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Hutto IndependentSchool District

Quarterly Report1Q18

Economic Conditions – Austin Area (March 2018)

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UnemploymentRate

-0.2%

45,966 new jobsNational rate 1.5%

Job Growth

4.1%1,094 more

sales than 1Q17

AnnualHome Starts

16,435

Sources: Texas Workforce Commission & Metrostudy

U.S. 4.1%Texas 4.1%

Austin MSA 3.1%Williamson Co 3.2%

Local Economic Conditions

3Sources: Austin Business Journal & Round Rock Online

U.S. 3.9%Texas 3.7%

Austin MSA 2.7%Williamson Co 2.8%

Co-Op District Signs Tenant• Southside Market & Barbeque announced

it will open its 3rd location at the Co-Op District in Hutto

• Signed a 20-year lease with expected opening date April 2019

• Will sit on 35-acre site of a cotton gin circa 1937 complete with four preserved grain elevators

• Adjacent to new municipal buildings, city hall, and library

• New City Hall expected to open Dec 2018

New Hutto Amphitheater• Planned to sit on 65-acre lot at 1001 CO RD

137 that was purchased by the city in January• Construction estimated to start May 2018 and

be completed around the end of summer• Total cost- $3.4 million from bonds approved

in 2017 by City Council• Will seat approx. 10,000 people with room for

an extra 6,000 in the open grassy area

UPS Regional Distribution Center

• Building new 245,157 sq. ft. distribution facility in Round Rock

• Hiring more than 300 new employees• Total cost- $70 million• Expected to open Nov 2018

New Housing Activity

• Hutto ISD started more than 240 homes in the first quarter, an increase of 20% compared to 4Q17

• The district closed 225 homes at the end of 1Q• New home inventory is at a healthy 5.7 months’ supply 4

Hutto ISD

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50

100

150

200

250

300

350

400Starts Closings

Starts 2012 2013 2014 2015 2016 2017 2018 Closings 2012 2013 2014 2015 2016 2017 20181Q 58 72 82 146 195 271 246 1Q 49 50 100 172 162 271 2252Q 55 125 162 198 181 227 2Q 51 69 131 176 172 2033Q 58 113 232 191 337 250 3Q 56 108 139 209 249 2714Q 85 102 171 159 214 205 4Q 51 108 120 190 256 212

Total 256 412 647 694 927 953 246 Total 207 335 490 747 839 957 225

Rank District NameAnnual Starts

Annual Closings VDL Future

1 Leander ISD 2,424 2,481 3,606 14,2692 Austin ISD 1,806 1,789 1,731 10,9793 Pflugerville ISD 1,611 1,532 2,110 10,8694 Round Rock ISD 1,601 1,526 1,771 5,9895 Hays CISD 1,438 1,390 2,172 20,5816 Georgetown ISD 1,451 1,215 2,395 17,7617 Manor ISD 1,210 987 1,226 15,9128 Hutto ISD 928 911 1,049 7,266*9 Lake Travis ISD 808 888 1,758 5,343

10 Del Valle ISD 1,020 827 927 26,47411 Liberty Hill ISD 676 704 1,924 11,58912 Dripping Springs ISD 617 546 1,178 6,34713 Jarrell ISD 306 332 278 7,03414 San Marcos CISD 225 205 290 8,48415 Bastrop ISD 142 131 1,387 19,08716 Taylor ISD 60 62 76 67417 Eanes ISD 31 45 124 15418 Lago Vista ISD 43 43 533 3,86119 Lockhart ISD 1 23 14 1,65420 Wimberly ISD 1 13 39 0

Austin New Home Ranking Report ISD Ranked by Annual Closings – 1Q18

5* Adjusted based on additional research by Templeton Demographics Staff

Annual Closing Distribution

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Top 5 Subdivisions - 1Q18 (Ranked by Annual Closings)

Rank SubdivisionAnnual Closings VDL Future

1 Siena 467 454 8812 Star Ranch 121 34 8083 Riverwalk 114 188 04 Carmel Creek 53 103 1965 Park at Brushy Creek 50 0 0

TOTALS 805 779 1,885

Vacant Developed Lots

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Top 5 Subdivisions - 1Q18 (Ranked by remaining VDL)

Rank SubdivisionAnnual

Closings VDL Future1 Siena 467 454 8812 Riverwalk 114 188 03 Carmel Creek 53 103 1964 Carol Meadows 0 81 05 Madsen Ranch 44 78 130

TOTALS 678 904 1,207

Future Lots

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Top 10 Subdivisions - 1Q18 (Ranked by Future Inventory)

