The Birdville ISD board on June 17 approved a 2025–26 compensation package that uses new state funding streams from House Bill 2 while adding district-funded raises and a change to health‑insurance contributions. The motion passed 6–0 with one abstention.

The package implements the teacher retention allotment (TRA) created by House Bill 2 as modeled by district staff and includes a district recommendation of a 3 percent increase at midpoint for the 2025–26 pay schedules. The motion also raised the district health‑insurance contribution for employees in pay grades C1–C5 and MT1–MT4 from $260–$350 to $360, a change the district estimates will cost roughly $124,000 based on current enrollees.

The board approved the compensation plan after a budget workshop presentation by Katie Bowman, Birdville ISD chief financial officer, who explained how HB2’s provisions interact with the district’s tax revenues and bond payments. "I will say I've never had to do a budget like this before," Bowman told trustees, noting the district is still waiting on certified property values and final TEA rules that will reshape tax calculations and some allotment modeling.

Why it matters: House Bill 2 creates new, targeted funding streams that the state expects districts to use for teacher pay, support staff raises and certain operational costs. How Birdville applies those dollars affects the pay of more than 1,400 teachers and hundreds of support staff, the district’s budget gap for 2025–26, and near‑term bond payment planning.

Key elements approved
- Teacher retention allotment (TRA): per district modeling for a district of Birdville’s size, HB2 funding will provide $2,500 for teachers with three to four years’ experience and $5,000 for teachers with five or more years. The district’s current estimate of the cost for qualifying teachers is about $6.1 million; that figure will change with final PEIMS counts submitted in the fall, Bowman said.
- Non‑teacher/support staff: trustees approved a minimum 3 percent increase of the 2024–25 base salary for employees who are not eligible for the TRA (nurses, librarians and certain professional staff), with the district describing an approach that applies a midpoint floor so employees above midpoint receive the stated percent increase to their base pay.
- Other staff: a 3 percent increase of 2024–25 base pay was approved for remaining staff not covered above.
- Health insurance contribution: the district will increase its monthly contribution to $360 for employees in pay grades C1–C5 and MT1–MT4 to keep coverage affordable in light of an estimated 10 percent increase in TRS‑Care premiums. The district projects the change will add about $124,000 in district cost based on current enrollment.

Board discussion and vote
Board members discussed multiple scenarios (1–3 percent raises) and the district’s historical underspending, which staff said typically produces a year‑end rollover the district can use to cover shortfalls. Bowman told trustees the district expects to finish the current fiscal year with at least a 2 percent underspend and possibly 4–5 percent (~$4–$5 million), which factored into trustees’ willingness to adopt a deficit budget for 2025–26.

The motion as read on the record included specific scheduling language for teacher and non‑teacher pay scales and the insurance contribution change. After discussion the board voted 6 in favor, 0 opposed, with 1 abstention; the motion carried. The board did not adopt a final tax rate at this meeting; staff said final tax‑rate work depends on certified values expected next month.

What staff said about HB2 and other funding items
CFO Katie Bowman summarized other HB2 elements the district modeled: a support‑staff allotment estimated at about $910,000, a basic/allotment inflation piece calculated at $106 per enrolled student (rough district estimate $2.3 million), and special‑education funding for initial evaluations at $1,000 each (the district reported roughly 700 initial evaluations in the prior year). Bowman also noted HB2’s changes interact with bond prepayments and state hold‑harmless language; final certified values and TEA rules will be required to finalize some choices.

Dr. Stinson, Birdville ISD superintendent, thanked the finance team for preparation and outreach; he and other trustees praised the staff work on compressed timelines.

Votes at a glance
- 2025–26 compensation package and insurance contribution increase: approved, 6–0–1 (one abstention). Motion text on the record described teacher TRA implementation, non‑teacher pay scales, a 3 percent midpoint approach for certain scales and the $360 insurance contribution for pay grades C1–C5 and MT1–MT4. (See actions[] for full recorded motion text and provenance.)

Next steps and implementation risk
Staff will finalize pay schedules for payroll implementation once TEA issues additional guidance and once certified property values arrive. District staff flagged medium implementation risk because several HB2 elements rely on fall PEIMS counts and state reporting rules that the Texas Education Agency is still issuing.

Ending note: Bowman and other staff said they will continue to refine modeling and return to the board with updated numbers when TEA guidance and certified values are available.