Northeast ISD adopts 2026–27 budgets as TEA lowers statewide compressed tax rate

At its meeting that began at 5:32 p.m., the Northeast Independent School District board voted 5–1 to adopt the 2026–27 budgets for the general fund, debt service and school nutrition fund.

District finance staff told trustees the Texas Education Agency issued an update during the afternoon that set a maximum statewide compressed tax rate at 0.6254. "That maximum compressed tax rate statewide will be .6254," the presenter said, noting the change came at 3:02 p.m. and would lower tax obligations for homeowners. Staff estimated the average homeowner’s savings this year at about $98, up from an earlier estimate of roughly $35.

The presenter reviewed the district’s revenue and spending plan: estimated general fund revenue of $563 million and total appropriations of $614 million; instructional and instructional-related spending of $405 million, about 66% of the budget; school nutrition revenue and appropriations of $37.5 million; and debt service revenue of $171 million against $173 million in expenditures. Staff reminded trustees that local appraisal values are set by the appraisal district, not the school district, and that TEA must clear some tax-rate steps before local tax rates can be adopted (a typical final tax-rate adoption often occurs in September after certified values are submitted).

Trustees asked for and received clarification that a lower compressed tax rate reduces local tax collections and that the state share will rise to cover the difference under current TEA processes. After discussion, a motion to adopt the three required funds passed on a 5–1 voice vote.

The board adjourned to executive session later in the meeting and returned for other business and personnel actions before adjourning at 6:13 p.m.