Title
Consider/Discuss/Act on Fiscal Year 2017-18 Proposed Tax Rate, Take Record Vote and Set Public Hearing and Adoption Dates
Summary
COUNCIL GOAL: Financially Sound Government
MEETING DATE: July 31, 2017
DEPARTMENT: Financial Services
CONTACT: Mark Holloway, Chief Financial Officer
RECOMMENDED CITY COUNCIL ACTION:
* Discuss FY2017-18 proposed tax rate.
* Take record vote on proposed tax rate.
* Schedule Public Hearings & Adoption Date:
o First Public Hearing: August 15, 2017, 6:00 p.m. at the Collin County Jack Hatchell Administration Building, 2300 Bloomdale Road, Collin County Commissioners Court, 4th Floor, McKinney, Texas 75071.
o Second Public Hearing: September 5, 2017, 6:00 p.m. at the Collin County Jack Hatchell Administration Building, 2300 Bloomdale Road, Collin County Commissioners Court, 4th Floor, McKinney, Texas 75071.
o Announce Tax Rate Adoption Date: September 19, 2017, 6:00 p.m. at the Collin County Jack Hatchell Administration Building, 2300 Bloomdale Road, Collin County Commissioners Court, 4th Floor, McKinney, Texas 75071.
ITEM SUMMARY:
* The proposed tax rate ceiling is $0.562600 based on 100% market ratio on each $100 of all taxable property within the City.
* The rate for Maintenance and Operations (M&O) is $0.398012 per $100 valuation.
* The rate for Interest and Sinking Funds (I&S) is $0.164588 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 $0.526703.
* The effective tax rate is the relationship between taxes for the preceding year and for the current year.
* City Manager's recommended tax rate will be significantly lower.
BACKGROUND INFORMATION:
* State law requires an entity that will propose a tax rate that exceeds the lower of the rollback or effective tax rate, the entity must vote to place a proposal to adopt the rate on the agenda of a future meeting as an action item. This must be a record vote.
* The effective tax rat...
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