In 2006, state legislators implemented a funding system for education that was doomed to failure.  As a result, school districts across the state of Texas are now facing a significant financial crisis. This system cut residential taxes and funded districts with various amounts of funding per students. In other words, Pasadena ISD receives $ 5,177 per student while another district receives $7,343 per student. This difference means that we have been working with much less funding overall for the last 6 years. In fact, over the past three years, PISD made significant budget cuts across the board so that funds could be allocated to align with the new strategic plan.

Subsequent state budgets have included deficits that have contributed to a current state budget shortfall estimated to be as low as $15 billion and as high as $26.8 billion. To deal with this shortfall, legislators initially proposed public education cuts of between $4 and $5 billion per year which meant a reduction in state funding between $20 and $21 million per year for Pasadena ISD. Now the current estimate of public education cuts has been increased with possible losses of up to $50 million for PISD being discussed.

Don't be deceived. We do not have a lot of excess. The cuts we have already made mean that we have been running a very lean budget for years. Whatever further cuts we make will, by definition, have an impact on our students; however, we will do whatever is necessary to meet the financial challenge in a way that will minimize the effect on our students.

Why is Pasadena ISD making plans now when the state has not announced its final plans?

School districts are required to file school budgets before the state makes its final rulings. In addition to the potential loss of $20 - $50 million, the state has also currently eliminated such items as pre-kindergarten grants from the budgets which makes the financial burden even greater on PISD.  

The federal stimulus funds that support a portion of all Texas school district budgets will expire at the end of the current fiscal year so we must find a way to financially cover those programs that are extremely beneficial for our students.  

  In addition to the anticipated loss in state funding, we also must budget for anticipated cost increases including but not limited to utilities, healthcare, property taxes and food.

So what is Pasadena ISD doing to prepare for this financial challenge?

Pasadena has identified savings in separate levels depending on the final reduction amount from the state.

The first level of reduction is already in progress based on a $21 million reduction in state funding:

  Since 85% of all school districts' budgets are allocated to personnel, an across-the-board reduction in force is being planned that will affect administrators, support personnel and teachers. The hope always is that many of those affected by the RIF will be absorbed into other positions for which they qualify through attrition.

•   Reduce Central Office staff including the reorganization of Curriculum and Instruction and Special Programs and the elimination of 6 administrative positions as well as the Associate Superintendent for Facilities position. ($549,000)
•   Reorganize Alternative Education (Guidance Center and the Summit) for a loss of 11 positions. ($666,000)
•   At the secondary level, teachers will teach an additional class and have increased class sizes-a reduction of 86 teaching positions. ($4,042,000)
•   Increase student/teacher ratio at elementary and middle schools-a reduction of 66 positions. ($2,961,000)
• Eliminate an average of one aide position from each campus. ($1,116,000)
• Close small bilingual enrollment programs. ($141,000)
• Reduce the number of dyslexia teachers on the secondary level. ($470,000)
• Reduce Maintenance, Operations and Transportation staff. ($825,000)
• Reduce police staff by 5 positions and crossing guards by 10. ($350,000)

  A hiring freeze has been implemented across the district. A 60-day moratorium has been placed on all positions to save 2 months of salary. The Chief of Police position has also been left vacant at this time to save money. If a teacher leaves from this point on in the school year, a full-time sub will be used. All vacated positions will be carefully reviewed and filled only if necessary. (Amount to be determined based on resignations.)  

  In a time that we need to take all steps to reduce the budget, all Central Office Departments including Athletics, Fine Arts, Transportation and Facilities are cutting 5% in "stuff" budgets in addition to the major cuts they made three years ago. This will also include the elimination of local performance pay, outside consultants and the purchase of new Athletic and Fine Arts uniforms. ($5 million)  

All campuses are cutting their "stuff" budgets by 10% for next year. These budgets pay for instructional materials and other supplies. ($700,000)

Eliminate all out-of-state travel unless required by a grant or gained through achievement (state student competitions, etc.) (Amount to be determined.)

In preparation for the anticipated shortfall, an internal general counsel was hired and has significantly reduced the district's legal fees. ($125,000)

Reduce energy costs across the district. Retrofitting of many lights has already lowered utility rates and provided better lighting for student learning. We will be implementing even more stringent guidelines for the reduction of energy costs.

The district will use some fund balance to make up the difference of these cuts and the reduction of state funding.

Some renovations that were being scheduled have been put on hold until finances allow them. Some renovations, such as the reconstruction of the Administration Building, will be continued due to safety issues. In addition, some, such as the Carmen Orozco Staff Development Center will continue because they are being paid with remaining bond funds. Legally, a school district cannot use bond funds to pay for salaries or other operational costs.

If the state legislature cuts Pasadena ISD funding by more than $21 million, the district will be forced to make even more drastic cuts. Some of those that have been suggested include, but are not limited to, the following to reduce an additional $29 million:

Eliminate Swim, Golf and Tennis Programs. ($200,000)

Eliminate all Intermediate School athletic tournaments. (Amount to be determined.) 

Move all athletic periods after school and increase number of classes taught by coaches. (Amount to be determined.)

Change the fiscal year-a one-time budget impact. ($10,000,000)

Further reduce staffing

• Reduce Business and Human Resource staff ($161,000)
•   Reduce or Eliminate Sheltered Instruction Observation Protocol (SIOP) campus staff (1,300,000)
• Further increase class sizes and eliminate additional positions at all levels (2-12)-334 positions. ($10,998,000)
• Further reduce additional Central Office positions----18 positions. ($1,211,000)
• Reduce campus administration-27 positions. ($1,755,000)
• Further reduce Operations staff. ($400,000)

Move the Transportation limit to 1.5 miles instead of 1 mile for student transportation. ($350,000)

Close small elementary schools. ($3,000,000 per school)

Reduce or eliminate stipends, Masters/Doctorate pay, over time, etc. (Over $608,500)

Eliminate additional services such as Warehouse. ($304,000)

What can you do to help?

Send comments and suggestions to klewis@pasadenaisd.org  

Contact your legislators to let them know respectfully that funding for public education should be a priority. There is a list of area legislators at http://www1.pasadenaisd.org/education/components/scrapbook/default.php?sectiondetailid=81470& .

Check the PISD Budget website at http://www1.pasadenaisd.org/PISDFinancialUpdates   for up-to-date information.