Coppell ISD Seeks to Double Its Debt in May

Coppell ISD Seeks to Double Its Debt in May

Apr 28, 2016 by Ross Kecseg

According to the district’s own website, Coppell ISD taxpayers currently owe more in interest payments than what has been borrowed to build new schools, athletic facilities, and other projects. Their borrowing history suggests May’s $249,000,000 bond proposition—if approved—may end up costing more than half a billion dollars alone, and will more than double the district’s total debt on the books. Below is the existing debt liability for taxpayers according to the Texas Bond Review Board. It shows taxpayers owe more in interest payments ($221 million) than in principal ($212 million), or $36,000 per student in total. – See more

This circumstance is a direct result of decisions made by CISD school board members who ultimately vote on how new debt is structured after voters approve bond propositions. Unfortunately, “interest” is a sunk cost for taxpayers, resources that aren’t used to buy anything. Interest is simply the cost of borrowing. And it’s an enormous cost the board won’t disclose to voters until after the 2016 bond election is over. Local voters aren’t told the interest cost on the ballot, in part, because state law doesn’t require it to be disclosed. Even worse, school districts adamantly lobby the legislature against reforming the election process. Regardless, all debt payments are repaid with property taxes. The higher the debt, and the more costly the interest payments, the higher the property taxes will rise to repay it –
Uber, Lyft spend big, lose big in Texas vote on driver fingerprinting Previous post Uber, Lyft spend big, lose big in Texas vote on driver fingerprinting RERfirst: MECHLER/TxGOP GAVE $19K MORE TO PRO-ABORTION DAVIS IN ‘14 (AUDIO) Next post RERfirst: MECHLER/TxGOP GAVE $19K MORE TO PRO-ABORTION DAVIS IN ‘14 (AUDIO)