As proposed, the city’s $169.5 million general fund budget is balanced, and allows for the continued delivery of exceptional services to Irving residents, visitors and businesses.
“Residents need to know that the city has been good stewards of the taxpayers’ money by delivering similar or increased services at the lowest cost possible,” said Councilman Joe Philipp, chairman of the Council’s Audit and Finance Committee. “Moreover, the city has maintained triple-A bond ratings and earned the Texas Comptroller’s Gold award for financial transparency, and that says a lot.”
Having withstood a $20.2 million revenue decrease in the past two years due mainly to declining property tax valuation and reduced sales tax receipts, city leaders are recommending an adjustment to the tax rate that will offset the 5.15 percent decline in property values.
Plans call for two-thirds of the revenue decrease to be addressed by cutting operational expenditures. A proposed tax rate adjustment of 3.55 cents to a rate of 57.04 cents will make up the remaining one-third of the shortfall. Almost $6 million will be generated by the tax adjustment to support priorities identified by the City Council based on community input. The last adjustment resulted in a reduction of 0.73 cents in 2007. The tax rate has not increased since 2004.
“Irving will continue to offer the second-lowest tax rate of comparable cities in our region,” said Chief Financial Officer Max Duplant. “The monthly cost to the average homeowner of the proposed tax rate increase would be $2.20, but depending on changes in property values, some residents may receive a decrease or see no changes at all.”
Duplant’s estimate is based on average home values in Irving, which decreased from $129,434 to $127,193 last year.
Plans call for two-thirds of the revenue decrease to be addressed by cutting operational expenditures. A proposed tax rate adjustment of 3.55 cents to a rate of 57.04 cents will make up the remaining one-third of the shortfall. Almost $6 million will be generated by the tax adjustment to support priorities identified by the City Council based on community input. The last adjustment resulted in a reduction of 0.73 cents in 2007. The tax rate has not increased since 2004.
“Irving will continue to offer the second-lowest tax rate of comparable cities in our region,” said Chief Financial Officer Max Duplant. “The monthly cost to the average homeowner of the proposed tax rate increase would be $2.20, but depending on changes in property values, some residents may receive a decrease or see no changes at all.”
Duplant’s estimate is based on average home values in Irving, which decreased from $129,434 to $127,193 last year.
With the proposed adjustment, the city will sustain resident services including maintenance of streets, sidewalks and parks, low-cost after-school care, public safety, solid waste services, and unchanged hours at libraries and recreation centers. Other recommendations include the deferral of non-essential equipment replacement and non-vital capital improvement projects.
For the past four years, the city has reduced layers of management, and combined similar functions to minimize duplication and waste. The city also has cut costs through attrition by eliminating 91 positions and holding 62 positions vacant—saving the city $4 million in fiscal year 2010-11. To date, cost savings total upward of $12 million. Irving also has negotiated an energy contract that will save $18 million over five years.“Residents need to know that the city has been good stewards of the taxpayers’ money by delivering similar or increased services at the lowest cost possible,” said Councilman Joe Philipp, chairman of the Council’s Audit and Finance Committee. “Moreover, the city has maintained triple-A bond ratings and earned the Texas Comptroller’s Gold award for financial transparency, and that says a lot.”
