By Michael Hutchins Democrat Herald
Denison expects property tax revenue to increase next year while maintaining the current rate. The city discussed the proposed rate last week and voted to hold a future public hearing on the nearly $859,000 revenue increase planned for next year.
The city is set to approve not only the tax rate but also a budget for the next fiscal year 2022-23 at a meeting next month.
“The proposed tax rate will generate more revenue than the same properties last year by $315,117,” Denison chief financial officer Laurie Alsabbagh said last week.
Under the proposed budget, the city will maintain a property tax rate of $0.652034 per $100 of assessed value, the same rate it has for the current fiscal year.
Despite this, the city’s property tax revenues are expected to increase over the next year due to a combination of rising values and new properties being added to the tax rolls.
Of the $858,829 in projected incremental revenue, the majority will come from new properties. Current projections anticipate that approximately $543,712 will be generated from new properties on the tax rolls.
This contrasts with the City of Sherman, which projected a total increase in tax revenue of $2.76 million despite the lower tax rate. By comparison, Sherman expects about 14% – $476,000 – to come from new properties.
In a separate article, the city council discussed the expenses that the tax rate will support in the upcoming budget, which is expected to be approved on September 6, the same evening as the tax rate.
“This is a balanced budget, as required by state law, which means that our expenses do not exceed our revenue projections for next year,” Alsabbagh said.
In total, the new budget projects approximately $38.6 million in general fund revenue and an additional $17.7 million in utility fund revenue.
The budget includes a wide variety of new projects and expenses for the city, ranging from grave mapping and new 911 communications software to a Continue of A1
new roof for the Denison Animal Welfare Group shelter. The Denison Public Library and the city jail are also expected to see improvements under the proposed budget, among other expenses.
Another area of focus for the coming year will be staffing and upgrading municipal positions to market value. During the city’s budget retreat earlier this summer, city leaders discussed the challenges of hiring and retaining employees in the face of competition from higher-paying cities in the region and the South Dallas-Fort Worth Metroplex. .
Non-civil service employees are expected to receive a cost-of-living salary increase of between 2 and 4% in addition to a separate salary increase averaging 4.29%. Meanwhile, public service firefighters and police will receive a pay rise of 5% and 10%, respectively.
The proposed budget will keep the city within its day reserve guidelines with 87 days of funding for the general fund and 67 for utilities.