The EPISD board of trustees will ask us at the next election to authorize lowering their interest and sinking fund tax rate by ten cents and increase their maintenance and operation tax rate by an equal amount.
They want us to believe that this move will not cost us anything.
They also point out that doing what they ask will bring in an additional $7.5 million from the state. They don’t tell us if the extra money will come to us every year or if the $7.5 million is a one-time deal.
The board tells us that voting for this will not cost us any money.
That is simply not true. The school district has debt that must be paid off using the interest and sinking fund.
The district has not told us that the $7.5 million will be applied to reducing debt obligations. In fact they have told us that the money will be used to pay a one time stipend to the teachers and to increase the district’s fund balance.
Taking ten cents out of the interest and sinking fund rate will slow down their debt payments–a process that will cost us interest money.
Also they are not reminding us that they are in the process of issuing over $660 million in bonds that will need to be paid from the interest and sinking fund.
How can they do that when they are lowing the debt rate by 10 cents?
How can they do that?
It’s simple, they can’t.
Watch out next year and see how they raise the debt rate.
We deserve better