Denton school board trustees this week approved a balanced budget for the 2009-10 fiscal year, erasing the need for the budget deficit originally proposed.

Since proposing the preliminary budget deficit of $1.79 million to trustees on June 9, district officials received updated state funding formula templates indicating that Denton will receive a larger increase in state money than was first projected.

Operating expenses for the 2009-10 fiscal year total more than $193.8 million, almost $3.7 million more than what was estimated two weeks ago, and an increase of about 8.4 percent over the current budget, according to figures released by the district.

The property tax rate for both operations and debt service will remain at $1.49 per $100 valuation.

Debbie Monschke, the district’s executive director of budget and finance, said that the increase in state allotments allowed the district to add money for utility costs at some campuses and to add new positions.

The state released updated funding formula templates June 17. Monschke said that since then, three additional versions have been released, to better comply with new laws passed and decisions made by the 81st Legislature. She said Denton’s budget was built on the most recent template.

But the templates will likely change again, she said.

“As the template changes, we’ll have to update [the district budget],” Monschke said.

Superintendent Ray Braswell told trustees that updated templates could be released through October, which has been the case in previous years. He said that while it is a “delight to pass a balanced budget on the [maintenance and operations] side … these are not easy times to do that.”

The budget includes more than $165 million for salaries, about $13 million more than the 2008-09 year. The salary plan includes a 2 percent pay increase, but the salary schedules won’t be determined until after the district receives certified property tax rolls.

The budget projects that local property taxes will generate more than $95.6 million for general expenditures and another $41.36 million for debt service. The total will depend on the final property appraisals, which are expected to be certified and presented to the district on about July 20.

Mia Price, board vice president, who led the board meeting in the absence of board President Jim Alexander, said the conservative approach taken in preparing for the 2009-10 fiscal year brought about the balanced budget. Doing so was somewhat tricky, she said, with local revenue received for debt service dropping and the district not earning the interest it has in the past. District staff members made the necessary adjustments, she said.

“I think our staff has done a wonderful job with the revenue hand we’ve been dealt,” Price said.

BRITNEY TABOR can be reached at 940-566-6876. Her e-mail address is btabor@dentonrc.com .