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2010-2011 Budgeting Process

Carroll ISD's Expenditure Reduction Plan

The Carroll School Board tasked the Superintendent and his Administration with developing a strategic plan to reduce expenditures. Dr. David Faltys and his Cabinet met with and involved all CISD employees in the process of finding solutions to the distict's general operating deficit. Like more than 60 percent of the districts across the state of Texas, CISD will dip into its reserve account - fund balance -  for about $4 million just to meet the 2009-2010 budget. The deficit is the result of a negative impact from the new school finance formula and a drop in student enrollment. This website not only explains the budget situation, it also outlines CISD's multi-year plan to address it. By law, Trustees must approve the school budget by the last day in August.

Please read through the district's Expenditure Reduction (ER) Plan and take our Triple Staggered Start Times Survey, view the PowerPoint presentation and the Question & Answer section provided on this website.

Carroll ISD Continues To Tackle Budget Deficit (July, 2010)

The Carroll School Board continues to work throughout the summer to reduce the district’s deficit operating budget. Facing a $4.3 million shortfall, school officials began an Expenditure Reduction (ER) process last fall that involved a grassroots effort to educate and involve every campus and departmental employee, as well as parents and taxpayers in finding solutions. Presentations were made at each campus, offering budget facts and information about the district’s continued Chapter 41 (Robin Hood) status.

After a number of actions that involved both cost cutting and revenue-generating initiatives, Trustees have narrowed the projected budget deficit to $2.1 million. Trustees have until August 31 to adopt a final 2010-2011 budget. A public hearing on the proposed budget has been tenatively set for August 16, which is prior to the Board’s vote. The work the Board and Administration are doing, however, involves a multi-year approach to reduce spending and identify ways to increase operating revenues long-term. Their budget work will continue long after the 2010-2011 budget is adopted.
A website, complete with budget presentations, Board-approved expenditure reductions and details on revenue-generating projects, is available by clicking on the ER icon on the district’s main web page at www.southlakecarroll.edu. We want you to be informed and involved in the public education budgeting process. Questions may be directed to 817-949-7080.


School Finance Facts

• Carroll ISD is a Chapter 41 (Robin Hood) district and pays a portion of its local tax collections back as part of the state’s school finance funding formula.
• District enrollment has declined slightly – primarily due to economic conditions and slow housing starts.
• State funding is based on student enrollment; therefore, state funding levels have dropped.
• Chapter 41 Robin Hood payments are affected by Taxable Assessed Value changes and enrollment fluctuations; this next year CISD expects to make a $14 million Chapter 41 payment.
• Carroll ISD’s proposed budget includes no salary increase for the 2010-2011 school year; annual step raises are pending an attorney general ruling.
• As a Chapter 41 district, Carroll ISD receives no transportation funding from the state of Texas; this line item in the proposed budget costs $1.8 million.
• Carroll ISD – along with other public schools – receives no benefits from increased property values when you improve your home; the hospital district, city, county, and junior colleges all benefit from those increases.
• More than 60 percent of the school districts in the state of Texas are operating on a deficit budget, pulling funds from their reserve fund balance account to cover daily expenses.
• The state rates school districts based on fund balance standards; CISD has received the state’s top financial rating since the system’s inception.

The school funding formula allows for a local election to raise taxes for programs and services for children, but 11 of the 13 cents available for a public vote would be subject to Chapter 41 provisions. This means if CISD voters should approve a tax increase, the local district would only keep about half of the monies collected on 11 of the 13 cents. This makes the possibility of a favorable Tax Ratification Election unlikely.

What Carroll ISD Has Done So Far

On Monday, we sent you an email about school finance facts and the 2010-2011 projected operating deficit. Today’s eBlast outlines a few of the cost-saving, budget reducing actions approved for the 2010-2011 school year. The list also includes several revenue enhancement initiatives to increase the flow of funds into the general operating budget.

