In need of some extra cash, South San Antonio Independent School District will ask voters to change its tax rate to in November.
Superintendent Saul Hinojosa said South San’s tax rate would stay the same — voters would just have to green light moving pennies from the side that pays off bonds to the side schools can use more freely.
South San’s voter approval tax rate election, or VATRE, is to move 7-cents from its interest and sinking rate, which pays for bond projects, to its maintenance and operations rate that covers day-to-day costs, like employee pay, student programs and utilities. This would unlock an extra $6 million to $8 million a year for the district.
School districts can change tax rates on their own, but only minimally, and 7 cents requires voter approval.
Because of a new state law aiming to rein in local tax increases from school districts and municipalities, South San also has to complete an internal efficiency audit by early July before the district can actually hold an election.
Hinojosa said South San is in a good place financially, passing a balanced budget last year and even seeing a small surplus this year, an uncommon feat compared to neighboring school districts.
But the district has aging buildings and several campuses need immediate repairs and maintenance work on roofs and HVAC systems. South San operates 14 campuses and serves around 7,000 students on the Southwest Side of San Antonio.
“We had a heavy thunderstorm yesterday and there were six campuses that had leaks,” said Hinojosa during a June 16 interview. “Right before school let out, we did have to relocate students … because of the amount of water that was coming into the classroom.”
He said it would cost around $2.5 million to $3 million to repairs school roofs across the district. South San also has $25 million worth of HVAC deferred maintenance.
While most districts would likely issue a bond for projects like roof and HVAC repairs, Hinojosa said the needs at South San are too pressing, and the district doesn’t have the capacity yet to go out for a bond.
The VATRE funds would also cover 5% raises for paraprofessionals, teaching and instructional aides, several of which make less than $15 an hour right now.
South San’s VATRE would also tap into what’s referred to as golden and copper pennies, mechanisms school districts can use where the state matches what taxpayers pay up to a certain point, generating extra revenue. Golden pennies are worth more than copper pennies.
But Bexar County voters have shown little appetite for school tax measures in recent election cycles. Last year, voters said no to VATREs in Judson ISD, East Central ISD and Schertz-Cibolo-Universal City ISD, showing more favorable attitudes for bond proposals.
Two of San Antonio’s largest school districts, San Antonio ISD and Northside ISD, may also be going out for VATREs and bond elections of their own this year, potentially translating into higher tax rates in those areas.
Unlike South San, both SAISD and NISD are facing budget deficits. This is the reality for most districts across Texas.
The last time South San went out for a tax rate election was in 2010, when voters passed $58 million bond measures that focused on the district’s flagship high school. The measure passed with a narrow 59-vote margin.
‘On track’ for voter support
Hinojosa is optimistic and feels like South San on the right track for voter support.
He’s been floating the idea to local community members, homeowners associations and business owners since January, and he says all have been supportive.
Once known for board infighting and investigated for financial mismanagement by the state, the South San is currently under state control.
In February of 2025, the Texas Education Agency replaced South San’s superintendent with Hinojosa, formerly superintendent of Somerset ISD only a few miles away. TEA also replaced elected trustees with a board of managers who applied for those seats.
Under Hinojosa’s administration, South San cut its budget deficit, which increased to $12 million in 2023. The district also implemented staff cuts and new hiring strategies, paying teachers more based on performance and certifications, launching a partnership with Teach For America in February and phasing out uncertified teachers.
South San is also on track to being debt free by 2033 from the 2010 bond election.
The district also took advantage of the state’s “disaster pennies,” a mechanism school districts who’ve been affected by severe weather events can activate to get extra cents from the state for every taxpayer dollar. Disaster pennies only work for one year, and will expire at South San this August, having generated an additional $3 million for pay incentives and big-ticket purchases.
This year, South San also saw academic growth in grade-level performance on the STAAR test for most grades and subjects compared to 2025. Hinojosa said graduation rates also increased by 88% to 95% in one year.
“We have systems in place here at the district level, and we’re going to continue to focus on improving our academic outcomes,” he said.
