ORD 1449 06/11/2024A of C/6
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"City of Choice"
ORDINANCE NO. 1449
AN ORDINANCE OF THE CITY OF CIBOLO, TEXAS PROVIDING FOR THE
DISANNEXATION TAX AND FEE PROCEDURE; PROVIDING FOR
REPEAL AND SEVERABILITY; DETERMINING THAT THE MEETING AT
WHICH THIS ORDINANCE WAS PASSED WAS CONDUCTED IN
COMPLIANCE WITH THE TEXAS OPEN MEETINGS ACT; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, Section 1.04 of the Cibolo City Charter provides that the City Council may
disannex territory as provided by state law; and
WHEREAS, Texas Local Government Code Section 43.142 authorizes the City Council to
disannex an area in the municipality according to rules as may be provided by the charter of
the municipality and not inconsistent with the procedural rules of Chapter 43 of the Texas
Local Government Code; and
WHEREAS, Texas Local Government Code Section 43.148(a) provides that a municipality
disannexing an area shall refund to the landowners of such area the amount of money collected
by the municipality in property taxes and fees from said landowners during the period that the
area was part of the municipality less the amount of money that the municipality spent for the
direct benefit of the area during such period; and
WHEREAS, Texas Local Government Section 43.148(b) further provides that a municipality
shall proportionately refund the amount under 43.148(a) to the landowners according to a
method to be developed by the municipality that identifies each landowner's approximate pro
rata payment of the taxes and fees being refunded; and
WHEREAS, the City Council finds that the expense category of Primary Governmental
Expenses of the City, found in the City's Annual Comprehensive Financial Reports, provides
a direct benefit to every property located within the City for the operation of the City; and
WHEREAS, the City Council finds that debt obligations issued by the City provide a direct
benefit to every property located within the City at the time the debt obligation is issued; and
WHEREAS, the City Council now desires to adopt disannexation procedures in accordance
with its Charter and state law.
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NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Cibolo,
Texas:
SECTION 1. Incorporation of Recitals. The recitals are hereby found to be true and correct
and are hereby incorporated as part of this Ordinance.
SECTION 2. Procedure. The City of Cibolo Disannexation Tax and Fee Procedure is created
and is follows:
The City shall calculate a disannexed property's pro -rata share of taxes and applicable refund as
follows:
1. The City shall start by taking the assessed value of the disannexed property in the most
recent tax year and divide the same by the total taxable assessed value of all property in
the City of the most recent tax year to determine the pro rata share fraction most recent tax
year.
2. The City shall repeat the calculation in 1 for each tax year the disannexed property was
part of the City of the City to determine each tax year's pro -rata share of tax liability to
determine the pro rata share fractions for all other tax years the property was part of the
City.
3. The City shall then multiply the pro -rata share fractions by the Net Expense of
Governmental Activities for the Primary Government, found in the Annual Comprehensive
Financial Report, for each respective year that the disannexed property was part of the City
to determine the disannexed property's pro rata share of net expense of governmental
activities for the primary government. The sum of these numbers is the disannexed
property's pro rata share of primary governmental expenses.
4. The City shall next multiply the disannexed property's pro rata share of tax liability by the
principal payments on long-term debt issued during each respective year that the
disannexed property was part of the City. The sum of these numbers is the disannexed
property's pro rata share of long-term debt.
5. The City shall next compile a summary of all City of Cibolo Tax paid by the disannexed
property for the period that the disannexed property was part of the City. This is the total
tax paid.
6. The City shall calculate the refund contemplated by Section 43.148 of the Local
Government Code by taking the total tax paid and subtracting the sum of the disannexed
property's pro rata share of primary governmental expenses and pro rata share of long-term
debt. This calculation yields the amount owed by (if the amount is negative) or refunded
to (if the amount is positive) the disannexed property.
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7. The City shall remit the refund, if any, calculated in 6 to the disannexed property owner
within 180 days of disannexation of the property.
SECTION 3. Repeal. This Ordinance shall be and is hereby cumulative of all other ordinances of
the City of Cibolo, Texas, and this Ordinance shall not operate to repeal or affect any of such other
ordinances except insofar as the provisions thereof might be inconsistent or in conflict with the
provisions of this Ordinance, in which event such conflicting provisions, if any, in such other
ordinances are hereby repealed.
SECTION 4. Severability. If any section, paragraph, sentence, clause, or phrase of this Ordinance
shall for any reason be held to be unconstitutional or invalid by a court of competent jurisdiction,
such decision shall not affect the validity of the remaining portions of this Ordinance.
SECTION 5. Open Meeting Compliance. The City Council hereby finds and determines that the
meeting at which this Ordinance was passed was conducted in accordance with the Texas Open
Meetings Act.
SECTION 6. Effective Date. This Ordinance shall take effect and shall be in full force upon
adoption.
PASSED, APPROVED, AND ADOPTED THIS / 1 DAY OF j7wi4 2024.
ATTEST:
PEGGY CIMICS, TRMC
City Secretary
GEORG E, Ci Attorney
Hyde Kelley LLP
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