Council voted to set the maximum tax rate at $0.0439 per $100 of valuation for FY 2020-21. This tax rate is expected to balance a $420.2 million budget, with $3 million carved out for neighborhood street maintenance.
Since 2012, the city has spent $37.1 million on neighborhood street projects, including repaving work and repairs to curbs, gutters and sidewalks.
Council members discussed concerns about falling behind on street maintenance during an Aug. 11 meeting.
“It’s certainly my opinion that if we delay maintenance, it’s not going to be just inflation we’re dealing with,” Council Member Matt Baker said. “We’d also be dealing with increased maintenance for the repairs that didn’t happen.”
Council’s action to set the maximum tax rate Thursday night is one of several steps within the budget process. The Aug. 13 vote set the maximum tax rate that can be approved, meaning council could ultimately adopt a lower tax rate if they so choose.
Should council ultimately adopt the $0.0439 rate, the owner of a median value home is expected to pay an approximately $3 more per month in city property taxes, for a total of approximately $95 a month, Chief Financial Officer Susan Morgan said.
Council will vote Aug. 27 to formally adopt the tax rate. Round Rock residents can submit feedback on the tax rate and budget on the city’s website.