In a brief meeting Tuesday evening, the Gainesville City Council voted to set its proposed tax rate for 2006-07.

The Council unanimously approved a proposed, effective tax rate of $0.6491 per $100 valuation.

“This is a lower tax rate, and it’s reduced by 3.5 percent,” said City Manager Mike Land in an interview this morning.

A hearing on the tax rate is scheduled for 6:30 p.m. Sept. 5. On Sept. 19 the Council is expected to officially adopt the tax rate.

For the current fiscal year, the effective tax rate is $0.673 — About 3 cents lower than the 2004-05 rate of $0.69999.

Land said the proposed rollback rate — the tax rate the city would have to set for there to be the possibility of an election to “roll back” the rate — is set at $0.7377.

“So we’re nowhere near that,” Land said.

He said the proposed tax rate is lower due to an expansion in the Gainesville economy as well as cuts made in city expenses in the previous years.

“Changes were made,” he said. “Everything is going in the right direction, and we’re building the fund balances.”