The fiscal year 2020-21 budget reflected a tax rate of $0.0786 per $100 valuation, an increase from the 2019-20 rate of $0.07. Finance Officer Vonda Ragsdale estimated in August that the increase would provide the city with an additional $190,000 in revenue.
“Given the fact that we’ve taken a sizable hit to sales tax revenue that this [tax rate] makes sense,” Anthony said. “It’s not a big increase by any stretch of the imagination.”
The Texas State Comptroller's Office released June sales tax revenue for cities Aug. 12. West Lake Hills saw a drop of 23.03% in June 2020 as compared to June 2019. During the first half of 2020, sales tax revenue saw a 12.03% year-over-year drop.
The tax rate will cost the average homeowner in West Lake Hills approximately $110 a year, according to Anthony.
Total revenue for FY 2020-21 is projected at about $5.7 million, which reflects a nearly $2 million drop from the previous fiscal year.
The city also considerably trimmed overall expenses, which are projected at $5,243,929 compared to about $7.42 million in FY 2019-20.