10. A. Consideration and possible action regarding the 2024-2025 Annual Financial Audit as conducted by Hankins, Eastup, Deaton, Tonn, Seay & Scarborough

Prosper ISD Trustees received the results of the annual comprehensive audit of district finances for the 2024-25 fiscal year.

The audit, known as the annual comprehensive financial report (ACFR), shows Prosper ISD received an unmodified or "clean" opinion, meaning all "financial statements are correct in all material aspects." Auditors found no material weakness, no significant deficiencies, nor any audit findings. A clean audit with no findings demonstrates our continued commitment to financial stewardship and transparency as we manage the challenges of rapid growth.

State law requires that all school districts be audited annually. The audit evaluates the district's internal controls over critical areas as well as compliance with laws and regulations. Some of these areas include human resources, payroll, procurement, accounts payable, and information technology. Prosper ISD receives more than $750,000 in federal funds, which requires additional audit procedures.

General Fund Performance:

• Total revenue of $362.6 million, representing a $45.2 million increase from the prior year.
• Total expenses of $350.9 million, an increase of $53.1 million from the prior year.
• Positive budget variance of $11.6 million, with no negative functional variances and no instances of exceeding the amended budget.
• Additional revenue of $169,791 from the sale of property.
  
  

Fund Balance Strength:

• Net increase in fund balance of $15.2 million for the fiscal year.
• Total general fund balance of $183.4 million as of August 31, 2025, representing 88 days of operating expenses—well above the 75-day minimum required for the state's FIRST rating system.
• Of the total fund balance, $66 million is committed to employee retention and recruitment initiatives, $3.3 million represents prepaid items, $29.4 million is assigned for the adopted deficit, and $84.6 million remains unassigned, providing critical flexibility for financial stability.
  
  

Debt Service:

• Debt service fund revenue of $125.2 million, with expenses of $173.1 million.
• Net increase in debt service fund balance of $5.2 million.
• Total debt service fund balance of $27.1 million, all reserved for debt payments, associated fees, refundings, and remarketings.

Audit accepted with 5-0 vote

10. B. Consideration and possible action regarding the GMP for Reynolds Phase 4

Reynolds Middle School originally served as Prosper High School from 2000-2009, when the new high school was built, and transitioned to a middle school in 2010. Today, Reynolds Middle School serves almost 1,800 students and has undergone extensive renovations designed to enhance learning spaces and upgrade facilities throughout the campus.

Phase 1: Classroom Expansion

• Added six new classrooms to accommodate growing enrollment
  
  

Phase 2: Fine Arts and Athletics Enhancement

• Constructed a new band hall and auxiliary gym/storm shelter
• Renovated existing locker rooms
• Remodeled spaces to create dedicated classrooms for choir, orchestra, dance, and theater arts
  
  

Phase 3: Classroom Renovations

• Updated existing classrooms with new paint, tile, carpet, roofing, and HVAC systems to improve the learning environment
  
  

Phase 4: Campus-Wide Improvements (in progress)

• Renovating the administration area, library, kitchen and cafeteria, and remaining classrooms
• Installing updated paint, tile, carpet, roofing, and HVAC systems
• Addressing drainage work around the stadium
• Replacing the private drive between the transportation facility and Reynolds
• Resolving unexpected plumbing issues in the main building
  
  

These comprehensive improvements ensure Reynolds Middle School continues to provide a modern, comfortable, and functional environment for students and staff.

Renovation approved by 4-1 vote

12. B. Consider and take possible action regarding the superintendent contract

Dr. Holly Ferguson's journey with Prosper ISD spans nearly 27 years, beginning in 1998 when she stepped into an elementary classroom as a teacher. Over more than two decades, she has dedicated her career to serving this community, growing alongside the district through roles as campus principal, executive director of curriculum and instruction, assistant superintendent, and associate superintendent before being appointed superintendent in July 2020. Under her leadership, Prosper ISD has flourished—expanding from approximately 19,000 to over 33,000 students while earning recognition as the H-E-B Excellence in Education Award winner for large school districts and a 2024 Top Workplace Industry Winner in Dallas-Fort Worth. In November 2023, through collaborative work with her team and strong community partnerships, voters approved a historic $2.7 billion bond—the second-largest in the history of the State of Texas—a testament to the community's trust in her vision and the district's commitment to preparing for continued growth while preserving what makes Prosper ISD exceptional.

Contract approved by 4-1 vote

12. A. Consideration and possible action regarding hiring contract personnel.

Motion Passed 5-0 vote

From left to right: Josh Smith (Speech and Debate Coach, Richland HS), Alwin Senthilkumar (Richland HS), Superintendent Dr. Holly Ferguson, Principal Dr. Lute Croy (Richland HS).

From left to right: Hannah Rodriguez (Speech and Debate Coach, Prosper HS), Tanish Chauhan (Prosper HS), Superintendent Dr. Holly Ferguson, Principal Paige Trujillo (Prosper HS).

From left to right: McKenzie Shoemaker (5th grade teacher), Becky Rentzel (2nd grade teacher), Assistant Principal Jennifer Uhl, Principal Trent Turner and Superintendent Dr. Holly Ferguson.

From left to right: Chief Technology Officer Fernando De Velasco, Director of Technology Information Services Chris Cannon, Superintendent Dr. Holly Ferguson.

Prosper ISD is pleased to welcome Erin Vranesh as the new principal of Bryant Elementary School for the 2026-2027 school year. Vranesh brings 21 years of experience in education, including 12 years as a classroom teacher, 4 years as an assistant principal, and 5 years as an elementary principal in both California and Arizona.

8. B. The administration will provide a report on Bond 2023 construction projects

8. C. The administration will present a quarterly financial report

A consent agenda shall include items of a routine and/or recurring nature grouped together under one action item. For each item listed as part of a consent agenda, the Board shall be furnished with background material.

The Board approved the Consent Agenda as presented:

There were no speakers for public comment.

• February 13 - Professional Learning/Student Holiday/Last Day to File for a Place on the General Election Ballot
• February 16 - Bad Weather Make-Up Day
• February 17 - Regular School Board Meeting at 7:00 pm (Tuesday)

• Videos of Board meetings are posted within 7 days of the Board meeting.
• Board Meetings are also streamed live.
• Video Archive

Public Comment Form

The Prosper ISD Board of Trustees welcomes public comment at Board meetings. In order to provide an efficient process at the Board meetings, we ask that individuals complete the Public Comment Form and submit it no later than noon on the Friday before the meeting. The Notice of Meeting/Agenda is posted three business days in advance of the Board meeting.

From left, Secretary Tommy Van Wolfe, Kelly Cavender, David Webb, Vice President Dena Dixon, Garrett Linker, President Bill Beavers, and Jorden Dial.

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