ORDINANCE TO SET TAX RATE FOR 2014 (2014-2015 SCHOOL YEAR)



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Attachment #1 ORDINANCE TO SET TAX RATE FOR 2014 (2014-2015 SCHOOL YEAR) An ordinance levying an annual ad valorem tax for the year 2014, setting specific tax rates applicable to all real, personal, and mixed property situated within the Humble Independent School District, setting due date and providing for penalties and interest on delinquent taxes. BE IT ORDAINED by the Board of Trustees of the Humble Independent School District of Harris County, Humble, Texas: 1. That an ad valorem tax rate of $1.52 per $100 cash valuation as said values are fixed by the Appraisal Review Board, and the same is hereby levied for tax year 2014 on all real property, personal property, and mixed property located and situated within the confines and boundaries of the Humble Independent School District as of January 1, of this year. 2. That the above-specified ad valorem tax rate be distributed as follows: A. $1.17 rate for local maintenance and operations (M&O) fund. B. $.35 rate for debt service, bonded indebtedness, and interest and sinking (I&S) fund. 3. Any person failing to pay their taxes on or before January 31, 2015, shall be subject to the maximum penalties thereon allowed by law to be collected on delinquent taxes. All delinquent taxes shall bear interest at the highest per annum interest rate allowed by law to be collected on delinquent taxes and shall bear interest from the date of delinquency until paid. 4. Taxes which are due the Humble Independent School District that remain delinquent on July 1 st of the tax year in which they become delinquent for the 2014 and later tax years, on accounts which have been assigned to the Humble Independent School District s delinquent tax attorney on or before July 1 st, incur an additional penalty of 18% of the amount of taxes, penalty and interest due at the time the taxes, penalty, and interest are paid. Delinquent taxes for tax years 2012 and prior, will incur an additional penalty of 15% of the amount of taxes, penalty and interest due at the time the taxes, penalty, and interest are paid. Delinquent taxes for tax years 2013 and forward will incur an additional penalty of 18% of the amount of taxes, penalty and interest due at the time the taxes, penalty, and interest are paid. PASSED, APPROVED, AND EFFECTIVE THIS 14 th DAY OF October, 2014. Robert Scarfo President, Board of Trustees Attest: Keith Lapeze Secretary, Board of Trustees

Attachment #2 HUMBLE INDEPENDENT SCHOOL DISTRICT GUIDELINES FOR ADOPTING THE 2014 TAX RATE Introduction The Humble ISD Board of Trustees will consider the adoption of a 2014 tax rate at its meeting on October 14, 2014. If the rate adopted by the Board exceeds the rollback rate, an election will be required. After the rollback election, the tax statements will be sent out. Taxes for the 2014 tax year are due and payable when tax statements are issued and will be considered delinquent if not received at the Humble ISD Tax Office before February 1, 2015. General Guidelines 1. The governing body must publish the NOTICE OF PUBLIC MEETING TO DISCUSS BUDGET AND PROPOSED TAX RATE before adopting an actual tax rate. This notice is to be published in a local newspaper 10 to 30 days before the date the budget is adopted. A quarter-page ad includes a comparison of property tax rates, comparison of property taxes on an average residence, and unencumbered fund balances. On May 14, 2014, these rates were published in the local Observer newspaper in accordance with state laws governing the publications. 2. The governing body must approve an annual budget before setting the tax rate. The Humble ISD budget was approved by the Board of Trustees at its meeting on May 27, 2014. 3. The governing body is required to adopt its tax rate by September 30 or by the 60 th day after the taxing unit receives the certified appraisal roll, whichever date is later. The Harris County Appraisal District delivered the 2014 certified tax roll to the Humble ISD Tax Office on August 29, 2014. 4. The governing body must adopt the tax rate in a public meeting. If the taxing unit does not adopt a tax rate which exceeds the rollback tax rate, no special meetings or additional newspaper ads are required before adoption of the tax rate. State law requires that the: Adoption of the tax rate must be a separate item on the agenda. Adoption of tax rate must be done by official action, such as an ordinance, specifying: Maintenance and Operations Tax Rate Debt Service Tax Rate

