Quarterly Report 1Q18

Hays Consolidated Independent School District Quarterly Report 1Q18 Learn from Yesterday Understand Today Plan for Tomorrow

Economic Conditions Austin Area (April 2018) 3.8% 42,506 new jobs National rate 1.4% Unemployment Rate 16,435 1,094 more starts than 1Q18 Job Growth U.S. 3.7% Texas 3.8% Austin MSA 2.8% Hays County 2.7% -0.2% Annual Home Starts Sources: Texas Workforce Commission & Metrostudy 2

120,000 Texas Enrollment Trends Annual Enrollment Change 2017/18 State Enrollment Total Enrollment 5,399,682 Total Growth 40,555 100,000 78,644 80,000 60,000 78,078 98,273 85,773 77,261 64,962 76,085 80,140 67,522 59,540 40,000 40,555 20,000 0 2007/08 2009/10 2011/12 2013/14 2015/16 2017/18 3

Region 13 & 20 Enrollment Trends 4

Region 13 & 20 Enrollment Trends Region 13 Region 20 Rank DISTRICT 2012/13 Enrollment 2017/18 Enrollment 5-YEAR CHANGE (12/13-17/18) 5-YEAR PCT Growth 1 Leander ISD 34,384 39,028 4,644 13.5% 2 Round Rock ISD 45,753 49,086 3,333 7.3% 3 Hays Cons ISD 16,568 19,862 3,294 19.9% 4 Lake Travis ISD 7,809 10,410 2,601 33.3% 5 Pflugerville ISD 23,348 25,306 1,958 8.4% 6 Dripping Springs ISD 4,781 6,450 1,669 34.9% 7 Bastrop ISD 9,298 10,899 1,601 17.2% 8 Hutto ISD 5,757 7,240 1,483 25.8% 9 Georgetown ISD 10,362 11,537 1,175 11.3% 10 Liberty Hill ISD 2,853 4,023 1,170 41.0% 11 Manor ISD 8,088 9,109 1,021 12.6% 12 Lockhart ISD 4,968 5,925 957 19.3% 13 New Braunfels ISD 8,101 8,950 849 10.5% 14 San Marcos Cons ISD 7,533 8,182 649 8.6% 15 Jarrell ISD 1,081 1,705 624 57.7% 16 Wimberley ISD 2,050 2,445 395 19.3% 17 Navarro ISD 1,622 1,911 289 17.8% 18 Fredericksburg ISD 2,988 3,204 216 7.2% 19 Eanes ISD 7,868 8,061 193 2.5% 20 Marble Falls ISD 4,044 4,232 188 4.6% Rank DISTRICT 2012/13 Enrollment 2017/18 Enrollment 5-YEAR CHANGE (12/13-17/18) 5-YEAR PCT Growth 1 Northside ISD (Bexar) 100,173 106,700 6,527 6.5% 2 Comal ISD 18,681 23,105 4,424 23.7% 3 Schertz-Cibolo-Universal City ISD 13,592 15,653 2,061 15.2% 4 Boerne ISD 7,094 8,687 1,593 22.5% 5 Medina Valley ISD 3,648 5,088 1,440 39.5% 6 Southwest ISD 13,025 13,873 848 6.5% 7 East Central ISD 9,606 10,215 609 6.3% 8 Southside ISD 5,136 5,654 518 10.1% 9 Judson ISD 22,603 23,118 515 2.3% 10 La Vernia ISD 3,069 3,375 306 10.0% 11 Somerset ISD 3,905 4,169 264 6.8% 12 Randolph Field ISD 1,194 1,450 256 21.4% 13 Floresville ISD 3,829 4,022 193 5.0% 14 Ingram ISD 955 1,107 152 15.9% 15 Marion ISD 1,322 1,474 152 11.5% 16 Jourdanton ISD 1,472 1,622 150 10.2% 17 Knippa ISD 323 455 132 40.9% 18 Pleasanton ISD 3,490 3,588 98 2.8% 19 Kerrville ISD 4,926 5,020 94 1.9% 20 Cotulla ISD 1,292 1,380 88 6.8% 5

