Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the School Finance topic
No spam. Unsubscribe anytime.
Efficiency audit shows funding gap; district frames Prop A tax ratification proceeds for staffing, safety and retention
Summary
Consultants presented a statutorily required efficiency audit ahead of a proposed tax ratification election; the district said revised TEA compressed-rate numbers leave projected net proceeds near $10.7 million, which staff propose to allocate to campus positions, safety/security and retention incentives.
Leo Lopez, chief financial officer for consulting firm Moe Casey, presented the district's efficiency audit on Sept. 15 as part of the process required before a voter-approval tax-rate election. Lopez described the audit format prescribed by the Legislative Budget Board and compared Liberty Hill ISD's revenue and expenditures per pupil to peer districts.
Lopez said the district's total revenue per student for the 2023–24 data set was $9,368, which he said is roughly $400 below peer districts and about $1,300 below the state average. He noted that payroll comprises about 86 percent of operating expenditures and that the district earned an A on TEA's School FIRST financial accountability rating for the last two years. He also corrected a slide typo to note an unassigned fund balance of $21.7 million for the 2023–24 year.
Rosanna Guerrero and Interim Superintendent Travis Motul explained how TEA's final compressed (tier 1) rate arrived at 59 cents per $100 valuation instead of the district's earlier projection of 57 cents. Motul said the district's adopted proposed tax rate remains $1.24 per $100 but the makeup of the rate shifted; projected net proceeds tied to the voter-approved portion were cited near $10.7 million in staff presentations to the board.
Lopez summarized the purpose of the audit: "The purpose of the audit is to provide information to voters regarding a school district's fiscal management, efficiency and utilization of resources, before you have the election to adopt the M&O tax rate," and walked trustees through peer comparisons, staffing ratios, and expenditures per student.
Motul presented draft allocations for the roughly $10.7 million in proceeds: $7.2 million for student programs to restore about 70 campus positions (and return secondaries to 6-of-8 teaching configurations), roughly $1.3 million short of fully funding a police officer on every campus and related safety costs, and about $2.2 million for staff retention measures (one-time retention stipends and a 1 percent midpoint raise to be settled later). The superintendent emphasized the district's caution about restoring positions given future legislative uncertainties.
Trustees asked clarifying questions about the auditor's independence (Lopez confirmed Moe Casey is an independent third party) and about TEA's role in issuing the School FIRST rating (Lopez confirmed TEA issues the rating). The board did not vote on the audit itself; subsequent agenda items addressed budget-related actions and potential propositions.
