Keller ISD trustees approve flat tax rate for 2025–26 amid debate over copper pennies

The Keller ISD Board of Trustees on Sept. 24 approved a proposed tax rate of 1.0852 per $100 of assessed value (M&O 0.7552; I&S 0.33), a move the administration said was necessary to preserve the district's balanced budget. The administration recommended the figure after staff briefed trustees on state funding changes, the district's use of golden and copper pennies, and the Maximum Compressed Tax Rate (MCR).

John Allison, the district finance presenter, summarized the recommendation: "The administration recommends that the board of trust trustees approve the tax rate resolution as presented with the total proposed tax rate of 1.0852 per $100 of value." Trustees split on whether to pursue a no-new-revenue option that would lower taxes but sacrifice copper-penny revenue; supporters of keeping the rate warned that going below the MCR could cost the district about $8 million in state funding.

Supporters of a lower tax rate urged the board to return the decision to voters to decide whether the district should recapture copper pennies in the future, while others said the timing and state reporting rules make a mid-cycle reduction impractical. After extended discussion about budget timing and the tradeoffs of bond refunding, the board voted to adopt the administration's proposed rate (final count recorded in the transcript as 5'2). The administration said staff will continue exploring budget-committee work and earlier year-round planning so future tax-rate direction can be set before the budget cycle.