Hays CISD Home Sales New and Existing Home Sales by Price Range, May 2017 April 2018 800 700 600 500 400 300 200 100 Home Sales by Price Range 0 < $149K $150K - $199K $200K - $250K $250K - $299K $300K - $349K $350K - $399K $400K - $499K $500K - $699K $700K - $999K New Home Sales Existing Home Sales In the last 12 months, Hays CISD had roughly 2,800 home sales The average sale price for a new home in Hays CISD in the last 12 months was $255,830 The average sale price for an existing home in HCISD in the last 12 months was $230,000 6

Austin New Home Ranking Report ISD Ranked by Annual Closings 1Q18 Rank District Name Annual Starts Annual Closings VDL Future 1 Leander ISD 2,424 2,481 3,606 14,269 2 Austin ISD 1,806 1,789 1,731 10,979 3 Pflugerville ISD 1,611 1,532 2,110 10,869 4 Round Rock ISD 1,484 1,429 1,658 3,056 5 Hays CISD 1,462 1,398 2,239 33,054* 6 Georgetown ISD 1,451 1,215 2,395 17,761 7 Manor ISD 1,210 987 1,226 16,142 8 Hutto ISD 928 911 1,049 5,006 9 Lake Travis ISD 808 888 1,758 5,343 10 Del Valle ISD 1,020 827 927 26,474 11 Liberty Hill ISD 676 704 1,924 11,589 12 Dripping Springs ISD 617 546 1,178 6,347 13 Jarrell ISD 306 332 278 7,034 14 San Marcos CISD 225 205 290 8,484 15 Bastrop ISD 142 131 1,387 19,087 16 Taylor ISD 60 62 76 674 17 Eanes ISD 31 45 124 154 18 Lago Vista ISD 43 43 533 3,861 19 Lockhart ISD 1 23 14 1,654 20 Wimberly ISD 1 13 39 0 *Based on additional research by Templeton Demographics staff 7

New Housing Activity 500 Starts Closings 450 Hays CISD 400 350 300 250 200 150 100 50 0 Starts 2012 2013 2014 2015 2016 2017 2018 Closings 2012 2013 2014 2015 2016 2017 2018 1Q 155 203 302 257 472 387 364 1Q 119 206 222 278 404 398 290 2Q 212 240 293 309 326 458 2Q 204 217 296 300 359 337 3Q 244 279 335 456 412 416 3Q 194 209 286 306 416 439 4Q 193 251 242 370 187 214 4Q 201 271 312 379 191 326 Total 804 973 1,172 1,392 1,397 1,475 364 Total 718 903 1,116 1,263 1,370 1,500 290 Hays CISD started 360 homes in 1Q18, a rise of more than 70% over the previous quarter The district had 290 new home closings in the first quarter New home inventory is at a healthy 6 month s supply 8

Annual Closing Distribution Top 10 Subdivisions - 1Q18 (Ranked by Annual Closings) Rank Subdivision Annual Closings Quarter Closings VDL Future 1 Shadow Creek 275 34 184 0 2 Sunfield 194 56 208 3,529 3 Blanco Vista 178 33 318 1,120 4 Meadows of Kyle 81 16 0 0 5 Creekside Village 69 18 182 0 6 Stonefield 56 7 92 60 7 Cypress Forest 54 9 59 173 8 Kensington Trails 51 6 0 0 9 White Oak Preserve 47 14 62 109 10 Bunton Creek Village 45 10 219 68 TOTALS 1,050 203 1,324 5,059 9

Vacant Developed Lots Top 10 Subdivisions - 1Q18 (Ranked by remaining VDL) Annual Rank Subdivision Closings VDL Future 1 Blanco Vista 178 318 1,120 2 Bunton Creek Village 45 219 68 3 Sunfield 194 208 3,529 4 Shadow Creek 275 184 0 5 Creekside Village 69 182 0 6 Crosswinds (Pfluger) 36 131 475 7 Avana (HCISD) 13 117 0 8 La Ventana 13 111 0 9 Plum Creek 35 103 3,464 10 Stonefield 56 92 60 TOTALS 914 1,665 8,716 10

