Welcome back to our series on school finance.

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

...while also making some budget cuts.

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

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

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

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

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

...and the financial future of Klein ISD.

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