No city tax rate increase now

HARLINGEN - The property tax rate won't be going up this year, but residents may soon pay higher fees for trash collection.

City commissioners voted Tuesday to raise trash and brush collection rates, effective Oct. 1.

Homeowners will pay an extra $3 for trash and brush pickup, raising that part of their water bill from $15 to $18 to offset increases in fuel and other costs.

Rate increases for commercial trash pickup were also enacted by the commissioners' vote.

Part of the action included dropping a $1 charge for cleanup of illegal dumping.

However, Mayor Chris Boswell will appoint a committee of city commissioners and citizens to study possible ways to ultimately reduce costs of trash pickup, such as reducing pickups from two days to once a week.

Commissioners discussed the possibility of providing more trash barrels for households with larger families at a small charge, or imposing a temporary fuel charge that could be reduced if costs go down.

The committee would study trash pickup cost issues for 60 to 90 days and report to the commission, city commissioners agreed.

City leaders agreed to hold to the present tax rate of 59 cents for each $100 in assessed property value, dropping an advertised proposal to raise the rate to 60 1/2 cents.

Cuts will be made in travel and car allowances for commissioners. Other reductions will be made in other spending to find the money to pay for the upcoming Nov. 4 single-member district election.

Officials plan to keep spending at the present level of $59,276,956 during the new fiscal year that begins Oct. 1.

The actual vote on first and second readings for the tax rate will take place on Sept. 25 and Sept. 26.

Commissioners also heard a report from staff members about damage to city buildings by Hurricane Dolly.

Insurance coverage and expected Federal Emergency Management Agency payments under the Cameron County disaster declaration will cover most or all of the cost, Public Works Director Dan Serna said.

Total hurricane damages to city buildings was $3,153,280, he said.

The city also spent $1.9 million on brush pickup from the storm, Serna said.

Most, or nearly all the cost of the storm damage will be paid either by insurance or FEMA, Serna said.

The Municipal Auditorium sustained $2.8 million in damage and all events at that facility were canceled for the rest of the year while repairs are being made, staffers reported.

Also damaged were the public library, the trash transfer station, the police department, public works building, museum and cultural arts center, Serna said.