Superintendent Xavier De La Torre isn’t ruling out future layoffs at the Ysleta Independent School District if student enrollment continues declining – and is pinning hopes on stabilizing the district’s finances on a tax ratification election in November.
De La Torre said a potential reduction in force in spring 2027 would depend on how many students and employees the district loses after the current school year and whether voters approve a tax proposition that he said could generate more revenue while lowering most homeowners’ district property taxes.
“We will do everything we possibly can to prevent (layoffs) from happening. But unlike the two or three previous years, I am not going to guarantee that that isn’t a likely solution,” De La Torre told El Paso Matters about the possibility of a reduction in force in 2027.
YISD expects to see an enrollment decline of 1,500 students next year compared with this year, which could cause the district to lose up to $15 million in state funding. The district is already expecting to end the school year with a $22 million budget deficit and a $10 million deficit in the 2026-27 school year.
To boost revenue, De La Torre is going to ask the YISD school board to call for a voter-approval tax ratification election, or VATRE, that would shift property tax revenue from debt repayment to operations and generate up to $6 million a year. The district has until Aug. 17 to call for a tax ratification election to make it on the November ballot.
De La Torre said the VATRE could lower some homeowners’ property taxes if approved, but did not say by how much. Texas law requires the ballots to say that school tax ratifications represent a tax increase because districts would essentially collect more operating tax revenue even if it reduces or has no effect on a district’s tax rate.
The plan would swap some of the property tax rate from repaying long-term debt to funding daily operations. Often called a “penny swap,” the maneuver could result in more state funding for school district operations.
The Socorro Independent School District last year held a VATRE election, which was narrowly rejected by voters. That was even though school property taxes were expected to decrease due to the state’s increased homestead exemptions approved by voters statewide. Since that attempt failed, SISD leaders have said they plan to call for another VATRE election this November.
The El Paso Independent School District hasn’t publicly discussed a VATRE, but is planning to call for a bond election in November to renovate its facilities and upgrade its air-conditioning systems.
Separation incentives, layoffs
De La Torre said the district is still far from considering layoffs, and does not know how many or what kind of teachers could be impacted.
“There are a number of things that would have to go wrong to even get there. And I know my team, I know my board, if you give us a year, we’ll figure it out. But I’m not going to sit here and say that the potential for a reduction in force is not on our radar,” De La Torre said.
Earlier this year, YISD offered a $7,500 separation incentive to the first 100 teachers to notify the district of their plan to retire or resign at the end of the school year. So far, 160 of the district’s 2,250 teachers have agreed to retire or resign over the summer. The district plans to hire 70 to fill the needed vacant positions.
De La Torre said YISD expects to save $80,000 to $85,000 a year per teacher who leaves the district.
The 2027 Texas Legislature could also help YISD prevent layoffs if lawmakers increase funding for public schools, De La Torre said.
In 2025, the state raised the funding schools receive for each child enrolled in the district, known as the student allotment, by $55 from $6,160 to $6,215 per student. It was the first time the state’s student allotment was increased since 2019.
YISD had $43 million in reserves at the end of the 2024-25 school year. If the district does not cut expenses, it could be left with just $11 million in reserves by the end of the 2026-27 school year.
‘It’s going to hurt’
Ysleta Teachers Association President Jeff Cynor said he was surprised that layoffs could be on the table after the district offered a $7,500 separation incentive.
He blamed the state for not providing schools with enough funding during the last legislative session and for failing to hold districts harmless after voters elected to approve school tax breaks for homeowners, causing YISD to lose $10 million in anticipated funding.
“Whenever you take money away from a school district, it’s not like they can just stop operating,” Cynor said. “They have to pay for building expenses. They have to pay for the utilities that pay for upkeep. So, when the Legislature is continually taking money away from public education, it’s going to hurt.”
While district officials said they are making budget cuts that won’t affect the student experience, which encompasses everything from supplies to support services, Cynor said the financial constraints are already being felt.
YISD is now requiring principals to ask for additional approval from the district’s finance department for any campus-level purchases, including supplies and transportation.
And fine arts teachers in some schools have been asked to pay for student busing out of their club accounts, according to an email obtained by El Paso Matters. Club accounts are supported by fundraising and are often used to pay for uniforms, equipment, busing and other expenses.
Cynor said he worries this could put the cost of attending extracurricular activities back on students and their parents, which not all will be able to afford.
“If our students don’t have the opportunity to go out in the real world, even just kind of let their hair down a little bit, have some fun because of how hard they’ve worked all year long, naturally, the student experience is going to suffer. And if the student experience suffers, then you better believe that student scores are going to suffer.”
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