A Case for Fiscal Responsibility & Student Alignment
Doug Charles
Prosper ISD Board Meeting | December 15, 2025
What are the educational interests of students in the affected territory?
What are the educational interests of students in the affected districts?
What are the social, economic, and educational effects of this boundary change?
The TEA Commissioner will evaluate your decision on these criteria.
Nothing.
They're already here.
Maintenance & Operations
Tier 1 + Golden + Copper
Interest & Sinking (Bonds)
100% stays with PISD
Total PISD Tax Rate: $1.2141 per $100
| Component | Per Student | 274 Students |
|---|---|---|
| State Funding Received (FSP, Basic Allotment) | $6,136 | +$1,681,264 |
| Less: Education Cost to PISD | $13,012 | −$3,565,288 |
| Current Annual Shortfall | −$6,876 | −$1,884,024 |
IMPORTANT: This cost is already in PISD's budget.
These 274 students are educated by PISD regardless of annexation.
This shortfall is a sunk cost — not to be netted against annexation revenue.
The question isn't whether PISD will educate these students — they already do.
The question is: Will PISD receive the local tax revenue to support them?
| Component | Amount |
|---|---|
| NEW LOCAL TAX REVENUE (from $537.7M Assessed Value) | |
| M&O Revenue @ $0.7141 | +$3,839,514 |
| I&S Revenue @ $0.5000 | +$2,688,377 |
| Total New Revenue | +$6,527,891 |
| YEAR 1 DEDUCTIONS | |
| Less: Copper Penny Recapture | −$310,000 |
| Less: Denton ISD Debt Share (15 years, TEC § 13.004) | −$2,490,000 |
| Year 1 Net Benefit to PISD | +$3,727,891 |
$3.73 Million in NEW money to PISD — Year 1
After Year 15: No Denton debt → Annual benefit grows to $12.9M (Year 16)
Full calculations at prosperisdpetition.com/calculator
Annual Net Benefit
$13M+
Per Year, Every Year
No more Denton debt payments. Same revenue. Same students already in ADA.
$375M+
Net benefit to Prosper ISD over 30 years
A NO vote leaves this on the table.
Less than $7 per month to align our tax dollars with our schools
| Component | Prosper ISD | Denton ISD | Difference |
|---|---|---|---|
| M&O Rate (Operations) | $0.7141 | $0.7269 | −$0.0128 |
| PISD M&O is LOWER | PISD Wins | ||
| I&S Rate (Debt Service) | $0.5000 | $0.4800 | +$0.0200 |
| Pays for bonds/facilities | |||
| TOTAL TAX RATE | $1.2141 | $1.2069 | +$0.0072 |
Total rate difference is only 0.6% — essentially equal
PISD's M&O rate is actually LOWER than Denton ISD
Future Outlook: With continued state-mandated tax compression, DISD will likely become more expensive compared to PISD over time.
Note: The 52.6% is conservative — the voter registry includes voters who no longer own homes or live in Windsong Ranch. Actual support among current residents is likely 60%+.
Is that fair to your constituents?
| Question | Answer |
|---|---|
| What is the true net tax revenue impact? | +$3,727,891 Year 1 |
| How much additional recapture would PISD owe? | $310,000 (copper penny only) |
| What Denton ISD debt would PISD assume? | $2,490,000/yr for 15 years |
| DISD voted NO — what happens next? | See process below ↓ |
1. If PISD votes YES tonight → Petition goes to TEA Commissioner
2. Commissioner evaluates three criteria: educational interests of affected students, educational interests of both districts, social/economic effects
3. Commissioner issues final decision (approval or denial)
4. Either party may appeal to district court within 30 days
Bottom Line: PISD nets $3.73M in Year 1. After 15 years → $12.9M+ annually.
You have a fiduciary duty to the financial health of Prosper ISD.
PISD faces a $29.4M budget shortfall for 2025-26.
| Data Point | Source |
|---|---|
| PISD Tax Rates (M&O $0.7141, I&S $0.5000) | PISD 2025-26 Adopted Budget |
| PISD MCR ($0.5758) | TEA Tax Year 2025 Final MCRs (ty2025-final-mcrs.pdf) |
| DISD Tax Rates (M&O $0.7269, I&S $0.4800) | DISD 2025-26 Budget (Post-VATRE) |
| Property Value ($537,675,424 TAV) | Denton CAD 2024 Certified Values |
| Voter Signatures (360 of 684 = 52.6%) | Denton County Voter Registrar |
| Denton Debt Share ($31.75M / 12 years) | Denton ISD Budget Documents / TEC § 13.004 |
| PEF Financial Data ($3.27M assets, $1.65M revenue) | Form 990 (2024) via ProPublica Nonprofit Explorer |
| TEC Requirements | Texas Education Code § 13.051 |
| PISD Budget Shortfall ($29.4M) | PISD 2025-26 Adopted Budget |
| State Funding Per Student ($6,136) | PISD 2025-26 Budget: $201.5M State ÷ 32,832 ADA |
| Education Cost Per Student ($13,012) | PISD 2025-26 Budget: $427.2M Expend. ÷ 32,832 ADA |
Full analysis available at prosperisdpetition.com
360 families — a majority of voters
274 students — already in your schools
$375M+ — for the future of PISD
Right for our children.
Right for PISD taxpayers.
Right for the financial health of this district.
Doug Charles | dbcharles@me.com | prosperisdpetition.com