The city of Plano is proposing a tax rate of $0.4376 per $100 valuation for FY 2026-27, the same rate as the previous fiscal year.<\/p>\n
Plano City Council saw a preview of the proposed rate at a meeting Aug. 10.<\/p>\n
In a nutshell<\/p>\n
Plano has one of the lowest proposed tax rates in the Dallas-Fort Worth area for FY 2026-27, according to data collected by the city of Plano.<\/p>\n
[other cities Flourish]\u200b\u200b<\/p>\n
Cities like Fort Worth, Dallas and McKinney had not proposed a tax rate for the upcoming fiscal year at the time of the meeting. Fort Worth is proposing a tax rate of $0.702<\/a>, while McKinney is proposing a tax rate of $0.417<\/a>, per previous reporting.<\/p>\n Dig deeper<\/p>\n Plano Director of Budget and Performance Management Karen Rhodes-Whitley said the city consistently proposed property tax rates at or near its calculated \u201cno-new revenue\u201d rate, which is the rate the city would need to collect the same amount of property tax revenue as the previous year, from 2019 to 2022.<\/p>\n [tax rate vs no new revenue Flourish]<\/p>\n \u200b<\/p>\n Rhodes-Whitley said last year was the city\u2019s first tax increase since 2009. The city increased its tax rate last year because of legislative uncertainties that would impact the city\u2019s ability to increase revenue in the future, per previous<\/a> reporting.<\/p>\n The city is seeing a tax rate this year close to its calculated no-new revenue rate because of the current market, Rhodes-Whitley said.<\/p>\n \u201cOur average tax values have started going down and our market share has started going down,\u201d she said.<\/p>\n Rhodes-Whitley said when property values go up, the no-new revenue rate goes down. When property values go down, the no-new revenue rate goes up.<\/p>\n Looking ahead<\/p>\n The city is expecting debt pressures to impact Plano\u2019s tax rate in future years, City Manager Mark Israelson said.<\/p>\n \u201cWe can get by this year withholding the tax rate firm, but [in] the future years that we have there will likely be more than one need to adjust the tax rate to make sure that we can cover the debt and keep up with the operations needed for that,\u201d Israelson said.<\/p>\n