KERR COUNTY, Texas – Kerr County leaders appeared divided on how to proceed on a proposed tax rate in its final budget workshop.
Despite the currently proposed budget requiring $11.2 million to be pulled from fund reserves, Commissioner Rich Paces suggested the property tax rate could be even lower.
“This is not the time to raise taxes on people who are already stressed,” Paces said.
The budget proposal uses the same tax rate as last year, of 42.33 cents per $100 of property value, roughly two cents higher than a tax rate that would generate no new revenue for the county.
Kerr County Judge Rob Kelly said using the no-new-revenue rate would represent an additional loss of $1.3 million, citing an estimate that each cent in the property tax rate generates $650,000 from Tax Assessor-Collector Bob Reeves.
“$1.2 or $1.3 million is not going to break the account,” Paces said. “I think it just sends all the right messages to the people who have already been hurt so badly that we aren’t trying to screw them on top.”
Kelly said, although he kept last year’s property tax rate in his latest budget proposal, he remains worried the county might become insolvent, or unable to pay its debts.
“I’m more concerned about doing the right thing than the message we send,” Kelly said. “We’re talking about spending 40% of our savings for one year.”
Commissioner Don Harris said he could go either way on the tax rate, but took strong objection to the idea that keeping rates the same would qualify as “screwing people over.”
“People’s tax rates has gone down, down, down the whole time (I’ve been in office) other than the bond year,” Harris said.
The current proposed tax rate remains significantly below the “disaster” rate commissioners could choose to raise taxes to without voter approval, and sparked protests last month.
The latest proposal also increases the budget for the Kerr County Appraisal District, approves the hiring of an information technologies intern, and includes a $130,000 contingency for sheriff’s office vehicles.
County officials revise estimates to repair Cade Loop Bridge, again
Wednesday’s updated budget proposal also revises the cost estimate for repairing Cade Loop Bridge down to $1.4 million, in line with the estimate given Monday by Grant Coordinator Noel Putnam.
The estimated cost to repair the bridge has changed multiple times, going as high as $6.2 million.
Commissioner Tom Jones suggested bringing the number back down to $1.1 million to reflect FEMA’s decision to recognize the county engineer’s work.
The proposed budget keeps $8.5 million as the estimated total cost for all repairs, which the county will be responsible for covering at 25%.
The actual total cost, according to the commissioners, is expected to be significantly less since $6 million of the estimate was allocated for the Cade Loop Bridge.
The Federal Emergency Management Agency will reimburse the remaining 75% of the cost, but questions remain about when the county will see that money.
County leaders, according to their previous experience, said the process usually takes roughly two to three years. Jones said changes at FEMA make him think they will get reimbursed faster.
“Everything that we are doing right now has been a different experience with them,” Jones said. “It’s been a better experience, right?”
Tight budget limits county’s ability to prepare for future flooding
Commissioner Jeff Holt expressed support for several flood mitigation measures, but said the county’s proposed “tight budget” will handicap their ability to implement them.
“I think it’s a good idea to have low-water crossing gates and low-water crossing signs,” Holt said. “That’s not factored in, so we are either going to have to be really resourceful and find other money to do some of these good ideas, because it can’t come from our budget.”
KSAT reported the county discussed implementing flood warning sirens as early as 2016, yet failed to take advantage of opportunities to do so.
Holt seemed to point out the importance of the court’s legacy.
“We’re on a very tight budget,” Holt said. “We have to be mindful of that, and will be remembered by this. Once we’re stuck with it, we’re not generating additional (revenue).”
Holt said that he believed the county could find funds for flood warning systems outside of the budget, even if the state legislature doesn’t provide funding to do so.
“We have large donors that are lined up that have offered to do donations to the county,” Holt said. “An important part of our growth from this is sirens attached to USGS censors.
Ingram City Council voted to install siren systems on Monday. Holt said he believes Ingram has already accepted three to four sirens.
Holt and Paces committed that flood warning sirens will be installed, regardless of where the funding comes from.
“The public demands it,” Holt continued. “It’s going to happen.”
The commissioners court will vote on a finalized budget after a public hearing on Aug. 25.
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