On the heels of a state legislative session that passed an $8.5 billion public school funding bill, North East Independent School District is considering raises for all staff and increasing school meal prices by 25 cents.
At a regular board meeting June 9, the district’s executive director of finance and accounting Susan Lackorn presented trustees with a compensation package that includes teacher raises required under House Bill 2 and 1% raises for the rest of staff.
HB 2, passed in the last days of the 89th Texas Legislative Session, prioritizes boosting teacher salaries. Under the bill, school districts with more than 5,000 students are allotted $2,500 raises for teachers with three to four years of experience and $5,000 for teachers with five or more years.
“With this bill…you can see where they prioritize putting money,” Superintendent Sean Maika said during the meeting. “There are people that were left out.”
The bill also includes an allotment of $45 per student that school districts are required to use for non-teacher and non-administrative staff like custodians, bus drivers and other auxiliary positions. Unlike teacher raises, districts are free to choose how to divvy up the allotment among eligible staff.
While the legislative budget predictions for the 2026 fiscal year show North East ISD could receive $30.8 million from the state, the district expects to spend about $19.6 million of it on teacher raises, and 1% midpoint raises for other staff would cost the district about $5.2 million.
Lackorn said the district is also considering a one time 1.5% retention bonus for staff who receive the smallest raises on the midpoint scale, which may cost North East ISD another $1.6 million.
Under the administration’s recommended compensation plan, starting hourly pay for bus drivers would increase by 84 cents and $1.84 for current bus drivers. Police officer starting hourly pay would increase by $1.54 per hour and current police officers would see a $2.60 bump. Starting pay for special education assistants would increase by 60 cents with current employees possibly receiving a $1.10 hourly pay increase.
Preschool and general education assistants, bus assistants and custodians would also receive hourly increases for new and current employees.
In lieu of a raise last year, employees received 1% retention bonuses.
“Why does this feel like magical money theory,” said trustee Diane Villarreal.
“It’s an option to provide additional relief to the staff without committing the district to an ongoing cost,” Lackorn said.
Overall, the district expects to spend about $23 million to implement state-mandated teacher raises and potential non-teacher raises.
Maika said the district is trying to strike a balance between doing “something for folks” while still offsetting a huge budget shortfall. During the 2024-25 school year, the district had nearly a $29 million budget deficit, and Lackorn forecasts that next year’s deficit will be a little over $18 million.
Overall, the district expects to spend less on its school nutrition program as enrollment decreases, but the administration recommended board trustees approve increasing school meal prices to break even on the food fund balance, Lackorn said.
The proposed increase per student meal is about 25 cents, but reduced price breakfast could increase to 30 cents.
Price increases would not affect students that qualify for free meals, nor would it affect those who attend Community Eligibility Provision schools, which participate in a federal program allowing campuses to offer free breakfast and lunch to all students regardless of household income.
