2008 preliminary property values

Kaufman County property values are up, giving elected officials a little breathing room as they work on budgets.

Several said it was going to be hard scramble to keep up with increased gas and energy costs and avoid a tax increase, but the increased values will help the situation.

Torry Edwards, Terrell city manager, said the city’s gas costs are up and there have been other increases that have affected operating costs.

But “there are no plans to raise taxes. We are just looking at creative ways to become more efficient,” Mr. Edwards said.

Tax values across the county are up. Only the Kemp school district and the city of Combine saw a decrease. The numbers released Thursday are preliminary; the final rolls will be finished in July.

County values are up about 11 percent compared to a 13 percent increase in 2007.

Terrell actually did better this year than last, with values up about 13 percent for 2008 compared to a 10 percent increase in 2007.

Forney, with the highest 2008 increase, still saw a little slowdown in growth. Forney was up 16 percent in 2007 compared to 14 percent this year.

County rearranging tax rate

The values were particularly good news to the county.

“Our goal of reducing the tax rate may come to fruition,” County Judge Wayne Gent said.

Commissioners have discussed moving 2 cents of the general fund tax rate to the road and bridge districts, and covering general county costs without raising taxes. Now Judge Gent said they may be able to accomplish that goal and decrease the tax rate.

The county has two tax rates – one to pay for roads and the other to operate the county. The general tax rate is about 46 cents and the road rate a little less than 7 cents. The total rate, including the amount to pay debts, is about 56 cents.

The road and bridge tax rate has been decreasing from a high of 11 cents down to its current rate. And it’s those districts that are hardest hit by rising gas and oil costs since their work depends on heavy equipment.

Schools still in a world of hurt

The increased values are only a thin ray of sunshine for school districts.

While transportation and food costs, among others, have gone up, the districts will receive the same amount from the state that they received in 2005. If revenue from taxes goes up, the amount of state aid decreases.

And to raise the tax rate, the districts must get voter approval.

A tax election is “certainly something we are going to take a long hard look at,” said Kaufman Superintendent Todd Williams.

His board begins budget discussion Monday night and, right now, he really, really hopes to avoid an election.

Terrell Superintendent Kelley Rodgers said he won’t ask his board for a tax election this year. “With the economy the way it is we just can’t do that to our taxpayers.”

But in the next years, it may become inevitable and even desirable.

The districts are capped at a maintenance and operating tax rate of $1.04. The total tax rate includes money to pay off debts and varies from district to district.

If a district were to get voter approval to raise the rate to anywhere from $1.05 to $1.07, they would get additional money from the state. In Terrell’s case, more than $1 million in extra state money.

Investing three cents on the tax rate to get the million from the state would be a good investment, Mr. Rodgers said.

“That’s the best investment around. We may have to approach our taxpayers with that,” he said.

© Copyright 2005-2007 by Kaufman County Online

Top of Page