Council also approved the city’s community investment program budget at $305.5 million. The program addresses all the infrastructure needs of the city.
The tax rate will remain the same as last year but will be implemented as a “no new revenue” rate. This means only new properties will be subject to an increased tax rate.
Karen Rhodes-Whitley, director of budget and research, said the increase in residential property values has made up for losses in the commercial market.
“Commercial property went down, like a percent, but residential went up a percent,” Whitley said. “At the end of the day, it really kind of did stay the same. That's why they were able to pass the no new revenue rate, which brings in the same amount of revenue last year as this year, excluding any new property.”
According to a city budget report, Plano had around $45 billion in existing property value in 2021 and saw $852 million in new property value added during that year.
The budget also includes a raise of 3% for all city employees which will cost the city $6.5 million.
Water rates will remain the same but city officials said they will likely begin to increase starting next year.
A copy of the proposed budget can be seen here.
