After months of preparation and hours of discussion and debate, council members will finally take action to lower the tax rate for the city of Rosenberg.
The Rosenberg City Council meeting Tuesday is set to begin at 6:30 p.m. at City Hall, 2110 Fourth St. Council is also scheduled to adopt the 2020 budget and ratify the budget.
In early August, council came to a consensus to lower the tax rate a cent and a half. The proposed budget was prepared utilizing a 41.5 cents per $100 valuation tax rate applied to the certified taxable property values. The current tax rate is 43 cents.
Based on the effective tax rate calculation, the 2020 effective tax rate is 41.1 cents per $100 valuation. According to Assistant City Manager Joyce Vasut, because the proposed tax rate is higher than the effective tax rate, this equates to a tax increase.
Even with the proposed reduction, the new tax rate will generate more money than last year’s due to increased taxable values, city staff noted. Council is required to have a separate vote to ratify the adoption of a budget that will require raising more revenue from property taxes than in the previous year.
City staff anticipates the collection of more property tax revenue than in the previous year and the fiscal year 2019- 2020 budget, as adopted, also anticipates this increase in property tax revenues. Council also agreed to make changes to the proposed budget.
Those recommendations included the addition of a part-time kennel technician, the reduction in police department fuel, the reduction in various departments’ worker’s compensation rates, and the removal of the assessment payable from the Fire Station No. 3 fund to the Summer Park Property Owners Association.
Council members agreed to move the $100,000 capital expenditure for the railroad quiet zones project from the general fund to the Rosenberg Development Corp. projects fund as well.