(September 18, 2009) The City of Frisco’s tax rate will be $0.465 per $100 of property value for the next fiscal year. This tax rate will generate the same amount of revenue as last year on existing property. The average home value decreased this year by 2.6%. That means homeowners whose property value dropped may not see an increase in their property tax bill while others may see a slight increase.
During last night’s ‘special called meeting’, the Frisco City Council voted to adopt a $76 million General Fund budget for FY10. The new budget allows the City of Frisco to fill 17 jobs, including public safety, parks and streets positions previously ‘frozen’. Restoring these positions also requires Frisco to ‘dip into its savings’ and use approximately $880,000 of its reserve fund balance.
The $0.465 tax rate is just shy of the $0.4655 effective tax rate and a 1.5 cent increase over the $0.45 tax rate for FY09. Prior to the May 2006 Bond Election, staff projected the total tax rate would increase to $0.4818 for FY10 had Frisco sold all the bonds, as scheduled.
“Our budget is still very lean and takes into account our economic realities here at home,” said Mayor Maher Maso. “I’m very proud of our staff members and their efforts to reduce their budgets without significantly reducing the quality of service we provide our residents. This budget allows us to continue delivering excellent service supported by one of the lowest tax rates in North Texas.”
For a second year in a row, cost cutting measures included reducing department budgets and holding positions vacant.
The city’s property tax value is certified at $13,958,027,112, which represents a 2.6% increase from the previous year. This increase includes $366 million in new construction combined with a $270 million decrease in value of existing properties.
Sales tax receipts are estimated to be $19.44 million in FY10, which is slightly more than the $19.35 million the city anticipates collecting for FY09. City staff forecasts building permit revenue to ‘remain the same’ at approximately $3 million for the next fiscal year.
Frisco will begin or continue construction on a variety of capital projects infrastructure programs including a public safety communication system and a parking garage behind the George A. Purefoy Municipal Center, which houses City Hall and the Frisco Public Library. Roadway improvements will continue on Coit Road, Eldorado Parkway, Independence Parkway and Stonebrook Parkway. City crews will also continue installing traffic signals and street lights on major thoroughfares. An expansion of Bicentennial Park will be funded along with various neighborhood parks and hike and bike trails. Staff will continue to develop ‘Grand Park’, a future park spanning approximately 350 acres in the heart of Frisco that will ultimately include residential and retail space.