HUMBLE INDEPENDENT SCHOOL DISTRICT 2014 PROPERTY TAX EXEMPTIONS 1. HOMESTEAD EXEMPTION $15,000 2. DISABILITY EXEMPTION $10,000 3. OVER-65 EXEMPTION $15,000 TOTAL POSSIBLE EXEMPTIONS FOR DISABLED HOMEOWNER $25,000 TOTAL POSSIBLE EXEMPTIONS FOR HOMEOWNER 65 OR OLDER $30,000 NOTES: 1. Please contact the Harris County Appraisal District or the Humble ISD Tax Office for special terms and conditions relating to property tax exemptions. Taxpayer must be in residence on January 1 st of the year applying for the homestead exemption. 2. Special tax code rules apply to disabled veterans; exemptions range from $5,000 to $12,000 depending upon the individual s disability rating. In the 2009 session, the Texas Legislature enacted HB 3613 which added Section 11.131 to the Texas Property Tax Code. This legislation created a full exemption from property taxes for veterans who are 100% disabled. 3. Special tax code rules apply to the over-65 exemption and the over-65 portable tax ceiling. 4. Special tax code rules apply to the Social Security disabled and the portable tax ceiling.

Humble ISD Attachment #4 Ten Year History of Tax Roll Property Values Adjusted Total Certified Tax Roll Tax Tax Tax Roll Adjustments Property Values/ % New Year Rate Property Values To Year End Fiscal Year End Change Improvements 2003 1.74% $6,013,903,000 $517,851,436 $6,531,754,436 8.44% $418,304,461 2004 1.74% $6,495,903,320 $627,126,662 $7,123,029,982 9.05% $481,792,916 2005 1.77% $7,107,452,848 $658,063,017 $7,765,515,865 9.02% $406,055,901 2006 1.64% $7,449,997,743 $936,607,518 $8,386,605,261 8.00% $460,318,188 2007 1.31% $8,289,296,825 $1,259,298,603 $9,548,595,428 13.86% $571,181,604 2008 1.52% $8,990,219,474 $1,424,007,226 $10,414,226,700 9.07% $534,011,708 2009 1.52% $9,277,091,770 $1,346,970,956 $10,624,062,726 2.01% $476,010,322 2010 1.52% $9,537,914,837 $1,027,063,046 $10,564,977,883 (0.56%) $258,425,573 2011 1.52% $10,103,000,274 $563,904,982 $10,666,905,256 0.96% $220,632,102 2012 1.52% $10,070,151,036 $777,557,859 $10,847,708,895 1.69% $236,207,526 2013 1.52% $10,323,420,729 $1,162,909,846 $11,486,330,575 5.89% $296,685,240 2014 1.52% $11,405,544,635 (1) $355,590,802 5 Year Change to Adjusted Tax Roll Value $1,072,103,875 5 Year Average % Change to Adj. Tax Roll Value 2.00% 10 Year Change to Adjusted Tax Roll Value $4,954,576,139 10 Year Average % Change to Adj. Tax Roll Value 5.90% (1) The taxable value as certified by HCAD does not include the value of accounts still under protest; accounts on which the valuation is incomplete and notices have not been mailed; and properties which are accounts that are ready to notice and those which were recently noticed and on which the 30-day protest period has not elapsed. Final certified values for these properties will be included in supplemental rolls throughout the 2014 tax year.

HUMBLE INDEPENDENT SCHOOL DISTRICT Attachment #5 Collection of Delinquent Taxes Current taxes become delinquent on February 1 st of each year. The District begins assessing penalties and interest at that time according to the following schedule: Penalty % Interest % Total February 6% 1% 7% March 7% 2% 9% April 8% 3% 11% May 9% 4% 13% June 10% 5% 15% Taxpayers with delinquent taxes are notified in May that unpaid accounts will be submitted to the tax attorneys for enforcement of collection if they are not paid by July 1 st. The May notice, also, informs them that an additional 18% collection fee will be added as of July 1 st on all unpaid accounts. On July 1 st, taxes that remain delinquent are turned over to the delinquent tax attorneys to enforce collection. At this time the penalty increases to 12% while the interest percentage continues to increase by 1% per month plus the 18% collection fee. (For example, an unpaid account as of July 1 st would incur a penalty of 12%, interest of 6% and a collection fee of 18% on the sum of unpaid levy, penalty and interest.)