SUBJECT
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Public Hearing and Introductory Ordinance for the adoption of a tax rate of $0.506090 per $100.00 of value for Tax Year 2025. The tax rate will provide revenue for the general fund and debt service. The rate includes $0.377599 per $100 of value for Maintenance and Operation and $0.128491 per $100 of value for the Interest and Sinking Fund of the Debt Service and is estimated to generate a tax levy of $134,248,550. The City Council is scheduled to vote on the tax rate on September 15, 2025, at 5:30 P.M. at City of Laredo, Council Chambers, 1110 Houston St., Laredo, Texas 78040.
The taxpayer impact statement as required by House Bill No. 1522 is as follows:
FISCAL YEAR FISCAL YEAR
2024-2025 2025-2026
DESCRIPTION CURRENT YEAR PROPOSED
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Total Tax Rate (per $100 of value) $0.507623 $0.506090
Median Homestead Taxable Value $182,335 $194,727
Tax on Median Homestead $925.57 $985.49
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VIVA LAREDO PLAN ALIGNMENT
Alignment Rating:
Supporting goal(s)/policy(ies):
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PREVIOUS COUNCIL ACTION
On August 4, 2025, City Council voted to set September 9, 10, 11, or 12 of 2025 as the public hearing date and introduce an ordinance for the adoption of a proposed tax rate of $0.506090 per $100 of value for Tax Year 2025, and council selected September 9, 2025.
BACKGROUND
Adoption of the ad valorem tax rate must be done in accordance with the Truth-in-Taxation Guidelines of the State of Texas Property Tax Code. Based on the certified numbers provided by the Webb County Appraisal District, a tax rate of $0.506090 per $100 of value meets the budget requirements for the operations of general fund and payment of debt service.
Proposed Tax Rate $ 0.506090 per $100 of Value
Current Tax Rate $ 0.507623 per $100 of Value
Variance $-0.001533 per $100 of Value
Tax levy is based on the proposed tax rate as follows:
2025 Certified Value
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Certified Approved Value $26,562,349,874
Under ARB Review Value $ 583,596,017
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Total Certified Value $27,145,945,891
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Levy-Proposed Tax $0.506090 per $100 of Value $ 137,382,918
Less Freeze Levy Loss $ (2,795,731)
Less Total TIRZ Loss $ (338,637)
(Total Captured Value=$66,912,428)
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Total Levy $ 134,248,550
Estimated Levy @ 98% Collection Rate $ 131,563,579
COMMITTEE RECOMMENDATION
Not Applicable.
STAFF RECOMMENDATION
recommendation
To hold a public hearing and introduce an ordinance to adopt a tax rate of $0.506090 per $100 of value for Tax Year 2025 with a Maintenance and Operation Rate of $0.377599 per $100 of value and an Interest and Sinking Fund Rate of the Debt Service of $0.128491 per $100 of value.
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Fiscal Impact
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FINANCIAL IMPACT:
Provide property tax revenues for Maintenance and Operations and Debt Service for the City of Laredo for Tax Year 2025.