Canutillo ISD board adopts $65.5 million balanced budget; authorizes benefits negotiations and November trustee election

Canutillo Independent School District trustees approved a balanced 2026–27 general fund budget of $65.5 million on a vote of the board, after a public hearing and extended Q&A on revenue forecasting, enrollment and operational allocations.

“I am proposing a balanced budget for this upcoming school year under the general fund. We are proposing a $65.5 million budget with equal expenditures,” the district's budget presenter said during the hearing. The budget assumes a beginning fund balance of about $10 million, a $750,000 allocation for a one-to-one student device refresh and an estimated year-end balance of about $9.2 million, which the presenter said would put the district around 52 days of reserves.

Why it matters: district finance staff and the superintendent told trustees that state funding remains volatile, with a recent state recalculation reducing a previously reported surplus by roughly $1.5 million. The budget ties major revenue assumptions to enrollment and property tax values; presenters warned that certified property values and final state funding figures will not be available until later in the summer.

Board discussion and public comment: trustees pressed staff on function-level changes, including a roughly $1.1 million reinvestment in special education staffing and an increase in instructional leadership costs that staff said largely reflects re-coding and new leadership duties. Trustees and staff discussed transportation funding and bus-route reimbursement rules under the Texas Education Agency; Dr. Rico said TEA reimburses eligible routes based on distance and safety and noted recurring savings tied to electric buses reduced diesel and fuel exposure.

Public comment during the hearing included a request for transportation funding to serve families affected by a campus relocation. “We want to see at least some money allocated to transportation,” a precinct chair identified as Ivy told the board, citing concerns about access to buses after school relocations.

Employee benefits procurement: separately, the board authorized staff to negotiate with the top-ranked proposer from RFP 2026-046 (the evaluation committee's recommended vendor) for the district's self-funded medical and pharmacy plan, stop-loss insurance, near-site clinic, HSA and COBRA administration. The district's consultant presented an apples-to-apples comparison of projected medical and pharmacy claims and fixed costs; the committee's scores favored Aetna over Blue Cross Blue Shield and Cigna in the current procurement round.

“After all of those were tabulated, we also held vendor interviews,” the district's benefits consultant told trustees, explaining the evaluation process and recommended award. Trustees raised concerns about employee experience under prior carrier changes and asked staff to include campus representatives in upcoming negotiations; one trustee voted against the motion, citing the absence of campus-level input on the evaluation committee.

Votes at a glance: - 2026–2027 annual budget (approved): motion moved by Mr. Borrego, second by Ms. Barnes; recorded votes: Ms. Barnes — Yes; Ms. Maldonado — Yes; Mr. Martinez — Yes; Ms. Ortega — Yes; Mr. Rodriguez — Yes; Mrs. Zuniga — Yes. Motion passes. (Absence: Ms. Borrego — called ahead.) - Order calling board of trustees election (Nov. 3, 2026) (approved): motion carried; trustees also accepted a correction that President Martinez's ballot position will be listed as a two-year term. Motion passes. - RFP 2026-046 (authorize negotiations with recommended vendor) (approved): motion made and seconded; trustee Maldonado voted No, citing lack of campus representation on the evaluation committee; motion carries.

Other business and consent items: trustees approved the consent agenda (with a few items pulled for separate consideration), including budget amendments that transfer limited child-nutrition maintenance funds to food-service wages and the final acceptance and final payment ($51,651.59) to Bains General Contractors for the Reyes Elementary project. District staff reported project closeout documentation, warranties and roughly $79,000–$82,000 in net savings that will roll into program contingency for board-approved future use.

Personnel and property actions: in open session after a closed executive session, the board approved administration's principal appointments for Alderete Middle School (recommended: Dr. Erica Paskins, "Dr. Paz") and Davenport Elementary (Veronica Cervantes). The board also authorized the superintendent to execute a letter of intent to convey district-owned property at 7311 Bosque Road to El Paso County under terms discussed in executive session.

What happens next: the budget adoption authorizes staff to proceed with fiscal-year operations under the approved function-level allocations; the benefits selection moves to contract negotiations, with the district proposing to reconvene campus-level input as part of that negotiation and to present negotiated contract terms to trustees before final approval. The county will supply early-voting locations for the November ballot and the district will update the election order when those details are available.