There will be NO TAX RATE INCREASE for seniors 65 and older or disabled due to the homestead exemption. 
 

To address the district needs recommended by the Future Facilities & Planning Committee, which includes community members and parents, Pasadena ISD is requesting a Bond in the amount of $305,000,000 with a property tax rate change of $0.03.

Pasadena ISD has implemented 9 refunding and 2 prepayment programs to reduce the cost of voter-approved bonds – which have generated more than $73.8 million of savings for District taxpayers since 2012.

• Visit the Fiscal Accountability page for more information.

$0.03 TAX RATE CHANGE 

PROPOSITION A = $0.028
PROPOSITION B = $0.001
PROPOSITION C = $0.001
TOTAL TAX RATE = $0.03 

How will Texas Proposition 2 affect the Pasadena ISD Bond Tax Rate?

The Texas State Legislature referred two amendments to the ballot related to taxes:

•  A measure that would authorize the state legislature to reduce the limit on property taxes imposed on the homesteads of elderly or disabled residents to reflect any tax rate reduction enacted by law from the preceding tax year
• A measure to increase the homestead exemption for school district property taxes from $25,000 to $40,000.

*Based on the average cost of a gallon of milk from Feb. 2022

2021 DEBT SERVICE TAX RATE 

Pasadena ISD has implemented 9 refunding and 2 prepayment programs to reduce the cost of voter-approved bonds – which have generated more than $73.8 million of savings for District taxpayers since 2012.

School Financial Integrity Rating System of Texas (“FIRST”): Pursuant to Sub-chapter D, Chapter 39 of the Texas Education Code, the State annually deploys a financial accountability rating system to distinguish the level of a school district’s financial performance based upon certain uniform criteria.

SUPERIOR ACHIEVEMENT RATING
Based on data for year 2019/20, the District was assigned a 2020/21 FIRST Rating of “A=Superior Achievement” and the District’s score was 96 out of a possible 100 points.

Credit Ratings: The District also maintains independent ratings from certain nationally recognized credit rating agencies, such as Moody’s Investors Service and S&P Global Ratings that evaluate the District’s financial strength and its ability to pay its existing bonds.

Moody’s Investors Service: Assigns a “Aa2” credit rating to the District, defined as “Judged to be of high quality and are subject to very low credit risk.”

S&P Global Ratings: Assigns a “AA” credit rating to the District, defined as “Having a very strong capacity to meet its financial commitments.”

State law allows for bonds to be financed for up to 40 years. However, Pasadena ISD limits the maximum term of bond issues to 30 years.