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File #: RS-21-106    Version: 1 Name: Setting Preliminary Tax Rate
Type: Resolution Status: Passed
File created: 7/14/2021 In control: City Council
On agenda: 8/3/2021 Final action: 8/3/2021
Title: Consider a memorandum/resolution setting the preliminary tax rate for the FY 2022 Annual Budget and setting the date to hold a public hearing.
Sponsors: Finance Department
Indexes: Tax Rate
Attachments: 1. Staff Report, 2. Presentation
TITLE

Consider a memorandum/resolution setting the preliminary tax rate for the FY 2022 Annual Budget and setting the date to hold a public hearing.

SUMMARY

DATE:                     August 3, 2021

TO:                     Kent Cagle, City Manager

FROM:                     Jonathan Locke, Executive Director of Finance

SUBJECT:                     Setting the preliminary tax rate and public hearing date for the FY 2022 Annual Budget                                          

BACKGROUND AND FINDINGS:

Truth-in-taxation laws require the governing body to publish notice and hold a public hearing if a proposed tax rate exceeds the lower of the no-new-revenue tax rate or the voter-approval rate.  The following tax rates per $100 valuation are relevant to the proposed FY 2022 Budget:

No-New-Revenue Rate                                                                                      0.6713

Notice and Hearing Rate                                                                                    >0.6713

Proposed Budget Rate                                                                                      0.7056

Current Rate                                                                                                                                0.7330

Voter-Approval Rate                                                                                                           0.8357

The City Council must set a preliminary tax rate for the proposed FY 2022 Budget.  The preliminary tax rate is the maximum tax rate that may be adopted for the FY 2022 Budget.  The final tax rate may be equal to or lower than the preliminary tax rate. The final tax rate may not be higher than the preliminary tax rate.

If the preliminary tax rate is equal to or less than 0.6713, the City Council must take a record vote and a public hearing on the preliminary tax rate is not required.

If the preliminary tax rate exceeds 0.6713, the City Council must take...

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