Sierra Vista board approves FY2025 budget revision, joins Arizona Health Pool and renews food services contract; names interim superintendent

The Sierra Vista Unified School District governing board on an evening meeting approved a set of administrative and finance measures including the district's third and final FY2025 expenditure budget revision, authorization to join the Arizona Health Pool Trust, renewal of the district food services contract with Southwest Food Service Excellence and the appointment of Terry Romo as interim superintendent.

The board voted 4-1 to approve the FY2025 final expenditure budget revision for submission to the Arizona Department of Education, and later voted 4-1 to move the district's employee health coverage into the Arizona Health Pool Trust beginning July 1. Board members approved a one-year renewal of the Southwest Food Service Excellence contract and approved new selling prices for student meals. The governing board also appointed Terry Romo interim superintendent by a 5-0 vote and directed administration to begin a request-for-proposal (RFP) process to select a company to conduct the permanent superintendent search (5-0).

Board President Lee opened the consent and action items and administration presented each recommendation. Superintendent Eric Holmes summarized the district's rationale for the food-price adjustment tied to the contract renewal: "We are going to be proposing that we increase the breakfast from a dollar 75 to $2.25 ... and lunch, from $3.25 to $4," he said during the presentation explaining the district sought modest increases so the food service operation would stop operating at a loss.

Why it matters: the budget revision formalizes the district's most recent state-funded revenue and current average daily membership figures; joining the Arizona Health Pool changes how the district will purchase employee health benefits; and the food-service action adjusts the prices charged to students and adults, which affects families who pay full price and district meal-revenue projections.

What the board approved (selected details): - FY2025 expenditure budget revision: approved 4-1. Administration stated the revision incorporated updated state budget factors, carryforwards and recent ADM figures; the document will be submitted to the Arizona Department of Education. - Arizona Health Pool Trust IGA: approved 4-1. Administration told the board the move places the district in a larger pool and that the district planned to absorb 45% of this year’s district-wide premium increase; administrators said there is no direct cost to the district to join the trust and the district will retain control over carrier choices. - Southwest Food Service Excellence contract renewal and student meal price increases: approved 5-0. Administration presented updated vendor base costs and recommended raising student selling prices (board materials and the presentation recommended raising the student breakfast price to $2.25 and student lunch to $4.25, with adult meals rising to $5.00). The superintendent framed the change as necessary to stop operating the meal program at a loss while avoiding larger increases. - Intergovernmental agreement with Vail Unified (Beyond Textbooks curriculum maps): approved 4-1. Administration described the service as a curriculum-map and professional-development resource that district teachers use to align essential standards and coordinate pacing. - Arizona School Risk Retention Trust renewal (property/casualty/liability insurance): approved 5-0. The presentation noted the contribution amount and that loyalty credits will lower the final contribution cost. - Appointment of Terry Romo as interim superintendent: approved 5-0. The board accepted letters of intent and voted to appoint Romo effective immediately to serve as interim while the RFP process proceeds. - Direction to begin RFP for superintendent search company: approved 5-0. - Personnel actions and related items (resignation and waiver for Darren Giltner; ratification of authorized grant representatives; special education wage placement plan; acceptance of donations): each item was presented and approved as listed on the consent or action agendas (see Votes at a glance below for tallies).

Votes at a glance: - FY2025 final expenditure budget revision — outcome: approved; tally: yes 4, no 1. - Arizona School Risk Retention Trust renewal (property/casualty) — outcome: approved; tally: yes 5, no 0. - Removal/weeded library books from Buena High School — outcome: approved (administration noted attempts to sell then donate good-condition books); tally: yes 5, no 0. - Intergovernmental Agreement with Vail Unified (Beyond Textbooks) — outcome: approved; tally: yes 4, no 1 (one board member had requested more information prior to the vote). - Arizona Health Pool Trust intergovernmental agreement/participation — outcome: approved; tally: yes 4, no 1. Administration said this change would begin July 1 if the board approved it. - Southwest Food Service Excellence contract renewal and student/adult price changes — outcome: approved; tally: yes 5, no 0. Administration presented both vendor base costs and recommended student selling prices (breakfast $2.25; student lunch $4.25; adult $5.00) as part of the contract renewal. - Appointment of Terry Romo as interim superintendent — outcome: approved; tally: yes 5, no 0. - Selection of RFP process for superintendent search company — outcome: approved to begin RFP; tally: yes 5, no 0. - Acceptance of Darren Giltner resignation and waiver of liquidated damages — outcome: approved; tally: yes 5, no 0. - Ratification of additional authorized grant representatives — outcome: approved; tally: yes 5, no 0. - Proposed special education professional staff wage placement plan (add stipend into base pay, effective 07/01/2025) — outcome: approved; tally: yes 5, no 0. - Acceptance of donations (listed in agenda) — outcome: approved with gratitude; tally: yes 5, no 0.

Discussion and next steps: board members who voted against some items said they wanted additional comparative cost information before voting (notably for the Beyond Textbooks IGA and the health-trust participation). Administration said current-year rates remained in effect until July 1 and that the district had absorbed 45% of the current increase in health costs for employees. The superintendent said the food price changes were intended to stop operational losses and to keep increases smaller than the maximum administratively possible.

Ending: The board scheduled additional work sessions for updated ASBA policy recommendations and indicated an executive session to discuss terms with the newly appointed interim superintendent if needed.