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Katy ISD officials predict $24.9M budget shortfall ahead of upcoming budget adoption

Katy ISD’s fiscal year 2026-27 budget is now expected to see a $24.9 million shortfall, up from the $15.7 million figure provided in June.

The overview: At the July 20 work study meeting, Katy ISD Chief Financial Officer Chris Smith described the budget as “very manageable” in spite of the deficit. 

Smith said the revenues shared during the presentation were conservative due to several components such as value estimates, interest rates, special education funding, property value audits and average daily attendance currently being unknown.

Negative factors contributing to the budget include flat enrollment, Katy ISD operating under a fixed income and inflationary impacts.

On the horizon: Assistant Superintendent of Finance Jamey Hynds said staff recommends a budget adoption timeline where an official notice for the budget and tax rate public hearing will be posted on the district's website on August 13.

The public hearing and adoption of the budget is scheduled for August 24, while the tax rate is expected to be adopted on September 28.
 
Now Open
Mother-and-daughter-owned needlepoint shop opens in Downtown Katy

Sookie's Needlepoint, a mother-and-daughter-owned needlepoint shop, has opened in Downtown Katy.

What they offer: The business offers needlepoint canvases, fibers and accessories such as scissors and needle minders, according to its website. Classes and events are also available for guests of all levels.

Notable quote: "At Sookie’s, we strive to create more than a shop," co-owner Dani Kelsey said. "We want to be a gathering place where people can learn, create and build friendships through needlepoint."

  • 5627 Third St., Katy
 
Worth Watching
Tropical storm watches in effect for Texas coast as Bertha path shifts

Officials with the National Weather Service issued tropical storm watches for portions of southeast Texas as Tropical Storm Bertha is expected to make landfall by the end of the week.

What we know: Tropical Storm Bertha maintained strength overnight according to data from the NWS, but is still expected to not strengthen beyond a tropical storm before making landfall across Louisiana and Texas. However, officials said the storm itself should not cause significant impact to the region.

NWS officials urged residents along the coast in Brazoria, Chambers and Galveston counties to continue any storm preparations before Bertha makes landfall. The storm watch along the Texas coast is in effect until 6 a.m. July 24 unless it is extended.

In their words: "Bertha will bring scattered showers and thunderstorms through the day, but the threat for excessive rainfall/flash flooding is marginal," NWS officials said in a July 22 news release. "While there is not a storm surge risk, there is a threat of minor coastal flooding."

 

Your Weekend To-Do List

Check out these weekend events across the metro area.

Expedition Outpost Hobby Night

Bar-B-Que Cook-off & Car Show

July 24, 5-9 p.m.
Spring

July 24-25, noon-5 p.m.
New Caney

Learn more.

Learn more.

 

Superhero Day with CARS

TBFP at The Lawn at Baybrook Mall

July 25, 10 a.m.-4 p.m.
The Woodlands

July 25, 7-10 p.m.
Friendswood

Learn more.

Learn more.

 
To submit your own event, click here.

CI Texas
Texas on track to see record-breaking power demand amid triple-digit heat

With large parts of the state under an extreme heat warning or heat advisory through July 23, the operator of Texas’ independent power grid is projecting record-breaking electric demand this week.

What's happening: As of 3 p.m. July 22, there were 90,027 megawatts of demand on the grid with 113,543 megawatts of power available, according to the Electric Reliability Council of Texas' real-time supply and demand dashboard. One megawatt of electricity can power about 250 homes during peak times.

This would break ERCOT’s current demand record of 85.5 gigawatts, which was set during an August 2023 heat wave. ERCOT spokesperson Trudi Webster cautioned that this week’s demand records are preliminary.

What it means: Texans should not expect a grid emergency during this week’s extreme heat.

ERCOT previously projected that demand would surpass 92,000 megawatts this summer, due to high temperatures, moderate rainfall and the growth of data centers.

This week's triple-digit temperatures come during the sunniest parts of the day, allowing the state to rely in part on solar energy to power the grid.

 

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Amy Martinez
General Manager

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