Fort Worth council members to meet on September 19

Fort Worth, Texas - In a significant development with both financial and political implications, Fort Worth's City Council is set to review a proposed $2.6 billion budget for the 2023-24 fiscal year. According to Dallas Metro News, the council will also consider an adjusted tax rate in a meeting slated for September 19 at 5 p.m.

If approved, the new tax rate would drop to $0.6725 per $100 of property value, a four-cent reduction from the rate of the previous year. Despite this apparent cut, the city is expected to collect an extra $65 million in property taxes compared to the last fiscal year, based on official figures.

It should be noted that even with this decrease in tax rate, the city will still see an increase in property tax revenue. This is because the proposed rate exceeds the city's break-even or no-new-revenue tax rate of $0.635374 per $100 valuation, as stated in city documents.

In a detailed letter to the council, City Manager David Cooke thoroughly broke down the budget's key elements. He indicated that the general fund makes up nearly $1 billion of the total budget and is bolstered by a combination of debt service and operating funds. Cooke also mentioned that the city employs over 8,000 people across 20 different departments throughout Fort Worth.

The budget proposal presents several intriguing data points that command attention:

• With an 11.4% surge in comparison to the 2022-23 fiscal year, the proposed $2.6 billion budget signifies substantial growth in city expenditure.
• Occupying 39% of the total budget, the general fund hovers just above the $1 billion mark.
• Conversely, operating funds lay claim to the majority share of the budget, constituting 61% or approximately $1.26 billion.

This comprehensive budget and tax plan, rich in detail and strategic focus, goes beyond mere numbers. It sets the course for Fort Worth's socioeconomic future, calling for an in-depth evaluation by the City Council.

In a joint effort to navigate the intricacies of financial planning, Fort Worth collaborated with appraisal districts in four counties—Tarrant, Denton, Wise, and Parker. This has led to an estimated 15.6% increase in adjusted net taxable property value, signaling good financial health for the city. As a result, tax revenues for the 2023-24 fiscal year are expected to rise by $235 million, an increase of $37.9 million from the previous year.

The general homestead exemption, currently at 20% for all residential properties, is also set for adjustment. Targeting financial relief for some of the city's most vulnerable residents, the exemption for seniors aged 65 and older, as well as disabled homeowners, will increase from $40,000 to $60,000 in the next fiscal year.

Amid this complex fiscal backdrop, multiple city departments are set for salary increases as outlined in the proposed budget. Specifically, police and fire department staff are slated for pay raises, while general employees across various departments can expect an average 4% salary bump. The city will also implement a specialized 2.5% pay increase for roles that are particularly hard to fill.

This multifaceted budget plan addresses changes in revenue and tax policies while also investing in its workforce, striking a balance between fiscal responsibility and social equity. Therefore, the upcoming City Council meeting takes on added significance, serving as a forum for thoughtful discussion on a budget that acts as a roadmap for Fort Worth's future.

Credit: Dallas Metro News, City of Fort Worth