Editor's Note: This story has been updated to reflect council's decision to propose a tax rate of $0.19310 per $100 valuation rather than the maximum voter-approval rate of $0.20490.
Fulshear officials are preparing to adopt the city's fiscal year 2026-27 budget and tax rate.
What residents need to know
At an Aug. 18 meeting, Fulshear City Council proposed the staff recommended tax rate of $0.19310 per $100 valuation, a potential 15% increase to the current tax rate of $0.167903 per $100 valuation.
Finance Director Angela Alvarado said the rate pays for debt service and offers $912,000 in additional maintenance and operating funding, $1.25 million operating surplus and reserves above the city’s 25% target.
The potential rate increase comes after residents voted to issue $13.5 million in park bonds in May 2025 and levy taxes to repay them. Due to the issuance of the voter-approved park bonds this year, the FY 2026-27 interest and sinking rate has increased.
Also of note
Alvarado shared specifics on the city’s recently received certified tax roll and new property values:
- Total appraised value: $7.26 billion
- Total taxable value: $5.6 billion
- New taxable value of new property: $180.2 million
City Manager Zach Goodlander said last year’s taxable value of new property was $375 million, indicating a slowing in property growth.
“New growth will significantly slow down in the coming years and we’re kind of seeing that now,” Alvarado said.
Additionally, Fulshear’s taxable value is increasing, but the pace of growth has reduced over the past three years.
On the horizon
City Council will hold a public hearing on the budget and tax rate at its Sept. 1 meeting.
Council is scheduled to formally adopt both on Sept. 15, but Alvarado said they has the option to vote on them after the public hearing.
