The College Station School Board approved a 12-month, $4.9 million deficit budget for the district’s 2024-25 fiscal year and a 2.8% tax rate increase at its regular meeting Tuesday. However, because the district pushed back the end date of its fiscal year to June 30, 2025, the district will approve a 10-month budget this summer that is expected to result in a $1.9 million surplus budget for the 2024-25 fiscal year.
No public comments were made prior to the vote. The votes were passed unanimously by the Board.
“When you do your budget on a 10-month time frame, that means our teachers have already worked a full year, and most of our administrators who have an August 1 contract will have worked the majority of their year as well. So we’ll account for those expenses, but we’ll save on the July 1 contract and we’ll save on utilities and insurance and hourly workers in the summer months. That’s what’s going to account for the positive fund balance that we’re going to see,” College Station Chief Financial Officer Heather Wilson told the board.
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School board members approved a total tax rate of $0.9729 for the 2024-25 fiscal year, including a maintenance and operations (M&O) tax rate of $0.6969 and an interest and principal (I&S) tax rate of $0.276. A school board resolution states the tax rate will increase M&O taxes compared to last year’s tax rate and will increase M&O taxes on a $100,000 home by approximately $26.47.
Last year, College Station voters approved two separate bond packages totaling over $350 million. The 2023 bond package included an estimated two-cent increase over the current CSISD I&S rate of $0.2630 per $100 of assessment.
In College Station, payroll costs make up 83% of the district budget, with 58.15% of that going to instruction. Operating costs make up the remaining 17% to pay for things like supplies and contracted services like armed security.
The district’s general fund accounted for a number of items, including the loss of ESSER III funding at the end of September, the increase in utility costs, a 2 percent increase in mid-level pay for eligible teachers and staff, and a 7 percent budget cut. The district also passed balanced debt service and food service funds.
The state legislature has not allocated additional per-pupil state funding since 2019. The state legislature had a surplus of about $4.5 billion in funds earmarked for public education during the 2023 session, but Gov. Greg Abbott did not release funds because a school voucher-like program was not approved. Districts also had to consider new unfunded mandates, such as having an armed security guard on every campus for safety. High inflation occurred during that five-year period. In addition, Emergency Relief for Elementary and Secondary Schools (ESSER) funding from the COVID-19 pandemic will expire this fall. Overall, with the end of federal grants from the COVID-19 pandemic, districts will now have to rethink some funding.
In July, the College Station School Board approved a new compensation plan for teachers and district staff. The approved plan provides a starting salary of $51,750 for teachers, librarians and nurses (up from $51,000) and a 2 percent increase in the mid-level salary for eligible administrators, professionals, support staff and ancillary staff.
“Personally, I think we’ve put together a budget that will work for us next year, and of course changing it to 10 months will allow us to utilize it even better and improve the fund balance,” said school board member Kimberly McAdams.
