Bonds vs. Property taxes

(This story was published in the Port Aransas South Jetty Newspaper on April 18.)

By Jim Dubois

Reporter

Port Aransas voters will be asked to weigh in on a $3.5 million bond issue in May.

The Port Aransas Independent School District Board of Trustees called for the election during its Feb. 14 special board meeting.

Election Day is set for May 11, but early voting will be April 29 to May 7.

The district called for the bond election in order to avoid using the school funding process. With a bond, the district retains 100 percent of taxes collected, while only 25 percent of it would stay in the district under the current school funding formula. The remaining 75 percent is sent to the Texas Education Agency due to the recapture rule.

To understand the difference between paying with bonds as opposed to ad valorem taxes, the district gave the following example:

To purchase a $100,000 bus in the classic school-funding rule, PAISD must collect $400,000. The district would keep $100,000 and TEA would collect $300,000. However, with a bond election, the purchase would only require $100,000 of local tax revenue.

How much will it cost over the 10-year term? For the period of 2013-2016, an average homeowner would pay $98.28 a year or $8.19 a month, which is approximately the price of a six-pack of beer. For the period of 2016-2023, the monthly cost should drop to $4.42.

The bond will be used to renovate existing buildings, but also to build new facilities such as tennis court bleachers, track facilities and fencing.

Renovations include electrical upgrades, roof maintenance, classroom furniture and athletic equipment.

For senior citizens, the taxes will not increase, according the PAISD.

“For those receiving the senior citizen exemption on their homesteads, their tax bill cannot exceed the frozen ceiling, even if the new bonds are issued,” according to a brochure printed by PAISD.

The 2013 bond program campaign is being run by the members of the Capital Improvements Committee. The committee put together the list of facilities that need improvement throughout all campuses. They are scheduled to speak at various civic organizations’ meetings in Port Aransas. They also will make a presentation during the April 18 city council meeting, which is a public meeting.

School district administration developed an informational slide show and brochure, which members use during their presentations.

The meetings still pending are:

• Port Aransas City Council: April 18, at 5 p.m. at city hall. Presenters will be William Campbell, Jenni Kite, Burt Moorhouse, Michele Lorette and Janice Roberts.

• Port Aransas Kiwanis Club: May 1, at noon at Jay’s Seafood and Spaghetti Works restaurant. Presenters will be Jana Snow and Lisa Shelton.

• Port Aransas Boatmen, Inc. meeting: May 1, at 7 p.m. at the Port Aransas Community Center. Presenters will be Ashley Harris, Michele Lorette, Burt Moorhouse and Janice Roberts.