Demand for City-type Services 1 Demand for City-Type Services Development in the unincorporated area may result in the expectation that the County should provide different, city-type services SB 89 passed in 1999 made the annexation process more difficult therefore, the City of San Antonio has curtailed annexation 2 Demand for City-Type Services “City”-type Services: Utilized City’s FY 2010-11 Budget to establish a cost per citizen Used Unincorporated Area population to establish a budget for these services Calculated the tax rate needed to pay for these services 3 Demand for City-Type Services Services not provided by the County that may be expected in a more urban unincorporated area setting: Code Enforcement - $2.4 M. Cultural Affairs - $1.5 M. Customer Service/311 - $805 K. Development Services - $4.3 M. Fire/EMT - $48.5 M. Police - $63.4 M. Solid Waste Management - $20 M. 4 Cost for City-Type Services Bexar County budget would increase by $155 million if implemented in 2012 This does not include costs associated with start-up such as the construction of buildings, vehicles, etc. Assumes all costs are paid through property tax revenue, no special fees included. 5 Legal Challenges/Barriers Counties in Texas do not have “home rule” authority, they only have powers specifically granted to them by the constitution and state laws Significant constitutional and/or legislative change would be required in order for the County to perform some of these services 6 Fiscal Challenges/Barriers Tax all property in Bexar County Tax rate increase of $0.1849 per $100 valuation Current tax rate is $0.32686 per $100 valuation Would bring total tax rate up to $0.5118 per $100 valuation City’s current tax rate is $0.56569 per $100 valuation 7 Fiscal Challenges/Barriers Tax property in the unincorporated area of Bexar County Tax rate increase of $1.2251 per $100 valuation Would bring total County tax rate up to $1.552 per $100 valuation Constitutional Limit of $0.80 per $100 valuation 8 Bottom Line County can’t legally perform many Citytype services No “home rule” or ordinance-making authority County won’t be legally able to raise taxes to fund this level of services Roll-back rate limitation of no more than 8% annually 9 Other Options Available to Unincorporated Areas Pursue self-incorporation as new cities Creation of Special Districts Self-Assessments, Public Improvement Districts, etc Annexation by the City of San Antonio (or other incorporated cities) 10 Demand for City-type Services 11