Future Lots Top 10 Subdivisions - 1Q18 (Ranked by Future Inventory) Annual Rank Subdivision Closings VDL Future 1 La Salle 0 0 7,000 2 Blanco River Ranch 0 0 4,000 3 Sunfield 194 208 3,529 4 Plum Creek 35 103 3,464 5 Pecan Woods 0 0 3,155 6 Anthem 0 0 2,200 7 Kyle Estates 0 0 1,608 8 Blanco Vista 178 318 1,120 9 Bailey Tract 0 0 800 10 Crosswinds (Science Hall) 0 0 699 TOTALS 407 629 27,575 11

Overall Housing Data By Elementary Attendance Zone Elementary School Annual Starts Quarter Starts Annual Closings Quarter Closings U/C Inventory VDL Future BLANCO VISTA 199 62 178 33 80 119 318 1,120 BUDA 64 10 76 16 17 23 62 909 CAMINO REAL 13 10 10 1 10 10 140 1 CARPENTER HILL 95 35 39 6 83 86 322 753 ELM GROVE 9 0 56 5 2 4 0 0 FUENTES 57 15 45 10 7 32 219 2,506 HEMPHILL 0 0 0 0 0 0 0 10,682 KYLE 59 12 115 21 12 20 182 810 NEGLEY 93 19 89 27 30 51 162 10,040 PFLUGER 395 90 318 60 94 161 321 567 SCIENCE HALL 29 0 51 6 0 6 0 909 TOBIAS 111 59 64 16 65 71 152 1,041 TOM GREEN 338 52 357 89 87 139 361 3,716 UHLAND 0 0 0 0 0 0 0 0 Grand Total 1,462 364 1,398 290 487 722 2,239 33,054 Highest activity in the category Second highest activity in the category Third highest activity in the category 12

District Housing Overview Hays CISD has more than 2,200 lots available to build on The district has roughly 33,000 planned future lots Of those, groundwork is underway on roughly 1,700 lots 13

Residential Activity Sunfield 4,725 total single family lots 3,529 futures 908 occupied 208 VDL 55 under construction Closed 56 homes in 1Q18 Building 200 250 homes a year Tom Green Elementary 14

Residential Activity Shadow Creek 1,701 total single family lots 1,412 occupied 79 under construction 184 VDL All lots delivered Started 82 homes in 1Q18 Built out by mid to late 2019 Pfluger Elementary Crosswinds 1,397 total single family lots Split between Pfluger and Science Hall Elementary All current activity within the Pfluger Elementary Zone 36 occupied 15 under construction 131 VDL Building 100 homes in 2018 15

Residential Activity East Ridge 55 total lots All lots delivered 4Q17 Lots for individual sale Custom home building Camino Real Elementary Studio Estates 113 total single family lots 85 VDL 18 occupied 10 under construction Individual lots for sale with custom home building Camino Real Elementary 16

Residential Activity Bunton Creek Village 698 total lots 68 futures 379 occupied 219 VDL Building 50 60 homes in 2018 Fuentes Elementary Cool Springs 372 total lots 273 futures 74 VDL First phase delivered with 25 homes started in 1Q18 $240K - $300K First residents by July 2018 Tobias Elementary Woodlands Park 493 total lots 145 futures 252 occupied 55 VDL 63 annual starts with 36 homes U/C Building 75 80 homes in 2018 Tobias Elementary 17

Residential Activity Meridian Park Estates 47 total lots within HCISD 20 occupied 15 VDL 12 homes U/C Carpenter Hill Elementary Avana 184 total lots within HCISD 14 occupied 117 VDL 53 homes U/C Carpenter Hill Elementary 18

Charter School Impact IDEA - Kyle New IDEA Charter School campus coming to Kyle Opening Fall 2018 Grades K 2 and 6 th Expecting to have 480 students in it s first year Adding a new grade each year until grade 12 is reached 19

