Austin ISD outlines $35.9M budget plan and teacher compensation for fiscal year 2025-2026

The Austin Independent School District (AISD) Board of Trustees held a public hearing on June 26, 2025, to discuss the district's budget for the upcoming fiscal year. A key focus of the meeting was the anticipated funding and its implications for local homeowners and educators.

AISD expects to receive approximately $35.9 million in funding, with $9 million remaining within the district after accounting for legislative restrictions. The board highlighted the potential impact of proposed changes to the homestead exemption, which could increase from $100,000 to $140,000 if approved in November. This change would affect property taxes for homeowners, with the average taxable home value in the district currently at $558,000. Under the new exemption, estimated taxes for homeowners would decrease from $4,357 to $4,040, resulting in a $317 reduction for those homeowners.

In addition to tax implications, the board discussed compensation for teachers. Preliminary estimates indicate that AISD will receive $17.4 million from House Bill 2, which will be allocated to classroom teachers based on their experience. Teachers with 3 to 5 years of experience are expected to receive an additional $2,500, while those with 5 or more years will receive $5,000. Approximately 600 teachers will benefit from the former, and around 3,000 from the latter. Furthermore, AISD will receive $5.3 million for the Teacher Incentive Allotment, which will also support around 600 teachers.

The discussions during the public hearing underscored AISD's commitment to enhancing educational funding and supporting its staff, while also considering the financial impact on local families. The board plans to revisit these topics in September, following the release of updated property values from the Travis Central Appraisal District.