House Bill 2, a school funding bill filed during the 89th Texas Legislature, could lessen Eanes ISD's current projected shortfall of $7.8 million to $4.3 million if the bill becomes law.

Eanes ISD Chief Financial Officer Chris Scott provided the board of trustees with the latest budget updates at the May 6 board meeting.

Some context

HB 2, which was approved by Texas House lawmakers April 16 and must next to go the Senate for approval, would raise public education funding by $7.7 billion.

According to Scott, the bill:
  • Increases the basic allotment by $395
  • Adds a fine arts allotment
  • Updates special education funding
  • Requires that 40% of each district's attendance-based funding be dedicated to salary increases, 75% of which must go toward teachers, librarians, nurses and counselors
With all the numbers worked out, it's about a 2% increase in funding for the district, Scott said.


However, there is a separate Senate bill that is "significantly different on how they were allocating money," he said.

"If what comes out more closely matches the Senate version, we're definitely going to have to come to [the board] and make some changes," Scott said.

Breaking it down

EISD's January budget projections anticipated an enrollment of 7,454 for 2025-26 and a shortfall of $6 million.


Updated projections based on current law anticipate an enrollment of 7,250 which nets about an $1.3 million loss, Scott said, and brings the shortfall to $7.8 million.

Potential funding through HB 2 could reduce that shortfall to $4.3 million next year, which Scott said would give the district "a little bit more time" to look at other ways to reduce the shortfall the following year.


Other funding bills being discussed which could impact EISD's budget include:
  • Senate Bill 260/HB 124, which would increase EISD's safety and security allotment by $260,000 per year
  • HB 500, which would restore some of EISD's State Health and Related Services funding losses by $620,000 per year
  • SB 568, which would would change special education funding to a model based on the intensity of services required
  • HB 1939, which would provide districts with a 4% discount for early recapture payment and net about $1.5 million per year for EISD
Looking ahead
  • May 20: board approves 2025-26 compensation plan
  • June 2: legislative session ends
  • June 24: board adopts 2025-26 budget
  • July: EISD receives certified taxable values