HomeMy WebLinkAboutIR 9788 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9788
To the Mayor and Members of the City Council August 4, 2015
Page 1 of 2
Y SUBJECT: BUDGET AND TAX NOTICE REQUIREMENTS
rFrn
Yg7'3
This informal report will provide an overview of the statutory requirements for the public notices required
during the Fiscal Year 2016 budget and associated ad valorem tax rate adoption process.
Statutory Requirements
The statutory requirements for the budget and tax rate process are found in:
State Law
• Tax Code —"Truth in Taxation" requirements
o Tax revenue increase - one publication requirement
• Local Government Code— Budget
o Budget public hearings - one publication requirement
City Charter
• Chapter X. The Budget and Financial Procedure Relating Thereto (since the 1924 adoption)
o Appropriation ordinance - two publication requirements
All public notices will be published in the official newspaper and posted on the City's web page and cable
channel. Where a notice is required under state law, the law generally dictates exactly what information
the notice must contain, and the City follows the form notices published by the State Comptroller's office.
Process
The process begins with the calculation of the effective and rollback tax rates. The effective rate is the tax
rate that would generate the same amount of revenue this year as last year on properties that were on the
tax roll of both years. The rollback rate is the rate that allows for 8% growth over the Maintenance &
Operations portion of the effective rate. On August 4, staff will provide the City Council with an Informal
Report outlining the effective and rollback tax rates.
The notice on the budget public hearings will be published on August 8, 2015 and will include the dates of
all of the budget public hearings.
If the City's current tax rate exceeds the effective tax rate, maintaining the current rate would require:
(1) The City Council to adopt a resolution by record vote to consider a tax revenue increase,
with the resolution planned for the Council agenda for August 11, 2015, if needed; and
(2) Publication of a "Notice of Public Hearings on Tax Revenue Increase," which would occur
on August 15, 2015; and
(3) The City Council to hold two (2) public hearings, which would take place on August 25,
2015 and September 1, 2015
In accordance with the City Charter, the appropriations ordinance will be published for the first time on
August 22, 2015, following its first reading on August 18, 2015.
The Budget is scheduled to be adopted on September 15, 2015. After the budget and tax rate are
adopted by the City Council, the appropriations ordinance will be published a second time along with a
schedule showing any changes as required by the City Charter. This publication is scheduled for
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9788
To the Mayor and Members of the City Council August 4, 2015
Page 2 of 2
Y SUBJECT: BUDGET AND TAX NOTICE REQUIREMENTS
rFrn
Yg7'3
September 19, 2015. In addition, the tax levy ordinance will be published two times, with the first
publication also scheduled to occur on September 19, 2015.
If you have questions regarding this information, please contact Aaron J. Bovos, Chief Financial Officer or
Mary J. Kayser, City Secretary.
David Cooke
City Manager
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS