Frisco ISD officials are expecting the district to have a balanced budget for the 2025-26 school year.

The FY 2025-26 budget was discussed by trustees June 9. FISD’s revenue and expenditures are expected to be balanced in the 2025-26 school year, according to a presentation from Kimberly Smith, FISD chief finance and strategy officer. The balanced budget comes after three years of budget deficits.

“A balanced budget is sign of a healthy district,” board President Mark Hill said.

At a glance

The proposed budget, without including state funding for a staff raise, are:

• $735.96 million for the general fund budget
• $198.36 million in the debt service budget
• $26.3 million for the child nutrition budget

The proposed budget does not currently include teacher raises as the funding will come from new Texas legislation.

Gov. Greg Abbott signed House Bill 2 into law June 4. HB 2 will provide permanent raises for educators and support staff; overhaul how the state funds special education; and set aside money for schools to spend on fixed costs, such as utilities and insurance. The bill also includes funding increases for early learning initiatives, school safety, student career training and educator preparation.

District officials are waiting for direction from the Texas Education Agency on how the bill will be implemented to determine salary raises, Smith said. A district’s compensation plan does not need to be approved at the same time as the district budget, she said.

The proposed pay raises for classroom teachers are:

• $2,500 for less than five years of experience
• $5,000 for five or more years of experience

Other employees would receive 3% of base wages. Employees on stepped scales would receive a 3% raise or their next step increase, whichever is greater, Smith said.

The action taken

FISD is not expected to have a shortfall in its FY 2025-26 budget due to budget restructuring and cost-saving measures.

District officials have found cost savings by evaluating open positions in central administration and restructuring, standardizing class loads across campuses and reworking department budgets to be priorities based, according to the meeting presentation.

Other budget cuts for the 2025-26 school year are reducing extracurricular spending by $600,000 and reducing the payroll budget by $7.5 million through vacant positions.

Going forward

District officials are expected to adopt the budget June 18. The compensation plan may be adopted June 18 or a special meeting will be called if more time is needed to determine the state funding directions, Smith said. The district’s tax rate will be considered by the board Aug. 18.