02/10/2026
The Keller ISD Board and administration are currently in the process of selling excess district land. This presents a rare opportunity to chart a bold, forward-thinking course—one that reduces our reliance on unpredictable state funding and builds true financial independence for our public schools.
I know two Texas school districts that have used proceeds from excess land sales not for short-term spending, but to establish endowments or high-yield investment accounts. These districts are channeling the funds into professionally managed investments to generate sustainable, ongoing revenue—supporting better facilities, higher teacher pay, upgraded equipment, and more—all without depending solely on state allocations or annual budgets.
This is the smart, long-term strategy that forward-thinking districts across Texas will increasingly adopt. Those that invest wisely will pull ahead over the next 10–20 years, leaving others struggling with flat or declining state support.
Consider the potential for Keller ISD:
*The district has more than $25 million in surplus land available for sale.
*Invest the full $25 million for 25 years at a conservative 7% average annual return (with no additional contributions).
*Using a reliable online endowment calculator (e.g., https://philanthropy.org/resources-endowment-calculator/), this generates over $1 million in annual revenue—every year—while preserving and growing the principal.
*After 25 years, the investment grows to approximately $41 million (compounded).
One district has gone further by forming a dedicated committee to build the investment account annually through local donations, corporate partnerships, and community support. Their efforts have effectively doubled the initial principal over time through consistent additions. If Keller ISD adopted a similar approach—adding just $1 million annually in donations and other contributions—the results would become transformative:
*Average annual revenue: ~$1.8 million per year over 25 years.
*Total revenue distributed: ~$47 million over 25 years.
*Ending principal after 25 years: ~$73 million.
*The best part is this money is Free From Recapture!
Will this make the district "rich" overnight? No. But it will start building a secure, self-sustaining financial foundation for future generations—providing stability amid state funding uncertainties, recapture pressures, and enrollment shifts.
While on the board a couple of us worked to bring this to fruition but now I've heard suggestions to dump the proceeds from the land sales into the general fund balance. That would be a serious mistake. Past boards and administrations have shown how quickly large sums can be spent—$25 million+ could vanish in a single year from fund balance with little lasting impact. What a waste of a one-time asset that could instead create perpetual benefits.
I urge board members and district leadership to think generationally. The wisest path is to commit the bulk of these land sale proceeds to a professionally managed, high-yield investment account or endowment. A small portion could bolster the fund balance if needed, but the priority should be long-term growth and independence.
Let's turn this land sale into a legacy for Keller ISD students, teachers, and community—not a short-term fix that disappears.
All the best and God Bless!