City Council to Hold Major Budget, Tax-Rate Discussions at Sept. 16 Meeting

Arnoldo Mata

EDINBURG, TX – The Edinburg City Commission is set to meet Tuesday, Sept. 16 for its regularly scheduled meeting where several key items will be in the spotlight — chief among them the budget for the upcoming fiscal year and the city’s property tax rate.

What’s on the Table: Budget & Tax Concerns

• The city staff has proposed maintaining the property tax rate at $0.63 per $100 of assessed value for the fiscal year starting October 1, 2025, and ending September 30, 2026.
• While the rate remains unchanged, projections show that because of rising property values, the city will collect more in total tax revenues.
• A “no-new-revenue” rate, which would generate the same amount of tax revenue as last year despite value increases, has been calculated at $0.5835 per $100. Reducing the rate to this level would avoid additional revenue but may leave gaps in funding.
• City officials say maintaining the current rate is necessary to cover increasing operational costs, including negotiated pay raises (notably a 3% raise plan for police and fire), rising utility and supply costs, and other inflationary pressures.

Other Noteworthy Agenda Items

• A required public hearing on the tax rate is scheduled as part of this meeting. Residents will have the opportunity to voice concerns or support.
• Beyond tax and budget, the meeting is likely to address other obligations and expenditures related to city services, debt, and contracts (though specific agenda details were not fully public at press time).
• The current budget (2024-2025) was approximately $164.5 million and included stable tax rate, infrastructure investment, as well as maintaining healthy fund balances.

What to Watch

• Whether the City Commission sticks with the proposed $0.63 rate or considers lowering it closer to the no-new-revenue rate.
• How officials plan to balance additional revenues (from value growth) with growing expenses.
• Input from residents during the public hearing, especially those concerned about rising property valuations and their impact.

Why It Matters:

Even without an increase in the tax rate, property owners may see higher tax bills if their property values rose. At the same time, the city must contend with inflation, personnel costs, and rising operational expenses. The decisions made on Sept. 16 will set the financial course for the coming year, determining how the city funds essential services, capital improvements, and employee compensation.

Source — City of Edinburg