Tax rates for homeowners in KISD are expected to be 1 cent lower when final Harris County tax appraisal numbers are issued at the end of August.

At the district’s Aug. 17 work study meeting, KISD Chief Financial Officer Christopher J. Smith said appraisal numbers from Fort Bend and Waller counties were 2 percent higher than expected, and the same is anticipated from Harris County at the end of the month.

Higher appraisal values mean the district could lower the debt service fund portion of the district tax rate by 0.01 and still meet debt repayment schedules. Smith estimated the average homeowner would see a $40-$50 annual reduction in taxes under the new rate.

“It happened in large part because of the [lower] interest rate situation we’re in and the debt reduction the board authorized [earlier in the year],” Smith said.

Fiscal year 2014-15 appraisal values set KISD taxes at $1.5266 per $100 valuation for homes within the district. The new tax rate would reduce the debt service fund portion of that bill from 40 cents to 39 cents, setting the new rate at $1.5166 per $100 valuation.

“We’ve had the same tax rate for eight or nine years,” Superintendent Alton Frailey said. “But with good fiscal management, we can do this.”

Early bond repayments and construction cost negotiations that favored the district were key reasons for the reduction, he said. The final budget is set to be adopted Aug. 31 and goes into effect Sept. 1.

Additional details on the budget are available at www.katyisd.org.

Meetings

Katy City Council
Meets at 6:30 p.m. on Sept. 14.
910 Avenue C, Katy
www.cityofkaty.com

Katy ISD
Meets at 6:30 p.m. on Sept. 21 and 28.
6301 S. Stadium Lane, Katy
www.katyisd.org