The Woodlands Edition | September 2024

Government

BY JESSICA SHORTEN

Township opts to maintain tax rate

In their words

The Woodlands Township board of directors on Sept. 5 voted to maintain the tax rate at $0.1714 per $100 of home valuation to fund improvements rather than make $2.8 million in cuts to reach the no-new-revenue tax rate. The no-new-revenue tax rate for scal year 2024, which runs from January to December, was $0.1615 per $100 of valuation. Under the adopted rate and with other expected revenue increases, the township will bring in an additional $7.4 million in revenue in 2025, President and CEO Monique Sharp said. Sharp said the ‹at tax rate will translate to an increase in property taxes for many homeowners in The Woodlands because of rising property appraisals. The FY 2025 budget also projects an increase in sales tax revenue for 2025 as well as higher revenue from mixed beverage sales tax, which the township began to collect after legislation was enacted in 2023.

“Our focus is on maintenance and things that have aged, and we have addressed that. ... It’s proactive, not reactive.”

Revenue change from FY 2024

ANN SNYDER, CHAIR, THE WOODLANDS TOWNSHIP BOARD OF DIRECTORS

Sales & use tax Property tax

Hotel tax Program revenues

Interest income Grants and contributions Events Mixed beverage tax Other

“The Woodlands is showing its age ... As we recruit new residents and home values and new businesses and sales tax ... we’ve got to up our game.” BRAD BAILEY, BOARD MEMBER, THE WOODLANDS TOWNSHIP

$7.4M in additional total revenue

SOURCE: THE WOODLANDS TOWNSHIPšCOMMUNITY IMPACT

The action taken

Township tax rate since 2021

$0.30

the workshop, rather than just acquiescing to maintaining the existing tax rate.” According to data from the Montgomery Central Appraisal District, the average home value within the township is $591,009, meaning the average property tax bill from the township will be $1,012.99 under the approved tax rate, a 6.13% average increase on residents' township tax bills. Sharp said if the township had adopted the no-new-revenue rate of $0.1615 per $100 of home valuation, the average homeowner’s bill would have decreased by $52.83 a year, or $4.40 a month.

Following the budget and tax rate approval on Sept. 5, residents with an increase in property value will likely see an increase on their property tax bills from the township since the township did not adopt the no-new-revenue rate. Board member Shelley Sekula-Gibbs voted against the tax rate due to concerns of ination and rising costs. “I have suggested, actually at the board workshops, and I’ll suggest again, that we reconsider tightening our belts on behalf of the residents,” Sekula-Gibbs said. “I think we should have tightened our belts a little bit more during

$0.2231

$0.20

$0.1850

$0.1714

$0.10

$0

2021

2022

2023

2024

2025

SOURCE: THE WOODLANDS TOWNSHIP¢COMMUNITY IMPACT

Going forward

refundable deposit for homeowners to ensure all improvements were inspected and within design standards, Sharp said. The township will now charge fees for improvements. Projections show an estimated $1.02 million in additional revenue for the township in 2025. A public hearing on the tax rate took place on Sept. 5.

“We have “nite resources,” Sharp said. “So we don’t have enough to fund everything we might personally want, ... so we have to look at all of these [budget initiatives].” The board agreed to change the township’s policy on covenant administration by instituting fees for homeowners to make major improvements. The township has used a

The board approved funding requests for the FY 2025 budget including: • $6.4 million for Waterway Square fountain upgrade • $850,000 for Town hall improvements • $340,000-$420,000 for Bear Branch Sports Field parking expansion

19

THE WOODLANDS EDITION

Powered by