Trustees adopt budget for 2025-26 school year

The Ector County ISD Board of Trustees held a special meeting on June 24th. A recap of the agenda is below.

1.      Roll Call. Bob Thayer attended the meeting virtually.

2.      Verification of compliance with open meetings requirements.

3.      In opening remarks, Superintendent Dr. Keeley Boyer acknowledged this meeting is the final one for outgoing Chief Financial Officer Deborah Ottmers. Dr. Boyer thanked Mrs. Ottmers for her dedication over her five years of service. 

4.      In public comment, Dallas Kennedy touched on two topics. He said he would like to have seen a zero-balance budget but in the current political climate he felt that might not be possible. He added he is grateful for a school district and a community that acknowledges its special education students and even provided for a large project in the last bond (2023) by approving a new Transition Learning Center for the kids he teaches.

 

5.      Public Hearing for adoption of the 2025-26 Official Budget

A school board in Texas is legally required to approve three separate budgets: General Fund revenue budget which is projected to be $369,560,000; Debt Service revenue budget projected at $48,949,768; and School Nutrition $21,817,628.

The General Fund budget is based on current appraisal district estimates for Ector County, current school finance laws, expected enrollment, and projected attendance rate. General Fund projected expenses are about $373 million, creating a General Fund deficit of $4 million. The largest expense by object is employee payroll (76%). The largest expenditure by function is Instruction (57%).

The General Fund budget was built around the school board’s budget goals and Legislative requirements: retain high quality programs and employees, ensure strategic and differing pay increases for employees, minimize General Fund budget deficit, retain General Fund available fund balance at approximately 90 days, provide equity weighted strategic campus staffing and funding allocations​, consider departmental resource needs for success​. It included the Compensation Plan approved at last week’s board meeting. The first element to this year’s compensation plan is House Bill 2 (HB 2) passed by the Texas Legislature. HB 2 mandates teachers with 3-4 years of experience receive a $2,500 pay increase (that is approximately a 4% increase) and teachers with 5 or more years of experience receive a $5,000 increase (an average of about 7% increase). Along with this, ECISD will increase starting teacher pay to $61,000. For those non-teaching staff positions, Trustees approved a 2% general pay increase based on the midpoint of the employee’s respective pay grade. Trustees also approved an increase to pay for bus drivers, raising the starting pay to $26/hour – a 22% increase from the current $21.25/hour. All current bus drivers will be assured of earning more than the starting $26/hour. Trustees also approved an increase to the District’s minimum starting pay to $15.50/hour. You will find the full 2025-26 Compensation Plan here on our website.

The anticipated tax rate for 2025-26 is broken down this way: $0.7567 for Maintenance & Operations + $0.2544 for Debt Service = $1.0111 total tax rate, a slight decline from this current year.

•     The total tax rate is slightly less than the prior year

•     The M&O tax rate is slightly less

•     The I&S tax rate is the same

•     The total tax rate is at or below the voter approval rate

•     The total tax rate is at or under the maximum tax rate allowed without a tax rate election

•     The M&O tax rate is at or below the voter approval/rollback/no new revenue tax rate

•     The I&S tax rate is at or below the allowable to cover bond costs

            The proposed tax rate  is based on current law, however, an election is forthcoming in which Texas voters can vote on an increase to the Homestead Exemption. If successful taxpayers will likely pay less in property taxes than presented in this proposal. Additional changes to the legislative formula for the school district’s tax rate could also bring about additional updates. The Board of Trustees will officially adopt the tax rate in September.

 

6.      Action Items

A.      Trustees voted 7-0 to adopt the official budget for next year.

B.      Trustees voted 7-0 to approve a resolution to calculate the property tax rate. Texas Tax Code requires a position be named for calculating the no-new-revenue tax rate and the voter-approval tax rate, and this resolution appoints the District’s Chief Financial Officer for that responsibility.

C.      Trustees voted 7-0 to approve budget amendment #8.

D.     Trustees voted 7-0 to approval a resolution committing fund balance in accordance with GASB 54. The Governmental Accounting Standards Board (GASB) requires a district to approve categories for fund balance commitment or assignment for the coming year.  

E.      Trustees voted 7-0 to approve purchases over $50,000. This being the final board meeting of the District’s fiscal year, this is a lengthy list of items for several departments ensuring resources and services are in place for the start of the new year on July 1. You can see the list of items in the Board Book online - https://meetings.boardbook.org/Public/Agenda/1406?meeting=692135

F.       Trustees voted 7-0 to approve Bond 2023 purchases over $50,000. This list includes $15 million to Bluefin, LLC for roofing consultant services for Priority 1 and Priority 2 roofing projects; $9.89 million to Teinert Construction for the Guaranteed Maximum Price (GMP) for the renovation of the Permian High School Auditorium; $7.46 million to Teinert Construction roof projects at Burleson, Fly, Travis, and Zavala which will be the first Bond 2023 roofing projects completed; $6.19 million to Henthorn Commercial Construction for construction of the new Transition Learning Center; $100,000 to 1 Priority Environmental Services/Advanced Environmental Services to asbestos abatement; and $50,000 to DomTech Electrical and Controls for electrical installations, repairs, and other projects.

G.     Trustees voted 7-0 to approve an extension of the interlocal agreement with Choice Partners Cooperative for School Nutrition.

 

7.      Trustees moved to closed session to discuss personnel hirings.

A.     Trustees voted 7-0 to approve Michelle Keast as the principal for Ireland Elementary School. Keast is an assistant principal at Ector Middle School. She also served as the AP at Travis Elementary for two years. She participated in the Holdsworth Campus Leadership Program and has been accepted into Holdsworth’s Aspiring Principal. She has 23 years of teaching experience including 18 at Milam Elementary where she was the K-5 music director.

 

B.      Trustees voted 7-0 to approve Albessa Chavez as the chief financial officer. Chavez is currently ECISD’s executive director of finance, a position she has held for two years. Overall, she has worked for ECISD’s finance division for 12 years including director of finance and accounting supervisor. She boasts six years of audit experience. She has helped lead in the zero-based budgeting process and is a TASBO Certified Texas School Business Specialist.

 

8.      There were no closing remarks.

9.      The meeting adjourned at 7:09 p.m.