Magnolia City Council members approved proposing a lower property tax rate Aug. 11 for fiscal year 2020-21, lowering the tax rate from FY 2019-20. According to meeting information, the city is projected to receive the same amount of revenue as the previous year when properties taxed in both years are compared, despite the lower tax rate.

Interim City Secretary Diane Hurley said council members voted to propose a property tax rate of $0.4529 per $100 valuation during the meeting Aug. 11—more than $0.01 less than the current tax rate of $0.4645 per $100 valuation. As the property tax rate will generate no new revenue for the city, a public hearing on the tax rate is not required. According to meeting information, the city's adjusted property tax revenue for last year totaled $1.07 million. The city's adjusted taxable value—after subtracting the value of newly developed property in the city—totals $236.2 million for FY 2020-21, according to estimates from Montgomery County. Therefore, the new property tax rate of $0.4529 per $100 valuation is projected to generate no new tax revenue for the city as compared to FY 2019-20.

The city begins FY 2020-21 on Oct. 1.