08/14/2026
💛🏴☠️ FUN FACT FRIDAY: What is I&S? 🏴☠️💛
When you hear about a school district’s tax rate, there are actually two sides to it: M&O and I&S. Today, let’s talk about I&S — Interest & Sinking.
💰 I&S funds are used to pay the district’s voter-approved debt, primarily from bonds. Think of it like the district’s mortgage payment.
Bond funds may be used for major projects such as:
🏫 Building or renovating facilities
🚌 Purchasing buses
🔧 Major repairs and improvements
💡 Other voter-approved capital projects
Here’s the important part: I&S dollars cannot be used for everyday operating expenses like salaries, utilities, classroom supplies, or regular district operations. Those expenses fall on the M&O side of the budget.
So, even though M&O and I&S appear together on your school tax bill, they serve two very different purposes.
🏴☠️ M&O keeps the district running. I&S pays the district’s debt.
Understanding where school tax dollars go helps all of us better understand school finance.