ASKING YOU TO USE PUBLIC EDUCATION DOLLARS RESPONSIBLY. THANK YOU FOR YOUR TIME AND FOR APPROVING THIS CON. ALL RIGHT, THE NEXT SPEAKER IS CESAR CHARO. CESAR CHARO. UH, YOU'RE ON THE LINE. PLEASE PRESS STAR SIX TO UNMUTE YOURSELF. AND YOU HAVE TWO MINUTES TO SPEAK ONCE YOU BEGIN. YES. GOOD MORNING. I'M HERE TO URGE YOU TO VOTE NO ON THE PROPOSED CONTRACT WITH ALVAREZ AND MARSHALL AT THE TIME. L-A-U-S-B FACES MAJOR FINANCIAL CHOICES AND ENROLLMENT SHIFTS. EVERY DOLLAR MUST GO DIRECTLY TOWARD OUR CLASSROOMS. WE SHOULD NOT SPEND MILLIONS ON OUTSIDE CONSULTANTS FOR WORK THAT OUR DISTRICT IS ALREADY BUILT TO HANDLE. WE ALREADY HAVE AN OFFICE OF STRATEGIC ENROLLMENT, UM, THAT WAS CREATED SPECIFICALLY TO MANAGE DATA, ENROLLMENT STRATEGIES AND PLANNING. HIRING AN OUTSIDE FIRM DUPLICATES THE WORK OF OUR OWN STAFF. A COMMUNITY COMMUNITY DRIVEN DRIVEN PLAN IS READY IN JUNE. THIS BOARD [00:10:01] UNANIMOUSLY APPROVED ITS 26TH THROUGH 2030. STRATEGIC PLAN DEVELOPED THROUGH OVER 70 ENGAGEMENT SESSIONS WITH STUDENTS, FAMILY AND STAFF. WE DON'T NEED CONSULTANTS TO READ DETERMINE PRIORITIES OUR COMMUNITY HAS ALREADY SENT. UM, EVERY DOLLAR GIVEN TO CONSULT CONSULTANTS IS GIVEN AWAY. IT'S TAKEN AWAY FROM TEACHERS COUNSELING AND SCHOOL SUPPORT. WE CANNOT AFFORD A NECESSARY CORPORATE OVERHEAD. PUBLIC ACCOUNTABILITY. LESD IS A PUBLIC INSTITUTION ACCOUNTABLE TO ITS COMMUNITY, NOT A PRIVATE CO CORPORATION. DEC DECISIONS ABOUT OUR SCHOOLS BELONG IN THE HANDS OF THE FAMILIES AND EDUCATORS WHO LIVE THEM EVERY DAY BEFORE VOTING, ASK YOURSELVES, WHAT WILL THIS CONTRACT PRODUCE THAT OUR OWN STAFF AND STRATEGIC PLAN CANNOT TRUST OUR EDUCATORS, OUR STAFF, AND OUR COMMUNITY? VOTE NO ON THIS CONTRACT AND THANK YOU VERY MUCH. THANK YOU FOR YOUR TIME. THAT CONCLUDES PUBLIC COMMENT ON THE LA UH, THE USD FINANCE CORPORATION, UH, MEETING. BUT, UH, MS. ORTIZ FRANKLIN, ARE [II. Approval of prior meeting minutes.] YOU, YOU ARE HERE. WOULD YOU LIKE TO, UM, LODGE YOUR VOTE AS TO THE MINUTES? YES. ALRIGHT. THAT'S A YES ON THE MINUTES. OKAY. AND NOW, UNLESS THERE ARE ANY OBJECTIONS, UH, THE MEETING CAN BE ADJOURNED. ANY OBJECTIONS? NO. OKAY. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.