At the Aug. 3 McKinney City Council meeting, council members set a maximum possible tax rate of $0.5025 per $100 valuation, which McKinney Chief Financial Officer Mark Holloway noted is lower than the city’s current tax rate of $0.508645 per $100 valuation. The actual recommended tax rate to be discussed at a later date is lower than this rate, Holloway said.
“The city manager's recommended tax rate in the budget will be less than the tax rate ceiling that you see before you tonight,” Holloway told the council.
Mayor George Fuller reiterated that the city had not yet set the tax rate for the upcoming fiscal year and that setting the actual tax rate was not the purpose of the item on the Aug. 3 agenda.
“We're not setting that [tax rate]; we're setting the ceiling,” the mayor said. “We've never since I've been on council, of course, ever had a tax rate that was this first meeting’s ceiling; it is just purely procedural.”
The city manager’s recommended budget will be discussed during the Aug. 13 budget work session, and a public hearing on the budget will be held Aug. 17. On Sept. 7 the city will hold its second public hearing on the budget and plan to adopt the final version of the budget as well as hold a public hearing on the tax rate and adopt the new tax rate.
Here is a look at the city’s property tax rate over the years: