1980 09 02 CC Minutes, Special00902 -1
MINUTES OF THE SPECIAL MEETING
OF THE CITY COUNCIL OF THE CITY OF BAYTOWN
September 2, 1980
The City Council of the City of Baytown, Texas, met in
special session on Tuesday, September 2, 1980, at 7:00 a.m. in
the Council Chamber of the Baytown City Hall with the following
members in attendance:
Fred T. Philips
Jimmy Johnson
Perry M. Simmons
Mary E. Wilbanks
Eileen Caffey
Allen Cannon
Emmett 0. Hutto
Fritz Lanham
Dan Savage
Randy Strong
Eileen P. Hall
Councilman
Councilman
Councilman
Councilwoman
Councilwoman
Councilman
Mayor
City Manager
Assistant City Manager
City Attorney
City Clerk
The meeting was called to order by Mayor Hutto.
Receive Report of Board of Equalization
Mr. T. M. Clayton, Chairman of the Board of Equalization,
reported to Council that the Board of Equalization for 1980 held
hearings on real estate July 1, 2, 3, 7, 14, 16 and 22 and in-
dustrial property on August 27, 1980. After hearing all evidence
presented by taxpayers at these hearings and after making minor
adjustments, the Board accepted the tax department's valuations.
The Board feels that the mass reappraisal by the City of Baytown
Tax Department has been accomplished in an efficient and equita-
ble manner. However, the Board recommends a more conservative
approach in setting 1981 values because, in the Board's opinion:
1. City of Baytown values appear to be higher than school
or county values for the same properties;
2. Charter limitations on ad valorem tax increases of 10%
per year must be considered;
3. Higher City of Baytown values for 1981 could establish
a pattern for the county -wide appraisal district to set
higher 1982 values on Baytown properties compared to
similar properties in other areas of the County;
4. The residential real estate market appears to be
softening.
The Board submitted for Council consideration an assessed
value of $668,031,535 based on 50% of fair market value as estab-
lished August 27, 1980.
In response to inquiries from Council, 14r. Clayton pointed
out that the reason for the City to be higher in its valuations
is that the City was behind in its valuations, but now the valu-
ations have been brought up to the 1977 values and the Charter
limitation of 10% per year must be considered. A number of
senior citizens appeared who were unaware of the exemption and in
most of those cases the property was totally exempted from taxa-
tion. Mr. Clayton pointed out that even with the mass re- evalu-
ation, the Board made very few adjustments with the largest
adjustments given due to low lying areas.
Council extended its appreciation to the Board for a job
well done.
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Minutes of the Special Meeting - September 2, 1980
Mr. Lanham mentioned that the rendition is approximately
$2,500,000 more than anticipated which would represent approxi-
mately $33,000 at $1.35 tax rate.
Councilman Philips moved to accept the report of the Board
of Equalization as presented; Councilwoman Caffey seconded the
motion. The vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks, Caffey and Cannon
Mayor Hutto
Nays: None
Establish Proposed Tax Rate
Glen Erwin, Tax Assessor - Collector, explained that to con-
form with provisions of Article 7244c, V.T.C.S., "Truth in Taxa-
tion," the tax assessor collector must calculate a tax assessor's
rate which is determined by a formula set forth in the statute.
What the rate allows is payment of any new bonded indebtedness,
plus maintenance and operation on last year's level of expendi-
tures based on current year values. The rate calculated under
the statute is $1.13. The rate being proposed to operate the
City is 1980 -81 is $1.35.
In response to inquiries from Council, the Administration
explained that the $1.13 rate allows no provision for infla-
tionary costs or increased costs in service.
Councilman Cannon moved to accept the tax assessor collec-
tor's rate, $1.13; Councilman Philips seconded the motion. The
vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks, Caffey and Cannon
Mayor Hutto
Nays: None
Mr. Lanham explained that the next action required would be
for Council to adopt the proposed rate which is required to
finance the proposed budget -- $1.35. This would not be binding.
Council will hold a hearing afterwhich the tax rate can be estab-
lished.
Councilman Philips moved to adopt a proposed tax rate of
$1.35 for the fiscal year 1980 -81; Councilman Johnson seconded
the motion.
Council expressed the desire to meet after the hearing on
the proposed tax rate to review the proposed budget to determine
if that rate could possibly be lowered. Council emphasized that
the $1.35 rate is maximum. The vote follows:
Ayes: Council members Philips, Johnson, Wilbanks,
Caffey and Cannon
Mayor Hutto
Nays: Councilman Simmons
Set Date, Time and Place for Public Hearing as to Proposed Tax
Rate
Again, Article 7244c, V.T.C.S. provides that a public hear-
ing must be held when the tax assessor collector's tax rate is
exceeded by more than three (3%) percent by the governing body of
the City. The hearing must be held in a special meeting with
only the discussion of the tax rate on the agenda. The hearing
must be held between 5:00 p.m. and 9:00 p.m. Taxpayers should be
given ample opportunity to express their opinions and discuss the
issue with the members of the governing body.
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Minutes of the Special Meeting - September 2, 1980
Councilman Johnson moved to hold a public hearing to discuss
the proposed tax rate at 5:30 p.m. on September 11, 1980, in the
Council Chamber of the Baytown City Hall; Councilman Cannon
seconded the motion. The vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks, Caffey and Cannon
Mayor Hutto
Nays: None
There being no further business to be transacted, the
meeting was adjourned.
Elleen P. Hall, City Clerk