In a nutshell
According to district documents, with school districts facing millions of dollars in deficits due to the state of Texas not increasing funding since 2019, one of the only avenues that school districts have available to increase funding is through a VATRE. If called, the measure would ask voters to approve increasing the property tax rate during the Nov. 5 election.
Chief Financial Officer Jonathan Pastusek gave a presentation that outlined the major components of the VATRE, and the reasoning behind why it was needed.
As part of the 2024-25 budget, district officials have outlined the following priorities:
- Protect student programs—this item includes keeping class size ratios intact as well as keeping or increasing programs offered to students
- Maximize compensation for staff—this item includes providing raises for staff, pay scale adjustments and stipends across all disciplines
- Protect the district’s fund balance to an optimum level as prescribed by the Texas Education Agency
Pastusek said that based on the value of a typical NISD home, which is approximately $500,000, passing the tax rate would add $10 a month to a property owner’s tax bill.
If the VATRE doesn’t pass, Pastusek said that the district would need to look into the following measures:
- Minimize hiring to reduce staff
- Increase class size ratios
- Cut or reduce programs
- Decline staff raises, pay-scale adjustments or stipends
Citing statistics from previous Community Impact reporting, Pastusek said that the average Texas teacher salary is $62,463, which is $9,000 below the national average. Texas teacher salaries, after adjusting for inflation, are down 6% from 2015.
He added that per student spending in Texas has dropped 2.5% since 2022-23 while the national average has increased 2.9%. Texas spends $5,220 less per child than the national average and ranks 46th among the 50 states for per-student funding.
Quote of note
Board President Steve Sprowls, who has been vocal in recent meetings about how Texas legislators have failed school districts across the state because they have not increased funding since 2019, took this opportunity to state why a VATRE is necessary.
“With inflation up over 20% since 2019, our teachers are suffering as far as what they’re getting paid,” Sprowls said. “It’s pathetic that our state leaders from the governor down to our state representatives let politics get involved. Now, we need to ask you as a homeowner to pay more in property taxes because they want to play political games.”
What's next
The item was for discussion only and no action was taken. Pastusek said that a VATRE follows a strict timeline and the first item would be to select an auditor to perform an efficiency audit by July 5.