In their second budget discussion for the upcoming fiscal year 2025-26, Clear Creek ISD officials are now projecting a $13.5 million shortfall for FY 2025-26.

Officials also discussed potential compensation increases for teachers and staff. This will include the state-mandated $2,500 salary increase for teachers with three to four years of experience and a $5,000 salary increase for teachers with five or more years of experience. These mandated increases stem from House Bill 2, which will provide permanent raises for teachers across the state through the teacher retention allotment.

The overview

The district is projecting over $429.6 million in expenses and just over $414 million in revenue. The revenue, along with $2.1 million in other sources, lands the new projected shortfall at $13.5 million, according to budget documents.

Since the district’s last budget discussion June 10, the projected shortfall for FY 2025-26 has grown from $12.1 million to $13.5 million. Several factors contributed to this increase, including:
  • $14.1M projected decrease in tax collections
  • $18.4M projected increase in state funding
  • $360,000 projected decrease in local revenue
  • $4.8M projected increase in payroll costs
  • $465,000 projected increase in contracted services, supplies and other operating costs
This shortfall is also projected with the current tax rate of $0.9690 per $100 valuation of a home, budget documents note.
On the other hand


The district is also discussing a compensation increase for all staff members. The district’s recommended compensation increase would include:
  • $64,000 starting teacher salary—a $2,500 increase to the current starting teacher salary
  • $2,500 state-mandated increase for teachers with three to four years of experience
  • $5,000 state-mandated increase for teachers with five or more years of experience
  • 3% salary increase for teachers with one to two years of experience, nurses, librarians, facilitators, instructional coaches, team leaders and all other staff positions
The package also includes market salary adjustments to recruit and retain staff for speech-language pathologists and counselors, as well as minimal changes to athletic and academic stipends, documents show.

The district is also recommending changes to health insurance benefits for the 2025-26 school year. This includes:
  • $20 per month increase in CCISD’s contribution toward employees enrolled in the Teacher Retirement System of Texas, or TRS, ActiveCare Primary employee-only coverage
  • $16 monthly increase in employees’ own premiums, raising their monthly cost to $152
These changes are driven by an 8% rise in state-set TRS insurance premiums, totaling $1.8 million in new costs. However, CCISD is budgeting to cover only $264,000 of that amount, leaving employees to absorb the rest, according to budget documents.

In total, the compensation package with health insurance premium increases would be $5.6 million to FY 2025-26’s budget, according to budget documents.

Looking ahead


The board will meet at the district’s Education Support Center, located at 2425 E. Main St., League City, on the following dates to discuss the budget further:
  • July 28: approve district compensation and benefits plan
  • Aug. 5: receive approval of TEA maximum compressed tax rate
  • Aug. 11: budget update No. 3
  • Aug. 25: budget hearing and adoption of budget for FY 2025-26
  • Sept. 22: adopt 2025 tax rate