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Welcome back to our series on school finance.

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Let's try to answer the questions posed at 
the end of our last session.

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Under current law, Klein ISD cannot raise 
the M&O tax rate beyond $1.04...

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...without voter approval of a Tax Ratification 
Election.

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Our Board of Trustees are great stewards 
of district funds...

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...and had the foresight to build up reserves 
for lean times.

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This year, for example, the district is operating 
under a deficit budget of around $8 million 
dollars.

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The current fund balance can sustain this 
deficit budget for now, but not forever.

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Opening a new high school increases the M&O 
budget by about $5 million over a 2 year 
period.

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And a new intermediate school results in 
an increase of around $3.5 million.

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When Klein Cain High School opens in 2017 
and Intermediate School 10 opens in 2018...

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...the maintenance and operating budget increases 
a total of around $8.5 million.

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We are currently studying the total financial 
impact of these new schools and other costs 
related to future budgets.

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As we look for areas to trim the budget...

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...please know we want to do this without 
a signifigant impact to teaching & learning.

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I can tell you this task will not be easy...

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...because Klein ISD has always been a very 
good steward of their funds.

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There is also a very real possibility the 
district could call for a tax ratification 
election in 2018...

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...while also making some budget cuts.

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But with student success always as our top 
priority...

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...we will leave no stone unturned as we 
work to appropriately manage district funds.

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School finance can be complicated and we 
only touched a small part of this complex 
system.

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I hope our explanation gave you an understanding 
of how school districts are funded...

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...how your school tax dollars are allocated...

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...and the financial future of Klein ISD.

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That's all for now. See you next week with 
another 90 second update.

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