AGENDA CAPTION:
Title
Consider approval of Resolution 2026-140R, setting a maximum proposed tax rate of 65.1500 cents per $100.00 of taxable value; setting the dates of September 1, 2026 and September 15, 2026, as the dates to hold public hearings on the tax rate; and declaring an effective date.
*SEE TAXPAYER IMPACT STATEMENT AT THE END OF THIS AGENDA*
Body
Meeting date: August 18, 2026
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 31,2026, City Council passed Resolution 2026-46R, approving the FY 2027 Budget Policy Statement. The Budget Policy Statement provided guidance for the property tax rate to be kept at the current rate of 65.1500¢.
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 benchmark tax rates are important for the FY 2027 Budget:
No-New-Revenue Rate 63.5574¢
Proposed Budget Rate 65.1500¢
Current/FY26 Rate 65.1500¢
Voter Approval Rate 68.3087¢
City Council must set the maximum proposed tax rate for the FY 2027 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 63.5574¢, 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 63.5574¢, City Council must take a record vote and schedule a public hearing on the maximum proposed tax rate.
The proposed FY 2027 Budget as submitted by the City Manager is predicated on the proposed budget rate and current rate of 65.1500¢. Public hearings on the tax rate are scheduled for September 1, 2026, and September 15, 2026.
Council Committee, Board/Commission Action:
N/A
Alternatives:
N/A
Recommendation:
City Council set the maximum proposed tax rate at 65.1500¢ and set the dates of September 1, 2026, and September 15, 2026, to hold public hearings.