PREVIOUS BOND AND DEBT INFORMATION

The City of College Station is growing, and so is its school enrollment.  In fact, CSISD has added 1,519 students the past two years alone.  With this growth comes the need for more instructional space, technology, buses, and a host of other capital items which make a school district function at maximum efficiency.

 

In order to provide new buildings and infrastructure, school districts rely on selling municipal bonds.  These bonds are purchased by investors.  The district pays back the investor's original investment with interest.  It is akin to a family borrowing money to purchase a house or a vehicle.  This money is not used for operations and, by law, can only be used for capital projects.

 

CSISD is certainly not alone in experiencing rapid growth.  There are several school districts in Texas which are high-growth districts and have recently built a second comprehensive high school, just like CSISD.

 

See the chart below to see how CSISD’s I&S tax rate and total debt service obligations stack up against comparable districts.


School District

I&S Tax Rate

 

School District

I&S Debt

(principal + interest)

2014-15 tax rates and values represented below.

Georgetown ISD

$0.318

 

Magnolia ISD

$193,994,600

College Station ISD

$0.323

 

Georgetown ISD

$306,795,000

Tomball ISD

$0.34

 

Bastrop ISD

$377,279,580

Magnolia ISD

$0.3495

 

College Station ISD

$379,289,785

Rockwall ISD

$0.40

 

Rockwall ISD

$687,133,320

Northwest ISD

$0.4125

 

Forney ISD

$729,341,490

Bastrop ISD

$0.421

 

Tomball ISD

$745,690,696

Burleson ISD

$0.50

 

Burleson ISD

$860,722,599

Forney ISD

$0.50

 

Northwest ISD

$911,430,788


There are two tax rates CSISD residents pay each year in property taxes which go toward supporting the school district.


The first tax rate is the maintenance and operations (M&O) tax rate, which is currently set at $1.04 per $100 of valuation.  CSISD, or any other school district for that matter, does not borrow money for daily operations, which include employee salaries, paying the electricity bill, purchasing supplies, and any other day-to-day operations costs.


The second tax rate is the interest and sinking (I&S) rate, which was reduced from $0.34 to $0.323 per $100 of valuation for this year.  The reduction is due to an approximate eight percent increase in taxable values, as well as the district paying down its debt.  The district sets the I&S tax rate each year to coincide with the amount of money necessary to make payments on its bonds.  All debt service tax rate increases must be approved by voters and the maximum rate allowed by law is $0.50.


Big-ticket items, like school buildings and renovations, are financed for periods of 20 to 30 years, while items with a shorter shelf-life, like technology and vehicles, are financed for 5 to 10 years.


Additionally, school districts occasionally refinance bonds to get better terms and interest rates.  These refinances save the taxpayers a considerable amount of money.


The chart below outlines all of CSISD’s current bond obligations, including original bond sales as well as refinanced packages.  The chart also shows when each bond package is scheduled to be paid off and includes those obligations that have already been paid in full.

 

Bond Sale/

Refinance Year

Amount of Sale or Refinance

Principal + Interest Owed

Payoff Date

1996

$20,000,000

$0

Paid Off / 2006

1997

$29,550,000

$0

Paid Off / 2007

1999

$8,000,000

$0

Paid Off / 2011

2002

$12,700,000

$0

Paid Off / 2012

2004

$32,000,000

$1,276,125

2016

2006

$9,350,000

$1,137,750

2016

2007

$67,420,000

$6,957,800

2017

2009

$5,290,000

$2,943,493

2020

2009

$37,500,000

$43,174,481

2035

2010

$65,000,000

$79,691,500

2036

2011

$41,700,000

$57,054,636

2037

2012

$8,945,000

$8,751,200

2024

2014

83,500,000

$119,449,800

2039

2015

46,455,000

$58,853,000

2027

 

 

 

TOTAL Principal + Interest

$379,289,785

 

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College Station Independent School District
1812 Welsh College Station, TX 77840 Phone: (979) 764-5400 Fax:
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