• Approved Central Administrative cuts in programs and services totaling nearly $1 million (see complete list on website);
• Reduced campus and departmental budgets, specifically in the areas of travel, supplies and professional development;
   
• Placed a hiring review or freeze on all vacancies and positions, filling only those absolutely necessary to ensure CISD can serve students according to our standards of excellence;
• Imposed a freeze on campus and departmental budgets; any new budget needs must be accompanied with a plan to reduce the budget or spending by comparable amounts;
• Implemented energy management and recycling programs district-wide;
  
   
• Reduced instructional staff by 13.5 teachers based on enrollment decline;
• Eliminated three banked (or reserve) teaching units used to address enrollment;
• Eliminated Hazardous Bus Route designation since CISD receives no transportation funding and expends $1.8 million for bus service;
• Voted to design and procure water wells at each campus for irrigation;
• Approved Dragon Logo License Plates for sale this fall as part of state project;
   
• Agreed to offer reserved parking spaces at Dragon Stadium to raise revenues through a public auction;
• Established Capital One Dragon Credit Card, which returns a percentage of all purchases to the CISD general operating fund;
• Secured advertising and sponsorship agreements for new video scoreboard at Dragon Stadium;
• Received $2 million SECO grant to place solar panels on newly constructed middle school; and
• Utilized geothermal HVAC systems at new campuses to reduce energy costs.

 

SPECIAL NOTICE: The Board and Administration surveyed parents and students about altering the start times of schools so that bus routes and drivers could be triple-staggered to save nearly $100,000. Thank you to those who participated in that survey. Based on the mixed feedback of this proposed idea, Trustees took no action on further staggering school start times for the 2010-2011 school year. Therefore school start and end times will remain the same in August 2010. This does, however, remain a budget cutting option in the future.

A few other ideas still being studied and considered for the future include:

• The elimination of block scheduling in grades 9-12 (reinstatement of the modified block schedule);
• A reduction in the number of planning periods for intermediate (5/6 grade) teachers;
• A reduction in the number of planning periods for middle school (7/8) teachers (teaming);
• An increase in class sizes at grades 5-12;
• Reinstatement of student activity fees for ALL students involved in extra-curricular activities and student clubs;
• Elimination or reduction of extracurricular programs and student travel;
• The reorganization of elementary science labs to eliminate six positions and have classroom science teachers responsible for lab schedule and instruction;
• The elimination of courses and/or programs with dwindling student interest or participation;
• The reorganization of the district’s Gifted & Talented program to reduce staffing positions;
• The elimination of or a reduction in bus transportation services for students;
• A reduction in the number of CARE teachers serving CISD students;
• A shift in the district’s fiscal year to realize a one-time documented savings;
• A tax ratification election (TRE) asking for 2 cents (not subject to Chapter 41 recapture) to 13 cents (11 of which are subject to Chapter 41) in additional tax collections;
• The sale of Carroll Intermediate School and property at appropriate or favorable market conditions; and
• A reduction in the number of support staff, administrators and teachers district-wide.

 

Budget-Related News (updated 6.21.10)

• Tier 1 Budget Cuts (Approved by Board 4.19.10)
• Board Meeting Summary - 5.3.10
• Board Meeting Summary - 4.19.10
• Board Meeting Summary - 4.5.10
• Four-Tiered Budget Worksheet
• Demographic Update

Expenditure Reduction (ER) Plan Process (pdf file)

• Overview
• Charge
• Goals
• Process
• Step 1
• Step 2
• Step 3
• Step 4
• Year Two of the Process
• Timeline (Revised)

• ER Plan PowerPoint Presentation 
• 2010-2011 Budget Calendar
• Question & Answer Section 
• Public Survey Feedback
• Submit a Budget or ER Process Question to CISD
• Contact Your Legislators

 

Survey Feedback

All school start and end times will remain the same for the 2010-2011 school year.

SPECIAL NOTE:

The Carroll School Board recently conducted a survey about the possibility of further staggering school start times to allow for triple routing of our bus routes/drivers, but after reviewing all the feedback and the survey results, the Board opted NOT to make any changes for the 2010-2011 school year. This remains an option, however, should it be necessary for budgetary purposes in the future.