Rank SubdivisionAnnual Closings VDL Future

1 Cottonwood Ranch 0 0 1,2702 Meadows at Cottonwood Creek PUD 0 0 8963 Siena 467 454 8814 Star Ranch 121 34 8085 Hutto Square 0 48 7136 Packsaddle Tracts 0 0 6807 Brooklands 0 0 6078 Hutto Highlands 21 1 4879 Blackhawk Far East 0 0 310

10 Mager Meadows 0 0 288TOTALS 609 537 6,940

Overall Housing DataBy Elementary Attendance Zone

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Highest activity in the category

Second highest activity in the category

Third highest activity in the category

Elementary ZoneAnnual Starts

Quarter Starts

Annual Closings

Quarter Closings Inventory VDL Future

COTTONWOOD CREEK 10 2 20 1 2 48 1983HUTTO 5 1 23 1 2 83 1455JOHNSON 77 24 54 14 47 103 196NORMAN 316 94 285 63 145 222 808RAY 6 2 13 0 2 55 1813VETERANS HILL 514 123 516 146 234 538 1011

Totals 928 246 911 225 432 1,049 7,266

District Housing Overview• Hutto ISD has approx. 1,000 lots

available to build on

• The district has more than 7,200 future lots planned

• Within HISD, approx. 1,270 lots are currently under development

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Active Development

Future Development

Residential Activity

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Siena

Siena• 2,853 total lots• 881 future lots• 1,318 occupied homes• 104 under construction• 454 VDL• Groundwork started on Phase 15

(51 lots) and Phase 18 (63 lots) in early 2018 with equipment on site in Phase 3 (89 lots)

• Started 98 homes in 1Q18• $215K-$365K• Building 450-500 homes a year• Veterans Hill Elementary

Residential Activity

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Star Ranch

Star Ranch• 1,387 total lots• 808 future lots • 499 occupied homes• 24 under construction• 34 VDL• Equipment on site for Sec 7-6

(86 lots), Sec 7-7 (45 lots), and Sec 7-8 (33 lots)

• Groundwork underway on Sec 8 (83 lots)

• $250K-$320K• Building ~120 homes a year• Norman Elementary

Residential Activity

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Riverwalk

Riverwalk• 1,082 total lots• 798 occupied homes• 60 under construction• 188 VDL• Homebuilding in Phase 3 complete

approx. June 2018• Started homebuilding in Phase 4 early

2018, estimated complete by end of 2019• $220K-$275K• Building approx. 150 homes in 2018• Norman Elementary

Future Residential Activity

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Cottonwood Ranch and Packsaddle Tracts

Cottonwood Ranch• 317 acres of land• Approx. 1,270 future lots• Developer currently being bought and

properties transferred to William Lyon• Groundwork estimated to start 2019-2020• Cottonwood Creek Elementary

Packsaddle Tracts• 169.99 acres of land• Approx. 680 future lots• Currently undergoing

annexation process• Hutto Elementary

Multi-Family Overview

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Future Multi-family

Hutto Civic ComplexPlanning a new apartment development with ~200 units

Star Ranch Multi-familyNo movement on development, TBD units

Havens of HuttoAge-Restricted, 70 units, Est.lease date in May 2018

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Ten Year ForecastBy Grade Level

*Yellow box = largest grade per year*Green box = second largest grade per year

• Hutto ISD may enroll more than 8,100 students by 2019• 5 year growth = 2,498 students• 2022/23 enrollment = 9,736• 10 year growth = 5,559 students• 2027/28 enrollment = 12,797

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Year (Oct.) EE/PK K 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th TotalTotal

Growth%

Growth2013/14 234 504 437 437 484 450 455 446 466 466 447 406 377 317 5,9262014/15 231 477 533 440 456 511 480 455 464 473 483 428 388 368 6,187 261 4.40%2015/16 281 460 506 546 477 485 539 504 478 473 506 482 419 371 6,527 340 5.50%2016/17 253 514 511 540 588 497 534 571 520 512 529 504 458 414 6,945 418 6.40%2017/18 236 502 561 523 586 609 538 570 582 541 583 483 486 438 7,238 293 4.22%2018/19 236 505 561 597 567 619 652 573 590 605 619 570 466 467 7,627 389 5.37%2019/20 236 561 568 613 649 618 691 693 599 620 686 612 547 450 8,143 516 6.77%2020/21 236 555 634 618 677 709 687 743 724 633 706 664 589 529 8,704 561 6.89%2021/22 236 623 616 680 670 726 752 737 783 772 721 683 639 569 9,207 503 5.78%2022/23 236 671 698 664 734 711 771 799 773 828 878 698 657 618 9,736 529 5.75%2023/24 236 712 744 752 719 787 764 825 840 820 943 845 672 635 10,294 558 5.73%2024/25 236 756 796 802 818 772 844 816 867 892 933 912 813 650 10,907 613 5.95%2025/26 236 798 841 862 872 880 826 898 865 918 1,015 902 877 787 11,577 670 6.14%2026/27 236 839 879 910 931 935 952 879 943 917 1,045 981 868 849 12,164 587 5.07%2027/28 236 892 936 953 990 1,001 1,010 1,014 926 1,001 1,044 1,010 944 840 12,797 633 5.20%

