Liberty Hill ISD board approves first round of budget and staffing reductions amid projected shortfall

The Liberty Hill Independent School District board on Wednesday approved Phase 1 of proposed budget and staffing reductions as district leaders warn of a continuing shortfall and uncertainty in state funding.

The board approved about $6.3 million in suggested budget and staffing reductions but added roughly $2.6 million in new positions and services needed to cover projected student growth, leaving a net gap of about $3.7 million and short of the original $5.5 million target set by district staff. Trustees approved the package after presentations from district finance and operations staff.

Why it matters: Liberty Hill ISD officials say the district faces reduced local tax revenue stemming from state-mandated tax-rate compression and possible increases to homestead exemptions, alongside the end of some temporary federal funding. Staff told the board the district must both reduce recurring operating costs and plan for about 1,000 additional students expected for 2025–26. Without a change in revenues, officials said further reductions or revenue actions will be required.

Details of the reductions and adds

- Department and campus budgets: Staff proposed roughly $1.3 million in cuts to campus and central-department operating budgets. Finance…