The tax rate is a critical factor in the financial management of school districts in Texas. The tax rate represents the amount taxpayers within the District pay to support the schools. The tax rate is calculated annually and varies based on the District's budgetary needs and the assessed value of property within the District.
In Texas, the tax rate comprises two components: the maintenance and operations (M&O) rate and the interest and sinking (I&S) rate. The M&O rate funds the District's ongoing operating expenses, such as salaries, supplies, and utilities, while the I&S rate is used for debt service, such as bond payments.
The total tax rate for a school district in Texas is the sum of the M&O and I&S rates. The Texas Education Agency (TEA) sets a cap on the total tax rate, which varies depending on the District's location and other factors.
At Mission CISD, we are committed to maintaining a reasonable tax rate while providing the resources necessary to support our students and schools. The District developed its 2022-2023 budget with a tax rate two cents lower per $100 of property valuation than the previous year. That follows a 6-cent tax rate decrease for the 2021-2022 fiscal year.
We understand that paying taxes is a significant financial obligation for our taxpayers, and we take our responsibility to manage these funds seriously. We regularly review our finances and budget, looking for efficient and cost-effective ways to provide the best education possible for our students.
In summary, the tax rate is a crucial aspect of school district finances. At Mission CISD, we strive to be transparent and accountable in our use of taxpayer funds, carefully balancing the needs of our students and the community when setting our tax rate each year.