Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Property Tax topic
No spam. Unsubscribe anytime.
Preliminary assessed values rise; Coppell staff warn tax-rate effects depend on protests and exemptions
Summary
Staff reported preliminary assessed values showing modest growth and cautioned that appeals, certificates of estimated values and a recent business personal-property exemption could reduce taxable value later; certified values are expected July 25 and staff said they added a contingency to budget for that risk.
City finance staff showed councilors preliminary assessed-value figures and explained how recent legal changes and ongoing appraisal protests could affect the city's tax-rate calculation.
Kim, the staff presenter, told the Coppell City Council the June-to-June change in property values was about 2.93%, and that a July 8 snapshot compared to 2025 certified values represented an increase the office described as roughly 6.88% (about $858 million). She emphasized the figures were preliminary and that certified values are expected on July 25.
Kim also flagged a recent constitutional amendment that raised the business personal-property exemption from $2,500 to $125,000 and said that change is already reducing growth in business personal-property taxable value to roughly 0.06%. "That measure did pass. The voters did approve that," Kim said, noting the exemption is visible in the reduced business personal-property numbers.
Councilors and staff reviewed how the tax-rate calculation works: the city uses prior-year revenue growth (3.499%) as the numerator and assessed value as the denominator when estimating a rate. If the denominator grows faster than the numerator, the tax rate falls; if the denominator is later reduced by successful protests or lawsuits, the city's actual collections can differ from the rate it sets.
Staff warned that appraisal-district supplements and lawsuits typically reduce taxable value after certification. "We have record protests," Kim said, describing growing appeals in the Denton and Dallas appraisal districts; staff explained those supplements often reduce the starting point used to calculate the rate and can create shortfalls.
Because of that uncertainty, the council discussed adding a specific contingency line to the budget to absorb material reductions in taxable value if commercial protests succeed. Staff characterized the contingency as insurance against extreme losses in commercial value rather than frequent small changes.
The council received the preliminary numbers and asked technical questions; certified values remain due July 25, after which staff will update the council with final certified amounts and any recommended rate changes or budget adjustments.
