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Austin ISD weighs $117M-plus in cuts as budget shortfall climbs to $181M

Austin ISD is anticipating making more than $100 million in budget cuts to staffing, academic programs and other operational expenses across campuses and departments.

The sweeping cuts come as the district aims to reduce a mounting budget shortfall that has grown to $181 million for fiscal year 2026-27.

What they're saying: "We're at a point now ... where we're no longer able to protect those cuts from impacting our classrooms," Superintendent Matias Segura told reporters after an April 7 budget work session.

What’s happening: To reduce expenses, district officials discussed four scenarios that could involve making anywhere from $117 million-$132 million in budget cuts. Additionally, the district may save $9 million-$10 million by removing vacant positions and receive $50 million from monetizing three district properties, Chief Financial Officer Katrina Montgomery said.

The proposed strategies could lower the projected budget shortfall from $181 million to $4 million or produce a $9 million-$11 million surplus. 

The cuts could include letting go of current staff members and eliminating stipends, Segura said.

 
Latest News
Foundation Communities' Norman Commons brings 156 units of affordable housing to East Austin

Nonprofit Foundation Communities celebrated the opening of its Norman Commons complex, a new affordable housing community that received millions of dollars in city support including funds from Austin's 2022 housing bond.

The details: The new four-story complex at 5712 Jackie Robinson St. features 156 rental units with a mix of one-to-four-bedroom floor plans. All apartments are affordable based on the local median family income, or MFI. Housing at Norman Commons is open to individuals and households earning up to 30%-60% MFI. Sixteen units are also set aside for tenants exiting homelessness through partnerships with The SAFE Alliance and The Salvation Army, and more than 20 were designed for residents with, vision or hearing disabilities.

The development provides free Wi-Fi to tenants and features amenities including a courtyard, basketball court, playground and picnic area. Free services are also offered, including tenant case management, food pantry access and a learning center for children's after-school and summer programming.

 
now open
Stoney's Good Time Ranch now serving drinks in East Austin

Patio bar Stoney's Good Time Ranch is now serving up drinks in East Austin.

The details: The bar features pool tables and two food trucks, including Flyrite Chicken. The drinks menu features cocktails, beers and frozen drinks.

Also of note: Stoney's replaces what was Sunny's Backyard, which closed in 2024, according to previous Community Impact reporting.

Stoney's is named after a horse, Stoney.

  • 3526 E. Seventh St., Austin

 

Your Weekend To-Do List

Check out these weekend events across the metro area.

Kyle Market Days: Spring Celebration

ABC Kite Fest

April 11, 8 a.m.-1 p.m.
Kyle

April 11, 10 a.m.-5 p.m.
Austin

More info

More info

 

Cedar Fest

Books and Bees Festival

April 11, 11 a.m.-5 p.m.
Cedar Park

April 11, 1-5 p.m.
Bee Cave

More info

More info

 
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