Thanks to the more than 250 Dragons who took our general ER public survey in January/February. The survey stayed open for two months and results of the public input have now been posted online. We understand that the survey questions were worded to educate the participant on this topic. This was done to ensure that those who may not have reviewed the factual materials first will have a better understanding of the district's financial situation. Still, the most important aspects of the survey were the open ended questions where parents, staff and taxpayers gave CISD budget input on expense reduction ideas, revenue enhancement suggestions and details on what materials or information would help them understand the budget better.

General Survey Results

Open Ended Question #15 Results

Open Ended Question #16 Results

Open Ended Question #17 Results

 

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OVERVIEW

The Carroll Independent School District is a property wealthy, Chapter 41 (Robin Hood) district. This simply means that the district’s property value per student exceeds the state maximum. CISD, therefore, has to send a portion of its local tax dollars to the state of Texas for distribution to property poor districts. This share-the-wealth school finance program has resulted in the loss of millions of Carroll’s local tax dollars. Several years ago, the district faced $9 million in budget cuts and a depleted fund balance. For the past several years, district leaders have been working to restore lost programs and personnel, replenish the fund balance and brace the district for tough economic times. Those times are now upon us. Approval of the 2009-2010 budget resulted in a deficit budget. In fact, district expenditures are expected to exceed revenues by about 4.4%. The district’s $28 million fund balance will help relieve the pain, but not the bleeding. Without a strategic plan to reduce expenditures, Carroll ISD is most certainly headed for a serious financial emergency.

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CHARGE

The 2009-2010 School Budget was approved by the Carroll ISD Board of Trustees on August 17. It marks the second year in a row that the district adopted a deficit budget, relying on its fund balance to provide the necessary monies to accommodate employee raises, technology needs and rising fuel and utility costs. The district is fortunate that Trustees took advantage of oil and gas leases and the sale of surplus land to boost the district’s reserves. Still Carroll ISD, like many districts in Texas, will require a temporary transfusion to survive financially. Despite the gloomy outlook, the Board has managed to reduce the tax rate in 2008 by five cents, pass the largest bond election in school history and give employees a three percent actual pay raise to stay competitive.

Although Trustees unanimously adopted the $81 million budget, they did so with hesitation and grave concern for future implications. Without relief from the Texas Legislature in sight, the School Board knows that dipping into fund balance for recurring costs like employee pay raises is unwise and short-lived. It’s like providing pain relief for symptoms, but not curing the disease. They, therefore, charged the Superintendent with developing a strategic plan for expenditure reductions.

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GOALS

It’s important to keep in mind the district’s mission, vision and goals for all students. During tough financial times, budget managers must keep focused on creating an environment that fosters excellence, but they must do so while reducing expenditures and maximizing revenues. Cutting millions of dollars from the district budget without affecting the classroom won’t be easy. In fact, personnel costs account for more than 84 percent of the maintenance and operations (M&O) budget. CISD must think differently about how to achieve excellence for all students. CISD budget managers must ask themselves if they should continue doing what they’ve been doing to accomplish their goals. As a reminder throughout this process, the district goals are:

1)      Raise the academic challenge and performance of each student

2)      Ensure quality personnel in all positions

3)      Provide a school environment supportive of learning

4)      Effectively manage and further develop financial resources

5)      Improve public understanding and support of our schools

When deciding whether or not to spend district dollars, budget managers must ask themselves if the expenditures help CISD accomplish one of the goals listed above. If it does not, that expenditure should be considered significantly at-risk in the Expenditure Reduction process. At all times, we must remember that our mission is to provide a caring and creating learning environment that promotes excellence, fosters integrity and encourages each student to reach his or her academic, extracurricular and social potential.

