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HomeMy WebLinkAboutItem 12 - Ad Valorem Tax RateMEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGER 1 MEETING DATE: SEPTEMBER 15, 2015 SUBJECT: ADOPTION OF AD VALOREM TAX RATE RECOMMENDATION: City Council to consider an ordinance adopting an ad valorem tax rate $0.328437 per $100 valuation for fiscal year 2015-2016 (FY 2016) apportioned as follows: For the General Fund, a tax rate of $0.142070 per $100 value; For Debt Service, a tax rate of $0.186367 per $100 value. BACKGROUND: The FY 2016 budget was developed using the following values for tax rate calculation purposes: Total market value $10,004,960,942 Net taxable value $ 6,303,722,379 Taxable value for rollback $ 6,283,023,175 Taxable value for effective rate $ 6,283,023,175 New construction $ 45,298,575 The FY 2015-2016 budget includes the General Fund and Debt Service apportions of the taxes as noted above. The proposed tax rate of $0.328437 is equivalent to the calculated effective tax rate. A copy of the proposed ordinance is attached. Staff recommends approval. ORDINANCE N• L'&Avy GRAPEVINE,AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF . ANNUAL .: RATE PROPERTYFOR TAX YEAR 2015 LEVYING TAXES TO BE ASSESSED ON ALL TAXABLE OF GRAPEVINE,CITY OF • PROVIDING AND INTEREST FOR THE DELINQUENT DECLARINGPROVIDING AN EFFECTIVE DATE WHEREAS, the City Council of Grapevine, Texas has approved an operating budget for the fiscal year 2015-2016 (FY2016), in compliance with appropriate state laws and the Charter of the City of Grapevine; and WHEREAS, public hearings were held on the FY2016 budget and all interested parties were given an opportunity to be heard for or against any item contained therein; and WHEREAS, an ad valorem tax rate of $0.328437 per $100 valuation has been considered for tax year 2015. GRAPEVINE,NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY Section 1. That a tax rate is hereby levied upon all taxable property in the City of Grapevine, Texas for tax year 2015 at a rate of thirty-two eighty-four thirty-seven hundreds cents ($0.328437) per one hundred dollars ($100.00) valuation. THIS TAX RATE WILL RAISE MORE TAXES FOR MAINTENANCE AND OPERATIONS THAN LAST YEAR'S TAX RATE. THE TAX RATE WILL EFFECTIVELY BE RAISED BY 4.42 PERCENT AND WILL RAISE TAXES FOR MAINTENANCE AND OPERATIONS ON A $100,000 HOME BY APPROXIMATELY $14.66. Section 2. That there shall be and there is hereby levied the following taxes on each one hundred dollars ($100.00) valuation on all taxable property within the City of Grapevine, Texas, to be assessed and collected by the Tax Assessor/Collector and collected for tax year 2015, and said taxes are to be assessed and collected for the purposes and in the amounts hereinafter stipulated, to -wit: A. For the General Fund, a tax rate of $0.142070 per $100 is levied. B. For Debt Service, a tax rate of $0.186367 per $100 is levied. Section 3. That taxes levied by this ordinance shall be due and payable on the first day of October, 2015 and shall become delinquent on the first day of February, 2016, if unpaid. Upon taxes becoming delinquent, interest and penalty will be added as required in Section 33.01 of the Texas Property Tax Code, and shall commence on the first day of February, 2016. The City of Grapevine is hereby authorized to adopt any and all legal remedies provided by the Texas Property Tax Code for the purpose of collecting delinquent taxes. Section 4. That the fact that the fiscal year begins on October 1, 2015 requires that this ordinance be effective upon its passage and adopted to preserve the public peace, property, health, and safety, and shall be in full force and effect from and after its passage and adoption, and an emergency is hereby declared. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS, on this the 15th day of September, 2015. ATTEST: ORD. NO. 2