United ISD presents balanced $466.5 million budget as public speakers warn of a $30 million shortfall and payroll timing problems

United Independent School District finance staff presented a proposed $466.5 million balanced operating budget to trustees at an August 2025 workshop, while public commenters and several trustees warned the district faces a projected shortfall for the 2024–25 year and pressed officials on payroll timing, campus priorities and capital planning.

The budget presentation was led by Lila Benavides, United ISD budget staff, and Sam Flores, district finance. Benavides said the district is presenting "a budget, a balanced budget" for adoption and described raises, program expansions and conservative enrollment assumptions. "We are bringing a budget, a balanced budget for adoption since August 2021," Benavides said.

Why it matters: public commenters said the district’s fund balance and cash-flow timing could impose hardship on employees and create fiscal stress if enrollment or collections fall. Leticia (Letty) Juarez, a public commenter who identified herself as a former chief accountant, told trustees the district’s projected fund balance “ending August 31 is 66,600,000” and said that means the district is "projected to incur a deficit of more than 30,000,000 for the 2425 school budget." Juarez urged earlier, more aggressive cost-control measures.

Payroll timing and employee impact: David Pettis, local president of the United Classroom Teacher Association, told the board the district’s monthly payroll dates often fall after the 15th of the month and that some employees have mortgages and bills due earlier. Pettis asked whether the district would consider changing pay schedules. Flores and Benavides explained that auxiliary hourly staff already are paid biweekly but many administrators and clerical staff are paid monthly; the district is considering semi-monthly pay (15th and month end) or surveying staff on a move to biweekly. Flores noted state funding timing complicates shifts in payday dates and said staff will ‘‘monitor it’’ and consider a survey of employees.

Compensation and enrollment assumptions: Benavides and Flores said the budget includes compensation increases funded in part by new state funding and prior federal ESSER and local one-time payments. Benavides said the budget reflects "an increase of over $50,000,000 for our United State employees in raises" and reiterated the district expects to conservatively project state revenue based on enrollment and average daily attendance (ADA). Finance staff told trustees they used a 93% attendance assumption for budgeting after several years of lower post-pandemic ADA and said improving attendance is a near-term priority because state funding is heavily attendance-driven.

Capital needs and financing: Trustees and staff discussed district capital work and how to pay for repairs and larger projects. Finance staff explained capital projects typically are funded through separate debt instruments such as maintenance tax notes or bonds rather than from the operating general fund. Staff said maintenance tax notes — a previously used tool — and other long-term financing can be used to match project life to debt life rather than charging heavy one-time costs to operating budgets.

Procurement and job-order contracts: Trustees asked about a planned job-order contract (JOC) procurement vehicle for districtwide maintenance projects. Staff described JOC as a prequalification process that speeds awarding many small-to-medium maintenance projects and said any single JOC project above the board’s threshold (projects at or above $500,000) will be brought to the board for approval. Trustees pressed staff on transparency for tabulations and disbursements; staff said statutory posting and disbursement reporting are followed and that many districts publicly post similar tabulations after board action.

Next steps and deadlines: Finance staff told trustees the formal public hearing and adoption of the budget and tax-rate resolutions are on the agenda for the board’s August 20 meeting and that the new budget must be in place by August 31 for the 2025–26 fiscal year to take effect. The workshop did not include a formal adoption vote; the district will present the final resolution and budget for board action at the scheduled meeting.

Context and campus priorities: Several trustees stressed prioritizing campus-level spending — counseling and mental-health supports, school facilities and safety — and requested a districtwide needs assessment and regular monthly budget reports. Trustees discussed vacancy management and the possibility of a targeted hiring freeze for nonessential central-office positions as a tool to control costs while protecting essential campus services.

What wasn’t decided: The board did not adopt the budget or tax rate at the workshop. Staff described options on payroll schedule changes and on procurement procedure but said policy or schedule changes would require follow-up actions, staff analysis and, where applicable, board authorization.

Clarifying details provided at the workshop: projected fund balance ending Aug. 31 — $66,600,000; total proposed operating budget — $466,500,000; projected debt-service payment in the budget — $33,600,000; taxable value certified by the appraisal district shown to the board — $29,300,000,000; attendance assumption used in the budget — 93% ADA. Staff said federal grant collections and a recent Medicaid charge led them to be conservative on federal revenue assumptions.

The board scheduled the final adoption vote and tax-rate resolution for the next regular meeting; staff said further materials and weekly enrollment reports will be provided to trustees in coming weeks.