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PROCESS

Carroll ISD’s leadership team recognizes that the most effective way to cut costs and balance the budget is to invite and involve those closest to the pain to participate in the process. Because Carroll ISD values relationships, it is through our common daily connections and personal relationships that we hope to engage our staff in an effort to make a difference in the school budget. Who better to help identify those areas where we should rethink the way we spend money in an effort to achieve the same or better results than those closest to the heart of our work – our teachers and support staff? Therefore, we are proposing an Expense Reduction Strategic Plan that will breathe new life into the school budgeting process. Each campus leader will be given a copy of his/her budget with an expense reduction target. The principal will have the opportunity to meet with school staff to brainstorm options for reducing that campus’ budget. The ideas for cutting each campus budget will be generated by the people tasked at that campus to carry out CISD’s mission, vision and goals. This internal reflective focus will help the district move forward in an effort to reduce overall costs and avoid severe budget cuts.

In turn, departmental supervisors will be asked to review their budgets, making suggestions for how to reduce their overall budgets by a targeted amount. The Superintendent’s Cabinet will review district-wide expenditures, including but not limited to utilities, fuel, travel, professional development, and transportation. Focusing on the “big picture,” the Cabinet will make recommendation for district-wide expenditure reductions. These district-wide options will be paired with campus/departmental recommendations to create an “ER” List. This list of proposed expense reduction options will be presented to the School Board following a prioritization process and community input.

The overall goal of the district’s ER Strategic Plan is to reach targeted expense reduction goals over a two-year period. At that point in time, the CISD leadership team will analyze changes made by the Texas Legislature, assess investments and interest earned and the success of the expense reduction initiatives implemented to date.

The success of the grassroots effort to identify and cut expenditures without compromising the district’s cores values, vision, mission and goals, relies heavily on whether or not the participants in this process 1) have a general working knowledge of the problem; 2) understand the goals and outcomes expected by the district; 3) clearly understand the process to accomplish these goals; and 4) agree to be a part of the solution. Therefore, CISD is proposing a four-step process involving major stakeholders in Carroll ISD.

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Step 1

Our commitment to open and honest communication will be the foundation for Step 1 in the ER process. The Superintendent’s Cabinet will prepare a PowerPoint presentation and handouts that explain the district’s current financial condition. Materials will include a brief overview of the school finance system, as well as details about steps the CISD School Board has taken to help keep the district financially solvent. General terminology will be explained, including the differences between the maintenance and operations budget and district bond expenditures. Conversations between central administrators and campus administrators will occur, giving the budget managers the opportunity to hear the problem and ask questions.

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Step 2

Gaining a general understanding of the problem is only part of the process. The second step of the process involves identifying and explaining the expected outcomes from the ER Strategic Plan. Carroll ISD employees must clearly understand that the district values excellence and innovation and does not want anyone participating in this process to lose sight of those values. In essence, we will be asking employees to identify ways Carroll ISD can spend at least $2 million less in 2010-2011 while still maintaining the district’s commitment to all students. Expenditures in the second year of the ER program could mean deeper changes to the processes and programs that we currently use to serve students. You’ve heard it said, “if you always do what you’ve always done, you’ll always get what you’ve always gotten.” What we’ll have to ask ourselves during this two-year process is whether or not we need to embrace change to help us achieve better outcomes. In other words, is there something we could or should do differently or stop all together to save money – especially if it isn’t really contributing to our overall mission and vision for students? OR, perhaps we need to find new and innovative ways – less costly than our current ones - to help us achieve our goals. But before we can discuss the how, our participants need to know the what. What type of expenditure reduction is CISD expecting at the end of this process? With current expenditures 4.4 percent above revenues, CISD is hoping to address at least half of that amount. The target goal for reducing expenditures in year one (2010-2011) is $2 million. The target goal for reducing expenditures in year two (2011-2012) is another $2 million.

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Step 3

After gaining a general working knowledge of the problem and understanding the overall outcomes expected by CISD, participants will need to clearly understand the process that will be used to get there. The CISD leadership team will provide a systemic process that all budget managers can use to walk their staff through the ER process. Each budget manager will be encouraged to participate in a sort of “reverse needs list” process by creating a database of potential expenditure reductions that will positively impact their campus budgets’ bottom line. Each budget manager will be given a “target” from which to begin. They will be asked to work together to identify a measureable expenditure reduction strategy, log that strategy on a database and then detail the anticipated savings from the strategy, as well as a detailed description of the impact the strategy will have on the district’s mission and vision for students. We believe the strong relationships among our staff will create synergy, therefore helping each team work collaboratively to identify and prioritize lists of potential expenditure reductions that positively affect their campus budgets. Members of the Dragon family will have to clearly understand the process for accomplishing the goal of the ER Strategic Plan. After that process has clearly been communicated, each member of the team will have to decide whether or not he/she agrees to participate.

