Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Budget 2026 27 topic
No spam. Unsubscribe anytime.
SPRING ISD projects $8.7M deficit, cites health‑plan losses and plans budget committees
Summary
Interim CFO Bridal Johnson told the board the district projects FY26 revenues of $363 million and expenses of $372 million, yielding an $8.7 million deficit; the administration plans three budget scenarios, weekly committees and a return to TRS ActiveCare that includes a one-time $9 million reinstatement fee.
Interim Chief Financial Officer Bridal Johnson presented an overview of the 2026–27 budget process March 24, telling the board the district faces a projected operating deficit and that health-care costs and declining enrollment are major drivers.
Johnson said the district's amended budget projects $363,000,000 in revenues and $372,000,000 in expenses for a projected deficit of $8,700,000 for the year. She showed a five‑year trend of declining fund balance and identified the district's self‑funded health-care plan as a significant contributor to the shortfall: "a significant attributing factor is the self funded health care plan, which has negatively impacted our fund balance by more than $38,000,000 since its implementation in the fiscal year 22, 23," she said, and added that current claims suggest an additional $8 million to $11 million impact in the current year.
To address the ongoing drain, Johnson said the district plans to reenter TRS ActiveCare; that transition requires a one‑time reinstatement fee of $9,000,000, she said, and savings from the change would appear over future years as the plan runs through August 2031.
Trustees discussed enrollment declines, noting the district has lost students since the pandemic. A trustee said the district lost about 1,700 students compared to projections, estimating that equates to roughly $10 million in revenue. Johnson and trustees also flagged one‑time revenues used in the current year: $20,000,000 in disaster‑related funds that will not recur in FY26–27.
The administration proposed three budget scenarios (conservative, moderate, aggressive) and formed three focused committees—academics, operations and systems—led by district chiefs with staff, parents and board members; committees will meet weekly through May. Trustees requested monthly cost breakdowns, projections showing alternatives if the district had not rejoined TRS, and more detail on which programs would be affected under each scenario.
Trustees also raised related concerns including transportation staffing and pay, the competitiveness of bus-driver wages compared with neighboring districts, and marketing strategies to counter charter growth. Johnson said more detailed updates will be provided in board packets and at upcoming special meetings; trustees voted to recess into closed session for personnel and related deliberations.
