Penny Swap: Your tax rate stays the same; schools receive more funding.
The Duncanville ISD Board of Trustees has called an election that would generate an additional $5.2 million each year without increasing the school tax rate. The election will be held on Saturday, September 8. Early voting will run from August 22 through September 4.
A Tax Ratification Election (TRE), which we’re calling a Penny Swap, allows voters to consider making changes to part of the school tax rate. In Texas, the school tax rate comes from two sources - Maintenance and Operations and Debt Service. Maintenance and Operations is for the day-to-day operation of the school district, including books, supplies, utilities, equipment, transportation and personnel. The Debt Service tax rate provides funds to repay debt, which was incurred to build and renovate buildings and purchase major equipment.
State law requires a school district to hold a TRE if it proposes a Maintenance and Operations tax rate that is higher than $1.04 per $100 of taxable value.
If approved, a Penny Swap would result in no increase to the school tax rate. With a Penny Swap, the Maintenance and Operations tax rate would be increased by $0.13 to $1.17 and the Debt Service tax rate would be reduced by $0.13 to $0.35148. As a result, the overall tax rate of $1.52 would not be affected.
If the Penny Swap passes, Duncanville ISD plans to use the additional revenue to pay for increased security, replace buses that have passed their recommended operation lifetime, enhanced innovative choice programs and technology upgrades to keep pace with demands of our students and families.