The council approved a tax rate of $0.72 per $100 valuation for the city for fiscal year 2020-21, which is lower than the FY 2019-20 rate of $0.7412.
The tax rate is also lower than the no-new-revenue tax rate, according to City Manager Clay Pearson. The no-new-revenue tax rate is the rate that would allow the city to collect as much revenue in FY 2020-21 as it did in FY 2019-20.
“I am glad to see that. I think that it is positive for what we are getting out of this budget session,” Council Member Woody Owens said of the lower rate. “I love to see this rate go down.”
The city’s proposed expenditures budget is $89.47 million, which is lower than the city originally proposed, as city staff lowered the amount of spending for professional development at the request of council.
Council approved the budget and the tax rate unanimously on the first reading.
“To show that we can lower rates and improve services is a rarity, and it’s a win for our citizens,” Council Member Trent Perez said.