“With the fast growth we’re experiencing, ... we feel this is the most conservative and responsible budget,” Chief Financial Officer Michele Seese said. “Adopting the proposed deficit ensures we are assuming a worst-case scenario for [the] 2023-24 [school year].”
The overview
The board of trustees approved its budget and tax rate for fiscal year 2023-24 on Aug. 28.
Here is a quick breakdown of what is included in the total $428.4 million budget:
- $306.01 million in the general fund
- $13.25 million in the child nutrition fund
- $99.35 million in the debt services fund
- $9.79 million shortfall
The preliminary general budget accounts for $296.21 million in revenue from local, state and federal sources, Seese said.
Expenditures for the district’s maintenance and facilities increased 17.84% to $27.89 million in the FY 2023-24 budget. This budgeted amount is higher to help cover the district’s costs with opening new schools, Seese said. It also covers costs associated with maintenance, grounds crews, utilities and property insurance, she said.
Here are a few highlights from the budget:
- The budget accounts for growth of 2,600 students from the 2022-23 school year.
- More than 81% of the budget is allocated to employee salaries. The budget includes 454 additional staff members from last year, Seese said.
- Over $3 million of the budget is dedicated to safety and security.
Also on the agenda
The FY 2023-24 tax rate is $1.2575 per $100 valuation, which is more than $0.18 lower than the previous year’s rate. The FY 2022-23 tax rate was $1.4429 per $100 valuation.
A district’s tax rate is split into two components.
- The first part, maintenance and operations, or M&O, funds the day-to-day operations of the district, according to PISD. The new M&O rate is $0.7575 per $100 valuation.
- The second part, interest and sinking, or I&S, helps pay the debt the district has incurred for capital projects. This includes constructing new school buildings and renovating buildings. The I&S rate is $0.50 per $100 valuation.
