Harris County is facing the task of balancing a $178 million shortfall going into fiscal year 2026-27—amid several requests that would require millions more in funding.
The big picture
According to the latest update from the Harris County Office of Budget Management, which was given at the commissioners' Aug. 6 meeting, Harris County is facing a $178 million shortfall in the FY 2026-27 budget. Daniel Ramos, executive director of the Harris County Office of Management and Budget, said the county has faced a roughly $150 million shortfall annually in recent years.
Harris County Precinct 1 Commissioner Rodney Ellis expressed heavy concern regarding how the county would ultimately address the shortfall, which has become a repetitive issue.
“When I was a banker, if you have a shortfall five years in a row, ... that's a structural deficit,” Ellis said.
”We’re about out of smoke and mirrors.”
County Judge Lina Hidalgo sought to gain support for a voter-approved tax rate election to provide roughly $300 million in funding for the county’s Early Reach program. The pilot public early education program was originally funded through American Rescue Plan Act funds, but ran out of funding in June after commissioners disagreed on placing a tax rate increase on the November 2025 ballot.
Hidalgo said the ballot measure would fund the program and potentially alleviate part of the county’s shortfall. However, commissioners disagreed, citing new initiatives led by Precinct 2 Commissioner Adrian Garcia and Precinct 4 Commissioner Lesley Briones to get additional state funding for early education.
“We've got some pretty stiff head winds on our tax rate time,” Precinct 3 Commissioner Tom Ramsey said. “We've got to work through our budget, which is an appropriate thing to do, but these are the numbers, these are the [tax] rates, this is where we are.”
Another thing
Despite budget concerns, commissioners unanimously authorized setting aside $2.25 million for an independent investigation into a shooting, which occurred on July 7 involving Houston resident Lorenzo Salgado and Immigration and Customs Enforcement officers.
Precinct 1 Commissioner Rodney Ellis and Harris County District Attorney Sean Teare announced a new funding initiative, which would provide the DA’s office with additional staff and resources specifically for the investigation.
“We couldn't come up with funding every time there was an incident, but some cases, I think, rise to that level of significance,” Ellis said.
The funding would be held in a separate account from general funds for the district attorney’s office and allocated over three years as needed for the investigation. Teare said the money would go towards:
- An additional DA prosecutor and investigators
- Technology and resource upgrades
- Federal court costs if charges are filed
“This is one that if we believe the charges are appropriate and file charges we anticipate having to fight against the federal government,” Teare said. “If it is a case where we file it and need to go forward, having the foresight to already be ready to go forward with that money is the only way we're going to be successful in an investigation and prosecution.”
Stay tuned
Commissioners also authorized raises for all eight elected constables, the district attorney, county attorney, district clerk, county clerk and tax assessor-collector, which brought all positions to the same salary of $305,000 annually.
Commissioners will officially narrow down final decisions on the county budget and a potential tax rate starting on Aug. 17. Harris County Commissioners Court meetings are held at 9 a.m. in Downtown Houston. The administration building is located at 1001 Preston St., Houston. Meetings are also available to livestream here.
