Breckenridge City Commission to hold public hearings, regular meeting tonight, Sept. 6
By Carla McKeown/Breckenridge Texan
The Breckenridge City Commission will hold its regular monthly meeting, along with public hearings for the 2022-2023 City budget and for a rezoning request, beginning at 5:30 p.m. tonight, Tuesday, Sept. 6, in the City Commission meeting room in City Hall, 105 N. Rose Ave.
The commission met last week for a hearing on the proposed tax rate.
The proposed tax rate of $1.02 per $100 property taxable value is 4 cents less than last year’s tax rate. However, because of increased property values in the city, the proposed tax rate will raise more funds than last year.
Interim City Manager Steve Norwood explained in the Aug. 30 meeting that the taxes are divided into two categories for the City budget: the Maintenance and Operations (MO) and the debt service (interest and sinking). Currently, the tax funds are divided up with about 76 cents going to the maintenance and operations and about 30 cents going to debt service, he said.
“What we’re proposing is keeping the maintenance and operation right at about 76…so that will stay the same at 76 cents. The debt service would drop from about 30 cents down to about 25 (cents),” Norwood said. “So the net effect is right at a four-cent reduction, with that reduction all coming on the debt side.”
Laura Gibson attended the hearing and asked Norwood why the City is reducing the amount of taxes going toward the debt, since the City still has debt.
“Well, we’re always going to have debt, but we are paying off some additional debt,” he answered. “That is, we’re being able to retire that debt early. And we’re also going to be retiring, from paying down some other debt. It’s a good position to be in, to be able to start paying this debt off earlier.”
When Gibson asked about keeping the tax rate the same and paying off even more of the debt, Norwood said that would upset the complicated calculations and require an election.
“Anytime you start moving those numbers, it grossly affects those calculations,” he said. “So by us reducing the debt, it gives us a little more flexibility on the operation side.”
In addition to holding the hearings tonight, the commission will have a full regular meeting, which will include considering and voting on the proposed budget and tax rate, as well as variety of other City business items. Click here to see the agenda, which includes a summary of the proposed budget.
Cutline, top photo: Interim City Manager Steve Norwood, center, talks with Laura Gibson, right, during the Aug. 30 public hearing about the proposed tax rate and how it will be distributed between the maintenance and operations budget and the debt service. The Breckenridge City Commission will meet at 5:30 p.m. tonight, Sept. 6. (Photo by Tony Pilkington/Breckenridge Texan)
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