Is it true that total City property tax collections are growing much faster than median household incomes?

While that statement might sound concerning, comparing the growth in median household income to total tax levies is very misleading. You cannot compare an average to a total. Median household income mainly increases due to inflation while total property tax collections mainly increase due to growth such as annexation or new construction.


For example, when Sugar Land annexes the New Territory and Greatwood communities later this year, the City will grow its tax base and revenues; however, looking at the demographics, these communities have a similar median household income. Therefore, the tax collections will increase while the median household income essentially shows no growth at all. For anyone to say that those two growth rates should be the same is just inaccurate and misleading. Commercial property development does not impact median household incomes or population, but still places significant demands for services on the City.

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1. Do revenue caps provide tax relief?
2. Is it true that total City property tax collections are growing much faster than median household incomes?
3. Who should be making decisions on property tax relief, the City or the State?
4. What is the impact of revenue caps?
5. How much has Sugar Land’s tax rate increased over the years?
6. Do revenue caps impact highway construction?
7. How do revenue caps impact economic development?
8. Why doesn’t the legislature change school financing to provide tax relief?