The city is proposing a tax rate of $0.42263 for FY 2022-23, according to city documents. This rate is $0.057069 lower than the FY 2021-22 tax rate of $0.479699.
The proposed preliminary tax rate is made up of a maintenance and operations rate of $0.26263, and a debt services rate of $0.16.
During the Aug. 4 City Council meeting, Executive Finance Director Robert G. Powers will be presenting the no new revenue, or NNR, tax rate as well as the voter approval tax rate, or VAR, calculations for the upcoming fiscal year in comparison to the FY 2021-22 tax rate. Powers will also compare the existing tax rate and the preliminary proposed tax rate for FY 2022-23.
The NNR rate is the tax rate that produces the same amount of taxes if applied to the same properties that are taxed in both years, according to city documents. Meanwhile, the VAR is the highest tax rate that a taxing jurisdiction may adopt without calling an election to seek voter approval of the rate.
Leander is proposing a tax rate between the NNR, which is $0.381432, and the VAR, which is $0.435795.
Due to Leander’s continued growth, the city’s taxable value grew by $3.2 billion, or 37.22%, for FY 2022-23 compared to FY 2021-22 and now totals $11.8 billion.
After the council accepts the tax rate calculations and considers a proposed tax rate, it will schedule a public hearing on the tax rate for Sept.1, if the proposed rate is higher than the NNR rate.
By law, more information is required to be published on both the Travis and Williamson central appraisal districts' websites as well as the city of Leander website.