The big picture
At a July 1 special meeting, Fulshear City Council members discussed raising the city’s tax rate after several projects were not included in the city's preliminary budget. It includes a projected $87.5 million in expenditures for FY 2025-26, down 35% from the FY 2024-25 budget.
Last year, the city decreased its tax rate by 4.09% to $0.161856 per $100 property valuation, a almost half that of nearby Rosenberg’s $0.32 per $100 and almost a quarter of Richmond’s $0.639791 per $100.
A closer look
The proposed budget includes $6.2 million for the police department, which comprises over 30% of the general fund, more than any other department, according to budget documents. The funding includes $5 million in salaries, wages and benefits.
The city also hopes to fund various maintenance projects, including a streetlight initiative aimed at cutting electricity costs, per the documents.
City officials said other proposed key projects include:
- $300,000 for pavement and sidewalk lifting, repairs and replacement
- $150,000 for street signage
- $150,000 for traffic signals, school zone flashers and flashing beacons
- $149,400 for street maintenance
- $30,000 for tree trimming
What else?
Due to the limited budget, city staff did not recommend going forward with a $428,000 pavement management program, which would help maintain city streets. City Manager Zach Goodlander said the program has become increasingly difficult as more people move to Fulshear because developers build neighborhoods before handing over maintenance to the city.
City staff also recommended pushing a $12 million diversion lift station, which was recommended by a wastewater master plan, although design for the plan is “nearly complete,” Goodlander said. The project would help replace waste and divert flows from Lift Station No. 10.
What they’re saying
District 5 council member Abhijeet Utturkar said the city may need to consider raising property taxes to fund essential projects or look at new ways to fund items such as the police department and street repairs.
“I’m not saying a tax increase is the only way to do it,” Utturkar said. “Let’s bring up these needs that are actually a must have and we can see how we can fund those.”
District 2 council member Patrick Powers said a tax rate increase could be essential to city growth, even if the decision is unpopular with the public.
“That’s an unpopular truth that needs to come out, is that the tax rate needs to go up,” Powers said. “It’s going to be tough decisions, it’s going to be unpopular decisions, the public is going to hate us. But when we compare it with the other cities in Fort Bend County, it should be a no-brainer.”
Another note
In May, city officials projected spending $35.46 million on capital improvement projects for FY 2025-26, the first step in a five-year $412 million plan.
The plan allocates over $13 million to park projects, including $10.5 million to Primrose Park Phase III, according to budget documents. The park’s $5.5 million second phase is expected to be completed by early 2026.
Finance Director Erin Tureau said capital improvement plan funds are recommended for other projects, including:
- Drainage: Eastside tributary drainage improvements construction
- Facilities, parks and technology: Park land acquisition and trails master plan study
- Streets and traffic: citywide flashing beacon installation and sidewalk gap program
- Water: McKinnon water plant; FM 1093 water line upgrades; and a Supervisory and Control Data Acquisition, or SCADA, system master plan and implementation
- Wastewater: Texana lift station expansion, Katy-Fulshear lift station and SCADA master plan
The city is expected to finalize the budget the first week of August and propose a tax rate later in the month, followed by final budget approval in September, according to agenda documents.
Other key dates include:
- Aug. 19: Regular meeting for the city manager to propose a tax rate and set a public hearing
- Sept. 2: Special meeting for public hearing on FY 2025-26 proposed budget
- Sept. 16: Regular meeting to adopt the FY 2025-26 budget ordinance as well as a tax rate public hearing and adoption
