Business Services Department
Red Oak Independent School District is committed to sound financial management through integrity, prudent stewardship, planning, accountability, full disclosure, and open communication. The purpose of the Business Services Department is to enable the District to achieve and maintain a stable, long-term financial condition, to provide guidelines for the day-to-day planning and operations of the District's financial affairs, and to communicate the District's financial practices with stakeholders.
Financial Information and Transparency
Texas Tax Code section 26.05(b)(2) requires the District to post the following statement for the 2022 tax rate:
RED OAK ISD ADOPTED A TAX RATE THAT WILL RAISE MORE TAXES FOR MAINTENANCE AND OPERATIONS THAN LAST YEAR'S TAX RATE.
THE TAX RATE WILL EFFECTIVELY BE RAISED BY 16.09% AND WILL RAISE TAXES FOR MAINTENANCE AND OPERATIONS ON A $100,000 HOME BY APPROXIMATELY $158.10.
Note: The Red Oak ISD School Board did NOT increase the maintenance and operations tax rate. The School Board voted to lower the maintenance and operation tax rate from $0.9603 per $100 of property valuation for the 2021-2022 school year to $0.9429 per $100 of property valuation for the 2022-2023 fiscal year. This language regarding the maintenance and operations tax rate is a result of legislation passed in the 86th Legislative Session regarding the Texas Property Tax Reform and Transparency Act of 2019.
Although the Red Oak ISD’s tax rate has gone down by over 19% over the four (4) years, including the 2022 tax year, the overall property values in Ellis County have continued to go up due to more taxable property being developed and the escalation in the housing market. Under the Foundation School Program funding model, if the State certified taxable property values increase, the amount of state funding will decrease. Also, if the District does not adopt the tax rate approved by TEA, additional reductions in state funding will occur. In order to provide a balanced budget, based on the reduction in state funding, the voter-approved tax rate needs to be adopted to maintain adequate funding for the 2022-2023 school year.