Zooming in
The proposed maximum tax rate is a little over 8% increase from the no-new-revenue rate, a tax rate adjustment that would keep the government’s revenue consistent despite changes in property values. It amounts to a monthly increase of $9.
The increase will go towards public safety, parks and recreation, and debt allocations, according to city documents.
The big picture
Tax rate is just one element of the city’s budget, which is a proposed $682.2 million for the upcoming fiscal year. Sales tax is the largest source of revenue for Round Rock, which has a partnership with Dell Technologies.
The final tax rate could be lower than the proposed maximum, and to go above it would require additional hearings and notices to meet a September budget deadline, according to officials. To comply with state law, City Council will vote on the maximum rate and also release a public notice of hearing dates.
What they’re saying
“In theory, you can go above that, but you'd have to restart the notice and hearing requirement,” Morgan said at a packet briefing Aug. 6. “The chances are slim, but the consequences of not getting it adopted by the end of September, it makes us rework for the no-new-revenue rate.”
Looking ahead
After the vote Aug. 8, a public hearing on the proposed 2024 property tax rate will be held on Aug. 22. The council will then vote on the final adoption of the rate at their September 12, 2024 meeting.
