The district approved the $165.8 million budget for the 2017-2018 school year with an anticipated 1.4 percent budget shortfall.

With the 1.4 percent shortfall, the district would be required to take $1.6 million out of the district reserve fund, which is an accumulation of budget surplus from previous years. The reserve fund has between $42 and $45 million, according to Chief Financial Officer Don Marshall.

While the budget was approved unanimously by trustees, PISD board secretary Jeff Barry saying that the board could have balanced the budget without dipping into the district’s reserve fund.

“It’s fiscally irresponsible for us to do this,” Barry said.

Barry suggested that the district balance the budget by not allocating money for raises to employee salaries. The budget includes a two percent increase to current teacher and librarian salaries.

Trustee Pam Boegler echoed Barry’s concerns as well. Boegler suggested that the board support a one percent increase, and then perhaps give one time bonuses in the middle of the year, if the budget allowed for it.

"If we go with a one percent raise, we get closer to a close, neutral balance,” Boegler said.

Trustee Charles Gooden opposed offering teachers and librarians a salary increase of less than two percent.

“I don’t want people to go year to year making less money. That’s terrible,” Gooden said.

Trustees Mike Floyd and Rebecca Decker said that they didn’t see any room in the budget for cuts.

“I don’t think I can support any cuts. I just went through the system and there is no room,” Floyd said.

The board voted 5-1 to raise teacher salaries, with one trustee absent from the vote. Barry was the lone dissenter. PISD trustees also approved raising the starting salary for first time educators with a bachelor's degree from $52,000 in the 2016-17 school year to $53,000.

 

The PISD 2017-18 budget will go into effect July 1.

The PISD board of trustees voted to hold the property tax rate for 2017 at $1.4156 per $100 valuation, which is the same rate as 2016. While the district tax rate has ticked down over the past 10 years, falling from $1.4294 per $100 valuation in 2007, property appraisal values in Pearland have gone up. With home values going up, the revenue generated through PISD’s tax rate has also gone up.

While the 2017-18 school year budget maintains the same tax rate, PISD will effectively collect 8 percent more revenue over last year, according to the district’s tax notice.

The effective tax rate for 2017-18, which means the rate at which tax revenue would remain the same as the previous year, is $1.300775 per $100 valuation, according to the tax notice.