HOUSTON — Houston Independent School District Superintendent Mike Miles is meeting this week with principals to discuss the budget planning process for the upcoming school year.
In a news conference Tuesday after the first of those meetings, Miles said HISD is facing a challenging financial picture but will take steps necessary to fund its most urgent priorities. These include boosting achievement among all students, improving underperforming schools, delivering high-quality special education services, and preserving unique school options such as the district’s robust magnet programs. Superintendent Miles also again pledged that he will not close schools in the 2024-2025 school year.
Approximately $1.2 billion in federal COVID relief aid provided to the district over the past three years will end this academic year and there is no projected increase in state funding for education. While the previous administration projected the district would be facing a fiscal cliff, absent any significant changes, by the end of the 2024-2025 school year, Miles is developing a budget proposal that keeps resources focused on students. It also maintains a fund balance of approximately $800 to $850 million.
“HISD’s budget must reflect our most urgent priorities,” Superintendent Miles said. “As we reduce expenditures and allocate our resources, we’ve developed a set of principles to guide our investments. We will keep cuts as far away from the classroom as possible and will invest in our teachers and school leaders. This is critical to support student success.”
The superintendent also pledged to:
- Prioritize funding for initiatives that narrow achievement gaps and help meet the school board’s adopted goals.
- Continue to cut waste at the central office.
- Make no cuts to funding that supports small and/or unique schools. He said magnet funding would be provided at the same or greater levels than the current year. In addition, the high school allotment and small-school subsidy would be unchanged from the current year.
Budgets for New Education System (NES) schools are set by the district, while principals of non-NES schools create budgets for their campuses. These spending plans are based on funds tied to a school’s enrollment and average daily attendance rates.
The district says for the first time in three years, schools will not be held harmless on enrollment or attendance. In previous budget cycles, if a school’s enrollment declined or its average daily attendance decreased, it reportedly received a budget allocation from the district as if the school had not experienced a decrease in enrollment or attendance.
Given that the state allocation does not hold the district harmless for these decreases, HISD can no longer afford to give schools money for students they do not serve. Budgets for this coming school year will reflect this reality. Some campuses will see a reduction in funding. HISD, however, will cap any loss at 12%, district officials say. Without this cap, one campus, for example, would lose 43% of its funding.
The board of managers will vote on the budget proposal at its June meeting.
