Katy ISD proposes 3% staff increase split as 1% ongoing plus two 1% lump sums

Katy ISD administrators presented a compensation package for 2026–27 that totals 3% in new money for employees: 1% is proposed as a permanent pay increase, while two 1% payments would be one-time lump sums paid Aug. 31, 2026, and Dec. 15, 2026.

Brian Chuss, the district’s Chief Human Resources Officer, said the 1% ongoing increase would be applied through district pay grades and that the two 1% lump sums are intended to provide immediate support without locking the district into a larger recurring cost funded with one-time revenue. “So we have a 1% general pay increase for all employees, and that will be recurring,” Chuss said. “The items that are not recurring or not part of the salary are the 2% — two 1% lump sums — 1 to be paid on 08/31/2026 and 1% on 12/15/2026.”

Chuss also reviewed non‑salary items in the compensation plan: small stipend adjustments tied to changes in bilingual programs, an increase in police‑officer advanced certification pay (master level adjusted from $3,000 to $5,000), and a proposed shift differential for evening security positions. The presentation included pay‑scale comparisons showing district teacher pay above the Region 4 market median for 2025–26.

Cost and funding context

Esperanza Rios, director of budget and treasury, presented budget amendments that recognize the $34,730,827 property-audit revenue and other state adjustments; she noted the net change to the general operating fund balance would be an increase of $26,165,495 after the amendments. CFO Chris Smith explained that a single 1% lump sum paid now would cost the district roughly $8,000,000, and he said that administration would bring a formal budget amendment in July/August to implement board-approved compensation actions.

Board discussion

Trustees asked whether lump sums could instead be deployed to offset benefit costs or targeted to employees who participate in district insurance; administrators said they would model alternatives and report back. Trustees also requested an analysis that compares Katy ISD against nearby districts where staff are actually departing, not just regional medians, and asked for a full market study later this year.

Next steps

Administration will provide more detailed cost modeling and a formal budget amendment for board consideration; the board did not take a final vote on compensation at the work study.