The Harlingen City Commission adopted the city’s fiscal year 2026 budget and approved the ad valorem tax components after a recorded vote on Monday. Finance staff presented the FY2026 budget and commissioners approved both the budget ordinance and a tax‑rate ordinance setting the maintenance and operations rate at $0.458038 per $100 and the interest and sinking rate at $0.068022 per $100, for a combined rate of $0.52606 per $100.
Why it matters: the budget sets city spending priorities and the tax‑rate actions determine the property tax burden for residents. Commissioners said the city’s growing sales tax and new construction allowed them to lower the tax rate in prior years while still funding services; staff said the adopted FY2026 budget continues capital work including drainage and public safety priorities.
Finance staff presented budget totals to the commission, describing proposed revenues at roughly $119.6 million and proposed expenditures at roughly $117.0 million for FY2026. The city manager and commissioners thanked staff for a multi‑month budget process and noted investments for drainage crews, police collective bargaining preparations and airport operations.
On tax rates, a motion fixed the maintenance and operations rate at $0.458038 per $100 and the interest and sinking rate at $0.068022 per $100; the consolidated tax rate was announced as $0.52606 per $100 and was described during the meeting as “effectively a 3.33% increase in the tax rate” compared with the rollback calculation noted in the public packet. The record vote on the budget ordinance was unanimous. The clerk recorded separate votes on the tax components and the consolidated rate; commissioners discussed that the county’s increased valuation and new construction were factors affecting tax receipts and the city’s ability to keep rates competitive.
The ordinance adopting the FY2026 budget will be published as required; the tax ordinance is set for its second and final reading on Sept. 3 at Town Hall as required by state law before the rates take final effect.
Ending: With the budget adopted and tax components fixed, staff will implement the FY2026 workplan, including capital drainage work and other departmental priorities outlined in the budget package.