Coppell City Council increases over 65 tax exemptions

Tax exemptions for residents over the age of 65 are expected to increase to $100,000.

The Coppell City Council gave the direction to increase the exemption value last week during a work session to address increased tax exemptions and how that will affect city revenue and debt payment.

While discussing the changes in tax revenues, City Manager Mike Land said the City Council will also need to think about how the changes in exemption values and tax revenues could affect how the community develops with time.

“It’s not isolated to maintenance and operations and tax rate,” Land said. “This is about what you want this community to like in the future.”

Over the last 10 years, Finance Director Kim Tiehen said the city has given out 1,363 more tax exemptions for residents over 65 years old. Currently, the city has exempted 2,526 residents, resulting in a $190 million decrease from the city’s revenue in taxable property value.

With the exemption of $100,000, Tiehen said it would result in a $344,762 revenue loss for the city.

Councilman Mark Hill said schools are Coppell’s economic driver, and if the city continues increasing exemptions, it could change the city’s economic dynamic, which would potentially pose future problems.

The city plans on reviewing assessed property values each year and changing exemptions as needed.

The item will be reviewed in a later City Council Meeting sometime in May.