Rochester, MN (KROC-AM News) - The Rochester School Board is scheduled to vote next week on the ratification of a new two-year employment contract for the school district’s teaching staff.

The tentative contract agreement was reached earlier this month and was recently approved by members of the Rochester Education Association. It covers the current school year and the 2026–2027 school year.

Highlights of the Two-Year Teacher Agreement

According to the resolution that will be presented to the school board for approval on Tuesday, the new contract represents an overall 7.35% increase in cost over the previous agreement with the union representing Rochester Public Schools teachers. It calls for a 1.5% across-the-board salary increase this year, followed by a 2.3% pay hike for the 2026–2027 school year.

Kim David TSM
Kim David TSM
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The contract agreement also includes language providing additional compensation for teachers assigned to classrooms that exceed the elementary class size limits set by the previous teachers’ contract. It also includes annual $3,000 stipends for certain school nurses and special education teachers.

Longevity Bonuses Linked to Budget Reserves

Another significant addition to the contract is a Memorandum of Agreement that states: “If the unassigned general fund balance exceeds 1.5 times the minimum reserve established by the school board, 35% of the annual growth in the unassigned fund balance will be distributed as longevity stipends equally to teachers who are under contract for the entire school year.”

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Under a new budget framework recently approved by the school board, the school district is expected to steadily draw down its current 17.4% budget reserve each year until it reaches the target of 8% to help offset forecasted budget shortfalls beginning in the 2026–2027 school year.

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