The Lewisville City Council approved on Monday its final tax rate and budget for fiscal year 2019-20.
Tax rate is set at $0.443301 per $100 valuation, up from last year’s rate of $0.436086 per $100 valuation.
According to city officials, it was a challenge to create a balanced budget this year. Changes in the state law combined with the need for public safety, infrastructure and parks and recreation improvements, prompted the city to slightly increase its tax rate this year.
Even with the increase, officials said Lewisville still has one of the lowest rates in the Metroplex, and the city has been able to maintain a low rate through using a diverse group of revenue sources.
Funds in this year’s budget will be used to hire 10 police officers and three police civilian positions, which is expected to cost around $1.5 million. Thrive, the city’s newest multi-generational recreational center, will require about $1.5 million to operate next year and an additional $500,000 the following year.
In addition, several infrastructure and maintenance projects are planned for next year as well. The city plans to place three traffic signals at the intersections of Business 121 and Huffines Boulevard, FM 2281 and Magic Mantle Drive, and FM 407 and Summit Avenue. Funds have been set aside for the design and construction of a renovation project for the city’s municipal annex as well as ongoing alley maintenance.
The city will also transfer money from the general fund to the capital improvement project (CIP) fund to save up money for the replacement of the City Hall basement.
City officials said the impact of the tax increase on the average homeowner will be about by $72.26. For example, the total tax paid on a $252,000 home will be about $1,119 yearly.