New developments around Eanes ISD’s taxable values, state funding and enrollment could lead to more revenue losses in the 2025-26 school year ahead of an already projected $6.3 million shortfall.

Chief Financial Officer Christ Scott provided the board with updates during its regular board meeting Jan. 28.

The outlook

Based on unofficial information from the Travis County Appraisal District, Scott said EISD’s total taxable value will likely decline due to a 4%-7% decline in residences and a similar decline in commercial real estate.

Between 2007-2024, EISD's average annual growth in taxable values was 5.6%. Pending preliminary estimates which will be released in April, Scott said he is anticipating this value to decline to -5%, which would decrease EISD revenues by over $2 million per year.


Additionally, EISD is set to only receive about $75,000 in School Health and Related Services funding in 2025-26.

The SHARS program reimburses districts for Medicaid services provided to students such as speech language, physical and occupational therapy. EISD previously received around $800,000 to $900,000 per year, but statewide changes to the program announced in December 2023 cut millions in funding for districts.

EISD also continues to have some of the highest recapture payments to the state, and with enrollment projected to decrease from 7,598 students to 7,454 students next year, the district will lose about $1 million in revenue.
“It would be a different conversation if that [recapture] money was going to other districts who have less resources, and it would be a different conversation if we were able to balance our budget before we had to send that money back,” trustee Heather Sheffield said. “We’ve given almost $2 billion back to the state in recapture since its inception. Today at the Capitol they’re hearing a bill that is talking about basically that amount of money going to other programs that don’t support our public schools, yet we are basically funding that.”

What’s being done


EISD officials have already implemented a few cost-saving measures to help offset its projected multimillion-dollar budget shortfalls in 2025-26 and beyond.

Closing Valley View Elementary and blending the campus with Barton Creek Elementary, discontinuing the Spanish Immersion program, and eliminating Professional Learning Communities periods is projected to reduce expenses by $3.2 million next year.

Increasing rental and student fees is also projected to increase revenues by $450,000.

Something to note


Scott, alongside Superintendent Jeff Arnett and members of the EISD legislative subcommittee, visited EISD’s state representatives at the Capitol on Jan. 27. The 89th Texas Legislature convened Jan. 14 and will end June 2.

One of EISD’s main legislative priorities is an increase to the basic allotment, which is currently $6,160 and has not increased since 2019. According to EISD officials, an increase of at least $1,340 would provide the district with:
  • $4,800 in average teacher pay raises
  • $1.5 million for special education
  • $150K for school safety mandates
What’s next?

The board is expected to receive various budget presentations throughout the spring and summer.
  • April: receive preliminary estimate of 2025 certified values from TCAD; discuss employee compensation options
  • May: approve 2025-26 compensation plan; consider freezing staff salaries at 2024-25 values by May 20
  • June: hold budget and tax rate hearing and adopt the 2025-26 budget; consider adopting nine copper pennies and calling for a Voter Approval Tax Rate Election by June 24
  • July: receive certified values from TCAD
  • August: adopt 2025-26 Maintenance & Operations and Interest & Sinking tax rates
  • November: VATRE, if necessary