The adopted budget totals $2.55 billion, and the city is projecting $218.82 million in both general fund revenue and expenditures.
Council members also unanimously approved a tax rate of $0.595420 per $100 of assessed value. This is a 1.71% increase from fiscal year 2024-25, according to a city presentation.
“Thank you to all the staff [who] helped get us to this point,” Mayor Gerard Hudspeth said. “I'm appreciative of the holistic effort to minimize impact on our citizens while delivering the best service.”
The overview
Since the city approved a balanced budget, there will be no change to the city’s fund balance year over year. The projected $218.82 million in general fund revenue is a nearly 8% increase from FY 2024-25.
- $11.87 million for the customer service fund
- $25.1 million for the technology services fund
- $5.82 million for the environmental services fund
- $1 million for the parkland dedication trust fund
- $1.2 million for the tourism public improvement district fund
- $127 million for general government
- $2.2 million for the airport
- $64 million for electric utilities
- $94.9 million for water utilities
- $243 million for wastewater utilities
- $21.7 million for solid waste
Property tax rates have two components: maintenance and operations, and interest and sinking. The maintenance and operations, or M&O, which funds most of the city’s operating expenses, is proposed at $0.334780 per $100 of assessed value, which is unchanged from FY 2024-25, per city documents.
The interest and sinking portion, or I&S, which is used to repay debt, is proposed at $0.260640 per $100 of assessed value. This is a slight increase compared to FY 2024-25 and will increase the taxes on the average residential home—valued at $386,698—by $78, according to city documents.
Average residents will also see an annual increase of about $73 annually to their utility bills. This means the average homeowner will pay $151 more annually than in FY 2024-25.
