EMS ISD Tax Ratification ElectionDownload a one-page fact sheet by clicking here.At the June 17, 2013 Board meeting, the Eagle Mountain-Saginaw ISD Board of Trustees approved a Maintenance and Operations (M & O) tax rate that is above the maximum rate allowed without voter approval. This M & O rate must be approved by voters before it can be adopted by the school district. To do this, the Board adopted an order calling for a Tax Ratification Election (TRE) to be held on Saturday, September 7, 2013. If the TRE is approved by voters, the higher Maintenance and Operations tax rate would generate approximately $650,000 in additional state funding for the school district with no increase in the overall tax rate in the 2013-2014 school year.
What is a TRE?
A district that adopts a tax rate above its maximum M & O tax rate must hold a Tax Ratification Election (TRE) to provide voters the ability to ratify the higher rate. If a majority of the votes are cast in favor of the proposition, the tax rate for the current year is adopted by the Board. If the proposition is not approved, then the Board may not adopt a tax rate for the current year that exceeds the maximum rate.
How will the TRE affect my taxes?Why is an election needed if the tax rate is going to stay the same?
No matter the outcome of the TRE, the tax rate for taxpayers in EMS ISD will remain at $1.54 per $100 of property value. If the TRE is approved, the shift in the M & O and I & S tax rates will generate an additional $650,000 for the district. If the TRE is not approved, the tax rate will remain at $1.54 and no additional funding will be created.The district is funded by local funds, state funds, and some federal funds. The local dollars are generated through taxes and this tax rate is divided into to categories:Maintenance and Operations (M & O) - Taxes generated by the M & O tax rate fund day-to-day expenses such as salaries, building maintenance, transportation, utilities, and supplies.Interest and Sinking (I & S) - Taxes generated by the I & S tax rate fund the debt payments of the district, which includes the construction of new facilities.By shifting the tax rate amounts in these two funds, based on funding formulas from the state, the district can generate an additional $650,000 without increasing the total tax rate.