Midland ISD Approves $1.7M Oil and Gas Lease Amid Infrastructure Concerns

The Medina Valley Independent School District (MISD) Board convened on August 26, 2025, to address several key agenda items, including development agreements, budget approvals, and a proposed oil and gas lease.

The meeting began with a discussion on the capital improvement development agreements between Midland ISD and the City of Midland. A board member expressed concerns about the financial implications for taxpayers, stating a preference for prioritizing underfunded neighborhoods over affluent areas that receive substantial city resources. The board ultimately voted to approve the development agreements, despite the dissenting opinion.

Next, the board reviewed budgeted purchases exceeding $50,000 for the fiscal year 2025-2026. The administration presented a request for approximately $180,000 in expenditures, reflecting a reduction of about $200,000 from the previous year. The board unanimously approved this budget request, emphasizing the importance of efficiency in addressing district needs.

The meeting then shifted to the discussion of an oil and gas lease for the San Jacinto Buoy and agricultural barn. The administration outlined the financial benefits of the lease, including a bonus payment of $1,712,500 per acre and a 25% royalty retention for the district. The anticipated royalties over a 20-year period were projected to be around $9.9 million. However, the board decided to enter an executive session for further discussion before voting on the lease.

In conclusion, the MISD Board addressed significant financial agreements and budgetary considerations, with a focus on balancing the needs of various community areas. The next steps will involve further deliberation on the oil and gas lease following the executive session.