August 4, 2020 — Regular Meeting
Conroe ISD Board Meeting — 2020-08-04
Regular Meeting — Unofficial Notes
Based on auto-generated transcript. Not an official record.
Generated 2026-03-28 13:04 UTC
Unofficial Meeting Notes
Conroe ISD Board of Trustees — Budget Hearing
August 4, 2020 | Regular Meeting
Note: These are unofficial notes based on an auto-generated transcript and may contain errors. For official minutes, please refer to Conroe ISD's board records.
Overview
Board President Williams called the budget hearing to order at 6:00 PM. The meeting was held in the Conroe ISD board room with social distancing protocols in place, and was also available for online viewing. The sole agenda item was the presentation of the proposed 2020–2021 budget by CFO Darrin Rice, followed by an opportunity for public comment.
Budget Presentation (CFO Darrin Rice)
COVID-19 Financial Impact (~$20 Million Total)
Additional Expenditures (~$11.3 million estimated):
- Remote learning: Software platforms for instruction delivery
- Technology: Thousands of Chromebooks, hotspots, and data plans
- PPE: Masks, face shields, sneeze guards, gloves
- Cleaning supplies: Including Quat 256 (district-approved COVID-19 disinfectant)
- Equipment: E-Misters, foggers, hand sanitizing stations, touchless water fountains
- Additional custodial staff
- Employee leave costs: Estimated ~$5 million
Lost Revenue: ~$7.6 million (previously discussed at prior board meeting)
Financial Highlights
- District received transparency awards from the State Comptroller's Office for traditional finances, debt obligations, and contract/procurement presentations
- Texas Smart Schools (formerly FAST Report): Conroe ISD is one of only two districts out of over 1,000 statewide to receive five stars for 10 consecutive years (based on academic performance and cost-effective finances)
- Education Resource Group (ERG) Ranking: Conroe ISD ranked 2nd out of the 200 largest districts (behind H-E-B ISD) on academic and financial performance
Fund Balance
- Ended 2019 with a fund balance of approximately $140 million
- Transferred $32 million from the general fund to the capital maintenance fund:
- $12 million for technology (supporting the 2019 bond referendum)
- $20 million to establish the capital maintenance fund
- Estimated unassigned fund balance at 8/31/2020: $140.1 million (24% of budget)
- $24.7 million above the low-end target of 20%
- District objective is to maintain 20–25% (approximately 3 months of expenses)
- Rice stated the district is in "great shape" to handle COVID-19 challenges, the new school year, and the upcoming legislative session
Tax Rate
- Conroe ISD has the second lowest tax rate in the greater Houston area
- Tax rate is 15 cents below the peer district average and 4 cents below the closest peer district (Fort Bend)
Enrollment & Attendance Data
- Anticipated enrollment increase: 1,500 new students
- Total projected enrollment: 66,298 students
- Average daily attendance rate used: 94.2%
- Rice emphasized that expenditure budgets are based on enrollment, but state funding is based on average daily attendance
Certified Property Values
- Property values grew by 5.71%, adding ~$2.2 billion
- Total property values: approximately $40.3 billion
- Impact on general fund is minimal due to HB3 and Robin Hood; primary impact is on the debt service fund
Proposed Tax Rate (2020–2021)
| Component | Current Rate | Proposed Rate | Change |
|---|---|---|---|
| M&O | $0.97 | $0.9525 | -$0.0175 |
| Debt Service | $0.26 | $0.26 | No change |
| Total | $1.23 | $1.2125 | -$0.0175 |
- The proposed M&O rate includes assessing one additional "golden penny" from the state
- Per HB3, tax rates are compressed so local collections increase by only 2.5% year over year
Revenue Estimates (2020–2021)
| Source | Amount |
|---|---|
| Tax revenue increase (5.71% AV growth compressed to 2.5%, with rate reduction) | +$14.18 million |
| State revenue (1,500 student growth) | +$10.88 million |
| Investment income reduction (economic downturn) | -$1.73 million |
| TRS in-kind funds (accounting entry, offset on expenditure side) | +$3.5 million |
| Total estimated available new funding | +$26.83 million |
Expenditure Summary (2020–2021)
Approved Pay Plan:
| Employee Group | Raise |
|---|---|
| Teachers, librarians, nurses, counselors | 3% |
| Professional staff (admin education & business) | 2.5% |
| Paraprofessionals (admin & instructional support) | 3.5% |
| Auxiliary | 3.5% |
| Bus drivers | $1/hour flat (~5% at midpoint) |
| Police officers | 5% + additional certification pay |
| Total cost of living increases | $12.5 million |
- Starting teacher salary: $57,000 (includes $1,800 general pay increase / 3%)
New Personnel (300.5 total positions — $14.9 million):
- 212 campus positions: 128 teachers, 6 administrators, 8 professionals, 69.5 paraprofessionals
- To support: 1,500 new students, 12th grade at Grand Oaks HS, full-day Pre-K, opening of Stockton Junior High
- 88 support positions: Primarily transportation, police, maintenance, and custodial
Expenditure Budget Summary:
| Item | Amount |
|---|---|
| Additional personnel for growth | +$14.9 million |
| General pay increase | +$12.5 million |
| Substitute pay increase ($5/day) | +$0.3 million |
| Employee retention stipend (removed from budget) | -$9.42 million |
| TRS in-kind offset | +$3.5 million |
| Other (fuel, utilities, insurance, COVID costs) | +$2.85 million |
| Total expenditure increase | +$24.66 million |
Total Proposed Budget
| | Amount |
|---|---|
| Total Estimated Revenue | $582.45 million |
| Total Estimated Expenditures | $576.99 million |
| Projected Surplus | $5.46 million |
- Beginning revenue base: $555.62 million
- Beginning expenditure base: $552.33 million
Budget Breakdown by Category
| Category | % of Budget |
|---|---|
| Payroll | 88% |
| Contracted services (largest: utilities) | 4.8% |
| Supplies & materials (largest: bus fuel) | 4.3% |
| Equipment & other (largest: property insurance) | 1.5% |
| Other operating transfers (capital maintenance fund) | 1.7% |
Proposed Use of Budget Surplus
1. Save in general fund balance to support the 2021–2022 budget in anticipation of a state budget shortfall
2. Provide a cushion if ADA (student attendance) comes in below projections
3. If funds remain, potentially use to:
- Support the capital maintenance fund
- Reduce bond debt requirements
- Cover unforeseen expenditures
Significant Statement
Rice noted that "the information coming out of Houston concerning the state budget does not look good" and urged planning for reductions in state funding in the next legislative session.
Next Steps
| Date | Action |
|---|---|
| August 18, 2020 | Public hearing on the budget |
| August 18, 2020 | Board vote to adopt the budget |
| After budget adoption | Board vote to adopt the tax rate |
Public Comment
No members of the public came forward to comment on the budget.
Votes Taken
No votes were taken at this hearing. This was a budget presentation and public comment session only. Formal adoption of the budget and tax rate is scheduled for the August 18, 2020 board meeting.
Adjournment
The budget hearing was concluded by President Williams following the public comment period.