District proposes $2500 incentive to reduce staff and address $8M budget deficit

The Socorro Independent School District (ISD) Board of Trustees held a special meeting on March 6, 2025, to discuss a proposed employee separation incentive aimed at addressing the district's financial challenges. The board is considering offering a $2,500 incentive for up to 100 employees to voluntarily resign, which could help reduce the district's payroll costs amid an ongoing $8 million budget deficit.

During the meeting, Mr. Hill explained that the decision to increase the incentive from previous years, which offered $500 to $7.50, was based on past experiences where the district had not reached the target number of resignations. The board previously set the incentive cap at 75 employees but opted for 100 this time to better align with potential outcomes. A progress report on the effectiveness of this incentive will be provided at the next board meeting, with the possibility of adjusting the number of employees eligible for the incentive based on the results.

Mr. Solis, a director since 2016, noted that the district has offered similar incentives annually, except for the last two years. He emphasized that the incentive could lead to significant savings, estimating that each resignation could save the district approximately $75,000 when accounting for average salaries and benefits. This approach aims not only to reduce the payroll burden but also to potentially prevent more drastic measures, such as layoffs, by encouraging voluntary separations.

The board's discussions highlighted the delicate balance between managing financial constraints and maintaining staff morale, as they navigate the complexities of budget management in the current economic climate. The outcome of this incentive program will be closely monitored, with implications for the district's financial health and staffing levels in the upcoming year.