The average homeowner in Frisco ISD could see their tax bills reduced by $279 with the district’s new tax rate.

The district’s board of trustees lowered the district’s tax rate for the 2025-26 fiscal year during an Aug. 18 board meeting. The new tax rate is $1.0194 per $100 of assessed value.

A closer look

The tax rate is broken down into two funds.

• The first fund, maintenance and operations, or M&O, covers the district’s operational expenses such as payroll. The M&O rate is $0.7494 per $100 valuation.
• The second fund is interest and sinking, or I&S, which pays for the district’s principal and interests on its debts. The I&S rate is $0.27 per $100 valuation.

Under the assumption that Texas voters ratify increasing the statewide homestead exemption from $100,000 to $140,000, the average residence taxable value for FISD homeowners will be $549,100. This is a decrease by $23,233 or 4.1% from 2024, said Kimberly Smith, FISD’s chief finance and strategy officer.

The average taxable home value in 2024 was $572,333 with a tax bill of $5,868. FISD homeowners could see their tax bill reduced by $279 in 2025.

In case you missed it

The district’s board of trustees approved the total $988.34 million budget for the 2025-26 school year June 17. The budget accounts for general operating needs, child nutrition services and paying off district debt and interests.

The operating budget has $771.69 million in revenue with $762.68 million in expected expenses—creating a $9 million surplus.

Here is a breakdown of the approved $988.34 million budget:

• $762.68 million in the general operating budget
• $198.36 million in the debt services fund
• $27.3 million in the child nutrition fund