From
Brady Olsen
Title
Ordinance adopting and levying the ad valorem tax for the Fiscal Year (FY) 2019/2020 at a rate of $.669998 per $100 of assessed value on all taxable property within the corporate limits of the city on January 1, 2019, not exempt by law; providing revenues for payment of current municipal expenses for interest and sinking fund on outstanding City of Grand Prairie debt; providing for enforcement of collections; providing for a severability clause; and providing an effective date
Presenter
Brady Olsen, Treasury and Debt Manager
Recommended Action
Approve
Analysis
The proposed rate of $0.669998 per $100 valuation significantly funds the FY 2019/2020 balanced budget, and it has not changed from the current rate. This year's proposed tax rate exceeds the effective tax rate. The vote on the ordinance, resolution, or order setting the tax rate must be a record vote. A motion to adopt the ordinance must be made in the following form:
"I move that the property tax rate be increased by adoption of a tax rate of $0.669998, which is effectively a 9.56% increase in the tax rate."
Financial Consideration
Property taxes will be allocated to the General Fund and Debt Service (I&S) Fund based on their respective components of $0.457127 and $0.212871 per $100 valuation.
Body
AN ORDINANCE OF THE CITY OF GRAND PRAIRIE, TEXAS, ADOPTING AND LEVYING THE AD VALOREM TAX OF THE CITY OF GRAND PRAIRIE, TEXAS FOR THE FISCAL YEAR 2019/2020, ON ALL TAXABLE PROPERTY WITHIN THE CORPORATE LIMITS OF THE CITY ON JANUARY 1, 2019, NOT EXEMPT BY LAW; PROVIDING REVENUES FOR PAYMENT OF CURRENT MUNICIPAL EXPENSES, AND FOR DEBT SERVICE ON OUTSTANDING CITY OF GRAND PRAIRIE DEBT; PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Council deems it in the public interest to adopt a tax rate for the Fiscal Year 2019/2020;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS:
SECTION 1. THAT by authority of the Charter of the City of Grand Prairie, Texas, and the Laws of the State of Texas, there is hereby levied for the FY 2019/2020, on all taxable property situated within the corporate limits of the City of Grand Prairie on January 1, 2019, and not exempt by the constitution and laws of the State of Texas or municipal ordinance, a tax of $0.669998 on each $100 assessed value of all taxable property.
SECTION 2. THAT of the total tax, $0.457127 of each $100 of assessed value shall be distributed to the General Fund of the City to fund maintenance and operation expenditures of the City.
This tax rate will raise more taxes for maintenance and operations than last year's tax rate. The tax rate will effectively be raised by 7.99 percent and will raise taxes for maintenance and operations on a $100,000 home by $-6.57.
SECTION 3. THAT of the total tax, $0.212871 of each $100 of assessed value shall be distributed to pay the City's debt service as provided by Section 26.04(e)(3) of the Texas Property Tax Code.
SECTION 4. THAT ad valorem taxes levied by this ordinance shall be due and payable on October 1, 2019 and shall be come delinquent on February 1, 2020.
SECTION 5. THAT for enforcement of the collection of taxes hereby levied, the City of Grand Prairie shall have available all right and remedies provided by law.
SECTION 6. THAT if any section, subsection, paragraph, sentence, clause, phrase or word in this ordinance, or the application thereof to any person or circumstance is held invalid by any court or competent jurisdiction, such holding shall not affect the validity of the remaining portions of this ordinance and the City Council of the City of Grand Prairie, Texas, hereby declares it would have enacted such remaining portions despite any such invalidity.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, SEPTEMBER 17, 2019.