Schertz officials are proposing a slim property tax reduction, but the growing city is expecting to see an increase in tax revenues due to rising land appraisals.

A public hearing on the proposal to lower the tax rate from 43 cents to 40 cents per $100 valuation will be held at 6:30 p.m. Tuesday at City Hall.

According to the Guadalupe County Appraisal District, total appraised value of property has increased from $1.7 billion to $2.09 billion. The total taxable value of property has gone up from $1.66 billion to $1.95 billion.

The average homestead has an appraised value of $154,286, compared with $141,254 last year. The city projects a 5.3 percent hike in total tax revenues in the upcoming fiscal year 2008.

City Council will adopt in September a new budget for FY 2008. The draft budget proposes a 16 percent rise in total expenditures. A second hearing on the proposed tax is set for Sept. 11.

Additionally, Assistant City Manager John Bierschwale addressed a requested rezoning of land at Farm Road 3009 and Patrick Henry Drive. Property owner David Montelongo requested postponing an Aug. 21 public hearing regarding his request to rezone 4.1 acres from Residential to Neighborhood Services.

According to Bierschwale, Montelongo planned to talk with neighborhood residents and answer their questions about the proposal.