Houston ISD families say trust in district further eroded after news of $870 million in unauthorized spending broke

HOUSTON, Texas (KTRK) — HISD families say the district’s unauthorized spending is a revelation that further erodes their trust.

“Mr. Miles says it was a mistake in good faith to spend $870 million, money that was not authorized by the board of directors. No, do you really believe that?” This was announced by Michelle Williams, president of the Houston Education Association, at a school board meeting on Thursday.

HISD admits they spent $870 million that should have been approved by the board of managers.

“I believe it was an honest mistake; however, it was a mistake and needs to be corrected,” said HISD Superintendent Mike Miles.

HISD said it discovered the issue in preparation for the December 2024 board meeting.

Eyewitness News reported that the procurement review team erred in believing that purchases related to cooperative agreements, which are purchases of $1 million or more, did not require board approval.

The “mistake” lasted 16 months.

“There are many steps in the procurement process, especially cooperative procurement, and they were done right, except for the fact that they didn’t get board approval,” Miles said.

The unauthorized spending is in direct violation of HISD policy, but no one is currently facing any consequences.

A district auditor working as a third-party agency is reviewing the process, and at Thursday’s school board meeting, the board retroactively approved the spending.

“There was no malicious intent. We have identified some immediate changes in practice to ensure that this type of mistake does not happen again,” said Miles.

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