The district’s board of trustees is set to discuss a possible voter-approval tax rate election, or VATRE, on Aug. 19. A VATRE is used when a district needs to increase its tax rate above the voter-approval tax rate, which voters must then consider in an election, according to the Texas Comptroller’s website.
The board did not vote on placing the tax rate election on the ballot during an Aug. 5 workshop. Aug. 19 is the deadline to place an item on the Nov. 5 ballot.
What you need to know
Trustees will consider raising the maintenance and operation tax rate by $0.0294 per $100 valuation. Maintenance and operations, also known as M&O, funds payroll and other operational costs.
The district’s total tax rate would be $1.0569 per $100 valuation if approved by voters.
The new tax rate would generate an additional $11.5 million in revenue for the district. In total, the increase would generate $19.5 million in revenue, but $8 million would go to the state in recapture, according to the meeting presentation.
District officials adopted a total budget of $963.78 million with a potential $30.81 million revenue shortfall in the general fund for fiscal year 2024-25 in May. The proposed tax rate increase would help the district maintain competitive salaries and the district’s programming, district officials said.
The district’s compensation plan for FY 2024-25 includes a 3% raise for eligible employees. It also includes a new teacher salary starting at $60,500 for those with zero years of experience.
FISD voters last approved raising the M&O portion of the tax rate by $0.13 per $100 valuation in 2018.
One more thing
FISD board members will consider placing a $1.08 billion bond package on the November ballot Aug. 19. The bond totaling $1.08 billion is broken down by three propositions that cover maintenance, technology and sports facilities. The bond would not increase the districts $0.27 rate.
