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HomeMy WebLinkAbout(2) PO 5905: ADOPTING TAX RATE FOR TAX YEAR 2008 (FISCAL YEAR OCTOBER 1, 2008 - SEPTEMBER 30, 2009)Memorandum City of Port Arthur, Texas Finance Department To: Steve Fitzgibbons, City Manager From: Rebecca Underhill, Director of Finance Date: September 10, 2008 Subject: Proposed Ordinance No. 5905 and 5906 RECOMMENDATION Pursuant to Section 26.05 of the Texas Property Tax Code, Proposed Ordinance No. 5905 Adopting the 2008 Tax Rate and Proposed Ordinance No. 5906, Approving the 2008 Tax Roll for the City of Port Arthur are presented for City Council consideration and approval. BACKGROUND The tax rate for 2008 is $0.76 per $100 valuation. With a 20% homestead exemption., the proposed tax rate would provide an effective tax rate of $0.608 for all homestead owners. Senior citizen and/or disabled homeowners receive a $25,000 exemption in addition. to the 20% homestead exemption. As a result, these citizens have no property tax liability unless their homf; is assessed at $31,400 or more. The 2008 taxable value is $1,970,913,867. This represents a $239,617,752 or 13.84% increase over the 2007 taxable value. The 2008 value will produce a tax levy of $14,978,945 based on the City's proposed tax rate of $0.76 per $100 of valuation. A comparison of values, tax levy and tax rates from 1999 to 2008 are as follows: YEAR TAXABLE TAX ADOPTED VALUE LEVY RATE 1999 $ 1,095,680,431 $ 8,491,523 $ 0.775 2000 1,135,695,447 8,801,640 0.775 2001 1,160,384,830 8,992,982 0.775 2002 1,183,370,370 9,170,120 0.775 2003 1,244,181,585 9,642,407 0.775 2004 1,418,923,933 10,996,660 0.775 2005 1,528,763,620 11,847,918 0.775 2006 1,431,012,945 11,090,350 0.775 2007 1,731,296,115 13,157,850 0.760 2008 1,970,913,867 14,978,945 0.760 Z:\Finance\Ordinances\Tax Ordinances Cover Memo.doc P.O. NCI. 5905 j ja: 09/9/08 ORDINANCE NO. AN ORDINANCE ADOPTING A TAX RATE FOR THE TAX YEAR 2008 (FISCAL YEAR OCTOBER 1, 2008 -SEPTEMBER 30, 2009) WHEREAS, the Tax Assessor-Collector has calculated and submitted to the City Council, pursuant to Section 26.04 of the Texas Property Tax Code, the effective tax rate of $0.697:328 per One Hundred and No/100 ($100.00) Dollars valuation of property; and, WHEREAS, the City Council held the required Public Hearings on the Proposed Tax Rate of $0.76 per $100 valuation on August 26, 2008 and September 9, 2008; and WHEREAS, the City Manager has submitted to the City Council the Budget for the Fiscal Year October 1, 2008 through September 30, 2009. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORT AR'CHUR: THAT, pursuant to Section 26.05 of the Texas Property Tax Code, the City Council hereby finds, determines and adopts an Ad Valorem tax rate on One Hundred and No/100 ($100.00) Dollars valuation for tax year 2008 as follows: Tax Rate to Fund Interest and Sinking Fund $0.402010 Tax Rate to Fund Maintenance and Operation Expenditures _ 0.357990 Tota12008 Tax Rate $0.760000 THAT, a copy of the caption of this Ordinance be spread upon the Minutes of the City Council. READ, ADOPTED, AND APPROVED, this 23rd day of September, 2008 , A.L>., at a Special Meeting of the City Council of the City of Port Arthur, Texas by the following vote: Mayor: Council members: Noes: Mayor Deloris Prince ATTEST: Perri Hanks, Acting City Secretary APPROVED AS TO FORM: Mark Sokolow -City Attorney APPROVED FOR ADMINISTRATION: 'ity Manager -Steve Fitzgibbons Director of Finance -Rebecca Underhill Jja/e:word/ordinance/TAX RATE 2008