The Lakeway City Council unanimously approved Sept. 20 a $16.40 million budget for fiscal year 2021-22, and facing increasing property values in the city, voted to lower its property tax rate from the previous year to $0.1545 per $100 valuation. Property taxes are expected to generate $6.61 million, and the city will generate an additional $5.10 million from sales taxes. Sales taxes go toward general fund expenditures and a special fund for road maintenance and repair.
Total expenditures for the upcoming fiscal year, which begins Oct. 1, are rising 7% from what was budget for last year to bring the city back to what Lakeway City Manager Julie Oakley said is “pre-pandemic” conditions. This time last year, many cities in the Lake Travis-Westlake area cut back on expenditures because of the uncertainty presented by the COVID-19 pandemic.
The FY 2021-22 budget includes merit and cost-of-living increases for city staff, additional staff positions for the parks and police departments, and room to acquire replacement city vehicles. Three police vehicles will be acquired with four-wheel drive capability—something city staff learned is needed following last winter’s record storm, Oakley said.