Round Rock City Council voted Thursday, August 11 to establish a proposed maximum property tax rate of 34.2 cents per $100 of appraisal for fiscal year 2022-2023 (FY23).
Although the tax rate is much lower than in previous years, the proposed rate is higher than the no new income tax rate of 32.6 cents, which would generate the same income as last year for existing properties based on this year’s property valuations. The additional 1.6 cents will be needed to pay for the final $21.7 million in bonds for the new library approved by voters in 2013, as well as additional public safety resources, said Susan Morgan, the library’s chief financial officer City.
At the proposed tax rate, the owner of a median taxable value home of $369,169 would pay an average of $1,263 in city taxes over the next year, an increase of $5 per month over the current tax rate. Many homeowners with homestead exemptions that cap taxable value above 10% each year could actually see a decline in taxes paid to the city this year, as commercial and nonresidential properties pay a significantly larger share of property taxes due as valuations increase and growth. Property owners can visit either williamsonpropertytaxes.org for Williamson County or travistaxes.org for Travis County to see how proposed tax rates from various local government agencies would affect their specific property.
“Our ability to provide great services at a lower tax rate than most similarly sized cities across the state and in our neighboring communities illustrates why economic and commercial development is so important to our community,” said Mayor Craig Morgan. “In Round Rock, nearly half of all property tax revenue comes from non-residential real estate, even though single-family residential real estate accounts for 92% of all real estate in the city.”
The city council will hold a public hearing and vote on the tax rate at its meeting on Thursday, August 25.
The City Council is under no obligation to finally pass this sentence; However, this is the maximum rate the Council may consider to meet the time requirements under state law without restarting the notification and consultation process.
To learn more about the City of Round Rock’s proposed budget and tax rate, visit roundrocktexas.gov/budget.