The gist
The FY 2025-26 proposed budget includes $54.2 million for operating expenses and $27.5 million for capital projects.
The proposed property tax rate increased from $0.3395 to $0.3576 per $100 valuation due to a decrease in property values, according to a press release obtained by Community Impact. The average home value in fiscal year 2025 is $411,609, over a $21,000 appraisal decrease from the previous year.
The new tax rate is higher than the no-new-revenue tax rate of $0.3430, which is the rate that would generate the same amount of revenue for the city as the previous year.
"The budget will raise more total property taxes than the previous year by $625,586, or 5.74%," according to a public notice.
The average homeowner in Buda paid approximately $1,454 in property taxes in FY 2025, according to the city of Buda. With the proposed tax rate, the average home valued at $411,609 will pay approximately $1,471, or a monthly payment of $122.66.
Residents will also see a 9% water rate increase, resulting in approximately a $6.23 monthly increase for the average utility customer. Sanitation fees will remain the same.
Some policy priorities for FY 2025-26 are mobility and infrastructure, public safety and parks—including sportsplex upgrades.
Looking forward
The city of Buda will hold two public hearings at City Hall related to the budget and tax rate at 6 p.m. Sept. 2 and 16.
If the city adopts the proposed tax rate, qualified voters may petition the city of Buda to hold an election to determine if the tax rate should be reduced.
