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HomeMy WebLinkAboutItem 04 - Proposed Ad Valorem Tax RateL.L IIS :#„ MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGER MEETING DATE: AUGUST 6, 2013 SUBJECT: AD VALOREM TAX RATE RECOMMENDATION: A proposal to adopt an Ad Valorem tax rate of $.3425 per $100 valuation at the September 10, 2013 regular City Council Meeting. BACKGROUND: State law requires that when any tax rate that is above the effective tax rate as calculated by the July 25, 2013 Certified Tax Roll, a governing body must vote to place that tax rate on a future City Council agenda as an action item. The proposed rate of $.3425 is above the effective rate of $.339068 per $100 of valuation. The effective tax rate only allows a jurisdiction to set the rate so that the same amount of tax from the current year will be collected in the next fiscal year. The current rate is $.345695. Staff recommends the approval of the motion to place the rate of $.3425 on a future City Council agenda.