Item 6ICITY OF
SOUTHLAKI
MEMORANDUM
August 27, 2014
To: Shana Yelverton, City Manager
From: Sharen Jackson, Chief Financial Officer
Subject: Consider proposal to adopt a tax increase
Action
Requested: Consider proposal to adopt a tax increase and hold public
hearing on the tax rate.
Background
Information: The proposed tax rate of $.462 will exceed the effective tax
rate ($.447209) and increase tax revenues. Even though the
tax rate is held at $.462, the tax rate exceeds the effective
tax rate ($.447209) by 3.3%. Because the tax rate exceeds
the effective tax rate, state law requires that two public
hearings be held by the governing body before adopting the
proposed tax rate. This is the second of two public hearings
on the proposed tax increase. The first public hearing was
held on August 19t"
At each hearing, the governing body must announce the date,
time and place of the meeting at which they will vote on the tax
rate.
"City Council will vote on the tax rate on September 16, 2014
at 5:30 P.M. or immediately following the work session in the
City Council Chambers at Town Hall, 1400 Main Street
Southlake Texas"
Financial
Considerations: The effective tax rate would result in a property tax revenue
reduction of $932,650
Strategic Link: F1 Adhere to financial management principles and budget
Citizen Input/
Board Review: Second Public hearing is scheduled for September 2nd
Legal Review: None required
Alternatives: None
Supporting
Documents: None
Staff
Recommendation: Hold public hearing to consider a proposal to adopt a tax rate
increase.