Preliminary reports from Richardson’s appraisal districts show local property values are up $2 billion this fiscal year, a nearly 12% annual increase.
Local property values total $18.8 billion in fiscal year 2019-20, data shows. Property values within the Dallas County portion of Richardson make up about 60% of the total tax roll. The remainder of values are derived from properties in Collin County.
City Finance Director Keith Dagen presented the combined findings of Dallas and Collin counties’ appraisal districts to City Council on June 10. He stipulated preliminary data does not take into consideration resident protests and is subject to change once values are certified in late July.
Based on an analysis of preliminary versus certified values over the past five years, Dagen predicts once the tax roll is certified, the year-over-year increase will drop to 9.4% and total $18.4 billion. This would be the ninth increase over the past decade, Dagen said.
This means the city will have about $16.2 billion in property tax value to add to its budget— an increase of 5.8% year over year. The city’s adopted tax revenue will be applied to this value to generate revenue for fiscal year 2019-20, Dagen said.
The slight discrepancy is caused by the removal of property tax revenue from inside the city’s three tax increment finance zones. Property tax revenue in those areas is used specifically for on-site development and infrastructure improvements.
The appraisal districts have until July 25 to certify property values. Dagen said the city will incorporate finalized numbers into the proposed FY 2019-20 budget.