By ASHLEY TERRY, Editor

During its regular meeting on August 6, the Granbury City Council voted unanimously to propose a property tax rate of $0.3850 per $100 of assessed value – the same rate the city has used for the past few years.

On July 23, the City received its Certified Appraisal Roll from the Hood Central Appraisal District, which showed a certified net taxable value of properties of approximately $2.78 billion – an increase of $69.74 million, or 3%, over preliminary estimates. This growth reflects both increased property values ​​and new development within the City.

Finance Director Eva Gregory addressed the council during Tuesday’s meeting, explaining the impact of several tax rates calculated by the Hood Central Appraisal District.

The tax rate without new revenue, which allows the city to collect the same property tax revenue as last year, is $0.393736 per $100 of value. The voter-approved tax rate, which requires voter approval for any rate exceeding that amount, is $0.439924. The proposed rate of $0.3850 is below both rates, allowing the council to proceed without a public hearing, as required by Senate Bill 2.

Gregory said that by adopting a lower tax rate than the voter-approved rate, the city can also set aside any unused amounts below the unused increase rate for up to three years, allowing for greater flexibility in future tax rate adjustments. The unused increase rate is the three-year rolling sum of the difference between the adopted tax rate and the voter-approved tax rate, which for 2024 is $0.718077.

The city also had the option to adopt the de minimis rate of $0.448527, which was designed to provide smaller taxing entities with relief from the 3.5% voter approval tax rate. This rate, introduced as part of Senate Bill 2, allows smaller cities to adopt a tax rate that can generate an additional $500,000 in property tax revenue compared to the previous year. However, the council decided to maintain the current rate rather than pursue this alternative.

“I’ll reiterate: The $0.3850 is below the 0.03937% tax rate with no new revenue, and we’re proud of that,” said City Manager Chris Coffman. “If you want to implement a higher rate, now is the time to say so. There are plenty of roads to pay for and infrastructure to rebuild.”

“If we do $0.3850, that’s the same as last year and significantly lower than any other option we have,” said Place 3 Councilman Bruce Wadley. “All other options available to us are above that. If we do $38.50, we’ll stay at the same level as last year.”

“Yes, and we don’t have to hold a public hearing,” Gregory added.

The council then voted unanimously to adopt the proposed tax rate of $0.3850 per $100 of value and placed the item on the agenda for the September 3 council meeting.

The notice of the 2024 property tax rate and the notice requirements for the meeting to vote on the proposed tax rate are to be published in the August 17 edition of the Hood County News and posted on the City’s website.

There will also be a public hearing on the city’s proposed 2024-2025 annual operating budget on September 3.