Pasadena council adopts 2025–26 budget and property tax rate after debate over capital projects and transparency

The Pasadena City Council on Sept. 16 adopted the citys fiscal 202526 annual budget and approved a property tax rate, votes that followed several council membersdetailed concerns about capital improvement funding and the transparency of the budget process. Mayor Thomas called for the roll-call votes on the budget and tax ordinances, and council members recorded their positions on the record.

Why it matters: The budget sets city spending for Oct. 1, 2025through Sept. 30, 2026, and the tax rate decision directly affects homeowners and property tax revenues; several council members said parts of the capital improvement program (CIP) appear reduced in a way they find concerning for infrastructure and flood mitigation in certain districts.

Council debate focused on the CIP allocations and the timing and transparency of budget development. Councilman Guerrero said he voted against the budget because, drawing on 22 years of engineering practice, he found the capital improvement budget "dramatically lopsided" compared with cities of similar size and said his district experienced a "tremendous decrease" in capital improvements at a moment of urgent need for drainage and street work. Councilman Estrada and others pressed for improved process and earlier council involvement; Mayor Thomas responded that staff would extend the deadline for submitting CIP requests and that the CIP budget was still being finalized. Council members also praised inclusion of modest educational pay increases for employees.

The council took the following formal actions during the meeting: Ordinance 2025-173, ratifying a property tax increase reflected in the annual budget for fiscal year 202526, was read and adopted by roll-call vote. The transcript records Councilman O'Radygo voting "Aye," Councilman Valerio "No," Councilman Guerrero "Aye," Councilman Van Hauck "Aye," Councilman Estrada "Aye," Councilman Dow "Aye," Councilman Fuschler "Aye," and others recorded as "Aye." The council then voted on Ordinance 2025-5174, adopting the annual budget and appropriations for fiscal 202526; a roll-call vote was taken after a motion by Councilman Estrada, seconded by Councilwoman Van Hout. The council also approved an ordinance proposing a property tax rate of $0.465586 per $100 of assessed value (Ordinance 2025-175 as read on the record), with a motion by Estrada and a recorded roll-call vote.

Council members repeatedly requested greater transparency and earlier engagement on the CIP. Councilman Fuschler thanked staff from the controllers office and the economic development corporation for providing requested financial details about the convention center obligation after the last meeting and said he had submitted capital requests he hoped would be considered. Councilman Guerrero and others said they had not had a budget workshop focused on CIPs and urged more involvement for northern districts that they said need street and drainage work.

Mayor Thomas said workshops would continue and noted an email had been sent with a deadline for council CIP submissions (originally Sept. 12) that he extended and that staff would solicit each council members top five CIP requests; he said the CIP budget was not yet final.

The council also approved several related ordinances, grant applications and appropriations during the meeting (see actions list). Several council members said they would press for procedural improvements going forward to ensure council participation earlier in the budget calendar.

The councils adoption of the budget and tax rate completes the citys formal spending plan for the coming fiscal year; final CIP project lists and related appropriations may be adjusted in subsequent meetings as staff and council reconcile outstanding requests and deadlines.