Prosper Town Council members approved a $102.62 million total budget and a $0.505 per $100 valuation property tax rate for fiscal year 2024-25 during a Sept. 10 meeting.
The details
The new property tax rate is the town’s lowest since FY 2006-07, according to budget documents.
Here is how the $0.505 rate is allocated in Prosper:
- $0.324608 to maintenance and operations, which goes toward day-to-day operations
- $0.180392 to interest and sinking, which pays back the town’s debt
Even with a lower rate, which is a half-cent lower than last year’s and the lowest it has been in 18 fiscal years, town officials expect to receive more from property tax payments as property values rise and the town’s population climbs.
Some qualifying Prosper residents could also benefit from the town’s homestead exemption rate, which was raised from 15% to 17.5% in June for property taxes due in 2025.
Property taxes are the main revenue source for the general fund, which pays for the town’s governmental operations and department functions.
The general fund for FY 2024-25 is $52.82 million with funds split between Prosper's administration, police, fire, public works, community services, development services and engineering departments.
Some of the general fund expenses are one-time only. The town has $51.21 million in general fund revenue to pay for it, with the remainder coming from last year’s unspent money, Finance Director Chris Landrum said.
Zooming in
Prosper’s budget shows an emphasis on continued investment in infrastructure, public safety and sustainable community growth, according to a Sept. 12 town news release.
For Prosper’s first responders, this includes:
- $91,628 for fire department radio replacements
- $41,250 for an online paramedic school
- $276,049 for a stratified policing accountability model
- $367,250 in grant funds to expand Prosper’s Flock Safety Program
- $79,163 in grant funds for police officer safety equipment
The town also has two public safety-specific special purpose districts funded by a half-cent of the sales-and-use tax. Each district will receive millions of dollars this fiscal year:
- $3.35 million for crime control and prevention
- $3.54 million for fire control and emergency medical services
Funding for Fire Station No. 4 was also one of multiple projects budgeted for through the town’s capital improvement funds.
What comes next?
The budget will go into effect when FY 2024-25 begins Oct. 1.
