Election 2026 Frequently Asked Questions

About Bay City ISD Election 2026

What is included in the proposed package?

Bay City ISD’s proposed package consists of two propositions: Prop A and Prop B.

Prop A would authorize BCISD to replace the 12 disaster pennies adopted in August 2025 and continue generating the additional $3.6 million in annual revenue to support the district's Maintenance & Operations budget to retain high-quality staff and maintain student programs.

Prop B provides $8 million of funding to pay off debt using bond funds, allowing the district to repurpose $1.6 million per year to the daily operating budget.

When was the last election?

How did the District determine the election proposal?

With the support of the Bay City ISD Board of Trustees, a Strategic Planning Committee was formed, made up of community members and district staff to study and provide recommendations for a possible VATRE and bond election on November 3, 2026, focused on the district’s financial deficit.

A 52-member committee of volunteer community members developed the 2026 VATRE and bond proposal in partnership with staff and administration. The committee met 4 times over 2 months to review the district’s financial data, public school finance, and the district’s facilities assessment.

Based on the committee’s work and recommendation, the Board called for a VATRE and bond election during the August 12, 2026 meeting.

What is the role of the school district during a bond and VATRE election?

By law, the role of any school district during a bond and VATRE election is to share factual information with the voters so the community may make an informed choice as to whether they wish to support or oppose a bond proposition. The District should also be responsive to citizens’ questions related to the bond issue and to ensure voters know when and where they have an opportunity to vote.

What happens if the proposed VATRE and bond don't pass?

If the VATRE and bond proposal does not pass, the district may have to explore other options to reduce costs. Academic and extracurricular programs not required to graduate will be subject to reduction or discontinuation along with staff associated with those programs. This includes, but not limited to, Academics, Athletics, Career and Technical Education, Fine Arts, and Student Organizations.

Voter-Approval Tax Ratification Election (VATRE) Information

What is a VATRE?

Bond Information

What is a bond election?

How does the bond process work?

Estimated Impact

How much is the proposed tax rate increase?

How much revenue would Prop A generate for Bay City ISD?

What is the tax impact of the proposed package?

There is no anticipated property tax rate increase associated with the Bay City ISD election based on the average home value in the district, which is approximately $200,893.

The estimated financial impact of the 2026 election includes the $140,000 homestead exemption approved by state voters in November. Homeowners age 65 and older will now receive a $200,000 homestead exemption if they have filed for and received the Over-65 Exemption through their local tax assessor’s office and make no major improvements to their home.

What does the ballot language say about the tax impact of Prop A?

A new legislative measure requires all Tax Ratification Elections for any school district to include the phrase “THIS IS A TAX INCREASE” on all ballot language. Homeowners ages 65 and older who have filed for and received the Over 65 Exemption will not see an increase over their frozen dollar amount if there have been no major additions or improvements to their home. Check your most recent Notice of Assessed Value Change to see if you will be impacted.

Prop A VATRE Ballot Language:
THIS IS A TAX INCREASE; ratifying the ad valorem tax rate of $0.9698 in Bay City ISD, a rate that will result in an increase of 0% in maintenance and operations tax revenue for the district, which is an additional $0 for the purpose of replacing the expired disaster pennies used for maintaining and operating the district.

What does the ballot language say about the tax impact of Prop B?

Since 2019, Texas state law requires all bond propositions for any school district to have the phrase ‘THIS IS A PROPERTY TAX INCREASE’ on all ballot language, regardless if the tax rate changes or not. Homeowners aged 65 and older who have filed for and received the Over 65 exemption will not see an increase over their frozen dollar amount, if there are no major improvements or additions to their home. Check your most recent Notice of Assessed Value Change to see if you will be impacted.

Prop B Bond Ballot Language:
THIS IS A PROPERTY TAX INCREASE; the issuance of bonds in the amount of $8,000,000 for the purpose of refunding all or a portion of the principal, interest, and redemption premium on certain previously issued maintenance tax obligations of the district, and the levy of taxes sufficient to pay the principal of and interest on the bonds.

Why does the ballot language state “...will result in 0% tax revenue increase and $0 additional funding”?

Flat state funding, combined with inflation, and state-imposed reduction of the local school tax rate, have resulted in a $15.7 million loss of revenue to the district over the last six years, producing a budget deficit and declining fund balance.

Because of this, in August 2025 Bay City ISD adopted an additional 12 pennies through a “Disaster Penny Adoption” as a way to recover a portion of the 32% decline in the M&O tax rate compression and would generate $3.6 million in additional revenue for BCISD.

Those additional Disaster Pennies expired in July 2026, meaning BCISD is no longer receiving this funding.

With the passage of Prop A, the district will be authorized to maintain the 12 M&O pennies adopted in August 2025, and continue to receive the estimated $3.6 million in revenue each year to help retain staff, and maintain student academic and extracurricular programs.

What if I am over 65?

There will not be an increase in taxes for senior citizens or disabled persons as a result of this proposed bond. School property taxes are frozen for senior citizens and disabled persons, and they will remain unaffected by the passage of the bond election, provided they have applied for and received the Over-65 Homestead Exemption with the appropriate appraisal district and have made no major improvements or additions to their residence.

Current homeowners aged 65 and older who own a home with an assessed value of $200,000 or less will now see their school district taxes drop to zero if they have filed for and received the Over-65 Exemption. The most recent legislation passed increases the Over-65 Homestead Exemption to $200,000.

To have your school taxes frozen, you must file a homestead application with the appropriate appraisal district and be granted the Over-65 exemption. To check your exemption status and school district tax amount for the current year, go to the Matagorda County Appraisal District property search at esearch.matagorda-cad.org, or call their office at 979-244-2031.

What is the financial impact on those with the veterans homestead exemption?

Veterans who have a 100% disability rating or surviving spouses of a member of the U.S. armed services killed in the line of duty would not see an increase in taxes.

Tax Code Section 11.131 entitles a disabled veteran awarded 100 percent disability compensation due to a service-connected disability and a rating of 100 percent disabled or of individual unemployability to a total property tax exemption on the disabled veteran's residence homestead.

Tax Code Section 11.133 entitles a surviving spouse of a member of the U.S. armed services killed or fatally injured in the line of duty to a total property tax exemption on his or her residence homestead if the surviving spouse has not remarried since the death of the armed services member.

Election 2026 FAQ