Dublin ISD school board recently discussed the best way to handle tax funds after they paid off the 2015 bond two years early. John Blackburn of Live Oak Public Finance was present at the Monday, July 20 meeting to talk to the board members, noting that the tax rate for the district was at its lowest point in the last two years due to legislative action and compression through increases in assessed property value.
The payoff saved the district $18,979 and dropped the interest and sinking (debt service) tax rate for the district from $.1033 per $100 valuation to $.0000.
This leaves the school with the opportunity to maximize the value of tax dollars while keeping the previous rate, but it will require up to two bond elections, suggested for May 2027 to allow more time to inform the public.
If taxpayers opt for the past year’s I&S rate of $.1033, Blackburn said that will open the door to move the school’s only debt (currently $375,000 per year being repaid through Maintenance and Operations) to I&S, opening those M&O funds to handle staff salaries (and any other need as the school faces rising costs in several areas). This accounts for $.0630 of the $.1033 rate, paid off in 7 years, and represents the first bond election.
Blackburn proposed the remaining $.0403 could go toward a new $1.65 million bond which could be paid off in 10 years and fund projects the district has long had on its wish list.
This action was clarified as moving over current loans and adding construction costs at the same tax rate that those in the district have been paying.
“There’s not a whole lot of downside to this,” said Blackburn. “You just have to explain it to your public and you have to go through referendum.”
Superintendent Melissa Summers said the M&O loan was “money well spent” that allowed them to do some good things but the money earmarked for debt results in $375,000 out of annual tax collections they can’t use for any other vital operations. It was remarked the amount wouldn’t phase a larger school district but acts as a hindrance to one Dublin’s size.
It was also noted that Dublin ISD hasn’t had a bond in 20 years which Blackburn called “impressive in itself.”
Boardmembers and Blackburn also noted the cost of construction which he cited as increasing .5 percent per month according to figures he’s seen.
It was decided that the matter will be up for final review and decision in January 2027, allowing enough time to file before the February deadline to be on the May 2027 ballot.
DISD business manager Kassi Eads reported she had received certified values from the Erath County Appraisal District (which had once again increased) but was waiting on Comanche County values. Board members present (Anjelica Salyer was absent) unanimously passed a proposed rate of .7552 per $100 valuation based on Eads’ recommendation to keep the same M&O rate as last year. She reminded the board they will get to review the rate and it may go lower once they know all assessed values.
Board members present also reviewed an unanimously passed increases, efficiency payments and stipends for staff including a 7% cost of living increase for at will employees, a $1,000 increase plus step to teacher pay, stipends for jr. high one act play and drill team, an increase of $2 per hour for substitutes, extra assistance with insurance and a $5,000 increase for the ARD (Admission, Review and Dismissal facilitator) now that someone is in the role.
Efficiency payments will remain at a one time $500$1,500 payment before December, with amounts based on the employee’s years of service.
They also approved an $8,000 pay raise for administrators. Board president Bob Cervetto spoke in favor of the raise, saying it sometimes looks like principals get paid more but that they work ‘more hours and more days’ to handle all their tasks.