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P <br />3 <br />MINUTES OF THE <br />ORONO CITY COUNCIL MEETING <br />Monday, October 9, 2006 <br />7:00 o'clock p.m. <br />(3. DICKLEWIS, ORONO SCHOOL BOARD — ORONO SCHOOL DISTRICT REFEREND UM, <br />Continued) <br />Lewis stated passage of the referendum would help to maintain the quality of education that is currently <br />being provided by the school district. Lewis noted 11 teacher positions are slated for elimination if.the <br />referendum is not approved and would result in larger class sizes. <br />Lewis reviewed the charts reflecting the impact the referendum would have on homes based on market <br />value and that passage of the referendum would result in approximately $500,000 of revenue in the first <br />year to the school district. Lewis noted information on the referendum would be mailed out to each <br />school district resident in the near future. <br />McMillan inquired whether the school district is aware of how much would be received each year after <br />the first year. <br />Lewis stated that is undetermined at this point but noted that the Minnesota State Legislature caps the <br />amount the school district could receive per year under the referendum. <br />Sansevere inquired how much the school district is still required to pay the former superintendent for <br />health insurance. <br />is <br />Lawson stated the health insurance premiums would be paid for by the school district for the remainder of <br />the former superintendent's lifetime. 40, <br />Sansevere inquired whether paying health insurance premiums for employees after they are no longer <br />employed is standard for the industry. <br />Lawson stated that benefit was fairly standard a number of years ago but is now being phased out of <br />contracts. <br />Sansevere commented he has an issue with the fact that there are people who receive that benefit from the <br />Orono School District but are currently employed by a different school district or company and that their <br />current employer should be asked by those former employees whether they would pick up their health <br />insurance. <br />Sansevere inquired whether the school district's deficit was unforeseen. <br />Lewis stated it is difficult to foresee deficits at times due to changes in legislation. <br />Sansevere inquired whether Mr. Lewis would personally support to eliminate 11 teacher positions if the <br />referendum fails. <br />Lewis stated the implication if the referendum fails is that 11 teacher positions would need to be <br />eliminated and that he would vote in favor of the elimination. <br />Sansevere requested that the School District write a letter to the former superintendent asking him if he <br />would be willing to cease receiving health care from Orono since he is now employed by a different <br />employer. <br />PAGE 2 of 10 <br />