Kerrville city leaders promise transparency during tax rate process after deadly flooding

On Tuesday evening, local leaders voted unanimously in a Kerrville City Council meeting to approve a resolution authorizing the county tax assessor-collector to calculate the voter-approval tax rate using an 8% cap.

The vote is part of an effort to fund long-term flood mitigation and infrastructure repairs after catastrophic flooding hit Kerr County on July 4.

No new tax increase has been enacted.

The tax rate will not be set until budget workshops and hearings are complete.

Texas law dictates that local governments can raise property taxes up to 3.5% above the no-new-revenue rate without prompting an election. Having a disaster declaration in place extends the property tax threshold to 8%.

Section 26.042 of the Texas Property Tax Code allows local governments to use a special formula to calculate the voter-approval tax rate if any part of the taxing district is in a disaster area declared by the president or governor.

Last week, Kerr County Commissioners approved a resolution allowing County Tax Assessor Bob Reeves to calculate how much revenue a potential tax increase could generate.

“This is not setting a tax rate,” Reeves said. “This is just providing you with the information to do your business.”

Kerrville Mayor Joe Herring Jr. took a moment to assure the public during Tuesday’s meeting that the city would be transparent throughout the process, and that the vote did not mean a commitment to raising taxes.

“If the evidence suggests that is the most prudent course for our community, I’ll be paying more in taxes next year,” Herring said. “We all will.”

City leaders emphasized that while the rate could be raised, the resolution does not require them to raise property taxes to the level of the voter-approval rate that Reeves calculated.

Community members signed up to speak against the resolution before the council made its vote.

“It’s obviously a ball rolling down the hill,” said George Baroody. “Property taxes are an expense to people. They are not revenue to the government but an expense. Any slight increase means housing costs more.”

“I want to raise a family here,” 21-year-old resident Garrett Baxley said. “We love it here. An 8% increase would just make it a lot harder to live here.”

Kerrville Finance Director Julie Behrens said during the meeting that while the city can be reimbursed for recovery efforts approved by the Texas Department of Emergency Management, it is a lengthy process subject to partial reimbursement.

Behrens said that the city has already acquired $620,000 in payroll expenses and 8,000 hours of use on equipment in relation to the flood.

Council members also received updates on other flood recovery efforts during a workshop prior to the meeting, including community resources, Small Business Administration loans and debris management operations during the workshop.

City council approved other items on Tuesday, including:

• Resolution No. 20-2025, which authorizes fund transfers to pay employee group benefits for fiscal year 2026.

• Change Order No. 1 for $119,766.13 for the Kathleen C. Cailloux City Center for the Performing Arts roof and HVAC replacement projects. This brings the total contract with Guido Construction Company to $3.12 million. The project remains within the $3.5 million budget.

• Appointing Lamar Davis to fill a vacancy on the Recovery Community Coalition.

Council also met in executive session to discuss the Whiskey Springs Development and administrative personnel matter but no action was taken in the closed session.

City leaders have scheduled a budget workshop at 3 p.m. Tuesday, July 29.

This article was originally published in the July 24, 2025 edition of the Kerrville Daily Times.