Gonzales City Council approves voter approval tax rate

By a split 3-2 vote, the Gonzales City Council will propose what is called the “voter approval” tax rate of 29.38 cents per $100 valuation for fiscal year 2023-24.

The voter approval rate is the maximum ad valorem tax rate the council can set without triggering an automatic tax rate election. It is 0.28 cents above the no-new-revenue tax rate of 29.10 cents, which is a calculated rate that would provide the city with about the same amount of revenue it received in the year before on properties that is taxed in both years.

The Gonzales City Council was in a deadlock when it came time to set the preliminary maximum ad valorem tax rate and schedule a public hearing on Thursday, Aug. 10, as the council only had four voters present with Councilman Joseph Kridler absent.

Gonzales Director of Finance Laura Zella said the council has met several times and as of that meeting the city has balanced the budget. She recommended the council go with the voter approval rate.

“I really would recommend to go with that. It's not like it's a huge increase. The tax rate is still decreasing from last year. In 2017, we were at 27 and a half cents. I'm proposing y’all go to 29 cents 0.2938.” Zella said.

Zella added that everything is increasing due to inflation, from bids and cost of living, and she added it’ll not increase the tax rate.

The vote Thursday was at deadlocked at 2-2 with Mayor Steve Sucher and Councilwoman Sherri Koepp voting for the voter approval tax rate and Councilman Lorenzo Hernandez and Councilwoman Ronda Miller voting against it.

Miller said last year she asked for a no new revenue tax rate and made the motion to approve that with Hernandez agreeing with her.

The council would return to vote on this agenda item in the budget workshop meeting Monday, Aug. 14 with Kridler present.

The council approved, 3-2, for the voter approval tax rate; Sucher, Koepp, and Kridler voted yes, and Miller and Hernandez voted no.

In other business, the council approved the following agenda items:

--approved Closing out Grant #7220052-2020-DRP from the Texas Department of Agriculture (TDA) in the amount of$500,000 for Sidewalk and Street Improvements on and around Texas Heroes Square.

--approved Authorizing the City Manager to submit, and accept if awarded, an application and associated documents to thePublic Safety Office, Criminal Justice Division, through the Office of the Governor, for up to $160,000 in Operation Lone Star Grant Funds, for the Purchase of a police vehicle, one drone and overtime for the Police Department.

--approved Authorizing the City Manager to Execute a Purchase Agreement for the Purchase of a Chevrolet Tahoe SSV 4x4 for the Fire Department in the amount of $75,929.

--Authorizing the City Manager to negotiate and execute a License Agreement with Linda Gay Wood Drake granting the use of certain tracts of land as described within said agreement.

--approved the removal of tree on the southern portion of Independence Square east of the Fire Station.