- The Sun Valley solar project is estimated to be worth between $200 and $250 million, which will triple Abbott ISD’s tax base.
- For the life of this bond, the solar company will pay roughly 61% of all bond payments, leaving AISD taxpayers covering 39% of bond payments.
This bond will not impact senior citizens who have an Age 65 Freeze on their homesteads and make no significant improvements to their property, such as adding a swimming pool or building a game room.
The average home value in Abbott ISD $135,236. The chart below shows the tax impact if the bond were to pass based on home values. All Ag exemptions have been accounted for.
Abbott ISD’s Tax Rate History
Over the past 5 years, the Board of Trustees have dropped the tax rate by 17 cents. This bond will add no more than 13.2 cents to the current tax rate.
Bond Payments and Property Values
The graph below shows how the bond payments and projected I&S property values compare. The bond payments can be structured so that large payments are made at the beginning of the bond when the solar plant is at its highest value. Then as the plant’s value depreciates over 10 years, the bond payments will decrease accordingly. When the solar plant values become stable in years 11-25, so will the bond payments. Structuring the bond payments in this manner will ensure that the District capitalizes on the solar plant’s highest value, which allows the tax rate to remain consistent throughout the life of the bond.