AGENDA CAPTION:
Title
Consider approval of Resolution 2024-161R, setting a maximum proposed tax rate of 60.30 cents per $100.00 of taxable value; setting the dates of September 3, 2024 and September 17, 2024 to hold public hearings on the tax rate; and declaring an effective date.
Body
Meeting date: August 20, 2024
Department: Finance
Amount & Source of Funding
Funds Required: N/A
Account Number: N/A
Funds Available: N/A
Account Name: N/A
Fiscal Note:
Prior Council Action: On March 19,2024, City Council passed Resolution 2024-43R, approving the FY 2025 Budget Policy Statement. The Budget Policy Statement provided guidance for the property tax rate to be kept the same as the FY 2024 adopted tax rate.
City Council Strategic Initiative: [Please select from the dropdown menu below]
Public Safety, Core Services & Fiscal Excellence
Choose an item.
Choose an item.
Comprehensive Plan Element (s): [Please select the Plan element(s) and Goal # from dropdown menu below]
☐ Economic Development - Choose an item.
☐ Environment & Resource Protection - Choose an item.
☐ Land Use - Choose an item.
☐ Neighborhoods & Housing - Choose an item.
☐ Parks, Public Spaces & Facilities - Choose an item.
☐ Transportation - Choose an item.
☒ Core Services
☐ Not Applicable
Master Plan: [Please select the corresponding Master Plan from the dropdown menu below (if applicable)]
Choose an item.
Background Information:
Truth-in-taxation laws require the governing body to publish notice and hold a public hearing if the maximum proposed tax rate exceeds the lower of the no-new-revenue tax rate or the voter-approval tax rate. The following tax rates are important relative to the FY 2025 Budget:
No-New-Revenue Rate 59.96¢
Proposed Budget Rate 60.30¢
Current Rate 60.30¢
Voter Approval Rate 70.36¢
City Council must set the maximum proposed tax rate for the FY 2025 Budget. The final adopted tax rate may be equal to or lower than the maximum proposed tax rate. The final adopted tax rate may not be higher than the maximum proposed tax rate.
If the maximum proposed tax rate is equal to or less than the no-new-revenue rate of 59.96¢, City Council must take a record vote and a public hearing on the maximum proposed tax rate is not required. If the maximum proposed tax rate is higher than the no-new-revenue rate of 59.96¢, City Council must take a record vote and schedule a public hearing on the maximum proposed tax rate.
The proposed FY 2025 Budget as submitted by the City Manager is predicated on the proposed budget rate and current rate of 60.30¢. The City’s tax rate has been 60.30¢ since FY 2022. Public hearings on the tax rate are scheduled for September 3, 2024, and September 17, 2024.
Council Committee, Board/Commission Action:
N/A
Alternatives:
N/A
Recommendation:
City Council set the maximum proposed tax rate at 60.30¢ and set the dates of September 3, 2024, and September 17, 2024, to hold public hearings.