Austin, October 9, 2025
News Summary
Austin Independent School District is in crisis mode with a $19.7 million budget gap, leading to proposals to close 13 schools. In a creative effort to alleviate financial strain, the district is launching a naming rights initiative for six facilities, aiming to raise funds for educational programs. The situation has drawn concern from parents and the community, particularly with the upcoming vote on the consolidation plan set for November 20. Superintendent Matias Segura emphasizes that closures may be necessary to manage the district’s ongoing fiscal challenges.
Austin Faces Budget Crisis in School District
Austin ISD is grappling with a significant $19.7 million budget gap, prompting district officials to propose the closure of 13 out of 116 schools. This plan aims to generate $25.6 million in savings as part of a broader strategy to address the ongoing fiscal challenges faced by the district.
In addition to the proposed closures, the Austin ISD, in collaboration with the Austin Ed Fund, is introducing a naming rights initiative for six sports or activity facilities. These facilities, which will be available for naming rights, include:
- Performing Arts Center
- House Park Field
- Nelson Field
- Burger Activity Center
- Delco Activity Center
- Noack Sports Complex
The proceeds from these naming rights will be directed toward funding educational programs and offsetting operational costs, as the district seeks creative solutions to manage budget shortfalls that have persisted for multiple consecutive years. The Austin Ed Fund is a nonprofit organization dedicated to raising funds for the district.
Amid these changes, district officials have been actively pursuing cost-cutting measures, which have included reducing salaries, ending contracts with third-party providers, lowering reserves, and cutting software spending. The district’s overall budget has now grown to $110 million as of January.
Superintendent Matias Segura has expressed that the proposed school closures may be essential to alleviate the district’s deficit. Furthermore, the district plans to sell $45 million in land this year as part of its budget adjustments.
Impact of Proposed Closures
The proposed school closures are largely attributed to a combination of budget deficits, declining enrollment, and a commitment to maintaining leadership that is elected by voters. Notably, three middle schools within the district have received four consecutive failing accountability grades, which can trigger state-mandated interventions under Texas law.
The Texas Education Agency (TEA) has indicated that intervention is required when a school receives five failing grades, potentially resulting in campus closures or changes to the district’s board. Although concerns have been raised about potential state interventions, particularly in light of a recent TEA takeover in Houston ISD, the TEA has confirmed that Austin ISD has not yet met conditions for a takeover or closure under state law.
Community Response
FAQ
What is the budget gap that Austin ISD is facing?
Austin ISD is facing a $19.7 million budget gap.
How many schools does Austin ISD propose to close?
The district has proposed closing 13 out of 116 schools.
What are the facilities available for naming rights?
The facilities available for naming rights include: Performing Arts Center, House Park Field, Nelson Field, Burger Activity Center, Delco Activity Center, and Noack Sports Complex.
How will the funds from naming rights be utilized?
Proceeds from the naming rights will be used to fund educational programs and offset operational costs.
When is the Austin ISD board scheduled to vote on the consolidation plan?
The Austin ISD board is scheduled to vote on the consolidation plan on November 20.
Key Features of the Austin ISD Budget Plan
| Feature | Details |
|---|---|
| Budget Gap | $19.7 million |
| Proposed School Closures | 13 out of 116 schools |
| Naming Rights Initiative | 6 facilities available for naming rights |
| Expected Savings | $25.6 million from closures |
| Land Sale | $45 million |
| Vote Date | November 20 |
Deeper Dive: News & Info About This Topic
HERE Resources
AISD Proposes Major School Closures to Address Budget Deficit
Austin Proposes Closure of 13 Schools Amid Declining Enrollment
Austin Schools Propose Closure of 13 Campuses Amid Budget Cuts
Austin School District Proposes Closure of 13 Schools
Austin ISD Proposes Closure of 13 Schools Amid Budget Concerns
AISD Proposes Closure of 13 Schools Amid Budget Deficit
University of Texas at Austin Selected for Federal Funding Compact
Austin School District Proposes Closure of 13 Campuses
Austin School District Proposes Closure of 13 Schools
Austin ISD Announces School Consolidation Plan
Additional Resources
- Austin American-Statesman: Austin ISD Selling Naming Rights for 6 Facilities
- CBS Austin: Threat of a TEA Takeover Looms as Austin ISD Board Hears Consolidation Plan
- Fox 7 Austin: Becker Elementary Parents Voice Concerns Over Austin ISD Closures
- KXAN: Austin ISD Approves Budget, Still Faces Deficit
- Wikipedia: Austin Independent School District
Author: STAFF HERE AUSTIN WRITER
The AUSTIN STAFF WRITER represents the experienced team at HEREAustinTX.com, your go-to source for actionable local news and information in Austin, Travis County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as SXSW, Austin City Limits Music Festival, Formula 1 United States Grand Prix, and the Austin Film Festival. Our coverage extends to key organizations like the Greater Austin Chamber of Commerce and Visit Austin, plus leading businesses in technology, automotive, and retail that power the local economy such as Dell Technologies, Tesla, and Apple. As part of the broader HERE network, including HERECollegeStation.com, HEREDallas.com, HEREHouston.com, and HERESanAntonio.com, we provide comprehensive, credible insights into Texas's dynamic landscape.