Ten Year ForecastBy Campus

*Yellow box = enrollment exceeds stated capacity

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HISTORY PEIMS ENROLLMENT PROJECTIONSCampus 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

COTTONWOOD CREEK ELEM 800 650 615 630 636 638 630 620 629 643 667 696 715HUTTO ELEMENTARY 700 451 458 442 437 435 457 469 517 567 615 666 713NADINE JOHNSON ELEMENTARY 700 420 424 431 448 462 476 487 493 517 539 566 583HOWARD NORMAN ELEMENTARY 800 586 660 733 829 911 992 1,067 1,104 1,156 1,184 1,229 1,257RAY ELEMENTARY 800 691 675 674 657 648 648 663 704 754 813 885 952VETERANS HILL ELEM 800 639 723 827 929 1,022 1,100 1,179 1,267 1,387 1,497 1,640 1,798

ELEMENTARY SCHOOL TOTALS 4,400 3,437 3,555 3,737 3,936 4,116 4,303 4,485 4,714 5,024 5,315 5,682 6,018Elementary Absolute Change 143 118 182 199 180 187 182 229 310 291 367 336Elementary Percent Change 4.34% 3.43% 5.12% 5.33% 4.57% 4.54% 4.23% 5.11% 6.58% 5.79% 6.90% 5.91%FARLEY MIDDLE SCHOOL 1,200 833 892 911 960 1,036 1,116 1,135 1,179 1,222 1,308 1,312 1,396HUTTO MIDDLE SCHOOL 1,200 770 801 857 952 1,064 1,176 1,265 1,306 1,353 1,373 1,427 1,545

MIDDLE SCHOOL TOTALS 2,400 1,603 1,693 1,768 1,912 2,100 2,292 2,400 2,485 2,575 2,681 2,739 2,941Middle School Absolute Change 148 90 75 144 188 192 108 85 90 106 58 202Middle School Percent Change 10.17% 5.61% 4.43% 8.14% 9.83% 9.14% 4.71% 3.54% 3.62% 4.12% 2.16% 7.37%HUTTO HIGH SCHOOL 2,400 1,903 1,986 2,118 2,291 2,484 2,608 2,847 3,091 3,304 3,577 3,739 3,834

HIGH SCHOOL TOTALS 2,400 1,903 1,986 2,118 2,291 2,484 2,608 2,847 3,091 3,304 3,577 3,739 3,834High School Absolute Change 128 83 132 173 193 124 239 244 213 273 162 95High School Percent Change 7.21% 4.36% 6.65% 8.17% 8.42% 4.99% 9.16% 8.57% 6.89% 8.26% 4.53% 2.54%WILLIAMSON COUNTY ACADEMY 1 4 4 4 4 4 4 4 4 4 4 4

ALTERNATIVE SCHOOL TOTALS 2 4 4 4 4 4 4 4 4 4 4 4DISTRICT TOTALS 9,200 6,945 7,238 7,627 8,143 8,704 9,207 9,736 10,294 10,907 11,577 12,164 12,797

District Absolute Change 418 293 389 516 561 503 529 558 613 670 587 633District Percent Change 6.4% 4.2% 5.4% 6.8% 6.9% 5.8% 5.7% 5.7% 6.0% 6.1% 5.1% 5.2%

Summary• The Williamson Country’s unemployment rate is below 3.5%.

• Hutto ISD had approximately 225 new home closings in 1Q.

• Veterans Hill and Norman Elementary zones experienced the most new home growth during the first quarter of 2018.

• Cottonwood Creek Elementary zone has 1,983 future lots, the most in HISD.

• Hutto ISD has over 1,000 lots to build on with groundwork underway on an estimated 1,200 lots.

• HISD can expect an increase of approximately 2,500 students during the next 5 years.

• 2022/23 enrollment projection: 9,736.

• HISD is projected to enroll nearly 12,800 students for the 2027/28 school year.

www.tdemographics.com18