Momentum - Business to Business Online Magazine MOMENTUM April 2019 | Page 30
TAXING MATTERS
CHERYL E. JOHNSON, PCC
Galveston Co. Tax Assessor Collector
[email protected]
BANG for the Buck?
W
hen Tiki Island property owners paid
2018 property taxes, only one check
was necessary since the County Tax
Office collects for all governments
within its boundaries. That is true for
few property owners across Galveston County – most
(myself included) must write two checks to (usually) two
different tax collectors.
Under Texas law, individual governments have the
authority to determine who will assess (calculate)
and collect property taxes. In Galveston County,
five private collection companies collect taxes for 29
special purpose districts (MUDs, WCIDs, MDs). Four
of eight school districts collect their own with the local
school board hiring the tax collector. Two of those also
collect for a special purpose district mostly within their
boundaries. The Galveston County Tax Office (GCTO)
assesses and collects for 53% of the taxing entities in
the County including two cities that extend into Harris
County. Last year, we collected nearly $450M at a cost
to our collection partners of $105,600.
The Property Tax Code dictates how much a county
tax office may charge (an amount that “…may not
exceed the actual costs incurred…”). Of no surprise
to anyone, Texas’ 254 counties have wildly different
ideas on how to determine what that cost is. The 2019
GCTO charge is $0.21 per-parcel for Galveston County
properties and $0.97 for Harris County properties. The
rate is analyzed each year to determine whether an
adjustment is needed.
While cost is often a driving force behind the decision
to contract for tax assessment and collection services,
convenience—for both the local government and
taxpayers is significant. GCTO’s 24/7 online account
information and multiple office locations provide
customers various options of conducting business.
Whether one less check to write or one less errand to
run (one stamp/one stop), centralized tax collections
save taxpayers time and governments money,
translating to savings for everyone.
A candidate for US Congress stated some years
ago that government should not perform any task that
a private business can do for less. I wholeheartedly
agree. And although the County has a huge
advantage in this instance, the focus on efficiency
and implementation of technology to lower cost over
the last 14 years at the County Tax Office has driven
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the per parcel rate down by more than 50% - a rare
accomplishment for government in general.
As all government focus begins a shift to adopting
the next spending plan, property owners and voters
need to ask how much could be saved if tax assessment
and collection services were provided by the County
Tax Office. Governments collecting their own taxes are
listed below as are the GCTO estimated costs (excluding
a one-time conversion fee).
You deserve bang for the buck when it comes to
paying for government. After all, it is not our money – it
is yours!
Jurisdiction
Clear Creek ISD
Texas City ISD
Santa Fe ISD
GC Consolidated Drainage Dist.
Friendswood ISD
MUD District #6 (the Landing)
WCID 8 Alta Loma
Galv County MUD #39
MUD District #14
Galv County MUD #46
MUD District #15
West Ranch Management District
South Shore MUD #7
Galv County MUD #45
Galv County MUD #43
Bay Colony West MUD
Galv County MUD #56
Galv County MUD #32
Flamingo Isles MUD
Galv County MUD #66
Galv County MUD #31
Galv County MUD #30
Galv County MUD #68
Galv County MUD #52
Galv County MUD #54
Galv Co Management District #1
Galv County MUD #59
Galv County MUD #58
Galv County MUD #51
Galv County MUD #57
Galv County MUD #55
Galv Co MUD #53
GCTO Cost
$60,861
$6,216
$3,324
$2,713
$2,657
$580
$452
$326
$318
$305
$305
$295
$289
$233
$223
$218
$188
$105
$105
$80
$78
$73
$65
$50
$31
$11
$3
$3
$2
$2
$2
$1