From The Texas Tribune · Austin Current · · 1m 30s
Texas reviews Austin ISD and three other school districts
Texas state comptroller launches financial review of Austin ISD and three other school districts amid scrutiny over spending.
In brief
Texas state comptroller launches financial review of Austin ISD and three other school districts amid scrutiny over spending. Texas will review Austin ISD and three other districts' spending to ensure public funds are used for education rather than administrative costs. Originally reported by The Texas Tribune.
State financial review announced
Texas Comptroller Don Huffines announced Monday that Austin, Barbers Hill, El Paso, and Prosper school districts will undergo detailed financial reviews.
Gov. Abbott requests review
Gov. Greg Abbott requested the comptroller investigate school district spending to determine if public funds were used for their lawful intended purposes ahead of legislative session.
Austin ISD enrollment decline
Austin ISD reported a 14% enrollment decline from 2015 to 2025 and a 75% increase in administrative spending per student.
Districts selected for review
Barbers Hill ISD (8,000 students), Prosper ISD (33,500 students), and El Paso ISD (46,000 students) were selected alongside Austin ISD (66,000 students).
Comptroller's review focus
The review will examine whether district spending complies with state law and is directed toward students, classrooms, and teachers rather than administrative expansion.
Austin ISD response
Austin ISD acknowledged administrative staffing did not keep pace with student loss and restructured its central office in June 2025 to reduce costs.
Financial rating impact
Austin ISD’s 2026 financial rating fell to a B for the first time after 21 consecutive years of superior achievement due to staffing changes.
The big picture
Texas will review Austin ISD and three other districts' spending to ensure public funds are used for education rather than administrative costs.
