Boerne ISD accepts ACFR, keeps superior TEA rating and approves $48M refunding plan

Boerne Independent School District trustees approved the district’s Annual Comprehensive Financial Report (ACFR) for the fiscal year ended June 30, 2025, and authorized officials to pursue refunding of callable bonds after a detailed financial presentation.

Mr. Scott, the district’s finance official, presented the TEA first report and the ACFR. The district earned a superior (A) grade on the TEA first report, scoring 96 out of 100 possible points across 21 financial indicators. Scott noted two indicators where the district did not receive full points (cash on hand and administrative cost ratio) and explained those results were affected by timing shifts in state aid following 2023 legislative changes.

On the ACFR, the administration highlighted four main stories: substantial capital asset placements in 2025 tied to the 2022 bond authorization (more than $100 million of assets placed in service), a budget adopted conservatively that finished with a $1.1 million surplus, scheduled principal payments and defeasements in debt service, and the effect of a new accounting standard recognizing compensated absences (a prior‑period adjustment of nearly $9 million).

Trustees also approved an order delegating authority to pursue refunding for available callable debt. Administration said about $780 million in district callable debt exists and the district intends to target roughly $48 million of that callable amount for restructuring; the presentation estimated interest savings in the multi‑million dollar range (administration cited roughly $15 million tied to the 2016 series restructuring depending on market pricing). The board approved the resolution to delegate execution to staff pending final market pricing.

Board action: The board voted to approve the ACFR as presented and adopted the refunding order. Trustees praised the finance team and auditors for transparency and fiscal stewardship and said the actions aim to preserve long‑term fiscal stability for the district.

What happens next: district staff will finalize refunding transaction pricing and execute documents within the parameters authorized by the board, and the finance department will publish the ACFR on the district website as required by law.