Plano ISD taxpayers will pay property taxes at a decreased rate, but the district was still required to issue a public notice that taxes would be raised.
The Plano ISD Board of Trustees voted unanimously to adopt a district-wide property tax rate for the 2021-22 fiscal year in its Tuesday meeting. The resolution by trustees effectively levies an ad valorem tax rate of $1.32075 per $100 valuation. Of this tax burden, $1.05175 is designated for the district’s maintenance and operations fund while the remaining $0.269 is dedicated to its debt service fund.
This signifies a proportional decrease from the 2020-21 fiscal year’s tax rate of $1.32375 per $100 valuation, but because residential properties increased in value as commercial property values decreased, the allocated tax burden may vary compared to last year.
Despite these variables, the district was required by state law to issue a public notice that “this tax rate will raise more taxes for maintenance and operations than last year’s tax rate” due to the maintenance and operation tax’s excess over the “no-new-revenue” rate of $1.31817 per $100 valuation.
“The no-new-revenue tax rate does not take into account what your student population does. It also doesn’t take into account what your recapture does or your state funding does,” said PISD chief financial officer Randy McDowell while presenting the tax rate to trustees. “Nor do I think it’s intended for them to take everything into account, but it’s a way to do a calculation that makes the school look bad because they’re not lowering their tax rate.”
The tax rate is slated to go into effect on Oct. 1.