The Plano ISD Board of Trustees will meet next month to set a 2026-27 tax rate after receiving certified taxable property values from the Collin Central Appraisal District. 

The school board will hold its regular monthly meeting on Tuesday, Aug. 4, and a work session on Tuesday, Aug. 18.

District officials are proposing to decrease the total tax rate for property within the Plano ISD by $0.0068 or less than one penny. 

The current total tax rate for 2025-26 is $1.03955 per $100 valuation and the district will consider a proposed 2026-27 rate of $1.03275 per $100 valuation, the voter-approved rate.

The proposed rate is made up of $0.79540 for maintenance and operations and $0.23735 for debt service (interest & sinking) tied to voter-approved bonds. Under the proposed rate, the M&O of $0.80220 would decrease but I&S would remain the same.

The district’s total taxable property value is estimated at $75.22 billion for the current tax year, down slightly from approximately $74.36 billion last year. 

New taxable property value is estimated at about $665.2 million, an increase of roughly 0.89% from the previous year.

Plano ISD’s total appraised property value is listed at approximately $105.76 billion, compared with $100.83 billion during the preceding tax year.

For homeowners, the district estimates taxes on the average residence would increase slightly. Based on a mean taxable home value of $368,605, taxes are projected at $3,807 annually, an increase of $54 from the previous year.

Meeting on June 23, PISD trustees adopted a $691.6 million general operating budget for fiscal year 2026-27 that projects a $44.8 million operating shortfall, reflecting continued pressure from declining enrollment, inflation and state funding formulas that district officials say have not kept pace with rising costs. 

The spending plan anticipates $634.6 million in general fund revenue and $691.6 million in expenditures, with the deficit to be covered through existing fund balance and other financing sources.

District officials said enrollment is expected to fall to about 41,830 students, continuing a multiyear decline driven by lower birth rates, changing demographics, rising housing costs and growing competition from charter schools, private schools and homeschooling. Because state aid is largely based on average daily attendance, fewer students translate directly into lower revenue. While House Bill 2 increased state funding, Plano ISD said the additional money does not fully offset enrollment losses, inflation and growing maintenance needs for aging facilities.

Instruction remains the district’s largest expenditure at about $340.8 million, followed by maintenance and operations at $55.6 million, school leadership at $32 million and guidance and counseling at $27.2 million. 

The budget also includes a 2% salary increase for eligible employees; market-rate pay adjustments and continued health care contributions to retain staff. 

Rising recapture payments, utilities, insurance and transportation costs were identified as major spending pressures, although the district plans to offset some increases through staff attrition tied to declining enrollment, payroll efficiencies and continued zero-based budgeting.

Revenue changes include higher Available School Fund distributions and proceeds from property sales, offset by lower local tax collections resulting from state-mandated tax rate compression, reduced investment earnings and lower reimbursements. 

District leaders said they will continue focusing resources on classroom instruction while seeking operational efficiencies to preserve long-term financial stability despite ongoing funding challenges.

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