-
HOW ARE TAX DOLLARS USED?
Maintenance & Operations Tax Rate
- Used ONLY for daily operations of the district
- Employee salaries/payroll (more than 80%)
- Can be used for facilities or other educational costs (textbooks, electricity, fuel, supplies, etc.)
Interest & Sinking Tax Rate
- Used ONLY for debt repayment on outstanding bonds
- Cannot be used for payroll costs (except those directly connected to the facilities/construction program related to the bond)
- When bond funds are not available, facility costs are shifted to M&O (portable buildings, major HVAC work, classroom expansions, etc.)
HOW WOULD WE PAY FOR THE SCHOOL BOND PACKAGE?
Tax Base Growth:
- Assumes a tax base growth of $180 million/year during first 10 years, then no growth for the following 20 years
- Actual -- We have grown by $190.5 million/year over the past 10 years
Tax Collection:
- Assumes a tax collection of 99 percent
- Actual -- 100 percent over the past 8 years
Bond Interest Rate:
- Assumes interest rates of 4 percent for $100 million, 0.5 percent for $50 million and 6 percent for $70 million
- Actual -- Today’s market rate is 3.4-3.6 percent
