Page 348 - CityofSouthlakeFY25AdoptedBudget
P. 348

Frequently Asked Questions





          Taxation


          What is the current tax rate?
          The adopted FY 2025 tax rates are shown below.          General Fund                   .250
          These rates are based on the certified Tarrant
          Appraisal District taxable values.                      Debt Service                   .055

                                                                  Total                          .305
          The FY 2025 adopted tax rate of $0.305 is $0.014
   Appendix
          less than the FY 2024 tax rate of $0.319.

          What revenue does one cent on the property tax rate generate?
          The certified total taxable value (discounted for value protest) provided by the appraisal districts for FY
          2025 budget is $11,275,155,717 (net TIF).  One cent is the equivalent of $1,127,515 (net TIF) in revenue to the
          City of Southlake.


          What percentage change occurred from the FY 2024 certified tax base to the FY 2025 tax base?
          The percentage change from FY 2024 certified taxable value to FY 2025 certified was 1% (net TIF).


          What additional revenue will this growth generate for the General Fund?
          The City of Southlake proposes a reduced tax rate for FY 2025, which returns 100% of the growth
          generated back to the tax payer.


          What is the distribution of the tax base between residential and commercial property?
          In FY 2025, residential property accounted for approximately 75% and commercial/industrial/retail
          property accounted for 25% of the total tax base.

          What is meant by the terms “No New Revenue Rate” and “Voter Approval Rate”?
          The “no new revenue rate” (formerly called the effective tax rate) is the rate which would generate the
          same tax revenue in the new year as in the current year, for properties on the roll in both years.  The
          “Voter Approval Rate” (formerly called the rollback rate) is that rate which is three and a half percent
          higher than the maintenance and operation portion of the no new revenue rate, plus the required debt
          service for the new year.  These calculations determine how the City of Southlake will advertise taxation
          plans under state truth-in-taxation laws.


          What is Southlake’s no new revenue rate and voter approval rate for FY 2024?
          The no new revenue tax rate for FY 2025 is $0.305956 is above the adopted rate of $0.305.  The voter
          approval rate (adjusted for unused increment rate) for FY 2025 is $0.385397.


          What percentage change are we anticipating in general fund sales tax revenue for FY 2025 (Adopted)
          to FY 2024 (budget)?
          It is estimated that we will collect $21,978,469 in General Fund sales tax in FY 2025. This number
          represents a 10.40% increase when compared to the FY 2024 Adopted Budget.







      348   FY 2025 City of Southlake  |  Budget Book
   343   344   345   346   347   348   349   350   351   352   353