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City manager urges voter-approved tax option tied to public safety
Summary
City Manager Grayson told the Amarillo City Council a voter-approved tax-rate election (VADER) is the primary available mechanism to close rising budget gaps and recommended any ballot proposition focus on public safety funding. Council asked for more data before deciding.
City Manager Grayson told the council that state law (SB 2) caps maintenance-and-operations property-tax growth at 3.5% and any increase beyond that "must go to the voters for approval." He framed a potential November VADER as the only direct local mechanism to raise additional recurring revenue and recommended framing it around public-safety needs — police, fire, emergency management and dispatch — to align with voter priorities.
"If we pursue a VADER, I would make it about public safety," Grayson said, adding that a voter-approved increase becomes the new tax base going forward. He stressed the operational challenge of preparing two parallel budgets this summer: a fallback 3.5% budget and a VADER budget that assumes approval.
Councilmembers asked staff to produce alternative analyses before committing, including per-household cost estimates, savings opportunities and a vetted list of what core services would be cut if voters reject any ballot proposal. One councilmember urged that any ballot question clearly list the programs and trade-offs so voters understand consequences.
Grayson said staff will return to council with reconciled year-to-date actuals, growth projections and contingency plans so the body can decide whether to pursue a VADER before the summer budget presentation.
