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Prosper ISD officials have dedicated 81% of its general fund budget to its teachers and other employees.
“Ultimately, what [the school board is] making a decision on is in the best interest of the students that we’re serving,” Superintendent Holly Ferguson said.
The gist
The district’s board of trustees unanimously approved the FY 2024-25 budget on Aug. 26.
Here is a quick breakdown of what is included in the total $493.23 million budget:
The budget has a $15.45 million shortfall in the general fund as revenue does not meet the district’s expected expenses. The shortfall will be covered by the district’s fund balance, which is similar to a savings account and should hold enough money for a district to operate for 75 days, according to the Texas Association of School Administrators.
The district’s fund balance ideally grows $10 million-$20 million annually, according to the meeting’s presentation.
Zooming in
Prosper ISD has added about 565 staff positions since adopting the 2023-24 budget, Chief Financial Officer Michele Seese said. This has added approximately $46 million in new expenses as the district pays for new employee salaries, benefits contributions and additional hourly staffing needs.
The increase also includes a 3.5% raise for teachers, which the board approved April 15.
Additional new expenses include the rising costs of technology and software, utilities, landscaping and property insurance, among others, Seese said.
“The highlights of new expenses that are not personnel are inflation, inflation [and] inflation,” she said. “It’s hitting all areas.”
One more thing
Prosper ISD student enrollment has increased since the last school year. In August 2023, the district had 27,937 students. This has grown by 3,304 students to 31,241 in August 2024—an almost 12% increase.
