Plotting the
Local Tax Rate
Discover the difference between M&O and I&S
The local tax rate is divided into two main parts,
each with its own purpose and its own rules for how the money can be used.
Maintenance & Operations (M&O) is the portion of the budget that funds day-to-day needs.
These funds keep the district running—paying for staff salaries, classroom supplies, utilities, and student transportation.
It’s similar to the part of your personal budget that covers groceries, gas, and monthly bills.
The only real ways to change direction and increase the M&O side of the budget is to improve student attendance, increase enrollment or call a Voter-Approval Tax Rate Election.
Interest & Sinking (I&S) is reserved for long-term investments like building schools, renovating facilities, or making major safety improvements.
These funds come from bonds approved by voters and can only be used to repay that debt.
Think of it like a home loan: the money you borrow to build or renovate your home can’t be used to pay for everyday expenses.
The only way to increase the I&S side to borrow money for larger construction-related capital improvement expenses is to ask voters to consider a school bond election to incur and pay back debt.
The M&O portion of the tax bill pays the bills and keeps the district running.
The I&S portion of the tax rate is used to pay off bond debt to build and renovate facilities in CISD.
Checking the Manifest
Local funding for Channelview ISD comes from property taxes. The district sets a tax rate, but the Harris Central Appraisal District sets your property value.
Every dollar collected through local property taxes goes into one of two funds—each with a very specific job:
Maintenance & Operations (M&O) Rate
$0.6788 per $100 of taxable property value
These dollars support everyday expenses like salaries, supplies, and services that keep the district running.
Interest & Sinking (I&S) Rate
$0.2829 per $100 of taxable property value
These dollars are dedicated to repaying debt from voter-approved bonds used for construction and major facility improvements.
That adds up to a total tax rate of $0.9617 per $100 of assessed value.
A Deep Dive into CISD’s Tax Rate History
& the Impact on Funding
Over the last 10 years, the Channelview ISD tax rate has decreased by more than 45 cents.
While the I&S rate has remained relatively the same, the M&O portion has decreased due to state tax compression.
In Texas, when property value growth exceeds 2.5%, the state lowers the M&O rate and in turn, increases state funding.