In a recent special council meeting held on September 25, 2025, the City Council of Keene, Texas, discussed a proposed property tax rate that has sparked considerable debate among council members. The proposed tax rate of 0.828978 represents a nominal increase of 3.5%, but council members emphasized that this figure can be misleading.

Council members clarified that while the tax rate appears to be increasing, the actual taxes paid by residents are expected to decrease. This is due to a freeze on property values for the next three years, meaning that any increase in tax revenue is primarily a result of growth in the city rather than an increase in tax rates. One council member noted, “The reality is their taxes are going down, and this is the lowest the tax rate has been in 10 years.”

The council also discussed the procedural aspects of adopting the tax rate, with some members expressing concerns about the implications for the city’s budget. The mayor indicated that the council typically sets a ceiling for the tax rate, which allows flexibility in budgeting. However, the current proposal has led to confusion regarding whether the ceiling would be the actual rate adopted.

As the council moved forward with the motion to adopt the tax rate, members reiterated the importance of communicating these changes to the community to avoid misunderstandings. The council is under a deadline to finalize the budget by September 30, which adds urgency to their discussions.

In conclusion, while the proposed tax rate may suggest an increase, the council is working to ensure that residents understand the broader context: a decrease in actual taxes due to property value freezes and city growth. The council's decisions in this meeting will play a crucial role in shaping the financial landscape of Keene in the coming years.