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Step 4

The fourth and final step of the ER process involves staff buy-in to the process and prioritization of the expenditure reductions each campus team identifies. This will ultimately be the most difficult part of the process for our campus teams. Because Carroll ISD values character and integrity and because we believe we have assembled a caring and capable group of educators, we trust that those closest to the situation can help us find the best, most viable solutions. We feel confident that given an opportunity to make decisions in the best interests of students, our staff will succeed. The CISD leadership team will collect all prioritized ER strategies from each campus and develop a district-wide list showing the overall financial impact, as well as the impact to the district’s mission and vision for students. Following compilation of the list, an online survey will be provided, giving parents, students and taxpayers an opportunity to gain knowledge of the problem, understand the desired outcome and the process and consider the strategies brought forward by the employees of CISD. They, in turn, will be given an opportunity to suggest strategies of their own. Ultimately, the decisions to reduce expenditures and balance the CISD budget must be made by the School Board. Involving all stakeholders in the process, however, will assist Trustees in accomplishing this task.

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Year Two of the ER Process

The success of the first year of the ER Strategic Plan is critical. Educating the staff and public (what’s the problem?), identifying key goals and outcomes (what do we hope to accomplish?), communicating a standard process (how will we do it?) and obtaining buy-in (who will help us?) provides an important foundation for success. While the overall financial goal in Year One is to reduce expenditures by $2 million, the underlying and perhaps even more important goal is to help stakeholders successfully participate in finding solutions that ultimately help CISD realize its mission, vision and goals for students. Taking time to accomplish the important four-steps as part of Year One, will essentially help build a foundation of success for CISD leaders to delve into the zero-based budgeting process of Year Two. The leadership team believes zero-based budgeting will be necessary to help balance the CISD budget, but much training and time will be necessary to guide the budget management team through this process.

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TIMELINE

Included with this ER Strategic Plan is a proposed timeline for implementation. Using the budget adoption date and moving backward, the plan provides staff with an opportunity to identify expense reduction options for their own budget, the leadership team with the opportunity to prioritize the ER List, and the Board the opportunity to hear staff input and community feedback before taking necessary action. Even with an aggressive timeline, the CISD leadership team understands the importance of taking time to educate and involve all stakeholders.

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Question & Answer Section

 

Has the School Board made any decisions to date on expense reductions for the 2010-2011 budget?

Trustees are allowing the CISD Administration to collect information and input from school employees at every campus and department and also from parents and taxpayers in the community. The Board hopes to have a budget workshop on this topic in early April. While no decisions have been made related to program or personnel cuts, the Board has been reviewing options for expense reduction related to utilities use, green strategies, solar energy usage, etc. They have also made decisions to enhance revenue opportunities by entering into a marketing agreement with Daktronics Sports Marketing to purchase and install a new video scoreboard at Dragon Stadium at no cost to taxpayers but rather through marketing and sponsorships. The Board has also authorized the Administration to move forward with a Dragon Logo Affinity Credit Card program that would generate donations to the general operating fund that are not subject to the Chapter 41 Robin Hood recapture formula.

Results of the latest demographic study are not yet in, but once they are, the student enrollment projections will become a vital piece of the puzzle in determining staffnig and budgetary needs for the coming school year. Keep in mind that by design, the Expenditure Reduction process is a multi-year program. While the School Board will legally have to decide on a 2010-2011 budget by the end of August, efforts to reduce expenses and increase revenues are not short-term and will continue over the next several years.

Is the district in a financial crisis?

No. But like many families during a recession, the district’s expenditures are exceeding revenues. Without intervention, the district will find itself in a state of financial crisis.

