2023-24 Budget - Laserfiche WebLink

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If at any time the reader of this memorandum has any questions, please contact my office at City Hall. I will be more than happy to answer any questions you have. 11 � ffl!1111111�� M &A inatche 0111001 amount from FY22/23, which also matches the levy in the FY21/22 budget. This will be our second consecutive ye of keeping the property tax levy static. This is based on a 97% collection rate, The Debt Service levy however I'L5 uu each year, changes in property valuations through the Lamar County Appraisal District iMpact the final rate associ with our budgeted levy amounts. While the M & 0 rate is decreasing in the proposed FY23/24 as compared FY22/23, the total combined property tax rate between M & 0 and Debt Service is increasing. The following lists ti FY20/2 1, FY21/22, FY22/23 and the Proposed FY23/24 tax rates: Year. . .... - M&O Debt Total FY20/21 $0.39788 $0,08290 $0.48078 FY21/22 $0.37357 $0.08016 $0,45373 FY22/23 $0.34377 $0.09901 $0.44278 FY23/24 $0.32176 $0.15606 $0.47782 Preliminary FY23/24. . Fund FY20/21 FY21/22 FY22/23 . .......... ...... . . .. $032176 M&®.......($0.076. 2} ($0,0762) ($0.05181) ($0.02201) $4,15606 Debt $0.07316 $0.07590 $0.05705 $0.47782 Total ($0.00296) $0.02409 $0,03504 The Proposed FY23/24 Tax Rate will be the highest tax rate since FY20/21. This tax rate is, to the best of our determination usin" I'll CorriLttroller's Forms, in full compliance with Senate Bill 2, also known as the Texas ProN", Tax Reform and Transparency Act of 2019, approved by the Texas Legislature in 2019. Among other things, this Act is designed to restrict the City's ability to raise property taxes. This is a double edged sword. I will provide more details regarding this Act later in this memorandum, nevertheless, given the restrictions this Act places upon State Legislature when needed in order to keep up with the vital services we offer the citizens. To fall behind under expect of the City. The key point in my above statement however is "when needed". In FY22/23, the City did not use ity full 3.M6 -growth due to better than expected Sales Tax revenue. Instead, we left $0.00681 available tQ_bg_utijjw_d. forever). In addition, we have balanced our budget using the 97% value of the total estimated property taxes to be received urder the M_Z� 0 =e= we typically hover around 97%. Therefore, it is logical to utilize a more realistic 97% figure when balancing the