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El Paso ISD Faces $52.8 Million Deficit, May Implement Layoffs

KVIA•Wednesday, May 20, 2026 at 12:50 AM•El Paso Matters

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AI Summary

The El Paso Independent School District (EPISD) is facing a significant financial crisis, with a projected budget deficit of $52.8 million for the 2025-26 school year. This alarming figure, revealed during a recent school board meeting, has prompted consultants to recommend declaring financial exigency, which could lead to large-scale layoffs. The district's budget was initially set at $547 million, anticipating a $6 million deficit, but systemic financial tracking issues have exacerbated the situation. Without immediate corrective actions, EPISD could deplete its savings, reducing its fund balance from $101 million to just $6 million by the 2026-27 school year, jeopardizing its operational sustainability. The district is urged to develop a stabilization plan within the next 90 days to address these financial challenges.

Key Details: • Projected $52.8 million deficit for the 2025-26 school year. • Financial exigency declaration recommended to address budget issues. • Immediate stabilization plan needed within 90 days. • Current fund balance could drop to $6 million by 2026-27, risking accreditation.

budget education episd layoffs financial-crisis

People & Organizations

El PasoBrian LuskEl Paso Independent School DistrictMartha AguirreDavid BatesMoakCasey

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