PALM VALLEY – It’s not a typical situation when property owners in a community voice their support for a tax rate increase.
But, that’s exactly what some Palm Valley citizens wanted last night.
And upon the City Council’s 3-2 decision to keep the rate the same as last year, 45.2 cents per $100 of appraised value, there were even some grumblings in the audience of disapproving.
During the past more than month, city officials have gone back and forth on a 3.2 cent tax increase per $100 of appraised value.
The increase would have generated about $42,000 in additional revenue for the city, which Mayor George Rivera said would be set aside to pay for future infrastructure projects.
City officials have been talking about needing money to pay road and drainage work, some of which is likely to cost millions.
But the small city, which relies mostly on property tax revenues for its approximate $750,000 budget is just maintaining right now.
That’s why Rivera proposed the tax rate increase.
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* Water rate increase usage increase from $2.50 to $2.65 per 1,000 gallon s over base usage. Water increase of base rate from $17.50 to $18.50. This pays for the total water increase imposed on the city this year by the Harlingen Water Works.
* Fire service fee increase from $12.65 to $13.10 for residential and from $55 to $57 for commercial property. This pays for the increase coming from the City of Harlingen Fire Department, which bases the cost on assessed value, which has increased in the city of Palm Valley.
