Pearland approves $123M budget, tax rate above the no-new-revenue rate for FY 2024-25

Pearland City Council voted Sept. 23 to adopt a $123 million budget for fiscal year 2024-25 and a property tax rate of $0.6350 per $100 valuation of a home.

The big picture

City Council voted 6-1 to approve the budget and tax rate, which is lower than the tax rate of $0.6554 per $100 valuation in FY 2023-24, but still higher than the no-new-revenue rate of $0.599536 per $100 valuation.

The property tax rate is lower than last year, but due to Pearland’s growing property values, the city’s portion of the average property tax bill will increase by $61 for the year, according to city documents.

The FY 2024-25 budget is about $9 million more in expenses—a 7.9% increase—than the originally adopted FY 2023-24 budget, according to city documents.

Council member Rushi Patel voted against adopting the approved budget and tax rate without comment.

What’s next?

FY 2024-25 begins Oct. 1.

City Council is expected to meet Oct. 14 to discuss selling some of the city’s debt to pay for projects outlined in the capital improvement portion of the budget.