The FY 2024-25 budget totals $179.9 million—a 25% increase from last year—per city documents. The budget contains a $6.9 million shortfall.
The budget plans for a property tax rate of $0.458632 per $100 valuation, which represents a more than $0.03 decrease from the FY 2023-24 tax rate of $0.491818.
“This is the lowest tax rate that the city has had since prior to 1984,” Mayor Wes Mays said.
The approved budget contains slightly reduced expenditures after amendments were made following an Aug. 13. meeting. These amendments resulted in the city generating less revenue from property taxes than planned, allowing for further reduction in the maintenance and operation portion tax rate and leading to an even lower overall tax rate than initially anticipated, according to city staff.
The details
The budget maintains the city’s infrastructure, and enhances existing service levels, said Kim Tiehen, director of strategic financial engagement. It also considers the challenges affecting revenue streams, including inflation and the competitive labor market.
This budget includes a $31.1 million one-time transfer from the general fund to the infrastructure maintenance fund to fully fund facility and traffic projects for the next five years. The approved tax rate would generate almost $1.96 million more in property tax revenue in FY 2024-25 than in the previous year due to increasing property values.
More details
Property values have increased by almost 10% since 2023 with an average household valued at $537,331, Tiehen said. Despite a lower tax rate, the rise in property values means the average resident will pay around $2,464 on their tax bill in FY 2024-25—an increase of about $56 annually—Tiehen said.
Additionally, since Coppell is nearly built out, there are not many new-build project contributing to new tax revenue each year, Tiehen said. The city anticipates $191,213 to be raised from new property added to the tax roll in FY 2024-25, she added.
Zooming in
Budgeted revenues total nearly $173 million, an increase of 27.51% from the previous fiscal year. The increase in total revenue is primarily due to the one-time transfer to the infrastructure maintenance fund for $31.1 million. This transfer is recorded as an expenditure in the general fund, according to documents.
The FY 2024-25 budget outlines expenditures totaling just under $180 million for all funds. Some budget expenses include:
- Coppell Recreation and Development Corporation funding for park infrastructure improvements, park amenities, replacements and repairs of capital equipment
- Funding for two new positions—an economic development coordinator and a senior code compliance officer that will help the city attract economic development and maintain the integrity of neighborhoods
- The intentional use of fund balance and retained earnings for one‐time expenses, such as the purchase of body cameras for the police department
The budget allocates funds for community and economic development, recreation and cultural and public safety initiatives, and additional improvement projects.
Some of these projects include funding for the Wagon Wheel Tennis Center, the Biodiversity Education Center, Senior and Community Center, cultural events, development of a new service center, construction of Fire Station No. 5, and reconstruction of Royal Lane and other bond projects, according to documents.
Public safety initiatives account for the largest portion of expenditures and include costs associated with the municipal court, police, fire and emergency medical services, emergency management, environmental health, and building inspections, according to documents.
