The next budget could offer a reduction in Hutto’s city tax rate to its residents, according to officials at a presentation Thursday night.

A special City Council meeting included a presentation of preliminary budget highlights and how they align with the city’s strategic plan, which was adopted earlier this year.

The city tax rate for 2017 was 52.04 cents per $100 of assessed value. The 2018 rate could be 51 cents per $100 valuation. In 2015 the rate equaled 52.8 cents per $100 of the assessed value of a house in Hutto. The rate in 2016 remained the same and a reduction came in 2017 with a rate of 52.04 cents. City Manager Odis Jones said the city’s rate could be 51 cents per $100 valuation for the upcoming year.

“It’s heading in the right direction,” Jones said. “We’ve made some structural changes to the city to be more efficient, not only in our thinking, but in our actions. We’re doing more with less.”

A lower city tax rate does not necessarily mean a lower tax bill for next year, Mayor Doug Gaul said. The Williamson County Appraisal District will certify the property appraisal values this month, and in cases of high assessment increases, tax bills will increase in spite of a lower city tax rate.

Jones said the budget process began in May and said he is excited to go through the next few meetings leading up to the adoption of the next budget. A budget workshop is scheduled July 15, a City Council meeting will be held July 20 and the final version is expected at the Aug. 3 City Council meeting.

Public hearings are planned for Aug. 17 and Aug. 24. The first reading of the budget is set Sept. 7 with a second reading and approval set for Sept. 21. and the budget takes effect Oct. 1.

“Our theme this year has been preparation,” Jones said. “The theme next year is growth. We are preparing to manage the growth. Being able to lower the rate while doing more is a sign the bow is turning. We have a lot more to do, but it’s all about preparation.”

Among the budget highlights presented by Hutto Chief Financial Officer Michel Sorrell on Thursday:

·      The creation of the new streets, drainage and grounds construction fund, funded by debt issuance of $3 million, relieving the general fund burden.

·      10 additional full-time employees, including five police officers, a streets and drainage foreman, market and creative specialist, fleet and facility technician, court clerk and meter technician.

·      Increase in base salary for sworn officers to compete with surrounding cities.

·      Average merit adjustment of 3 percent.

·      Equipment for new streets, drainage and grounds fund and the utility fund.

·      Additional insurance plan offering and limited rate increase.

General fund enhancements for the next budget discussed Thursday included:

·      Five new police officers

·      Court clerk

·      Building inspector

·      Fleet and facilities technician

·      Market and creative specialist

·      Software and computer upgrades

·      Police equipment, including cars, radio replacement, radar speed sign

·      Public works large modular building with possible cost sharing

·      3 percent merit/market increase for employees.

The preliminary budget shows revenues of approximately $12.3 million and expenditures of $12.2 million.

“I’m confident in what we’re doing,” Jones said. “We have a lot we are doing and [this] City Council has done a fantastic job in setting a new path for this city. We are humble in that we know we have so much more to do.”