Can you explain TC's NEW terminology used related to property tax?
Prior to SB 2 (as of 2018)After SB 2 (2019-forward)Definition
  • Effective tax rate
  • No-new-revenue tax rate
  • Revenues are equal to those levied (captured) in the prior year.
  • Effective maintenance and operations tax rate
  • No-new-revenue maintenance and operations tax rate
  • Revenues that go to the maintenance and operations equal to those levied (captured) in the prior year.
  • Rollback tax rate
  • Voter-approved tax rate
  • Allows the Town to levy (capture) 3.5% additional revenue.

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1. Why do cities/towns engage in the budgeting process?
2. Who is involved in the budget process?
3. What are the laws surrounding local government budgets in Texas?
4. What timeline does the budgeting process have to follow?
5. Where can I learn more?
6. I own a house in TC and it’s time for the Town to set the FY 23 Tax Rate. How does the process work?
7. Can you explain TC's NEW terminology used related to property tax?
8. What about the PID? How is it assessed?