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Thursday, November 5, 2026Big-city news, all in one place.
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News · Austin

Hays County Schools Face Financial and Academic Hurdles

Two Texas districts report mixed results, with one receiving a C financial rating and the other outlining plans to reverse steep academic declines.

By Isabella Melnyk ·

Illustration for: Hays County Schools Face Financial and Academic Hurdles
Illustration generated for this article, not a news photograph.

Hays CISD and San Marcos CISD released financial and academic reports on Oct. 30, revealing distinct challenges for the two districts. Hays CISD received a 'C' grade in the state’s financial accountability review, while San Marcos CISD presented specific strategies to improve graduation rates and school ratings that fell sharply last year.

Hays CISD earned 78 of 100 points on the Financial Integrity Rating System of Texas, or FIRST. The Texas Education Agency uses this system to assess the financial health of all public school districts in the state. Officials noted that scores often dip for high-growth districts like HCISD, which they anticipated would happen this year.

The 2026 report identified five specific indicators where HCISD fell short. These included metrics on fund balance changes, the ability to pay short-term debt, and the ratio of revenue to expenditures. Chief Financial Officer Deborah Ottmers said the district expects scores to improve in coming years. She cited budget cuts in the FY 2026-27 budget as a factor that will decrease expenditures and increase the fund balance.

San Marcos CISD focused its update on two campuses with targeted improvement plans. Principal Eileen Grose stated that San Marcos High School’s graduation rate stood at 39.2% in 2022. That figure climbed to 83.8% in 2023. The school aims to reach a rate between 90.5% and 95% by spring 2027 through six specific action steps.

Mendez Elementary School faced a steeper drop in academic standing. The campus received a 63, or 'D' rating, in the 2026 A-F Accountability Scores. This represented a 26-point and two-letter-grade decline from its 2025 score of 89. The school is working to achieve at least a 'C' rating by 2027 while closing achievement gaps. It is also setting specific growth goals to improve STAAR testing scores.

The FIRST system evaluates 21 indicators to measure financial accountability. These metrics cover fund balance, debts, student attendance, and public communication. The Texas Education Agency calculates these scores to provide a standardized view of district fiscal management across the state.

Source: Community Impact Austin

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