At its July 24 meeting, the SCUCISD board of trustees approved Aug. 18 as the meeting date to pass its fiscal year 2025-26 budget and set the tax rate.
The tax rate will likely trigger a voter-approval tax rate, or VATRE, election in the fall, Chief Financial Officer Brian Moy said during a July 10 budget workshop.
Current situation
Estimates as of the July 10 workshop show the district passing a balanced budget with $177.58 million in both revenue and expenditures.
According to a presentation by Moy on July 10, major revenue additions—including increased state aid for House Bill 2—total $26.52 million.
Expenditure increases of $19.26 million, according to the presentation, come from compensation increases as well as overdue deferred operating costs and safety capital projects.
The projects are contingent on revenue from a VATRE, Deanna Jackson, the district’s communications and community engagement director, said in an email to Community Impact.
What else?
The district has not yet set a tax rate, but will likely exceed the maximum compressed rate, triggering a VATRE, Jackson said in an email to Community Impact.
With no change from the 2024-25 rate of $1.1369 per $100 valuation, the same rate would save the average homeowner $602 on a 2025-26 school tax bill due to the impact of Senate Bill 4 and Senate Bill 23 on homestead exemptions, Moy said.
According to the presentation, a VATRE would raise the district maintenance and operations tax rate by $0.12 per $100. Moy said the district can set an interest and sinking tax rate anywhere from $0.355 to $0.499 per $100.
Two examples from the presentation showed the average homeowner savings on a tax bill at $385 if the interest and sinking rate is kept at its current $0.47 per $100, or a total tax rate of $1.2569 per $100. The savings going up to $530 on a bill with an interest and sinking rate of $0.39 per $100, or a total tax rate of $1.1769 per $100.
Next steps
If the board calls for a VATRE on Aug. 18, the election would occur Nov. 4.
