In San Marcos, Buda and Kyle, fire departments are funded through Emergency Services Districts, or ESDs. Under the Texas constitution, ESDs may levy a tax rate of no more than 10 cents per $100 of property value. For a home on the tax rolls at $150,000, that’s an annual tax of $150, or $12.50 a month. These taxes cover expenses such as fire, rescue and EMS services as well as equipment. According to the Texas State Association of Fire and Emergency Districts, the idea behind ESDs began in 1949 at the request of farmers and local property insurers who wanted to get adequate funding for rural areas that were at risk of fire damage. The Texas Legislature officially created ESDs in 1987. ESDs are created when voters submit a petition with at least 100 signatures to the county judge. A county’s commissioners court appoints five members to the ESD board of commissioners to serve staggered, two-year terms. Hays County has nine ESDs with tax rates that vary from 1 to 10 cents per $100 property value.