Page 61 - CITY OF AZLE, TEXAS

GENERAL FUND – IN BRIEF

REVENUES

The General Fund budget provides for estimated revenues of $16,756,883 during FY 2023-24.
This reflects an increase of $1,557,834 (10.2%) over the adopted FY 2022-23 budget. The
majority of General Fund revenue is comprised of the various taxes levied by the City, totaling
71.9% of all fund revenue. This year’s General Fund ad valorem tax levy is projected to be
$8,042,133, which is an increase of $823,184 (11.4%) over last year’s budgeted levy and is
derived from a net taxable value of $1,540,039,094. Because the City of Azle lies in both
Tarrant County and Parker County, the net taxable value is determined by the Tarrant Appraisal
District and the Parker County Appraisal District. Each district provides a certified tax roll to the
th
City on or around July 25 each year. Net taxable values increased $264,361,012 over the
2022 values and approximately one fourth of the increase (26.5%) is attributable to new
construction. The City’s adopted tax rate of $0.5688744 per $100 is $0.0545516 less than the
FY 2022-23 adopted tax rate. This year’s rate is $0.0291334 above the no-new-revenue tax
rate and is $0.0153252 above the voter-approval tax rate. However, the rate is equal to the de
minimis tax rate and, therefore, does not require voter approval. The chart below is a graphical
representation of the taxable value of all property in the City of Azle since 2017.

In addition to the natural appreciation of property values over time, much of the increase during
the timeframe shown in the chart above is attributable to the value of new construction added to
the City’s tax base. Residential and commercial construction projects have been active in the
City resulting in the addition of $222,105,322 in new value since tax year 2018 with $70,136,659
of that total added in 2023 alone. Over the last few years, businesses such as QuikTrip,
Discount Tire, and Katie’s Car Wash have made an investment in the City and hundreds of new
homes have been built. However, that trend is expected to slow over the next year as rising
interest rates and other economic factors have negatively impacted the number of new home
construction starts in the City. New construction building permit revenue is estimated at
$500,000 in FY 2023-24, which is a decrease of $450,000 from the FY 2022-23 budget. The

City of Azle FY 2023-2024 Budget 50