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The Muleshoe City Council is looking to avoid a tax increase for the next fiscal year.

The council is looking to pass a proposed No-New-Revenue tax rate of $0.7841 for fiscal year 2022. For an average home valued at $100,000, the impact of the taxes will be $784 per year.

For comparison, the 2021 FY tax rate adopted in 2020 is $0.7809 per $100 valuation. The taxes on an average home valued at $100,000 were $780 per year.

City manager Ramon Sanchez said there are no major purchases on this year’s budget, so it doesn’t warrant many changes.

A No-New-Revenue Tax Rate would produce the same amount of taxes if applied to the same properties taxed the previous year so the city budget is adjusted accordingly to the proposed tax rate.

The city typically conducts vehicles purchases every other year, which tends to be a noteworthy budget expense, Sanchez said, but this is an off year. Beyond that, the city has simply moved around available budgeted funds to create a balanced budget with no significant changes and no major projects.

A look at the city’s proposed budget, which is posted online on the City of Muleshoe website, shows proposed total revenue is $3,245,400 with a proposed total expenditure of $3,179,422.21.

City employees are also set to receive a 4% salary increase if the budget is passed.

There will be a public hearing on the budget on Sept. 9 at 5:30 p.m. at City Hall.

City officials have until then make adjustments before the final proposed budget and tax rate is set to be adopted on Sept. 13 at 5:30 p.m. during a regular city council meeting at City Hall.

Ellysa Harris

Muleshoe Journal


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