Leander City Council OKs unchanged tax rate, changes to utility billing cycle

Leander residents will likely see the city property tax rate remain the same in 2013 after City Council approved a maximum rate of 67.042 cents per $100 of value at its Aug. 2 meeting.

The effective tax rate—the tax required to levy the same amount in revenue on the same properties as the prior year—is 65.8507 cents per $100 valuation. By law, the city is required to hold two public hearings regarding the proposed tax rate before final approval. Council set the meetings for 7 p.m. Aug. 16 during the regular council meeting and another special meeting at 6 p.m. Aug. 23.

Leander property values in 2012 decreased by 1.2 percent compared to 2011, Finance Director Robert Powers said. If the current proposed tax rate is adopted, the average homeowner will pay $12.91 less this year, based on the 2012 average home value of $162,003. The average home value in 2011 was $163,928.

Powers also said the city tax base increased almost 8 percent since last year, from $1.76 billion to $1.89 billion.

Utility billing cycles

Council also approved staggering the city's utility billing cycles. Currently, all utility bills are sent on the first day of each month and are due the 15th of each month. Powers said the change will help staff handle all of the city's 10,000 utility accounts.

"We will take the remainder of time between now and September to advertise the change and communicate with customers to let them know when their assigned cycle would begin," Powers said.

Council members emphasized the importance of notifying customers during the time of transition. Powers said the new billing cycle schedule will begin in October.

Ethics complaints

After discussion in private executive session, council took no action against Mayor Chris Fielder in response to ethics complaints submitted by former mayor John Cowman. Cowman alleged Fielder strangled him at a council retreat in July 2010.