Katy ISD Financial Health
Bond 2014 Edition
Texas Comptroller Platinum Status - 2014
Texas Comptroller Leadership Gold Member- 2014 and earned three consecutive years prior
Texas Honor Circle for FAST (Financial Allocation Study for Texas)- Earned highest five-star rating for 2011 and 2013
Texas FIRST (Financial Integrity Rating System of Texas)- 2013 and earned 12 consecutive years prior
Susan Combs, Texas Comptroller of Public Accounts
As presented in the Comptroller’s recommended format the remaining interest, and proposed issued interest, totals approximately $3.5B. However, that $3.5B represents an estimate. It is either subject to refunding, or subject to change because of bond defeasances (paying off bonds early – which Katy ISD has done). The schedule below is more appropriate/realistic. For example, when filling out a credit application, it asks for the principal balance of the mortgage or car payment. Below illustrates that— considering the district will not “instantly” issue the entire authorization. Districts sell bonds when funding is needed. This allows the value growth to keep up with the new debt which has enabled Katy ISD to maintain a $0.400 tax rate.
The illustration below reflects the districts selected by the Comptroller of Public Accounts Web-Site as it compares Katy ISD with other districts. Because the Comptroller’s comparison selects districts based on enrollment (district size) and does not consider enrollment growth over time, a true comparison is not achieved. Katy ISD has added the ten year enrollment growth published by the Texas Education Agency’s Fall Public Education Information Management System (PEIMS) to add relevance.
The illustration below is similar to the Comptroller of Public Accounts comparison but considers large enrollment and high growth school districts. Katy ISD believes this a more relevant comparison than that used by the Comptroller.
Community Pride, NOT National Politics
“THE ISSUANCE OF $748,120,000 IN SCHOOL BUILDING BONDS
FOR THE CONSTRUCTION, ACQUISITION AND EQUIPMENT OF
SCHOOL BUILDINGS IN THE DISTRICT (INCLUDING THE
REHABILITATION, RENOVATION AND IMPROVEMENT THEREOF)
AND THE PURCHASE OF THE NECESSARY SITES FOR SCHOOL
BUILDINGS, AND THE PURCHASE OF NEW SCHOOL BUSES, AND
THE LEVYING OF THE TAX IN PAYMENT THEREOF.”
*Certificates of obligation do not apply to KISD as the District has not had, or foresee the need to, issue such debt.
How would a ZERO to ½ cent maximum tax rate impact you?
Residents 65 and older are exempt from any school tax increase.
The average homeowner with a home value of about $200,000 would pay $10 more annually.
*The bond referendum of 2010 projected a tax rate increase of 4 cents. However, there was ultimately no increase in the tax rate.