Budget committee recommends three‑cent school tax increase to preserve 4% pay raise amid $3.3M state cut

The Williamson County Budget Committee voted May 12 to recommend a three‑cent increase to the general purpose school property tax, coupled with a two‑penny shift from the county general fund and a bundle of departmental and capital reductions, to close a projected school funding gap and protect a proposed 4% pay raise for county and school employees.

Committee members and staff said a recent state funding formula change reduced payments to the school district by about $3.3 million. "When they did that, our ability to pay reduced the amount of state funding ... around $3.3 million," Mayor Anderson said during the committee’s consolidated budget briefing. Staff told the committee that, based on current estimates and the district’s budget, an 8‑cent increase would be necessary to close the gap without other offsets; the committee’s recommendation combines new revenue and internal shifts to substantially narrow the shortfall.

Budget staff member Phoebe told the committee the figures shown include the board’s priorities and a 4% across‑the‑board employee raise: "The 8 cent property tax increase does include the 4%." She said updated assessed values produced about a 1.3% revenue increase for the general purpose school fund and that last‑minute choices — including postponing funding for special education buses from fund balance and allowing the schools to defer certain bond reimbursements — would reduce the immediate gap.

Commissioner Web moved the measure, arguing the increase was the most feasible way to avoid deeper cuts to instruction: "I think the only way to keep us going without making drastic cuts to our education is to recommend a three penny increase in the property tax," he said. The motion as refined and clarified by staff would: add three new cents to the school tax rate, shift two existing pennies from county general to the school fund (a procedural transfer of revenue authority), require department heads to find 5% reductions where feasible (including a 5% reduction request to the Convention & Visitors Bureau and a 5% reduction to Williamson Inc. contributions), pause most new hires approved by the committee until Jan. 1, 2027, and reduce some proposed capital spending.

Staff outlined other specific actions considered to lower the school gap, including allowing the school district to defer a roughly $1.18 million energy bond reimbursement this year so they can preserve fund balance, and asking the school board to revisit a ~$2.2 million social studies textbook purchase recommendation to free operating dollars. Jason, representing school staff, confirmed the district had considered deferring a portion of textbooks while noting the board ultimately kept some purchases in the approved budget.

The committee also discussed reducing the county contribution to Williamson Medical’s ambulance request from about $4.5 million to roughly $3.0 million (a proposed $1.5 million reduction), scaling back planned capital purchases (for example, buying fewer ambulances this cycle), and asking the CVB and Williamson Inc. to share in the reduction effort to preserve general fund balance.

After debate about whether to shift more pennies or raise more revenue, the committee voted to send the package to publication for the required public‑hearing notice. The chair called for the vote and the motion carried; staff said they would prepare a revised budget sheet and submit the legal notice next week showing both the board of education’s 8‑cent request and the committee’s three‑cent recommendation.

The committee’s recommendation is advisory; any final tax rate and the county’s formal adoption will require subsequent commission action and required public hearings. Staff cautioned that several variables — including final assessed values, near‑term insurance and risk management figures, and any further action from the state — could change the final numbers before adoption.

Next steps: staff will revise the printed budget materials, run the legal notice as required by statute, and deliver updated figures to the commission and the public ahead of the required public hearing.