Prepared by David Stout, Bryson ISD Superintendent 2015-2016 Proposed Budget Prepared by David Stout, Bryson ISD Superintendent

District Funding State Aid Local Taxes Federal Funds

State Aid History “Target Revenue” system locked in funding at 2005-2006 levels. Legislature cut local property tax rates by 33% from cap of $1.50 to cap of $1.00 ($1.04) Loss of local property tax revenue from budget revenue has never been replaced in state aid since the property taxes were cut by 33%. Legislature cut additional state funding in 2011 and we are still not back to 2011 levels of funding ($138,642) Transportation allotment was last updated in 1984 Questions about state funding and $1.00 tax rate

Property Values Certified property values decreased for Bryson ISD in 2015. The M&O value decreased $32,711,340 and the I&S value decreased $54,549,413. For 15-16, state will fund us on 2014 values. Since values decreased, we will not collect as much local tax in 2015-16 as we did in 2014-15 and the state will not send as much aid as they would if they knew that our 2015 values had decreased from our 2014 values.

Positive Factors Affecting Finances Compared to many rural districts, BISD has a diverse local property value based on mineral resources and wind energy. District enrollment is 257 students and is about the same as we had last year. For the last 3 years or so, enrollment has been up and a strength compared to the years prior to that. Hold harmless for last years MTN

Negative Factors Affecting Finances 2015 values are down from 2014 and 2013 values State aid will be lower than it would be if the state knew that our values were down. Local tax collection will be down due to decreased property values for 2015 State cuts in funding in 2011 have not been restored We have lost $74,000 in annual Federal funding since September 1, 2012.

Goals of Budget Process Provide High Quality School for Children of the Community. Fairness and Responsibility to Taxpayers Maximize Available State Aid Ensure Future Financial Health of District Retain High Quality personnel Work toward a balanced budget without wind farm revenue

Property Taxes are Determined By: Local Property Values State Laws District Tax Rate – Effort (we have highest M&O rate possible without a TRE) Bonded Debt (I&S rate)

Tax Rate Determination Maintenance and Operation- $1.04 is highest legal amount without voter approved Tax Ratification Election that could net up to .13 more Interest and Sinking Fund- dedicated to pay our debt = .34

Proposed Tax Rate The Proposed Tax Rate for 2015-2016 is: M&O = 1.04 For a total rate of $1.38/$100 Valuation. Same as last year. Local early payment decrease applies to M&O & I&S rate. Rounding

Taxes Due for Average Home in BISD Taxes due on average residence for last year was $443.86 Taxes due on average residence for this year is $467.20 9 years ago tax rate was $1.50 for M&O and .07 for I&S or total of $1.57 ($1.38 for this year)

Benefits Maintains about $150,000 dollars in cuts to budget that have been implemented since September 1, 2011. Maintains reduced staff level compared to 4 years ago. This budget cycle has 3.5 fewer FTE’s to serve 257 kids than FTE’s that served 207 kids for the 10-11 budget cycle. Compared to last year, maintains all programs and services for kids and benefits for employees. Golden Pennies $41.21 / WADA (same as Austin ISD) or 23,200 per penny or 92,800 total. Weighted pennies about 1.5 that amount Also in next years calculation as effective tax rate

Comparisons FB officials increased 25% (from 12-13) BB officials increased 90% (from 12-13) VB officials increased 100% (from 12-13) Erate decreased 10% Total HR cost is down about $1,000 compared to last year Supply budgets are the same Tax rate remains the same

Fund 199

Fund 240

Fund 599