McKinney City Council members unanimously approved the city’s fiscal year 2024-25 property tax rate and budget at a Sept. 3 meeting.

The gist

The council approved a tax rate of $0.415513 per $100 valuation, which is an over $0.01 decrease from the FY 2023-24 rate of $0.427513 per $100 valuation.

The approved tax rate consists of two parts, including:
  • The maintenance and operations, or M&O, rate, which is $0.278935 per $100 valuation
  • The interest and sinking, or I&S, rate, which pays for the city’s principal and interest on its debts, and is $0.136578 per $100 valuation
While this is a decrease in the overall rate, property owners may see an increase to taxes paid due to increases in home values. The average tax levy for a McKinney resident will be $2,137, based on an average market value of $574,579 and an average taxable value of $514,460, according to a presentation at an Aug. 9 budget work session.

The new tax rate will generate around $10.8 million more than the FY 2023-24 rate, which is a roughly 7% increase. Of that amount, about $6.4 million is tax revenue from properties added to the tax roll this year, city documents state.


According to budget documents, around $3.78 billion of new property value was added for FY 2024-25, bringing the total taxable value to around $39.69 billion.
Diving in deeper

The rate will support a general fund budget of $219.4 million in expenditures and $219.4 million in revenue, according to city documents. The budget includes raises for employees and 39 new city personnel roles, as well as some community grants.

The budget also includes $333.6 million in funding for capital improvement projects, according to a news release from the city, such as:
  • McKinney National Airport infrastructure work
  • Expansions and renovations to city and public safety facilities
  • Parks and park facility projects
  • Roadway infrastructure projects
  • Utility relocations for the US 380 bypass project
The budget and tax rate will go into effect starting Oct. 1, city documents state.

Quote of note


“The budget is a reflection of the valuable input provided by our community, as well as our unwavering commitment to accountability, transparency, and engagement,” McKinney City Manager Paul Grimes said in the release. “Our top priority is to continue providing essential services while investing in the future of our community, as envisioned by our mayor and City Council. We are confident that this budget will effectively enable us to achieve our shared goals.”

Learn more

For more information on the city’s property tax rate and budget, visit www.mckinneytexas.org/budget.