Ten Year Forecast- Charter School Impact By Grade Level Year (Oct.) EE/PK K 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th Total Growth % Growth 2013/14 620 1,348 1,348 1,317 1,380 1,325 1,368 1,303 1,362 1,258 1,337 1,266 1,017 1,006 17,255 2014/15 601 1,344 1,425 1,396 1,386 1,408 1,397 1,405 1,358 1,414 1,372 1,307 1,129 1,006 17,948 693 4.02% 2015/16 626 1,298 1,406 1,481 1,438 1,455 1,468 1,434 1,457 1,402 1,542 1,356 1,186 1,105 18,654 706 3.93% 2016/17 637 1,349 1,363 1,446 1,517 1,489 1,505 1,512 1,486 1,475 1,579 1,463 1,249 1,145 19,215 561 3.01% 2017/18 681 1,411 1,473 1,417 1,458 1,593 1,568 1,520 1,552 1,520 1,643 1,511 1,311 1,204 19,862 647 3.37% 2018/19 660 1,324 1,433 1,432 1,448 1,541 1,681 1,513 1,571 1,593 1,695 1,604 1,410 1,261 20,166 304 1.53% 2019/20 660 1,405 1,423 1,481 1,469 1,520 1,595 1,622 1,578 1,579 1,782 1,626 1,488 1,373 20,601 435 2.16% 2020/21 660 1,466 1,496 1,470 1,518 1,530 1,585 1,563 1,686 1,606 1,769 1,723 1,512 1,441 21,025 424 2.06% 2021/22 660 1,526 1,557 1,552 1,517 1,591 1,590 1,550 1,618 1,722 1,795 1,707 1,599 1,463 21,446 422 2.01% 2022/23 660 1,563 1,636 1,613 1,599 1,586 1,651 1,629 1,621 1,648 1,925 1,734 1,583 1,550 21,998 551 2.57% 2023/24 660 1,602 1,656 1,677 1,671 1,681 1,647 1,688 1,695 1,659 1,842 1,858 1,608 1,522 22,467 469 2.13% 2024/25 660 1,659 1,768 1,747 1,730 1,756 1,750 1,683 1,756 1,732 1,852 1,778 1,720 1,548 23,139 672 2.99% 2025/26 660 1,702 1,856 1,824 1,801 1,819 1,831 1,789 1,750 1,796 1,939 1,788 1,647 1,657 23,859 720 3.11% 2026/27 660 1,747 1,930 1,926 1,877 1,891 1,894 1,872 1,859 1,787 2,004 1,870 1,656 1,585 24,559 700 2.93% 2027/28 660 1,809 2,001 2,000 1,983 1,971 1,972 1,934 1,943 1,825 1,995 1,932 1,732 1,595 25,352 793 3.23% *Yellow box = largest grade per year *Green box = second largest grade per year Hays CISD may enroll more than 20,000 students this fall 5 year growth = 2,136 Fall 2022/23 enrollment = 21,998 10 year growth = 5,490 Fall 2027/28 enrollment = 25,352 20

Ten Year Forecast By Elementary Campus HISTORY Current ENROLLMENT PROJECTIONS Campus Capacity 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 BLANCO VISTA ELEMENTARY 800 769 815 614 647 681 710 765 808 851 886 917 944 BUDA ELEMENTARY 702 547 581 572 581 579 614 644 643 673 701 732 779 CAMINO REAL ELEMENTARY 800 784 799 756 745 744 736 752 768 780 777 777 779 CARPENTER HILL ELEMENTARY 800 670 678 673 660 666 674 697 711 741 761 781 810 ELM GROVE ELEMENTARY 720 780 899 951 978 1,007 997 998 998 992 981 971 980 FUENTES ELEMENTARY 720 623 607 576 588 592 612 624 656 700 729 758 787 GREEN ELEMENTARY 714 724 757 762 774 845 897 957 1,012 1,078 1,150 1,227 1,310 HEMPHILL ELEMENTARY 720 848 828 395 387 366 356 348 363 388 410 434 460 KYLE ELEMENTARY 770 683 712 696 643 651 680 689 722 738 758 776 790 NEGLEY ELEMENTARY 780 759 769 759 763 759 794 849 887 949 1,018 1,088 1,168 PFLUGER ELEMENTARY 800 678 698 713 736 771 829 883 888 897 901 915 919 SCIENCE HALL ELEMENTARY 720 742 754 620 617 633 643 625 629 671 709 741 770 TOBIAS ELEMENTARY SCHOOL 720 699 704 653 637 633 650 661 683 727 773 822 873 UHLAND ELEMENTARY SCHOOL 900 0 0 779 797 798 801 816 826 885 939 986 1,027 ELEMENTARY SCHOOL TOTAL 10,666 9,306 9,601 9,519 9,553 9,725 9,993 10,308 10,594 11,070 11,493 11,925 12,396 Elementary Absolute Change -613 295-82 34 172 268 315 286 476 423 432 471 Elementary Percent Change -6.18% 3.17% -0.85% 0.36% 1.80% 2.76% 3.15% 2.77% 4.49% 3.82% 3.76% 3.95% *Yellow box = enrollment exceeds stated campus capacity 21

Ten Year Forecast By Secondary Campus HISTORY Current ENROLLMENT PROJECTIONS Campus Capacity 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 BARTON MIDDLE SCHOOL 900 648 683 658 598 610 602 590 595 643 685 703 739 CHAPA MIDDLE SCHOOL 765 782 806 841 875 872 825 863 889 914 914 950 999 DAHLSTROM MIDDLE SCHOOL 855 878 803 842 922 1,018 1,076 1,078 1,134 1,135 1,180 1,186 1,165 SIMON MIDDLE SCHOOL 765 716 757 769 739 735 736 735 718 719 727 761 815 MCCORMICK MIDDLE SCHOOL 900 653 742 753 802 773 779 757 801 817 885 939 994 WALLACE MIDDLE SCHOOL 765 795 801 814 843 847 872 875 905 943 944 979 990 MIDDLE SCHOOL TOTAL 4,950 4,472 4,592 4,677 4,779 4,855 4,890 4,898 5,042 5,171 5,335 5,518 5,702 Middle School Absolute Growth 179 120 85 102 76 35 8 144 129 164 183 184 Middle School Percent Growth 4.17% 2.68% 1.85% 2.18% 1.59% 0.72% 0.16% 2.94% 2.56% 3.17% 3.43% 3.33% LIVE OAK ACADEMY 100 197 198 196 197 197 196 197 197 197 197 197 197 HAYS HIGH SCHOOL 2,250 2,736 2,905 2,999 3,098 3,136 3,192 3,340 3,386 3,469 3,504 3,593 3,680 LEHMAN HIGH SCHOOL 2,250 2,500 2,566 2,775 2,974 3,112 3,175 3,255 3,248 3,232 3,330 3,326 3,377 HIGH SCHOOL TOTAL 4,600 5,433 5,669 5,970 6,269 6,445 6,563 6,792 6,831 6,898 7,031 7,116 7,254 High School Absolute Growth 248 236 301 299 176 119 228 39 67 133 85 138 High School Percent Growth 4.78% 4.34% 5.30% 5.01% 2.81% 1.84% 3.48% 0.57% 0.98% 1.93% 1.21% 1.94% DISTRICT TOTAL 20,216 19,215 19,862 20,166 20,601 21,025 21,446 21,998 22,467 23,139 23,859 24,559 25,352 District Absolute Growth -186 647 304 435 424 422 551 469 672 720 700 793 District Percent Growth -1.0% 3.4% 1.5% 2.2% 2.1% 2.0% 2.6% 2.1% 3.0% 3.1% 2.9% 3.2% *Yellow box = enrollment exceeds stated campus capacity 22

Summary Hays County s unemployment rate is currently below 3%. Hays CISD added nearly 3,300 students in the last 5 years, making it the 3 rd fastest growing district in Region 13. There is a more than $20,000 difference between the average new and existing home sale price within the district. Due to an IDEA Charter school impact, Hays CISD is expected to add 300 students this fall. HCISD can expect an increase of approximately 2,136 students during the next 5 years. 2022/23 enrollment projection: 21,988. Hays CISD is projected to enroll 25,350 students by the 2027/28 school year. 23