Gun Barrel City residents now pay no property taxes, but that could change if voters approve a .2599 per $100 valuation tax on Nov. 4.
The Gun Barrel City Council approved the measure during a special meeting Aug. 18. City officials said the tax increase is necessary to improve roads and public safety in the city.
City Manager Gerry Boren said the city wants to issues $10 million in infrastructure and $1 million in public safety bonds. The city's 95 miles of roads would be rebuilt, and seven police officers and four firefighters would be hired, he said.
The roads in Gun Barrel City are filled with potholes, Boren said. Drugs are rampant, and the area is known as “Speeder Creek Lake,” he said.
“It’s time to ask the residents if they are ready to invest in their home,” Boren said. “You get what you pay for.”
The annual property tax on assessed value of $100,000 would be $259.99. Boren noted the tax would be about $1 per day for most residents.
Gun Barrel City Mayor Jim Braswell said the city would be unable to grow and attract industry and jobs without a property tax.
“I think it is a very reasonable tax rate,” Braswell said. “The city is never going to progress unless we address this.”
Boren said if the property tax is approved by voters there would be exemptions to assessed value of $3,000 for homesteads, $5,000 for seniors and $5,000 for disabilities.
If voters approve the proposed tax, the first tax year would be 2015. The city would not receive the tax revenue until 2016.
City officials will be scheduling town hall meetings to explain the proposed property tax prior to the Nov. 4 election.