Approved unanimously, the budget this year does not have an anticipated surplus or shortfall.
However, the district intends to pursue the first-ever voter approval tax rate election in November, which will help support teacher salaries and provide funds for capital improvements outside of bonds and other funding mechanisms.
What’s happening?
Chief Financial and Operations Officer Wes Scott said the plan is to implement a competitive and strategic finance plan, covering the additional costs for the district to support staff and facilities.
Scott said Boerne ISD has the lowest funding per student when compared to other San Antonio districts.
As for teacher salaries, Boerne ISD is currently 15 out of 21 local ISDs for starting teacher pay. This rank drops to 16 at the 5-year mark and to 19 at the 10-year mark.
Trustees agreed teachers and staff deserved more compensation for the work in making the district successful, with trustee Rich Sena echoing board comments regarding the benefit of a VATRE to improve salaries.
“It would be nice to have more because then people could be rewarded for the good job they are doing, and they deserve it,” Sena said.
Board President Kristi Schmidt and trustee Dallas Pipes highlighted that the district is one of the only A-rated districts in the state.
“Our teachers deserve equitable pay for working as hard as they are, and being A-rated and competing with neighboring districts that are F-rated. It just doesn’t seem fair, and I think we all agree on that,” Schmidt said.
Upon VATRE approval, the starting teacher salary would increase to $60,000, paraprofessional positions would start at $16 per hour, and auxiliary positions would start at $15 per hour.
Should a VATRE not be approved, Scott said the district will likely face a minor deficit in the upcoming school year.
“Primarily, the things outlined in the salary structures are the differences between what we are going to be able to do or not be able to do,” Scott said.
Diving deeper
In the Texas Legislature, House Bill 2 was approved, providing compensation for teachers across the state.
Under this legislation, for schools with more than 5,000 students, teachers with three to four years of experience receive a $2,500 increase, while teachers with five or more years of experience receive a $5,000 increase. Executive Director of Communications Maggie Dominguez said 80% of teachers at the district have been employed for five or more years.
In total, HB 2 will lead to an estimated allocation of $3.81 million, $3 million of which is through the teacher retention allotment. Gov. Greg Abbott signed HB 2 on June 4.
Alongside increases to teacher pay, legislatures approved an increase in homestead exemptions, allowing a reduction in taxable value.
The school district is anticipating a decrease in the total taxable value by around $1 billion, or 2%, in turn slightly decreasing the general fund revenue. Gov. Abbott signed the property tax relief bills June 16.
To ensure the budget is balanced, cuts were made at the central office, including a reduction of central office non-payroll budgets by 10%.
Alongside these budget cuts, executive positions were dissolved through attrition, and central office leadership has taken on additional roles and responsibilities to ensure budget reductions were not made at the classroom level.
The total of all budget reductions amounts to around $1.48 million in savings.
“We are all doing more so that we can protect the classroom,” Dominguez said.
What’s next?
A VATRE election needs to be called by mid-August. The tax rate for the upcoming budget will be determined at this time. If an election is called, it will be Nov. 4.
Should voters approve the tax rate increase, the budget will continue as normal. If the increase is denied, the budget will need to be amended to correct the anticipated changes.
Appraisal values are scheduled to be released around mid-July, which will help give the district a better understanding of the tax rate by August, Scott said.
