To: Mark R. Hafner, City Manager
From: Aaron Rector, Director of Administrative Services
Subject:
Title
Consider a resolution ratifying the tax revenue for the Tax Year 2018 (Fiscal Year 2018-19) for the City of Keller, Texas.
Background:
If an adopted budget will require raising more revenue from property taxes than was raised the previous year, Section 102 of the Local Government Code requires a vote of the governing body (i.e., City Council) to ratify that property tax revenue increase.
The Proposed Fiscal Year (FY) 2018-19 Budget anticipates additional property tax revenue of $610,047 (2.6 percent) over FY 2017-18 estimated property tax revenues, so a resolution ratifying the tax revenue reflected in the adopted budget is required.
New construction is accounting for approximately $537,009 (88.0 percent) of that increase, with the remainder ($73,038 or 12.0 percent) attributed to increased values among existing properties.
The tax rate proposed in the FY 2018-19 Budget is $0.41325, a reduction of $0.01425 from FY 2017-18 and the fifth tax rate reduction in a row.
Budget Impact:
The property tax levy that is necessary to support the annual budget for the City of Keller.
Financial Considerations:
The following current property tax revenue is included in the 2018-19 budget:
General Fund (maintenance & operations)=$19,660,642
Debt Service Fund= 4,082,227
Total Property Tax Revenue= $23,742,869
Citizen Input/Board Review:
The proposed rate is under the effective rate so no public hearings were required.
Legal Review:
Not applicable.
Alternatives:
City Council has the following alternatives:
- Approve as submitted
- Approve with changes
- Denial