McKinney City Council OKs reduced tax rate, $618M 2021-22 budget

McKinney City Council adopted a $618 million budget and a reduced tax rate at its Sept. 7 meeting.

Staff is budgeting about $171 million in new general fund revenue and a tax rate of $0.4977 per $100 of assessed value, which comes in more than $0.01 lower than the current tax rate of $0.5086, McKinney Chief Financial Officer Mark Holloway said in his presentation to the council.

Holloway pointed out that the city’s sales tax revenue is increasing, which allows the city to lower the property tax rate.

The general fund budgets for 43 new staffing additions, which includes 13 to the police department, including a new school resource officer, and 10 positions to the fire department, including an EMS captain.

The North Texas Municipal Water District will be increasing what it charges McKinney for wastewater services by about 11%, Holloway said, but the city is only passing along about 6% of that to residents' wastewater rates. The city will not increase its water rates. The new fiscal year will begin Oct. 1.

For additional information on the city’s budget, visit www.mckinneytexas.org/budget.

Editor's note: The original post has been edited to correct an error. McKinney is adding 43 city staff members to the city's general fund next fiscal year, and the North Texas Municipal Water District is increasing wastewater services.