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topicnews · August 28, 2024

Brazos County Commissioners Propose Tax Increase During Budget Debate

Brazos County Commissioners Propose Tax Increase During Budget Debate

BRYAN, Texas (KBTX) – Brazos County commissioners are proposing a one-cent property tax increase to help offset a significant budget deficit for the upcoming fiscal year. The move comes after a contentious debate over the fiscal year 2025 budget that revealed deep divisions among county commissioners and concerns among residents about rising costs.

During a meeting Tuesday, commissioners discussed the proposed tax rate of $0.4197 per $100 of property value, a one-cent increase over the current rate. The increase is intended to cover the multimillion-dollar budget deficit and provide additional funds for upcoming capital projects. The proposal, however, has sparked a heated exchange, with some commissioners arguing for the increase while others urged keeping the current tax rate, also known as the no-new-revenue tax rate.

Budget deficit and proposed tax increase

Brazos County Judge Duane Peters was a strong proponent of a tax increase, arguing that the county could not afford to fund its operations without increased revenue. Peters stressed the importance of maintaining a healthy cash balance and warned that the county could run into financial difficulties without the increase.

“If you spend everything you budgeted, at the end of the year you’ll have no cash on hand, nothing left,” Peters said during the meeting. “Unless you had something at the beginning and you don’t spend it. Then you have it. I mean, that’s simple economics.”

Peters and other supporters of the tax increase argue that the additional revenue is needed not only to cover the budget deficit, but also to fund important capital projects that have been delayed due to the COVID-19 pandemic. The judge emphasized the need for long-term financial planning and stressed that the county cannot rely solely on borrowing to finance large projects.

Concerns of residents and resistance of the commissioner

The proposed tax increase has been criticized by some citizens who are concerned about the impact on their finances. During the workshop and meeting, several citizens voiced their concerns and asked commissioners to consider the financial burden on homeowners, especially in light of ongoing inflation.

“We are building all these huge programs and now we want to raise the funds for them. But we all have to live within our budget. And we also have dreams,” said one resident.

The discussion also extended to the salaries of the commissioners themselves, with some residents calling on elected officials to forgo the proposed salary increases out of solidarity with the community.

“Because we are electing you. The others are appointed and are probably entitled to a raise. But those who represent us as voters, I ask you to hold back,” another resident urged the commissioners.

During budget discussions, Commissioners Aldrich and Nancy Berry announced their decision to forego their 5 percent cost-of-living adjustment for the remainder of their terms.

Aldrich stated, “I think I heard a great comment earlier, and I, as Commissioner of the First District, would like to waive my 5 percent cost of living adjustment for the remainder of the year, even though I am only in office through the end of the year.”

Berry echoed this sentiment, adding, “I am also happy to give up my 5% for the remainder of my term.” Her decision came amid growing concern among residents about the financial pressures facing the municipality.

Not all commissioners were in favor of the tax increase. Commissioner Steve Aldrich was a vocal opponent, advocating that the county stick with a tax rate that does not raise new revenue, which would mean maintaining the current tax rate with no increase.

“I’m telling you, we can afford this budget if no new revenue is raised,” Aldrich said.

Final decision still pending

The tax rate debate is far from over. Commissioners have scheduled a public hearing on the proposed fiscal year 2025 budget and tax rate for Tuesday, September 10, 2024 at 9:00 a.m. The hearing will be held in the Commissioners’ Courtroom at 200 South Texas Avenue, Suite 106, and will give residents another opportunity to voice their opinions before a final decision is made.