Our property tax consists of the combined levies of five local taxing entities. If you live within the El Paso Independent School District as I do, those entities are the City of El Paso, El Paso County, EPISD, University Medical Center, and El Paso Community College.
Over the last couple of decades, these five entities have accumulated huge debts by issuing too many bonds, tax anticipation notes, and other debt securities, and by committing to overly generous pensions and other benefits for their tens of thousands of employees. As of FY 2022, their liabilities are as follows:
City of El Paso, $2,257,059,694 (including $851,565,991 in principal and interest on 10 certificates of obligation issued since 2013)
El Paso County, $248,335,199 (including $107,915,830 in principal and interest on 7 certificates of obligation and tax notes),
EPISD.$1,413,602,700 (including pension liabilities)
UMC, $889,200,000 in total liabilities (including $340,400,00 in long-term debt)
EPCC, $325,729,483 in total liabilities (including $65,319,815 in bond interest)
Thus, as far as I can tell from their budget books and financial reports, the five local taxing entities of EPISD residents have total liabilities exceeding
And that is a very conservative estimate that does not include the most recently issued debt.
Since the area of the EPISD has a total population of 311,906 (as of 2021), that means that every man, woman and child is on the hook for approximately $16,460!
Of course, we have the option of simply leaving El Paso for Las Cruces or some other community with lower taxes, and then we would not owe the five taxing entities of El Paso County a single penny.
And that is exactly what more and more El Pasoans are doing.
In fact, the population of the City of El Paso has declined by 6,129 since 2017 to only 677,456 residents, a drop of nearly 1% (although the population of El Paso County has increased slightly over the same period).
If the leaders of our five taxing entities do not come together and collectively agree to lower our taxation and debt to manageable levels, so that we are on par with other major Texas cities, El Paso will continue to lose population and we will enter into a financial death spiral that will inevitably result in government bankruptcies.
Enjoy your Sunday.
PHOTO: Edvard Munch, The Scream, 1895.