Title
Discuss and consider action to approve an ordinance on first and final reading with the caption reading: An Ordinance of the City of Pflugerville, Texas, Tax Levy Ordinance of the City of Pflugerville, Texas for Fiscal Year 2025.
Summary
Summary of Tax Rate:
Current Tax Rate: $0.5362
No-New-Revenue Tax Rate: $0.5259
Voter-Approval Tax Rate: $0.5428
Proposed Rate : $0.5428
Based on the certified property values received from the Travis and Williamson Central Appraisal Districts, the Travis County Tax Office has calculated the voter-approval rate at $0.5428/$100 valuation and the no-new-revenue rate at $0.5259/$100 valuation. As required by the Texas Tax Code, this information has been published on the City website www.pflugervilletx.gov/budget and both the Travis (https://travis.trueprodigy-taxtransparency.com) and Williamson (https://williamsonpropertytaxes.org) Central Appraisal District Truth in Taxation websites. In addition, the Notice of Public Hearing on Tax Increase was published in the Pflugerville Pflag on September 18, 2024, as required by Tax Code §26.061.
The City's proposed tax rate of $0.5428 is an increase from the prior year tax rate by $0.0066, and includes two main components: the Maintenance & Operations tax rate (M&O) plus the Debt Service tax rate (I&S or interest and sinking). The proposed M&O rate of $0.2530 reflects a $0.0045 increase from the prior year, and the proposed I&S rate of $02898 is a $0.0021 increase from prior year.
The increase in I&S rate is due to issue 2025 bonds to support the five year Capital Improvement Plan.
On August 13, 2024, the City Council adopted a resolution specifying a maximum property tax rate for FY25 of $0.5428/$100 valuation, which is the voter-approval rate. In accordance with Texas Tax Code 26.05(b), at least 60% (5 out of 7) of the members of Council must vote in favor of the proposed tax rate in order for it to be adopted since the proposed tax rate exceeds the no-new-revenue tax rate.
The ordinance includes language required by Texas Tax Code Chapter 26.
Prior City Council Action
August 13, 2024 the City Council adopted a resolution specifying a maximum property tax rate for FY25 of $0.5428/$100 valuation.
Public hearing held September 24, 2024.
Deadline for City Council Action
Action is required on September 24, 2024 to adopt a tax rate for FY25.
Funding Expected: Revenue __ Expenditure _N/A _
Budgeted Item: Yes _X_ No __ N/A __
Amount: $61,510,765 Total Tax Levy
1295 Form Required? Yes __ No _X_
Legal Review Required: N/A _X_ Required __ Date Completed:
Supporting documents attached:
Tax Rate Ordinance
Notice of Public Hearing on Tax Increase
Recommended Action
Staff recommends approval of this ordinance on first and final reading with the caption reading: An Ordinance of the City of Pflugerville, Texas, Tax Levy Ordinance of the City of Pflugerville, Texas for Fiscal Year 2025.