 

What is the Expenditure Reduction Plan?

It is a grassroots process to involve budget managers and all employees in an effort to brainstorm and identify not only possible revenue enhancement ideas, but also ways to reduce our expenditures and balance the overall budget.

 

Will this process cause us to lose programs or positions?

Our charge is to identify those programs that are helping CISD serve students and meet our district goals and to separate those that are at risk for elimination. It would be our goal to do everything possible not to affect any positions or programs necessary to help us all accomplish our goals. With personnel costs representing up to 84 percent of our operating budget, we realize that this process could eventually lead to the elimination of some programs and positions. School officials believe there are steps that can be taken to avoid significant impact on students in the classroom. For instance, central office cuts, fiscal year adjustments, scheduling changes, minor class size changes, the sale of surplus property and energy management programs are all options that would not dramatically impact student learning. Even if CISD finds more efficient ways to teach students, every effort will be made to maximize vacancies and save dollars through voluntary resignations, retirements and reassignments. Cutting the budget does not always mean cutting programs or laying off employees. With proper planning and a multi-year approach, CISD is working to minimize the overall impact of the ER Plan.

 

How much has CISD paid out in Robin Hood or Chapter 41 payments?

Despite Legislators and media outlets declared an end to Robin Hood, but this is simply not true. Carroll ISD will pay about $10 million this year alone as part of the Chapter 41 (Robin Hood) recapture formula. In the past decade, the district's taxpayers have forfeited more than $100 million in local tax revenues. While we understand doing our part to help fund public education, we believe the state has not done its part in ensuring equitable funding and a sound finance program for public schools. State spending on education continues to fall and the latest school finance templates give CISD money on a per student basis based on 2006-2007 funding levels. Carroll ISD does not benefit from increases in property tax values for homes right here in our own district. The money now goes to the state!

Is it true that Carroll ISD does not receive the benefit of increased property tax values?

Unfortunately this is true. But even more discouranging, public school children are the only ones that don't benefit from rising property tax values. Each year your city benefits; each year your hospital district benefits; each year your junior college district benefits; your K-12 public school children, however, do not. That money goes to the state. We believe this is wrong and should be changed at the state level.

How can the Chapter 41 current Robin Hood funding formula get changed?

It will take taxpayers and parents who are tired of the existing inequities who are willing to speak up and demand that the state takes responsibility for funding public education at higher levels. It will take a greater understanding from the general public that school funding levels vary greatly from school district to school district - ranging as low as about $4,000 per student in some districts to $13,000 per student in others. This cannot be fair. It will take phone calls and letters and visits in Austin before someone takes notice. Locally, we cannot stop Robin Hood nor can we refuse to make payments. A district in central Texas that opted for that choice faced consolidation by the Texas Education Agency. By law, we must make our Robin Hood payments and we must comply with the school funding formulas.

We understand every child's right to a free and appropriate public education, but the state of Texas ranks low in funding their public schools. Local taxpayers bear the burden of paying for public education and improvements to their own homes that result in property value increases do not even benefit their own children. CISD Trustees are fighting for change, and they are joining Chapter 41 and Chapter 42 schools alike in asking for relief from the current financial situation.

 

Who will make the final decisions regarding the budget?

By law, the CISD Board of Trustees is responsible for approving the district’s budget and tax rate. The Board desires for all employees to be involved in finding budget solutions. They also tasked the Administration with developing a multi-year process that involves employees and includes a public input process. Ultimately, they will have to review prioritized strategies for reducing the budget and increasing revenue. The final decisions will rest with the Board.

When will the Board make decisions on the budget?

The Board plans to have a workshop on the 2010-2011 school budget and Expenditure Reduction Process in early April. Decisions related to the budget (staffing, expense reduction, class size, etc.) may be made at any time throughout the spring and summer. Ultimately though, the Board must adopt a budget by the end of August. The tax rate associated with funding that budget must be set by mid September.

 

Will central office be making cuts, too?

Yes. In fact, the Central Administration and the associated departments have been asked to reduce their expenditures by at least five percent. Campuses have been asked to reduce their expenditures in the first year by at least two percent.

