Tomball City Council and the Tomball Economic Development Corporation got a look at TEDC’s proposed fiscal year 2026-27 budget during an Aug. 3 joint workshop, with much of the conversation centered on future downtown projects, parking and how much money should be set aside before plans are finalized.
The meeting was held as a workshop, and no formal votes were taken.
The overview
TEDC Executive Director Kelly Violette presented a FY 2026-27 budget built around roughly $33.9 million in available resources. That includes a projected beginning fund balance of about $26.2 million, $6.5 million in sales tax revenue—which is represents of 0.5% sales tax collected by the city—$1 million in interest revenue and about $267,000 in lease payments.
Among the larger proposed expenses is $675,000 for professional services. That includes $150,000 carried over for the ongoing downtown parking and mobility study and an initial $360,000 placeholder for parking lot design. The design money would not pay for construction, and it was included while TEDC and council continue weighing where additional downtown parking may be needed.
Council did not settle on a specific parking project during the workshop. Members also asked that the professional services portion of the budget account for additional transportation planning, including looking beyond Old Town Tomball at ways to move people around Tomball. Staff said that direction would be reflected in the next version of the budget.
What changed
The biggest adjustment came with Tomball Legacy Square, formerly First Baptist Church campus, which is in the early planning phase for a potential arts and performance venue.
TEDC initially proposed an $8 million placeholder for the project, including $500,000 for demolition, $100,000 for environmental remediation and about $7.35 million for design and construction, along with smaller amounts for replatting and creation of a planned development district.
Violette emphasized that the funding would not authorize the project itself and that the final scope and phasing have not been decided.
During the discussion, council members pushed for a more conservative number and directed TEDC toward a roughly $1.5 million total placeholder instead of the full $8 million. The discussion indicated demolition would be included in that smaller amount, with TEDC able to return for a budget amendment later if additional funding is needed as plans take shape.
TEDC also proposed $600,000 for planning work at its roughly 50-acre South Live Oak campus, including a highest-and-best-use study, replatting, civil engineering, a traffic impact study and pipeline coordination.
Violette said the land-use study would come first, with the traffic and other work following once officials have a clearer idea of what could be developed on the property.
The draft also includes three city of Tomball funding requests:
- $200,000 for the Cherry Street Pocket Park
- $300,000 for the Collins Strong project
- $1 million for Main Street utility relocations
What’s next
The TEDC board is scheduled to consider the proposed budget Aug. 11 before another joint meeting with City Council Aug. 17. Violette said revisions stemming from the Aug. 3 discussion will be incorporated into the next draft, though additional changes could still be made before final approval.
