San Antonio City Council Reviews Proposed $4B Budget for Fiscal Year 2026

San Antonio's City Council meeting on August 14, 2025, spotlighted the proposed operating and capital budget for the fiscal year 2026, totaling $4.04 billion—a 2.2% increase from the previous year. City Manager Eric Walsh presented a balanced budget plan that reflects community priorities and sets the stage for a series of budget work sessions leading up to the council's adoption on September 18.

Key highlights from the proposed budget include a general fund allocation of $1.69 billion, marking a 1.6% increase. However, the budget also anticipates a net decrease of 116 positions across city departments, with significant changes in civilian roles offset by the addition of 73 positions in police and fire services. The police department's authorized strength will remain at 2,893 officers, while the fire department will have 1,850 firefighters.

Despite the challenges of rising expenses outpacing revenue growth, the city has maintained its top-tier bond ratings from major agencies, which is crucial for borrowing costs and project funding. Walsh emphasized the importance of fiscal responsibility, noting that the city has not increased its property tax rate for 33 consecutive years, keeping it steady at $54.159 per $100 valuation.

The budget also includes nearly $152 million in property tax relief measures, such as homestead exemptions and senior tax freezes, aimed at supporting vulnerable populations. As the city navigates economic uncertainties, including potential impacts from federal funding changes, the council will engage in detailed discussions over the next five weeks to refine the budget and ensure essential services remain intact.

Overall, the proposed budget reflects a cautious approach to financial planning, balancing immediate needs with long-term stability as San Antonio prepares for the upcoming fiscal year.