Will the Athletic Department be cutting its budget too?

Yes. The Athletic Department, under the direction of Athletic Director Kevin Ozee, has reviewed its budget just like everyone else and has offered suggestions for expenditure reduction and revenue enhancement. A lot of people think that revenues generated by the football games go to the football program. This is not true. All the revenue generated by our athletic program goes into the General Operating Budget for the benefit of ALL CISD students and operational costs.

Why is the district expanding the stadium during an Expenditure Reduction process?

Carroll ISD voters agreed in May 2009 to increase the seating capacity at Dragon Stadium. This will hopefully also generate more revenues for the district's operating fund. The expansion will be paid from the debt service or interest and sinking side of the budget, not the operational side. Bond dollars are not subject to Chapter 41 Robin Hood recapture and CISD can spend $1 for $1 to construct, expand and enhance current facilities. The Dragon Stadium expansion includes an important technology disaster recovery center to provide additional support, backup and redundancy for the district's data and technology systems. It also includes 1,600 seats, additional restrooms, parking and concessions area. The video scoreboard and sound system are being funded entirely from advertising and sponsorships and are not coming out of the operating or bond funds.

 

Will employees get a raise next year?

That is for the School Board to decide. The School Board gave a four percent raise to instructional (classroom) professionals in 2008 and another three percent actual raise to all employees in 2009. The Board made this commitment to try to reward and retain quality staff, but in doing so, they had to dip into the district’s fund balance. Continuing to pay for reoccurring costs with fund balance is not prudent. Finding ways to reduce expenditures will ease the pressure on the district’s operating budget, making it more feasible for Trustees to consider employee raises. It costs the district about $500,000 for every one percent increase in salaries.

How much does an employee raise cost CISD? 

Carroll ISD has a little over 1,000 employees. To give a 1% raise, it costs CISD about $500,000. Last year, employees received a 3% raise. For the classroom teacher, this means an increase of about $1,200 to $1,500 spread over 12 paychecks - in most cases about $125 a month before taxes. When planning for the budget, school officials consider rates for health insurance, salaries in competing districts, etc.

How do Carroll ISD salaries compare to other districts in Tarrant County?

Carroll salaries are not the highest or the lowest in Tarrant County. An annual study by the United Educators Association shows our salaries are in the middle of the pack at most experience levels. The starting salary for a CISD teacher with zero years experience is $45,900. A teacher with 10 years experience makes $49,744 and a teacher with 25 years experience makes $58,675. Click here to view the district's 2009-2010 hiring schedule.

Are any employees being asked to cut their salaries?

At this point in the process, no. The district's goal is to minimize costs and increase revenues in an effort to better balance the budget. The ER Process to date has concentrated on finding new and more cost effective ways to provide excellence for all students. Employees are cutting back in supply costs, travel and professional development. Still, additional changes and adjustments will be necessary to make a significant impact on the operating costs. School officials will consider class sizes, alternative scheduling, staggered school start times and staffing plans that require less positions to teach the same materials. To the extent possible, reductions will be made over time using resignations, retirements and reassignments. It is our goal to reduce expenses without cutting programs if at all possible.

I've heard that central office only works four days in the summer and gets Fridays off. Is this true?

CISD does operate summer hours for 226-day employees. This means the employees work longer hours the first four days of the week and get Fridays off. The individuals who do this during the summer months are still working the same amount of time as the regular school year; it's just condensed into longer days so that Fridays can be spent with family for a few weeks in the summer. This is a budget neutral management decision.

 

Doesn’t Carroll ISD have a healthy fund balance?

Yes. The district has about $24 million in its Fund Balance or reserve account. However, just as it isn’t wise to fund a monthly car payment out of your savings account (when the savings is depleted the monthly car bill does not go away), it isn’t wise for CISD to continue to dip into the Fund Balance account to pay for reoccurring costs.

 

What happened to the district’s oil and gas leases?

Carroll ISD received about $4.5 million for its oil and gas lease in 2008. This one-time revenue was placed in the Fund Balance to be used for an emergency or reserve need.

