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The Hays CISD board of trustees approved $12.25 million of preliminary budget cuts for fiscal year 2026-27 at a March 30 meeting.
The two-minute impact
On March 26, district officials proposed to cut millions in spending to create a surplus budget and rebuild the fund balance after several years of financial struggles.
Because almost 90% of HCISD’s budget is spent on salaries, officials said the amount of cuts they needed to make could not be achieved without affecting jobs.
The proposed cuts include the loss of 125 positions and the suspension of 970 stipends, directly affecting more than 1,000 employees.
Other cuts and cost savings include increasing class sizes, resulting in student-to-teacher ratios ranging from 24-1 to 30-1; social services cuts; virtual learning models; and fine arts and athletics reductions.
Officials outlined plans to reduce the effect of these changes to students, such as the introduction of a fifth quarter to sporting events to allow all students to participate in lieu of some sporting teams being cut.
How we got here
The Texas Education Agency provides a basic allotment of $6,215 per student to public school districts. This is a $55 increase—provided by House Bill 2 in June—from the previous rate of $6,160, which was set in 2019. Chief Communication Officer Tim Savoy said the state would need to provide approximately $7,000 per student to compensate for inflation, according to previous reporting by Community Impact.
HCISD has been pulling from the fund balance to maintain operations while waiting for increased state funding since 2021. Without a significant increase in per-student allotment, the fund balance has depleted to approximately $20 million. According to the district, the fund balance should be at least $65 million to have the ability to cover three months of operating expenses when waiting for state funding or tax revenue to come in.
The board of trustees called for a tax ratification election in August, hoping to raise the property tax rate and increase district funding. While the proposed rate of $1.2746 per $100 of valuation was a 12-cent increase, it remained lower than the FY 2022-23 rate of $1.3423. The proposition ultimately failed at the polls in November, and the current tax rate is the same as FY 2024-25.
The district initially anticipated cutting $20 million and 200 positions over the course of three years, but Savoy said they would not be able to do that without “significant damage” to the educational product the district provides.
What they’re saying
“As class sizes grow, it becomes increasingly more difficult for me as their teacher to meet those needs fully,” HCISD kindergarten teacher Anaissa Ortiz-Wong said at the meeting. “Additionally, larger class sizes make it more challenging to ensure consistent supervision, meeting each learner’s needs and building relationships that are so necessary.”
Trustees also shared their perspectives on cuts and the state of public school funding.
“Texas is at the bottom of public education school funding,” said Johnny Flores, vice president of the board of trustees. “This is by design. By those in power at the state level. By a handful of billionaires who have chosen to create a cycle, which is to defund public education. ... They will then offer alternatives, such as vouchers and a privatization of public education. This is the cycle, rinse and repeat.”
Looking ahead
The board of trustees will continue to discuss the FY 2026-27 budget, including the total district compensation plan and revenue projections, throughout budget season. Cuts that are adopted by the board of trustees in the final 2026-27 budget will go into effect July 1.
