City Council at its Aug. 8 meeting unanimously passed a resolution that sets the proposed tax rate at $0.628765 per $100 valuation.
“It puts a ceiling on [the tax rate]; it doesn’t put the floor,” Pearland Mayor Kevin Cole said.
Pearland City Council cannot pass a tax rate higher than the proposed rate passed in the Aug. 8 resolution, City Manager Clay Pearson said. The proposed tax rate is higher than the no-new revenue tax rate but lower than a rate that would require voter approval, also known as voter approval tax rate, he said.
City Council can reduce the rate once it is officially adopted prior to the 2022-23 fiscal year, Pearson said. The proposed tax rate is lower than the rate adopted for FY 2021-22, which was $0.701416 per $100 valuation.
The property tax rate is for the city of Pearland only. Pearland ISD has not yet passed a tax rate for FY 2022-23. Alvin ISD has also not adopted a tax rate but is projecting for it to be $1.3777 per $100 of valuation for FY 2022-23.
The city’s timeline for the tax rate includes two budget workshops Aug. 13 and Aug. 22, and the city is planning to pass the first reading of the tax rate Sept. 12 with the second and final reading passed Sept. 26 prior to the new fiscal year.
