By Edmond Ortiz
It’s shaping up to be a particularly busy summer for the Northside Independent School District, one of Texas’ biggest districts, where officials are weighing spending cuts, efficiencies and a possible property tax election to help counter declining student enrollment and a budget deficit.
What you should know
The Northside ISD board was briefed on a variety of budget-related issues May 26. While the NISD has initiated an efficiency audit and are exploring potential optimization measures, they have indicated that the 2026-2027 school year will have no school closures, and will see student-teacher ratios stay consistent with the just-completed 2025-2026 academic year.
So far, NISD officials have identified up to $17.2 million million in potential reductions across staffing positions, department/campus allocations, software, stipends, and services.
Northside ISD projects a student enrollment of 95,461 in 2026-27, a drop from 97,620 in 2025-26. The decreasing enrollment means reduction of state funding based on average daily student attendance by as much as $15.7 million.
NISD is also looking at a 1% decrease in taxable property values, resulting in $2.4 million less in projected tax collections. The district also projects a drop in its fund balance because of a dent in interest income. Inflation, namely rising utility and insurance costs, is exacerbating matters.
Preliminary estimates show that Northside ISD could whittle its budget shortfall from $38.8 million to $31.6 million in 26-27 through the potential reductions and efficiencies. The school board is expected to act Aug. 17 on possible optimization measures.
The dropping enrollment trends prompted the district to put on hold $200 million in 2022 bond projects, something that has spurred concern among San Antonio city leaders.
Some board members said they wondered what would happen to certain employees if certain positions are consolidated. Superintendent John Craft committed to finding affected employees another position within NISD that is not totally dissimilar to what they are doing now.
“It may not be the same job, but there will be a job,” Craft said.
Tax election still under consideration
District officials are also pondering calling a Voter-Approved Tax Ratification Election (VATRE) in November when NISD voters could endorse a property tax hike.
If voters were to back such a tax hike, NISD could further reduce its deficit to $20 million, raise property tax collections by nearly $22 million, and receive more state money through the state’s public education funding model. Northside has until Aug. 17 to call a Nov. 3 special election.
Staying competitive with salaries
There is another element in Northside ISD’s planning for 26-27. Going by a Texas Association of School Board study of employee pay in area and comparable districts, NISD officials are reviewing recommendations to implement a 2% general pay increase, and tweak salary and stipend levels in order to maintain Northside’s competitive advantage.
The TASB study shows a current average NISD teacher salary of $69,121, whereas the local market median stands at $68,832. NISD ranked fourth overall in its market in terms of pay. A 2% general pay hike alone would cost NISD $15.4 million.
“If your (pay) is 15%-20% below market rate, you’re going to find it hard to find the people that you want to come in,” Amy Campbell, TASB’s human resources director, told NISD trustees.
Optimization priorities spark criticism
The NISD board did vote to approve a set of district priorities meant to guide district officials in making significant long-term decisions regarding optimization.
Those priorities are organized into four domains: academic achievement, leadership and staff, student experience, and resources and facilities.
Based on those priorities, NISD will begin a structured analysis phase, including development of standardized campus profiles, a systemwide analysis of academic, enrollment, staffing, and facility indicators, and scenario planning to identify chances to reinvest in and strengthen school offerings.
Trustees approved the set of optimization priorities while acknowledging concerns being presented by some educators and community members about the consulting organization hired to formulate and recommend the priorities, Civic Solutions Group.
Among other things, the firm consults on Senate Bill 1882 partnerships, which allow traditional school districts to partner with charter operators to improve underperforming campuses.
Melina Espiritu-Azocar, Northside American Federation of Teachers president, sought transparency regarding NISD’s work with CSG. She voiced worry that the firm would ultimately push for campus closures and consolidations, or allow more influence from charter school organizations that is already being felt in some other local districts.
“School closures just don’t relocate students, they destabilize entire communities,” Azocar said, adding that CSG received input from about 2% of a sprawling district that serves more than 90,000 students.
“That is not representative of the entire district,” she added.
