Voters in Kennedale will consider an $11 million school bond package on Saturday to improve district facilities.
The Kennedale ISD Board of Trustees approved the bond election for Saturday, May 3, to approve bonds that will fund improvements to the facilities at Kennedale Junior High and Kennedale High School. The bond will also cover purchasing new vehicles for student transportation.
The bond package is in three parts, Propositions A-C. Voters will be asked whether they are “For” or “Against” each proposition.
The district said the I&S budget has room to cover the projects in the propositions and that, if approved, the bond will pass without changing or increasing the I&S tax rate. The district does not plan to lower the I&S tax rate if the bond does not pass.
Kennedale Proposition A
Proposition A calls for $6 million to be used to improve and upgrade the stadium at Kennedale Junior High School, including the turf, track, and public seating.
“The issuance of $6,015,000 of bonds by the Kennedale Independent School District for improvements to junior high school stadium facilities and the imposition of a tax sufficient to pay the principal of and interest on the bonds.
Kennedale Proposition B
Proposition B will build on the 2023 bond and spend $3.4 million on additional upgrades needed at the Performing Arts Center, including new seating, curtains, stage floor, and lighting. Upgrades will also include a meeting room that community groups can reserve.
“The issuance of $3,440,000 of bonds by the Kennedale Independent School District for improvements to the performing arts center and the imposition of a tax sufficient to pay the principal of and interest on the bonds.“
Kennedale Proposition C
Proposition C will spend roughly $1.5 million on renovations to the Kennedale High School Auditorium and on retrofitting or purchasing district vehicles. The district said the auditorium will be available for community groups like the Kennedale Community Theatre, and the district vehicles will be used for student transportation.
“The issuance of $1,535,000 of bonds by the Kennedale Independent School District for improvements to school facilities, including the high school auditorium, and for vehicles and the imposition of a tax sufficient to pay the principal of and interest on the bonds.“
Early voting runs from April 22-29. Election Day is May 3 from 7 a.m. to 7 p.m.
HOW ARE TEXAS SCHOOL DISTRICTS FUNDED?
Texas school districts are funded by three sources: Federal money, state money and local taxes. Local taxes comprise two tax rates, Maintenance and Operations (M&O) and Interest and Sinking (I&S), set by the school board. M&O is the money used to pay for the day-to-day operations of a school district, including salaries and professional development, utilities, curriculum, building maintenance, and student services. I&S is the money generated from bonds to pay for new buildings, renovations, security, buses and other large expenses. The I&S tax rate is used to repay the bonds. Funding approved for M&O and I&S projects can’t be mixed.
HOW CAN BOND MONEY BE SPENT?
Bond money can only be spent on capital projects like new buildings, renovations, security upgrades, land acquisition, and other non-recurring costs. It can’t be spent on salaries, staff, utilities, fuel, or other recurring costs. The money repaid from a bond will include interest over time, generally 30 years. Many districts try to repay their bonds early to save on the interest obligation.
WHAT IS A VATRE?
VATRE stands for Voter Approval Tax Rate Elections. If a district needs to increase funding for salaries, daily operating expenses, or other recurring costs, then they have to ask voters to approve of an increase of the M&O Voter Approved Tax Rate (VATR). Many districts hold VATREs to increase M&O funding because they have a deficit. State legislators have not increased funding for schools since 2019, and with inflation and the addition of unfunded mandates, such as adding an armed officer on each campus, many school districts say they are strapped for cash.
‘THIS IS A PROPERTY TAX INCREASE’
A state law requires Texas school districts to include the statement, “This is a property tax increase,” on every ballot proposition. That is true even if the proposition does not increase the tax rate. In their proposals, many Texas school districts say they can issue bonds without increasing the I&S rate. This is often done by taking on new bond debt as old, declining debt is paid off. Read the district’s proposal thoroughly to understand whether voting for the bond package will result in a tax rate change. Even without an increase in the tax rate, changes in property tax appraisals could result in a larger tax bill for the property owner.
