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Grapevine City Council approved the city’s fiscal year 2026-27 budget of $262.4 million at its Sept. 1 meeting.
The budget is a 6.8% increase over the fiscal year 2025-26 budget of $245.6 million. The increase is mostly caused by rising compensation, insurance costs and inflation, according to the city.
Zooming in
The largest part of the budget is the general fund at nearly $93.9 million, an increase over the $87.69 million general fund from the previous fiscal year.
Revenue and expenses have both increased as well. Revenue for FY 2026-27 is $93.9 million, up from $87.69 million in the previous year's adopted budget. Expenses are $93.9 million, up from $87.69 million.
The FY 2026-27 budget has a surplus of $5,522, an increase over the $0 in the previous adopted budget, according to the original budget proposal.
The specifics
The FY 2026-27 budget includes salary raises, with a 3% market increase for general and public safety employees, and a 2% merit-based increase on anniversary dates and step increases for public safety employees.
Also on the agenda
Council approved an increase in fees to support the storm drain utility system.
Single-family homes will see an increase from $4 per month to $8 per month in order for the city to keep up with inflation when funding drainage improvements and maintenance of its stormwater management program.
This is the first time the fee has increased since its inception in 1997.
Without an increase, the storm drain utility fund balance was expected to fall below the minimum required reserve amount in FY 2026-27, according to the new budget.
Looking ahead
The city council will vote to approve a new tax rate during its Sept. 15 meeting.
The proposed tax rate for the 2027 fiscal year is $0.226817 per $100 valuation, which is the no-new-revenue rate and will maintain the same revenue for the city as during the previous fiscal year.
The rate is also a 4.4% decrease from the current tax rate, meaning residents with the new average taxable value of $393,431 on their homes would see a decrease in taxes, according to previous reporting.
