Page 47 - Forest Hill FY22 Annual Budget

I MAJOR REVENUE SOURCES

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The major revenue sources for the City are:
• Ad valorem (property) taxes
• Sales tax
• Franchise fees
• Motel tax
• Other Governmental Sources
• Water and sewer service
Each of these sources of revenue plays a vital role in determining the fiscal health of the City.

I Revenue Forecasting

Revenue forecasts are largely based on trend analysis, with an emphasis on current and expected future
economic conditions with the national, state. and local economy. Any changes in law that might affect
revenue streams must also be considered.

I Ad Valorem Taxes - Net Taxable Value

Ad valorem taxes attach an enforceable lien on all real, personal, and business property in the City of
Forest Hill. The amounts of property taxes that the City expects to collect are based on the certified roll
calculated by the Tarrant Appraisal District, on behalf of the City. The September 1, 2021 certified net
taxable value of $701,337,999 is a 6. 74% increase from the September 1, 2019 net taxable value of
$657,056,752. The tax year begins January 1 and fiscal year end is September 30.

I Ad Valorem Taxes - Proposed Tax Rate

The Fiscal Year 2021-2022 adopted tax rate is $0.997342 per $100 valuation. For fiscal year 2021-2022,
the no-new-revenue tax rate is $0.973045 per $100 valuation. The no-new-revenue rate is tax rate for the
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2021 tax year (2021 fiscal year) that will raise the same amount of prope1ty tax revenue for the City fom
the same properties in both 2020 tax year (2021 fiscal year) and the 2022 tax year (2022 fiscal year). For
fiscal year 2021-2022, the voter-approval tax rate is $ 1.047388 per$ 100. The voter-approval rate is the
highest tax that the city may adopt without holding an election to seek voter approval of the rate.

I Ad Valorem Taxes- Collections

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