Hays WCID Update: Tax RatesSep 10, 2021
A Message from Hays WCID No.1 and No.2
The Board of Directors of Hays County WCID No.1 is pleased to report to all District residents that it has voted to reduce the ad valorem tax rate from $0.86 per $100 of assessed value to $0.829 per $100 of assessed value for the 2021 tax year. The tax rate reduction is in addition to action earlier this year to increase the residential homestead exemption from 5% to 7% for the 2021 tax year, and to approve a $20,000 exemption for the 2021 tax year for residents over 65 years old or disabled.
This year’s rate reduction and tax exemptions follow several property tax relief actions taken by the Board over recent years, including a 2016 $10,000 exemption for residents over 65 or disabled; a reduction of the District’s 2018 tax rate from 87.5 cents per $100 of value to 86 cents per $100 of value; and approval of the original residential homestead exemption for the 2019 tax year. All these actions remain in effect. The Board also saved $2,828,463 in 2020 by refunding six separate Bond Series.
These savings are the result of an annual process developed by the Board to evaluate the District’s anticipated capital projects, operating and maintenance budget, available fund balance, and increases in overall assessed value of taxable District property to determine whether additional tax relief is fiscally responsible. The Board has also refinanced debt from prior bond issuances to improve the District’s financial position, allowing for consideration and ultimate approval of property tax relief over recent years. Additionally, the Board worked diligently throughout 2020 to address remaining development obligations and take advantage of low interest rates in financing its most recent bond issuance. The District continues to monitor the call dates on all Bonds issued for future potential savings.
The Board of Directors of Hays County WCID No.2 will be finalizing their tax rates this Month. The Board is currently considering a 2.84% reduction on the ad valorem tax rate from $0.865 per $100 of assessed value to $0.8404 per $100 of assessed value for the 2021 tax year. The proposed tax rate reduction would be in addition to action earlier this year to include a residential homestead exemption of 4% and a $20,000 exemption for the 2021 tax year for residents over 65 years old or disabled.