Senate Bill 10, would lower the voter-approval tax rate for certain taxing units from 3.5% to 2.5%. This critical taxpayer protection promises to tap the brakes on excessive tax increases and provide for greater public participation in the tax rate-setting process.
This type of reform is sorely needed too, as evidenced by fiscal and demographic trends in Texas’ largest cities and counties. According to tax levy and population data collected from Annual Comprehensive Financial Reports:
- Tax Levies: Among the top 10 most populous municipalities, tax levy growth ranged from a low of 34.5% (Houston) to a high of 120.9% (Austin). The average 10-year tax levy increase among all 10 municipalities was nearly 80%.
Among the top 10 most populous counties, tax levy growth ranged from a low of 50.1% (Tarrant) to a high of 114.6% (Fort Bend). The average 10-year tax levy increase rate among all 10 counties was approximately 75%.
- Population: Among the top 10 most populous municipalities, population growth ranged from a low of -1% (Corpus Christi) to a high of 20% (Ft. Worth). The average 10-year population increase among all 10 municipalities was 7.5%.
Among the top 10 most populous counties, population growth ranged from a low of 3% (Dallas) to a high of 41% (Denton). The average 10-year population increase among all 10 counties was 17.5%.