Meeting Date:
September 8, 2026
Staff Contact:
Linzy Blain, Director of Finance
Consider and/or act upon approval of Ordinance O2026-34 adopting the ad valorem tax rate of $0.392246 per $100 of valuation for the 2026 tax year (2027 fiscal year).
BACKGROUND/DISCUSSION
In conjunction with adopting the annual budget, the City Council is required to adopt an ad valorem tax rate. The recommended rate of $0.392246 for tax year 2026 (fiscal year 2027) is equal to the 2025 tax rate, and is less than the no-new-revenue tax rate. The rate is composed of $0.295646 per $100 valuation operations rate to cover needed maintenance and operations expenditures for the proposed General Fund budget, and $0.0966 per $100 valuation debt rate to cover obligations in the General Debt Service Fund. The no-new-revenue tax rate for the City is $0.403187 per $100 valuation, and the voter-approved tax rate is $0.527534 per $100 valuation.
A public hearing is being held on the same night, September 8, 2026, as the adoption of the rate. Pursuant to Truth-In-Taxation laws, the adoption of the tax rate must be within 7 days of the public hearing. The no-new-revenue tax rate calculation was published in the newspaper and posted on the City's website as required by Truth-In-Taxation laws.
FINANCIAL IMPACT
Adoption of this tax rate would allow for full implementation of the FY27 Proposed Annual Budget, containing any changes City Council, as a complete governing body, has requested since the budget's presentation.
SUGGESTED ACTION
City Council consideration is respectfully requested on the first and final reading of Ordinance O2026-34 to approve the 2026 tax rate.
If approved, the motion should be stated as:
"I move to adopt ordinance number O2026-34 adopting the ad valorem tax rate of $0.392246 per $100 of valuation for the 2026 tax year."
ATTACHMENTS