Meadows Place City Council will consider approving a four-cent property tax increase tonight.
The proposed tax rate of 83 cents per $100 valuation is expected to be approved during City Council’s 7 p.m. meeting at City Hall, One Troyan Drive, Mayor Charles Jessup said.
The current rate is 79 cents.
The increase would cover a shortfall of city revenue caused by lower commercial property values and an anticipated lower-than-normal collection rate of city property taxes, Jessup said.
“Unlike other cities like say Sugar Land, who are still putting high-priced property down on bare ground, we’re built out,” Jessup said. “We get hit a little bit more directly when the economy slows.”
The city could have raised its property tax rate to as high as 86 cents per $100 under its effective rate, but opted not to because of financial difficulty that some of its residents are facing.
“As my neighbor said, ‘Hey, who’s giving me a raise?’” Jessup said. “He’s on fixed income. We tried to hit a happy balance that is unfortunately going to probably make everybody a little unhappy.”