Dr. Gearing shared great news - tax revenues are great and growing in Dripping Springs because appraisal values have soared. He also shared the bad news, the number of students attending does not meet the calculation to prevent us from falling into the Chapter 41 Recapture Status with the State. However, there is a solution being presented to voters to 'swap' fund allocations and keep our tax rates steady at $1.52.
What does the Penny Swap do:
* Changes the current allocation of funds to reflect a higher amount of funds goes into Maintenance and Operations and a lower amount going to interest and Sinking (debt reduction).
* This is not a tax increase - just a re-allocation of existing income.
* This is necessary because of the State's Chapter 41 Recapture plan (Robin Hood).
Here's some interesting facts:
* The DISD property tax rate is $1.52 per $100 in property value (same as last year)
* DISD per student expense = $7,168
* Average per student expense of Central Texas school districts = $7,740
* Average per student expense of all Texas school districts = $10,080
* DISD has experienced a 4.46% growth rate since 2012
* DISD tax base has experienced a 10% growth in property values in the same time.
* DISD consistently has been recognized for sound financial management my multiple state entities.
* DISD has already reduced budgets by 8 percent in campus and departments
What you need to know before you go to the polls September 10:
* The ballot wording is a little misleading (okay, a lot)
* The ballot reads that we are approving the AD VALOREM tax rate of $1.52 (remember this is the existing rate)
* It also reads that it is .13 higher per $100 valuation than the district's roll back tax rate - but this is just reallocating that 13 cents to the Maintenance and Operations.
* Be sure to read all the way to the last line on the ballot and the vote what is best for DISD.
