Title
Conduct First Public Hearing on Proposed Tax Rate for Fiscal Year 2016-17
Summary
COUNCIL GOAL: Financially Sound Government
MEETING DATE: August 22, 2016
DEPARTMENT: Financial Services
CONTACT: Mark Holloway, Interim Chief Financial Officer
RECOMMENDED CITY COUNCIL ACTION:
- Conduct the first public hearing on the FY2016-17 proposed tax rate.
- Announce:
o Second Public Hearing: September 6, 2016, 6:00 p.m. at the Council Chambers
o Tax Rate Adoption Date: September 20, 2016, 6:00 p.m. at the Council Chambers
ITEM SUMMARY:
- The proposed tax rate is $0.57700 based on 100% market ratio on each $100 of all taxable property within the City. The proposed tax rate is 6/10ths of one cent lower than last year.
- The rate for Maintenance and Operations (M&O) is $0.405769 per $100 valuation.
- The rate for Interest and Sinking Funds (I&S) is $0.171231 per $100 valuation.
- The tax rate ratio is 70% for M&O and 30% for I&S.
- The proposed tax rate exceeds the effective tax rate of $0.534543.
- The proposed tax rate will raise more taxes for M&O than last year’s tax rate.
- The amount of taxes imposed this year on the average home value of $299,986 would be $1,731.
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- BACKGROUND INFORMATION:
- State law requires an entity to hold two public hearings before adopting a tax rate.
- On August 1, 2016, the City Council took a roll call vote on the tax rate.
- The two public hearings are on August 22, 2016 and September 6, 2016.
- The tax rate adoption date is September 20, 2016, which must be a record vote.
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- FINANCIAL SUMMARY:
- Estimated tax revenues of $69,422,266 (100% collection rate) for FY 2016-17 are based on this tax rate.