SUBJECT
title
An Ordinance of the City of Laredo, providing for the adoption of a tax rate of $0.507623 per $100 of value for Tax Year 2024. This tax rate will have a Maintenance and Operation Rate of $0.396888 per $100.00 of value and an Interest and Sinking Fund Rate of $0.110735 per $100.00 of value for the levy and the collection of General and Special Ad Valorem taxes for the City of Laredo in the amount of $120,850,126 for Tax Year 2024 and Fiscal Year 2024-2025.
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PREVIOUS COUNCIL ACTION
On August 5, 2024, Council made a motion to approve the 2024 Certified Appraisal Roll from the Webb County Appraisal District for the development of the City's tax roll; accept the no-new-revenue and voter-approval tax rate calculations for Tax Year 2024; and proposed a tax rate of $0.507623 per $100 of value for Tax Year 2024. A public hearing was held on September 11, 2024 and an ordinance was introduced.
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. This includes the calculation and publication of the no-new-revenue and voter-approval tax rates and the posting of the notice and holding a public hearing if the tax rate exceeds the lower of theno-new-revenue tax rate or the voter-approval tax rate.
The budget prepared by staff is based on the tax rate of $0.507623 per $100 of value. The rate of $0.396888 per $100 of value is for the operations portion of the budget and the rate of $0.110735 per $100 of value is needed in order to service the tax supported debt requirements of the City.
Proposed Tax Rate $ 0.507623 per $100 of Value
Current Tax Rate $ 0.533945 per $100 of Value
Variance $-0.026322 per $100 of Value
Tax levy is based on the proposed tax rate as follows:
2024 Certified Value
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Approved Value $ 23,875,316,834
Under ARB Review Value $ 452,055,885
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Total Net Taxable Certified Value $ 24,327,372,719
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Levy-Proposed Tax $0.507623 per $100 of Value $ 123,491,339
Less Freeze Levy Loss $ (2,385,234)
Less Total TIRZ Loss $ (255,979)
(Total Captured Value=$50,427,068)
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Total Levy $ 120,850,126
Estimated Levy @ 98% Collection Rate $ 118,433,124
COMMITTEE RECOMMENDATION
Not Applicable
STAFF RECOMMENDATION
recommendation
To adopt a tax rate of $0.507623 per $100 of value for Tax Year 2024 with a Maintenance and Operation Rate of $0.396888 per $100 of value and an Interest and Sinking Fund Rate of $0.110735 per $100 of value.
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Fiscal Impact
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Change Order: Exceeds 25% Y/N: Click or tap here to enter text.
FINANCIAL IMPACT:
This Ordinance provides property tax revenue for the Maintenance and Operations of the City and payment of the Interest and Sinking Fund of Debt Service.