From
Brady Olsen, Treasury and Debt Manager
Title
Resolution of the City Council of the City of Grand Prairie, Texas directing the Chief Financial Officer to calculate the City’s Property Tax Rate in accordance with State Law Provisions
Presenter
Becky Brooks, CFO
Recommended Action
Approve
Analysis
As a part of SB2, any city in which a disaster occurs can calculate their tax rate as set for special districts. This would allow the City Council to use the old rollback rate as opposed to the new voter approval rate. This resolution would only direct the CFO to calculate the rate allowed. This would not set a tax rate or even intimate Council has the desire to set a tax rate at the voter approval rate. This is a step that will allow Council greater flexibility to set a tax rate that supports the desired budget.
Financial Consideration
This resolution will allow for greater flexibility in setting the FY 2020/2021 budget as we collect more information on the ongoing financial effects of COVID-19.
Body
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS DIRECTING THE CHIEF FINANCIAL OFFICER TO CALCULATE THE CITY’S PROPERTY TAX RATE IN ACCORDANCE WITH STATE LAW PROVISIONS
WHEREAS, Chapter 26.04 (c-1) of the Tax Code provides an alternative property tax rate calculation methodology for the ‘voter-approval tax rate’ under a declared state of disaster. And, such alternative methodology is to be available for up to three tax years following the disaster, under specific conditions; and
WHEREAS, the Governor of the State of Texas declared the state a disaster proclamation on March 13, 2020 as a result of the COVID-19 Pandemic; and the Mayor declared a similar disaster for the City; and
WHEREAS, The Property Tax Code further requires the governing body to direct a ‘designated officer or employee’ to calculate the rate in this alternative manner, which responsibility in the City falls to the Chief Financial Officer (CFO) in conjunction with ...
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