Houston ISD Superintendent Mike Miles laid out the preliminary framework for the 2025-26 budget, which includes staff reductions across central office departments. There are also concerns about school funding and the anticipated impact of pending state legislation on the next school year.
The school district is still drafting, with final budget adoption expected by June 12.
Miles and his team emphasize that the budget has yet to be finalized and still depends on the Texas legislature passing bills, such as House Bill 2, which would increase basic allotment per student, raise teacher salaries and limit the hiring of uncertified teachers.
“We need to make sure our budget is sustainable,” he addressed the board. “We will continue to keep cuts as far away from the classroom as possible.”
However, with a projected 6,800-student enrollment decline, Miles warned of potential cuts to teacher positions.
Central office to slim down…again
After slashing 1,400 central office positions last year, HISD is eyeing $24.9 million in budget cuts next year. It plans to cut 103 positions across all departments, including academics, IT, finance, the chief of staff and a $42.3K cut to Miles’ superintendent salary.
The police department will undergo a cut of $17,000, the lowest among the other categories.
Miles explained that the only exception is the Chief of Staff’s office, which will see a $1 million increase to accommodate a data integration team that ensures all teams are working seamlessly.
PUA school budgets: gains, losses and changes
The Per-Unit Allocation (PUA) model, which allocates funding to schools, will change next year. The changes will be based on projected enrollment, Average Daily Attendance (ADA) and an additional $75 per student, which is a tentative increase dependent on legislative outcomes.
While some non-NES schools will lose funding, others stand to gain because of increased enrollment. Field Elementary School, for example, is projected to receive $2.8 million compared to last year’s allotment of $2.5 million.
For schools like Herrera ES, which lost 35 students, its allocation drops by more than $300,000. However, per HISD’s formula, 10% will be added back ($30,000) to its funding to soften the blow for campuses facing cuts.
HISD’s budget calculations show that 16 HISD campuses will see reductions exceeding $250,000.
NES campuses: central funding
Schools in Miles’ New Education System (NES) will operate under a centralized model and do not have budgetary autonomy. The district covers instructional materials and the schools’ staffing model, comprising teachers, learning coaches, and apprentices.
HISD currently appoints one teacher apprentice and one learning coach for every 100 students. Miles said the district will now employ teaching staff based on enrollment to determine the budget for these staffers.
Small and struggling schools
Smaller campuses with low student enrollment will continue to receive small school subsidies, or additional funds for the same services as larger campuses.
However, HISD’s finance team will review campuses on a case-by-case basis.
“We’ll be talking to the division chiefs and the principals to see if they need any help,” Miles said.
Legislation could bring relief
Pending bills in the 89th legislative session could impact HISD’s budget, depending on the following bills:
- HB 2 includes an increase in school districts’ money per student and teacher salaries, and limits the hiring of uncertified teachers
- SB 260 / HB 124 increases school safety allotment from $10-$14 per pupil and $15,000-$37,000 per campus
“If the school safety allotment passes, that would be huge for us because we need the police officers and safety,” Miles said.
- SB 26 proposes a pay raise of $2,500 for teachers with 3-5 years of teaching experience and $5,500 for teachers with more than five years
- HB 500, which allocates $934.5 million for the School Health and Related Services Program (SHARS)
What’s next?
HISD’s next budget workshops are scheduled for May 1 and May 22, by which officials hope the Legislature’s ongoing decisions will bring more clarity.
