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File #: 20-418    Version: 1
Type: New Business Status: Passed
File created: 9/8/2020 Meeting Body: City Council
On agenda: 9/15/2020 Final action: 9/15/2020
Title Search: Consider an ordinance levying taxes to be assessed on all taxable properties within the city limits of the City of Keller, Texas for the Tax Year 2020 (Fiscal Year 2020-21).
Attachments: 1. 091520_Tax Rate Adopt Ord. No. 1985, 2. Item H-2 & H-3 Budget and Tax Rate.pdf

To:                     Mark R. Hafner, City Manager

From:                     Aaron Rector, Director of Administrative Services

Subject:                     

Title

Consider an ordinance levying taxes to be assessed on all taxable properties within the city limits of the City of Keller, Texas for the Tax Year 2020 (Fiscal Year 2020-21).

Body

 

Action Requested:                     

Approve the ordinance levying taxes to be assessed on all taxable properties within the city limits of the City of Keller for Fiscal Year 2020-21.

 

Background:                     

The tax rate proposed in the fiscal year 2020-21 budget is $0.39500/$100 of taxable valuation, a reduction of $0.0049 from the current year and is the seventh rate reduction in a row. 

The proposed tax rate distribution is summarized (allocated) as follows:
                                               Purpose                                                         Rate                                           Percent
Maintenance and operations (M&O)
                     $0.324190                                 82.1%
Debt service (I&S)
                                                       0.070810                                 17.9%
Total
                                                                           $0.395000                                100.0%

The proposed 2020-21 budget tax rate is lower than the no new revenue rate of $0.417588 so there is no state required motion language or record vote required.

At the August 18, 2020, Regular City Council meeting, City Council approved Resolution No. 4283 which set a maximum tax rate under both the no new revenue and voter-approval rate.  Therefore, the City is not required to hold a public hearing on a proposal to consider the adoption of a tax rate.

                                          

Financial Impact:

The adoption of the tax rate determines the tax levy that is necessary to support the annual budget for the City of Keller.  The total proposed levy is $23,582,462 or a decrease of $587,953 or 2.4% from the current year levy.  The average residential taxable value is $351,817 and the average household levy would be $1,389.68 at the proposed rate of $0.3950/$100.  That is a decrease of $31.54 per year or $2.63 per month from the current household levy.                     

 

Citizen Input/Board Review:                     

Not applicable.

 

Legal Review:                       

Not applicable.

 

Alternatives:                     

City Council has the following alternatives:                       

-                     Approve as submitted

-                     Approve with changes

-                     Denial