Laredo ISD board votes to deny outsourcing property tax collections to Webb County

The Laredo ISD Board of Trustees voted Nov. 13 to deny a staff recommendation to outsource the district’s property tax collection to Webb County.

Interim finance staff said outsourcing could yield an estimated $375,000 in annual savings but acknowledged the change would affect seven district positions with roughly $377,000 in combined salaries and benefits. "The estimated cost savings will be approximately $375,000 a year," the presenter said. Several trustees pressed on the details and consequences for employees.

Trustee Monica Rangel Garcia moved to deny outsourcing, arguing the change would amount to layoffs rather than attrition. "So it's basically y'all that would lose your job," Trustee Garcia told staff, asking board members to consider the human impact of the proposal. Trustee Veronica Orduno and others said they felt blindsided by the timing and said prior discussions emphasized attrition rather than job cuts.

Supporters of exploring savings acknowledged the district’s budget pressures and a staffing study showing the district is overstaffed in some areas. Trustee comments acknowledged the administration’s directive to identify cost-saving measures but called for more information and a slower, committee‑level review.

After extended discussion on employee transfer opportunities and community relationships with the tax office, the board voted to deny the outsourcing proposal. The motion was seconded and approved by the board. For the record, staff said affected employees would be eligible to apply for open positions but cautioned there was no guarantee of continued employment under the proposed outsourcing model.

Next steps: the board directed further analysis and suggested presentation of alternatives in a finance workshop rather than immediate outsourcing.