tax Information

Public school taxes involve two figures, which divide the school district budget into two “buckets.” The first bucket is the Maintenance and Operations budget (M&O), which funds daily costs and recurring or consumable expenditures such as teacher and staff salaries, supplies, food and utilities. Approximately 66 percent of the district’s M&O budget goes to teacher and staff salaries. The second bucket is the Interest and Sinking Fund (I&S), also known as Debt Service, and that is used to repay debt for longer-term capital improvements approved by voters through bond elections.

 

Proceeds from a bond issue can be used for the construction and renovation of facilities, the acquisition of land and the purchase of capital items such as equipment, technology and transportation. I&S funds cannot by law be used to pay M&O expenses, which means that voter-approved bonds cannot be used to increase teacher salaries or pay rising costs for utilities and services.

 

 

Aubrey ISD Tax Rate

 

Currently, Aubrey ISD’s I&S tax rate is $0.34 and the M&O tax rate is $1.17 for a total tax rate of $1.51 per $100 of certified property value. The chart below shows the district’s tax rate over the past six years.

estimated tax impact

 

If approved, the estimated maximum tax impact of this bond is 16 cents for a total tax rate of $1.67. The tax rate would increase by 8 cents in 2018 and 2019 for a total increase of 16 cents. For a home valued at $200,000, this represents an increase of approximately $11.67 per month in 2018 and an additional $11.67 per month in 2019 for a total increase of $23.34 per month.

 

The below chart illustrates the estimated monthly tax increase to property owners in Aubrey ISD.

Impact on Senior Citizens’ Property Taxes

 

Aubrey ISD property taxes for citizens age 65 or older would not be affected by the bond election as long as a homestead and over 65 exemption application have been filed with the local appraisal district.

 

According to state law, the dollar amount of school taxes imposed on the residence homestead of a person 65 years of age or older cannot be increased above the amount paid in the first year after the person turned 65 – regardless of changes in tax rate or property value – unless significant improvements are made to the home.

 

For more information on the over 65 exemption, visit Denton County Tax Office website.

Election Day: November 7, 2017 | Early Voting: October 23 – November 3, 2017 | Register to vote by October 10, 2017

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