The setup
Amid 19% inflation since the COVID-19 pandemic, federal funds tied to the pandemic running out, and the Texas legislature providing almost no new funding for public schools in their most recent session, preparing AISD’s budget this year has proven challenging, said Daniel Combs, assistant superintendent and chief financial officer for AISD.
In addition, AISD being a fast-growth district does bring its benefits, such as more funds tied to enrollment growth, but does create other challenges, Combs said.
For example, AISD is expecting $7 million more in revenue this year compared to last, which can nearly all be attributed to a projected 700 new students, Combs said. However, much of that money will go to staffing and opening a pair of new schools this fall.
As a result, many maintenance and facilities projects will have to be deferred in favor of funding these growth-related additions, Combs said.
“The funding issues across the state made things uniquely challenging this year,” Combs said. “That was a challenging endeavor to open these new campuses simultaneously with the lack of additional funding.”
By the numbers
AISD is expecting $366.6 million in both revenue and expenses, according to district documents. That total is nearly $7 million more than last year’s expenses and comes with a few key increases.
One growing expense is personnel, which AISD officials expect to spend $18.4 million more on this year compared to last, documents show. Of that, almost $7.7 million is going toward a 3% cost of living adjustment.
Much of the rest is going toward staffing at a pair of new schools—Iowa Colony Junior High School and Barbara Bennett Elementary School—that are opening in the fall, documents show.
Other additional expenses, totaling around $1.7 million, are expected, documents show. Some of those larger items include:
- $600,000 for maintenance and operation
- $342,211 for an increase in campus budget allocation
- $172,011 for emergent bilingual, foreign language and culture services
- $150,317 for fine arts
- $134,327 for athletics and physical education
To make up for the increases, officials expect to spend close to $11.5 million less on non-annual items they purchased last year—the bulk of which are capital improvement funds, Combs said.
What else?
Last year, AISD also managed to balance its budget amid dozens of districts across the state approving shortfalls.
While AISD won’t be among that group this year, several other school districts are expecting shortfalls again in the upcoming fiscal year.
For AISD, the district’s board could consider a new bond later this year, which Combs said traditionally would go to helping fund new or expanding schools. Because of this, funding for maintenance is difficult to include in the bond, leaving officials to include such funds in the district’s regular operating budget.
“We’re very purposeful and intentional to have a robust capital and maintenance plan inside our budget,” Combs said. “We try very hard not to finance those types of projects with bonds.”
However, once new schools are opened and the need for new expenses levels out, the district is often able to recuperate such funds and catch up, Combs said.
Stay tuned
AISD’s board of trustees will consider adopting its budget at its June 11 meeting.
