The East Central Independent School District asked voters in their district to approve four ballot propositions in the November election. All four failed.
In a statement released after the election, district officials said the failure of the propositions places them in a tight spot financially.
East Central’s first proposition asked voters for approval to raise their tax rate by five cents.
If voters had approved the tax rate increase, East Central would have been able to tap into more of what Texas calls enrichment funding — including more state funds. East Central officials were hoping to use the money for teacher raises.
Without it, East Central officials said their current budget deficit will increase from $2.4 million to $9 million.
“The district’s low per-student funding, paired with Bexar County’s lowest tax rate, limits its ability to keep salaries competitive and meet state security requirements,” East Central officials said in the statement. “Despite inflation, the state hasn’t raised per-student funding since 2019, while East Central’s tax rate has fallen 19 cents since last year and 45 cents over the past four years.”
State law automatically compresses school districts’ tax rates each year to offset the rise in property value. Texas legislators have also further reduced tax rates in recent years in an effort to reduce property taxes.
School districts have the option of adding a limited amount of pennies to its tax rate that will be protected from that compression. They’re called golden and copper pennies. East Central currently has five golden pennies — the maximum allowed without voter approval.
For more on how golden pennies work, and how they fit into the complicated Texas school funding formula, listen to Golden Pennies, Texas Public Radio’s limited series podcast.
East Central officials were hoping to gain access to three more golden pennies, plus two copper pennies, through what’s known as a VATRE, or Voter Approval Tax Rate Election.
But voters struck down the proposition, and three other propositions requesting approval for bonds.
The first bond proposal would have paid for two new elementary schools and a new high school to accommodate the district’s growing enrollment. The other two proposals would have paid for athletics facilities.
“We didn’t get the result we hoped for, but we look forward to reengaging with our Facilities Committee and gather additional feedback from the broader community,” Superintendent Roland Toscano said in the statement.
“As a fast-growing district, we have important challenges to address in safety, space for our students, and support for quality educators. We’re committed to working together with our community to develop a plan reflecting our shared priorities and preparing us for the future.”
District officials said East Central is expected to grow from 11,500 students to more than 25,000 by 2033.