 

Didn’t the district recently sell land on Peytonville Avenue?

Yes. The district received about $4.5 million for the land. This one-time revenue was also placed in the Fund Balance (reserve account) for future or emergency use.

What will the School Board do with Carroll Intermediate School?

Carroll Intermediate School closed several years ago to save staffing and operational costs. The building is still being used for office and meeting space, but Trustees have indicated that they plan to sell the building and land when the real estate market is prime. Trustees have ordered an appraisal of the property, which is protected by law so that the Board can negotiate and receive the maximum sale price. The sale of land, however, provides one-time monies into the district's fund balance and the CISD School Board prefers not to utilize these one-time sources for recurring costs.

 

How can the district build new campuses and still need to cut the budget?

The Expenditure Reduction Plan addresses the Maintenance and Operations budget – the budget for daily operations. The construction of campuses is paid for out of the Interest & Sinking or debt service fund. These are two different sources that cannot be mixed legally.

 

The district just passed the largest bond election in school history. Can Carroll ISD use these funds to help with the Maintenance & Operations Budget?

No. The district cannot legally use I&S or debt service funds to pay salaries or operational costs. CISD made a commitment to the taxpayers to fund the 2009 Bond Projects using I&S dollars approved in May. These projects will be ongoing at every CISD campus over the next two years. At the same time, CISD staff will be involved in reducing expenditures and increasing revenues.

Won't there be operational costs associated with the two new schools?

Yes, of course, but CISD is working to minimize those costs. With the size of our student population and the overcrowding identified at most grade levels, it simply isn't an option for CISD to "stop using" the vacated space at Durham Elementary and Carroll Middle Schools when those schools move to their new buildings. The Citizens' Long Range Planning Committee found a way to save operational costs by not building a sixth elementary school. Instead, the group opted to move Durham Elementary to a larger, new facility. This frees up space at Durham for intermediate classroom overcrowding and avoids the operational costs of hiring a new principal and core support staff. There will be some utility expenses related to operating two additional buildings, but CISD is working now to identify ways to save on utility costs districtwide and implement "green" strategies. The older CMS building will be used as a technology/teacher training center and administrative offices as CISD is currently out of space at its Administration Building/warehouse facility.

Can CISD offer advertising space on school buses?

CISD is already offering this opportunity as a revenue enhancement. Interested businesses can call 817-949-7080 for details on bus and other advertising.

Is CISD considering reinstating Pay to Play fees? 

No decisions have been made at this point, but reinstating an across-the-board fee for student participation in all organizations, clubs, and extracurricular programs is an option that has been suggested. In the past, CISD charged a participation fee to middle school and high school students in athletics only. Trustees did away with this fee after receiving community input and feedback from the Budget & Finance Committee. The Administration is trying to identify ways to cut expenses and increase revenues without having to institute a lot of fees passed on to parents. However, as the budget reduction process moves forward, this remains an option. About 84% of CISD's secondary students participate in an extracurricular club, team or organization. With a $50 flat fee for all participants, the district could raise an additional $150,000. Increasing that fee to $100 would raise about $316,600.

What other types of revenue enhancement ideas have been suggested?

To name a few, increase facility rental fees, charge employees for use of refrigerators/microwaves, charge more for season tickets, sell naming rights on buildings, encourage grant writing, increase parking fees, silent auctions, increase lunch prices, sell parking spaces at Dragon Stadium, advertising on building roofs, adult education courses, etc.

What types of expense reduction ideas have been suggested?

Some of the most common suggestions include cutting back on supplies and employee travel, reducing paper usage, communicating electronically, rethinking block scheduling, reducing utility usage, reorganizing or changing the science lab, CARE reading and QUEST programs, eliminating some middle school electives, reducing the number of administrators and paraprofessional staff, eliminating teaming at the intermediate and/or middle school levels, increasing secondary class sizes, staggering school times to reduce bus routes, sharing administrative services between schools/districts, eliminating MAP testing and Renzulli Learning Systems, etc.

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