- Forney ISD
Forney ISD Proposes 9.5 cent Lower Tax Rate; Announces $70 Million Under Budget on Construction Projects
For the second straight year, Forney ISD is proposing a reduced tax rate for residents living within the Forney ISD school boundaries. Last year, the school board reduced the rate by 7 cents, and this year the district is proposing to drop by an additional 9.5 cents.
In addition to tax rate savings, Forney ISD is currently $70 million under budget with their active construction projects.
“We’re always looking at ways to save taxpayers money while still providing the best for our students,” Forney ISD Superintendent Dr. Justin Terry said. “With the help of House Bill 3 passed in the last legislative session and the tremendous growth in our community, we are proposing a reduced Maintenance and Operations tax rate this year. Our board and leadership team, along with our construction manager, Gallagher Construction, have worked hard to create innovative facilities in an affordable way, with our current projects already coming in $70 Million under budget.”
Last year the District lowered the tax rate from $1.54 per $100 of assessed value to $1.47 per $100 of assessed value per house (.07 cents). This year the District proposes to lower the rate even further to $1.3747 per $100 of assessed value, almost a full .10 cents lower than last year’s.
“For the last five years we’ve received an ‘A’ FIRST Rating (Financial Integrity Rating System of Texas),” Forney ISD Chief Financial Officer John Chase said. “In addition our bonds received an A+ rating.”
Forney ISD’s tax rate consists of a Maintenance and Operations (M&O) tax rate and a Interest and Sinking (I&S) tax rate. The M&O tax rate provides funds for maintenance and operations, and the I&S tax rate provides funds for the repayment of bonds issued by the district.
Currently, the M&O rate for residents in Forney ISD is .97 per $100 of assessed value and the I&S rate is .50 per $100 or assessed value. The new tax rate will include a new M&O rate of 87.47 per $100 of assessed value and the I&S rate will remain the same at .50 per $100 of assessed value.
The total tax rate for residents in the Forney ISD school zone will be 1.3747 per $100 of assessed value.
The Forney ISD Board of Trustees adopted the District’s 2021 budget during the June 29, 2020, board meeting. With recent tax rate law changes passed by the 87th Legislature, Maintenance and Operation tax rates are reduced when property value growth exceeds 2.5 percent. Since values have increased 15 percent, the district’s tax rate will now be compressed to 87.47 cents per $100 of assessed value. This equates to the average homeowner paying $39 less in school property taxes this year.
Forney ISD does not set or determine house appraisal values.