City manager explains property tax increase; compares to cable bill

McCOOK, Neb. — In a mandated public hearing on Tuesday night, City Manager Nate Schneider presented the city of McCook’s fiscal year 2024-25 budget and the city’s rationale for the recently approved property tax increase.

The request totals $2,593,593.14, reflecting a 6% increase in assessed property values and a proposed tax rate of 44 cents per $100 of assessed valuation. The new request marks a 29% overall budget increase compared to the previous year.

Schneider outlined the key drivers of the budget increase, including wage adjustments required under Nebraska’s Industrial Relations Act, which mandates wages to be within 98-102% of those in similar communities. Adjustments were made to city salaries in areas that Schneider described as being “substantially” below those requirements.

Schneider also addressed broader fiscal challenges presented by the results of Governor Pillen’s special legislative session focused on reducing state property taxes. McCook’s budget aims to balance state-imposed constraints and anticipated limits to future tax requests with the need to maintain essential city services such as public safety, public works, and community programs.

The budget’s impact on residents was illustrated by comparing the city’s property tax on a hypothetical $161,000 home, which would increase from $548 in 2023 to $708 under the new tax rate.

Schneider then argued the affordability of the increase by comparing it to common household expenses such as cell phone and cable bills.

The meeting concluded with Schneider inviting public input on the budget process, underscoring the city's commitment to transparency and community engagement.