At the regular June board meeting, the Midway ISD Board of Trustees adopted the district’s 2025-26 budget, navigating changes in state funding brought by House Bill 2.
The adopted budget reflects total revenues of $94.47 million and expenditures of $97.96 million, and includes:
- Raises for classroom teachers as outlined in the Teacher Retention Allotment.
- 2% raises for employees not included in the Teacher Retention Allotment.
- New positions to support Special Education and reduce workloads.
- An increase in the district’s per employee health benefit contribution to offset a significant rise in insurance costs.
Despite $4.2 million in additional state revenue from HB2, half of which is designated for teacher pay raises, the district is projecting a $3.4 million deficit. The shortage is primarily due to increased costs and structural funding challenges.
"Midway ISD continues to prioritize students as we work through the opportunities and constraints associated with new funding legislation," said Dr. Chris Allen, Superintendent. "This budget reflects a strong commitment to our students in the face of statewide financial uncertainty."
Since 2019, Midway ISD has seen a more than 200% increase in costs related to school safety and property casualty insurance, a 50% increase in fuel costs and other significant cost increases in health insurance, utilities and more.
In addition to the General Fund portion of the budget, the Child Nutrition Fund is budgeted with a $59,512 deficit, which includes $250,000 in indirect cost revenue to the General Fund. The Debt Service Fund reflects a $336,950 surplus, allowing for a planned $3 million defeasance (early payoff of existing bonds) to help reduce long-term obligations.
The Board will formally adopt tax rates of $0.6969 for Maintenance & Operations (M&O) and $0.24 for Interest & Sinking (I&S) in August to support this budget. This represents the seventh consecutive year the tax rate has decreased.
